2005 ADG APR 26 I02 - Laserfiche WebLink

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ITEM #2 CITY OF COLTON AGENDA REPORT FOR COUNCIL MEETING OF April 26, 2005 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: Amer Jakher, City Engineer SUBJECT: Approval of 3 Resolutions LLMD2 : 1)Resolution Initiating Proceedings, 2) Preliminary Approval of the Engineer's Report, and 3) Resolution of Intent. DATE: April 11, 2005 BACKGROUND: In compliance with the Landscape and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California, the City Council formed a Landscape and Lighting Maintenance Assessment District. Currently, there are two Landscape Lighting and Maintenance Districts (LLMD) within the City of Colton. Each District provides the services of maintaining lighting and landscaping for applicable facilities within its boundaries. Within the LLMD District 2 there are no zones. The levy for this district is determined by the benefit units each property type (residential, industrial or commercial) is assigned as compared to the 1.00 Equivalent Benefit Unit (EBU) a single family resident is assigned; the single family unit is used as the basic unit of assessment. In addition to the EBU, the other determining factor in establishing the assessment rate is the acreage of each parcel. The costs associated with maintaining the improvements within each zone are then equally distributed to those parcels within the District. The improvement within the District include: turf, ground cover, street trees, irrigation systems, perimeter landscaping, slopes, open space, lighting systems and all necessary appurtenances. Only parcels that directly benefit from the improvements are assessed. DISCUSSION/ANALYSIS: The Preliminary Engineer's Report has been prepared by Muni Financial for LLMD 2 and is on file at the City Clerk's Office. The report indicates that an increase of three (3) percent will be needed to maintain the improvements within this District. The District was created with an inflator that allows up to an annual three (3) percent increase to the initial assessment to allow for reasonable and inflationary increases in its labor and equipment costs. Since the creation of this district in March of 2002 no increases have been implemented. The district has not been assessed an increase for fiscal years 2003/2004 or 2004/2005 thus as the district can be assessed an additional three percent annually the inflator allows an adjustable increase of up to nine (9) percent for fiscal year 2005/2006. The consumer price index (CPI), as posted by the United States Department of Labor, shows consumer costs have increased three percent since February 2004. As a result of increasing expenses, largely related to cost of living increases, staff suggests increasing