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HomeMy WebLinkAboutRes 2010-49 and 2010-50 FY 2010-11 Alessandro Alley BID CITY OF PALM DESERT DEPARTMENT OF PUBLIC WORKS STAFF REPORT REQUEST: APPROVAL OF THE ANNUAL BUDGET FOR THE ALESSANDRO ALLEY PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2010/2011 SUBMITTED BY: Ryan Stendell, Senior Management Analyst DATE: June 24, 2010 ATTACHMENTS: Resolution No. 2010-49 Resolution No. 2oio-5o Management Plan Fiscal Year 2010/2011 Recommendation Waive further reading and adopt: 1. Resolution No?olo-49, approving the Alessandro Alley Property and Business Improvement District Annual Budget for Fiscal Year 2010/2011; and 2. Resolution No.2olo-sq ordering the levy and collection of assessments for the Property and Business Improvement District for Fiscal Year 2010/2011. Executive Summary The Alessandro Alley Property and Business Improvement District (District) was approved in July 1, 2006. The District was established to fund the maintenance of the proposed Alessandro Alley improvements. The City's Redevelopment Agency is currently in the process of completing the design and engineering for the improvements. Since the improvements have not been completed, there will be no expenses incurred by the District for Fiscal Year 2010/2011. The attached resolution allows the City Council to approve the annual budget (no expenses), and postpones the collection of the annual levy for Fiscal Year 2010/2011. Once the improvements are complete, the District will continue to be assessed for the maintenance of the improvements. Backqround The Alessandro Alley Business Improvement District was established in 2006 for a five- year term and budget. The District is entering its third year of the five-year term. The Staff Report Alessandro Alley Budget FY 2010/2011 June 24, 2010 Page2of2 District includes properties located on the north side of Highway 111 between Las Palmas and 300 feet east of Monterey Avenue. The Alessandro Alley improvements include the addition of parking spaces, landscaping, lighting, and block walls along alley. Staff recommends approval of the attached resolution, approving the annual budget (no expenses) for the District for Fiscal Year 2010/2011. Fiscal Analysis There is no fiscal impact associated with this action. Submitted By: Departm t e d: Ryan Stendell Mark Gree ood, P.E. Senior Management Analyst Director of Public Works 1't • ' ����i�� CITY COUNCiLAC�iON APPROVED DEN?ED�� ��;�-- Paul S. Gibson, Director of Finance R CE D ..... OTHER �.1.GG�,��.. c�. C%� �C> ;•- C- �'���1 MEET G DA � � � ; �� , Approval , AYES: ` �� '' �� � i� � � t - . _� � , �, i J� C_'��, NOES: � �---�` BSEN'h John . Wohlmuth, City Manager ABSTAIN: `n � VERIF'IED BYs � � � � Ortgjnal on File�vit6 City�C rk's Office 68-2564 RESOLUTION N0. Zoio-49 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, APPROVING THE MANAGEMENT DISTRICT PLAN FOR THE ALESSANDRO ALLEY PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2010111 The City Council of the City of Palm Desert (hereafter referred to as the "City Council") does resolve as foltows: WHEREAS, pursuant to the provisions of Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California(hereafter referred to as the"code"), and accordance with the provisions of the California Constitution Article XIIID conducted proceedings for the formation of the Alessantlro Alley Property and Business Improvement District (hereafter referred to as the "District"), and the levy of annual assessment connected therewith; and, WHEREAS, on April 13, 2006 the City Council held a full and fair public hearing regarding the formation of the District and the establishment of annual assessments and the maximum assessments required to pay the maintenance and services of landscaping, lighting, refuse collection and all appurtenant facilities and operations related thereto for a five year period beginning July 1, 2006 and ending June 30, 2011 pursuant to the Code; and, WHEREAS upon conclusion of the public hearing of April 13, 2006 the City Council tabulated the property owner assessment protest ballots returned and by resolution confirmed that majority protest did not exist and by resolution approved the Engineer's Report antl Management District Plan, appointed an Advisory Board for the District, ordered the formation of the District, and ordered the levy and collection of the first annual assessments; and, WHEREAS, pursuant to the Code, the City Council appointed the Alessandro Alley Committee as the Advisory Board for the District and this Advisory Board shall cause to be prepared an annual Management District Plan (hereafter referred to as the "Report") each fiscal year for which assessments are to be levied and collected, said Report shall be filed with the City Clerk and shall contain: any proposed changes to the District boundary; the improvements and activities to be provitled; the estimated costs and method of assessment; the amount of any surplus or deficit; and contributions from other sources; and, 1 Resolution No. 2010-49 WHEREAS, pursuant to the Code, the Advisory Board has caused to be prepared a Report in connection with the District describing the proposed improvements, services, expenditures and assessments to be levied for Fiscal Year 2010/11, and filed with the City Clerk of the City of Palm Desert and the City Clerk has presented to the City Council such Report entitled "Management District Plan for the Alessandro Alley Property and Business Improvement Assessment District, Fiscal Year 2010/11"; and, WHEREAS, The City Council has carefully examined and reviewed the Report as presented, and is satisfied with each and all of the items and documents as set forth therein, and finds that the levy of assessments has been spread in accordance with the special benefits received from the improvements, operation, maintenance and services to be performed, as set forth in said Report; and, NOW, THEREFORE BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL FOR THE DISTRICT,AS FOLLOWS: Section 1 The above recitals are true and correct. Section 2 The Management District Plan as presented, consists of the following: A. A Description of the District boundaries and all properties benefiting from the improvements and services. B. A Description of Improvements and services to be provided by the District. C. The Annual Budget (Estimates of Costs and Expenses of Services, Operations and Maintenance), D. The District Roll containing the Levy of Assessments for each Assessor Parcel within the District, Section 3 The Report as presented, is hereby approved and is ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection. Section 4: That the City Clerk shall certify to the passage and adoption of this Resolution, and the minutes of this meeting shall so reflect the presentation of and final approval of the Report and appointment of the District Advisory Board. 2 Resolution No. 2010-49 PASSED, APPROVED, AND ADOPTED this day of 2010. STATE OF CALIFORNIA COUNTY OF RIVERSIDE ss. CITY OF PALM DESERT I, , City Clerk of the City of Palm Desert, County of Riverside, State of California do hereby certify that the foregoing Resolution No. was regularly adopted by the City Council of said City of Palm Desert at a regular meeting of said Council held on the day of , 2010 by the following vote: AYES: NOES: ABSENT: ABSTAINED: , CINDY FINERTY, Mayor City of Palm Desert , RACHELLE D. KLASSEN, City Clerk City of Palm Desert 2 68-2564 RESOLUTION N0. Zoio-so RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA ORDERING THE LEVY AND COLLECTION OF ASSESSMENT FOR THE ALESSANDRO ALLEY PROPERTY AND BUSINESS IMPROVEMENT DISTRICT, FISCAL YEAR 2010111 The City Council of the City of Palm Desert, California (hereafter referred to as the "City Council") hereby finds, determines, resolves and orders as follows: WHEREAS, on April 13, 2006 the City Council called and duly held a public hearing and property owner protest ballot proceedings for the President's Plaza III Property and Business Improvement Assessment District (hereafter referred to as the "District") pursuant to the provisions of Property and Business Improvement Disfrict Law of 1994, Part 7 of Division 18 of the Streefs and Highways Code of California (hereafter referred to as the "Code") and the California Consfitufion Article XIIID, for the purpose of presenting to the qualified property owners within the District the annual levy of assessments and a maximum annual assessment over a five year period beginning July 1, 2006 and ending June 30, 2011, for the costs antl expenses associated with the maintenance and operation of landscaping, lighting, refuse collection and all appurtenant facilities related thereto; and; WHEREAS, the landowners of record within the District as of the close of the Public Hearing held on April 13, 2006 did cast their ballots resulting in the approval of the District formation and annual levy of assessments related thereto; and, WHEREAS, the City Council, pursuant to the Code did by previous Resolutions form the District and approve a Management District Plan in connection with the formation of the District and appointed an Advisory Board that shall cause to be prepared an annual report regarding the District for the City Council's approval; and, WHEREAS, the Advisory Board has held a meeting for reviewing and approving the proposed budget for Fiscal Year 2010/11 and has prepared a Report in connection with the District for Fiscal Year 2010/11, and filed with the City Clerk of the City of Palm Desert and the City Clerk has presented to the City Council such Report entitled "Management District Plan for the Alessandro Alley Property and Business Improvement Assessment District, Fiscal Year 2010/11;"and, WHEREAS, The City Council has carefully examined and reviewed the Report as presented, and by previous resolution has approved said Report, 1 Resolution No. 2010-50 NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL FOR THE DISTRICT,AS FOLLOWS: Section 1 The above recitals are true and correct. Section 2 The City Council desires to levy annual assessments for FY 2010/11 pursuant to the provisions of the Code. Section 3 Based upon its review of the Management District Plan, a copy of which has been presented to the City Council antl which as been filed with the City Clerk, the City Council hereby finds and determines that: A. The territory of land within the District will receive special benefits from the operation, maintenance and servicing of the improvements and appurtenant facilities located within the boundaries of the District. B. The District includes all of the lands so benefited; and C. The net amount to be assessed upon the lands within the District in accordance with the proposed budget for the fiscal year commencing July 1, 2010 and ending June 30, 2011 is apportioned by a formula and method which fairly distributes the net amount among all eligible parcels in proportion to the special benefits to be received by each parcel from the improvements and services. D. The Assessments so described in the Management District Plan are consistent with the assessments so approved by the property owners within the District. Section 4 The Report and assessments as presented to the City Council and on file in the o�ce of the City Clerk are hereby confirmetl as filed. Section 5 The City Council hereby orders the proposed improvements to be made, antl the levy and collection of annual assessments to pay for those improvements to be presented to the County Auditor/Controller of Riverside for Fiscal Year 2010/11. The County Auditor/Controller shall enter on the County Tax Roll opposite each parcel of land the amount of levy, and such levies shall be collected at the same time and in the same manner as the County taxes are collected. After collection by the County, the net amount of the levy shall be paid to the City Treasurer. However, there has been no improvements done and therefore will not be levied for FY 201012011. Section 6 The City Treasurer shall deposit all money representing assessments collected by the County for the District to the credit of a fund for the Alessandro Alley Property and Business Improvement District, and such money shall be expended only for the improvements described in the Management District Plan. Resolution No. 2010-50 Section 9 The adoption of this Resolution constitutes the District levy for the Fiscal Year commencing July 1, 2010 and ending June 30, 2011. Section 10 The City Clerk is hereby authorized and directed to file the levy with the County Auditor upon adoption of this Resolution. PASSED, APPROVED, AND ADOPTED this day of 2010. STATE OF CALIFORNIA COUNTY OF RIVERSIDE ss. CITY OF PALM DESERT I, , City Clerk of the City of Palm Desert, County of Riverside, State of California do hereby certify that the foregoing Resolution No. was regularly adopted by the City Council of saitl City of Palm Desert at a regular meeting of said Council held on the day of , 2010 by the following vote: AYES: NOES: ABSENT: ABSTAINED: � CINDY FINERTY, Mayor City of Palm Desert , RACHELLE D. KLASSEN, City Clerk City of Palm Desert I AL� ES T A � F T lSTR1CT L N A,LESSANDRG LLEY �PERTY AND USINESS IMPROVEMENT ISTRICT � C � "Y�� 2�1 /� 1 �, �s �::�.�: �� z �§:��3�' ��'" �,� ,� ,� Public Hearing: June 24, 2010 W I LLDAN �Xte"�'n� your Financial Services re�ct� 27368 Via lndustria ` Suife 110 Oak{and,CA PMoenix,AZ TemeGula,Cp'�25g0 ' Sacramenta'.CA Orlando;FL TeL (9�11�87-3500 ' Tel: (800)755-6864 , Fax:(951)587-3510 ` www.willdan.com TABLE OF CONTENTS �VERVIEW .....................................................................................................................1 Introduction 1 District Formation Process 2 DESCRIPTION OF THE DISTRICT........................................................................................3 Description of the District Boundary 3 Description of the Improvements and Activities 3 Special Benefits of the Improvements and Activities 4 METHODOF APPORTIONMENT .........................................................................................5 Methotl of Apportionment Rationale 5 Parking Areas Improvements and Services 5 Method of Apportionment Calculations 5 Apportionment of Direct Costs 5 Apportionment of Indirect(Administration/Reserve) Costs 6 Total Annual Assessment 7 Annual Budget Adjustments 8 DESCRIPTION OF BUDGET ITEMS......................................................................................9 Direct Benefit Costs 9 Indirect Benefit Costs(Administration I Reserves) 9 Levy Breakdown 10 District Statistics 10 District Budget 11 APPENDIX A: DISTRICT BOUNDARY MAP.......................................................................A-1 APPENDIX B: DISTRICT ASSESSMENT ROLL ..................................................................B-'I _. __ __ _ City of Palm Dese�t Alessandro Alley P�ope�ty and Business lmp�o vement Dist�ict Final Manaqement District Plan Fiscal Year 2010/11 Overview Introduction The City of Palm Desert ("City") has establishetl the Alessandro Alley Property antl Business Improvement District ("District"). The purpose of the District is to provide funding for the annual operation and maintenance of certain improvements that confer special benefits upon real property within the boundaries of the District. The District is proposed to have a maximum term of five years beginning in Fiscal Year 2006107 and entling in Fiscal Year 2010/11. Once the term of the District has expiretl, the property owners within the District have the ability to renew the District for up to another ten-year term as provided by current California law. The City of Palm Desert Retlevelopment Agency("Agency") currently is in the process of installing antl constructing various improvements to the parking areas included within the boundaries of the proposed District. The installation and construction of the improvements will be fully funded by the Agency. The annual operation and maintenance of these improvements are proposed to be funded through District assessments. The assessments are proposed to be levied on the District parcels that benefit from the annual operation and maintenance of these improvements. The District has been establishetl and levietl pursuant to the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the California Streets and Highways Code ("Act"). Pursuant to the Act, a majority of property owners, weighted by assessment dollars within the District, submitted a signetl petition requesting formation of the District. The District has been formed, and a maximum assessment approved, by the property owners through an assessment ballot proceeding, conducted according to provisions of the California Constitution Article XIIID ("Proposition 218"). Pursuant to the Act, the Council may propose to annually levy and collect assessments to provide funding for improvements and activities authorized within the District for a period of five years (Fiscal Years 2006/07 through 2010/2011). This Management District Plan ("Plan") describes the proposed District, improvements and activities, method of apportionment, special benefit analysis, bountlaries of the District, the proposed budgets, and the maximum assessment to be approved for the five-year duration of the District. The proposed assessments are based on the estimated cost to provide the improvements, activities, and operation that provide a tlirect and special benefit to properties within the District. The costs of improvements, activities, and operation include all expenditures, deficits, surpluses, revenues, and reserves. The word "property,"for the purposes of this Plan, refers to real property situated within the District, and itlentified as an individual property or parcel assigned its own Assessment Parcel Number by the County of Riverside Assessor's Office. The County of Riverside AuditorlController uses Assessment Numbers to itlentify, on the tax roll, parcels and properties assessed for special district benefit assessments. Willdan Financial Services Page � City of Palm Desert Alessand�o Alley P�ope�ty and Business lmpro vement Dist�ict Final Management Dist�ict Plan Fiscal Yea�2010/91 District Formation Process A written petition of the property owners within the District, representing more than 50 percent of the proposed District assessment to be levied, was submitted to the City Council to initiate formation proceedings. The City Council initiated proceedings for the formation of the District by adopting a resolution expressing its intention to form the District. The resolution of intention contained the original Management District Plan and the time and place of a public hearing on the establishment of the District antl levy of assessments. Within not less than forty-five (45) days and not more than ninety (90) tlays of atlopting the resolution of intention, the City Council heltl a public hearing on the matter of formation, and caused notice to the property owners pursuant to Section 54954.6 of the Government Code. Public notices and assessment ballots (property owner protest ballots) were mailed to each property owner at least 45 days prior to the public hearing pursuant to Article XIIID of the California Constitution. At the public hearing, the City Council provided the public antl property owners an opportunity to provide oral protests and written protests prior to the adoption of the Management District Plan and the final Engineer's Report. Pursuant to the California Constitution Article XIIID, the City Clerk or its designated alternate tabulated property owner assessment ballots received from property owners and determined that majority protest did not exist. Pursuant to the Act, the City Council shall appoint an Owner's Association ("Association") for the District. This Association shall make recommendations to the City Council on the expenditures of revenue derived from the levy of assessments and on the classification of properties as applicable. This Association shall cause to be prepared a report each fiscal year for which assessments are to be levied antl collectetl. Said annual report shall be filetl with the City Clerk and shall contain: any proposed changes to the district boundary; the improvements and activities to be provided that year; the estimated costs for that year; the methotl of assessment; the amount of any surplus or deficit; and contributions from other sources. The City Council may approve the report as submitted or as modified. Willdan Financial Services Page 2 City of Palm Deserf Alessandro Alley Property and Business lmpro vement District Final Management Dist�ict Plan Fiscal Year2090/91 Description of the District Description of the District Boundary The District consists of all parcels located in the commercial business area known as the Alessandro Alley within the City of Palm Desert, County of Riverside. The District includes twenty- two (22) assessable commercial parcels. The bountlaries of the District are in the southwest area of the City and the parcels therein are generally located North of Highway 111 and Palm Desert Drive North; generally South of San Gorgonio Way; adjacent to antl South of Alessandro Alley; adjacent to antl West of Las Palmas Avenue; and generally East of Monterey Avenue. Description of the Improvements and Activities In an effort to enhance and improve business opportunities and the appearance of the area known as the Alessandro Alley, the Agency currently is providing funds for the renovation and capital improvement of the parking areas and landscaped areas relatetl to this commercial business center. In conjunction with this renovation, Alessandro Alley Property and Business Improvement District has been formed to provide and ensure the continued operation and maintenance of the improvements after the renovations have been completed. All the properties within the District receive special and tlistinct benefits from the improvements antl activities to be funded through the assessments. The improvements include all necessary activities, services, operation, administration, antl maintenance required to keep the improvements in satisfactory contlition including all necessary labor, material, and equipment. The services may include, but are not limited to, regular maintenance, repair, removal or replacement of all or any part of the improvements including removal of trimmings, rubbish, tlebris and other solid waste; and, providing for the growth, health and beauty of lantlscaping and lighting including cultivation, trimming, spraying, fertilizing or treating for disease or damage as well as supplying necessary irrigation and electrical energy. The specific improvements and activities include: • Parking area /andscaped a�eas: including but not limited to ground cover, shrubs, trees, plants, irrigation and drainage systems and associated appurtenant facilities. � Parking area lighfinq facilities: including but not limited to bulbs, fixtures, poles, wiring, and electrical energy. • Deb�is �emoval.• including but not limited to regular mechanical sweeping of the parking areas. The costs associated with the improvements are equitably spread among all benefiting parcels within the District utilizing the method of apportionment described in the Section, "Method of Apportionment", of this Plan. The total funds collected shall be dispersetl and used for only the services antl operations provided to the District. Willdan Financial Services Paqe 3 City of Palm Desert Alessand�o Alley Property and Business lmpro vement Disfrict Final Management District Plan Fiscal Year20�0/11 Special Benefits of the Improvements and Activities All assessed properties within the District receive special benefits from one or more of the improvements and activities fundetl through the District assessments. In specific, the lighting & landscaping amenities within the parking areas, also, the regular sweeping of the parking areas. The special benefits of lighting (parking area lights) are the convenience, safety, and security of property, improvements, and goods. Specifically: 1. Enhanced deterrence of crime and the aitl to police protection; 2. Increased nighttime safety for patrons antl employees; 3. Improved visibility for pedestrians and motorists; 4. Improvetl ingress and egress to property; 5. Reduced vandalism and other criminal acts and damage to improvements or property; 6. Enhanced aesthetic appeal of the parking area and the properties that are associatetl with the parking area; 7. Increasetl promotion of business activities antl opportunities during nighttime hours. The benefits associated with the improvements within the parking areas are specifically: 8. Improved aesthetic appeal of the parking area and nearby parcels; 9. Improved dust control; 10. Enhancetl adaptation of the urban environment within the natural environment; 11. Improvetl traffic circulation; 12. A positive representation of the businesses within the District; 13. Centralizetl locations for refuse collection facilities. Parking area sweeping is an essential and necessary activity for all properties, particularly commercial properties. This improvement is funded through the assessments solely for the special benefit of properties within the District. The benefits associated with this service are: 1. Enhanced aesthetic appeal of the parking area and the properties that are associated with the parking area; 2. Improved dust control. The on-going operation and maintenance of the landscaping, lighting and sweeping improvements provide no measurable general benefit to other properties outside the District or to the public at large. Therefore, these improvements and the corresponding assessments have been identified as 100% special benefit to parcels within the District. Willdan Financial Services Page 4 City of Palm Desert Alessand�o Alley Property and Business lmp�o vement Dist�ict Final Management District Plan Fiscal Year2010/11 Method of Apportionment Method of Apportionment Rationale The costs of the District improvements have each been apportioned by a formula and method that fairly distributes the net amount to be assessetl among all assessed parcels in proportion to the estimatetl special benefits to be received by each parcel from the improvements. Parking Areas Improvements and Services All assessed parcels within the Alessantlro Alley PBID have use of, and access to, parking facilities (parking spaces) that provides access, parking, antl delivery areas for the businesses and parcels within the District. The parking spaces are located alongside the assessetl parcels within the PBID and are adjacent to Alessandro Alley. Although the parking spaces are not in a centralizetl facility, they can be used and accessed by all properties within the District. However, it can be reasonably expected that parking facilities closest to each assessed parcel will be used for access to each such parcel. In tletermining the method of apportionment for these improvements, each parcel's benefit is based on access to the parking areas atljacent to, and associated with, each parcel. Therefore, it has been determined that a fair and reasonable reflection of each parcel's benefit for the parking areas improvements shall be based on the approximate front footage adjacent to the parking areas. The parcels within the District front Alessandro Alley antl the parking areas are on only one sitle (north side of the property). To ensure a reasonable antl equitable apportionment of special benefit, parcels are only assessed for their front footage along the north side of their property adjacent to the parking areas. Method of Apportionment Calculations The Total Direct Costs of the parking areas improvements antl services are apportioned to each parcel within the District based on each parcel's front footage adjacent to the parking areas in linear feet. In addition to a parcel's Total Direct Cost, each parcel is assessed for District administration expenses, a reserve fund collection, and a parking areas maintenance fund. The Indirect Costs for each parcel have been apportioned in the same manner as Total Direct Costs. Therefore, each parcel's Total Annual Assessment is the sum of its proportionate share of the Total Direct Costs antl Total Indirect Costs. Apportionment of Direct Costs The Total Direct Costs estimated for parking areas improvements and services (maintenance)are based on the estimated annual costs to maintain the landscaping, lighting, and mechanical sweeping of the parking areas within Alessandro Alley. This Total Direct Cost, divided by the sum Willdan Financial Services Page 5 City of Palm Deserf Alessandro Alley Property and Business lmpro vement District Final Management District Plan Fiscal Year2090/11 of the linear front footage of all parcels within the District, establishes a rate per parcel linear foot. This rate multiplied by each parcel's front footage equals the parcel's proportionate share of the parking areas maintenance costs (rounded to the nearest even penny). Originally, the plans proposed for construction of improvements were for a beginning date of fall 2007 and completion by early 2008. Currently the improvements have not yet been completed and assessments will not be collected for Fiscal Year 2010111. The rates provided below are the maximum allowable and actual proposed assessment rates for Fiscal Year 2010111 only. Please refer to the District Budget(Table 4)for future assessment rates, Di�ect Cost Rate Calcu/ation Total Direct Cost/Total Front Footage=Rate per Linear Foot Rate x Parcel Front Footage= Direct Cost Assessment Component Table 1 lists the proposed FY 2010/11 direct costs and costs per linear foot. Table 1: Direct Cost Proposed Assessment and Rate Proposed Direct Proposed Rate Costs for FY (per Front Footage) 2010-11 for FY 2010-11 Fourth Fiscal Year Maximum $ 15,645 $ 8.900 Fourth Fiscal Year Actual* $ - $ - 'District will not be levied for FY 2010-11 Apportionment of Indirect (Administration / Reserve) Costs To ensure the improvements, activities, and services provided and funded through the District are continued, each parcel will be assessed for administrative and reserve costs. These include all expenses related to the administration of the District as well as the collection of money towards a Parking Areas Maintenance Fund and an Operating Reserves Fund. Fiscal Year 2010/11 will not be levied due to the improvements not being complete. For Fiscal Year 2010111, the Reserve Funtl Collections are proposetl to be under twenty-seven percent (26.50%) of the annual Total District Costs. Similar to the method of apportionment for Total Direct Costs, the District's indirect costs are apportioned to each parcel based on each parcel's front footage. The rate provitled below is the maximum allowable rate for Fiscal Year 2010/11 only. Please refer to the District Budget (Table 4) for future assessment rates. Willdan Financial Services Page 6 City of Palm Desert Alessand�o Alley Prope�ty and Business lmpro vement District Final Management Districf Plan Fiscal Year2010/11 lndi�ect Cost Rate Calculation Total Indirect Cost/Total Front Footage= Rate per Linear Foot Rate x Parcel Front Footage= Indirect Cost Assessment Component Table 2 lists the proposed FY 2010111 indirect costs and costs per linear foot. Table 2: Indirect Cost Proposed Assessment and Rate Proposed Proposed Rate Indirect Costs (per Front Footage) for FY 2010-11 for FY 2010-11 Fourth Fiscal Year Maximum $ 10,692 $ 6.087 Fourth Fiscal Year Actual $ - $ - *District will not be levied for FY 2010-11 Total Annual Assessment Each parcel's Total Annual Assessment is the sum of its proportionate share of the DistricYs Direct Costs and Indirect Costs. The preceding description of the method of apportionment outlines the estimatetl cost and rates applied for the District in fiscal year 2010111. The rates provided below are the maximum allowable antl actual proposed assessment rates for Fiscal Year 2010111 only. Please refer to the District Budget(Table 4)for future assessment rates. Total Cost Rate Calculation Direct Cost Rate+ Indirect Cost Rate=Total Rate per Linear Foot Total Rate x Parcel Front Footage=Total Parcel Assessment Willdan Financial Services Page 7 City of Palm Desert Alessandro Alley Prope�ty and Business lmpro vement District Final Management Dist�ict Plan Fiscal Year 2010/>1 Table 3 lists the proposed FY 2010111 total costs antl costs per linear foot. Table 3: Total Cost Proposed Assessment and Rate Proposed Direct Proposed Rate Costs for FY (per Front Footage) First Fiscal Year 2010-11 for FY 2010-11 Direct Costs Maximum $ 15,645 $ 8.900 Direct Costs Actual* $ - $ - Indirect Costs $ 10,692 $ 6.087 Total Costs Maximum $ 26,337 $ 14.992 Total Costs Actual* $ - $ - 'District will not be leviedfor FY 2010-11 Annual Budget Adjustments For the initial five years of the PBID, annual assessments may be adjusted by the Alessandro Alley PBID Association up to three percent (3%) per year. Actual annual adjustments may range from zero percent (0%) to three percent (3%). Adjustments may differ from year to year depentling on the service needs identified by the Association. In any event, assessments will not exceed the levels illustrated by the District Budget(Table 4). Any annual budget surplus or deficit will be accrued into the following year's PBID butlget. Assessments will be set accordingly, within the constraints of the annual adjustment, to adjust for surpluses or deficits that are carried forward. Willdan Financial Services Page 8 City of Palm Dese�t Alessandro Alley Property and Business lmp�o vement Orstrict Final Management District Plan Fiscal Year2090/1> Description of Budget Items In Table 4 Direct Benefit Costs • Landscape Maintenance; Includes all regularly scheduled labor, material (e,g. pipe, . fertilizer, insecticides), and equipment required to properly maintain and ensure the satisfactory condition of all lantlscaping, irrigation and drainage systems, and appurtenant facilities. All lantlscaping improvements within the District are contracted for maintenance and service on a regular basis. The frequency and specific maintenance and operations requiretl within the District will be tleterminetl by City staff. The landscape maintenance area is approximately 10,000 square feet. • Landscape P�uning; Includes all regularly scheduled labor, material, and equipment requiretl to properly maintain antl ensure the satisfactory condition of all trees including palm trees, and appurtenant facilities. All lantlscaping improvements within the District are contracted for maintenance and service on a regular basis. The frequency and specific maintenance and operations requiretl within the District will be determined by City staff. There will be approximately 45 trees to be maintained. • Landscape Water.� Utility cost to furnish water for required landscape irrigation. The landscape maintenance area is approximately 10,000 square feet. • Lighting:The furnishing of electricity required for the operation and maintenance of the lighting facilities. The City contracts for the furnishing of its electricity for street lighting, which inclutles normal maintenance and bulb replacement. This cost tloes not inclutle repairs or replacement of damaged facilities due to vandalism, accidents or storms. There will be approximately 30 street lights to be serviced. • Sweeping Ser�ices: Weekly cleaning of the parking areas and gutters using a contracted, mechanized service. • Landscape Repai�s/Lighting.�This item includes repairs that are not normally included in the yearly maintenance contract costs. This may include repair of damaged amenities due to vandalism and storms, as well as planned upgrades which could include replacing plant antl lighting materials or renovation of irrigation and lighting systems. Indirect Benefit Costs (Administration / Reserves) • Dist�ictAdministration:The cost to all departments and staff of the City, for providing the coordination of District services, operations and maintenance of the District, response to public concerns and education, and procedures associated with the levy and collection of assessments. This cost also includes contracting with professionals to provide additional administrative, legal, or engineering services specific to the District. Willdan Financial Services Paqe 9 City of Palm Desert Alessand�o Alley Prope�ty and Business lmpro vement District Final Management Dist�icf Plan Fiscal Yea�2010/1� • Ope�ating Rese�ve Fund.�The Operating Reserve Fund provides for collection of funtls to operate the District, for each fiscal year, from the time period of July 1 through January when the County provides the City with the first instaliment of assessments collected from the property tax bills. The Operating 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 FY 2009/10 through FY 2010111. • Parking A�eas Maintenance Fund.� The Parking Areas Maintenance Fund provides funds for the sealing antl re-striping of the parking areas after the fourth year of the term of the District. These funds are proposed to be held in reserve until such time as the sealing and re-striping are required and there are sufficient funds to pay for their costs. • lnsurance:This line item supports insurance costs for the operation of the District. Levy Breakdown • TotalDist�ictCosts:This is the sum total of all budgeted Direct and Indirect costs. District Statistics • TotalPa�cels:The total number of parcels within the District. • Total Parcels to Levy. The total number of parcels within the District that will be assessed. There are currently no exempt parcels within the District; however, non- assessed lots or parcels may include easements, common areas, antl parcels within the bountlaries of the District that do not benefit from the improvements. • Total F�ont Footage (Parking A�eas):This is the sum total of the parcel front footage applied to each parcel within the District. • Levy Rate pe�Di�ect Costs:This amount represents the Rate being applied to each parcel's individual front footage for Direct Costs. The Levy Rate per Direct Costs is the result of dividing the estimated Total Direct Costs for that year by the sum of the DistricYs Total Front Footage. The rate is calculated to three decimal places. • Levy Rate pe�lndi�ect Costs:This amount represents the Rate being applied to each parcel for Atlministrative Costs, the Operating Reserve Fund and the Parking Areas Maintenance Fund. The Levy Rate per Indirect Costs is the result of dividing the estimated Total Indirect Costs for that year by the sum of the DistricYs Total Front Footage. The rate is calculatetl to three decimal places. • Tota/Levy Rate for Dist�ict Costs: This is the sum total of the Levy Rate per Direct Costs and the Levy Rate per Indirect Costs. The rate is calculated to three decimal places. Willdan Financial Services Page 10 City of Palm Desert Alessandro Alley Prope�fy and Business lmpro vement District Final Management District Plan Fiscal Year 20�0/9> District Budget The District Budget shown on the following table (Table 4) lists the estimated costs of providing the various improvements and services within the District. The costs antl the resulting rates for Fiscal Year 2006107 through Fiscal Year 2010/11 are basetl on the estimated costs to provide the improvements and services for each year, atljusted for the three percent(3%) inflation factor. The Association, appointed by the City Council, will annually review the District costs and make recommendations for any changes or adjustments to the butlget. Changes to the butlget could result in changes to the annual assessment but the resulting total assessment may not exceetl the maximum rates established in the Plan without first obtaining property owner approval through assessment ballots. Willdan Financial Services Page �� City of Palm Desert Alessandro Alley P�operty and Business lmpro vement District Final Management District Plan Fiscal Year20>0/91 Table 4: Five Year Budget Actual Proposed Ma�cimum Proposed Assessment for Fiscal Years Assessment Budget Item FY 2010-11�'� 2006-07 2007-08 2008-09 2009-10 2010-11 Direct Benefit Costs Landscape Maintenance Costs $ - $ 4,500 $ 4,635 $ 4,774 $ 4,917 $ 5,065 Landscape Pruning $ - 2,250 2,318 2,387 2,459 2,532 Landscape Water $ - 1,700 1,751 1,804 1,858 1,913 Lighting $ - 2,250 2,318 2,387 2,459 2,532 Sweeping Services $ - 1,500 1,545 1,591 1,639 1,688 Landscape RepairslLighting $ - 1,700 1,751 1,804 1,858 1,913 Subtotal Direct Costs $ - $ 13,900 $ 14,317 $ 14,747 $ 15,189 $ 15,645 Administ�ation/lnsurance DistrictAdministration - 3,000 3,090 3,183 3,278 3,377 Insurance - 300 309 318 328 338 Subtotal Administrative Costs $ - $ 3,300 $ 3,399 $ 3,501 $ 3,606 $ 3,714 Reserve Funds Parking Areas Maintenance Fund - 3,500 3,605 3,713 3,825 3,939 Operating Reserve Fund - 2,700 2,781 2,864 2,950 3,039 Subtotal Reserve Fund Costs $ - $ 6,200 $ 6,386 $ 6,578 $ 6,775 $ 6,978 LevyBreakdown Total District Costs - 23,400 24,102 24,825 25,570 26,337 Balance to Levy $ - $ 23,400 $ 24,102 $ 24,825 $ 25,570 $ 26,337 District Statistics Total Parcels 22 22 22 22 22 22 Total Parcels To Levy 22 22 22 22 22 22 Total Front Footage(Parking Areas) 1,756.68 1,756.68 1,756.68 1,756.68 1,756.68 1,756.68 Levy Rate per Direct Costs $ - $ 7.920 $ 8.160 $ 8.400 $ 8.640 $ 8.900 Levy Rate per Indirect Costs $ - $ 3.520 $ 3.640 $ 3.740 $ 3.860 $ 3.980 Total Levy Rate for District Costs $ - $ 13.320 $ 13.720 $ 14.140 $ 14.560 $ 14.992 Operatinq Reserve Fund Balance Previous Balance 2,700 - 2,700 5,481 8,345 11,296 Ending Balance 2,700 2,700 5,481 8,345 11,296 14,335 Parkinq L ot Maintenance Fund Balance Previous Balance 3,500 - 3,500 7,105 10,818 14,643 Ending Balance 3,500 3,500 7,105 10,818 14,643 18,582 Maximum annual assessments for tlirect benefit costs,administrative costs and reserve fund collection are adjusted by 3%from the previous Fiscal Year for Fiscal Years 2007-08 through 2010-11.The PBID Aduisory Board will determine the amount of any actual increase for those years which may not exceed 3%per year. �'�FY 2010-11 Improvements have not yet been completed fherefore district will not be levied Sources:City of Palm Desert;Willdan Financial Services Willdan Financial Services Page 12 City of Palm Dese�t Alessandro Alley Property and Business lmpro vement Dist�ict Final Management District Plan Fiscal Yea�2010/9> Appendix A: District Assessment Diagram The Alessandro Alley Property and Business Improvement District consists of the parcels shown on the following District Assessment Diagram. The Assessment Diagram is based on the County of Riversitle's Assessor's Maps and itlentifies all the parcels of lantl within the proposed District. �� � u � � �. s 3 '�� � � �� $ c * �� �2' � �� ��� ��E �� �� � �����. � � ��� � �������� ��� .�� � � ���� � u ,� � ��1 �� � ��`� �� _ �� ���� `_' #� � ��������$ �� .� ��� ���� � �s � ��� ����` . ,�� � � Q �� � � � �� ���# �°����� � �a s� `� .�� ���� � �� � ��� � ��� ������� � ����� � � � �� ���� � � � - > 0 � � � �� �� � � � � � � �. � � � - � � ��� � �, � � �� � � � �>� � � � ,� � � � c, ��' � x ; '� � � �� � � v' `� a*'-cs � � O x,v+ � w }' >-�a v�i � �`r�, �y ' 'a ¢ � � � . � � CT �. ; � � s � ; o p � � �� �mr� .n � � � O ¢ �' � � °c ` C•4 w � i, _ _ � � r" a � - �s � � Q - � µ� � O � ' " � � t� � � , . . 3/1k A:37131Npla . .... ..... _... ..... __. ..__. ...... ...._ .._. ..._. ...._ _... .__ ..... Willdan Financial Services A-1 City of Palm Desert Alessandro Alley Property and Business lmpro vement District Final Management Dist�ict Plan Fiscal Year2090/9 9 Appendix B: District Assessment Roll Parcel identification, for each lot or parcel within the District, shall be the parcel as shown on the County Assessor's Map for the year in which the Engineer's Report is prepared. A listing of parcels assessed within this District, along with the assessment amounts, is included on the following page. _ __ _ _ _ __ Willdan Financial Services B-9 -p � V V V CO V O N CO � V O O O � V � � O O O o0 V c.0 N �CJ �C7 �c'J � O CO M c0 l.C� lCJ O � f� �CJ �c'7 �L'J � � � O CO �17 00 O � 0�7 Q�i ti p�j O 6� ao 6i O) rn O� O� O) O� 6i 6i Oi �h V 6� � CO 6� 6� O� O� 6) 6> 6� O� 0�7 � 6) M O� � 00 00 00 M 00 CO M N N 00 � � � CO � CO oO I� 1� 00 N oO M V � O � d 0 � •— � N N � <— � � N N � � O = y N � Q ,` � � � � � � � Q � � O � �� C � � � � � ` � i i � i � � i � i � i � � i i � � i i � i � O��l p � � .C � � a�ic5 � C � � N a � a y c ¢ � � o 0 0 0 0 0 0 0 o v o 0 0 0 0 0 0 o r� o 0 00 � � o 0 o co cfl v o 0 0 0 � o 0 0 0 0 0 0 o co r� o co � � o 0 o cfl ri o 0 0 0 � o 0 0 0 0 0 0 0 oi o c.o C CO GO CO O� N LC> 6� U'> CO (O V o0 � GD GO c.0 GO N N � 00 CD �!') � � Q � � � � � ti � L.L � Q `O � � d � � � � � � �- � �- � � � �- � �- � � >-- � }- � � �- Q a Q Q Q Q Q � Q Q Q Q Q � Q Q � Q � Q Q Q Q Q � � � � � � � � � � � � � � � � � � � � � � _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ N c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� c� _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 00 00 O CO o0 00 O O O O O O N O O o0 CO O O � O N Q� �O o0 OJ CO CO N � �.C> c.0 N 00 00 OJ M M oO � CO O) O O O O O N N N N N N M M M M c+� M � M M M M M M M M M M M M M C+> M M M M M M M M M ti � ti � � ti � � � ti � � ti � � � ti ti � � � � i i � � � Z W W W O ¢ z 2 2 � � O � � � � � � W � � Z w w U � Q J � 3 c~n ww � w Q vO � z z � 0 } J J V p r Q U � � � Z �. N � � � W � "'� W Q W W N J w ~ ~ '� Z w ¢ � Z Z � � d Q C/� � � �, Q w m w w J � � � � Z w otf o25 � � � Z � Q C.'o �t5 Cn Q � z �' � 2 � � _ "� � � � ~ m �n J o2S Q J W W � 025 J � Q � � �S U Z Y w � c�i � � Y � J J Cn = Cl� Cn � _ � H 2 � w ~ � 0 � N Q C7 2 C./) W W U � Z Z Y O Y O ¢ � Y � w � � Z c J N F— � W W � w � � �"� Q � � � = Q � � � ¢ � � � 2 Q m � � � � � O O Z � � O Q w J � Q Z O � � � � U J O Q 2 2 W � ii L� O Q ¢ J O W � J � � cq w � .0 �,. � Q �-' � U U F— � c/� cn U � �O � 2' d W � � Q Q � �� � C � � � � � � a� a, � � U � c� � �n o c.i �n cfl rn o rn o � o c� �n co � v co ti o a, ,N ct � '�t V V �Y L[7 O N N N N N M M M M � � � V O � � � � O O O O O O O O O O O O O O O O O O O O O O O � V' � V�' N N N N N N N N N N N c � � y � � � ti � � � ti � � � � � rn rn rn rn rn rn rn rn rn rn rn � i � � u� Z o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 � i� � y ti � � r� � � titir� ti � ti � titititititi � � r� a, O � Q y N N N N N N N N N N N N N N N N N N N N N N � I C Q GO G� GO CO GO CO CO CO CO CO CO GO CO C.O CO CO [.O C.O CO GO CD C.O v� �, a � �ii � U N � N M � l.h CO I` CO 6� O � N M V l.h C.O I� CO O� O N � -�5- �C E p � � �— � � � �— � � N N N � (� Q Z �6 � I..� O = H' Cn CITY OF PALM DESERT PUBLIC NOTICE NOTICE IS HEREBY GIVEN that a public hearing will be held before the Palm Desert City Council to review the annual Management District Plan and declare its intent to levy for the Alessandro Alley Property and Business Improvement District pursuant to State Law. SAID public hearing will be held on Thursday, June 24, 2010, at 4:00 p.m. in the Council Chambers at the Palm Desert Civic Center, 73-510 Fred Waring Drive, Palm Desert, California, at which time and place ali interested persons are invited to attend and be heard. Written comments concerning all items covered by this public hearing notice shali be accepted up to the date of the hearing. PUBLISH: Desert Sun Rachelle Klassen, City Clerk June 14, 2010 Paim Desert City Council ! Martinez, Gloria c.� � ��,1�� /C-`' ��'S�j���,�C% ���-�'C /`��1.� From: Stendell, Ryan Sent: Thursday, June 10, 2010 2:40 PM To: Martinez, Gioria Subject: RE: Publishing's for Monday June 14, 2010 Actually Charlene emailed, she is going to squeeze it in on Sunday. i forgot they aren't doing Monday or Tuesday. From: Martinez, Gloria Sent: Thursday, June 10, 2010 2:23 PM To: Stendell, Ryan Subject: RE: Publishing's for Monday lune 14, 2010 The Desert Sun does not publish on Monday or Tuesday. Will Wednesday be okay? From: Stendell, Ryan Sent:Thursday, ]une 10, 2010 12:50 PM To: legals@thedesertsun.com Cc: Martinez, Gloria Subject: Publishing's for Monday)une 14, 2010 Please publish the following three notices for Monday June 14, 2010. Thank You, Ryan Stendell Senior Management Analyst Ciry of Palm Desert (760) 346-OG1 1 ext.38G �tendell@ciqiofpalmdesert or� « File:AA_10-11_Legal_Notice.doc» « File: PPI_10-11_Legal_Notice.doc» « File: PPIII_10-11_Legal_Notice.docx » 1