COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Public Works

DATE:

January 6, 2004

BOARD MEETING DATE:

January 27, 2004

TO:

Honorable Board of Supervisors

FROM:

Neil R. Cullen, Director of Public Works

SUBJECT:

Hearing to Consider the Report of Costs and the Levying of Assessments - El Granada Roadway and Drainage Improvement Project - Paloma, San Carlos, Escalona, Navarra, Ferdinand and San Juan Avenues - Mid-Coast Area (County Projects No. R6F00, R6G00 & R6H00 - F36 [231])

Recommendation

Adopt a resolution setting a time and date for a public hearing to consider the report of costs and the levying assessments for the El Granada Roadway and Drainage Improvement Project.

Previous Board Action

Adopted fixed assessments for road and drainage improvements to be used in conjunction with road assessment districts in order that property owners would know their assessments prior to the work being done.

Authorized property owner surveys, held public hearings, and adopted a resolution authorizing the Director of Public Works to design the above-referenced improvements and to notify property owners of the intent of your Board to proceed with the above-referenced project and to levy assessments on said properties after construction was completed.

Key Facts

1.

The proposed project was initiated by petitions submitted by the property owners in the area requesting the formation of an assessment district for roadway and drainage improvements.

2.

A majority of property owners approved of the fixed assessments pursuant to a property owner mail-in election that was held in accordance with the provisions of the State Constitution (Proposition 218).

3.

Your Board considered the assessments at a noticed public hearing and approved of our proceeding with the work.

4.

Section 5870 et. seq. of the California Streets and Highways Code requires a public hearing to consider the report on the work that was done, and to consider any and all objections to the assessments that are proposed to finance a portion of the improvements, and which are now proposed to be levied against adjacent lots and parcels.

Discussion

Attached is a report specifying the work which has been done, the cost of construction, a description of the real property in front of which the work was done, and the amount of the assessment for each parcel as previously determined by your Board. The assessments are identical to the assessments that were the subject of the Proposition 218 mail in ballot measure where the majority of the property owners agreed to the assessments.

We are recommending that your Board adopt a resolution setting a time and date for a public hearing to consider the report and to hear any and all objections to the assessments. Your Board, after holding and then closing the public hearing, may make such revisions, correct or modify the assessments as you deem just, and then confirm the assessments. However, we believe that the assessments as presented are appropriate as they are identical to the assessments that were established by your Board prior to construction and which were considered by the property owners when they voted to approve the project.

We will be recommending a 45-day cash payment period if your Board, after holding the public hearing, confirms the assessments. Assessments not paid within the 45-day period would then become a lien on the particular property, would be collected over a ten-year period with interest at an annual rate of seven percent (7%). The payments would be made together with the property tax payments.

Vision Alignment

We believe our recommendation is consistent with the Shared Commitment to be a "responsive, effective and collaborative government," as the setting of the hearing to confirm assessments is a part of the overall process that was envisioned when property owners requested that a project go forward to improve the roads and drainage in the area, understanding their responsibility to fund a proportionate share of the project costs pursuant to your Board's policy on assessment district financing.

Fiscal Impact

The total cost of the project including construction, engineering, inspection and administration is $1,862,881.35, and was initially financed as follows:

Road Funds

$1,508,881.35

Mitigation Fees

$ 354,000.00

Total

$1,862,881.35

Property owner assessments as recommended will reimburse the County funds resulting in the final financing to be:

Road Funds

$1,508,881.35

Mitigation Fees

$ 164,413.08

Property Owner Assessments

$ 189,586.92

Total

$1,862,881.35

There is no impact to the General Fund.

A form of resolution has been approved by County Counsel.

We will notify the property owners and the MidCoast Council of the time and date of the hearing to consider the levying of assessments and the amount of each the assessment proposed to be levied on each property.