City Council Meeting: May 8, 2001                                     Santa Monica, California

 

 

TO:                  Mayor and City Council

 

FROM:            City Staff

 

SUBJECT:         Accept the Certified Results of the Streetlight Installation Assessment Election, Approve the Formation of Assessment Districts along Various Streets based upon the Results, Adopt the Attached Resolution of Intention to Assess Property Owners for the Construction Cost of Streetlight Installation in Conformance with Proposition 218 and Direct Staff to Proceed with the Streetlighting Project

 

Introduction

This report recommends that the City Council accept the certified results of the streetlight installation assessment election as tabulated by the City Clerk and approve the formation of various Assessment Districts based upon the results of the election for the installation of new streetlights in conformance with Proposition 218.

 

The report also recommends that the City Council adopt a Resolution of Intention to assess property owners for the construction cost of streetlight improvements and issue bonds as security for unpaid assessments in conformance with Proposition 218 and order the work to begin.

 

Background

On April 10, 2001 City Council held a Public Hearing for the Formation of Streetlight Assessment Districts in conformance with Proposition 218 for the following streets:

           

            District “A”     Ozone Avenue           -           Lincoln Boulevard to Frederick Street

           District “B”     Dewey Street              -           17th Street to 23rd Street

            District “C”     Robson Street           -           17th Street to Dewey Street

District “D”     Marine Street             -           Lincoln Boulevard to 17th Street

District “E”     Strand Street              -           5th Street to 6th Street

District “F”      Frederick Street      -            Marine Street to Dewey Street

 

Discussion

Ballots were tallied proportional to the financial obligation of each affected property.  The City Clerk received ballots and kept them secured until this Council meeting. The results are as follows:

DISTRICT

LOCATION

RESULT

A

Ozone Avenue - Lincoln Boulevard to Frederick Street

Failed

B

Dewey Street -17th Street to 23rd Street

Passed

C

Robson Street - 17th Street to Dewey Street

Passed

D

Marine Street - Lincoln Boulevard to 17th Street

Passed

E

Strand Street - 5th Street to 6th Street

Failed

F

Frederick Street - Marine Street to Dewey Street

Failed

 

The City will solicit competitive bids for the project and Council will award a contract to the best bidder.  Property owners may pay for the improvements in full after construction is completed, or they may choose to pay the bondholder in installments over a ten-year period at an interest rate of 9.5%.

 

Budget/Financial Impact


The proposed total cost breakdown for the project is as follows:

Estimated property owner assessments                                     $ 154,100

Estimated City contributions                                                         $ 309,900

Total project estimate                                                      $ 464,000

 

Funding for the City portion in the amount of $309,900 is available in the following account: C01072400.589000 – “Streetlight Retrofit Program”. The remaining estimated costs for the project in the amount of $154,100 would be paid through the property owner assessments.  Assessments will be paid upon completion of the work and will be held in a Trust Account pending payment to the Contractor.  Bonds are issued for any unpaid assessments.  Bond proceeds are paid to the Contractor or assignee, and the property owner(s) then reimburse the bond holder(s) over time.

 

Recommendation

Staff recommends that the City Council:

1.   Accept the certified results of the streetlight installation assessment election;

2.   Approve the formation of various assessment districts;

3.      Adopt the attached Resolution of Intention; and

4.      Order the work to begin.

 

Prepared by: Craig Perkins, Director of Environmental and Public Works Management

          Anthony Antich, P.E., City Engineer

                     Dave Britton, P.E., Senior Civil Engineer

                     Ruth Odell, Engineering Support Services Supervisor

                       Jim Creager, P.E., Civil Engineer

 

 

 

 

 

Attachment:  Resolution of Intention

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PWM:CP:AA:DB:RO F:\DATA\SPFILES\SP1797\CC1797-Resolution5_8_01.doc

City Council Meeting: May 8, 2001                                             Santa Monica, California

 

RESOLUTION NUMBER _______

(CITY COUNCIL SERIES)

A RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA FINDING THAT THE PUBLIC CONVENIENCE AND NECESSITY REQUIRE THE CONSTRUCTION OF STREETLIGHTING AND DECLARING ITS INTENTION TO CONSTRUCT STREETLIGHTING ON VARIOUS CITY STREETS AS SHOWN ON CITY DRAWINGS NO. 10077A THRU 10079A WITHIN THE CITY OF SANTA MONICA

 

WHEREAS, the City Council of the City of Santa Monica proposes to initiate proceedings for the establishment of assessment districts and the levy of assessments for payment of costs of streetlight improvements in accordance with the requirements of Article XIII D of the California Constitution, the Proposition 218 Omnibus Implementation Act (Government Code Sections 53750 et.seq.), and Section 7.04.860 of the Santa Monica Municipal Code for the following areas in the City of Santa Monica:

District B     Dewey  Street                  -           17th Street to 23rd Street

District C     Robson Street                 -           17th Street to Dewey Street

District D     Marine Street                  -           Lincoln Boulevard to 17th Street

 

 


WHEREAS, Section 19 of Article XVI of the California Constitution provides that certain specified debt limitation and majority protest provisions shall not apply if, after the giving of reasonable notice by publication and posting and the holding of such public hearing as the City Council of the City of Santa Monica shall have prescribed, the City Council by no less than four-fifths vote of all members thereof finds and determines that the public convenience and necessity require the proposed improvements to be made; and

 

WHEREAS, Streets and Highways Code Section 2804 provides that the "Special Assessment, Investigation, Limitation and Majority Protest Act of 1931" shall not apply to any proceeding otherwise subject thereto when the improvement proceeding is held by a charter city and the City has complied with the provisions of Section 19 of Article XVI of the California Constitution; and

 

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 RESOLVE AS FOLLOWS:

 

SECTION 1.   The City Council proposes to initiate proceedings for the installation of streetlight improvements and appurtenant work on the streets shown on City Drawings No. 10077A through 10079A and generally known as FY 2000-2001 - Construction of High Pressure Sodium Streetlight Systems on:

  

District B     Dewey  Street                  -           17th Street to 23rd Street

District C     Robson Street                 -           17th Street to Dewey Street

District D     Marine Street                  -           Lincoln Boulevard to 17th Street

 

 

 

 

SECTION 2.   The total estimated cost of the proposed improvements is $464,000  

                         The property owners’ share of the cost is estimated at $154,100.

 


SECTION 3.   Improvements shall be conducted in accordance with the requirements of the Proposition 218 Omnibus Implementation Act, Section 7.04.860 of the Santa Monica Municipal Code and the Improvement Act of 1911 (Section 5000 et.seq. of California Streets and Highways Code).

 

SECTION 4.   On August 9, 2000 at 7:00 p.m., a public meeting was held between City staff and affected property owners and residents to discuss the location of streetlights, types of streetlights and estimated costs.

 

SECTION 5.   The proposed improvements are of more than local or ordinary public benefit, and the City Council hereby resolves that the assessment districts in the City of Santa Monica to be benefited by the improvements be assessed a portion of the costs of the improvements as hereinafter provided.    In accordance with past City policy, the proposed assessment spread for streetlights is:

 

TYPE OF

TYPE OF

CITY

PROPERTY

PROPERTY

FOOTAGE

SHARE

SHARE

RESIDENTIAL

FRONT FOOTAGE

50%

50%

 

SIDE FOOTAGE

80%

20%

NON-RESIDENTIAL

FRONT FOOTAGE

20%

80%

 

SIDE FOOTAGE

60%

40%

 

            These proposed assessment amounts are equal to or less than the proportionate special benefit cost of streetlight for each parcel as identified in the Engineer’s Report. 

            The assessment districts are depicted in Drawings No. 10077A through 10079A, which are on file in the Office of the City Engineer.

            All public streets, alleys, or portions thereof, hereby are excepted from the districts.

 

 

SECTION 6.   Parcels owned by non-profit organizations, which can demonstrate that the organization receives a welfare exemption from the Los Angeles County Assessor, shall be exempt from this assessment.

 

SECTION 7.   Serial bonds bearing interest at the rate 9.5% per annum shall be issued to represent each assessment of One Hundred Fifty Dollars ($150.00) or more remaining unpaid for thirty (30) days after the recording of the warrant.  Each serial bond shall extend over a period ending nine (9) years from the second day of January next succeeding the next September 1st following its date.  Property owners shall make payments on the principal of unpaid assessments and interest to the City Treasurer and the same shall be disbursed by him/her or as provided in the " Municipal Improvement Act of 1911.  In accordance with Streets and Highways Code Section 6442, the City Treasurer as the cost of servicing the delinquency may retain the first two- percent (2%) delinquency penalty authorized by such section.  This bond may be redeemed by the owner or any person interested in any lot or parcel of land described herein, at any time before maturity and before commencement of proceedings for sale, upon payment to the Treasurer for the holder of this bond of the amount then unpaid on the principal sum, together with a premium of five (5) percent of said unmatured principal thereof with interest thereon (if not previously paid) up to the next succeeding January 2 or July 2, as the case may be, at the rate named in this bond, and all penalties accrued and unpaid.

SECTION 8.   Notice is hereby given that on Tuesday, April 10, 2001, at 7:00 P.M., in the City Council Chambers located in City Hall, 1685 Main Street, Santa Monica, California, a public hearing was held before the City Council for the purpose of determining whether the public convenience and necessity require the above-described improvements and for the purpose of allowing any and all persons having any objections to the proposed work or improvements to appear and show cause why the proposed work or improvements should not be carried out in accordance with this Resolution of Intention.


SECTION 9.   The City Clerk gave notice of the hearing by publication as hereinafter provided.  Any interested person may file a protest against the proposed work or improvements in writing with the City Clerk at any time not later than the hour set for the first public hearing in the manner set forth in the Section 4 of Article XIII D of the California Constitution.  Owners of the properties may vote on the assessment district by submitting assessment ballots before the close of the first public hearing.  Non-resident owners of controlled rental units may pass through the cost of the assessment to tenants in conformance with Rent Control Regulations. 

SECTION 11.      Pursuant to Public Contract Code Section 20433, the City Council hereby finds that the public interest will not be served by allowing the property owners to contract for the improvements and that the City shall be responsible for letting and administering the construction contract for this district.

SECTION 12.      The City hereby declares that Community Development Block Grant (CDBG) funds may be applied for payment of assessments on property owned by low-to-moderate income households.

SECTION 15.      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