Item Coversheet

Agenda Item No: 4.






AGENDA REPORT

DATE:

July 7, 2020 

TO:

The Chair and Members of the Paradise Valley Maintenance and Monitoring District (PVMMD) Board

FROM:

Stefan T. Chatwin, PVMMD Manager


SUBJECT:Resolution PVMMD 2020-03 of the Paradise Valley Maintenance and Monitoring District Board Approving the 2020-21 Supplement to Engineer’s Report, As Modified, and Ordering the Levy of Assessment for the Paradise Valley Maintenance and Monitoring District

RECOMMENDED ACTION 
Adopt resolution.
STATEMENT OF ISSUE 
The adoption of this resolution will approve the fiscal year 2020-21 Supplement to the Engineer’s Report, as modified, and provide for the levy and collection of the annual assessments within Paradise Valley Areas “I”, “K”, and “L” for geologic monitoring, inspection, and repair within the Paradise Valley Maintenance and Monitoring District.
DISCUSSION
On July 6, 2010, the Paradise Valley Maintenance and Monitoring District (PVMMD) was formed and the City Council appointed itself as the PVMMD Board (“Board”). The PVMMD was formed to monitor, inspect, repair, and fund issues associated with geologic hazards upslope of the Paradise Valley Areas “I”, “K”, and “L” Subdivisions to protect homes from threat of landslides. Formation of the PVMMD was a requirement for the developer.

On July 20, 2010, the PVMMD Board approved the Plan of Control and Engineer’s Report for the District. The Plan of Control defines the physical boundaries and serves as the guidance document for the PVMMD. The Engineer’s Report provides additional detail of the PVMMD's funding, budget and the need for the accrual of substantial reserves to provide for the repair and maintenance of a potentially large geological event.

Funding for the PVMMD is based on an assessment from each residential lot within the PVMMD, and such funding is collected and used in connection with the Paradise Valley Plan of Control. The initial assessments for the PVMMD territory were approved by the PVMMD Board on October 5, 2010, in accordance with Proposition 218 requirements, and are adjusted annually to reflect the percentage change in the San Francisco-Oakland-San Jose Consumers Price Index for All Urban Consumers.

On April 21, 2020, the Board preliminarily approved the Supplement to the Engineer’s Report, and provided notice of a public hearing to consider granting final approval of said report and to order the levy and collection of fiscal year 2020-21 assessments of $1,193.72 per annum for single-family (low density) residential units and $596.60 per annum for medium-density residential units (a 3% increase from the previous year). The public hearing began on May 19, 2020, and was continued to June 9, 2020.

On June 9, 2020, the Board heard and considered all written and verbal protests against the proposed assessment rates. Staff was directed to amend the fiscal year 2020-21 proposed assessment rates to reflect no increase from the fiscal year 2019-20 rates. Therefore, PVMMD Resolution 2020-02 was pulled to be modified for consideration at the July 7, 2020, Board meeting as PVMMD Resolution No. 2020-03. Staff has presented the 2020-21 Supplement to the Engineer’s Report, as modified to reflect assessment rates for fiscal year 2020-21 of $1,158.95 per annum for single-family (low density) residential units and $579.22 per annum for medium-density residential units. The Board also requested that an audit be performed of the PVMMD and that a different geotechnical engineering firm be consulted to evaluate and provide recommendations on an appropriate annual budget and reserve goal for the PVMMD. Staff will coordinate with and provide updates to the PVMMD property owners over the next several months, with a goal of completing these tasks in time to inform proposed assessments for fiscal year 2021-22.

The adoption of Resolution PVMMD 2020-03 will grant final approval of the 2020-21 Supplement to the Engineer’s Report, as modified to reflect that the assessment rates for fiscal year 2020-21 are not increased from the rates for fiscal year 2019-20, and the amended fiscal year 2020-21 assessments rates of $1,158.95 per annum for single-family residential units and $579.22 per annum for medium-density residential units.

FINANCIAL IMPACT
The fiscal year 2020-21 assessments will generate $212,071 in funding for the monitoring, inspection, and repair of the geologic hazards located within the Paradise Valley PVMMD boundaries.
CITY COUNCIL WORKPLAN 
Community Safety
 Community Infrastructure Quality of Life
Financial and Operational Sustainability Economic Development Travis Air Force Base

City Council Goal this item supports: 
Financial and Operational Sustainability
 

Project:
Routine item not recommended for inclusion in the Workplan
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION 
N/A
ALTERNATIVE ACTION 
Not approving the resolution will prevent the City from collecting assessments for the 2020-21 tax year.
STAFF CONTACT 
Thomas Martian, Public Works Construction Manager
(707) 428-7478
tmartian@fairfield.ca.gov

COORDINATED WITH 
City Attorney's Office
ATTACHMENTS:
Description
Proposed Resolution
Supplement to the Engineer's Report
REVIEWERS:
ReviewerActionDate
Panganiban, RyanApproved6/26/2020 - 5:06 PM
Kaushal, PaulApproved6/26/2020 - 5:14 PM
Ballard, KellyApproved6/26/2020 - 6:46 PM
Ballard, KellyApproved6/26/2020 - 6:47 PM