HomeMy WebLinkAboutID2773-Assessment-for-California-Avenue-Area-Parking-Bonds-6-11-12City of Palo Alto (ID # 2773)
City Council Staff Report
Report Type: Action ItemsMeeting Date: 6/11/2012
June 11, 2012 Page 1 of 4
(ID # 2773)
Summary Title: Assessment for California Avenue Area Parking Bonds
Title: Public Hearing –Assessment for California Avenue Area Parking Bonds –
Plan G: FY 2012-2013; Adoption of a Resolution Confirming Engineer’s Report
and Assessment Roll, California Avenue Parking Project No. 92-13 (For Fiscal
Year 2012-2013)
From:City Manager
Lead Department: Public Works
Recommendation
Staff recommends that Council adopt the attached resolution (Attachment A)
confirming the Engineer's Report and Assessment Roll for California Avenue
District, Project No. 92-13.
Background
By virtue of the prior establishment of the assessment district and issuance of
debt, Council action is required to levy assessments for the active parking project
in the California Avenue area. These assessments will be utilized for the payment
of principal and interest on bonds for capital improvements pursuant to the
attached resolution. These funds are separate and distinct from permit fees that
are used to pay for operation and maintenance of parking facilities.
The active project is listed and described as follows:
1.California Avenue District, Ted Thompson Parking Structure, Project 92-13:
Construction of a two-level parking structure on Cambridge Avenue between
Birch Street and Nogal Lane.
Parking bonds issued under Bond Plan G (Section 13.16.150, Palo Alto Municipal
Code) require that a public hearing be held annually (the second Monday in June)
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on the assessments, which must be levied to pay principal and interest on the
bonds. The purpose of the public hearing is to allow each property owner the
opportunity to question the computation of his/her assessment and the elements
which comprise it, that is, the square footage of each occupied building, the off-
street parking requirements for the usage, and the off-street parking provided.
Assessments are levied on the basis of building square footage, with a credit given
for the off-street parking provided by the property owner. Additional details
about the Parking Assessment District-Plan G bond capital improvement program
projects can be found in Attachment B.
Discussion
The assessment rates for FY 2012-13 (Attachment C) per square foot of adjusted
building area and the amount levied for the project is:
PROJECT
ASSESSMENT RATE PER
ADJUSTED BUILDING
SQUARE FOOTAGE
DOLLARS
LEVIED
1.California Avenue District, Ted
Thompson Parking Structure, Project
92-13
$10.15*
$ 0.059**
Total:
$121,565.13
$ 40,521.80
$162,086.93
*Rate per weighted assessment factor.
**Rate per land square footage.
Approximately $341,000 in excess construction funds in the California Avenue
District bond fund for the Ted Thompson parking garage, Project 92-13, was used
to reduce the tax roll required to pay off the bonds sold to finance the project. To
equalize assessments, the funds were spread uniformly over the duration of the
bonds (20 years) beginning with the 1996 assessments.
Attachment D lists changes made to the assessment rolls. The estimated
assessments were sent to property owners within the California Avenue district
on May 22, 2012.A map of the District is contained in Attachment E.
Assessments were modified due to recent changes in business site conditions
(square footage, vacancy, etc.), which were brought to staff's attention by
property owners since the estimated assessments were prepared.Because the
hearing itself is the legally prescribed process by which questions about the basis
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of assessment and the property owners' individual circumstances may be heard, it
may be necessary to have a second addendum available at the Council meeting
that reflects changes brought to staff's attention since the Council packet was
delivered. The public hearing for the assessment district may need to be
continued if last minute information brought forward by property owners cannot
be verified and included in the amended rolls prior to the hearing.
Resource Impact
The project is funded by the assessment district and no City General Fund monies
are involved. Although assessments are generally subject to Proposition 218, this
particular assessment is exempt from Proposition 218 since all of the assessment
proceeds are pledged to repay bond indebtedness issued prior to enactment of
Proposition 218. Parking district maintenance costs, including sweeping,
landscaping, signing and lighting are paid for by parking permit fees, which were
last increased in 2005 in the California Avenue Parking District. These are
separate from the funds used to pay for construction of the parking garage.
Policy Implications
Approval of this action does not represent any change to existing City policies.
Timeline
The assessments will be sent to the Santa Clara County Tax Collector in July and
will appear on the October property tax bills.
Environmental Review
Approval of assessments is exempt by from the California Environmental Quality
Act (CEQA).
Attachments:
·A -Resolution -Cal Ave Park Bonds Plan G 2 (DOC)
·B -Parking Assessment District-Plan (DOC)
·C -Assessment Rates FY 2011-2012 (PDF)
·D -Amendments (DOC)
·E -California Avenue Parking Assessment District Map (PDF)
Prepared By:Mike Nafziger, Senior Engineer
June 11, 2012 Page 4 of 4
(ID # 2773)
Department Head:J. Michael Sartor, Director
City Manager Approval: ____________________________________
James Keene, City Manager
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Attachment A
RESOLUTION NO._________
RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO
CONFIRMING ENGINEER’S REPORT AND ASSESSMENT ROLL
CALIFORNIA AVENUE PARKING ASSESSMENT DISTRICT NO. 92-13
(For Fiscal Year 2012-13)
THE COUNCIL OF THE CITY OF PALO ALTO DOES RESOLVE as follows:
Section 1: After proceedings conducted pursuant to the Palo Alto Municipal Code, a public
hearing has been duly held on the Engineer’s Report and assessment roll prepared for the above fiscal
year to pay the principal and interest on bonds issued pursuant to Resolution of Intention No. 7930,
adopted by the Council of the City of Palo Alto on August 9, 1993;
Section 2: This Council has heard all persons having an interest in any real property within the
parking assessment district; has heard all objections, protests, or other written communications from any
persons interested in the real property within the district; has taken and received oral and documentary
evidence pertaining to the matters contained in the report; and has remedied and corrected any errors or
informalities in the report and revised and corrected any of the acts or determinations of the various City
officials as contained therein;
Section 3: The Engineer’s Report and assessment roll, and each of the assessments therein as
fully revised and corrected, is hereby approved and confirmed and adoption of this Resolution constitutes
the levy of the assessments for fiscal year 2012-13.
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Section 4: The report together with the certificate of the City Clerk as to the fact and date of
approval by this Council, shall forthwith be delivered to the County of Santa Clara, and the proper
County officer shall cause to be posted to the tax rolls, in the column provided therefor the amount of
each of the assessments proposed to be levied and collected for the fiscal year as set forth in the report as
confirmed.
INTRODUCED AND PASSED: _____________, 2012
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST:APPROVED:
City Clerk Mayor
APPROVED AS TO FORM:
Jones Hall,City Manager
A Professional Law Corporation
Director of Public Works
By:
Christopher K. Lynch,
Bond Counsel
Director of
Administrative Services
Senior Asst.City Attorney
CAPITAL IMPROVEMENT PROJECT
FINANCED BY ASSESSMENT PROCEDURES USING G-BONDS
CALIFORNIA AVENUE AREA
BOND ISSUE AMOUNT OF
BOND ISSUE
PURPOSE OF ISSUE DATE ISSUED DATE OF
MATURITY
INTEREST
RATE
California Avenue
Project 92-13
(Ted Thompson
Garage)
$2,055,000 Construction of a future two level parking structure on lot C-3 and the
two parcels acquired by project 86-01.
11/93 09/02/2015 3.4% -5.4%
Attachment D
CALIFORNIA AVENUE DISTRICT AMENDMENTS
PRELIMINARY ROLL
Address,
Parcel Number
Use Square
Feet
Parking
Reqd.
Parking
Prov
Assessment
92-13
No amendments
AMENDED ROLL
Address,
Parcel Number
Use Square
Feet
Parking
Reqd.
Parking
Prov
Assessment
92-13
No amendments