HomeMy Public PortalAbout05) 7C Adoption of Resolution declaring City's Intention to Levy and Collect Lighting and Maintenance District Assessments ADMINISTRATIVE SERVICE DEPARTMENT
MEMORANDUM
DATE: May 5, 2020
TO: The Honorable City Council
FROM: Bryan Cook, City Manager
By: Susan Paragas, Administrative Services Director
SUBJECT: ADOPTION OF RESOLUTION NO. 20-5468, DECLARING THE CITY’S
INTENTION TO LEVY AND COLLECT LIGHTING AND MAINTENANCE
DISTRICT ASSESSMENTS FOR FISCAL YEAR (FY) 2020-2021 AND
ESTABLISHING THE TIME AND PLACE FOR HEARING PUBLIC
OBJECTIONS
RECOMMENDATION:
The City Council is requested to:
1.Accept the Engineer’s Report for the Temple City Citywide Lighting and
Maintenance District (District) for FY 2020-2021 (Attachment “A”); and
2.Adopt Resolution No. 20-5468 (Attachment “B”).
BACKGROUND:
1.On June 19, 1979, the City Council of Temple City adopted Resolution No. 79-1825
forming the Temple City Citywide Lighting and Maintenance District and confirmed
assessments for the first FY 1979-80.
2.On April 23, 1995, after giving direction to staff to analyze the assessment
methodology, the City Council received an Executive Summary that explained the
recommended methodology changes and provided examples of the effects of the
different alternatives. The City Council directed staff to make the approved
changes to the District for the FY 1995-96. Notices were mailed to all property
owners outlining the changes to the methodology and stating the assessment
amount proposed for each property and that a Consumer Price Index (CPI)
escalator was included in the District. The changes were approved after a formal
public hearing.
AGENDA
ITEM 7.C.
City Council
May 5, 2020
Page 2 of 5
3. On November 5, 1996, California voters approved Proposition 218, also known as
“The Right to Vote on Taxes Act”. The City was able to continue to levy
assessments at the current rate for the Citywide Lighting and Maintenance District
since Proposition 218 allowed certain exemptions for existing assessments.
However, any increase in the assessment, including the addition of a CPI
escalator, would require a ballot be mailed to each property owner subject to the
assessment, and that a majority of property owners returning their ballot must
approve of the increase assessment. Further, Proposition 218 required that the
local agency distinguish between general and direct benefit and shall only assess
for direct benefit. At that time, the parks assessment was considered to be a
general benefit.
4. On July 1, 1997, the City discontinued assessments for park maintenance
operations. The park maintenance program is currently funded through the
General Fund.
5. On March 4, 2020, the City Council adopted Resolution No. 20-5452 ordering the
engineering firm of Harris & Associates to prepare the required Engineer’s Report
for FY 2020-2021, pursuant to the 1972 State Lighting and Landscape Act. The
engineer’s report identifies eligible program expenditures, establishes the District’s
operating budget, updates individual property assessments, and documents the
City’s compliance with all applicable laws.
ANALYSIS :
Annually, the City Council determines the Lighting and Maintenance District
assessment rates, which provide funding for citywide street lighting, tree maintenance,
and traffic signal maintenance programs. The process requires the City Council to
adopt resolutions ordering the engineer’s report, establishing the actual assessment
rates, and authorizing the Los Angeles County Assessor’s Office to levy and collect the
assessments.
Harris & Associates, as authorized by the City Council on March 4, 2020, has prepared
the required engineer’s report for the District for FY 2020-2021. The purpose of the
Engineer’s Report is to set forth findings and engineering analysis for the City’s Lighting
and Maintenance District for the FY 2020-2021. A copy of the report is attached for
City Council’s review and consideration.
The Engineer’s Report contains an annual program cost summary which includes the
estimated cost of the construction, operation, servicing and maintenance of the street
lights, traffic signals, and parkway landscaping for FY 2020-2021. The report also
includes the method of apportionment for the assessments.
City Council
May 5, 2020
Page 3 of 5
Assessment Rate Formulas
All parcels in Temple City derive special benefit from the street lighting and traffic signal
system, general landscape maintenance in and along the streets and sidewalks, and
arterial highway median/parkway maintenance. The Engineer’s Report establishes a
methodology that fairly distributes the cost in relation to the special benefits received.
The Equivalent Dwelling Unit method has been established as the means of
assessment for the City’s Lighting and Maintenance District. The single-family parcel
has been selected as the basic unit of calculation of assessments and is defined as one
Equivalent Dwelling Unit (EDU). A methodology has been developed to calculate the
EDUs for other residential uses and for non-residential parcels, as described below.
• Residential: All residential uses are assessed one EDU per dwelling unit.
• Commercial/Industrial: Commercial, Industrial and Institutional parcels are
converted to EDUs based on the lot size of each parcel of land. In converting
these properties to EDUs, the factor used is the City of Temple City's average
single-family residential lot size of 7,200 square feet, which are approximately six
lots per acre. Therefore, commercial/industrial parcels are assessed six EDUs per
acre.
• Churches: The City Council has ordered that church-owned properties receive
a 25 percent reduction to the assessment rate. Therefore, church properties with
residential uses are assessed 0.75 EDUs per dwelling unit. All other church
properties are assessed 75 percent of the commercial/industrial rate, which
calculates to 4.5 EDUs per acre.
Special benefits that are received by all parcels in the City are considered Citywide
benefits, and the associated costs of these benefits are spread equally, based on the
EDU to all parcels within the District.
Special benefits that are considered local benefits correspond to higher levels of
improvements to parcels in the immediate area. The associated costs of these benefits
are spread equally over the local area, based on the EDU. A system of zones has been
developed to identify the specific benefit each parcel receives. The zones are as
follows:
• Zone A - This zone includes all properties receiving a local lighting benefit. They
are assessed for local lighting, as well as the Citywide Benefits;
• Zone B - This zone includes all properties that receive only Citywide Benefits;
• Zone C - Rosemead Boulevard/Las Tunas Drive Median Landscaping. This
zone includes all commercial parcels abutting the Rosemead Boulevard/Las
City Council
May 5, 2020
Page 4 of 5
Tunas Drive medians. They are assessed the Rosemead Boulevard/Las Tunas
Drive Median Local Benefit, as well as the Citywide Benefits and Direct Lighting
Benefit; and
• Zone D - C ity Center Parkway Improvements. This zone includes commercial
parcels abutting the City Center Parkway Improvements. They are assessed
the City Center Parkway Improvement Local Benefit (i.e., trees and planted
materials on Las Tunas Drive and parking areas), as well as the Citywide Benefits
and Direct Lighting Benefit.
The following table shows the summary of the annual assessment for each Zone.
SUMMARY OF ANNUAL ASSESSMENTS PER EDU
Category of Benefit
Benefit
Zone A
Benefit
Zone B
Benefit
Zone C
Benefit
Zone D
Asmt Rate
($/EDU)
Citywide landscaping, traffic signal,
medians, and parkway
X
X
X
X
$25.03
Citywide Street Lighting X X X X $0.00
Direct Street Lighting X X X $0.00
Rosemead/Las Tunas Medians X $20.48
City Center Parkways X $54.79
Total Assessment ($/EDU) FY 2020-21 $25.03 $25.03 $45.51 $79.82
Total Assessment ($/EDU) FY 2019-20 $25.03 $25.03 $45.51 $79.82
An "X" in the table above indicates the category of benefit included in each Zone.
The total assessment per zone is the sum of the assessments for each category of
benefit.
Acceptance of the Engineer’s Report and adoption of Resolution No. 20-5468 will allow
the City to move forward declaring the City’s intention to levy and collect Lighting and
Maintenance District assessments for FY 2020-2021.
CITY STRATEGIC GOALS:
As a result of the City Council accepting the Engineer’s Report for the Temple City
Citywide Lighting and Maintenance District for FY 2020-2021 and adopting Resolution
No. 20-5468, the City will further the Strategic Goal to promote Good Governance.
City Council
May 5, 2020
Page 5 of 5
FISCAL IMPACT :
Approval of this agenda item will allow the City to continue the process to set the
assessment rates for the FY 2020-2021 Lighting and Maintenance District and generate
approximately $330,000 in assessment revenues.
ATTACHMENTS:
A Resolution No. 20-5468
B. Engineer’s Report for Temple City Citywide Lighting and Maintenance District –
FY 2020-2021
ATTACHMENT A
RESOLUTION NO. 20-5468
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMPLE
CITY, DECLARING ITS INTENTION TO LEVY AND COLLECT
ASSESSMENTS FOR FISCAL YEAR (FY) 2019-20 WITHIN THE
CITYWIDE LIGHTING AND MAINTENANCE DISTRICT, PURSUANT TO
THE LANDSCAPING AND LIGHTING ACT OF 1972 AND
ESTABLISHING A TIME AND PLACE FOR HEARING PUBLIC
OBJECTIONS
WHEREAS, the City Council of the City of Temple City hereby declares its intention to levy and
collect assessments for FY 2019-20 in the existing Citywide Lighting and Maintenance District pursuant to
the provisions of the Landscaping and Lighting Act of 1972, being Division 15 of the Streets and Highways
Code of the State of California.
NOW, THEREFORE, the City Council of the City of Temple City does hereby resolve as follows:
DESCRIPTION OF WORK
SECTION 1. The City Council has determined the public interest and convenience requires that
certain work be performed and improvements made within the Lighting and Maintenance District for which
assessments shall be levied and collected for FY 2020-2021, to include street lighting, tree maintenance,
traffic signals, and capital improvements.
LOCATION OF WORK
SECTION 2. The aforementioned work and improvements are to be performed and located within
the streets, easements, and public rights-of-way, within the incorporated area of the City of Temple City as
indicated on a map filed in the City Clerk's office entitled "Lighting and Maintenance District Assessment
Diagram." The Lighting and Maintenance District boundaries shall be the same as the incorporated City
boundaries.
DESCRIPTION OF ASSESSMENT DISTRICT
SECTION 3. The City Council has determined the work and improvements to be performed are a
direct benefit to the City of Temple City and hereby charges the expenses of said work and improvements
upon a district for which assessments shall be levied and collected and such district is defined as the total
territory existing within the incorporated area of the City of Temple City, exclusive of all public streets and
rights-of-way.
ENGINEER'S REPORT
SECTION 4. The City Council hereby approves the engineer's report that indicates the amount of
the proposed assessment rates, the district boundaries, assessment zones, detailed description of
improvements, and the method of assessment. The report titled "Engineer's Report for Temple City
Citywide Lighting and Maintenance District, Fiscal Year 2020-2021” is on file in the office of the City Clerk
and reference to said report is hereby made for all particulars.
NOTICE OF PUBLIC HEARING
SECTION 5. Notice is hereby given that the City Council of the City of Temple City will hold a
public hearing May 19, 2020, 7:30 p.m. either via teleconference or in the Civic Center City Council
Chambers located at 5938 Kauffman Avenue, Temple City, CA (Teleconference number and access code
to be provided on the May 19, 2020 meeting agenda) and all persons having any objections regarding the
proposed work, improvements, or intent of the assessment district, may appear and demonstrate cause why
said work or improvements should not be performed or carried out in accordance with this resolution of
intention. The City Council will consider all verbal and written protests.
LANDSCAPING AND LIGHTING ACT OF 1972
SECTION 6. All work and improvements herein proposed shall be performed in accordance with
the Landscaping and Lighting Act of 1972, being Division 15 of the Streets and Highways Code of the State
of California.
PROPOSITION 218
SECTION 7. On November 5, 1996, California voters approved Proposition 218, also known as
"The Right to Vote on Taxes Act," which prohibits the levy of any new assessments or increase in existing
assessment rates without property owner approval. The local agency must distinguish between general and
direct benefit and shall only assess for direct benefit. It is the local agency's responsibility to provide
evidence substantiating the assessment is proportional to benefit. Parks are considered to be a general
benefit. Therefore, effective July 1, 1997, the City may not continue to assess for park maintenance
operations. The park maintenance program will be utilizing general fund monies.
SECTION 8. The City Clerk shall certify to the adoption of this resolution.
PASSED, APPROVED, AND ADOPTED on this 5th day of May 2020.
__________________________________
Tom Chavez, Mayor
ATTEST: APPROVE AS TO FORM:
_______________________________ ___________________________________
Peggy Kuo, City Clerk Greg Murphy, City Attorney
CITY OF TEMPLE CITY
ENGINEER’S REPORT
CITYWIDE LIGHTING AND MAINTENANCE DISTRICT
FISCAL YEAR 2020-21
LOS ANGELES COUNTY, CALIFORNIA
April 27, 2020
PREPARED BY
22 Executive Park, Suite 200
Irvine, CA 92614
www.weareharris.com
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
TABLE OF CONTENTS
Statement of Assessment Engineer .............................................................................. i
Part I - Overview ........................................................................................................... 1
Part II - Plans and Specifications ................................................................................... 3
Part III – Cost Estimate .................................................................................................. 5
Part IV - Method of Apportionment ............................................................................. 7
Appendix A - Assessment Roll ..................................................................................... 13
Appendix B – Assessment Diagram ............................................................................ 14
Appendix C – Senate Bill 324 ...................................................................................... 15
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
i
ENGINEER’S CERTIFICATION
Statement of Assessment Engineer
AGENCY: THE CITY OF TEMPLE CITY
PROJECT: CITYWIDE LIGHTING AND MAINTENANCE DISTRICT
TO: THE CITY COUNCIL OF THE
CITY OF TEMPLE CITY
STATE OF CALIFORNIA
ENGINEER’S REPORT FOR FISCAL YEAR 2020–21
The preparation of this Annual Engineer’s Report (“Report”) is in conformance with the obligation of the
City Council for the Citywide Lighting and Maintenance District of the City of Temple City to levy
assessments within the District to provide services upon each lot or parcel of land in proportion to the
estimated benefit to be received by each such lot or parcel of land for Fiscal Year 2020–21.
Pursuant to the Landscaping and Lighting Act of 1972 (Part 2 Division 15 of the Streets and Highways Code
of the State of California, commencing with Section 22500) (“Act”), and in accordance with the City of
Temple City’s Resolution being adopted by the City Council for:
CITYWIDE LIGHTING AND MAINTENANCE DISTRICT
(Hereinafter referred to as the “District”),
I, K. Dennis Klingelhofer, authorized representative of the District, the duly appointed Assessment
Engineer submit the following Report which consists of the following four (4) parts and Appendices:
PART I
Overview: Provides the background and reason for the District.
PART II
Plans and Specifications: Plans and specifications for the improvements are as set forth on the lists
thereof, attached hereto, and are on file in the Office of the City Clerk and are incorporated herein by
reference.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
ii
PART III
Cost Estimate: An estimate of the costs of the proposed improvements, including incidental costs and
expenses in connection therewith, is as set forth on the lists thereof, attached hereto, and are on file in
the Office of the City Clerk and incorporated herein by reference.
PART IV
Method of Apportionment: The method of apportionment of assessments, indicating the proposed
assessment of the net amount of the costs and expenses of the improvements to be assessed upon the
several lots and parcels of land within the Assessment District, in proportion to the estimated special
benefits to be received by such lots and parcels. The Assessment Roll is filed in the Office of the City Clerk
and by reference is made a part hereof.
Appendices
Appendix A – Assessment Roll
Appendix B – Assessment Diagram
In conclusion, it is my opinion that the costs and expenses of the District have been assessed to the lots
and parcels within the boundaries of the District in proportion to the estimated benefits to be received
by each lot or parcel from the services provided.
DATED: April 27, 2020
___________________________________________
K. Dennis Klingelhofer, P.E., Assessment Engineer
R.C.E. No. 50255
Engineer of Work
State of California
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
1
PART I – OVERVIEW
The purpose of this report is to set forth findings and engineering analysis for the Temple City Citywide
Lighting and Maintenance District for the 2020-21 fiscal year. This District, utilizing direct benefit
assessments, (1) supplements revenue generated by the existing 1919 Act Temple City Municipal Lighting
District to finance the cost of providing maintenance and operation of a street lighting system and covers
the costs of providing maintenance and operation of the traffic signals in the City, and (2) covers the costs
of maintaining the median and parkway landscaping in the City of Temple City.
The City Council of Temple City adopted Resolution No. 79-1825 on June 19, 1979, which formed the
Temple City Citywide Lighting and Maintenance District and confirmed assessments for the first fiscal year,
1979-80.
Following the completion of the District proceedings for FY 1994-95, the City Council directed staff to
analyze the assessment methodology. The purpose of the study was to verify that properties were being
assessed in proportion to the benefit received. An Executive Summary explaining the findings, detailing
recommended methodology changes, and providing examples of the effects of the different alternatives
was completed and submitted to the City Council.
On April 23, 1995, the City Council received the Executive Summary, approved the recommended changes,
and directed staff to make the approved changes to the District for FY 1995-96. Notices were mailed to
all property owners outlining the changes to the methodology, and stating the assessment amount
proposed for each property and that a CPI escalator was included in the District. The changes were
approved after a formal protest hearing which was held prior to the passage of Proposition 218.
Following the passage of Proposition 218 in November, 1996, the City has been able to continue to levy
assessment at the current rate since Proposition 218 allowed certain exemptions for existing
assessments. However, the City adopted the inclusion of a CPI escalator prior to the passage of Prop. 218
and any increase in the assessment, including the addition of a CPI escalator, will require that a ballot be
mailed to each property owner subject to the assessment, and that a majority of property owners
(weighted by assessment amount) returning their ballot must approve of the increase in the
assessment. In addition, any other changes needed to comply with the requirements of Proposition 218
would have to be made at that time. Without the use of a CPI escalator, the General Fund contribution
increases each year in order to maintain the District.
In September 2018, the City contracted Harris & Associates to evaluate the District and provide options
to reduce the General Fund subsidy. This included a review of the ad-valorem revenue the City receives
from the 1919 Act District which funds streetlights. Since the ad-valorem revenue is greater than the
annual costs, one goal was to look at how that revenue could be used to provide a greater benefit to the
City’s citizens. The review included the status of the current assessment revenue, the current inventory
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
2
of improvements being maintained, and a 10-year horizon of expenditures and revenue for capital
replacement projects.
On February 5, 2019 a presentation was made to the City Council of the findings and potential options for
consideration included 1) pursuing legislation to give the City authorization to use the 1919 Act fund
balance to be used for any improvements authorized by the 1972 Act; and 2) seek to form a new 1972 Act
District to increase current assessments in compliance with Proposition 218. The new District could then
be expanded to fully fund the ongoing operation and maintenance of existing improvements, provide
funding for capital projects and add a Park Benefit component.
The Council agreed the first step should be to pursue the legislation action and directed staff to begin that
effort. The expedient effort by the Staff working with Senator Rubio resulted in Senate Bill 324 being
approved by the Senate and signed by the Governor in July 2019.
This report reflects those changes and covers the levy of annual assessments for the 2020-21 fiscal year.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
3
PART II – PLANS AND SPECIFICATIONS
The installation of planting, landscaping, irrigation systems, lighting and the construction of appurtenant
facilities to be operated, serviced and maintained within the City of Temple City, is generally described as
follows:
The facilities to be constructed, maintained and serviced are the streets and sidewalks within the District,
including street lighting, traffic signals, street trees, median and parkway, landscaping and hardscaping.
The District will supplement revenue generated by the existing 1919 Act Temple City Municipal Lighting
District, and will fund costs in connection with the District maintenance and servicing including, but not
limited to, personnel, electrical energy, water, materials, contracting services, and other expenses
necessary for the satisfactory operation of these facilities. Reference is made to Part IV of this report for
a discussion of the Zones of Benefit and the facilities associated with them which are serviced and
maintained. The improvements are described as follows:
Landscaping and Appurtenant Facilities
Facilities include but are not limited to: Landscaping, planting, shrubbery, trees, irrigation systems,
hardscapes, fixtures, sidewalk maintenance resulting from landscape growth and appurtenant facilities,
in public street and sidewalk rights-of-way, medians, parkways and dedicated easements within the
boundaries of the District.
Lighting, Traffic Signals and Appurtenant Facilities
Facilities include but are not limited to: Poles, fixtures, bulbs, conduits, conductors, equipment including
guys, anchors, posts and pedestals, metering devices and appurtenant facilities as required to provide
lighting and traffic signals in public street and sidewalk rights-of-way and dedicated easements within the
boundaries of the District.
The public lighting system shall be maintained to provide adequate illumination. The traffic signal system
shall be maintained based on the City specifications and current industry standards. Electricity for street
lights and traffic signals shall be furnished, and it shall be adequate for the intended purpose. Rates for
power shall be those authorized by the California Public Utilities Commission.
Maintenance means the furnishing of services and materials for the ordinary and usual operation,
maintenance and servicing of the landscaping, public lighting facilities and appurtenant facilities within
the public street right-of-way, including repair, removal or replacement of all or part of any of the
landscaping, public lighting facilities or appurtenant facilities; providing for the life, growth, health and
beauty of the landscaping, including cultivation, irrigation, trimming, spraying, fertilizing and treating for
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
4
disease or injury; the removal of trimmings, rubbish, debris and other solid waste; and the cleaning,
sandblasting and painting of walls and other improvements to remove or cover graffiti.
Servicing means the furnishing of water for the irrigation of the landscaping and the maintenance of any
of the public lighting facilities or appurtenant facilities within the street right-of-way and the furnishing of
electric energy for the public lighting facilities, landscaping or appurtenant facilities.
The plans and specifications for the improvements, showing the general nature, location, and extent of
the improvements, are on file in the office of the City Clerk and are by reference herein made a part of
this report.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
5
PART III – COST ESTIMATE
The estimated cost of the construction, operation, servicing and maintenance of the street and sidewalk
improvements for fiscal year 2020-21, as described in Part II, are summarized herein and described below.
All costs include administration and utilities where applicable.
ITEM COST ESTIMATE FY 2019-20 FY 2020-21
I.REVENUE
1919 ACT AD-VALOREM REVENUE $1,185,000 $1,203,600
1972 ACT ASSESSMENT REVENUE $328,909 $329,956
RESERVE COLLECTION/(TRANSFER)$0
TOTAL REVENUE $1,513,909 $1,533,556
II.EXPENDITURES
STREET LIGHTING (1919 ACT)
STREET LIGHTS $406,605 $403,250
TRAFFIC SIGNALS AND SAFETY LIGHTING $156,500 $156,500
CAPITAL IMPROVEMENTS $0 $1,000,000
TOTAL LIGHTING EXPENDITURES $563,105 $1,559,750
LANDSCAPING IMPROVEMENTS (1972 ACT)
LANDSCAPING
Citywide Trees and Medians $788,655 $664,440
Rosemead/Las Tunas Median Maintenance $10,575 $10,575
Rosemead Boulevard $126,000 $51,000
City Center Parkways $9,000 $9,000
TOTAL LANDSCAPING EXPENDITURES $934,230 $735,015
COUNTY ADMINISTRATIVE CHARGE FOR LEVY COLLECTION $7,000 $7,000
TOTAL EXPENDITURES $1,504,335 $2,301,765
III.FUND BALANCE INFORMATION
BEGINNING FUND BALANCE (7/1)$2,905,489 $2,939,063
INTEREST $24,000 $5,000
RESERVE COLLECTION/(TRANSFER)$9,574 ($768,209)
$2,939,063 $2,175,854
FUND DETAIL:
ANNUAL OPERATING RESERVE (50% OF TOTAL EXPENDITURES)$752,168 $1,150,883
CAPITAL RESERVE $2,186,895 $1,024,971
PROJECTED YEAR END FUND BALANCE (6/30)$2,939,063 $2,175,854
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
6
The 1972 Act requires that a special fund be setup for the revenues and expenditures of the District. Funds
raised by assessment shall be used only for the purpose as stated herein. A contribution to the District by
the City may be made to reduce assessments, as the City Council deems appropriate. Any balance or
deficit remaining on July 1 must be carried over to the next fiscal year.
Operating Reserve: This item includes the amount to be collected to maintain reserves to enable the City
to pay for the maintenance and servicing of the improvements prior to December 10 of the fiscal year, or
whenever the City expects to receive its apportionment of special assessments and tax collections from
the County, whichever is later. The Reserve Fund contribution will continue until such a time the Reserve
Fund balance is approximately one half of the annual costs.
Capital Reserve: This item includes funds for the repair/replacement of improvements or the installation
of new improvements to further enhance the level and quality of service provided within the boundaries
of the District. The fund may be allowed to accumulate in anticipation of any unforeseen expenses not
included in the yearly maintenance costs. This may include, but is not limited to the repair/replacement
of improvements at the end of their useful life, upgrading or enhancement of improvements within the
District, repair of damaged equipment due to vandalism, storms and other similar events where the costs
cannot be covered by the annual assessment levy.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
7
PART IV - METHOD OF APPORTIONMENT
GENERAL
Part 2 of Division 15 of the Streets and Highways Code, the Landscaping and Lighting Act of 1972, permits
the establishment of assessment districts by cities for the purpose of providing certain public
improvements which includes the construction, maintenance and servicing of street lights, traffic signals,
landscaping, and park and recreational facilities.
Section 22573, of the Landscaping and Lighting Act of 1972 requires that maintenance assessments be
levied according to benefit rather than according to assessed value. This section states:
"The net amount to be assessed upon lands within an assessment district may be
apportioned by any formula or method which fairly distributes the net amount among all
assessable lots or parcels in proportion to the estimated benefits to be received by each
such lot or parcel from the improvements.”
Because assessments are levied on the basis of benefit, they are not a tax, and, therefore, are not
governed by Article XIIIA of the California Constitution.
The Act permits the designation of zones of benefit within any individual assessment district if "by reason
of variations in the nature, location, and extent of the improvements, the various areas will receive
different degrees of benefit from the improvements." (Sec. 22574). Thus, the 1972 Act requires the levy
of a true "benefit assessment" rather than a "special tax."
The Act also permits certain parcels to be exempt from assessment. Excepted from these assessments
are areas of all publicly owned property such as: public streets, public avenues, public lanes, public roads,
public drives, public courts, public alleys, all public easements and rights-of-way, all public parks, green
belts and parkways, and all public property being used for public purposes, as well as utility owned
property since they do not receive a benefit from the improvements. Also excepted from these
assessments are common areas in multiple lot/unit developments; undeveloped lots and parcels that are
of such size and/or configuration and location that the City's current zoning and subdivision laws prohibit
beneficial development and usage.
PARCEL CLASSIFICATION
All parcels in the City of Temple City derive special benefit from the street lighting and traffic signal system,
general landscape maintenance in the streets and sidewalks, arterial highway median maintenance on
Santa Anita Boulevard, Baldwin Avenue, Rosemead Boulevard and Las Tunas Drive, and arterial parkway
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
8
maintenance on Las Tunas Drive (City Center Parkway Improvements). The intent of this report is to
establish a methodology that fairly distributes the cost in relation to the special benefits received.
Residential - All residential uses are assessed 1 EDU per dwelling unit.
Commercial/Industrial - Commercial, Industrial and Institutional parcels are converted to EDUs
based on the lot size of each parcel of land. In converting these properties to EDUs, the factor used
is the City of Temple City's average single family residential lot size of 7,200 square feet, which is
approximately 6 lots per acre. Therefore, commercial/industrial parcels are assessed six (6) EDUs
per acre.
Churches - The City Council has ordered that church-owned properties receive a 25 percent
reduction to the assessment rate. Therefore, church properties with residential uses are assessed
0.75 EDUs per dwelling unit. All other church properties are assessed 75 percent of the
commercial/industrial rate, which calculates to 4.5 EDUs per acre.
The land use classification for each parcel has been based on the Los Angeles County Assessor's Roll.
SPECIAL BENEFIT DETERMINATION
Property values in a community are individually increased when public infrastructure such as street lights
and traffic signals, and landscaping facilities are in place, improved, operable, safe, clean and maintained.
Street Lighting and Traffic Signals
The proper functioning of street lighting and traffic signals is imperative for the welfare and safety of the
public and property throughout the City. Proper maintenance and servicing of the street lighting system
benefits properties within the District by providing proper illumination for ingress and egress and safe
traveling at night. Properties within the District also benefit from the proper functioning of the District's
traffic signal system. Proper operation of the street light and traffic signal systems is imperative to public
convenience, orderly traffic flow, enhanced congestion management and safety. Improved security, fuel
conservation, protection of property from crime and vandalism, and reduction of traffic accidents, are
special and direct benefits to all properties within the City; lighting benefits are directly related to public
safety and property protection and therefore increase property values.
Street Landscaping
The City maintains trees and miscellaneous shrubbery throughout the City. The trees and shrubbery are
located within the public right-of-way. These trees and shrubbery provide an aesthetically pleasing
environment, shade, beautification, and according to some authorities, air purification and sound
attenuation. These positive attributes increase the value of all properties throughout the City.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
9
There are two types of special benefits: Citywide Benefits and Local Benefits.
Citywide Benefits
Special benefits that are received by all parcels in the City are considered Citywide Benefits, and the
associated costs of these benefits are spread equally, based on Equivalent Dwelling Units, to all parcels
within the District.
City-wide Benefits within the District include landscape maintenance throughout the City, the operation
and maintenance of traffic signals, and street lighting and median maintenance on the major
thoroughfares, which are the main travel ways of the City.
Local Benefits
Local Lighting
Streetlights adjacent to or near a parcel of land provide a special and direct Local Benefit to that
parcel. This includes added security, reduction in traffic accidents and increased aesthetics benefit
the surrounding parcels and thereby enhance the value of the parcels.
All parcels with streetlights in their vicinity receive a Local Benefit.
Rosemead Boulevard and Las Tunas Drive Medians
These improvements are located along Rosemead Boulevard, from Broadway to Hermosa, and Las
Tunas Drive, from Muscatel to Sultana, and consist of median improvements including
landscaping, irrigation and hardscape.
The improvements are located on major arterials, and therefore provide benefit to all parcels
within the City. However, the commercial properties directly adjacent to these improvements
receive a direct Local Benefit in addition to the Citywide Benefit, due to economic enhancement
relating to parkway beautification and increased desirability of the surroundings which provides
additional increases in property value as a result of the improvements.
Because the improvements provide a Citywide Benefit and a Local Benefit, it is proposed that the
costs for maintaining and servicing these improvements be divided so that half of the cost is spread
Citywide and half of the cost is spread to the local area of benefit.
City Center Parkway Improvements
These improvements are located along Las Tunas Drive, from Cloverly to Kauffman, and consist of
parkway improvements including raised planters, automatic irrigation, street trees, decorative
lighting fixtures, tree grates, benches, and hardscape.
Since City Center Parkway is a major arterial, the landscaping provides benefit to all parcels within
the City. However, the commercial properties directly adjacent to these improvements receive a
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
10
direct Local Benefit in addition to the Citywide Benefit, due to economic enhancement relating to
parkway beautification and increased desirability of the surroundings which provides additional
increases in property value.
Because the improvements provide a Citywide Benefit and a Local Benefit, it is proposed that the
costs for maintaining and servicing these improvements be divided so that half of the cost is spread
Citywide and half of the cost is spread to the local area of benefit.
ZONE CLASSIFICATIONS
A system of zones has been developed to identify the specific benefit each parcel receives. The zones are
as follows:
Zone A - This zone includes all properties receiving a local lighting benefit. They are assessed for local
lighting, as well as the Citywide Benefits.
Zone B - This zone includes residential properties that receive only Citywide Benefits.
Zone C - Rosemead Boulevard/Las Tunas Drive Median Landscaping. This zone includes all commercial
parcels abutting the Rosemead Boulevard/Las Tunas Drive medians. They are assessed the Rosemead
Boulevard/Las Tunas Drive Median Local Benefit, as well as the Citywide Benefits and direct Local Lighting
Benefit.
Zone D - City Center Parkway Improvements. This zone includes commercial parcels abutting the City
Center Parkway Improvements. They are assessed the City Center Parkway Improvement Local Benefit,
as well as the Citywide Benefits and direct Local Lighting Benefit.
INVENTORY OF PARCELS
The following information was obtained from the Los Angeles County Assessor's Roll and the City of
Temple City.
Dwelling
Land Use Parcels Units Acres EDU
Exempt 181 n/a n/a -
Single Family Residential (SFR) Parcels 8,775 8,775 n/a 8,775.00
Multi-Family Residential (MFR) Parcels 921 3,061 n/a 3,061.00
Commercial/Industrial 407 n/a 150.36 902.19
Churches 38 7 30.38 141.97
TOTAL:10,322 11,843 180.74 12,880.16
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
11
The distribution of EDUs per Zone is as follows:
ASSESSMENT SUMMARY
The following table shows the summary of the annual assessments for each Zone of Benefit.
An "X" in the table above indicates the category of benefit included in each Zone. The total
assessment per zone is the sum of the assessments for each category of benefit.
As a result of SB 324 approval, the 1919 Act Lighting Maintenance District revenue covers the entire Fiscal
Year 2020-21 street lighting, traffic signal budgets as well as the shortfall in revenue from assessments for
the landscaping operation and maintenance.
SAMPLE CALCULATONS
Sample calculations for various land use types in Zones A and B are provided in the following table.
Zone EDU
A 9,673.99
B 2,913.25
C 247.27
D 45.65
Total 12,880.16
Category of Benefit
Benefit
Zone A
Benefit
Zone B
Benefit
Zone C
Benefit
Zone D
Asmt Rate
($/EDU)
Citywide landscaping, traffic
signal, medians, and parkway X X X X $25.03
Citywide Street Lighting X X X X $0.00
Local Street Lighting X X X $0.00
Rosemead/Las Tunas Medians X $20.48
City Center Parkways X $54.79
Total Asmt ($/EDU) FY 20-21 $25.03 $25.03 $45.51 $79.82
Total Asmt ($/EDU) FY 19-20 $25.03 $25.03 $45.51 $79.82
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
12
Total Fiscal Year
Land-Use EDU Calculation EDUs 2020-21 Asmt
SFR 1 DU x 1 EDU/DU = 1.00 $25.03
Condominium 1 DU x 1 EDU/DU = 1.00 $25.03
3-Unit Apartment 3 DU x 1 EDU/DU = 3.00 $75.09
10-Unit Apartment 10 DU x 1 EDU/DU = 10.00 $250.30
¼ acre Church ¼ ac x 4.5 EDU/ac = 1.13 $28.16
1 acre Church 1 ac x 4.5 EDU/ac = 4.50 $112.64
1/8 acre Com/Ind 1/8 ac x 6 EDU/ac = 0.75 $18.77
¼ acre Com/Ind ¼ ac x 6 EDU/ac = 1.50 $37.55
½ acre Com/Ind ½ ac x 6 EDU/ac = 3.00 $75.09
1 acre Com/Ind 1 ac x 6 EDU/ac = 6.00 $150.18
5 acre Com/Ind 5 ac x 6 EDU/ac = 30.00 $750.90
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
13
APPENDIX A – ASSESSMENT ROLL
The proposed assessment and the amount of assessment for Fiscal Year 2020-21 apportioned to each lot
or parcel, as shown on the latest roll at the Assessor's Office are contained in the Assessment Roll on file
in the office of the City Clerk of the City of Temple City, which is incorporated herein by reference.
The description of each lot or parcel is part of the records of the Assessor of the County of Los Angeles
and these records are, by reference, made part of this Report.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
14
APPENDIX B – ASSESSMENT DIAGRAM
The boundaries of the District are coterminous with the boundaries of the City of Temple City. A diagram
showing the exterior boundaries of the District, the boundaries of any zones within the Assessment
District, and the lines and dimensions of each lot or parcel of land within the District is on file in the Office
of the City Clerk and incorporated herein by reference.
The lines and dimensions of each lot or parcel within the District are those lines and dimensions shown
on the maps of the Assessor of the County of Los Angeles for the fiscal year to which this report applies.
The Assessor's maps and records are incorporated by reference herein and made part of this report.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
15
APPENDIX C – SENATE BILL 324
The following pages provide the Bill that was approved by the Governor on July 10, 2019, the timeline of
the process and the Assembly Committee Local Government Analysis. Detailed history and
documentation is available at:
http://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201920200SB324.
ATTACHMENT B
Engineer’s Report
Citywide Lighting and Maintenance District
City of Temple City
Fiscal Year 2020-21
15
APPENDIX C – SENATE BILL 324
The following pages provide the Bill that was approved by the Govenor on July 10, 2019, the timeline of
the process and the Assembly Committee Local Government Analysis. Detailed history and
documentation is available at:
http://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201920200SB324.
ATTACHMENT B
SHARE THIS:Date Published: 07/10/2019 09:00 PM
SB-324 Street lighting systems: City of Temple City.(2019-2020)
Senate Bill No. 324
CHAPTER 73
An act relating to street lighting.
[ Approved by Governor July 10, 2019. Filed with Secretary of State July 10, 2019. ]
LEGISLATIVE COUNSELʹS DIGEST
SB 324, Rubio. Street lighting systems: City of Temple City.
(1) The Street Lighting Act of 1919 provides for an alternative system for making improvements to street lighting
systems, as defined. The act authorizes, when, in the opinion of the city council of any city, the public interest or
convenience requires, that the city may, among other things, order that any street lighting system be maintained
in or along the whole or any part of any one or more of the streets in that city.
This bill would, in addition to the Landscaping and Lighting District of the City of Temple City’s existing authority
to perform specified maintenance and operations under the Street Lighting Act of 1919, authorize that district to
also perform maintenance and make improvements pursuant to the Landscaping and Lighting Act of 1972.
(2) This bill would make legislative findings and declarations as to the necessity of a special statute for the City of
Temple City.
Vote: majority Appropriation: no Fiscal Committee: no Local Program: no
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. In addition to the district’s authority to perform street lighting maintenance and operations as
specified in Section 18030 of the Streets and Highways Code, the Landscaping and Lighting District of the City of
Temple City may also perform maintenance and make improvements pursuant to Sections 22525 and 22531 of
the Streets and Highways Code.
SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot
be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the
unique need to perform immediate maintenance and make improvements in the City of Temple City.
Home Bill Information California Law Publications Other Resources My Subscriptions My Favorites
Page 1 of 1Bill Text -SB-324 Street lighting systems: City of Temple City.
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ATTACHMENT B
SB-324 Street lighting systems: City of Temple City.(2019-2020)
Date Action
07/10/19 Chaptered by Secretary of State. Chapter 73, Statutes of 2019.
07/10/19 Approved by the Governor.
07/05/19 Enrolled and presented to the Governor at 3:30 p.m.
06/27/19 In Senate. Ordered to engrossing and enrolling.
06/27/19 Read third time. Passed. (Ayes 71. Noes 0. Page 2459.) Ordered to the Senate.
06/20/19 Read second time. Ordered to consent calendar.
06/19/19 From committee: Do pass. Ordered to consent calendar. (Ayes 8. Noes 0.) (June 19).
05/16/19 Referred to Com. on L. GOV.
05/02/19 In Assembly. Read first time. Held at Desk.
05/02/19 Read third time. Passed. (Ayes 38. Noes 0. Page 924.) Ordered to the Assembly.
04/29/19 Read second time. Ordered to consent calendar.
04/25/19 From committee: Do pass. Ordered to consent calendar. (Ayes 7. Noes 0. Page 846.) (April 24).
04/04/19 Set for hearing April 24.
03/25/19 From committee with author's amendments. Read second time and amended. Re-referred to Com. on GOV. & F.
02/28/19 Referred to Com. on GOV. & F.
02/19/19 From printer. May be acted upon on or after March 21.
02/15/19 Introduced. Read first time. To Com. on RLS. for assignment. To print.
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ATTACHMENT B
SB 324
Page 1
Date of Hearing: June 19, 2019
ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
Cecilia Aguiar-Curry, Chair
SB 324 (Rubio) – As Amended March 25, 2019
SENATE VOTE: 38-0
SUBJECT: Street lighting systems: City of Temple City.
SUMMARY: Allows the Landscaping and Lighting District of Temple City to perform
maintenance and make improvements under the Landscaping and Lighting Act of 1972 (1972
Act).
FISCAL EFFECT: None
COMMENTS:
1) Assessments. A benefit assessment is a charge that property owners pay for a public
improvement or service that provides a special benefit to their property. The amount of the
assessment must be directly related to the amount of the benefit that the property receives.
Benefit assessments can finance public projects like flood control, street improvement,
streetlights, and public landscaping, among many others.
California statute authorizes local agencies to adopt a wide variety of assessments through
the formation of assessment districts. An assessment district is not a separate government
agency but rather a defined area containing the property that specifically benefits from
certain public improvements. Within this defined area, the special assessments are
apportioned and levied according to a benefit formula approved by the legislative body.
With the passage of Proposition 218 (1996), assessments became more difficult to impose,
including those levied by assessment districts because of newly enacted property owner
approval requirements. In general, Proposition 218 ensured that all new or increased taxes
and charges on property owners are subject to property owner approval, and it sought to curb
the use of these revenue-raising tools to pay for general governmental services rather than
property-related services.
2) 1919 Act and 1972 Act. The Street Lighting Act of 1919 Act (1919 Act) is a tool used by
cities to finance street lighting improvements. When a city council finds it is in the public’s
best interest, it can order any street lighting system to be maintained along one or more of the
streets in the city, or order electric current or another power source to be furnished for a street
lighting system. The city council can then levy an assessment on properties proportional to
the anticipated benefit of the improvement over a 12-month period. The city council can
continue the assessment for subsequent 12-month periods to maintain the services provided.
Funds from the 1919 Act can only be used for lighting maintenance and cannot be used for
the installation of city owned public lighting facilities, including traffic signals or landscape
maintenance.
ATTACHMENT B
SB 324
Page 2
The 1972 Act is a tool used by local agencies to pay for landscaping, lighting,
and other improvements and services in public areas. Bonds can be issued to finance
improvements under the 1972 Act. Under the 1972 Act, a broad range of improvements can
be financed, including:
a) Acquisition or construction of landscaping; general lighting, such as streetlights and
traffic lights; recreational improvements, such as parks; ornamental features, such as
statues and fountains; and any facilities attached or related to these types of
improvements;
b) Acquisition of land for parks and open spaces;
c) Acquisition or construction of community centers, municipal auditoriums, halls, or other
similar facilities;
d) Acquisition of any existing asset that a district would otherwise be able to construct; and,
e) Maintenance of any of the above.
3) City of Temple City and Current Limitations. Temple City receives 1919 Act revenue for
the purpose of funding the operation and maintenance of its street lighting system under the
authority of the Landscaping and Lighting District of Temple City. The City can only use
funds from the 1919 Act for lighting maintenance, not for other needs it may have, such as
the installation of city-owned public lighting facilities, including traffic signals, or for
landscape maintenance, which would be allowed if the city collected these funds under the
1972 Act. The City reports a balance of over $2 million collected under the 1919 Act that it
could use for one-time improvements, and $600,000 in annual revenue it anticipates
collecting.
After the passage of Proposition 218, maintenance districts formed under the 1919 Act
became a less beneficial tool for funding local infrastructure projects. Proposition 218
requires local agencies to gain property owner approval through a protest process if a new
assessment is created or an existing one is increased. In addition, the 1919 Act does not
allow as wide of a variety of uses for funds collected as the 1972 Act does. For instance, the
1919 Act does not allow a local agency to finance streetlight installation or landscaping.
As a result, local agencies have turned away from using the 1919 Act to levy benefit
assessments. But some districts are left with unspent funds collected under the 1919 Act.
SB 324 authorizes Temple City’s maintenance district to take a wid er variety of actions than
currently allowed, potentially making better use of these funds. However, by authorizing
Temple City’s district to use the powers under the 1972 Act, SB 324 could lead to Temple
City using funds already collected for purposes not initially intended.
4) Bill Summary and Author’s Statement. This bill allows the Landscaping and Lighting
District of Temple City to perform maintenance and make improvements under the 1972 Act.
This bill is sponsored by Temple City.
ATTACHMENT B
SB 324
Page 3
According to the author, “The City of Temple City receives Ad Valorem tax revenues under
the 1919 Act for the purpose of funding the operation and maintenance of its Street Lighting.
The issue is that funds from the 1919 Act can only be used for lighting maintenance and
cannot be used for the installation of city-owned public lighting facilities including traffic
signals or landscaping maintenance. This bill will allow these funds to be used for much
needed improved maintenance on city streets, street trees, and medians. This bill simply
allows for the use of existing excess funds to provide for a broader public benefit already
allowed under State law.”
5) Prior Legislation. SB 361 (Hernández), Chapter 63, Statutes of 2017, allowed the
La ndscaping and Lighting District of the City of La Puente to also perform maintenance and
make improvements under the 1972 Act, in addition to its authority under the 1911 Act.
SB 1323 (Hernández), Chapter 93, Statutes of 2018, allowed county lighting districts for the
County of Los Angeles to perform maintenance and make improvements authorized under
the 1972 Act.
6) Arguments in Support. According to the sponsors, “The City has accumulated unspent
Ad Valorem funds due to the limitations on the permissible uses from that revenue source,
and at the same time has had to defer or reduce the maintenance of those improvements
allowed under the 1972 Act. This has created an imbalance in the District, with an unusable
fund balance currently projected at over $2 million. If the City’s District were to receive
authorization from the State, these funds could be used for the benefit of the public to
provide improved maintenance and capital improvements on City streets, street trees, and
medians. This would greatly improve the City’s ability to perform maintenance and make
improvements for the benefit of its citizens. There will not be any net cost to the public, the
State, other agencies or the City. No new fees or revenue increases will result from the
proposed legislation. It would simply allow for the use of existing funds to expand
maintenance and make improvements in the public right of way; thus, allowing for the use
of existing excess funds to provide for a broader public benefit already allowed under State
law.”
7) Argument in Opposition. None on file.
REGISTERED SUPPORT / OPPOSITION :
Support
City of Temple City [SPONSOR]
American Federation of State, County, and Municipal Employees Association, AFL-CIO
League of California Cities, Los Angeles County Division
Opposition
None on file
Analysis Prepared by: Jimmy MacDonald / L. GOV. / (916) 319-3958
ATTACHMENT B