Title
Initiation of Proceedings for the Dissolution of the San Leandro Hillside Geologic Hazard Abatement District and Setting a November 17, 2025 Public Hearing Date
Staffreport
SUMMARY
In response to a significant landslide caused by the 1998 El Niño winter storm, the San Leandro City Council established the San Leandro Hillside Geologic Hazard Abatement District (GHAD) on November 20, 2000. The GHAD, encompassing 26 privately-owned lots in the Bay-O-Vista neighborhood, was formed solely to facilitate the repair of the existing landslide and perform ongoing maintenance and monitoring following slope stabilization. Funded by a grant from FEMA, the GHAD completed a landslide restoration project in 2001 and managed ongoing slope monitoring and maintenance without levying assessments on the properties within the District.
Following additional storm-related erosion in 2022, all remaining funds were exhausted, leaving the GHAD without resources to fulfill its responsibilities. Given the depletion of funds and the completion of its primary objectives, staff recommends the dissolution of the GHAD.
Dissolution must follow procedures set forth in Division 17 of the California Public Resources Code, including a Public Hearing and consent from a majority of property owners measured by assessed valuation.
RECOMMENDATIONS
Staff recommends:
• Initiating dissolution procedures for the San Leandro Hillside Geologic Hazard Abatement District
• Set a Public Hearing date of November 17, 2025, for the proposed dissolution
BACKGROUND
On November 20, 2000, to address a landslide slope failure from the 1998 El Nino winter storm, the San Leandro City Council adopted Resolution No. 2000-172 establishing the San Leandro Hillside Geologic Hazard Abatement District (“GHAD”). The GHAD was formed under the authority of the California Public Resources Code, for the sole purpose of serving as a vehicle to implement repair of the 1998 landslide and perform ongoing maintenance and monitoring. The landslide costs for the 1998 winter storms disaster (FEMA-DR-1203-CA), a line item of 3.3 million was found includes landslide stabilization……in San Leandro. Formation of the GHAD also allowed the District to receive state and federal disaster relief funds to facilitate slope repairs and stabilization on private property. The City Council appointed itself the Board of Directors for the GHAD. Under the authority of the GHAD, the District is authorized to approve construction, maintenance or repair of the slopes determined to have potential impact on its geologic stability.
The GHAD is comprised of 26 lots along Hillside Drive in the Bay-O-Vista neighborhood (see District map in Attachment B). The District and landslide area are located wholly within private property. At the time of formation, it was intended that all costs related to the repair and maintenance of the landslide slope failure be tied to the GHAD’s available funding from federal and state sources. No assessments have been levied upon properties within the District.
The GHAD subsequently managed a project for the design and construction of the landslide restoration project, completed in 2001. Remaining funds were intended to be used for continued maintenance and monitoring of the hillside slopes. However, winter storms in 2022 required additional erosion control measures expending all remaining funds. Without funding, the responsibilities of the GHAD cannot continue.
Analysis
Because the GHAD has expended all federal and state funds awarded it to fulfill its original purpose, staff recommend that the GHAD be dissolved. Dissolution of a GHAD must be consistent with the procedures in Division 17 of the California Public Resources Code. Dissolution proceedings may be initiated by either (a) an owner petition, or (b) by resolution of the legislative body (City Council as the appointed GHAD Board). For dissolution initiated by the legislative body, the GHAD Board must call for a Public Hearing on the Dissolution of the GHAD. Property owners will be provided with a minimum 30-day notice of the hearing. A copy of the Public Hearing Notice to be provided to all affected property owners is included as Attachment C.
If not more than 50% of the property owners -- weighted by assessed property valuation -- object to the dissolution, a vote by the GHAD Board may proceed. Following a successful vote by the GHAD Board to dissolve the District, written approval of the dissolution must be received from at least 50% of the property owners -- weighted by assessed property valuation -- within 90 days after the resolution ordering the dissolution.
If the GHAD is dissolved, responsibility for current and future maintenance of the hillside slopes within the District would belong to the individual property owners.
If the GHAD is not dissolved and in this case, the funds are exhausted, according to the GHAD agreement with the property owners, the GHAD has no responsibility to perform any activities that exceed its funding capacity. An annual assessment may be established, in accordance with the procedures of Prop. 218, on all residential parcels in the GHAD; no such procedure has occurred or is contemplated. Because the GHAD is unfunded, future emergency work would be the responsibility of the individual property owners who are within the GHAD. Therefore, the property owners bear all risks of liability for hazards due to or caused by landslides. The Board of Directors are at risk of receiving claims; however, the agreement to form the GHAD is clear that the GHAD bears no responsibility for any activities that exceed its funding capacity.
Previous Actions
• Annual Reports 2004 through 2015 were approved by the San Leandro Hillside GHAD for Fiscal Year (FY) 2003 through FY 2015
• On July 21, 2003, by Resolution No. GHAD 2003-001, the GHAD Board approved the San Leandro Hillside GHAD Annual Report for FY 2002-2003
• On November 20, 2000, by Resolution No. 2000-172, the City Council formed the San Leandro Hillside GHAD
• On October 16, 2000, by Resolution No. 2000-162, the City Council called for a Public Hearing on the formation of the San Leandro Hillside GHAD
Summary of Public Outreach Efforts
• Notice of Public Hearing for dissolution of the GHAD will be provided to all District property owners at least 30 days prior to the Public Hearing
• On July 10, 2024, a survey was sent to District property owners seeking their opinion on a potential District dissolution. Less than 50% (10 property owners) objected, 3 were in favor, and 13 did not respond
• On August 7, 2023, a survey was sent to District property owners requesting their interest in receiving additional information regarding a possible new assessment levy to replenish depleted GHAD funds. Only 7 of the 26 property owners responded positively.
Legal Analysis
The dissolution procedure was reviewed and approved as to form by the City Attorney acting as the GHAD attorney.
Financial Impacts
None. The dissolution is necessary because all funds have been expended.
ATTACHMENTS
A: Resolution initiating Dissolution of the San Leandro Hillside GHAD
B: District Map
C: Notice to Property Owners
D: Presentation - San Leandro Hillside GHAD Dissolution
PREPARED BY: Dane Rodgers, Senior Engineer, Public Works- Engineering Division