ITEM 6-D
Council Meeting: May 24, 1994 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Recommendation to Set a Public Hearing for July 26, 1994
for the Confirmation of Assessment of Costs for the
Installation of Streetlights and the Replacement of
Deteriorated Streetlights on Various City Streets
Introduction
This report requests that the City Council set a public hearing
for July 26, 1994 for the confirmation of assessment of costs for
the installation of streetlights on
6TH STREET - from Santa Monica Blvd. to Arizona Avenue;
24TH STREET - from Wilshire Blvd. to Arizona Avenue;
ARIZONA AVENUE - from Franklin Street to Centinela Avenue;
CALIFORNIA AVENUE - from 25th St. to 26th St.;
30TH STREET - from Pearl Street to Ocean Park Boulevard;
YALE STREET - from Wilshire Boulevard to Washington Avenue;
and the replacement of deteriorated streetlights on
SAN VICENTE BOULEVARD from 4th Street to 7th Street.
Background
In accordance with City policy, occupants desiring streetlights
installed in their area must circulate a petition and information
sheet prepared by City staff to each potentially affected
property owner or occupant. The information sheet briefly
explains the process and how each property owner will be assessed
and the regulations pertaining to the pass through of costs to
tenants. Meetings are held with property owners and occupants of
the petitioned streets. Successful streetlight petitions contain
the signatures of a minimum of sixty percent (60%) of each area's
occupants. Petitions are then presented to the City Council and
a public hearing to address protests is held.
Property owners are assessed for streetlighting based on the size
of their property. Residential property owners are assessed 50%
of their property's front footage and for corner lots, 20% of
their side footage costs, with the City paying the remaining 50%
and 80%, respectively. Commercial property owners are assessed
100% of their front footage and 40% of the side footage costs,
with the City paying the remaining 60%.
The City's portion of the assessment costs is financed out of the
annual Streetlight Capital Improvement Project Account. Low to
moderate income households can apply for assistance through a
CDBG grant program.
Discussion
Property owners and occupants of the aforementioned streets
obtained the required percentage of area signatures, which
resulted in valid petitions. The property owners on Yale Street
requested a more expensive decorative streetlight for their area
and will pay the difference in cost between the standard
streetlights and the decorative streetlights. Hence, their share
of the assessments will be higher than that of the other areas
which requested the standard streetlights.
In addition, staff independently determined that the
streetlighting system on San Vicente Boulevard from 4th Street to
7th Street was in need of replacement. This determination was
based on the numerous repairs required over the past few years
and the number of repairs anticipated in the near future to
maintain the 72-year old, badly deteriorated system on San
Vicente Boulevard. A meeting was held with property owners and
occupants of San Vicente Boulevard to discuss their inclusion in
the streetlighting assessment district. Residential property
owners on San Vicente Boulevard are assessed 50% of the costs
with the City assuming the remaining 50% of the residential
assessments. The one commercial property owner on San Vicente
Boulevard is assessed 100% of the costs.
After holding the public hearings to form the assessment
district, the City Council ordered the work to begin. The
project was competitively bid by private contractors, a contract
was awarded by the City Council to Paul Gardner Corporation, the
lowest responsible bidder and bonds were authorized to be sold.
Owners have the option of either paying for the improvements over
ten (10) years at an 8.8% interest rate, or paying their
assessment in full within 30 days after being invoiced. The work
has been completed and the streetlights are fully operational.
Engineering Division staff will provide the Rent Control
Department staff with assessment amounts for each property, who
will work with landlords regarding the pass-through of costs to
tenants.
Staff is requesting that a public hearing be set for July 26,
1994, pursuant to Section 5882 of the California Streets and
Highways Code. Notices will be posted, and property owners and
occupants will be notified by mail 45 days in advance of the
public hearing of their assessment amount, and the time and place
of the public hearing for the confirmation of assessment of
costs.
The assessment diagram and list of property owners will be
available at the time of the public hearing.
Budget/Financial Impact
The assessment cost for commercial and residential property
owners for the installation of standard streetlighting is $22.00
and $11.00 per front footage respectively. Commercial and
residential property owners on Yale Street will be assessed
$22.55 and $11.55 per front footage respectively. Commercial and
residential property owners on San Vicente Boulevard will be
assessed $30.40 and $15.20 per front footage respectively. These
assessed costs are lower than the original estimates provided to
property owners and occupants.
The total project cost is $264,585. This includes $208,294 for
construction costs and $56,291 for incidental costs. Incidental
costs are the expenses incurred by the City for project
management, inspection, administration of the assessment
district, advertisement, mailings and notification of property
owners, recordation costs, and invoicing, up to ten (10) years,
of property owners who choose to pay their assessment on the
installment plan. The property owner's share of assessment is
based on the total project cost and includes incidental costs.
The Contractor will reimburse the City $26,508 for the property
owners' contribution to the incidental costs. The balance of
$29,783 in incidental costs is the City's responsibility and will
not be reimbursed by the Contractor.
The cost breakdown is as follows:
Property Owners Share (including incidental costs) $ 129,471
City's Share (including incidental costs) $ 135,114
Total Project Cost (including incidental costs) $ 264,585
The City paid the Contractor $103,744.26 at completion of
construction from CIP accounts:
01-770-453-20092-8900-99154 $39,200.00
01-770-453-22387-8917-99154 $19,145.00
01-770-453-25491-8917-99155 $31,229.26
01-770-453-25490-8900-99155 $14,170.00
The remaining costs for the construction will be paid through
property owner assessments. Paid cash assessments will be held
in trust account #80-000-000-00000-9750-04289 pending payment to
the contractor's assignee. Bonds are then issued for any unpaid
assessments. Bond proceeds are paid to the contractor's assignee
and the property owner(s) remits to the bond holder over time.
Recommendation
It is recommended that the City Council adopt the attached
resolution setting a public hearing for July 26, 1994, for the
confirmation of assessment of costs for the installation of
streetlights and the replacement of deteriorated streetlights on
various streets throughout the City.
Prepared by: Craig Perkins, Director of General Services
Anthony Antich, City Engineer
Attachments: Resolution of Intention
RESOLUTION NO. __________
(CITY COUNCIL SERIES)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA
MONICA SETTING A PUBLIC HEARING ON JULY 26, 1994, FOR
ANY PROTESTS OR OBJECTIONS TO THE CONFIRMATION OF
ASSESSMENT OF COSTS FOR STREETLIGHT INSTALLATION AND
REPLACEMENT OF DETERIORATED STREETLIGHTS ON VARIOUS CITY
STREETS
WHEREAS, the City of Santa Monica is a charter City of the
State of California,
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The Superintendent of Streets will file a report
of work pursuant to Section 5882 of the Streets and Highways Code
of the State of California, relating the installation of high
pressure sodium streetlight systems completed on:
6TH STREET - from Santa Monica Blvd. to Arizona Avenue;
24TH STREET - from Wilshire Blvd. to Arizona Avenue;
ARIZONA AVENUE - from Franklin Street to Centinela Avenue;
CALIFORNIA AVENUE - from 25th St. to 26th St.;
30TH STREET - from Pearl Street to Ocean Park Boulevard;
YALE STREET - from Wilshire Boulevard to Washington Avenue;
and the replacement of deteriorated streetlights on:
SAN VICENTE BLVD. - from 4th Street to 7th Street, all with
the City of Santa Monica.
SECTION 2. Pursuant to Section 5870, et seq. of said
Code, the City Council does hereby order and declare that on the
26th day of July, 1994, at 6:30 p.m. in the City Council Chambers
of the City Hall, 1685 Main Street, Santa Monica, California
90401, will hear and pass upon the report by the Superintendent
of Streets, of the cost of improvements together with any
objections or protests, if any, which may be raised by any
property owner liable to be assessed for the cost of such
improvement and any other interested persons.
SECTION 3. All protests or objections must be in writing
and filed with the City Clerk on or before the time set for
hearing of protests and objections.
SECTION 4. The City Clerk hereby is directed to mail
notices, in the manner and form prescribed by law, of the cost of
improvement and of the adoption of this Resolution to all persons
owning commercial, industrial, or residential real property in
the hereinbefore described assessment district, whose names and
addresses appear on the last equalized assessment roll for the
City taxes or as known to the City Clerk.
SECTION 5. The City Clerk hereby is directed to publish
this Resolution, in accordance with Government Code Section 6066,
in The Outlook, once a week for two weeks, with at least five
days intervening between the first date and second date of
publication. The first publication is to be made not less than
forty-five (45) days prior to the date of the above public
hearing.
SECTION 6. The City Clerk shall certify to the adoption
of this resolution, and thereafter the same shall be in full
force and effect.
APPROVED AS TO FORM:
__________________________
MARSHA JONES MOUTRIE
City Attorney