Title
Adopt a Resolution directing the Department of Public Works, Facilities and Parks (PWFP) to prepare an Engineer’s Report and complete a Proposition 218 election for County Service Area 45-Oak Hills (CSA 45) to increase direct benefit assessment rates to place annual revenue in line with annual costs for CSA 45 active services that include street lighting and drainage system maintenance and Open Space to include space maintenance.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors adopt a Resolution directing PWFP to prepare an Engineer’s Report and complete a Proposition 218 election for CSA 45 to increase direct benefit assessment rates to place annual revenue in line with annual costs for CSA 45 active services that include street lighting and drainage system maintenance and Open Space to include space maintenance.
SUMMARY
CSA 45 was established in 1966 to provide funding for the operations and maintenance of specific infrastructure located within the Oak Hills community. Today, the active services include street lighting, storm drain maintenance, and open space maintenance. In Fiscal Year (FY) 2023-24, total annual revenue, including investment income amounted to $58,810, which is insufficient to fund these services. To increase assessment rates, a Proposition 218 election is required. Prior to the election, an Engineer’s Report must be prepared and approved by the Board of Supervisors.
DISCUSSION:
CSA 45 special assessment rates have not increased since Proposition 218 was passed by voters in November 1996. Today, the CSA 45 annual revenue is insufficient to provide for the active services. To increase direct benefit assessment rates needed to bring annual revenue in line with annual costs for the CSA 45 active services, a proposition 218 election must be held.
CSA 45 includes two budget units, Oak Hills and Oak Hills - Open Space.
CSA 45 Oak Hills active services include street lighting and drainage system maintenance. This budget unit includes 617 parcels on the tax roll that are assessed $2.316 a month per single family dwelling, or $25.64 a year per single family dwelling. The annual special assessment revenue totaled $16,493 in FY 2023-24. This budget unit also receives a small portion of property tax revenue, known as Assembly Bill 8 (AB8) revenue, totaling $19,020 in FY 2023-24. The assessment revenue plus AB8 revenue totaled $35,513 in FY 2023-24. In the same year, the streetlight electric bill was $22,855 and PWFP staff costs were $13,438 totaling $36,293.
CSA 45 Oak Hills - Open Space only has open space maintenance as an active service. This budget unit includes 346 parcels on the tax roll that are assessed $4.606 a month per single family dwelling, or $55.28 a year per single family dwelling. The annual special assessment revenue totaled $19,072 in FY 2023-24. This budget unit does not receive AB8 revenue. There are 32 acres of open space requiring annual maintenance, at a current cost of approximately $32,000 which does not include County staff time to manage open space maintenance.
OTHER AGENCY INVOLVEMENT:
The CSA 45 Advisory Committee passed a motion on February 25, 2025 (2 for / 1 against) supporting staff’s recommendation to prepare an Engineer’s Report and proceed with a Proposition 218 election to raise assessments.
FINANCING:
The FY 2025-26 adopted budgets for CSA 45 Oak Hills (074-8566-PFP028) and Oak Hills Open Space (075-8566-PFP029) included $65,000 and $10,000, respectively to fund completion of the Engineer’s Report and Proposition 218 election.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
The recommended action complies with the Board of Supervisors’ Strategic Initiatives for Infrastructure and Public Safety.
___ Economic Development
___ Administration
___ Health & Human Services
X Infrastructure
X Public Safety
Prepared by: Tom Moss, PG, Senior Water Resources Hydrologist
Reviewed by: Enrique Saavedra, PE, Chief of Public Works
Approved by: Randell Ishii, MS, PE, TE, PTOE, Director of Public Works, Facilities & Parks
The following attachments are on file with the Clerk of the Board:
Attachment A - CSA 45 FY 2023-24 Financial Summary Sheets
Attachment B - CSA 45 LAFCO Map
Attachment C - Resolution