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HomeMy WebLinkAboutResolution 2011-68 through 2011-71 President's Plaza III Property and Business Improvement District Fiscal Year 2011 / 2012CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT STAFF REPORT REQUEST: APPROVE THE MANAGEMENT DISTRICT PLAN AND ENGINEER'S REPORT, ORDER THE FORMATION/RENEWAL AND THE LEVY AND COLLECTION OF ASSESSMENTS, AND APPROVAL TO DECLARE THE RESULTS OF THE PROPERTY OWNER PROTEST PROCEEDINGS, FOR THE PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2011-2012 SUBMITTED BY: Mark Greenwood, P.E., Director of Public Works DATE: July 14, 2011 CONTENTS: Preliminary Management District Plan Preliminary Engineer's Report Resolution No. 2011- 68 Resolution No. 2011- 69 Resolution No. 2011- 70 Resolution No. 2011- 71 Recommendation Waive further reading and adopt: Resolution No. 2011- 68 approving the final Management District Plan for the President's Plaza III Property and Business Improvement District for Fiscal Year 2011-2012 and appointment of an owner's association; 2. Resolution No. 2011- 69 approving the final Engineer's Report for the President's Plaza III Property and Business Improvement District for Fiscal Year 2011-2012; 3. Resolution No. 2011- 70 ordering the formation of the President's Plaza III Property and Business Improvement District and the levy and collection of assessments for said District for Fiscal Year 2011-2012; and 4. Resolution No. 2011- 71 declaring the results of a property owner protest proceeding for the President's Plaza III Property and Business Improvement District and approving certain related actions. Staff Report President's Plaza III Formation of PBID July 14, 2011 Page 2of2 Background The President's Plaza III Business Improvement District was re-established in 2006 for a five-year term and the budge was set. The district includes properties located on the south side of Highway 111 and on the north side of El Paseo between Highway 74 and Sage Lane. The City collects annual assessments to pay for services such as landscape maintenance, street sweeping, and parking lot lighting within the common parking lot areas. Each fiscal year the City Council reviews and approves a budge that is set at the first year of the District. The District has concluded its final year of the five-year term and proceedings to re-form the District must take place in order to levy the assessments. Staff recommends that the City Council open the public hearing and take testimony from all interested parties. At the conclusion of the public hearing, staff will count the ballots and return to declare the results. Fiscal Analysis The assessment and collection of the levy amount funds the on -going maintenance of the President's Plaza III Business Improvement District costs. Prepared By: Ryan Stende Mark Greeri)ivood, P.E., Senior Man e n Analyst Director of Public Works cam- CITY COUNCIL#070N �� (�✓ APPROVED nEN l it RECEIVED QTHER., Paul S. i s rector of Finance°���' �a/" //� Y �i MEETING DATE ��?O// A o AYES: r , j NOES: ABSENT: AIMn M. Wohlmuth, City Manager Ate' VERIFIED BY: Original on File with City Jerk's Office A/No Property Owner Protest, the DISTRICT IS FORMED; Res. Nos. 2011-68, 2011-69, 2011-70, and 2011-71 ADOPTED 4-0 (Benson ABSENT), with the following results to be entered onto Res. No. 2011-71: Total Ballots Cast $24,044.64 YES Total $15,882.30 NO Total $ 8,162.34 CITY OF PALM DESERT PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT RENEWAL MANAGEMENT DISTRICT PLAN FISCAL YEARS 2011 /2012 To 2015/2016 Intent Meeting: Public Hearing: Corporate Ofce 27368 Via Industria Suite 110 Temecula, CA 92590 Tel: (951) 587-3500 Tel: (800) 755-6864 Fax: (951) 587-3510 May 26, 2011 July 14, ,2011 WILLDAN Financial Services Ofce Locations Oakland, CA Sacramento, CA wmw. willdan. com/financial Phoenix, AZ Orlando, FL Table of Contents OVERVIEW............................................................................................ 2 Introduction District Renewal Process 2 2 DESCRIPTION OF THE DISTRICT.............................................................. 4 District Boundary 4 Improvements and Activities 4 Special Benefits of the Improvements and Activities 5 METHOD OF APPORTIONMENT................................................................ 7 Method of Apportionment Rationale 7 Parking Lot Improvements and Services 7 Method of Apportionment Calculations 7 Apportionment of Direct Costs 7 Apportionment of Indirect (Administration/Reserve) Costs 8 Total Annual Assessment 8 Annual Budget Adjustments 9 DESCRIPTION OF BUDGET ITEMS IN TABLE 4.......................................... 10 Direct Benefit Costs 10 Indirect Benefit Costs (Administration/Reserves) 11 Levy Breakdown 12 District Statistics 12 District Budget 12 APPENDIX A — ASSESSMENT DIAGRAM ............................................... A-1 APPENDIX B — ASSESSMENT ROLL ..................................................... B-1 Overview Introduction The City of Palm Desert ("Cif') formed and established the President's Plaza III Property and Business Improvement Assessment District ("District") beginning in Fiscal Year 2001 /2002, and renewed in Fiscal year 2006/2007, to provide improvements and activities that confer special benefits upon real property within the boundaries of the District. The District was established and levied pursuant to Proper y and .Business Improvement District Law of 1994, Part 7 of Division 18 of the California Streets and Highways Code (the "Act'). Pursuant to the Act, property owners within the District submitted a signed petition requesting formation of the District. The District was successfully renewed for a term of five years and a maximum assessment was approved by the property owners through an assessment ballot proceeding, conducted according to provisions of the California Constitution Article XIIID ("Proposition 218"). Fiscal Year 2010/2011 is the last year of the term of the District. Under the provisions of the Act, the property owners within the District may renew the District for a maximum term of ten (10) years. The renewal process is the same as that of the original formation. Therefore, the preparation of this updated Management District Plan is the first step in satisfying these requirements. Pursuant to the Act, the City proposes 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 2011 /2012 through 201512016). This Management District Plan ("Plan") describes the District, improvements and activities, method of apportionment, the proposed assessments for the current fiscal year, and the maximum assessment proposed for the five-year duration of the renewed District. The proposed assessments are based on the estimated cost to provide the improvements, activities, and operations that provide a direct and special benefit to properties within the District. The costs of improvements, activities, and operations 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 identified as an individual property or parcel assigned its own Assessor's Parcel Number (APN) by the County of Riverside Assessor's Office. The County of Riverside Auditor/Controller uses APNs to identify on the tax roll parcels and properties assessed for taxes, special assessments, and fees and charges. District Renewal Process A written petition of the property owners within the District, representing more than 50 percent of the proposed assessment to be levied was submitted to the Palm Desert City Council to initiate renewal proceedings. The City Council initiated proceedings for the renewal of the District by adopting a resolution expressing its intention to renew the District. The resolution of intention referenced the Engineer's Report and the Management District Plan, and noticed the time and place of a public hearing on the formation of the District and levy of assessments. P. Ill 1 WII kr"; Not less than forty-five (45) days and not more than ninety (90) days of adopting the resolution of intention, the City Council held a public hearing on the matter of renewal, and caused notice to the property owners pursuant to Section 54954.6 of the Government Code. Public notices and assessment ballots (properly 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 and property owners an opportunity to provide oral protests and written protests prior to the adoption of the Engineer's Report and the Management District Plan. 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 and collected. Said annual report shall be filed with the City Clerk and shall contain: any proposed changes to the district boundary; the improvements and activities to be provided that year; the estimated costs for that year; the method of assessment; the amount of any surplus or deficit; and contributions from other sources. The City Council may approve the report as submitted or as modified. 1 _ sVl�{�I Description of the District District Boundary The District consists of all parcels located in the commercial business area known as the President's Plaza III within the City of Palm Desert, County of Riverside. The District includes sixteen (16) assessed commercial parcels. The boundary of the District and the parcels therein are generally located South of Palm Desert Drive at Highway 111; North of El Paseo; West of Sage Lane; and East of Old Highway 74, and includes the Palm Desert Parking Lot — lease parcel to the City of Palm Desert located South of Highway 111; East of New Highway 74; and West of Old Highway 74. Improvements and Activities In an effort to enhance and improve business opportunities and the appearance of the area known as the President's Plaza III, the Agency provided funds for the renovation and capital improvement of the parking lot and landscaped areas related to this commercial business center. In conjunction with this renovation, President's Plaza III Property and Business Improvement District was formed in 2001, and renewed in 2006, to provide and ensure the continued operation and maintenance of the improvements after the renovations had been completed. Should the District be renewed by the property owners for another five (5) year term, the assessments generated will continue this maintenance. In December 2005, the District paid for the slurry sealing, re -striping and repair of the parking lot through reserve funds that had been accumulated during the first five years of the term of the District. It has been determined that all the properties within the District receive special and distinct benefits from the improvements and activities to be funded through the assessments. The improvements include all necessary activities, services, operation, administration, and maintenance required to keep the improvements in satisfactory condition 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, debris and other solid waste; and, providing for the growth, health and beauty of landscaping 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 lot landscaped areas: including, but not limited to, ground cover, shrubs, trees, plants, irrigation and drainage systems and associated appurtenant facilities; • Parking lot lighting facilities: including, but not limited to, bulbs, fixtures, poles, wiring, and electrical energy; and, • Debris removal: including, but not limited to, regular mechanical sweeping of the parking lot. The costs associated with the improvements are equitably spread among all benefiting parcels within the District utilizing the method of apportionment described in the Method of Apportionment section of this Plan. The total funds collected shall be dispersed and used for only the services and operations provided to the District. 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 funded through the District assessments. Specifically, lighting and landscaping amenities within the parking lot, and regular sweeping of the parking lot. The special benefits of lighting (Parking lot lights) are the convenience, safety, and security of property, improvements, and goods. Specifically: 1. Enhanced deterrence of crime and the aid to police protection; 2. Increased nighttime safety for patrons and employees; 3. Improved visibility for pedestrians and motorists; 4. Improved 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 associated with the parking area; 7. Increased promotion of business activities and opportunities during nighttime hours; and, 8. The special enhancement to the value of property which results from the above benefits. The benefits associated with landscaped islands and medians within the parking lot are specifically: 1. Improved aesthetic appeal of the parking area and nearby parcels; 2. Improved dust control; 3. Enhanced adaptation of the urban environment within the natural environment; 4. Improved traffic circulation; 5. A positive representation of the businesses within the District; 6. Centralized locations for refuse collection facilities; and, 7. The special enhancement to the value of property which results from the above benefits. il'�%;Guz 1 rr?;rncr,i' S;rri<<:4 Parking lot 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; 3. The special enhancement to the value of property which results from the above benefits. 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. 1 t � .: ,r1', l' •:�:z 111 1'1�11? ft r::�' Method of Apportionment Method of Apportionment Rationale The costs of the District improvements have each been apportioned by a formula and method which fairly distributes the net amount to be assessed among all assessed parcels in proportion to the estimated special benefits to be received by each parcel from the improvements. Parking Lot Improvements and Services All assessed parcels within the President's Plaza III PBID have use of, and access to, a centralized parking facility (lot) that provides access, parking, and delivery areas for the businesses and parcels within the District. Because the parking area is a centralized facility used and accessed by all properties within the District, each parcel's benefit is based on the size of such parcel. Therefore, it has been determined that a fair and reasonable reflection of each parcel's benefit for the parking lot improvements shall be based on the approximate size, in square feet, of each parcel. Method of Apportionment Ca.lculat,ionw The Total Direct Costs of the parking lot improvements and services are apportioned to each parcel within the District based on each parcel's lot size in square feet. In addition to a parcel's Total Direct Cost, each parcel is assessed for District administration expenses and a reserve fund collection (Indirect Costs). 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 and Total Indirect Costs. Apportionment of Direct Costs The Total Direct Costs estimated for parking lot improvements and services (maintenance) are based on the estimated annual costs to maintain the landscaping, lighting, and mechanical sweeping of the parking lot within President's Plaza III. These Total Direct Costs, divided by the sum of the square footage of all parcels within the District, establishes a rate per parcel square foot. This rate multiplied by each parcel's square footage equals the parcel's proportionate share of the parking lot maintenance costs (rounded to the nearest even penny). The rate provided in Table 1 is for Fiscal Year 2011 /2012 only. Please refer to the District Budget (Table 4) for future assessment rates. Total Direct Cost Total Square Footage = Rate per Square Foot Rate x Parcel Square Footage = Direct CostAssessment Component I'1/141/'Ire ! `sr,.rn,re/'.S"rrAI i-, Table 1: Direct Cost Proposed Assessment and Rate Proposed Proposed Rate Direct Costs (per Square Foot) for for FY 2011-12 FY 2011-12 First Fiscal Year Maximum S 23.649 S 0 0520 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 (Indirect Costs). These Indirect Costs include all expenses related to the administration of the District as well as the collection of money towards a Reserve Fund. 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 lot size in square feet. The rate provided in Table 2 is for Fiscal Year 2011/2012 only. Please refer to the District Budget (Table 4) for future assessment rates. Total indirect Cost/ Total Square Footage = Rate per Square Foot Rate x Parcel Square Footage = Indirect Cost Assessment Component Table 2: Indirect Cost Proposed Assessment and Rate Proposed Proposed Rate Indirect Costs (per Square Foot) for for FY 2011-12 FY 2011-12 First Fiscal Year Maximum S 13 426 S 00296 Total Annual Assessment Each parcel's Total Annual Assessment is the sum of their proportionate share of the Direct Costs and Indirect Costs. The preceding description of the method of apportionment outlines the estimated cost and rates applied for the District in the first fiscal year of this renewal (FY 2011/2012). The rate provided in Table 3 is for Fiscal Year 2011/2012 only. Please refer to the District Budget Table 4) for future assessment rates. Direct Cost Rate + Indirect Cost Rate = Total Rate per Square Foot Total Rate x Parcel Square Footage = Total Parcel Assessment Table 3: Total Cost Proposed Assessment and Rate Proposed Proposed Rate Direct Costs (per Square Foot) for First Fiscal Year for FY 2011-12 FY 2011-12 Direct Costs Maximum S 23 649 S 0 0520 Indirect Costs S 13 426 S 0 0296 Total Costs Maximum S 37 07.1 S 0 0816 Annual Budget Adjustments For the five year term of this PBID renewal, annual assessments may be adjusted by the President's Plaza III PBID owners' association up to three percent (3%) per year. Actual annual adjustments may range from zero percent (0%) to three percent (39/6). Adjustments may differ from year to year depending on the service needs identified by the owners' association. In any event, assessments will not exceed the levels illustrated by the District Budget (Table 4). Any annual budget surplus or deficit will be accrued into the following year's PBID budget. Assessments will be set accordingly, within the constraints of the annual adjustment, to adjust for surpluses or deficits that are carried forward. !► CGS%err. [ l,r, ��n r;�i S: r`<<<, ? �, 1 1' Appendix A Assessment Diagram The Assessment Diagram for the District is on the following page and is inclusive of all parcels identified on the County of Riverside Assessor's Parcel Maps as Book 627, Page 192. The Assessment Diagram will be kept on file with the City Clerk of the City of Palm Desert. Irilldan Financial Sere t(-c,s P.rs,r A —I Appendix B 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. The Assessment Roll, which includes a listing of assessor parcels assessed within this District, along with their assessment amounts, is shown in Table 5 on the following page. V Q _- E N 7 y C r O E O E r x o H o 00 Q y fV Q LL N 01 Q N 7 WY E O Q rz O -t 0 (D CO w cV I.[ O C111 " O O (D I- N (D r Io In P- () O -t Ir, N r- co (D In (D P-. M1- N a) r- to M z7 (D `S N M1- r M to m CDa) (D M1 r- r- tD r In M to N -T N co -T O 04 r- m a) a7 a) ai In fl- P-- -t CO CD I--- a) N N M M M r (V M r -t Yll O -t O O CO CO N (D CD(V (N 0 6 (o (.D N (D r In to P-- a) O -i In N fl- CO CD In (D r- r- a) a) P-- In M CD -Y N P--- M In M O m a) CD r- I`-- r--. r In M w c 4 -t N cc) -t CO CO r- a) a) a) a) a) In r-- r- -t c0 (D P-- m N N M M M r N M r -t Yll Cn U") (n Cn (n Cn to U) U3 (f) Cn (n (n U) Cn O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O M O O M CD -t r 0 M M -t M r IN M O M -'t O to M r .� CLi M T- N "1' to m •* asa)rna)o)aoP--Ir,f---too-to)tn r o to r r to M In IS] rv- -t 't �-- CD r r M r r r r M -t -t It r M "t cV (D H r r W r - Q O O O O O O Q? 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P-- r- P-- N c11 N N CV N N N N N (V N (V N cV N (D (D CD (D CD 4D (D (D (D w (D (D (J-1 Co (D (D M1- CD MII El) M ^"P PN-- 0 Mi ME r N M -t to co r- Co a) r r� r tom, r u CITY OF PALM DESERT PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT RENEWAL ENGINEER'S REPORT FISCAL YEARS 2011 /2012 To 2015/2016 Intent Meeting: Public Hearing: Corporate Ofce 27368 Via Industria Suite 110 Temecula, CA 92590 Tel: (951) 587-3500 Tel: (800) 755-6864 Fax: (951) 587-3510 May 26, 2011 July 14, 2011 WILLDAN Financial Services Ofce Locations Oakland, CA Sacramento, CA www willdan. com/financial Phoenix, AZ Orlando, FL Cin ot'PaLn Desert Presidents Plaza III PBID Reneival Prchminan- En rincer'.s Report F)2011 /2UI2 Not less than forty-five (45) days and not more than ninety (90) days of adopting the resolution of intention, the City Council held 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 (properly 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 and property owners an opportunity to provide oral protests and written protests prior to the adoption of the Engineer's Report and the Management District Plan. 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 and collected. Said annual report shall be filed with the City Clerk and shall contain: any proposed changes to the district boundary; the improvements and activities to be provided that year; the estimated costs for that year; the method of assessment; the amount of any surplus or deficit; and contributions from other sources. The City Council may approve the report as submitted or as modified. City oft'ith t Desert 1'resident's I'Ia a 111 PBID Rene w;d PreGn�iinan- En,-inccr'.s Report FY2011 /2012 Description of the District District Boundary The District consists of all parcels located in the commercial business area known as the President's Plaza III within the City of Palm Desert, County of Riverside. The District includes sixteen (16) assessed commercial parcels. The boundary of the District and the parcels therein are generally located South of Palm Desert Drive at Highway 111; North of El Pasco; West of Sage Lane; and East of Old Highway 74, and includes the Palm Desert Parking Lot — lease parcel to the City of Palm Desert located South of Highway 111; East of New Highway 74; and West of Old Highway 74. Improvements and. Activities In an effort to enhance and improve business opportunities and the appearance of the area known as the President's Plaza III, the Agency provided funds for the renovation and capital improvement of the parking lot and landscaped areas related to this commercial business center. In conjunction with this renovation, President's Plaza III Property and Business Improvement District was formed in 2001, and renewed in 2006, to provide and ensure the continued operation and maintenance of the improvements after the renovations had been completed. Should the District be renewed by the property owners for another five (5) year term, the assessments generated will continue this maintenance. It has been determined that all the properties within the District receive special and distinct benefits from the improvements and activities to be funded through the assessments. The improvements include all necessary activities, services, operation, administration, and maintenance required to keep the improvements in satisfactory condition 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, debris and other solid waste; and, providing for the growth, health and beauty of landscaping 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 lot landscaped areas: including, but not limited to, ground cover, shrubs, trees, plants, irrigation and drainage systems and associated appurtenant facilities; • Parking lot lighting facilities: including, but not limited to, bulbs, fixtures, poles, wiring, and electrical energy; and, • Debris removal: including, but not limited to, regular mechanical sweeping of the parking lot. The costs associated with the improvements are equitably spread among all benefiting parcels within the District utilizing the method of apportionment described in the Method of Cin oi'Pahtt Desert President's Plaza 111 PBU) Reneu-al Preliminan_ Ej,i;>ineer's Rc juirt F1 2011,/2012 Apportionment section of this Report. The total funds collected shall be dispersed and used for only the services and operations provided to the District. Special Benefits of the Improvements and .Activities All assessed properties within the District receive special benefits from one or more of the improvements and activities funded through the District assessments. Specifically, lighting and landscaping amenities within the parking lot, and regular sweeping of the parking lot. The special benefits of lighting (parking lot lights) are the convenience, safety, and security of property, improvements, and goods. Specifically: 1. Enhanced deterrence of crime and the aid to police protection; 2. Increased nighttime safety for patrons and employees; 3. Improved visibility for pedestrians and motorists; 4. Improved 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 associated with the parking area; 7. Increased promotion of business activities and opportunities during nighttime hours; and, 8. The special enhancement to the value of property which results from the above benefits. The benefits associated with landscaped islands and medians within the parking lot are specifically: 1. Improved aesthetic appeal of the parking area and nearby parcels; 2. Improved dust control; 3. Enhanced adaptation of the urban environment within the natural environment; 4. Improved traffic circulation; 5. A positive representation of the businesses within the District; 6. Centralized locations for refuse collection facilities; and, 7. The special enhancement to the value of property which results from the above benefits. Parking lot 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 t%i(1r/tl j'117d1' lc/! _S dt�'L{t;f Cin olIWrn Uesc•ri Presielent's Plaza III PBID Renew td Prclicninan' En,,.,rinccr'.s Rcpor7 FY 2011,/20I2 Enhanced aesthetic appeal of the parking area and the properties that are associated with the parking area; 2. Improved dust control; 3. The special enhancement to the value of property which results from the above benefits. 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. (,'in of l'�ibn Desert President's Plaza III PBID Reneia a/ Prcfintimu.- En >incer'.s Rc port F) 2011,/ 2012 Method of Apportionment Method of Apportionment Rationale The costs of the District improvements have each been apportioned by a formula and method which fairly distributes the net amount to be assessed among all assessed parcels in proportion to the estimated special benefits to be received by each parcel from the improvements. Parking Lot Improvements and Services All assessed parcels within the President's Plaza III PBID have use of, and access to, a centralized parking facility (Io6 that provides access, parking, and delivery areas for the businesses and parcels within the District. Because the parking area is a centralized facility used and accessed by all properties within the District, each parcel's benefit is based on the size of such parcel. Therefore, it has been determined that a fair and reasonable reflection of each parcel's benefit for the parking lot improvements shall be based on the approximate size, in square feet, of each parcel. Method of Apportionment Calculations The Total Direct Costs of the parking lot improvements and services are apportioned to each parcel within the District based on each parcel's lot size in square feet. In addition to a parcel's Total Direct Cost, each parcel is assessed for District administration expenses and a reserve fund collection (Indirect Costs). 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 and Total Indirect Costs. ,Apportionment of Direct Costs The Total Direct Costs estimated for parking lot improvements and services (maintenance) are based on the estimated annual costs to maintain the landscaping, lighting, and mechanical sweeping of the parking lot within President's Plaza lII. These Total Direct Costs, divided by the sum of the square footage of all parcels within the District, establishes a rate per parcel square foot. This rate multiplied by each parcel's square footage equals the parcel's proportionate share of the parking lot maintenance costs (rounded to the nearest even penny). The rate provided in Table 1 is for Fiscal Year 2011 /2012 only. Please refer to the District Budget (Table 4) for future assessment rates. Total Direct Cost/ Total Square Footage = Rate per Square Foot Rate x Parcel Square Footage = Direct Cost Assessment Component il'iil,lrta I rr7�ttt��ira/ 5� sry;�,� (,r,_, ,— Girt o1 Pa/m Desert Prestiient's Plaza III PBLD Rent i+.rl Prclirninan- Ei rginecr'.s Report FY 2011/2012 Table 1: Direct Cost Proposed Assessment and Rate Proposed Proposed Rate Direct Costs (per Square Foot) for for FY 2011-12 FY 2011-12 First Fiscal Year Maximum S 23 Goy S 0 0520 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 (Indirect Costs). These Indirect Costs include all expenses related to the administration of the District as well as the collection of money towards a Reserve Fund. 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 lot size in square feet. The rate provided in Table 2 is for Fiscal Year 2011/2012 only. Please refer to the District Budget (Table 4) for future assessment rates. Total Indirect Cost/ Total Square Footage = Rate per Square Foot Rate x Parcel Square Footage = Indirect Cost Assessment Component Table 2: Indirect Cost Proposed Assessment and Rate Proposed Proposed Rate Indirect Costs (per Square Foot) for for FY 2011-12 FY 2011-12 First Fiscal Year Maximum S 13426 S 00296 Total Annual Assessment Each parcel's Total Annual Assessment is the sum of their proportionate share of the Direct Costs and Indirect Costs. The preceding description of the method of apportionment outlines the estimated cost and rates applied for the District in the first fiscal of this renewal (FY 2011/2012). The rate provided in Table 3 is for Fiscal Year 2011/2012 only. Please refer to the District Budget , able 4) for future assessment rates. Direct Cost Rate + Indirect Cost Rate = Total Rate per Square Foot Total Rate x Parcel Square Footage = Total Parcel Assessment Cin ofl'�ihn Desert President's Pkmi HI 11131D Renviaal Prelimin.arr Engineer's Report Fr 2011,E 2012 Table 3: Total Cost Proposed Assessment and Rate Proposed Proposed Rate Direct Costs (per Square Foot) for First Fiscal Year for FY 2011-12 FY 2011-12 Direct Costs Maximum S 23 649 S 0 0520 Indirect Costs S 13 426 S 0 0296 Total Costs Maximum $ 37.074 $ 0 0816 Annual Budget Adjustments For the five years of the term of the PBID renewal, annual assessments may be adjusted by the President's Plaza III PBID owners' association up to three percent (39/o) per year. Actual annual adjustments may range from zero percent (0%) to three percent (3%). Adjustments may differ from year to year depending on the service needs identified by the owners' association. In any event, assessments will not exceed the levels illustrated by the District Budget (Table 4). Any annual budget surplus or deficit will be accrued into the following year's PBID budget. Assessments will be set accordingly, within the constraints of the annual adjustment, to adjust for surpluses or deficits that are carried forward. Cite at P.rbn Desert Presidents Plaza 111 PBID Rcttcmal 1'rc 1irninarc Engineer''s RcPurt Ff-2011/ 2012 Description of Budget Items In Table 4 Direct Benefit Casts Weekly cleaning of the parking lot and gutters using a contracted, mechanized service. Includes all regularly scheduled labor, material (eg. pipe, fertiliser, insecti(ides), and equipment required to properly maintain and ensure the satisfactory condition of all landscaping, irrigation and drainage systems, and appurtenant facilities. All landscaping improvements within the District are contracted for maintenance and service on a regular basis. The frequency and specific maintenance and operations required within the District will be determined by City staff. 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 lighting materials or renovation of lighting systems. 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 materials or renovation of irrigation systems. Utility cost to furnish water for required landscape irrigation. 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 includes normal maintenance and bulb replacement. This cost does not include repairs or replacement of damaged facilities due to vandalism, accidents or storms. Utility cost for furnishing of electricity required for the operation of the irrigation systems and landscape maintenance. 1 10 Cif o/-PaLtn Dc.4crt Presrilcnt's Plaza 111 PBID Rencw;tl Prchininan- Er{ ;'incer's Ri pw-t F) 2011,1 �01? Indirect Benefit Costs (. dmin.istration/Reserves) 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. This is the actual cost to the District for the County to collect District assessments on the property tax bills. This charge is based on a flat rate per fund number. F.. , v ft :`, . ,.,Jd f I This is the cost to the District for the County to collect assessments on the property tax bills. This charge is on a per assessment basis, at $0.50 per assessment, and is in addition to the County Administration Fee. The Operating Reserve Fund provides for collection of funds 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 installment 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 2011/2012 through FY 2015/2016. The Operating Reserve Fund may also be used to offset any unforeseen costs such as repairs, legal fees, revenue deficits, or increased costs due to inflation or contractual agreements that are greater than originally planned. The Parking Lot Maintenance Fund provides funds for the sealing and re -striping of the parking lot after the fourth year of this renewal term of the District. The parking lot's total surface area is approximately 184,000 square feet. During December 2005, the District's cost of sealing and re -striping the parking lot was $27,200 (15.5 cents per square foot multiplied by 175,520 square feet of surface area) and its cost of repairs within the parking lot was $24,300 (for 8,500 square feet of surface area); for a total cost of $51,500. The cost of sealing and re -striping the parking lot's total surface area of 184,000 square feet would have been approximately $28,520 (15.5 cents per square foot multiplied by 184,000 square feet of surface area) . This line item supports insurance costs for the operation of the District. Girl ofPalm Desert Levy Breakdown President's Plaint 111 PBID Rcnciv;d Prehininnn' E'n,­inecr's Rcport FY-1#11 / 2012 This is the sum total of all budgeted Direct and Indirect costs. District Statistics r The total number of parcels within the District. The total number of parcels within the District that will be assessed. Non -assessed lots or parcels include easements, common areas, and parcels within the boundaries of the District that currently do not benefit from the improvements and which are not included in the Total Parcels to Levy. This is the sum total of the assessed parcels' square footage applied to each assessed parcel within the District. This amount represents the Rate for Direct Costs being applied to each assessed parcel's individual lot square footage. The Levy Rate per Direct Costs is the result of dividing the estimated Total Direct Costs for that year by the sum of the District's Total Parcels Square Footage. The rate is calculated to four decimal places. This amount represents the Rate for Indirect Costs being applied to each assessed parcel's individual lot square footage. The Levy Rate per Indirect Costs is the result of dividing the estimated Total Indirect Costs for that year by the sum of the District's Total Parcels Square Footage. The rate is calculated to four decimal places. This amount represents the Rate being applied to each assessed parcel's individual lot square footage. The Levy Rate per Square Foot is the result of dividing the estimated Total District Costs for that year by the sum of the District's Total Parcel Square Footage. The rate is calculated to four decimal places. 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 and the resulting rates for Fiscal Year 2011/2012 through Fiscal Year 2015/2016 are based on the 11 li%r,tn 1 IP.111, 1,,A C'its ofPsihn Desert President's Plaza III PBID Renewal I'rclitninan_ En, inc•er's Rty)oi-t F3 2O111/2012 estimated costs to provide the improvements and services for each year. Direct Costs, District and County Administration Costs, and Insurance Costs are adjusted for the three percent (3%) inflation factor. The owners' association, appointed by the City Council, will annually review the District costs and make recommendations for any changes or adjustments to the budget. Changes to the budget could result in changes to the annual assessment but, the resulting total assessment may not exceed the maximum rates established in this Report without first obtaining property owner approval through assessment ballots. Table 4: Five Year Budget Budget Item Actual Proposed Assessment FY 2011-2012 l': Maximum 2011-2012 Proposed 2012-2013 Assessment for Fiscal Years 2013-2014 2014-2015 2015-2016 D.rec., hosts Sweeping Serices S 4 637 5 4 637 S 4 776 S 4 919 S 5 067 S 5 219 Landscape Contract Maintenance 5 217 5 217 5 373 5 634 5 700 5 871 Lighting Repair & Maintenance 1 391 1 391 1 433 1.476 1 620 1 566 Landscape Repair & Maintenance 4 057 4 057 4 179 4 305 4 434 4 567 Landscape Utilities -'A-later 2 319 2 319 2 388 2 460 2 534 2 610 Street Lighting Utilities - Electric 5 449 5 449 5 612 5 780 5 954 6 132 Landscape Utilities - Electric 580 580 597 615 633 652 Subtotal Direct Costs S 23 649 5 23 649 5 24 359 5 25 089 5 25 842 5 26 617 rrd rect Costs District Administration 4 057 4 057 4 179 4 305 4 434 4 567 County Administration Fee 203 203 209 215 222 228 County Per Parcel Fee 8 9 10 10 10 10 Operating Reserve Fund Collection 1 030 1 030 1 000 1 000 1 000 1 000 Parking Lot Maintenance Fund Collection 6 386 6 386 6200 6200. 6200 6 200 Insurance 1 739 1 739 1 791 1 845 1 900 1 957 Subtotal Indirect Costs S 13 423 5 13 426 S 13 389 S 13 574 S 13 766 S 13 963 Les, Brakdots^ Total District Costs 37 072 37 074 37 747 38 664 39 608 40 580 Balance to Levy 5 37 072 5 37 074 S 37 747 S 33 664 S 39 606 5 40 580 D-strct Stat,sbcs Total Parcels 16 16 16 16 16 16 Total Parcels To Levy 16 16 16 16 16 16 Total Parcels Square Footage 453 956 453 956 453 956 453 956 453 956 453 956 Le•.y Rate per Direct Costs per Sol Ft S 0 0520 S 0 0620 S 0 0638 S 0 0554 5 0 0670 5 00588 Levy Rate per Indirect Costs per Sq Ft S 0 0296 S 0 0296 S 0 0296 5 0 0300 5 0 0304 S 0 0308 Total Levy Rate per Square Foot 5 00816 5 0 0816 S 00832 5 00862 5 0 0374 5 0 0894 0perat'rg Reserve Fi rd ea'arce Pre,,ious Balance - - 1 030 2030 3 030 4 030 Ending Balance 1 030 1 030 2030 3 030 4 030 5 030 Padcrg Lot (dlia,rferaree FiiYd Baia+ice Previous Balance - - 6 386 12 586 18 786 24 986 Ending Balance 6 336 6 386 12 586 18 786 24 986 31 186 f'aximum arrual assessments far erect ccsts. cistrict and ccunty admmistraticn, and insurance are adjusted ty 348 from the pre. ieus Fiscal - ear far Fiscal ears 2C 12-12 mrrueh 201`-20H —he PSIC =d, iscry .ear Scar-. v;ill determine the amcunt rf any actual increase far these years -;hich may net exceed'02 per F" 2C11-12 >+ctual and tsaximum Prapcsed ;ssessnnents are tre same. Scurces: Cay of Palm Cesen: 'i ,llldar Financial Ser.lees i►`i/,'rl,/a !'rtrrtnlitl S"IT/ir"i 1,,,.- / ; City of PaLn Desert Presicicrnt's Plaza HI PBID Reneu;d Pre/iininan_ ' E,{,-incer's Report FI 2011;!2012 Appendix A Assessment Diagram The Assessment Diagram for the District is on the following page and is inclusive of all parcels identified on the County of Riverside Assessor's Parcel Maps as Book 627, Page 192. The Assessment Diagram will be kept on file with the City Clerk of the City of Palm Desert. 11 !4Zs1/I 1l.k _5 i', ,' rp, 1 1 U) 0 F- z w 2 w 0 Ir LL 0- U) U) w w R z <U) 0 ZZ) m Z) z < C) (W1) OW CL Q- 00 as r C in ofPaltn Desert Presidenr's Plaza IU PBID Renci+,d Prelimin;an- Engincer's Report Ff'2011112012 Appendix B Assessment Roll Parcel identification, for each lot or parcel within the District, shall be the parcel as shown on the County Assessor's Map for the year in which this Report is prepared. The Assessment Roll, which includes a listing of assessor parcels assessed within this District, along with their assessment amounts, is shown in Table 5 on the following page. Z: v V E y C EoE�- fC C fb O Q6 �. H N Z a CD Go LL Jj `1 Q ID P LE E Q z O �t O to m m" LIO C7 N N 0 0 (D t_n N (D T In In r- M O K In N r- CO (D In Lo r-. r- CIJ f7) r- In Cl) -t (D "t N r- T M In m O M M (.o r-- r- r-- (D In M (D CV 't N CD -t oD co r- m m Qf m M In r- r- K CO O r- 01) N N M C"7 M T N M T rt Ln O 't C? (.D CO m N CD O CCl " CD O (D (D N LoT In In r-- m O �t In CV r- co (D In (D r- r~ N Cif r- In M 't (D -S N r-- T M In 0) O M M (D r. r r- (D T In M (n N -t N m -t o m r m o, rn 0y In r- r-. -t o cD r-- a, N CN M M m T N M T -.-r (n (A (n W3 Lo Ci3 fn W UD wi W W Cn W Ln Cn ooCD0000000000000 0 0 0 0 0 0 0 0 0 0 CD 0 0 0 0 0 O M O O Co (D "f O CO M `t W T N CO O M �t M In M T W M r-- CV `t M M "t O M M M M M M r- In r- T K CO `t C)) In •- O M T - t- T In M In (-D r- "t '-'t r CQ T r Cl) T T T T M `t y- -T — M Co T F- T T U) T T T .>'}000000i->_>-Qo> >-O W W W W W W Q Q Q W W Q Q W C� CiJ fi} Cn Cn UJ _ _ w w e _- w J J J J J J(D 0 0 J J(D(D J m m W W W W W W m m m W W m m W In T CD O CD O O CDT T In 0 0 In In O r To(Dr-mo7oetoN-toInm_M T N T T CV CV T T O O T M M M M M M M M M M M M M M M (•-i h• r- f^^- h- h- 1`-- r-- r- r- r- r- r• r-. r- r- r-. P C3()m mLLJ 2 (?0 '-CC W CC 7' o= T a W O < J Q _ LL WWzQQ<� c7 LU F— F- o f- m oa J ~J J `)QC)�cA— WWW W JO °YCC WJ W 12 W CL (y ,o -J am a. M�' J o WW0<U~ -UM CC cc oCL J cc `ocnLaow�al-wwEx Wm Of ` m� J �QJM_ W Q--j =D9 _J`T<J 00WRJmm W LL�F-UW u-0 W N M •t 1"') '-t In tD r- DO 07 O O O T C11 N N. N OCDO C O OI CD 0 0 0 C7 O CO CS CD CDCV CV CV N CV CV N CV CV CV CV CV CV CV C11 CV rnm0na)ofmmm )mrn0-,amcnsOrn T T T T T T T T T T T T T T T T r2- r�- r- r�- r- r- r- r- r'- r- P-. r - r- r. r- r- N N. N N. N N N N. N. N .. CO (D CD (D (D (D (D (D ( o (D (D (D (D w (D (D T r- Ell Vy M rN- 0 �i (» T N [•'i <f In (D h- CO O? O T r r r"7- In CT O RESOLUTION NO. 2011- 68 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, APPROVING THE FINAL MANAGEMENT DISTRICT PLAN FOR THE PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2011/2012 AND APPOINTMENT OF AN OWNER'S ASSOCIATION RECITALS WHEREAS, pursuant to the provisions of Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the "Act"), property owners within the President's Plaza III Property and Business Improvement District (hereafter referred to as the "District"), representing more than 50 percent of the proposed assessment to be levied have presented to the City Council a written petition for the formation of the District; and, WHEREAS, the City Council pursuant to the Act, did by previous resolution order the Assessment Engineer, Willdan Financial Services, (hereafter referred to as "Engineer") to prepare and file a Management District Plan (hereafter referred to as "Report") in connection with the formation of the District, and the establishment of maximum assessments to pay the maintenance and services of landscaping, lighting, street sweeping and all appurtenant facilities and operations related thereto; and, WHEREAS, the Engineer has prepared 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 President's Plaza I II Property and Business Improvement District, Fiscal Year 2011/2012; 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 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 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. RESOLUTION NO. 2011- 68 Section 3: Pursuant to the Act, the City Council hereby appoints the President's Plaza 111 Owner's Association as the Owner's Association for the District. This Owner's Association consists of at least one member that is a business licensee within the District who is not also a property owner within the District. This Owner's Association shall cause to be prepared a report for each subsequent fiscal year for which assessments are to be levied and collected. Said annual report shall be filed with the City Clerk and shall contain: any proposed changes to the district boundary; the improvements and activities to be provided that year; the estimated costs for that year; the method of assessment; the amount of any surplus or deficit; and contributions from other sources. The City Council may approve the report as submitted or as modified. 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 Owner's Association. PASSED, APPROVED, AND ADOPTED this 14th day of July, 2011, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA JEAN M. BENSON, MAYOR 2 RESOLUTION NO. 2011- 69 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, TO APPROVE THE FINAL ENGINEER'S REPORT FOR THE PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT, FISCAL YEAR 2011/2012 RECITALS WHEREAS, the City Council has retained Willdan Financial Services for the purpose of assisting with the Annual Levy of the President's Plaza III Property and Business Improvement District (hereafter referred to as the "District"), and to prepare and file an Engineer's Report (hereafter referred to as the "Report") with the City Clerk in accordance with the provisions of California Constitutional Articles X111C and X111D; and, WHEREAS, there has now been presented to this City Council the final Engineer's Report as required by California Constitutional Articles XI11C and X110; and, WHEREAS, this City Council has carefully examined and reviewed the Report as presented, and is satisfied with the District, each and all of the budget items and documents as set forth therein, and is satisfied that the levy amounts have been spread in accordance with the special benefit received from the improvements, operation, maintenance and services to be performed within the District, 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: Engineer's Report: The City Council hereby orders Willdan Financial Services to prepare and file with the City Clerk the Engineer's Report concerning the levy of assessments for the District for the fiscal year commencing July 1, 2011, and ending June 30, 2012, in accordance with California Constitutional Articles XI11C and X111D. Section 2: Proposed improvements and any substantial changes in existing improvements: The improvements within the District include: landscaping, lighting, and street sweeping. The Engineer's Report describes all the improvements and any substantial changes in existing improvements. Section 3: That the "Engineer's Report" as presented, consists of the following: a) A Description of Improvements. b) The Annual Budget (Costs and Expenses of Services, Operations and Maintenance). c) The Method of Apportionment. RESOLUTION NO. 2011- 69 Section 4: The "Engineer's Report" as presented is hereby approved and ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection. Section 5: 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 the Report. PASSED, APPROVED, AND ADOPTED this 14th day of July, 2011, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA JEAN M. BENSON, MAYOR E RESOLUTION NO. 2011- 70 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA ORDERING THE FORMATION OF THE PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT AND THE LEVY AND COLLECTION OF ASSESSMENTS FOR SAID DISTRICT FOR FISCAL YEAR 2011/2012 RECITALS WHEREAS, pursuant to the to the provisions of Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the "Act"), property owners within the proposed District, representing more than 50 percent of the proposed assessment to be levied have presented to the City Council a written petition for the formation of the President's Plaza I I I Property and Business Improvement District (hereafter referred to as the "District"), and the levy and collection of assessments; and, WHEREAS, the City Council, pursuant to the Act did by previous Resolutions initiate proceedings and order the preparation of a Management District Plan in connection with the formation of the District, and the establishment of maximum assessments over the next five years to pay the maintenance and services of landscaping, lighting, street sweeping and all appurtenant facilities and operations related thereto; and, WHEREAS, the City Council, pursuant to the Act did by previous Resolution appoint an Owner's Association consisting of at least one member that is a business licensee within the District who is not also a property owner within the District, and this Owner's Association shall cause to be prepared an annual report regarding the District for the City Council's approval; and, WHEREAS, the City Council called and duly held a property owner protest proceedings for the District pursuant to the provisions of the Act and the California Constitution Articles XIIIC and 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 the next five years for the costs and expenses associated with the maintenance and operation of landscaping, lighting, street sweeping and all appurtenant facilities related thereto; and, WHEREAS, the protest proceeding was conducted, with ballots presented to qualified property owners of the District for receipt by the City Clerk on July 14, 2011, weighted according to the proportional financial obligation of the affected property, and the tabulation of said protest ballots returned by the property owners indicated approval of the assessment and maximum assessment allowed over the next five years; and, RESOLUTION NO. 2011. 70 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 form the President's Plaza III Property and Business Improvement District and to levy annual assessments for a duration of not more than five years pursuant to the provisions of the Act. Section 3: The City Council hereby declares pursuant to the Act and the method of apportionment described in the Management District Plan, that said annual assessments shall not exceed the maximum assessment approved by the property owners and shall commence with the first fiscal year beginning July 1, 2011 and ending June 30, 2012 to pay the costs and expenses of operating, maintaining and servicing said improvements located within the District. Section 4: Following notice duly given, the City Council has held a full and fair Intent Meeting and Public Hearing in connection therewith; the levy and collection of assessments, and considered all oral and written statements, protests and communications made or filed by interested persons. The City Clerk has tabulated the ballots and determined that the property owners have approved the annual levy and collection of assessments and a maximum assessment over the next five years as outlined in the Management District Plan, in full compliance with California Constitution Articles X111C and X111D. Section 5: Based upon its review of the Management District Plan, a copy of which has been presented to the City Council and which as been filed with the City Clerk, the City Council hereby finds and determines that: i.) 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. ii.) District includes all of the lands so benefited; and iii.) 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, 2011 and ending June 30, 2012 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. iv.) The Assessments so described in the Management District Plan are consistent with the assessments so approved by the property owners within the District. 2 RESOLUTION NO. 2011- 70 Section 6: The Report and assessments as presented to the City Council and on file in the office of the City Clerk are hereby confirmed as filed. Section 7: The City Council hereby orders the proposed improvements to be made, and the levy and collection of annual assessments to pay for those improvements to be presented to the County Auditor/Controller of Riverside commencing with Fiscal Year 2011/2012. 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. Section 8: The City Treasurer shall deposit all money representing assessments collected by the County for the District to the credit of a fund for the President's Plaza III Property and Business Improvement District, and such money shall be expended only for the improvements described in the Management District Plan. Section 9: The adoption of this Resolution constitutes the District levy for the Fiscal Year commencing July 1, 2011 and ending June 30, 2012. 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 14'h day of July, 2011, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA JEAN M. BENSON, MAYOR 3 RESOLUTION NO. 2011-71 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, DECLARING THE RESULTS OF A PROPERTY OWNER PROTEST PROCEEDING FOR THE PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT AND APPROVING CERTAIN RELATED ACTIONS RECITALS WHEREAS, The City Council called and duly held a property owner protest proceeding for the President's Plaza III Property and Business Improvement District (hereafter referred to as the "District") pursuant to the provisions of Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the "Act") and the California Constitution Articles X111C and 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 the next five years for the costs and expenses associated with the maintenance and operation of landscaping, lighting, street sweeping and all appurtenant facilities related thereto; and, WHEREAS, the landowners of record within the District as of the close of the Public Hearing held on July 14, 2011 did cast their ballots, the results of which are illustrated below: Total Ballots Cast Yes Total No Total NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL FOR THE DISTRICT, AS FOLLOWS: Section 1: The above recitals are true and correct. Section 2: The protest proceeding was conducted, with ballots presented to qualified property owners of the District for receipt by the City Clerk on July 14, 2011, weighted according to the proportional financial obligation of the affected property. Section 3: The results of the tabulation of the valid property owner protest ballots returned by the property owners within said District, prior to the conclusion of the Public Hearing and property owner protest proceeding held for the District on July 14, 2011, is hereby confirmed and made public record. Section 4: The tabulation of the valid property owner protest ballots returned by the property owners within said District indicates approval of the assessment and maximum assessment allowed over the next five years. Therefore the City Council is hereby authorized to take the necessary steps to levy the assessments as approved. RESOLUTION NO. 2011- 71 Section 5: The City Clerk is hereby directed to enter this Resolution on the minutes of the City Council which shall constitute the official declaration of the result of such property owner protest proceeding. Section 6: This Resolution shall become effective immediately upon its adoption. Section 7: The City Clerk shall certify the adoption of this Resolution. PASSED, APPROVED, AND ADOPTED this 14th day of July, 2011, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA JEAN M. BENSON, MAYOR 2