COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Public Works

DATE:

August 6, 2004

BOARD MEETING DATE:

August 31, 2004

TO:

Honorable Board of Supervisors

FROM:

Neil R. Cullen, Director of Public Works

SUBJECT:

Public Hearing - Withdrawal of Territory from the East Palo Alto Drainage Maintenance District - Menlo Park Area

Recommendation

Acting as the Governing Board of the East Palo Alto Drainage Maintenance District (EPADMD):

1)

adopt a resolution setting a time and date for a public hearing to consider withdrawing property from the EPADMD that currently lies within the boundaries of both the City of Menlo Park (Menlo Park) and the EPADMD.

2)

at a subsequent Board meeting, conduct the hearing, consider any and all comments, close the hearing and find that:

a)

the property proposed to be withdrawn from the EPADMD will not be benefited by remaining within the EPADMD, and

b)

the property to remain within the EPADMD will be benefited by remaining within the EPADMD.

3)

If your Board holds the public hearing and makes the findings above, then

adopt a resolution ordering:

a)

the withdrawal of the property from the EPADMD that is within both the City of Menlo Park and the EPADMD; and

b)

the continuance of the remaining territory in the EPADMD as a maintenance district.

Key Facts

1)

The EPADMD and the Ravenswood Highway Lighting District (RHLD), two districts governed by your Board, currently maintain drainage and lighting facilities within the corporate limits of the City of East Palo Alto (East Palo Alto or City).

2)

The City has agreed to assume the maintenance of drainage and lighting facilities within their corporate limits which are currently the responsibility of EPADMD and RHLD, if the districts are transferred to the City.

3)

Section 5851 of the Streets and Highways Code provides that a maintenance district may be transferred to a city if the district lies completely within the boundaries of one city.

4)

Withdrawing the property that is within both the City of Menlo Park and the EPADMD, will allow the remaining district to be transferred to East Palo Alto and facilitate East Palo Alto assuming these municipal type services that are appropriately city services.

5)

A public hearing is required to consider the withdrawal of territory from a maintenance district pursuant to Section 5844 et. seq. of the Streets and Highways Code.

Discussion

The EPADMD and RHLD are special districts governed by your Board that were formed to provide specific city type services when the area was unincorporated. The dissolution of the two districts was not a part of the 1983 incorporation of East Palo Alto.

We have been working with City staff to facilitate the transfer of these city services to the City, and City staff has agreed to recommend that the City take over these services if these two districts are transferred over to the City.

Twenty-four (24) parcels that were previously in the unincorporated area between O’Connor and O’ Keefe Streets and within the EPADMD were annexed to the City of Menlo Park in 1982, prior the incorporation of East Palo Alto. It is necessary to withdraw these properties from the EPADMD in order to meet the requirements of the Streets and Highways Code for transferring the EPADMD to the City. The transfer of the RHLD is not as complex as the territory of the RHLD is entirely within the City’s corporate limits.

We believe that your Board can make the necessary findings as described in the recommendation portion of this report as:

a)

drainage maintenance in the vicinity of the parcels will not be diminished, as it will continue to be provided by the City of Menlo Park; and

b)

the remaining properties will be benefited by East Palo Alto taking over the maintenance of this city type service.

Vision Alignment

We believe our recommendation is consistent with the Shared Commitment to provide “responsive, effective and collaborative government,” and with Goal Number 20, “government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain,” as authorizing the withdrawal of the property from the EPADMD will allow the City to take over these city type services within their corporate limits.

Fiscal Impact

The Controller has estimated that $127 is collected on behalf of the EPADMD from the area proposed to be withdrawn from the EPADMD. The EPADMD’s revenues would be diminished by this amount, and these funds would be distributed to the other taxing agencies, including the City of Menlo Park, that share the property taxes collected from these twenty-four (24) properties,. The $127 represents approximately one percent (1%) of the estimated tax revenues that are currently received by the EPADMD in a fiscal year.

There is no impact to the General Fund.

Copies of this staff report have been sent to both the City of East Palo Alto and the City of Menlo Park. We will send copies of this staff report to the affected property owners if your Board determines to hold the public hearing.

Forms of resolutions have been approved by County Counsel.