REPORT TO THE CITY COUNCIL June 22, 2017 FROM: SCOTT L. MOZIER, PE, Director Public Works Department BY: ANDREW J. BENELLI, PE, Assistant Director / City Engineer Public Works Department AARON A. AGUIRRE, Public Works Manager Public Works Department, Landscape Division SUBJECT ..Title Actions pertaining to Initiating Proceedings and Declaring Intention to Levy the Annual Assessment for the City of Fresno Landscaping and Lighting Maintenance District No. 1; and setting the public hearing for July 20, 2017 at 10:00 a.m. (Citywide) 1. RESOLUTION - Initiating proceedings for the annual levy of assessment 2. RESOLUTION - of Intention to levy and collect the annual assessment ..Body RECOMMENDATIONS Staff recommends the City Council: 1. Adopt a resolution initiating proceedings for the annual levy of assessment. 2. Adopt a resolution of intention to levy and collect the annual assessments. EXECUTIVE SUMMARY The City has 145 subdivisions that pay an annual assessment to maintain landscaping within the public right-of-way and easements adjacent to these developments. The properties in these subdivisions are included in Landscaping and Lighting Maintenance District No. 1 (LLMD). LLMD No. 1 generates approximately $703,000 annually that is used to fund landscape maintenance within the District. The Landscaping and Lighting Maintenance Act of 1972 requires an annual Engineer's Report and levy of assessments for LLMD assessment districts. Staff recommends that Council begin the levy process, approve the Engineer's Report, and set the required public hearing for July 27, 2017, at 10:00 a.m., which will provide for continued assessments needed to maintain the landscaping within LLMD No.1. BACKGROUND On March 22, 1983, the Council adopted Resolution 83-93 ordering the formation of Assessment District 89 (District) subsequently renamed LLMD No. 1. The District was formed to recover the City's costs of maintaining the landscaping within the public rights-of-way and easements adjacent to existing and newly developed subdivisions. The District is comprised of 145 subdivisions with 14,870 individual assessments. Vicinity maps showing the locations of the subdivisions included in the LLMD are attached to the staff report in Exhibit A. The landscaping improvements are maintained from funds derived through assessments levied by the LLMD. These improvements are generally limited to "back-up" and "side-on" treatments primarily on major streets and do not include the maintenance of landscaping in median islands or frontage road islands. The assessments also do not cover the costs to maintain pocket parks, utility easements, trails, bike paths, and greenways. The District was formed pursuant to the Landscaping and Lighting Act of 1972 which requires that a noticed public hearing be held before August 10th of each year in order to levy the annual assessments for continued maintenance and related expenses. The assessments will remain the same as in FY2016-FY2017 due to the constraints placed by the approval of California Proposition No. 218 in November of 1996. Prior to 1996, the Council could increase the assessments for maintenance annually to compensate for the increased cost of operations. However, after 1996, rates in the LLMD assessments have not been increased, so the current assessments are still based on 1996 maintenance costs. The attached Resolution of Intention sets the required public hearing for July 29, 2017, at 10:00 a.m. in the City Council Chamber. A notice stating the date and time of the hearing will be published in the Fresno Business Journal a minimum of ten days prior to the scheduled hearing. An individual notice to each property owner is not required by the Landscaping and Lighting act of 1972 if there is no increase in the assessment. ENVIRONMENTAL FINDINGS By the definition provided in the California Environmental Quality Act Guidelines Section 15378 this item does not qualify as a "project" and is therefore exempt from the California Environmental Quality Act requirements. LOCAL PREFERENCE Local preference was not considered because this action does not include a bid or award of a construction or services contract. FISCAL IMPACT The Public Works Department performed the maintenance in the past fiscal year using only assessment funds collected ($703,000). Approval of the annual levy of the LLMD assessments will provide funding for a continuation of the current service levels within the LLMD subdivisions. Attachments: 1. Resolution 2. Resolution of Intention 3. Exhibit A - Vicinity Maps (one through five) 4. Exhibit B - Description of Existing Improvements