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HomeMy WebLinkAboutFormation of the Canyon Crest Landscape and Lighting AD 02-25-1999 PUBLIC MEMO • ?a35°` WORKS TO: Honorable Mayor and City Council FROM: Richard J. Folkers,ACM/Director of Public Works SUBJECT: PUBLIC MEETING ON THE FORMATION OF THE CANYON CREST LANDSCAPE & LIGHTING ASSESSMENT DISTRICT DATE: February 25, 1999 RECOMMENDATION: Conduct a public meeting to receive comments regarding the formation of the assessment district prior to the public hearing scheduled March 11, 1999. No Council action is required at this meeting. BACKGROUND: The developer of the Canyon Crest subdivision was required to form the necessary landscape and lighting assessment district. At the meeting of January 14, 1999, the City Council adopted resolutions to initiate proceedings for the district formation; preliminary approval of the engineer's report; and declaring the intention to form the district and levy assessments. To meet all legal provisions,property owners have been mailed ballots and afforded an opportunity to address the City Council on this matter, at a scheduled public meeting,prior to them casting their ballots on formation. Public works staff recommends the City Council conduct the public meeting and hear comments regarding the proposed district. -4 6 1-4 0,1-&1-2 Var. RIC ARD J. F KERS, P.E. RE IEWED AND CON UR CITY MANAGER CITY COUNCIL ACTION: RJF/TGB/et APPROVED DENIED S, pmcyncrs 7#CF WED , OTFIER� Lie; H E rp.X,- O YW1-/ 1? 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City of Palm Lcsert Canyon Crest Landscaping and Lighting District Formation FY1999-00 Project Timeline Target Date Project Tasks 12/22/98 City provides Muni with Final Budget Numbers or Confirms previous Budget 12/28/98 Muni Completes Modifications to Engineer's Report(Incorporating City's Comments) 12/29/98 Muni delivers:Preliminary Engineer's Report;Resolutions for the Intent Meeting;and drafts of the Notice and Ballot to City Staff 117/99 City provides Muni with any revisions the City wants to make to the Notices and Ballots to be mailed to property owners 1/14/99 Intent Meeting-Council adopts three(3)Resolutions:Initiating Proceedings;Preliminary Approval of the Engineer's Report (Reviews and preliminarily approves the report and the proposed assessments);Resolution of Intent (Setting the Public Hearing dates and to conduct property owner balloting for proposed assessments subject to Prop 218 proceedings 1/14/99 City Staff signs off on Notice,Ballot and Mailing costs 1/11/99 Muni implements all changes to the Notice and Ballots(requested by the City) and begins printing of the Notices and Ballots 1/25/99 Muni Mails Notice with ballot(45 Days Prior to Public Hearing) 2/25/99 Public Meeting-Council allows the property owners to hear and be heard.No Council action is taken at this time. 3/4/99 Muni delivers:Final Engineer's Report(with modified assessment diagrams if necessary);and Resolutions to be adopted at the Public Hearing 3/11/99 Public Hearing-Ballots are tabulated and the Council adopts Final Resolutions: 1.)A Resolution Declaring the Results of the Protest Balloting Proceedings;2.)A Resolution Approving the Engineer's Report (As Submitted or Amended); 3.)A Resolution Ordering the Formation of the District and the Establishment of tbe Maximum Assessment; 4.)A Resolution Ordering the Levy and Collection of Assessments (This fourth Resolution may be adopted at this time or at a later Public Hearing if the Budget for Fiscal Year 1999-2000 is expected to change) 6/10/99 City Publishes and Posts the Notice of Public Hearing 6/24/99 Optional Public Hearing-If the Resolution Ordering the Levy and Collection of Assessments was postponed,the Council would hold an additional Public Hearing at which they would adopt two Resolutions: 1.)A Resolution Approving an Amended Engineer's Report; 2.)A Resolution Ordering the Levy and Collection of Assessments for Fiscal Year 1999-2000 7/20/99 City Clerk provides Muni with a"wet copy" of the adopted Resolution Ordering the Levy and Collection of Assessments—to be file with the County when the assessment roll is submitted 7/27/99 Muni updates levy database with most recent secured roll information and modifications to the assessments approved at the Public Hearing 8/10/99 Muni Submits Levy to County 8/24/99 Muni Researches and Updates Levy Exceptions 8/31/99 Muni Submits Exceptions to County 9/28/99 Muni reviews and confirms all applied levy data 10/12/99 Muni provides the City with an Applied Levy Summary The City Council meets each Month on the Second and Fourth Thursday TIMELINE-2 CANYON CREST.XLS CITY OF PALM DESERT ENGINEER'S REPORT CANYON CREST LANDSCAPING AND LIGHTING DISTRICT FISCAL YEAR 1999/2000 CITY OF PALM DESERT ENGINEER'S REPORT Formation Of The Canyon Crest Landscaping And Lighting District And The Concurrent Annexation Of Territory To The Consolidated Landscaping and Lighting District And The Levy Of Assessments Fiscal Year 1999/2000 .t.g. x .,,m f • J Intent Meeting: January 14, 1999 Public Meeting: February 25, 1999 Public Hearing: March 11, 1999 dI'IBL/l 1MUNIF1NANCIAL Corporate Office San Francisco 28765 Single Oak Drive Sacramento Suite 200 Washington,D.C. Temecula, CA 92590 Armonk, NY Tel: (909) 699-3990 Chicago Tel: (800) 755-6465 W. Palm Beach Fax: (909) 699-3460 www.muni.com Seattle TABLE OF CONTENTS I. OVERVIEW 1 A. INTRODUCTION 1 B. GENERAL DESCRIPTION OF THE DISTRICT 2 II. PLANS AND SPECIFICATIONS 3 A. DESCRIPTION OF THE DISTRICT 3 B. DISTRICT IMPROVEMENTS AND SERVICES 3 IMPROVEMENTS AND SERVICES PROVIDED 3 LOCATION AND EXTENT OF IMPROVEMENTS 5 III. METHOD OF APPORTIONMENT 6 A. IMPROVEMENT BENEFIT FINDINGS 6 GENERAL BENEFITS 6 SPECIAL BENEFITS 7 B. DESCRIPTION OF THE METHOD OF APPORTIONMENT 7 C. ASSESSMENT RANGE FORMULA 9 IV. DISTRICT BUDGET 12 A. DESCRIPTION OF BUDGET ITEMS 12 DIRECT COSTS 12 ADMINISTRATION COSTS 13 LEVY BREAKDOWN 13 DISTRICT STATISTICS 15 GENERAL INFORMATION 15 B. DISTRICT BUDGET 16 APPENDIX A - DISTRICT ASSESSMENT DIAGRAM 17 APPENDIX B - 1999/2000 PROPOSED ASSESSMENT ROLL 21 Engineer's Report • Canyon CreOnndscaping and Lighting District I. OVERVIEW A. Introduction The Cityof Palm Desertthe Canyon Crest ("City") proposes to form P P Landscaping and Lighting District ("District") for Fiscal Year 1999/2000. The City Council on behalf of the City proposes to levy and collect special assessments on the County tax rolls to provide funding for the costs and expenses required for maintenance of the landscaping improvements within the District. Upon successful formation of the District and approval of the assessments, the territory within the District will be concurrently annexed into the existing Palm Desert Consolidated Landscaping and Lighting District ("Consolidated District") as Zone 15 (Canyon Crest). The District will be formed, annexed into the Consolidated District, and levied pursuant to the Landscape and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (the Act), and in compliance with the substantive and procedural requirements of the California Constitution Article XIIID. This Engineer's Report ("Report") describes the District and assessments to be levied against properties within the District commencing with Fiscal Year 1999/2000. The assessments described herein are based on the estimated cost to maintain the improvements that will provide a direct and special benefit to properties within the District. All improvements to be maintained and funded through annual assessments were constructed and installed in connection with the development of these properties. The annual costs and assessments described herein include all estimated direct expenditures, incidental expenses, deficits, surpluses, revenues, and reserves associated with the maintenance and servicing of the improvements. The word "parcel," for the purposes of this Report, refers to an individual property assigned its own Assessment Number by the County of Riverside Assessor's Office. The County of Riverside Auditor/Controller uses Assessment Numbers and specific Fund Numbers to identify properties assessed on the tax roll 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 to determine whether majority protest exists, and by resolution confirm the results of the protest ballot tabulation. Proceedings for the formation of the assessment district shall be abandoned if majority protest exists. If tabulation of the property owner protest ballots indicates approval of the assessments and the MBIA MuniFinancial Page 1 Engineer's Report Canyon Cr( Lndscaping and Lighting District assessment range formula presented, by resolution the City Council will approve the Engineer's Report as submitted or amended (amendments may not increase the assessments approved by the property owners). Following approval of the Report, the City Council will by resolution, order the formation of the District, the annexation of the territory into the Consolidated District, and confirm the levy and collection of assessments pursuant to the Act. In such case, the assessments as approved may be submitted to the Riverside County Auditor/Controller to be included on the property tax roll for each parcel for Fiscal Year 1999/2000, or reviewed and confirmed at the annual public hearing for the Consolidated District along with all other assessments within the Consolidated District. B. General Description of the District The District consists of all lots and parcels located within the development known as the Canyon Crest project. The District (Canyon Crest project) is 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. The improvements and services that provide a special benefit to properties within the District generally include, but are not limited to: • Parkway landscaping adjacent to the development; • Perimeter landscaping along the of the development; • Any slopes, parkways, entryways, open space areas, retention basins or other landscaped areas associated with the development that will be maintained by the District. The estimated annual cost to provide and maintain the improvements within the District have been allocated to each property in proportion to special benefits received. The Method of Apportionment described in this Report utilizes commonly accepted assessment engineering practices and has been established pursuant to the 1972 Act and the provisions of Proposition 218 (Articles XIIIC and XIIID of the California Constitution), approved by the voters in November 1996. MBIA MuniFinancial Page 2 Engineer's Report Canyon Cr andscaping and Lighting District II. PLANS AND SPECIFICATIONS A. Description of the District The District consists of all lots and parcels located within the development known as th e Canyon Cre st est project. The project/District is 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. Refer to the Assessment Diagram for details of the District boundary. The proposed District currently includes twenty-two assessable parcels: twenty- one (21) subdivided single-family residential lots and 12.93 acres (Designated Remainder Parcel). This designated remainder parcel will eventually be subdivided into additional single-family residential lots (the number of future single-family residential has not been finalized). The District also includes four exempt non-residential parcels identified as landscape right-of ways/easements or parcels with no development potential. The assessable parcels within the District receive special benefit from the installation and maintenance of perimeter landscaping adjacent to the development installed as part of the development and subdivision of the original undeveloped properties. The landscaping improvements are installed by the developer as part of the development plan and the District is being formed to ensure and preserve the on going maintenance and operation of these improvements. The specific location, description and benefits of the improvements are discussed in the following sections. B. District Improvements and Services IMPROVEMENTS AND SERVICES PROVIDED As generally defined by the 1972 Act and applicable to this District, improvements and the associated assessments may include one or any combination of the following: 1) The installation or planting of landscaping; 2) The installation or construction of statuary, fountains, and other ornamental structures and facilities; MBIA MuniFinancial Page 3 Engineer's Report Canyon Cres tdscaping and Lighting District 3) The installation or construction of any facilities which are appurtenant to any of the foregoing or which are necessaryor convenient for the g g maintenance or servicing thereof; 4) The maintenance or servicing, or both, of any of the foregoing including the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including, but not limited to: a) Repair, removal, or replacement of all or any part of any improvements; b) Grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities; e) Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; d) The removal of trimmings, rubbish, debris, and other solid waste; e) The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti. f) Electric current or energy, gas, or other agent for the lighting or operation of any other improvements. g) Water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvements. 5) Incidental expenses associated with the improvements including, but not limited to: - a) The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment; b) The costs of printing, advertising, and the publishing, posting and mailing of notices; c) Compensation payable to the County for collection of assessments; d) Compensation of any engineer or attorney employed to render services; e) Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements; and, f) Costs associated with any elections held for the approval of a new or increased assessment. MBIA MuniFinancial Page 4 Engineer's Report Canyon Cre: idscaping and Lighting District LOCATION AND EXTENT OF IMPROVEMENTS The purpose of the District is to ensure the on going maintenance, operation and servicing of local landscape improvements installed as a result of property development. These improvements may include but are not limited to all- landscaping p g material and facilities within the District. These improvements include: ground cover, shrubs, trees and plants; irrigation and drainage systems; ornamental lighting structures, masonry walls or other fencing, entryway monument, and associated appurtenant facilities located within the: • Parkway landscaping 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 eastern boundary of the first phase Tract 25102-01, (approximately 675 linear feet); • Slopes, parkways, open space areas, retention basins or other landscaped areas within the subdivision that may be installed as part of the development and that will be maintained by the District; • Future perimeter landscaping along the Whitewater River Channel (the northern boundary of the development and District) from the eastern boundary of Tract 25102-01 eastward to Palm Desert High School, the western boundary of the District (approximately 600 linear feet); and, • Future parkway landscaping along the north side of Moss Road Drive from Palm Desert High School westward to the end of the development, (approximately 685 linear feet). MBIA MuniFinancial Page 5 Engineer's Report Canyon Cre indscaping and Lighting District III. METHOD OF APPORTIONMENT Pursuant to the 1972 Act the costs (assessments) of the District are apportioned by a formula or method that fairly distributes the net amount to be assessed among all parcels in proportion to benefits received from the improvements. Furthermore, the provisions of Article XIIIC and XIIID of the California Constitution (Proposition 218) require the agency to separate the general benefit from special benefit, whereas only special benefits may be assessed. A. Improvement Benefit Findings The annual assessments outlined in the Budget section of this Report are proposed to cover the estimated costs to provide all necessary service, operation, administration, and maintenance required each year to keep the landscaping improvements within the District in a healthy, vigorous, and satisfactory condition. It has been determined that each assessable parcel within the District receives similar and proportional special benefits from the improvements. The fact that all improvements (both present and future) are parts of the overall property development plan within the District, and each parcel's close and relatively similar proximity to the improvements makes each parcel's special benefit from the improvements similar and proportionate. All the lots and parcels that receive special benefit from the improvements are included within the District. GENERAL BENEFITS The improvements associated with this District are a direct result of property development within the District and would otherwise not be required or necessary. Developers typically install local improvements to enhance the marketability and value of properties within the development and/or as conditions of development. In either case, the improvements are clearly installed for the benefit of the properties being developed and not for the benefit of surrounding properties. Although local development improvements (by virtue of their location), may be visible to surrounding properties, any benefit to surrounding properties is incidental and can not be considered a direct and special benefit. Furthermore, most developments within the City typically have various landscaping and lighting improvements specifically associated with their development and these improvements are funded by properties within those developments. Therefore, it has been determined that the District improvements and the on-going operation and maintenance of those improvements provide no identifiable or measurable general benefit to properties outside the District or to the public at large. MBIA MuniFinancial Page 6 Engineer's Report Canyon C, .andscaping and Lighting District SPECIAL BENEFITS All the improvements funded through the District provide a special aesthetic value to each property and enhance the quality of life for property owners within the District. All landscaping improvements associated with the District (both present and future) are parts of the overall development plan for properties within the District and specifically installed for the benefit and development of those properties. The special benefits associated with parkway, perimeter, entryway, and other property specific landscaped areas and associated amenities are specifically: 1. Enhanced desirability of properties through association with the . improvements. 2. Improved aesthetic appeal of properties within the District providing a positive representation of the development and properties within the development. 3. Enhanced adaptation of the urban environment within the natural environment from adequate green space and landscaping. 4. Environmental enhancement through improved erosion resistance, dust and debris control and reduced noise and air pollution. 5. Increased sense of pride in ownership of property within the District resulting from well-maintained improvements associated with the properties. 6. Reduced vandalism and criminal activity resulting from well-maintained surroundings and amenities. 7. The special enhancements to the value of property which results from the above benefits. B. Description of the Method of Apportionment The assessments outlined in this section represent the proportionate special benefit to each property within the District and the basis of calculating each parcel's proportionate share of the annual costs associated with the District improvements. The costs associated with the maintenance and operation of all District improvements shall be collected through annual assessments from each parcel receiving special benefit. The funds collected shall be dispersed and used for only the services and operation provided to the District. The basis of determining each parcel's special benefit utilizes a weighting formula commonly known as an Equivalent Dwelling Unit (EDU). The single- MBIA MuniFinancial Page 7 Engineer's Report Canyon Cr andscaping and Lighting District family residential lot (parcel) is used as the base unit for calculation of assessments and is defined as one (1.00) EDU. All other property types are typically assigned an EDU that reflects their proportional special benefit from the improvements as compared to the single-family residential lot (weighted comparison). Parcels that will not be developed such as sliver parcels, dedicated easements, open space areas, dedicated landscaped areas or common areas and properties not designated by a County Assessor's Parcel Number (APN) such as streets, utility easements or rights-of-way receive no special benefit and are considered Exempt. These Exempt properties are not assessed for District improvements. If any Exempt property within the District is designated by the County with a specific APN, that parcel shall be assigned 0.0 EDU. Properties that are identified as non-taxable by the County Assessor's Office such as government owned or utility owned P properties are not exempt from District assessments unless: the propertyhas limited or restricted developmentpotential; the P property clearly receives no benefit from the improvements; or the property provides additional or substantially similar improvements (such is the case with schools, parks and open space p p areas). All assessable parcels within this District have been identified as either single- family residential parcels (subdivided residential lots) or multi-family residential parcels (Designated Remainder—future subdivision). All residential properties benefit from the im provements and shall proportionately share in the annual cost of providing and maintaining the improvements. Therefore, the total cost of providing the improvements shall be spread to each residential parcel proportionately. Currently, the District consists of twenty-one subdivided single-family residential lots and one large parcel (future residential subdivision). It is anticipated that the future subdivision within the District (designated remainder) will create several new single-family residential lots, but this subdivision will also facilitate a proportional expansion of the District's initial improvements to be maintained. In order to establish a reasonable, fair and consistent method of apportioning benefit to each parcel within the District, both the initial and future improvements must be considered. Although the number of future lots to be developed has not been finalized, nor the extent and level of additional improvements, it is reasonable to anticipate that the additional improvements will be consistent and proportional to the initial improvements. Since future improvements will be commensurate with the development of the designated remainder lot, the additional costs of these improvements will be offset by MBIA MuniFinancial Page 8 Engineer's Report Canyon Ci .andscaping and Lighting District additional single-family residential parcels and not require an increase in assessments to existing single-family residential parcels. It has been determined that all residential parcels (both the single-family residential parcels and any designated remainder) receives equal special benefit from both the initial and future improvements. Therefore, the most equitable and reasonable apportionment of benefit is an equal (per parcel) distribution of costs, regardless of the parcel's acreage or development status. The annual assessment for all assessable parcels utilizes the following formula: Total Balance to Levy / Total Parcels = Parcel Levy Amount C. Assessment Range Formula Any new or increase in assessments require certain noticing and meeting requirements by law. Prior to the passage of Proposition 218, legislative changes in the Brown Act defined the definition of "new or increased assessment" to exclude certain conditions. These 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 and conditions were later confirmed through SB919 (Proposition 218 implementing legislation). The purpose of establishing an assessment range formula is to provide for reasonable increases and inflationary adjustment to annual assessments without requiring costly noticing and mailing procedures, which could add to the District costs and assessments. As part of the District formation, balloting of property owners is required, pursuant to Proposition 218. The property owner ballots included an Assessment to be approved, as well as the approval of an assessment range formula. The assessment range formula shall be applied to all future assessments within the District. Generally, if the proposed annual assessment (levy per unit or rate) for the current fiscal year is less than or equals to the "Maximum Assessment" (or "Adjusted Maximum Assessment"), then the proposed annual assessment is not considered an increased assessment. The Maximum Assessment is equal to the initial Assessment approved by property owners adjusted annually by the following criteria: 1. Beginning in the second fiscal year (Fiscal Year 2000/01) and each fiscal year thereafter, the Maximum Assessment will be recalculated annually. MBIA MuniFinancial Page 9 Engineer's Report Canyon Cr andscaping and Lighting District 2. The new adjusted Maximum Assessment for the year represents the prior year's Maximum Assessment adjusted by the greater of: (a) Three percent (3.0%); or, (b) The annual increase in the Consumer Price Index (CPI). Each year the City shall compute the annual increase in the CPI. The increase in CPI is the percentage difference between the CPI on January 1, of the current year and the CPI for the previous January 1 (or for a similar period of time) as provided and established by the Bureau of Labor Statistics. This percentage difference (annual difference) shall then establish the allowed increase based on CPI. The Consumer Price Index used shall be based on the CPI established by the Bureau of Labor Statistics for all urban consumers for the Los Angeles, Anaheim, and Riverside Area. 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 Maximum Assessment is three percent. If CPI is greater than three percent (3.0%), than the allowable adjustment to the Maximum Assessment is based on CPI. The. Maximum Assessment is adjusted annually and is calculated independent of the District's annual budget and proposed annual assessment. Any proposed annual assessment (rate per levy unit) less than or equal to this Maximum Assessment is not considered an increased assessment, even if the proposed assessment is greater than the assessment applied in the prior fiscal year. Table I illustrates how the assessment range formula shall be applied. For example, if the percentage change in CPI is greater than three percent (3.0%), as in Example 1, then the percentage adjustment to the Maximum Assessment will be by CPI. If the percentage change in CPI is less than three percent (3.0%), as in Example 2, then the percentage adjustment to the Maximum Assessment will be three percent (3.0%). Table I Examples of Percentage Increases CPI Calculated Maximum% Prior Years Allowed Allowed New Percentage Standard 3 Increase Without Maximum Rate Adjustment Maximum Rate Example Increase %Increase Re-Balloting Per EDU Per EDU Per EDU 1 5.25% 3.00% 5.25% 380.300 19.966 400.27 2 1.00% 3.00% 3.00% 380.300 11.410 391.71 MBIA MuniFinancial Page 10 Engineer's Report Canyon Cr ,andscaping and Lighting District As previously illustrated, the Maximum Assessment will be recalculated and adjusted annually. However, the City Council may reduce or freeze the Maximum Assessment at any time by amending the Engineer's Annual Report. Although the Maximum Assessment will normally increase each year, the actual District assessments may remain virtually unchanged. The Maximum Assessment adjustment is designed to establish a reasonable limit on District assessments. The Maximum Assessment calculated each year does not require or facilitate an increase to the annual assessment and neither does it restrict assessments to the adjustment maximum amount. If the budget and assessments for the fiscal year does not require an increase, or the increase is less than the adjusted Maximum Assessment, then the required budget and assessment may be applied without additional property owner balloting. If the budget and assessments calculated requires an increase greater than the adjusted Maximum Assessment then the assessment is considered an increased assessment. To impose an increased assessment the City Council must comply with the provisions of Proposition 218 (Article XIIID Section 4c of the California Constitution). Proposition 218 requires a public hearing and certain protest procedures including mailed notice of the public hearing and property owner protest balloting. Property owners through the balloting process must approve the proposed assessment increase. If the proposed assessment is approved, then a new Maximum Assessment is established for the District. If the proposed assessment is not approved, the City Council may not levy an assessment greater than the adjusted Maximum Assessment previously established for the District. MBIA MuniFinancial Page 11 Engineer's Report Canyon Cres idscaping and Lighting District IV. DISTRICT BUDGET A. Description of Budget Items The following describes the services and costs that are funded through the District, shown in the District Budgets Section IV 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 District. All improvements within the District are maintained and serviced on a regular basis. The frequency and specific maintenance operations required within the District are determined by City staff, but are generally scheduled weekly. Landscape Water Utility costs for water required for irrigation of the landscaped areas. Landscape Electric Utility costs for electricity required for irrigation systems and any ornamental lighting associated with the landscaped areas. Street Lighting Utility costs for electricity required for streetlights, as well as the maintenance of the streetlights. (This improvement is not applicable to this District, but applicable to other Zones within the Consolidated District). Special District Services These are specialized services provided in addition to the normal maintenance services. These costs and services may include, but are not limited to: Tree Trimming — This includes the additional cost of all contracted labor, material and equipment for trimming the trees in the public rights-of-way or landscaped areas. Graffiti Abatement — This includes the additional cost of all contracted labor, material and equipment required to repair, sandblast and paint surfaces in the public rights-of-way that are associated with the improvements. MBIA MuniFinancial Page 12 Engineer's Report • Canyon Cr andscaping and Lighting District Maintenance Repairs This item includes repairs that are not included in the yearly maintenance contract costs. These costs include normal repair or replacement of the amenities anticipated for the year, and funds collected for planned upgrades of the improvements. These costs could include replacing plant materials and/or renovation of irrigation or lighting systems. Miscellaneous Maintenance This is a contingency fund for additional costs that are unforeseen and not normally included in the regular yearly maintenance cost. This may include repairs or replacements of damaged amenities due to vandalism, storms, and frost. ADMINISTRATION COSTS District Administration The cost to all-particular departments and staff of the City for providing the coordination of District services, operations and maintenance of the District, and response to public concerns and education. This budget item also includes the costs of contracting with professionals to provide any additional administrative, legal or engineering services specific to the District, including the preparation of annual reports, resolutions and all other procedures associated with the levy and collection of assessments. County Administration Fees This is the actual cost to the District charged by the County for collecting District assessments-on the property tax bills. This charge is based on a flat rate per fund number plus an additional charge per assessment. Miscellaneous Administration This fund represents additional costs associated with District administration that are not normally included in the regular yearly administration costs. This may include special engineering services (including formation costs or changes to the District), legal services, contract negotiations, preparation and mailing of notices, property owner protest ballots, and tabulation of the ballots. LEVY BREAKDOWN Reserve Account The Reserve Account item is provided for collection by the District of funds to operate the District from the time period of July 1 (beginning of the Fiscal Year) through December when the County provides the City with the first MBIA MuniFinancial Page 13 Engineer's Report Canyon Cri andscaping and Lighting District installment of assessments collected from the property tax bills. Negative amounts shown here are transfers 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 to pay for District charges during the first half of the fiscal year. Beginning Balance The Beginning Balance for the District 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 District were greater than the amount budgeted and collected, the District has a Beginning Balance gaance Deficit. A deficit may be the result of unforeseen and extraordinarycosts in curred, or if assessments actually collected were less than anticipated. When a deficit occurs, the deficit amount may be added to the amount to be collected through the levy for the current fiscal year. When the actual cost and expenditures for the District were less than the amount budgeted and collected, the District has a Beginning Balance Surplus. When a surplus occurs, the amount may be used to reduce assessments or added to the District Reserves. Capital Improvement Project (CIP) The CIP Account represents funds collected for planned renovations or replacement of the improvements. The cost of major renovations or replacements is usually greater than an amount that can reasonably be collected in one fiscal year. The CIP Account allows for collection of revenues for these special projects over several years. This account differs from the Reserve account in that the money collected must be for a specified project, the money collected must be spent within a five-year period, and there is no limit to the amount that may be collected. Contribution Replenishment The Contribution Replenishment represents repayments of amounts that had been temporarily advanced by the Agency to the District. Other Revenue Source This item includes additional funds designated for use by the District that are not from District assessments. These funds are added to the District account to reduce assessments, and may be from either non-District, or District sources including City General Fund Contributions or interest earnings. Balance to Levy This is the total amount to be levied and collected through assessments for the current fiscal year. The Balance to Levy represents the sum of Total Direct and MBIA MuniFinancial Page 14 Engineer's Report Canyon Cr •andscaping and Lighting District Administration Costs, the Reserve Account/Other Revenue Source, the Beginning Balance, and the Contribution Replenishment. DISTRICT STATISTICS Total Number of Parcels Represents the total number of parcels physically within the District boundary. Total Parcels Levied Represents th e tota l number of parcels within the District that will be assessed. sessed. Non-assessable lots or parcels mayincludegovernment-owned land, public utility-owned property, land principally encumbered by public right-of-ways, easements, common areas, and/or parcels within the boundaries of the District that do not benefit from the improvements. Equivalent Dwelling Unit (EDU) Equivalent Dwelling Unit (EDU) is a numeric value calculated for each parcel based on the parcel's land use. The EDU shown in the District budget, (Section III B), represents the sum total of all parcel EDU's that receive benefit from the improvements. Refer to Section II for a more complete description of EDU's. 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 District EDU's, for the fiscal year. GENERAL INFORMATION This section of the Budget provides information regarding the Reserve Account, the Capital Improvement Project Account (CIP). This section also provides an accounting of the Adjusted Maximum Assessment Allowed based on the Assessment Range Formula adopted and approved by the property owners. The Adjusted Maximum Assessment Allowed is calculated annually independent of the assessment rate for the current fiscal year (Levy per Equivalent Dwelling Unit). If the Levy per Equivalent Dwelling Unit is greater than the Adjusted Maximum Assessment Allowed, the assessment is considered an increased assessment and the increase must be approved by the property owners pursuant to Proposition 218. MBIA MuniFinancial Page 15 Engineer's Report Canyon Cr ,andscaping and Lighting District B. District Budget Proposed Special General Assessable Budget Benefit Benefit Costs DIRECT COSTS Maintenance Costs $3,000 $3,000 $0 $3,000 Landscape Water 1,000 1,000 0 1,000 Landscape Electric 400 400 0 400 Street Lighting 0 0 0 0 Special District Services 0 0 0 0 Maintenance Repairs 1,500 1,500 0 1,500 Miscellaneous Maintenance Q Q Q Q Direct Costs(Subtotal) 5,900 5,900 0 5,900 ADMINISTRATION COSTS District Administration 1,029 1,029 0 1,029 County Administration Fees 86 86 0 86 Miscellaneous Administration 6,500 66,500 Q 6,502 Administration Costs(Subtotal) 7,615 7,615 0 7,615 LEVY BREAKDOWN Total Direct and Admin. Costs 13,515 13,515 0 13,515 Reserve Account 1,352 1,352 0 1,352 Beginning Balance 0 0 0 0 1 CIPect j Capital Improvement Pro P P ( ) 0 0 0 0 Contribution Replenishment 0 0 0 0 Other Revenue Source (6 500) (6,500) Q (6 500) Balance to Levy 8,367 8,367 0 8,367 DISTRICT STATISTICS Total Parcels 26 Total Parcels Levied 22 Total Equivalent Dwelling Units 22.00 Levy per EDU $380.30 GENERAL INFORMATION Previous Reserve Balance 0 0 0 0 Reserve Collection/ (Transfers) 1.152 1.152 Q 1.35? Anticipated Reserve Balance 1,352 1,352 0 1,352 Previous ClP Balance 0 0 0 0 CIP Collection/ (Transfers) Q Q Q Q Anticipated CIP Balance P 0 0 0 0 Adjusted Maximum Levy per EDU $380.30 `-, The has Developerpaid the costs associated with the formation of the District and are itemized "Miscellaneous Administration" cost and "Other Revenue Source" contributions. MBIA MuniFinancial Page 16 Engineer's Report Canyon Cr andscaping and Lighting District APPENDIX A - DISTRICT ASSESSMENT DIAGRAM The parcels within the Canyon Crest Landscaping and Lighting District are 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. The District includes all parcels within Tract 25102-01 as well as a future subdivision associated with Assessor's Parcel Numbers (APN's) 624-160-015 and 624-160-016. The assessment diagram and supporting Assessor's Parcel Maps for the Canyon Crest Landscaping and Lighting District are shown on the following pages and are inclusive of Assessor's Parcel Numbers 624-160-015; 624-160-016; 624-371—(001 through 015), and 624-372—(001 through 009) as of the Resolution of Intention. MBIA MuniFinancial Page 17 ASSESSMENT DIAGRAM OF CANYON CREST LANDSCAPING AND LIGHTING DISTRICT (ZONE 15 OF THE PALM DESERT CONSOLIDATED LANDSCAPING AND LIGHTING DISTRICT) . CITY OF PALM DESERT COUNTY OF RIVERSIDE STATE OF CALIFORNIA • ..... �a�Rob RNA Asaecamart Identifications `n� Tii ASSSSORS ABUT. PARCELiCNO. NUMBER PARCEL DESCRIPTI1 624371-0Ot Tnd25102l Ld 1 C2 62W71002 Tad25102-011n12 d J 3 624-371-003 Trod 25102-01 Lot 3 I / 4 624371-004 Tract 25102-01 Lot 1 l a ll l -® S 624-371-005 Timid 25102-01 Lot 6 ID m CL m 121 8 624-371-006 T d 25t02-0I Lot 6 7 624-371-007 Tract 25102 01 Lot 7 I' 6 624J71.006 Tract 25102-01 Ink• ® -�LAVERIDAR WAY —' P 62�371-009 Tract25102-01 Lot i (2) Co ® 0 8 ® - - i 10 T1 Tnd 25102-01 Lest 11 12 624-771-017 Tnd 25102-01 lest 17 I 1 - 13 624-571-013 1ract26102-01 Let 13 '• i f1 624J71-011 Trad25102-0ILWA • 1 • 1 16 624371-016 Tract 25-102-01 Lcl 8 16 621372-001 Trail 25102-01 Ld/1 17 621372 002 Tnd 25102-01 lul 16 II 624-372-033 Tract 25102-01 Lot IS 16 62_ Tract25102-011.oltT 20 024-372-005 Traci 25f02-01 Lot 16 PALM DESERT HIGH SCHOOL 21 671-372-006 Tract 25102-01 lest iC 22 624-372-007 Tract 25102-01 Lei 20 23 624-372-005 Tract 25102-01 Let 21 24 624-372-009 Tract 25102-01 Lot 0 25 524-160-015 Designated Remainder 26 624-160-015 Exangl Sher Parcel • • • Most ROSS DRIVE MBIA MuniFinancial Pagel 8 CANYON CREST LANDSCAPING AND LIGHTING DISTRICT (ZONE 15 OF THE PALM DESERT CONSOLID4TED LANDSCAPING AND LIGHTING DISTRIC . ASSESSOR'S PARCEL MAP 624-16 (Fiscal Year 1998/99) INIS WI Id[d 0�160nMtla'r°A tali.s 111 11t111 06 2 4 - 1 6 al IOI mFli nAl la�l Io1 sRn n anulic ski[aolaats. T.O.A. 010-201 SEC.16 T.5S.,R.6E oteoot [rl-1,.0 r..,-Iw wn.w r V o !FS 0 6j i.to Ae 0 CI1 = .. - Iw.w C. = '1I o ...I AC _, o CC(() .-In '0 =I I.A.AC Ill 0 `I(-) AM !8` O o47 e. 0 0 NILIIIISM-II .....se an Al s,u i a TurrinrTf• w..0 Pi IMAM Mil IMILTINS• R'1•R 1�'S>• memo, a f' Ids Cooly,Wit • rt�7� 1r1Oa Ilse [S1l7 }�� MBIA MuniFinancial Page 19 CANYON CREST LANDSCAPING AND LIGHTING DISTRICT (ZONE 15 OF THE PALM DESERT CONSOLIDATED LANDSCAPING AND LIGHTING DISTRICT) + ASSESSOR'S PARCEL MAP 624-37 (Fiscal Year 1998/99) t41 a�tat t.I•t{rO rivi RI a lli 11M111n b 2 4 - 3 7 MI IS MI WIT I.IIIWu�ia IL Nh�r lui ic'�siid wiuxn 1.l A OIO 011 POR.SE 16 T.SS.,R.6E 42F11 CEIY OF PAW DESERT O 1 1.I: tr�— 1 GI : . t a t t ._ r° "....... 1 r CII . 0 ; I ± 4 O n p .p.. t ....• 1...• • 1 n est; IA1. •.A.. .... it it a II t 1 I jl I C I 0 • O t 0 t ro n t tl n n i I .. 16 II " I I11 I >t ..t. I I ' 1 L ® i II It II It I. II II t1 i I I i e O o 0 0 t 0 _ 0 = Q 1 1 M1.•..a, rem M II IAII .AIl nag .111 I I -, I 372 1 JS Ee 9!6S/14-46 Ip 2$IO2-I 4iu9R't ry It.INK.JI tivl..ir.lowly.(.l11. 11.4 D.. 1l77 MBIA MuniFinancial Page 20 Engineer's Report + Canyon Crt ndscaping and Lighting District APPENDIX B - 1999/2000 PROPOSED ASSESSMENT ROLL Parcel identification for each lot or parcel within the District, shall be the parcel as shown on the Riverside County Secured Roll for the year in which this Report is prepared and reflective of the Assessor's Parcel Maps. As of the Resolution of Intention, the Canyon Crest Landscaping and Lighting District is inclusive of Assessor's Parcel Numbers (APN's): 624-160-015; 624-160-016; 624-371—(001 through 015); and, 624-372—(001 through 009). A listing of parcels assessed within this District, along with the assessment amounts is included in the following table. Proposed Proposed Maximum Maximum APN Assessment APN Assessment 624-160-015 $0.00 624-371-012 $380.30 624-160-016 380.30 624-371-013 380.30 624-371-001 380.30 624-371-014 0.00 624-371-002 380.30 624-371-015 0.00 624-371-003 380.30 624-372-001 380.30 624-371-004 380.30 624-372-002 380.30 624-371-005 380.30 624-372-003 380.30 624-371-006 380.30 624-372-004 380.30 624-371-007 380.30 624-372-005 380.30 624-371-008 380.30 624-372-006 380.30 624-371-009 380.30 624-372-007 380.30 624-371-010 380.30 624-372-008 380.30 624-371-011 380.30 624-372-009 0.00 Total Amount: $8,366.60 MBIA MuniFinancial Page 21