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HOLD A PUBLIC HEARING TO ANNEX TERRITORY AND TO FORM A NEW ZONE IN THE STOCKTON CONSOLIDATED STORM DRAINAGE MAINTENANCE ASSESSMENT DISTRICT NO. 2005-1
recommended action
RECOMMENDATION
The City Council, at its meeting on July 28, 2020, adopted a Resolution of Intention to Annex Territory to a Municipal Improvement District and the Formation of a Zone for the Maintenance and Operation of Storm Drainage Improvements, Providing for Annual Assessments for the Costs and Expenses Thereof, Approving a Proposed Boundary Map and Appointing Engineer of Work (the “Resolution of Intention”), and set a required Public Hearing for September 29, 2020.
It is recommended that the City Council conduct a public hearing to consider public comment and testimony regarding the annexation of territory to and the formation of a new zone in the Stockton Consolidated Storm Drainage Maintenance Assessment District No. 2005-1 (the “District”).
After the public hearing, if a majority protest based on the Resolution of Intention does not exist, it is recommended that the City Council adopt a resolution to:
1. Overrule all public hearing protests or objections (including all written protests not withdrawn in writing before the conclusion of the public hearing) to the Resolution of Intention.
2. Approve annexing the territory to Stockton Consolidated Storm Drainage Maintenance Assessment District No. 2005-1, BD Homes Subdivision and forming Zone 15 therein, to maintain and operate storm drainage improvements.
3. Specify that the public interest would be served by establishing Zone 15 and levying annual assessments for the costs to maintain and operate the storm drainage improvements.
4. Confirm and finally approve the proposed boundary map and Engineer’s Report and order recording of the assessment diagram.
It is also recommended that the City Manager or his designee be authorized and directed to execute all documents, including, but not limited to, agreements and amendments.
It is further recommended that the Resolution authorize the City Manager to take appropriate and necessary action to carry out the purpose and intent of the Resolution.
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Summary
In accordance with Stockton Municipal Code Chapter 13.20 Stormwater Quality Control Criteria Plan (SWQCCP), the BD Homes Subdivision, Zone 15 proposed to use a mechanical stormwater filter by Contech Stormwater Solution, Inc. The mechanical stormwater filter system is a stormwater treatment device approved by the City of Stockton SWQCCP for treating stormwater runoff from this project site. All the owners of the property subject to assessment for the cost of the annual operation, repair, replacement, and maintenance of the storm drain improvements signed and filed with the City Clerk of this City written consents for the annexation of territory. The cost of the annual operation and maintenance of the improvements are hereby referred to Conti & Associates, Inc., Eagle, Idaho, as the Engineer of Work for this District (the “Engineer of Work”), and the Engineer’s Report is attached (Attachment A) for review and approval. Staff recommends that Council approve the proposed Resolution.
DISCUSSION
Background
BD Homes Subdivision, Zone 15 consists of approximately 2.34 acres, including 13 residential lots. The project is located at the north end of Stockton, bound on the north by existing residential, on the south by Wagner Heights, on the west by existing residential, and on the east by Thornton Road as shown on the Assessment Diagram (Attachment B).
The following Resolution was adopted by the Council on July 28, 2020 and provided the actions necessary to initiate proceedings for annexation of territory to the District and the formation of BD Homes Subdivision, Zone 15.
Resolution No. 2020-07-28-1107 Resolution of Intention to Annex Territory to a Municipal Improvement District and the Formation of a Zone (Stockton Consolidated Storm Drainage Maintenance Assessment District No. 2005-1, BD Homes Subdivision, Zone 15) for the Maintenance and Operation of Storm Drainage Improvements, Providing For Annual Assessments for the Costs and Expenses Thereof, Approving a Proposed Boundary Map, and appointing an Engineer of Work (Conti & Associates, Inc.).
The Engineer’s Report, including initial annual assessment of cost for each unit, was provided to the City Council on July 28, 2020.
A Notice of Public Hearing and Ballot procedure were mailed to the affected property owner in compliance with Proposition 218 requirements. On file with the City Clerk are the Certificate of Mailing, the Notice of Public Hearing, the Assessment Ballot Procedure, and Property Owner Assessment Ballot.
Formation of Zone 15 is conducted pursuant to the Municipal Improvement Act of 1913 (Act) and the Stockton Improvement Procedure Code (Stockton Municipal Code).
The BD Homes Subdivision, Zone 15 proposed to use a mechanical stormwater filter by Contech Stormwater Solution, Inc. The mechanical stormwater filter system is a stormwater treatment device approved by the City of Stockton SWQCCP for treating stormwater runoff from this project site.
Present Situation
As part of the Conditions of Approval for any development project, the owners/Developers/Successors-in-Interest (ODS) are required to install certain public stormwater quality improvements and provide operations and maintenance services for the proposed treatment features. BD Homes Subdivision, Zone 15 is being created within the existing Maintenance District to provide funding for the continued operation, maintenance, and replacement costs of the proposed stormwater quality improvements (mechanical filter). The funding for Zone 15 will be provided through an annual assessment based on the stormwater runoff from individual parcels. The annual budgets for such tasks will be presented each year to the City Council for approval for the BD Homes Subdivision, Zone 15. The operation of the stormwater system will be governed by a Stormwater Treatment Device Access and Maintenance Agreement by the City.
The formation of the Stockton Consolidated Storm Drainage Maintenance Assessment District No. 2005-1 was approved and adopted by the City Council on July 26, 2005, and BD Homes Subdivision, Zone 15 will become part of this District by adopting the above resolutions. The maximum annual maintenance assessment for Zone 15 will be $808.69 per parcel based on a single-family residence, which is also the actual 2021-2022 assessment. The maximum annual assessment includes a yearly increase, which is the greater of three percent (3.00%), or the yearly increase of the Consumer Price Index (CPI) if required by increased maintenance costs.
This formation proceeding is being conducted pursuant to the Act and the Stockton Municipal Code.
Ballots have been mailed to the existing property owner to comply with Proposition 218 requirements. The ballots will be tabulated, and results announced at the conclusion of this Public Hearing. In tabulating the ballots, they will be weighted according to the proportional financial obligation of the affected properties. Provided the ballots cast in favor of the formation of Zone 15 exceed those cast against, a resolution overruling all protests, forming Zone 15, approving the Engineer’s Report, and approving a maximum annual assessment calculated in term of dollars of assessments is then available for the City Council’s consideration at the conclusion of the Public Hearing.
FINANCIAL SUMMARY
The City of Stockton has no financial contribution related to the Stockton Consolidated Storm Drainage Maintenance Assessment District No. 2005-1 annexation, the formation of Zone 15 or the annual maintenance costs. All fees and other costs and expenses incurred are payable solely by the annual tax roll by the owner/developer of the properties in the proposed district.
The annexation will result in approval of a maximum assessment. The actual FY 2021-2022 levy on developed parcels will be determined and budgeted during the annual Stockton Consolidated Storm Drainage Maintenance District 2005-1 budget process.
Attachment A - Engineer’s Report
Attachment B - Assessment Diagram