Title
Staff Report for a Resolution Accepting the Engineer's Report for Fiscal Year 2014-15 for the Heron Bay Maintenance Assessment District, Assessment District No. 96-3 and Ordering the Levy and Collection of Assessments within the Heron Bay Maintenance Assessment District; Assessment District No. 96-3 for Fiscal Year 2014-15
Staffreport
SUMMARY AND RECOMMENDATIONS
The Heron Bay Maintenance Assessment District (District) provides funding for the on-going maintenance of public facilities at the Heron Bay development. The Annual Engineer's Report summarizes the expenses for the previous fiscal year and recommends assessment amounts for the upcoming fiscal year to continue funding the District. The proposed assessment for Fiscal Year (FY) 2014-15 is 93.80% of the maximum allowed by the District and represents a minimal increase above last year's assessment.
Staff recommends adopting the resolutions accepting the Annual Engineer's Report for FY 2014-15 and levying the assessments for the Heron Bay Maintenance Assessment District, Assessment District No. 96-3.
BACKGROUND
At its regular meeting on June 17, 1996, the City Council adopted Resolution No. 96-118 establishing the Heron Bay Maintenance Assessment District and has subsequently approved a yearly assessment and levy. This District provides funding for the on-going maintenance of certain public facilities constructed as part of the Heron Bay development, including landscaping, storm water facilities, marshlands, and trail areas at the westerly end of Lewelling Boulevard.
Willdan Financial Services was retained as the Engineer of Work, and has prepared the Annual Engineer's Report for FY 2014-15. A copy of the Engineer's Report is attached to the resolution accepting the Engineer's Report.
Analysis
Services to the District are provided by the following: the City of San Leandro Public Works Department; the County of Alameda Public Works Agency; outside consultants; and outside contractors. In addition to the maintenance of the facilities, the marshland will be monitored to confirm its health and feral animals will be removed from the area. The total cost of these services for FY 2014-15 is estimated at $398,858.00.
The District fund balance is estimated to be $300,146.50 at the end of FY 2014-15. In accordance with the District rules, $300,000 of the funds must be held as a maintenance reserve for capital improvements and unexpected or emergency repairs.
Fund Balance end of FY 2013-14 estimated $354,000.00
Maintenance costs FY 2014-15 estimated ($398,858)
FY 2014-15 Assessments $340,283.50
Interest Income FY 2014-15 estimated $4,721.00
Fund Balance at end of FY 2014-15 estimated $300,146.50
The Annual Engineer's Report includes the following:
· Description of improvements maintained by funds provided by the District
· Budget based upon estimated costs for FY 2014-15
· Table of maximum annual assessments, method of apportionment, and calculation of proposed assessment
· Reference to location of Assessment Diagram for District
· Assessment Roll showing each property to be assessed and the amount of assessment
The maximum recommended assessments and annual adjustments for FY 2014-15 are as follows:
FY 2014-15 Proposed
FY 2013-14 Maximum FY 2014-15
Housing Type and Assessment Per Unit Assessment
Number of Units Per Unit (not incl. reserve fund) Per Unit
451 Single-Family Units $596.60 $636.82 $597.34
178 Motor Court Units $397.71 $424.54 $398.22
Total Assessments $339,858.98 $362,773.94 $340,283.50
The proposed assessment represents a minimal increase above last year's assessment. Some maintenance items that are not critical have been deferred with the intent to spread out maintenance costs for such items and maintain the assessment at or near its current rate. However, maintenance items that are at the end of their life span such as the existing wood benches along the pathway will be replaced with concrete benches in FY 2014-15. This step will reduce the current cost of monitoring and maintaining the weather worn benches.
Previous Actions
· On July 17, 1996, by Resolution No. 96-118, the City Council established the Heron Bay Maintenance Assessment District
· On July 1, 2013, by Resolution Nos. 2013-100 and 2013-101, the City Council accepted the Engineer's Report and ordered the levy and collection of the assessment for FY 2013-14
Fiscal Impacts
· The activities of this Maintenance Assessment District have no fiscal impact on the City
· All administrative and maintenance costs associated with the District are included in the proposed assessments
ATTACHMENTS
Attachments to Resolutions
· Engineer's Report
· Preliminary Assessment Roll
PREPARED BY: Austine Osakwe, Senior Engineer, Engineering and Transportation Department