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Home My WebLink AboutPublic Mtg PD Landscape and Lighting Assessment District FY 1999-2000 ��i PUBLIC WORKS MEMO , a- DEPARTMENT TO: Honorable Mayor and City Council FROM: Richard J. Folkers, ACM/Director of Public Works SUBJECT: PUBLIC MEETING ON PRELIMINARY ANNUAL LEVY REPORT FOR THE PALM DESERT CONSOLIDATED LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT, FISCAL YEAR 1999-2000 DATE: J U N E 24, 1999 RECOMMENDATION : Conduct a public meeting to receive comments on various aspects of the assessment district and report prior to the public hearing. No City Council action required at this hearing. BACKGROUND: This public meeting is an opportunity for affected property owners to comment on the consolidated assessment district report and noticed ballot assessment increase for Zone 13, Palm Desert Country Club. The City Council may consider revisions to the report at this time and before the final adoption at the public hearing on July 8, 1999. >Ae t", RICHARD J.OLKE" , P.E. REVIEWED AND CONCUR CITY MANAGER RJF/TGB:et CITY COUNCIL ACTION: mtgpubzn.13 APPROVED) _ DENIM.,, .......- 2CEIVED © . THER Attachments °-.:,'1 I '( DATE E.. ..,..K—.., t ,,SENT:...,...m--.- ABSTAIN: VERIFIED BY:-..-. . 0- cn File with C C rk' s Office CITY OF PALM DESERT ENGINEER'S ANNUAL LEVY REPORT Consolidated Palm Desert Landscaping And Lighting District Fiscal Year 1999/2000 77-- -,-'!'s\''\ INTENT MEETING: May 13,1999 PUBLIC HEARING: July 8,1999 *IQIA /NUNIFINANCIAL Corporate Office Regional Offices 28765 Single Oak Drive • Jacksonville, FL Suite 200 • Kansas City, MO Temecula, CA 92590 • Sacramento Tel: (909)699-3990 • San Francisco Tel: (800) 755-MUNI (6864) • Seattle, WA Fax: (909)699-3460 www.muni.com • Washington, DC TABLE OF CONTENTS I. OVERVIEW 1 A. Introduction 1 B. Recent Legislation 2 C. General Description of the District and Services 3 II. SPECIFIC IMPROVEMENTS AND SPECIAL BENEFIT ZONES 7 III. METHOD OF APPORTIONMENT 17 A. General 17 B. Benefit Analysis 17 C. Assessment Methodology 20 D. Assessment Range Formula 22 IV. DISTRICT BUDGETS 24 A. Description of Budget Items 24 B. District Budgets 28 APPENDIX A — DISTRICT BOUNDARY MAPS 50 APPENDIX B — 1999/2000 COLLECTION ROLL 51 Consolidated Pal :serf Landscaping and Lighting wiaintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 I. OVERVIEW A. Introduction The City of Palm Desert ("City"), annually levies and collects special assessments in order to provide and maintain the improvements within the Consolidated Palm Desert Landscaping and Lighting Maintenance Assessment District ("District"). The District was formed in 1993, through the consolidation of several individual landscaping and lighting maintenance districts within the City. The original District and all subsequent annexations are identified as separate benefit zones and sub-zones (Zones) within the Consolidated District. The District was formed and annually levied pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (hereafter referred to as the "Act"). This Engineer's Annual Levy Report (hereafter referred to as the "Report") describes the District, any changes to the District, and the proposed assessments for Fiscal Year 1999/2000. The proposed assessments are based on the historical and estimated cost to maintain the improvements, that provide a direct and special benefit to properties within the District and Zones. The various improvements within the District and the costs of those improvements are identified and budgeted separately, including all expenditures, deficits, surpluses, revenues, and reserves. Each parcel within a Zone and/or sub-zone is assessed proportionately for only those improvements provided in that Zone or sub-zone from which the parcel receives special benefit. The word "parcel," for the purposes of this Report, refers to an individual property assigned its own Assessment Number by the Riverside County Assessor's Office. The Riverside County Auditor/Controller uses Assessment Numbers and specific Fund Numbers, to identify on the tax roll, properties assessed for special district benefit assessments. At a noticed Public Hearing, the City Council will consider all public comments and written protests presented. Upon conclusion of the Public Hearing, the City Council will tabulate property owner protest ballots received (for any proposed new or increased assessments) to determine whether majority protest exists, and by resolution confirm the results of any such protest ballot tabulations. Proceedings for any annexations shall be abandoned if majority protest exists. If majority protest exists for a proposed increased assessment, the increase may not be imposed. In either case, the City Council will direct modifications to the Report and approve the Report as amended. MBIA MuniFinancial Page 1 Consolidated Pah !sert Landscaping and Lighting ,viaintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 If tabulation of the property owner protest ballots indicates approval of the assessments and the assessment range formula presented, by resolution the City Council may approve the Report as submitted. Following approval of the Report, the City Council will by resolution, order the improvements to be made, any annexations of territory, and confirm the levy and collection of assessments pursuant to the Act. The assessments as approved will be submitted to the Riverside County Auditor/Controller to be included on the property tax roll for each parcel for Fiscal Year 1999/2000. B. Recent Legislation On November 5, 1996, California voters approved Proposition 218 by a margin of 56.5% to 43.5%. The provisions of the Proposition, now California Constitutional Articles XIIIC and XIIID, can be summarized in four general areas: 1. Strengthening of the general and special tax provisions of Proposition 13 and Proposition 62. 2. Extension of the initiative process to all local taxes, assessments, fees, and charges. 3. Addition of substantive and procedural requirements to assessments. 4. Addition of substantive and procedural requirements to property related fees and charges. In Fiscal Year 1997/1998 the City initiated and conducted property owner protest ballot proceedings for existing properties within the District in compliance with the substantive and procedural requirements of the State Constitution Article XIIID. At the conclusion of the Public Hearing on July 10, 1997, all property owner ballots returned were tabulated to determine if majority protest exited. The tabulation of the ballots indicated that a majority protest did not exist and that the property owners approved the special benefit assessment and assessment range formula for maintaining the improvements within each Zone of the District. All subsequent annexations to the District, the establishment of all new Zones, and the imposition of any new or increased assessment have also been approved and confirmed by the property owners through property owner ballot proceedings. All District assessments approved by the property owner balloting established a maximum assessment rate for the various Zones within the District and MBIA MuniFinancial Page 2 Consolidated Pa iesert Landscaping and Lighting ivlaintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 included an assessment range formula that allows for annual inflationary increases to the maximum assessment rate. The maximum assessment rate established in the prior fiscal year is adjusted by the assessment range formula to establish a new maximum assessment rate in each Zone for the current fiscal year. The proposed assessment for the current fiscal year may be less than or equal to this maximum assessment rate without additional balloting. Any proposed assessment that exceeds the maximum assessment rate requires property owner ballot proceedings for the incremental assessment increase. The actual assessment amount approved by each property owner will often vary as a function of their land use and proportionate special benefit; however, the actual assessment amount approved by the property owners is the maximum assessment rate applicable to the properties and improvements in each Zone. The benefit and apportionment of the maximum assessment rate for each Zone is discussed in more detail in the Method of Apportionment Section of this Report. C. General Description of the District and Services The City annually levies and collects assessments in order to maintain and service the improvements within the Consolidated Palm Desert Landscaping and Lighting Maintenance Assessment District (District). For Fiscal Year 1999/2000 the District consists of twenty-one (21) separate benefit zones and sub-zones (Zones), each funding specific improvements and services. The District Zones are identified as: • Zone # 2 Canyon Cove (222 parcels) • Zone # 3 Vineyards (132 parcels) • Zone # 4 Parkview Estates (172 parcels) • Zone # 5 Cook and Country Club — Desert Mirage Sub-zone (29 parcels) • Zone # 5 Cook and Country Club — Sandcastle Sub-zone (41 parcels) • Zone # 5 Cook and Country Club —Primrose 2 Sub-zone (37 parcels) • Zone # 6 Hovley Lane — Monterey Meadows Sub-zone (40 parcels) • Zone # 6 Hovley Lane — The Glen Sub-zone (16 parcels) • Zone # 6 Hovley Lane — Hovley Estates Sub-zone (16 parcels) MBIA MuniFinancial Page 3 Consolidated Pal esert Landscaping and Lighting maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 • Zone # 6 Hovley Lane — Sonata I Sub-zone (16 parcels) • Zone # 6 Hovley Lane — Sonata II Sub-zone (94 parcels) • Zone # 6 Hovley Lane — Hovley Collection Sub-zone (38 parcels) • Zone # 6 Hovley Lane — La Paloma I Sub-zone (16 parcels) • Zone # 6 Hovley Lane —La Paloma II Sub-zone (16 parcels) • Zone # 7 Waring Court (16 parcels) • Zone # 8 Palm Gate (37 parcels) • Zone # 9 The Grove (105 parcels) • Zone #11 Portola Place (23 parcels) • Zone #13 Palm Desert Country Club (1,744 parcels) • Zone #14 K & B at Palm Desert (163 parcels) • Zone #15 Canyon Crest (67 parcels) The District provides maintenance and operation of specific local landscaping and lighting improvements and associated appurtenances located within the public right-of-ways and dedicated landscape easements in each of the Zones within the District. The annual assessment for each Zone is based on the historical and estimated cost to maintain the improvements that provide a special benefit to properties within the Zone. The improvements within each Zone and the costs of those improvements are identified and budgeted separately, including all expenditures, deficits, surpluses, revenues, and reserves. The various improvements provided and assessed within the District can be categorized as three (3) improvement types. 1. Local street lighting (residential street lighting associated with the properties within the Zone and specific subdivisions). 2. Local landscaping improvements including parkways, perimeters, entryways, local medians, and internal landscaped amenities. 3. Special Zone services including tree trimming, graffiti and weed abatement and landscape maintenance of flood control areas (retention and detention basins). MBIA MuniFinancial Page 4 Consolidated Pal esert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Each Zone provides specific improvements permitted under provisions of the Act that provide a special and direct benefit to the parcels within the Zone. The costs associated with the improvements are equitably spread among all benefiting parcels in proportion to their benefit. Only parcels that receive a direct and special benefit from the improvements are assessed. All landscape improvements maintained by the District and associated with each Zone were either installed as a condition of development for properties within the Zone or were installed for the benefit of the properties within the Zones. The landscape improvements associated with each Zone may include open space areas, medians, parkways, slopes, retention and detention basin areas, and other easements and public right-of-ways that provide a special benefit to parcels within the Zones. These improvements include: turf, ground cover, shrubs and trees, irrigation systems, lighting, water features, entry monuments, drainage systems and associated appurtenances. Services provided include all necessary service(s), operations, administration and maintenance required to keep the improvements in a healthy, vigorous, and satisfactory condition. Similar to landscape improvements, street lighting improvements funded through District assessments were installed for the benefit of properties within each of the Zones and the assessments in each Zone provide for the maintenance, operation and energy costs related to their specific street light improvements. The following table (Table I) lists the Zones and sub-zones within the District for Fiscal Year 1999/2000. MBIA Mun:Financial Page 5 Consolidated Pa )esert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE I BENEFIT ZONES Assessable Total Zone Number Zone Name Total Parcels Parcels EDU Zone#2 Canyon Cove 229 parcels 222 parcels 222.00 Zone#3 Vineyards 152 parcels 132 parcels 132.00 Zone#4 Parkview Estates 175 parcels 172 parcels 172.00 Zone#5 Cook&Country Club: Sub-Zone#5 DM Desert Mirage 29 parcels 29 parcels 29.00 Sub-Zone#5 SC Sandcastles 41 parcels 41 parcels 41.00 Sub-Zone#5 PR Primrose 2 39 parcels 37 parcels 37.00 Zone#6 Hovley Lane: Sub-Zone#6 MM Monterey Meadows 40 parcels 40 parcels 40.00 Sub-Zone#6 HG The Glen . 16 parcels 16 parcels 16.00 Sub-Zone#6 HE Hovley Estates 17 parcels 16 parcels 16.00 Sub-Zone#6 S1 Sonata I 16 parcels 16 parcels 16.00 Sub-Zone#6 S2 Sonata II 94 parcels 94 parcels 94.00 Sub-Zone#6 HC Hovley Collection 38 parcels 38 parcels 38.00 Sub-Zone#6 L1 La Paloma I 17 parcels 16 parcels 16.00 Sub-Zone#6 L2 La Paloma II _ 19 parcels 16 parcels 16.00 Zone#7 Waring Court 16 parcels 16 parcels 16.00 Zone#8 Palm Gate 37 parcels 37 parcels 37.00 Zone#9 The Grove 106 parcels 105 parcels 105.00 Zone#11 Portola Place 23 parcels 23 parcels 23.00 Zone#13 Palm Desert Country Club 1,770 parcels 1,744 parcels 2,260.78 Zone#14 K&B at Palm Desert 165 parcels 163 parcels 163.00 Zone#15 Canyon Crest 71 parcels* 67 parcels* 67.00 Total District 3,110 parcels 3,040 parcels * Zone #15 (Canyon Crest), currently consists of three (3) easement parcels, twenty-one (21) subdivided single family residential parcels, and two (2) parcel that are currently being subdivided into an additional forty-six (46) single family residential parcels and one (1) well site property for Fiscal Year 1999/2000. MBIA MuniFinancial Page 6 Consolidated Pa esert Landscaping and Lighting ,.Iaintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 II. SPECIFIC IMPROVEMENTS AND SPECIAL BENEFIT ZONES The boundaries of each Zone, the location of improvements and special benefit received by the properties and property owners within each Zone are described in this section of the Report. The allocation of special benefit and general benefit from the various improvements provided within the District are summarized in the Method of Apportionment section of this Report and are identified specifically in the budget for each Zone. A description of the District improvements and each Zone are provided in the following: Zone #2 (Canyon Cove): Zone #2 includes Tracts 11636-1, 2, 3, & 4 and Tract 23485, generally located South of Deep Canyon Tennis Club, North of Haystack Road, West of Marrakesh Country Club, and East of Highway 74. The streets within the Zone include Ambrosia Street, Sweetbrush Lane, Deer Grass Drive, Lotus Court, Calliandra Street, Aber Street, and Alamo Drive. These parcels benefit from the improvements and maintenance of street lighting encompassing all streets within the Zone and the landscaped parkway along the East side of Highway 74 and the landscaped areas on the North side of Haystack Road, adjacent to the above mentioned tracts and installed as part of these residential tracts. All interior local street lighting has been identified and allocated as 100% special benefit with no general benefit allocation. Similar to other Zones, the parkway landscaping along Highway 74 has been identified as 100% special benefit to the parcels within the Zone. It has been determined that the landscaped median on Haystack Road (although installed as part of the development) provides a special benefit to properties within Canyon Cove, but also provides a general benefit to nearby properties. The proportionate general benefit of this improvement has been identified and eliminated from the Zone assessment. Although there is a general benefit component, the majority of the median landscaping (83%) is a flood control channel and was required for development of the homes within Canyon Cove. Therefore, pursuant to the State Constitution Article XIIID Section 5a (assessments used to fund flood control and drainage systems) the majority of the costs and any related assessment for this landscaped area could be considered exempt. However, in recognition of the general benefit this improvement provides and the previous assessments applied to properties within the Zone, it was determined that the City would fund a large portion of the costs associated with this landscaped median area. Refer to the budget section of this Report for details on the allocation of benefit and related assessments. MBIA MuniFinancial Page 7 Consolidated Pal ;sell Landscaping and Lighting iviaintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Zone #3 (Vineyards): Zone #3 consists of all parcels in Tracts 12181-1 and 12181-2 on the West side of Portola Avenue. The streets within the Zone include Martini Court, Heitz Court, Mondavi Court, Callaway Court, Stony Hill Court, Masson Street, Krug Avenue, Sebastian Way, and San Pasqual Avenue/Rutledge Way. These parcels receive special benefits from the operation and maintenance of all street lighting improvements within the Zone boundaries and the landscaped area along the West side of Portola Avenue, from the northern boundary to the southern boundary of the two tracts. Both the street lighting and landscape improvements identified for this Zone were installed as part of the residential tract development and the ongoing maintenance and operation of these improvements clearly provide special benefits to properties within the Zone. It has further been determined that these improvements were installed and are maintained solely for the benefit of properties within the Zone and the improvements provide no measurable benefit to properties outside the Zone. Any benefit conveyed to other properties or to the public at large (general benefit) is incidental. Therefore, both the interior tract street lighting and the parkway (perimeter) landscaping costs have been identified and apportioned 100% as a special benefit to all parcels within the Zone. Zone #4 (Parkview Estates): Zone #4 consists of all parcels in Tract 8237, South of Magnesia Falls Drive, North of Fred Waring Drive, West of Deep Canyon Road, and East of Portola Avenue. These parcels receive special benefits from the improvements and maintenance of street lighting along Primrose Drive, Desert Star Boulevard, Vanda Circle, Palmilla Circle, Myrsine Avenue, Gazania Place, Rutledge Avenue, Buttonwood Drive, Silktree Lane, Santolina Drive, Balsam Lane, and Erin Street. The improvements were installed as part of the residential tract development and are considered a direct and special benefit to the properties within the development (i.e., Zone). The ongoing operation and maintenance of interior residential street lighting provides no measurable general benefit to properties outside the Zone or to the public at large. To the extent that some street lights associated with the Zone are located on the perimeter of the development and provides direct illumination to parcels outside the Zone, a portion of the maintenance costs has been identified as a general benefit. This Zone has twenty interior street lights and five perimeter street lights resulting in an allocation of the Zone costs as 90% special benefit and 10% general benefit. MBIA MuniFinancial Page 8 Consolidated P2 )esert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Zone #5 (Cook and Country Club): Zone #5 currently consists of three (3) residential subdivisions identified as sub-zones. These three sub-zones are known and identified the Desert Mirage (Tract 25639), Sandcastles (Tract 21338-1), and Primrose 2 (Tract 25436). Each of these sub-zones have specific local improvements maintained by the District that were installed as part of the residential tract development and are outlined in Table II below. TABLE II Desert Mirage Sandcastles Primrose 2 Tract street lighting Tract street lighting Tract street lighting Parkway Landscaping Parkway Landscaping Detention Basin Landscaping Entrance Landscaping These three subdivisions were originally part of a larger Zone known as Cook and Country Club that were assessed for median landscaping in the area. These three sub- zones were previously assessed for both their local (tract specific) improvements and their proportionate share of the median landscaping. In Fiscal Year 1997/1998 it was determined that the median landscaping in the Cook and Country Club area was largely a general benefit and this assessment was eliminated. However, it was further determined that the parcels within these three (3) sub-zones receive special benefit from tract specific improvements maintained by the District, and each parcel within the respective sub-zones should continue to be assessed proportionately for the cost of services associated with those local improvements. Upon review of the specific street lighting improvements associated with each of these sub-zones, all street lighting facilities have been identified as interior tract street lights. These street lights provide little or no direct illumination to parcels outside the Zone and therefore the cost of maintaining these improvements are allocated as 100% special benefit with no general benefit component. Similar to other Zones within the District the ongoing operation and maintenance of the parkway and interior landscape improvements associated with the Desert Mirage and Primrose 2 subdivisions provide no measurable general benefit to other properties outside the Zones or to the public at large. Therefore, the local landscaping improvements and the corresponding assessments have been identified entirely as a special benefit to parcels within these sub-zones. MBIA MuniFinancial Page 9 Consolidated Pali !sett Landscaping and Lighting Lintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Although all local landscape improvements within the Desert Mirage and Primrose 2 subdivisions have been identified as a special benefit to properties within these Zones, a portion of the landscape maintenance costs for Desert Mirage is specifically for landscape maintenance of the tract's detention basin. Pursuant to the State Constitution Article XIIID Section 5a the existing assessment associated with this detention basin could be identified as an exempt assessment. However, since the detention basin and the landscaping associated with it were installed and constructed specifically and only for this residential development, these improvements are clearly a special benefit to parcels within this sub-zone and the related assessment complies with the substantive requirements of the State Constitution. Zone #6 (Hovley Lane): Parcels within this Zone are located generally East of Monterey Avenue and West of Portola Avenue and includes parcels and tracts along Hovley Lane West. Zone 6 currently includes the following subdivisions and sub-zones: • Monterey Meadows (Tracts 21791 and 22741) • The Glen (Tract 25217) • Hovley Estates (Tract 24591) • Sonata 1 (Tract 23982) • Sonata II (Tracts 24254-1, 2, 3) • Hovley Collection (Tract 24603) • La Paloma 1 (Tract 24773-1) • La Paloma 2 (Tract 24773-0) The parcels within each of the eight (8) sub-zones of Zone 6 (Hovley Lane) receive benefit from various improvements that were installed as part of the separate residential tract developments and are specific to each tract and subdivision. The assessment for each sub-zone funds and provides for the various parkway landscaping improvements adjacent to each tract along Hovley Lane as well as specific in-tract improvements. The in-tract improvements may include street lighting; dry well and retention basin landscape maintenance; and landscaping of additional parkway areas. The overall improvements within Zone 6 include street lighting on Clover Lane, Meadow Lane, Hovley Lane West, Centennial Circle, Posada Court, Via Fonda, Sonata Court, and Avenida Arcadia; and landscaped parkways along Hovley Lane West, Monterey Avenue, Portola Avenue and the new street within the La Paloma 2 subdivision. MBIA MuniFinancial Page 10 Consolidated Pal !sell Landscaping and Lighting iviaintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Upon review of the specific street lighting improvements associated with each of these sub-zones, all street lighting facilities have been identified as tract specific street lights. To the extent that some street lights associated with the individual sub-zones are located on the perimeter of the development and provide direct illumination to parcels outside the subdivision, a portion of the maintenance costs could be identified as a general benefit component. However, all street lights within each of the sub-zones within Zone 6 (except for The Glen which has no street lights) have been identified as interior street lighting and provide little or no direct illumination to parcels outside the individual sub-zones or the Zone as a whole. Therefore, the cost of maintaining the street light improvements is allocated as 100% special benefit to properties within each sub-zone. Similarly, the parkway and interior landscape improvements associated with each sub- zone were installed as part of the individual residential developments and the ongoing operation and maintenance of these improvements provide no measurable general benefit to properties outside the Zone or to the public at large. Therefore, the specific local landscaping improvements and the corresponding assessments have been identified entirely as a special benefit to parcels within the separate sub-zones. Although all local landscape improvements within each of the subdivisions (sub-zones) have been identified as a special benefit, a portion of the landscape maintenance costs for the Hovley Estates, Hovley Collection, La Paloma 1 and La Paloma 2 sub-zones are specifically for landscape maintenance of the retention or detention basins within those subdivisions. Pursuant to the State Constitution Article XIIID Section 5a the existing assessment associated with these improvements could be identified as an exempt assessment. However, since the retention and detention basins and the landscaping associated with them were installed and constructed specifically and only for these residential developments, the improvements are clearly a special benefit to parcels within the respective sub-zones and the related assessments complies with the substantive requirements of the State Constitution. The La Paloma 2 (Tract 24773-0) sub-zone within Zone 6 was established and annexed to the District on April 9, 1999 pursuant to the Act and a property owner ballot proceeding. Zone #7 (Waring Court): Zone #7 consists of Tract 25304, North of Fred Waring Drive and East of Phyllis Jackson Lane. These parcels receive special benefit from the improvements and maintenance of landscaped parkways along Fred Waring Drive and Phyllis Jackson Lane adjacent to the tract. The improvements were installed as part of the residential tract development MBIA MuniFinancial Page 11 Consolidated Pal esert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 and it has been determined that the ongoing operation and maintenance of the landscape improvements provide no measurable general benefit to other properties outside the Zone or to the public at large. Therefore, all local landscaping improvements associated with this Zone and the corresponding assessments have been identified as 100% special benefit to parcels within Zone #7. Zone #8 (Palm Gate): Zone #8 consists of all parcels in Tract 24287 located East of Deep Canyon Road, and North of Fred Waring Drive, on Coral Bells Circle, Daylily Circle, and Moss Rose Drive. These parcels receive benefit from the improvements and maintenance of local street lighting at the entrances to the development at the corners of Deep Canyon Road and Coral Bells Circle, Daylily Circle, and Moss Rose Drive. These parcels also receive special benefit from the improvements and maintenance of the landscaped parkways adjacent to the tract on Deep Canyon Road. Both the street lighting and landscape improvements identified for this Zone were installed as part of the residential tract development and the ongoing maintenance and operation of these improvements clearly provide special benefits to properties within the Zone. It has further been determined that these improvements were installed and are maintained solely for the benefit of properties within the Zone and the improvements provide no measurable benefit to properties outside the Zone. Any benefit conveyed to other properties or to the public at large (general benefit) is incidental. Therefore, both the interior tract street lighting and the parkway (perimeter) landscaping costs have been identified and apportioned 100% as a special benefit to all parcels within the Zone. Zone #9 (The Grove): Zone #9 consists of all parcels in Tract 24984 South of Goleta Avenue and West of Deep Canyon Road. These parcels receive special benefits from the improvements and maintenance of street lighting at the entrance to the development at the corner of Deep Canyon Road and Royal Canyon Lane as well as interior street lighting on Kings Canyon Lane, Indian Canyon Lane, Hazel Canyon Lane, and Royal Canyon Lane. These parcels also receive special benefits from the improvements and maintenance of parkway landscaping adjacent to the tract on Deep Canyon Road, and interior landscaping, including an entryway median, parkway landscaping and palm tree trimming within the public right-of-ways on Royal Canyon Lane that were installed as part of the residential tract development. MBIA MuniFinancial Page 12 Consolidated Pali :sert Landscaping and Lighting Lintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Both the street lighting and landscape improvements identified for this Zone were installed as part of the residential tract development and the ongoing maintenance and operation of these improvements clearly provide special benefits to properties within the Zone. It has further been determined that these improvements were installed and are maintained solely for the benefit of properties within the Zone and the improvements provide no measurable benefit to properties outside the Zone. Any benefit conveyed to other properties or to the public at large (general benefit) is incidental. Therefore, both the tract street lighting and the landscaping costs (parkways and interior landscaping) have been identified and apportioned 100% as a special benefit to all parcels within the Zone. As part of the overall landscaping costs for this Zone, specialized maintenance (palm tree trimming) is budgeted separately as this service is not covered under the regular maintenance contract the City has with their landscape contractor. However, like all other landscape maintenance within the Zone this service benefits only the properties within the Zone and has been identified 100% special benefit. Zone #11 (Portola Place): Zone #11 is generally located South of Santa Rosa Way and East of Portola Avenue and consists of all parcels in Tract 27692. These parcels receive special benefits from the improvements and maintenance of the landscaped parkways adjacent to the tract on Portola Avenue and Santa Rosa Way, and interior tract landscaping on Olive Court installed as part of the residential tract development. The developer (D & F Development) was conditioned to form the necessary District Zone for the public improvements that would be installed as part of their subdivision tract 27692. In a letter to the City dated April 4, 1994, the developer (sole owner of the property) requested inclusion of the parcels within the tract into the District and to be assessed annually for the cost of maintaining the improvements. This letter constitutes a 100% landowner petition pursuant to the State Constitution (Article XIIID Section 5b), and supports a position that the existing assessment revenue is exempt. Although the existing assessments for these improvements were identified as exempt in Fiscal Year 1997/1998 and not subject to the procedural requirements of a protest balloting procedure, all the improvements and the related assessments for this Zone were identified as 100% special benefit. It has been determined that the ongoing operation and maintenance of the improvements provide no measurable general benefit to other properties outside the Zone or to the public at large. Therefore, these improvements, the existing assessments and the existing annual inflationary adjustment MBIA MuniFinancial Page 13 Consolidated Pali !serf Landscaping and Lighting maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 to the assessments are in compliance with the substantive requirements of the proposition. However, any future increases to the existing assessment will require compliance with the procedural requirements of the proposition. Zone #13 (Palm Desert Country Club): Zone #13 is located generally South of Hovley Lane East, North of Fred Waring Drive, West of Warner Trail, and West of Washington and is commonly referred to as the Palm Desert Country Club area. The parcels within this Zone receive special benefits from the improvements and maintenance of entryway landscaping on State Street and Washington Avenue and local residential street lighting within the Zone. The City plans to install additional parkway landscaping along Fred Waring Drive for the length of the development, and along Hovley Lane East from Oasis Country Club to Washington in Fiscal Year 1999/2000 for the benefit of properties within the Zone. However, prior to installing these new improvements, a property owner ballot proceeding will be conducted within the Zone for property owners to approve an increased assessment. Parcels within Zone 13 were annexed into the City in Fiscal Year 1994/1995. Prior to City annexation the local improvements within this Zone were assessed and collected by the County through a County Service Area (CSA). When the properties were annexed to the City, the fund balance (reserves) of the CSA were transferred to the City. In Fiscal Years 1994/1995 and 1995/1996, the City used the fund balance to fully cover the annual cost of providing the improvements. In Fiscal Year 1996/1997 the remaining fund balance was designated as reserves and the District levied its first annual assessment within the Zone. At that time the City Council determined that the remaining reserves would be used over the next several years as an annual contribution to maintain a consistent level of assessment. In Fiscal Year 1997/1998, in compliance with the State Constitution Article XIIID, a property owner ballot proceeding was conducted for the annual assessment. At that time, the property owners approved an assessment amount plus an annual inflation adjustment. The assessment amount approved by the property owners was established based on continued reserve fund contributions to offset the actual expenses for the Zone. In Fiscal Year 1999/2000 the property owners within Zone 13 will be re-balloted for an increased assessment primarily as a result of the new landscaping improvements to be installed. Although the current reserves will continue to be used over the next several years to reduce the annual assessments, property owners will be balloted for an amount sufficient to cover the actual Zone expenses. Refer to the budget for Zone 13 in Section IV of this Report for specifics regarding the proposed assessment for the current fiscal year and the maximum assessment balloted. MBIA MuniFinancial Page 14 Consolidated Pali !sert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 All street lighting and landscape improvements assessed within this Zone clearly provide special benefits to properties within the Zone. It has been determined that all the improvements were installed and are maintained solely for the benefit of properties within the Zone and the improvements provide no measurable benefit to properties outside the Zone. Any benefit conveyed to other properties or to the public at large (general benefit) is incidental. Therefore, both the tract street lighting and the landscaping costs (parkways and interior landscaping) have been identified and apportioned 100% as a special benefit to all parcels within the Zone. Zone #14 (K & B at Palm Desert): Zone #14 is located generally North of Frank Sinatra Drive, West of Portola Avenue, East of Monterey Avenue and South of Gerald Ford Drive. The Zone includes all parcels in Tracts 28258 and 28258-1. All properties within the boundaries of Zone 14 benefit from street lighting within the development located on Drexell Drive, Heatherwood Drive, Emerson Drive and Jamerson Road, and Colebridge Street, as well as landscaping installed by the developer as part of the residential tract development in the retention basin area located on Heatherwood Drive and dry well areas within the subdivisions. As a condition of development for tracts 28258 and 28258-1, the developer (Kaufman and Broad Development) was required to form the necessary District Zone for the public improvements that would be installed as part of these subdivisions. In a Petition of Consent and Waiver dated April 4, 1996, the developer (sole owner of the property) petitioned to have the parcels within the tract annexed into the District and to be assessed annually for the cost of maintaining the improvements. This petition constitutes a 100% landowner approval pursuant to the State Constitution (Article XIIID Section 5b), and supports a position that the existing assessment revenue is exempt. In addition to the exemption described above, a large portion of the Zone # 14 costs and existing assessment is for landscape maintenance of the tract's retention basin. Pursuant to the State Constitution Article XIIID Section 5a (assessments used exclusively to fund flood control and drainage systems), further supports a position that most of the existing assessment is exempt. Although the existing assessments for these improvements were identified as exempt in Fiscal Year 1997/1998 and not subject to a protest balloting procedure, all the improvements and the related assessments for this Zone were identified as 100% special benefit. It has been determined that the ongoing operation and maintenance of the improvements provide no measurable general benefit to other properties outside the Zone or to the public at large. Therefore, these improvements, the existing assessments MBIA MuniFinancial Page 15 Consolidated Pal !sell Landscaping and Lighting maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 and the existing annual inflationary adjustment to the assessments are in compliance with the substantive requirements of the proposition. However, any future increases to the existing assessment will require compliance with the procedural requirements of the proposition. Zone #15 (Canyon Crest): Zone #15 consists of Tract 25102-01 and 25102-0 generally located east of Deep Canyon Road, south of the Whitewater River Channel, north of Moss Rose Drive, and west of the Palm Desert High School. This Zone was established and annexed to the District on March 11, 1999 pursuant to the Act and a property owner ballot proceeding. These parcels receive special benefit from the improvements and maintenance of landscaped parkways along the east side of Deep Canyon Road from Magnesia Falls (Whitewater River Channel), south to the end of the development (approximately 100 feet north of Buttonwood Drive); perimeter landscaping along the Whitewater River Channel (the northern boundary of the development and District) from Deep Canyon Road eastward to the western boundary of the development (approximately 675 linear feet of the total 1275 feet is landscaped). All improvements for this Zone were installed as part of the residential tract developments. It has been determined that the ongoing operation and maintenance of the landscape improvements provide no measurable general benefit to other properties outside the Zone or to the public at large. Therefore, all local landscaping improvements associated with this Zone and the corresponding assessments have been identified as 100% special benefit to parcels within Zone #15. MBIA MuniFinancial Page 16 Consolidated Pali !sell Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 III. METHOD OF APPORTIONMENT A. General The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements which include the construction, maintenance and servicing of public lights, landscaping and appurtenant facilities. The 1972 Act further requires that the cost of these improvements be levied according to benefit rather than assessed value: "The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements." The formula used for calculating assessments in each Zone of the District therefore reflects the composition of the parcels, and the improvements and services provided, to fairly apportion the costs based on estimated benefit to each parcel. In addition, pursuant to Article XIIID Section 4 of the State Constitution (with some exceptions) a parcel's assessment may not exceed the reasonable cost of the proportional special benefit conferred on that parcel and provides that only special benefits are assessable and the District must separate the general benefits from the special benefits. Therefore, in compliance with the new assessment requirements only assessments that are identified as either "Exempt Assessments" or "Special Benefit Assessments" are assessed. All improvements considered a "General Benefit" have been eliminated from the District assessments. B. Benefit Analysis Each of the proposed improvements; the associated costs and assessments have been carefully reviewed by the City and have been identified and allocated based on benefit pursuant to the provisions of the State Constitution. Each improvement and the associated costs were identified as either "general benefits" (no longer assessed) or "special benefits". The improvements and the associated special benefit assessments have been further identified as Exempt assessments (Article XIIID Section 5), or assessments requiring property owner _balloting. Those improvements and the related assessments identified, as Exempt are not subject to the procedural requirements of the State Constitution (property owner ballot proceedings). Although some existing assessments are considered Exempt, each improvement assessed within the District is identified as a special benefit to the MBIA MuniFinancial Page 17 Consolidated Pair sert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 parcels assessed and all related assessments are in compliance with the substantive requirements of Article XIIID Section 4 of the State Constitution. A property owner balloting has been conducted for each Zone for all special benefit assessments subject to property owner approval. The assessments shown in this Report reflects the assessment amounts approved by the property owners subject to those assessments. Exempt Assessments Article XIIID Section 5 of the State Constitution provides for certain existing assessments to be exempt from the substantive and procedural requirements of Article XIIID Section 4. Specifically: • Assessments used exclusively to fund sidewalks, streets, sewers, water, flood control, drainage systems, or vector control are exempt from the conformity requirement until they are increased; and, • Assessments approved by all the property owners at the time the assessment was created (originally imposed pursuant to a 100% landowner petition). Within the District, several of the Zones provide for the landscape maintenance of drainage basins and retention basins. As noted previously, the costs and assessments associated with these improvements have been identified as a special benefit to parcels within the respective Zones and therefore in compliance with the substantive requirements of the State Constitution, but were exempt from the procedural requirements at their existing assessment amount. The existing assessments for Zones 11 and 14 were identified as exempt because they had been previously approved by the property owner(s). However, similar to the exempt assessments in other Zones the existing assessments and improvements for these two Zones were identified as special benefits to the parcels being assessed. Special Benefits The method of apportionment (method of assessment) is based on the premise that each of the assessed parcels within the District and Zones receives benefit from the improvements maintained and financed by District assessments. Specifically, the assessments associated with each Zone or sub-zone are for the maintenance of local street lighting and landscaped improvements installed as part of the original development of the parcels within the Zones. The desirability and security of properties within each Zone is enhanced by the presence of street lighting and well- maintained landscaping in close proximity to those properties. The landscape improvements provided by the District may include landscaped medians, parkways, entryways, slopes and appurtenant facilities. Street lighting improvements may include all energy costs and necessary maintenance to the MBIA MuniFinancial Page 18 Consolidated Pali :sert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 facilities related thereto. The annual assessments outlined in this Report are proposed to cover the estimated costs to provide all necessary service, operation, administration, and maintenance required each year to keep these improvements in a healthy, vigorous, and satisfactory condition. The special benefits associated with the local landscaping improvements are specifically: • Enhanced desirability of properties through association with the improvements. • Improved aesthetic appeal of properties within the Zones providing a positive representation of the area. • Enhanced adaptation of the urban environment within the natural environment from adequate green space and landscaping. • Environmental enhancement through improved erosion resistance, and dust and debris control. • Increased sense of pride in ownership of property within the District resulting from well-maintained improvements associated with the properties. • Reduced criminal activity and property-related crimes (especially vandalism) against properties in the District through well-maintained surroundings and amenities including abatement of graffiti. • Enhanced environmental quality of the parcels within the Zones by moderating temperatures, providing oxygenation and attenuating noise. The special benefits of street lighting 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 on roads and highways. • Improved ability of pedestrians and motorists to see. • Improved ingress and egress to property. • Reduced vandalism and other criminal acts and damage to improvements or property. • Improved traffic circulation and reduced nighttime accidents and personal property loss. • Increased promotion of business during nighttime hours in the case of commercial properties. MBIA MuniFinancial Page 19 Consolidated Pal esert Landscaping and Lighting maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 All of the preceding special benefits contribute to a specific enhancement and desirability of each of the assessed parcels within the District/Zone, and thereby provide a special enhancement of property values. General Benefits • Prior to the passage of Proposition 218 the District assessments included maintenance of landscaped medians on various arterial streets within the City. However, since most of the arterial medians within the City are maintained from the City's General Fund it was determined that the existing assessments for these improvements were largely a general benefit. Therefore in Fiscal Year 1997/1998, all District assessments related to arterial medians were eliminated. Furthermore, all improvement within each of the District Zones have been carefully reviewed. Any improvement and the associated costs that are considered a general benefit to properties outside the respective Zones or to the public at large have been identified and eliminated from the annual assessments. In making this determination it should be noted that all parkway, perimeter landscaping and interior landscaping within the City is either funded and maintained by individual property owners or through some type of association, except those maintained and funded through a special District. The City does not usually maintain these types of improvements from General Fund Revenues and like other similar improvements within the City, the ongoing maintenance of these improvements are a special benefit to the properties associated with the improvements. C. Assessment Methodology Pursuant to the Act, the costs of the District may be apportioned by any formula or method that fairly distributes the net amount to be assessed, among all assessable parcels in proportion to the estimated benefits to be received by each such parcel from the improvements. The apportionment of costs used for each Zone should reflect the composition of the parcels, and the improvements and services provided based on each parcel's estimated special benefit. Equivalent Dwelling Units: To assess benefits equitably, it is necessary to relate the different type of parcel improvements to each other. The Equivalent Dwelling Unit method of assessment apportionment uses the single family home as the basic unit of assessment. A single family home equals one Equivalent Dwelling Unit (EDU). Every other land use is converted to EDU's based -on an assessment formula that equates the property's specific development status, type of development (land use), and size of the property, as compared to a single family home (SFR) and is considered appropriate for the District. MBIA MumFinancial Page 20 Consolidated Pal !sell Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 The EDU method of apportioning benefit is typically seen as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act, as the benefit to each parcel from the improvements are apportioned as a function of land use type, size and development. The following table provides the weighting factors applied to the various land use types to determine each parcel's EDU. Table III below reflects the various property types and applicable EDUs applied in each Zone of the District. TABLE III LAND USE /EQUIVALENT DWELLING UNITS Land EDU Use Type Multiplier to Property Type Code Factor Calculate EDU Commercial COM 6.00 Acreage Residential and Commercial Vacant VAC 0.30 Acreage Single Family Residential SFR 1.00 Units Condominiums CON 0.80 Units Single Family Vacant Lot _ SFV 1.00 Lot Exempt NON 0.00 Exempt parcels include easements and landscaped areas or common areas. The benefit formula applied to parcels in each Zone is based on the preceding Equivalent Dwelling Unit (EDU) table. Each parcel's EDU correlates the parcel's special benefit received as compared to all other parcels in the Zone. Parcel Type EDU x Acres or Units = Parcel EDU Total Balance to Levy/Total EDU in Zone = Levy per EDU Levy per EDUx per Parcel EDU= Parcel Levy Amount All assessed parcels within Zones 2, 3, 4, 5, 6, 7, 8, 11, 14 and 15 are entirely single-family residential parcels and the application of the EDU method of spread results in an equal assessment or per parcel assessment. MBIA MuniFinancial Page 21 Consolidated Pa esert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 D. Assessment Range Formula Any new or increase in assessments, require certain noticing and meeting requirements by law. The Brown Act defines the terms "new or increased assessment" to exclude certain conditions. These certain conditions included "any assessment that does not exceed an assessment formula or range of assessments previously adopted by the agency or approved by the voters in the area where the assessment is imposed." This definition was latter confirmed by Senate Bill 919 (the Proposition 218 implementing legislation). An assessment range formula for all District assessments has been confirmed through property owner ballot proceedings in compliance with the State Constitution Article XIIID, and shall be applied to all future assessments within the District. The following describes this assessment range formula: Wherein, if the proposed assessment (levy per unit or rate) for the current fiscal year is less than or equal to, the prior year's assessment plus the adjustments described in the following, then the new assessment is not considered an increased assessment, pursuant to the Brown Act. The purpose of establishing an assessment range formula, is to provide for reasonable increases and inflationary adjustment to the assessment amounts without requiring costly noticing and mailing procedures, which would be added to the District costs and assessments. If the proposed assessment increases by a percentage no greater than three percent (3.0%), or the percentage increase of the Consumer Price Index (CPI), whichever is the lesser of the two, the assessment shall not be considered as an increase. The Consumer Price Index (CPI) used shall be as determined by the Bureau of Labor Statistics for a similar period of time. Each year the City shall compute the percentage difference between the CPI on January 1, of each year and the CPI for the previous January 1 as determined by the Bureau of Labor Statistics for all urban consumers for the Los Angeles, Anaheim, Riverside Area. This percentage difference shall then establish the range of increased assessments allowed based on CPI. Should the Bureau of Labor Statistics revise such index or discontinue the preparation of such index, the City shall use the revised index or comparable system as approved by the City Council for determining fluctuations in the cost of living. - If CPI is less than three percent (3.0%), then the allowable adjustment to the proposed assessment for each Zone may be by CPI, or a lessor percentage. If CPI is greater than three percent (3.0%), than the allowable adjustment to the MBIA MuniFinancial Page 22 Consolidated Pal esert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 IV. DISTRICT BUDGETS A. Description of Budget Items The following describes the services and costs that are funded through the District, shown in the District Budgets Section III B. DIRECT COSTS: Maintenance Costs — Includes all contracted labor, material and equipment required to properly maintain the landscaping, irrigation systems, drainage systems, fencing, and entry monuments within the Zone. All improvements within the Zone are maintained and serviced on a regular basis. The frequency and specific maintenance operations required within the Zone are determined by City staff, but are generally scheduled weekly. Landscape Water — Utility costs for water required to irrigate landscaped areas. Landscape Electric — Utility costs for electricity required to run irrigation systems and ornamental lighting for landscaped areas. Street Lighting— Utility costs for electricity required to operate street lights, as well as the maintenance of the street lights. Special District Services These are services provided to a specific Zone that are outside the normal maintenance services provided by the District. These costs and services may include, but are not limited to the following: • Specialized maintenance and equipment necessary for landscaped areas and appurtenant facilities associated with dry wells, retention basins and detention basins within the Zone. • The additional cost of all contracted labor, material and equipment required to trim trees in the public right of way and landscaped areas. Maintenance Repairs — This item includes repairs that are generally unforeseen and not normally included in the yearly maintenance contract costs. This may include repair of damaged amenities due to vandalism, storms, frost, etc. Also included may be planned upgrades that provide a direct benefit to the Zone. These upgrades could include replacing plant materials and/or renovation of irrigation or lighting systems. MBIA MuniFinancial Page 24 Consolidated Pals sert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 proposed assessment for each Zone may be three percent (3%), or a lessor percentage. The fact that an assessment range formula is adopted for District assessments, does not require that the adjustment be applied each year, nor does it restrict the assessments to the adjustment amount. If the budget and assessments for a given Zone does not require an increase or the increase is less than the allowable adjustment than the required budget and assessment shall be applied. If the budget and assessments for a given Zone requires an increase greater than the allowable adjustment than the proposed assessment is considered an increased assessment and mailed notices to the property owners would be required pursuant to the Brown Act, as well as property owner protest ballots as required by the State Constitution. For Fiscal Year 1999/2000, CPI has been calculated to be 2.2%, and therefore the assessment range formula would allow a 2.2% adjustment to the assessments without mailing notices and ballots to the property owners. However, since the assessment range formula is being proposed for the first time in Fiscal Year 1999/2000 the application of the formula will not be applied until the 1999/2000 Fiscal Year. MBIA MuniFinancial Page 23 Consolidated Pal !sert Landscaping and Lighting lv.taintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 ADMINISTRATION COSTS: District Administration — The cost to all particular departments and staff of the City, for providing the coordination of District services and operations, response to public concerns and education, as well as procedures associated with the levy and collection of assessments. This item also includes the costs of contracting with professionals to provide any additional administrative, legal or engineering services specific to the District including any required notices, mailings or property owner protest ballot proceedings. County Administration Fee — This is the actual cost to the Zone 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 each Zone for the County to collect assessments on the property tax bills. This charge is on a per assessment basis and is currently estimated at $0.16 per assessment. This cost is in addition to the County Administration Fee. Note:- The administrative costs of the District are borne by each Zone in proportion to the aggregate costs of the entire District. Costs related to direct administration are identified as exempt, general and special benefits in the same proportion as the benefit finding for the Direct Service costs. All costs related to the levy of assessments such as county fees and contract administration are applied to each Zone regardless of any benefit findings(no general benefi). LEVY BREAKDOWN: Beginning Balance— The Beginning Balance for the Zone represents the actual expenditures for the improvements in the prior fiscal year versus the amount budgeted and collected for the year. • When the actual cost and expenditures for the Zone were greater than the amount budgeted and collected the Zone has a Beginning Balance Deficit. A deficit may be the result of unforeseen and extraordinary costs incurred, or assessments actually collected were less than required. When a deficit occurs, the deficit amount may be added to the amount to be collected through the levy for the current fiscal year. • When the actual cost and expenditures for the Zone were less than the amount budgeted and collected the Zone has a Beginning Balance MBIA MuniFinancial Page 25 Consolidated Pal :sert Landscaping and Lighting iviaintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Surplus. When a surplus occurs, the amount may be used to reduce assessments or added to the Zone Reserves. Reserve Account— The Reserve Account item is provided for collection by the District of funds to operate the Zone 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. Negative amounts shown for this budget item are transfers from the reserve fund that are used to reduce the Balance to Levy. The Reserve Fund eliminates the need for the City to transfer funds from non-District accounts. Other Revenue Source/General Fund Contribution — This item includes additional funds designated for the Zone that are not from District assessments. These funds are added to the Zone account to reduce assessments, and may be from either non-District or District sources including City General Fund Contributions and interest earnings. Contribution Replenishment — The Contribution Replenishment represents repayments of amounts that had been temporarily advanced to the Zone from other revenue sources. The repayment is typically for the cost of capital improvement projects that the City advanced to the Zone and is collected through district assessments over several years. Balance to Levy— This is the total amount to be collected for the current fiscal year through assessments (for special benefits) or from other revenue source (for general benefits). The Balance to Levy represents the sum of Total Direct and Administration Costs, the Reserve Account/Other Revenue Source, the Beginning Balance, and the Contribution Replenishment. Only those costs related to the improvements identified as special benefits are levied and collected on the tax roll. DISTRICT STATISTICS: Total Parcels —The total number of parcels within the Zone boundary. Total Parcels Levied — The total number of parcels within the Zone that are assessed. Non-assessable lots or parcels may include parcels of land principally encumbered by public right-of-ways, easements, common areas, and/or parcels within the boundaries of the Zone that currently do not benefit from the improvements due possibly to development restrictions. MBIA MuniFinancial Page 26 Consolidated Pal !serf Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 Total Equivalent Dwelling Unit (EDU) — Equivalent Dwelling Unit (EDU) is a numeric value calculated for each parcel based on the parcel's land use and size. The EDU shown in the Zone budget, (Section III B), represents the sum total of all parcel EDU's that receive special benefits from the improvements. Levy per EDU—This amount represents the rate being applied to each parcel's individual EDU. The Levy per Equivalent Dwelling Unit, is the result of dividing the total Balance to Levy, by the sum of the Zone EDU's, for the fiscal year. MBIA MuniFinancial Page 27 Consolidate .m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 B. District Budgets TABLE IV ZONE 2 CANYON COVE Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $19,400 $1,478 $17,922 Landscape Water 30,000 2,286 27,714 Landscape Electric 500 38 462 Street Lighting 220 0 220 Special District Services 0 0 0 Maintenance Repairs 3,000 229 2,771 Direct Costs(Subtotal) 53,120 4,031 49,089 ADMINISTRATION COSTS District Administration 7,472 495 6,977 County Administration Fee 82 0 82 County Per Parcel Fee 36 0 36 Administration Costs(Subtotal) 7,590 495 7,095 LEVY BREAKDOWN Total Direct and Admin. Costs 60,710 4,526 56,184 Beginning Balance Surplus 0 0 0 Beginning Balance Deficit 556 0 556 Total Budget to Levy 61,266 4,526 56,740 Reserve Account 0 0 0 Other Revenues/General Fund Contribution (44,394) (4,526) (39,868) Contribution Replenishment 0 0 0 Balance to Levy 16,872 (0) 16,872 DISTRICT STATISTICS Total Parcels 229 Total Parcels Levied 222 Total Equivalent Dwelling Units 222.00 Levy per EDU $76.00 RESERVE INFORMATION Previous Reserve Balance 0 Reserve Collection/ (Transfers) 0 District Reserve Balance 0 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $74.36 Current Maximum Assessment Rate $76.00 CPI Applied: 2.20% MBIA MuniFinancial Page 28 Consolidated n Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 3 VINEYARDS Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,250 $0 $1,250 Landscape Water 1,000 0 1,000 Landscape Electric 200 0 200 Street Lighting 1,000 0 1,000 Special District Services 0 0 0 Maintenance Repairs 600 0 600 Direct Costs(Subtotal) 4,050 0 4,050 ADMINISTRATION COSTS District Administration 874 0 874 County Administration Fee 82 0 82 County Per Parcel Fee 22 0 22 Administration Costs(Subtotal) 978 0 978 LEVY BREAKDOWN Total Direct and Admin. Costs 5,028 0 5,028 Beginning Balance Surplus 330 0 330 Beginning Balance Deficit 0 0 0 Total Budget to Levy 4,698 0 4,698 Reserve Account (252) 0 (252) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 4,446 0 4,446 DISTRICT STATISTICS Total Parcels 152 Total Parcels Levied 132 Total Equivalent Dwelling Units 132.00 Levy per EDU $33.68 RESERVE INFORMATION Previous Reserve Balance 2,842 Reserve Collection/ (Transfers) (252) District Reserve Balance 2,590 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $32.95 Current Maximum Assessment Rate $33.68 CPI Applied: 2.20% MBIA MuniFinancial Page 29 Consolidate( m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 4 PARKVIEW ESTATES Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $0 $0 $0 Landscape Water 0 0 0 Landscape Electric 0 0 0 Street Lighting 2,550 255 2,295 Special District Services 0 0 0 Maintenance Repairs 0 0 0 Direct Costs(Subtotal) 2,550 255 2,295 ADMINISTRATION COSTS District Administration 906 0 906 County Administration Fee 82 0 82 County Per Parcel Fee 28 0 28 Administration Costs(Subtotal) 1,016 0 1,016 LEVY BREAKDOWN Total Direct and Admin. Costs 3,566 255 3,311 Beginning Balance Surplus 0 0 0 Beginning Balance Deficit 0 0 0 Total Budget to Levy 3,566 255 3,311 Reserve Account (298) (255) (43) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 3,268 0 3,268 DISTRICT STATISTICS Total Parcels 175 Total Parcels Levied 172 Total Equivalent Dwelling Units 172.00 Levy per EDU $19.00 RESERVE INFORMATION Previous Reserve Balance 1,456 Reserve Collection/ (Transfers) (298) District Reserve Balance 1,158 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $18.60 Current Maximum Assessment Rate $19.01 CPI Applied: 2.20% MBIA MuniFinancial Page 30 Consolidate m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 5 DESERT MIRAGE Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,600 $0 $1,600 Landscape Water 3,200 0 3,200 Landscape Electric 300 0 300 Street Lighting 450 0 450 Special District Services 0 0 0 Maintenance Repairs 700 0 700 Direct Costs(Subtotal) 6,250 0 6,250 ADMINISTRATION COSTS District Administration 1,426 0 1,426 County Administration Fee 0 0 0 County Per Parcel Fee 4 0 4 Administration Costs(Subtotal) 1,430 0 1,430 LEVY BREAKDOWN Total Direct and Admin. Costs 7,680 0 7,680 Beginning Balance Surplus 200 0 200 Beginning Balance Deficit 0 0 0 Total Budget to Levy 7,480 0 7,480 Reserve Account 0 0 0 Other Revenues/General Fund Contribution (5,624) 0 (5,624) Contribution Replenishment 0 0 0 Balance to Levy 1,856 0 1,856 DISTRICT STATISTICS Total Parcels 29 Total Parcels Levied 29 Total Equivalent Dwelling Units 29.00 Levy per EDU $64.00 RESERVE INFORMATION Previous Reserve Balance 0 Reserve Collection/ (Transfers) 0 District Reserve Balance 0 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $62.62 Current Maximum Assessment Rate $64.00 CPI Applied: 2.20% MBIA MuniFinancial Page 31 Consolidate( m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 5 SANDCASTLES Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $0 $0 $0 Landscape Water 0 0 0 Landscape Electric 0 0 0 Street Lighting 1,200 0 1,200 Special District Services 0 0 0 Maintenance Repairs 0 0 0 Direct Costs(Subtotal) 1,200 0 1,200 ADMINISTRATION COSTS District Administration 382 0 382 County Administration Fee 0 0 0 County Per Parcel Fee 6 0 6 Administration Costs(Subtotal) 388 0 388 LEVY BREAKDOWN Total Direct and Admin. Costs 1,588 0 1,588 Beginning Balance Surplus 150 0 150 Beginning Balance Deficit 0 0 0 Total Budget to Levy 1,438 0 1,438 Reserve Account (36) 0 (36) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 1,402 0 1,402 DISTRICT STATISTICS Total Parcels 41 Total Parcels Levied 41 Total Equivalent Dwelling Units 41.00 Levy per EDU $34.20 RESERVE INFORMATION Previous Reserve Balance 679 Reserve Collection/ (Transfers) (36) District Reserve Balance 643 ASSESSMENT INFORMATION Maximum Assessment Rate (Prior Fiscal Year) $33.48 Current Maximum Assessment Rate $34.21 CPI Applied: 2.20% MBIA MuniFinancial Page 32 Consolidatf lm Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 5 PRIMROSE 2 Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,050 $0 $1,050 Landscape Water 500 0 500 Landscape Electric 350 0 350 Street Lighting 150 0 150 Special District Services 0 0 0 Maintenance Repairs 1,000 0 1,000 Direct Costs(Subtotal) 3,050 0 3,050 ADMINISTRATION COSTS District Administration 694 0 694 County Administration Fee 82 0 82 County Per Parcel Fee 6 0 6 Administration Costs(Subtotal) 782 0 782 LEVY BREAKDOWN Total Direct and Admin. Costs 3,832 0 3,832 Beginning Balance Surplus 1,080 0 1,080 Beginning Balance Deficit 0 0 0 Total Budget to Levy 2,752 0 2,752 Reserve Account 0 0 0 Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 2,752 0 2,752 DISTRICT STATISTICS Total Parcels 39 Total Parcels Levied 37 Total Equivalent Dwelling Units 37.00 Levy per EDU $74.38 RESERVE INFORMATION Previous Reserve Balance 3,509 Reserve Collection/ (Transfers) 0 District Reserve Balance 3,509 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $96.06 Current Maximum Assessment Rate $98.17 CPI Applied: 2.20% MBIA MuniFinancial Page 33 Consolidate lm Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE MONTEREY MEADOWS Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,260 $0 $1,260 Landscape Water 500 0 500 Landscape Electric 200 0 200 Street Lighting 350 0 350 Special District Services 0 0 0 Maintenance Repairs 500 0 500 Direct Costs(Subtotal) 2,810 0 2,810 ADMINISTRATION COSTS District Administration 770 0 770 County Administration Fee 22 0 22 County Per Parcel Fee 6 0 6 Administration Costs(Subtotal) 798 0 798 LEVY BREAKDOWN Total Direct and Admin. Costs 3,608 0 3,608 Beginning Balance Surplus 370 0 370 Beginning Balance Deficit 0 0 0 Total Budget to Levy 3,238 0 3,238 Reserve Account (198) 0 (198) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 3,040 0 3,040 DISTRICT STATISTICS Total Parcels 40 Total Parcels Levied 40 Total Equivalent Dwelling Units 40.00 Levy per EDU $76.00 RESERVE INFORMATION Previous Reserve Balance 1,773 Reserve Collection/ (Transfers) (198) District Reserve Balance 1,575 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $74.36 Current Maximum Assessment Rate $76.00 CPI Applied: 2.20% MBIA MuniFinancial Page 34 Consolidates n Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE THE GLEN Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,260 $0 $1,260 Landscape Water 900 0 900 Landscape Electric 170 0 170 Street Lighting 0 0 0 Special District Services 0 0 0 Maintenance Repairs 500 0 500 Direct Costs(Subtotal) 2,830 0 2,830 ADMINISTRATION COSTS District Administration 620 0 620 County Administration Fee 22 0 22 County Per Parcel Fee 2 0 2 Administration Costs(Subtotal) 644 0 644 LEVY BREAKDOWN Total Direct and Admin. Costs 3,474 0 3,474 Beginning Balance Surplus 0 0 0 Beginning Balance Deficit 208 0 208 Total Budget to Levy 3,682 0 3,682 Reserve Account (1,654) 0 (1,654) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 2,028 0 2,028 DISTRICT STATISTICS Total Parcels 16 Total Parcels Levied 16 Total Equivalent Dwelling Units 16.00 Levy per EDU $126.76 RESERVE INFORMATION Previous Reserve Balance 1,663 Reserve Collection/ (Transfers) (1,654) District Reserve Balance 9 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $124.03 Current Maximum Assessment Rate $126.76 CPI Applied: 2.20% MBIA MuniFinancial Page 35 Consolidate( n Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE HOVLEY ESTATES Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,260 $0 $1,260 Landscape Water 1,400 0 1,400 Landscape Electric 400 0 400 Street Lighting 150 0 150 Special District Services 500 0 500 Maintenance Repairs 900 0 900 Direct Costs(Subtotal) 4,610 0 4,610 ADMINISTRATION COSTS District Administration 930 0 930 County Administration Fee 22 0 22 County Per Parcel Fee 2 0 2 Administration Costs(Subtotal) 954 0 954 LEVY BREAKDOWN Total Direct and Admin. Costs 5,564 0 5,564 Beginning Balance Surplus 1,250 0 1,250 Beginning Balance Deficit 0 0 0 Total Budget to Levy 4,314 0 4,314 Reserve Account (629) 0 (629) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 3,685 0 3,685 DISTRICT STATISTICS Total Parcels 17 Total Parcels Levied 16 Total Equivalent Dwelling Units 16.00 Levy per EDU $230.32 RESERVE INFORMATION Previous Reserve Balance 2,888 Reserve Collection/ (Transfers) (629) District Reserve Balance 2,259 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $225.37 Current Maximum Assessment Rate $230.33 CPI Applied: 2.20% MBIA MuniFinancial Page 36 Consolidate m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE SONATA 1 Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,260 $0 $1,260 Landscape Water 600 0 600 Landscape Electric 200 0 200 Street Lighting 100 0 100 Special District Services 0 0 0 Maintenance Repairs 500 0 500 Direct Costs(Subtotal) 2,660 0 2,660 ADMINISTRATION COSTS District Administration 698 0 698 County Administration Fee 22 0 22 County Per Parcel Fee 2 0 2 Administration Costs(Subtotal) 722 0 722 LEVY BREAKDOWN Total Direct and Admin. Costs 3,382 0 3,382 Beginning Balance Surplus 0 0 0 Beginning Balance Deficit 160 0 160 Total Budget to Levy 3,542 0 3,542 Reserve Account (1,573) 0 (1,573) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 1,969 0 1,969 DISTRICT STATISTICS Total Parcels 16 Total Parcels Levied 16 Total Equivalent Dwelling Units 16.00 Levy per EDU $123.06 RESERVE INFORMATION Previous Reserve Balance 1,651 Reserve Collection/ (Transfers) (1,573) District Reserve Balance 78 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $120.43 Current Maximum Assessment Rate $123.08 CPI Applied: 2.20% MBIA MuniFinancial Page 37 Consolidate Im Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE SONATA 2 Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,236 SO $1,236 Landscape Water 3,000 0 3,000 Landscape Electric 200 0 200 Street Lighting 280 0 280 Special District Services 0 0 0 Maintenance Repairs 900 0 900 Direct Costs(Subtotal) 5,616 0 5,616 ADMINISTRATION COSTS District Administration 1,298 0 1,298 County Administration Fee 22 0 22 County Per Parcel Fee 16 0 16 Administration Costs(Subtotal) 1,336 0 1,336 LEVY BREAKDOWN Total Direct and Admin. Costs 6,952 0 6,952 Beginning Balance Surplus 145 0 145 Beginning Balance Deficit 0 0 0 Total Budget to Levy 6,807 0 6,807 Reserve Account (2,928) 0 (2,928) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 3,879 0 3,879 DISTRICT STATISTICS Total Parcels 94 Total Parcels Levied 94 Total Equivalent Dwelling Units 94.00 Levy per EDU $41.26 RESERVE INFORMATION Previous Reserve Balance 3,315 Reserve Collection/ (Transfers) (2,928) District Reserve Balance 387 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $40.38 Current Maximum Assessment Rate $41.27 CPI Applied: 2.20% MBIA MuniFinancial Page 38 Consolidated n Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE HOVLEY COLLECTION Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,260 $0 $1,260 Landscape Water 2,200 0 2,200 Landscape Electric 500 0 500 Street Lighting 200 0 200 Special District Services 500 0 500 Maintenance Repairs 900 0 900 Direct Costs(Subtotal) 5,560 0 5,560 ADMINISTRATION COSTS District Administration 1,246 0 1,246 County Administration Fee 22 0 22 County Per Parcel Fee 6 0 6 Administration Costs(Subtotal) 1,274 0 1,274 LEVY BREAKDOWN Total Direct and Admin. Costs 6,834 0 6,834 Beginning Balance Surplus 1,080 0 1,080 Beginning Balance Deficit 0 0 0 Total Budget to Levy 5,754 0 5,754 Reserve Account (1,550) 0 (1,550) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 4,204 0 4,204 DISTRICT STATISTICS Total Parcels 38 Total Parcels Levied 38 Total Equivalent Dwelling Units 38.00 Levy per EDU $110.64 RESERVE INFORMATION Previous Reserve Balance 3,444 Reserve Collection/ (Transfers) (1,550) District Reserve Balance 1,894 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $108.26 Current Maximum Assessment Rate $110.65 CPI Applied: 2.20% MBIA MuniFinancial Page 39 Consolidate Im Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE LA PALOMA 1 Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,260 $0 $1,260 Landscape Water 1,500 0 1,500 Landscape Electric 500 0 500 Street Lighting 100 0 100 Special District Services 500 0 500 Maintenance Repairs 900 0 900 Direct Costs(Subtotal) 4,760 0 4,760 ADMINISTRATION COSTS District Administration 750 0 750 County Administration Fee 82 0 82 County Per Parcel Fee 2 0 2 Administration Costs(Subtotal) 834 0 834 LEVY BREAKDOWN Total Direct and Admin. Costs 5,594 0 5,594 Beginning Balance Surplus 1,100 0 1,100 Beginning Balance Deficit 0 0 0 Total Budget to Levy 4,494 0 4,494 Reserve Account (1,650) 0 (1,650) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 2,844 0 2,844 DISTRICT STATISTICS Total Parcels 17 Total Parcels Levied 16 Total Equivalent Dwelling Units 16.00 Levy per EDU $177.76 RESERVE INFORMATION Previous Reserve Balance 2,411 Reserve Collection/ (Transfers) (1,650) District Reserve Balance 761 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $173.94 Current Maximum Assessment Rate $177.77 CPI Applied: 2.20% MBIA MuniFinancial Page 40 Consolidate m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 6 HOVLEY LANE LA PALOMA 2 Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $1,260 $0 $1,260 Landscape Water 700 0 700 Landscape Electric 150 0 150 Street Lighting 120 0 120 Special District Services 0 0 0 Maintenance Repairs 900 0 900 Direct Costs(Subtotal) 3,130 0 3,130 ADMINISTRATION COSTS District Administration 644 0 644 County Administration Fee 82 0 82 County Per Parcel Fee 2 0 2 Administration Costs(Subtotal) 728 0 728 LEVY BREAKDOWN Total Direct and Admin. Costs 3,858 0 3,858 Beginning Balance Surplus 2,800 0 2,800 Beginning Balance Deficit 0 0 0 Total Budget to Levy 1,058 0 1,058 Reserve Account 4,178 0 4,178 Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 5,236 0 5,236 DISTRICT STATISTICS Total Parcels 19 Total Parcels Levied 16 Total Equivalent Dwelling Units 16.00 Levy per EDU $327.26 RESERVE INFORMATION Previous Reserve Balance 0 Reserve Collection/(Transfers) 4,178 District Reserve Balance 4,178 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $327.26 Current Maximum Assessment Rate $334.46 CPI Applied: 2.20% MBIA MuniFinancial Page 41 Consolidate( m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report, Fiscal Year 1999/2000 TABLE IV ZONE 7 WARING COURT Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $2,800 $0 $2,800 Landscape Water 1,200 0 1,200 Landscape Electric 200 0 200 Street Lighting 0 0 0 Special District Services 0 0 0 Maintenance Repairs 900 0 900 Direct Costs(Subtotal) 5,100 0 5,100 ADMINISTRATION COSTS District Administration 702 0 702 County Administration Fee 82 0 82 County Per Parcel Fee 2 0 2 Administration Costs(Subtotal) 786 0 786 LEVY BREAKDOWN Total Direct and Admin. Costs 5,886 0 5,886 Beginning Balance Surplus 855 0 855 Beginning Balance Deficit 0 0 0 Total Budget to Levy 5,031 0 5,031 Reserve Account 0 0 0 Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 5,031 0 5,031 DISTRICT STATISTICS Total Parcels 16 Total Parcels Levied 16 Total Equivalent Dwelling Units 16.00 Levy per EDU $314.44 RESERVE INFORMATION Previous Reserve Balance 2,983 Reserve Collection/ (Transfers) 0 District Reserve Balance 2,983 ASSESSMENT INFORMATION Maximum Assessment Rate (Prior Fiscal Year) $366.10 Current Maximum Assessment Rate $374.16 CPI Applied: 2.20% MBIA MuniFinancial Page 42 Consolidates m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 8 PALM GATE Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $2,750 $0 $2,750 Landscape Water 400 0 400 Landscape Electric 0 0 0 Street Lighting 250 0 250 Special District Services 0 0 0 Maintenance Repairs 1,000 0 1,000 Direct Costs(Subtotal) 4,400 0 4,400 ADMINISTRATION COSTS District Administration 1,034 0 1,034 County Administration Fee 82 0 82 County Per Parcel Fee 6 0 6 Administration Costs(Subtotal) 1,122 0 1,122 LEVY BREAKDOWN Total Direct and Admin. Costs 5,522 0 5,522 Beginning Balance Surplus 700 0 700 Beginning Balance Deficit 0 0 0 Total Budget to Levy 4,822 0 4,822 Reserve Account (2,476) 0 (2,476) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 2,346 0 2,346 DISTRICT STATISTICS Total Parcels 37 Total Parcels Levied 37 Total Equivalent Dwelling Units 37.00 Levy per EDU $63.40 RESERVE INFORMATION Previous Reserve Balance 2,721 Reserve Collection/ (Transfers) (2,476) District Reserve Balance 245 ASSESSMENT INFORMATION Maximum Assessment Rate (Prior Fiscal Year) $62.06 Current Maximum Assessment Rate $63.42 CPI Applied: 2.20% MBIA MuniFinancial Page 43 Consolidate Lm Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 9 THE GROVE Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $7,600 $0 $7,600 Landscape Water 2,400 0 2,400 Landscape Electric 500 0 500 Street Lighting 1,800 0 1,800 Special District Services 1,500 0 1,500 Maintenance Repairs 2,000 0 2,000 Direct Costs(Subtotal) 15,800 0 15,800 ADMINISTRATION COSTS District Administration 1,910 0 1,910 County Administration Fee 82 0 82 County Per Parcel Fee 14 0 14 Administration Costs(Subtotal) 2,006 0 2,006 LEVY BREAKDOWN Total Direct and Admin. Costs 17,806 0 17,806 Beginning Balance Surplus 1,600 0 1,600 Beginning Balance Deficit 0 0 0 Total Budget to Levy 16,206 0 16,206 Reserve Account (776) 0 (776) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 15,430 0 15,430 DISTRICT STATISTICS Total Parcels 106 Total Parcels Levied 105 Total Equivalent Dwelling Units 105.00 Levy per EDU $146.96 RESERVE INFORMATION Previous Reserve Balance 7,499 Reserve Collection/ (Transfers) (776) District Reserve Balance 6,723 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $143.79 Current Maximum Assessment Rate $146.95 CPI Applied: 2.20% MBIA MuniFinancial Page 44 Consolidatec m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 11 PORTOLA PLACE Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $3,000 $0 $3,000 Landscape Water 700 0 700 Landscape Electric 300 0 300 Street Lighting 0 0 0 Special District Services 0 0 0 Maintenance Repairs 500 0 500 Direct Costs(Subtotal) 4,500 0 4,500 ADMINISTRATION COSTS District Administration 678 0 678 County Administration Fee 82 0 82 County Per Parcel Fee 4 0 4 Administration Costs(Subtotal) 764 0 764 LEVY BREAKDOWN Total Direct and Admin. Costs 5,264 0 5,264 Beginning Balance Surplus 570 0 570 Beginning Balance Deficit 0 0 0 Total Budget to Levy 4,694 0 4,694 Reserve Account (717) 0 (717) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 3,977 0 3,977 DISTRICT STATISTICS Total Parcels 23 Total Parcels Levied 23 Total Equivalent Dwelling Units 23.00 Levy per EDU $172.92 RESERVE INFORMATION Previous Reserve Balance 2,570 Reserve Collection/ (Transfers) (717) District Reserve Balance 1,853 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $169.21 Current Maximum Assessment Rate $172.93 CPI Applied: 2.20% MBIA MuniFinancial Page 45 Consolidate Im Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 13 PALM DESERT COUNTRY CLUB Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $21,500 $0 $21,500 Landscape Water 2,500 0 2,500 Landscape Electric 1,200 0 1,200 Street Lighting 22,000 0 22,000 Special District Services 0 0 0 Maintenance Repairs 3,000 0 3,000 Direct Costs(Subtotal) 50,200 0 50,200 ADMINISTRATION COSTS District Administration 5,828 0 5,828 County Administration Fee 82 0 82 County Per Parcel Fee 350 0 350 Administration Costs(Subtotal) 6,260 0 6,260 LEVY BREAKDOWN Total Direct and Admin. Costs 56,460 0 56,460 Beginning Balance Surplus 0 0 0 Beginning Balance Deficit 0 0 0 Total Budget to Levy 56,460 0 56,460 Reserve Account (14,600) 0 (14,600) Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 41,860 0 41,860 DISTRICT STATISTICS Total Parcels 1,770 Total Parcels Levied 1,744 Total Equivalent Dwelling Units 2,260.28 Levy per EDU $18.52 RESERVE INFORMATION Previous Reserve Balance 98,978 Reserve Collection/ (Transfers) (14,600) District Reserve Balance 84,378 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $10.53 Current Maximum Assessment Rate $10.76 CPI Applied: 2.20% Assessment Rate Balloted(Fiscal Year 1999/00) $24.98 Property owners will be balloted at$24.98 per EDU (Based on Actual Costs), but the proposed levy for Fiscal Year 1999/2000 is $18.52 (After using a portion of the existing reserves). MBIA MuniFinancial Page 46 Consolidate Im Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 14 K & B AT PALM DESERT Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $7,520 $0 $7,520 Landscape Water 2,940 0 2,940 Landscape Electric 200 0 200 Street Lighting 200 0 200 Special District Services 500 0 500 Maintenance Repairs 1,000 0 1,000 Direct Costs(Subtotal) 12,360 0 12,360 ADMINISTRATION COSTS District Administration 2,062 0 2,062 County Administration Fee 82 0 82 County Per Parcel Fee 26 0 26 Administration Costs(Subtotal) 2,170 0 2,170 LEVY BREAKDOWN Total Direct and Admin. Costs 14,530 0 14,530 Beginning Balance Surplus 900 0 900 Beginning Balance Deficit 0 0 0 Total Budget to Levy 13,630 0 13,630 Reserve Account (5,059) 0 (5,059) Other Revenues/General Fund Contribution (14) 0 (14) Contribution Replenishment 0 0 0 Balance to Levy 8,557 0 8,557 DISTRICT STATISTICS Total Parcels 165 Total Parcels Levied 163 Total Equivalent Dwelling Units 163.00 Levy per EDU $52.50 RESERVE INFORMATION Previous Reserve Balance 5,059 Reserve Collection/ (Transfers) (5,059) District Reserve Balance 0 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $51.37 Current Maximum Assessment Rate $52.50 CPI Applied: 2.20% MBIA MuniFinancial Page 47 Consolidate m Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV ZONE 15 CANYON CREST Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $3,000 $0 $3,000 Landscape Water 1,000 0 1,000 Landscape Electric 400 0 400 Street Lighting 0 0 0 Special District Services 0 0 0 Maintenance Repairs 1,500 0 1,500 Direct Costs(Subtotal) 5,900 0 5,900 ADMINISTRATION COSTS District Administration 1,527 0 1,527 County Administration Fee 82 0 82 County Per Parcel Fee 14 0 14 Administration Costs(Subtotal) 1,623 0 1,623 LEVY BREAKDOWN Total Direct and Admin. Costs 7,523 0 7,523 Beginning Balance Surplus 0 0 0 Beginning Balance Deficit 0 0 0 Total Budget to Levy 7,523 0 7,523 Reserve Account 1,522 0 1,522 Other Revenues/General Fund Contribution 0 0 0 Contribution Replenishment 0 0 0 Balance to Levy 9,045 0 9,045 DISTRICT STATISTICS Total Parcels 71 Total Parcels Levied 67 Total Equivalent Dwelling Units 67.00 Levy per EDU $135.00 RESERVE INFORMATION Previous Reserve Balance 0 Reserve Collection/ (Transfers) 1,522 District Reserve Balance 1,522 ASSESSMENT INFORMATION Maximum Assessment Rate(Prior Fiscal Year) $0.00 Current Maximum Assessment Rate $135.00 CPI Applied: 0.00% MBIA MuniFinancial Page 48 Consolidate lm Desert Landscaping and Lighting Maintenance Assessment District Engineer's Report,Fiscal Year 1999/2000 TABLE IV TOTAL DISTRICT Total General Special Budget Benefit Benefit DIRECT COSTS Maintenance Costs $81,526 $1,478 $80,048 Landscape Water 56,640 2,286 54,354 Landscape Electric 6,470 38 6,432 Street Lighting 31,120 255 30,865 Special District Services 3,500 0 3,500 Maintenance Repairs 21,200 229 20,971 Direct Costs(Subtotal) 200,456 4,286 196,170 ADMINISTRATION COSTS District Administration 32,451 495 31,956 County Administration Fee 1,198 0 1,198 County Per Parcel Fee 556 0 556 Administration Costs(Subtotal) 34,205 495 33,710 LEVY BREAKDOWN Total Direct and Admin. Costs 234,661 4,781 229,880 Beginning Balance Surplus 13,130 0 13,130 Beginning Balance Deficit 924 0 924 Total Budget to Levy 222,455 4,781 217,674 Reserve Account (28,696) (255) (28,441) Other Revenues/General Fund Contribution (50,032) (4,526) (45,506) Contribution Replenishment 0 0 0 Balance to Levy 392,442 4,781 387,661 DISTRICT STATISTICS Total Parcels 3,110 Total Parcels Levied 3,040 Total Equivalent Dwelling Units 3,556.28 Levy per EDU N/A RESERVE INFORMATION Previous Reserve Balance 145,441 Reserve Collection/ (Transfers) (28,696) District Reserve Balance 116,745 MBIA MuniFinancial Page 49 APPENDIX A - DISTRICT BOUNDARY MAPS The Boundary Maps for the District have previously been submitted to the Clerk of the City in the format required under the Act and are, by reference, made part of this Report. The Boundary Maps are available for inspection at the Office of the City Clerk, during normal business hours after approval of the final Report. MBIA MuniFinancial Page 50 APPENDIX B - 1999/2000 COLLECTION ROLL Parcel identification, for each lot or parcel within the District, shall be the parcel as shown on the Riverside County Assessor's map for the year in which this Report is prepared. Non-assessable lots or parcels may include parcels of land principally encumbered by public right-of-ways, easements, common areas, open space areas and/or parcels within the boundaries of the District that currently do not benefit from the improvements due possibly to development restrictions. Properties outside the District boundary receive no direct or special benefit from the improvements provided by the District and are not assessed. A listing of parcels assessed within this District, along with the assessment amounts, will be submitted to the City Clerk upon final approval of the Report and confirmation of the proposed levy amounts, and by reference, is made part of this Report. MBIA MuniFinancial Page 51