HomeMy WebLinkAboutMINUTES - 07282015 - C.12RECOMMENDATION(S):
1. ACCEPT the filing of the Fiscal Year 2015-2016 Final Annual Report on service charges in County Service Area
(CSA) M-28 (“Final Annual Report”), a copy of which is attached.
2. ADOPT Resolution No. 2015/273, confirming the Final Annual Report and levying the service charges set forth in
the report.
3. DIRECT the Clerk of the Board to file certified copies of the Final Annual Report and Resolution No. 2015/273
with the County Auditor-Controller.
4. DIRECT the County Auditor-Controller to include the service charges on the tax roll for Fiscal Year 2015-2016,
the service charge for each parcel to appear as a separate item on the tax bill, pursuant to County Ordinance Code
section 1012-2.614.
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 07/28/2015 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I Supervisor
Candace Andersen, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Karen Mitchoff, District IV
Supervisor
ABSENT:Federal D. Glover, District V
Supervisor
Contact: Susan Cohen, (925)
313-2160
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors
on the date shown.
ATTESTED: July 28, 2015
David Twa, County Administrator and Clerk of the Board of Supervisors
By: Stacey M. Boyd, Deputy
cc:
C. 12
To:Board of Supervisors
From:Julia R. Bueren, Public Works Director/Chief Engineer
Date:July 28, 2015
Contra
Costa
County
Subject:ADOPTION of Resolution No. 2015/273 Confirming FY 2015-2016 Final Annual Report for County Service Area
M-28 and Levying the Charges (Bethel Island)
FISCAL IMPACT:
The levy of the annual service charges in CSA M-28 will provide revenues for the continued operation and
maintenance of a water supply system in CSA M-28 (55% CSA M-28 Funds and 45% County General Fund).
BACKGROUND:
On June 9, 2015, the Board of Supervisors conducted a public hearing and adopted Resolution No. 2015/183
confirming the Fiscal Year 2015-2016 Tentative Annual Report on proposed service charges for CSA M-28. CSA
M-28 provides continued operation and maintenance of a water supply system.
On July 1, 2015, the County Assessor released the official assessment roll for Contra Costa County for Fiscal
Year 2015-2016. Thereafter, pursuant to Section 1012-2.612 of the County Ordinance Code, the Public Works
Director directed staff to determine whether the Tentative Annual Report required revision in order to conform to
the official assessment roll. Any change to an estimated basic service charge or estimated service charge in a
Tentative Annual Report may be based only on changes in ownership, changes of address, the subdivision of an
existing parcel or changes in the use class of a parcel. Upon review of the official assessment roll, staff
determined that no revisions were required. The Tentative Annual Report is the Final Annual Report (attachment
1).
The Board may confirm the Final Annual Report by resolution. Resolution No. 2015/273 serves to confirm the
Final Annual Report and constitutes the levy of the service charge for Fiscal Year 2015-2016.
CONSEQUENCE OF NEGATIVE ACTION:
If a resolution confirming the Fiscal Year 2015-2016 Final Annual Report is not adopted, service charges for CSA
M-28 would not be levied or collected in Fiscal Year 2015-2016 and the District would be unable to provide
continued operation and maintenance of a water supply system and an alternate source of funding would have to
be identified.
ATTACHMENTS
Resolution No. 2015/273
Final Annual Report
FINAL ANNUAL REPORT
FISCAL YEAR 2015-2016
CONTRA COSTA COUNTY SERVICE AREA M-28
(Willow Mobile Home Park Water District)
June 28, 2015
Board of Supervisors
John Gioia, District 1
Candace Andersen, District 2
Mary Piepho, District 3
Karen Mitchoff, District 4
Federal Glover, District 5
Prepared by
Contra Costa County
Public Works Department
CSA M-28 Willow Mobile Home Park Water District Final Annual Report
Fiscal Year 2015-16
G:\spdist\Board Orders\2015\7-28-15\CSAs\CSA M-28\Annual Report\CSAM-28_15-16FAR.docx
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BACKGROUND INFORMATION
The Willow Mobile Home Park is located on Bethel Island and consists of 1 parcel (23 acres)
that includes 172 mobile homes. In order for safe water services to be provided, it was
recommended a CSA be formed.
On December 10, 1991 the Contra Costa Board of Supervisors approved County Resolution
91/807 which formed County Service Area (CSA) M-28 (Willow Mobile Home Park Water
District). CSA M-28 was formed pursuant to the County Service Area Law to ensure the proper
flow of funds for the ongoing operation, maintenance and servicing of extended community
water system services within the Bethel Island Area.
CSA M-28 has been given the power to acquire, construct, operate, replace, maintain and repair
a water supply and distribution system as authorized by California Government Code Section
25210.4(d) and 25120.4a(1). The funding for CSA M-28 comes from service charges which are
obtained from the users of the water system, in accordance with former Government Code
Section 25210.77a, Government Code Section 25210.9 and County Ordinance Section 1012-2.6.
A map of the general location of CSA M-28 is shown below:
CSA M-28 Willow Mobile Home Park Water District Final Annual Report
Fiscal Year 2015-16
G:\spdist\Board Orders\2015\7-28-15\CSAs\CSA M-28\Annual Report\CSAM-28_15-16FAR.docx
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CURRENT ANNUAL ADMINISTRATION
Pursuant to County Ordinance Section 1012-2.6, former County Service Area Law (California
Government Code Section 25210.77a), and current County Service Area Law (California
Government Code Section 24210.3, subd. (d)), the Tentative Annual Report has been filed with
the Clerk of the Board of Supervisors, public notice has been completed as required, and the
Board conducted a Public Hearing and then made a determination on each estimated service
charge in the tentative report. Contra Costa Board of Supervisors reviewed the Tentative Annual
Report in accordance with Resolution No. 2015/183, on June 9, 2015, and conducted a Public
Hearing in connection with the proceedings for CSA M-28.
Upon adoption of the Final Annual Report by the Board of Supervisors, the charges contained
herein will be collected on the property tax roll of Contra Costa County in the same manner, by
the same persons, at the same time as, and together with the County's property taxes.
Legal Authority
As required by County Ordinance Section 1012-2.6, former County Service Area Law
(California Government Code Section 25210.77a), and current County Service Area Law
(California Government Code Section 24210.3, subd. (d)), the Tentative Annual Report includes
the following minimum information as shown in the Service Charge Roll:
1. a description of each parcel of real property receiving the miscellaneous extended
service;
2. the basic service charge;
3. the estimated amount of the service charge for each parcel for such year; and
4. a parcel list identifying each parcel receiving services that allows parcel owners to find
their property on the list and determine the proposed charge.
This annual report also includes the following additional information to allow the reader to better
understand what services are being paid for, what is the total annual cost for the services
provided, and how the cost of services are spread to each individual parcel:
1. Estimate of Annual Cost; and
2. Method of Apportionment.
CSA M-28 Willow Mobile Home Park Water District Final Annual Report
Fiscal Year 2015-16
G:\spdist\Board Orders\2015\7-28-15\CSAs\CSA M-28\Annual Report\CSAM-28_15-16FAR.docx
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ESTIMATE OF ANNUAL COST
A special fund has been set up for the collection of revenues and expenditures for CSA M-28.
The total cost of construction, operation, and maintenance and servicing of the water system can
be recovered from the collection of charges. Incidental expenses including administration,
engineering fees, legal fees and all other costs associated with the construction, operation and
maintenance and servicing of the water system may also be included.
When CSA M-28 was formed, a financial analysis was performed to provide the framework for
an operating budget for the proposed operation, maintenance and servicing of extended
community water system services. Revenues collected from the charge shall be used only for the
expenditures represented in this report. Any balance remaining on July 1 at the end of the fiscal
year must be carried over to the next fiscal year.
CSA M-28 Bethel Island Willow Park FY 2014-15 FY 2015-16
Fund 247300 Org 7473 Projected Proposed
Beginning Fund Balance $ (0.07) $ -
Revenue:Taxes and Assessment 91,937.40 94,265.28 Transfers - Gov/Gov 47,596.61 76,837.00 TOTAL CURRENT REVENUE $ 139,534.01 $ 171,102.28
Total Revenue + Carryover: $ 139,533.94 $ 171,102.28
Expenditures:Postage and Communications 220.00 230.00 Utilities (Water & Electricity)12,000.00 13,000.00 Publications & Legal Notices - 200.00 Memberships 152.94 155.00 Professional/Specialized Svcs (Non-County)40,300.00 72,627.28 Lab Services (Cerco Analytical)3,300.00 2,500.00 Chemicals & Parts 9,000.00 9,000.00 Tax & Assessment Fees 251.00 275.00 CCC Environmental Health Water Permit 1,740.00 1,740.00 County Counsel 11,250.00 10,000.00 DoIT Phone Exchange 320.00 375.00 Public Works Labor 61,000.00 61,000.00
Total Expenditures 139,533.94$ 171,102.28$
FUND BALANCE AVAILABLE $ - $ -
CSA M-28 Willow Mobile Home Park Water District Final Annual Report
Fiscal Year 2015-16
G:\spdist\Board Orders\2015\7-28-15\CSAs\CSA M-28\Annual Report\CSAM-28_15-16FAR.docx
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METHOD OF APPORTIONMENT
Special vs. General Benefit
On November 5, 1996 California voters approved Proposition 218 entitled "Right to Vote On
Taxes Act" which added Articles XIIIC and XIIID to the California Constitution. While its title
refers only to taxes, Proposition 218 establishes new procedural requirements for fees, charges
and benefit assessments.
These new procedures stipulate that even if charges or benefit assessments are initially exempt
from Proposition 218, future increases in the charges or benefit assessments must comply with
the provisions of Proposition 218. However, if the increase in the charge or benefit assessment
were anticipated in the charge or benefit assessment formula (e.g., consumer price index
increase or a predetermined cap) then the increase in the charge or benefit assessment would be
in compliance with the intent and provisions of Proposition 218.
Proposition 218 provides that “only special benefits are assessable” and defines a special benefit
as a particular and distinct benefit conferred on real property and not a general benefit received
by the public at large. The extended public services provided within CSA M-28 are deemed a
special benefit and only serve the parcels located within the boundaries of the District. Without
the services, the parcel located in the unincorporated area would not receive water services.
Therefore the services in CSA M-28 are 100% special benefit to the parcel within the CSA.
Methodology
The total operation and maintenance costs for the extended public services are apportioned in
accordance with the methodology that is consistent with standard practices.
The maximum charge rate was previously set at $75,300 per parcel (1991 dollars). Since 1991
the Consumer Price Index (CPI) for the San Francisco Bay Area All Urban Consumers and the
costs to operate and maintain the improvements increased, however the charge rate remained
constant until Fiscal Year 2007-2008. In Fiscal Year 2007-2008 the charge rate was increased to
$79,818 per parcel with an allowance for an increase each subsequent year based upon the San
Francisco Bay Area – All Urban Consumers as of April 2007 (215.842).
Due to an aging system, the cost of operating and maintaining water facilities continues to
increase. It was proposed in Fiscal Year 2010-11 that the charge rate be increased to $95,500 per
parcel (8.5% increase). However, this increase was not supported by the property owners, and
therefore the 8.5% increase was not imposed.
The cost of operating and maintaining water facilities continues to increase, due to an aging
system. It was proposed in Fiscal Year 2014-15 that the charge rate be increased from $91,937
to $335,939 per parcel. However, this increase was not supported by the property owners, and
therefore the increase was not imposed.
Rate
The February 2015 CPI Index is 254.910, therefore the maximum rate for Fiscal Year 2015-2016
can be increased 2.53% to $94,265.28 per parcel. It is proposed to levy charges at the maximum
rate for Fiscal Year 2015-2016.
CSA M-28 Willow Mobile Home Park Water District Final Annual Report
Fiscal Year 2015-16
G:\spdist\Board Orders\2015\7-28-15\CSAs\CSA M-28\Annual Report\CSAM-28_15-16FAR.docx
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In Fiscal Year 2015-16, it is recommended based upon projected expenditures, that the
maximum rate of $94,265.28 per parcel be collected. It is estimated $94,265.28 in revenue will
be needed to provide the services referenced above in Fiscal Year 2015-16. There is 1 parcel
that is included in the CSA. If you divide $94,265.28 by 1 parcel, the service charge per parcel
is $94,265.28.
SERVICE CHARGE ROLL
A list, which shows those parcels to be charged for Fiscal Year 2015-16, including a description
of each parcel to be charged is shown below.
Parcel Proposed FY 2015-2016
Number Amount
029-020-004-7 $94,265.28