COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Public Works

DATE:

August 31, 2004

BOARD MEETING DATE:

September 14, 2004

TO:

Honorable Board of Supervisors

FROM:

Neil R. Cullen, Director of Public Works

SUBJECT:

Street Tree Maintenance on the Alameda de las Pulgas Generally between Ashton Avenue and Harkins Avenue -West Menlo Park Area

Recommendation

a)

Hold a public hearing to consider any and all objections to the formation of the Alameda Street Tree Maintenance District and the levying of assessments to finance said district. (9:00 a.m., September 14, 2004);

b)

Close the hearing, consider any and all protests that have been submitted either prior to or during the public hearing, and determine if you wish to continue your consideration of the formation of the district and the levying of assessments.

c)

If you determine that you wish to continue your consideration of the formation of the district and the levying of assessments, continue this item to a date certain in order to give staff time to open and count the ballots that were sent to the property owners within the proposed district pursuant to Section 53753 et. seq. of the Government Code.

Previous Board Action

Ø

Authorized the planting of street trees in conjunction with the streetscape improvements that were constructed on the above-described section of the Alameda de las Pulgas, if the property owners in the surrounding area approved of being assessed to finance the maintenance of said trees, including the planting of any replacement trees.

Ø

Authorized the transfer of $17,000 from the General Fund Departmental Reserves to finance the process for forming the street tree maintenance district and the levying of assessments.

Ø

Adopted a resolution:

a.

setting a time and place for a public hearing to consider any and all objections to the formation of said maintenance district and the levying of assessments; and

b.

authorizing the Director of Public Works to send a ballot as provided by Section 53753 of the Government Code to all property owners within the proposed district, which can be used by the property owners to indicate their support or opposition to being assessed for the cost of maintaining said trees; and

c.

appointing the Clerk of the Board to oversee the tabulation of the ballots by Public Works.

Key Facts

Ø

Section 53750 et. seq. of the Government Code, which were promulgated pursuant to changes in the State Constitution as approved by the voters with the passage of Proposition 218:

a)

requires a public hearing and a ballot on any new property fee or assessment which is not sewer, water or garbage related; and

b)

provides that the ballots as described above, cannot be opened and tabulated until after the close of the public hearing.

Ø

Ballots, together with a letter notifying property owners of the time and date of the public hearing and explaining the proposed street tree maintenance district and the assessments, were mailed to all property owners within the proposed district as provided by the Government Code.

Discussion

The boundaries of the street tree maintenance district follows the boundaries as presented to your Board when you considered and approved the advancement of funds to process the proposed formation of the district. An Engineer’s Report was also prepared that meets the requirements of the Government Code and calculated the assessments for each parcel within the boundaries of the proposed district.

We are recommending that you hold the public hearing, hear any and all protests, close the hearing and continue your consideration of this matter to a date certain in order to comply with the provisions of the Government Code and to allow the Clerk of the Board to oversee the tabulation of the over 500 ballots that have been submitted to Public Works.

We would then move forward with the planting of the street trees if the tabulation of ballots affirms the levying of assessments and if your Board decides that the district should be formed.

Vision Alignment

We believe our recommendations are consistent with the Shared Commitment to be a “responsive, effective and collaborative government,” and Goal Number 20, “government decisions are based on careful consideration of future impact, rather than on temporary relief or immediate gain,” as proceeding with the proposed assessment district process is based on the resolve of the property owners to approve the assessments to improve the overall appearance of the business district, which is seen as a focal point for the surrounding neighborhoods.

Fiscal Impact

The assessment for each parcel was calculated on a per parcel basis, with the commercial properties on the Alameda de las Pulgas and within the area where trees are proposed to be planted, paying for approximately five percent (5%) of the costs; and all other parcels in the assessment district area paying for ninety-five percent (95%) of the costs. These costs were estimated for a 20-year period and then annualized in order to meet the requirement of Section 53753 et. seq. of the Government Code. We also included in the first five (5) years of the assessment payments, the reimbursement of the funds including interest, that were advanced by the General Fund to finance the formation of the district and the ballot process. The assessment payments also include the cost of placing the assessment payments on the tax bill that is charged by the Controller - approximately $0.30 per parcel per year.

The “not-to-exceed” assessment payment per parcel for the 20-year tree maintenance for residential property is $164.40 per parcel, or $11.40 per parcel per year for the first five (5) years and $7.16 per parcel per year for years six (6) through twenty (20) inclusive. The “not-to-exceed” assessment payment per parcel for the 20-year tree maintenance for commercial property is $642.90 per parcel, or $45.00 per parcel per year for the first five (5) years and $27.86 per parcel per year for year six (6) through twenty (20) inclusive. The calculations are included in the Engineer’s Report.

The Government Code requires that we notify the property owner of the maximum assessment to their property. The assessments as calculated include a contingency and any excess funds collected will be deposited in the street tree maintenance district and will be used to pay the cost of maintaining the trees.

The cost of purchasing and installing the trees is estimated at $20,000 and your Board previously determined that this would be paid by the County. We are recommending that 1/2 Cent Transportation Funds be used to pay these costs.

The initial impact to the General Fund is the advancement of the $17,000 approved by your Board. These funds will be paid back with interest if the property owners approve of being assessed and the maintenance district is formed. The General Fund will not recoup the funds advanced if the property owner do not approve of being assessed for the maintenance of the trees.