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HomeMy WebLinkAbout18 - Proposed Assessment District No. 116B - Area Bounded by Balboa Blvd / Neptune Ave / 47th St / 45th St / Channel RdTO:
FROM:
CITY OF
NEWPORT BEACH
City Council Staff Report
January 12, 2016
Agenda Item No. 18
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
David A. Webb, Public Works Director - 949-644-3311,
dawebb@newportbeachca.gov
PREPARED BY: Michael J. Sinacori, Assistant City Engineer
PHONE: 949-644-3342
TITLE: Proposed Assessment District No. 116B - Area Bounded by Balboa
Blvd / Neptune Ave / 47th St / 45th St / Channel Rd
ABSTRACT:
Property owners on the east and west side of Balboa Boulevard between 47th and 45th
Streets have submitted Petitions requesting formation of an underground utility
assessment district to be done in concert with the City's Balboa Boulevard Rule 20a
undergrounding efforts. The City Council certified the Petition for Assessment District
No. 116B on October 13, 2015. On November 10, 2015, the City Council approved the
Assessment Engineer's Report, declared its intention to levy assessments and to issue
bonds to finance the undergrounding, and set January 12, 2016 as the time and place
of a Public Hearing for Assessment District No. 116B. Ballots were mailed to each
property owner and Council is requested to hold the Public Hearing, count ballots and
determine if these property owners support or oppose formation of Assessment District
No. 116B.
RECOMMENDATIONS:
a) Open public hearing on the formation of Assessment District No. 11613;
b) Hear public testimony from those who desire to speak;
C) Close the public hearing;
d) Count ballots; and
e) If there is greater than or equal to 50% of weighted "Yes" votes versus "No" votes
submitted, a majority protest by ballot procedure does not exist and the District
may be formed. If it is desired to form the District, take the following actions:
18-1
Proposed Assessment District No. 116B - Area Bounded by Balboa Blvd / Neptune Ave
/ 47th St / 45th St / Channel Rd
January 12, 2016
Page 2
i) Adopt Resolution No. 2016-7, A Resolution of the City Council of the City
of Newport Beach, California, Making Determinations, Confirming
Assessments and Proceedings and Designating the Superintendent of
Streets to Collect and Receive Assessments and to Establish a Special
Fund for City of Newport Beach Assessment District No. 116B, overruling
protests, approving final engineer's report, levying assessments without
modification, approving and ordering the work and improvements for the
utility underground project, and authorizing and directing related actions
with respect to Assessment District No. 11613; and
ii) Approve Budget Amendment No.16BA-024 authorizing an advance from
the General Fund in the amount of $105,560 to Assessment District No.
116B and appropriating $35,000 to Account No. 66102-941027 for
electrical utility design by SCE, $10,560 to Account No. 66102-941005 for
phone system design by AT&T and $60,000 to Account No. 66102-
941006 for assessment engineering services; and transferring expenses
from Account No. 65002-941006 to 66102-941006 up to $25,000 for
assessment engineering services contracted to date. Funds remaining in
this fiscal year will be carried forward to future annual budgets per Council
Policy F-3; OR
If desired not to form the District, adopt Resolution No. 2016-7, A Resolution of
the City Council of the City of Newport Beach, California, Declaring
Abandonment of Proceedings for City of Newport Beach Assessment District
No. 116B.
FUNDING REQUIREMENTS:
$970,000 in funding will be provided by property owner contributions and/or bond
proceeds if the assessment district is approved. Funds for the City expenditures will be
requested in the future when the assessment district nears construction and bonds are
sold. If AD 116B is formed, the City will be responsible for the estimated assessments
for Channel Park ($82,105.84).
Upon approval of the Council directed Budget Amendment, sufficient funds would be
available in the following accounts:
Account Description
AD 116B Electrical Design (SCE)
AD 116B Phone Design (AT&T)
AD 116B Assessment Engineering
Account Number Amount
66102-941027 $35,000.00
66102-941005 10,560.00
66102-941006 60,000.00
Total $105,560.00
18-2
Proposed Assessment District No. 116B - Area Bounded by Balboa Blvd / Neptune Ave
/ 47th St / 45th St / Channel Rd
January 12, 2016
Page 3
DISCUSSION:
Owners of property located in Proposed Assessment District No. 116B submitted
petitions to the City in Spring 2015, requesting the formation of a special assessment
district to underground overhead utilities. On June 18, 2015, the Assessment Engineer
certified that owners representing more than 50 percent of the assessable property area
within Proposed Assessment District No. 116B had signed a petition for undergrounding
overhead utilities. On October 13, 2015, the City Council approved Resolution No.
2015-82 accepting the petition.
Assessment District No. 116B (AD 116B) is proposed for the conversion of existing
overhead utilities to underground locations. The property owners within the boundary of
the proposed Assessment District will bear the cost of the improvements and their
associated proceedings.
AD 116B is adjacent to the City's Balboa Boulevard 20a undergrounding project that
extends from West Coast Highway to 23rd Street. In order to finalize the 20a design, the
undergrounding boundaries of adjacent areas must be understood by Edison. Prior to
combining the design efforts and to guarantee commitment from the AD 116B property
owners, City staff recommended a property owner vote prior to expending additional
design efforts on the 20a project or advancing design costs for the AD 116B project.
The Municipal Improvement Act of 1913 governs the procedures used to create the
Assessment District. Bonds issued under the Improvement Bond Act of 1915 carry up to
a 40 -year term and are issued to finance assessments not paid in cash within thirty (30)
days after confirmation of the assessment. Staff is recommending a 20 -year term for
this District.
Federal Income Tax Component of Contribution Tax (ITCC) has been eliminated
pursuant to Council direction. The ITCC is a tax assessed whenever private party
contributions in aid of construction (CIAC) are made. To date, underground utility
districts have not been assessed this tax as underground utility districts are viewed as
providing public benefit by increasing community aesthetics and public safety.
If AD 116B is approved, City Council is requested to approve an appropriation of
$105,560.00 with the intention of being reimbursed from the District. Included in the
appropriation is $60,000.00 to recover the assessment engineering cost by Harris &
Associates, Inc.; $35,000.00 for Edison's electric utility design; and $10,560.00 for
AT&T phone system design. If the District is formed, these costs will be incorporated
into the project costs and reimbursed by the District back to the City. If the District fails
to form, the City will not be reimbursed for the assessment engineering costs incurred
by the City to date, estimated at $40,000, which may include up to $25,000 in contract
expenses from Account No. 65002-941006, a pre -formation account for potential
Assessment Districts.
18-3
Proposed Assessment District No. 116B - Area Bounded by Balboa Blvd / Neptune Ave
/ 47th St / 45th St / Channel Rd
January 12, 2016
Page 4
On November 10, 2015, City Council accepted a Preliminary Engineer's Report for
proposed Assessment District No. 116B, adopted a Resolution of Intention in order to
form the District, and set a public hearing on January 12, 2016 for the formation of the
Assessment District. The location of the proposed District and overhead facilities to be
removed are shown in the attached Engineer's Report.
Public Notice for this Public Hearing was mailed out on November 24, 2015, to provide
a minimum 45 -day noticing to property owners within the proposed district boundary.
If, following the public hearing and vote, AD 116B is formed, an assessment lien would
be recorded on the title of properties included in the District. Therefore, a cash collection
period would take place to provide property owners an opportunity to remove the
assessment lien. A second cash collection period is also anticipated prior to the bond
sale, which is anticipated to occur prior to construction and after design is complete.
The total assessment for Proposed Assessment District No. 116B is estimated as
follows:
ITEM
COST
Cost of Design and Construction
$
711,000.00
Incidental Costs and Expenses
$
188,700.00
Financing (Bond) Costs
$
70,300.00
Estimated Total Cost:
$
970,000.00
The Estimated cost does not include the Federal Income Tax Component of
Contribution (ITCC) tax, which is a betterment tax. Bond Reserve for this District is
estimated at 6 percent. Property owners paying their assessments in full during the 30 -
day cash payment period waive the financial cost of issuing and servicing the bonds
and receive a discount of approximately 7.3 percent.
In an effort to reduce costs and minimize disruptions in the area, City staff is also
reviewing if any City water and sewer lines are scheduled for replacement within District
limits. The timing of these projects and the ability to construct concurrently could enable
further savings to both the Assessment District and the City.
In addition to the payment of the assessment, each property owner will be responsible
for the costs of connecting the main service conduit in the public right-of-way to the
property owner's home or business. The cost to the property owner for this conversion
varies depending on the condition and location of the current electrical service. Each
property owner is encouraged to contact a licensed electrical contractor to assess the
particular property needs.
Proposed Assessment District No. 116B - Area Bounded by Balboa Blvd / Neptune Ave
/ 47th St / 45th St / Channel Rd
January 12, 2016
Page 5
The following is a tentative schedule for proposed Assessment District No. 116B:
Resolution of Intention
November 10, 2015
Public Hearing
January 12, 2016
Tentative Bond Sale Period
Spring 2017
Public utilities commence work
Fall 2017
Property owners notified to install service connections
Fall 2018
Property owners complete conversions
Summer 2019
Public utilities begin to remove overhead structures
Summer 2019
Public utilities finish removing poles and overhead structures
Fall 2019
The assessment engineer used a lot size methodology to apportion assessments within
this District considering that all properties are receiving the same safety, connection and
aesthetic benefit. The special benefits from undergrounding the overhead utilities are
defined as follows:
• Improved Aesthetics Benefit. This benefit relates to the improved aesthetics of
the streetscape due to the removal of overhead wires and utility poles. The
removal of guy wires and other support structures related to the overhead
facilities are included in the definition of improved aesthetics.
• Additional Safety Benefit. This benefit relates to the additional safety of having
the overhead distribution wires placed underground and having the power poles
removed, which eliminates the threat of downed utility lines and poles due to
wind, rain and other unforeseeable events. Falling facilities can lead to personal
injuries and damage to structures, including fire. Properties immediately adjacent
to the facilities usually have a greater risk. Furthermore, in compact communities
like the Balboa Peninsula, the negative effects of falling lines and poles are more
widespread including blocked driveways and alleys, and property damage.
• Connection Benefit. This benefit relates to the enhanced reliability of service from
the underground utilities, due to new wires and equipment underground, reducing
the threat of service interruption from downed lines. When compared to overhead
systems, fewer outages occur due to acts of nature, traffic collisions and
obstructions (such as trees).
The range for the estimated assessment costs per parcel (not including the City park) is
approximately $9,500 to $21,800, with 50 percent of all the properties (including the City
park) assessed approximately $17,200 or less. Assessments vary due to the property
size.
18-5
Proposed Assessment District No. 116B - Area Bounded by Balboa Blvd / Neptune Ave
/ 47th St / 45th St / Channel Rd
January 12, 2016
Page 6
Ballot Tabulation Procedures:
All assessment ballots submitted to the City Clerk prior to the close of the public hearing
on January 12, 2016, will be tabulated per the ballot tabulation procedures directed by
City Council Policy L-28.
ENVIRONMENTAL REVIEW:
This project has been found to be exempt from the California Environmental Quality Act
(CEQA) pursuant to Section 15302 (replacement of existing facilities involving negligible
expansion of capacity) of the CEQA Guidelines, California Code of Regulations, Title
14, Chapter 3, because it has no potential to have a significant effect on the
environment.
NOTICING:
This agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which time the City Council considers the item). Also, property owners of
the proposed assessment district received notice of the Public Hearing a minimum of 45
days before the scheduled date along with their balloting information package.
ATTACHMENTS:
Attachment A — November 10, 2015 Council Report (without attachments)
Attachment B — Boundary Map
Attachment C — Resolution Confirming Assessments
Attachment D — Resolution Declaring Abandonment
Attachment E — Final Engineer's Report
Attachment F — Budget Amendment
18-6
PO @ CITY OF
NEWPORT BEACH
c9 City Council Staff Report
�FOR
TO:
FROM:
Attachment A
November 10, 2015
Agenda Item No. 6
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
David A. Webb, Public Works Director - 949-644-3311,
dawebb@newportbeachca.gov
PREPARED BY: Michael J. Sinacori, Assistant City Engineer
PHONE: 949-644-3342
TITLE: Proposed Assessment District Nos. 111, 116 and 116B - Areas
Adjacent to Balboa Boulevard between Coast Highway and 23rd
Street
ABSTRACT:
Property owners on the east side and west side of Balboa Boulevard between 23rd and
West Coast Highway have submitted Petitions requesting formation of underground
utility assessment districts to be done in concert with the City's Balboa 20a
undergrounding efforts. The City Council certified the Petition for AD -116 bounded by
44th and 38th Streets on the east side of Balboa on July 14, 2015. The City Council
certified the Petitions for AD -111 and AD -116B on October 13, 2015. AD -111 is
bounded by 31 stth Street, Ocean Front, 23rd Street and Newport Boulevard and AD -116
is bounded by 45th and 47th Streets between Channel Park and Seashore Drive. City
Council is asked to approve the Assessment Engineer's Report, declare its intention to
levy assessments and issue bonds to finance the undergrounding, and setting January
12, 2016, as the time and place of a Public Hearing on for AD -111, 116, and 116B.
RECOMMENDATION:
a) Adopt Resolution No. 2015-93, A Resolution of the City Council of the City of
Newport Beach, California, Preliminarily Approving the Assessment Engineer's
Report and Fixing the Time and Place of the Public Hearing for Assessment
District No. 111;
b) Adopt Resolution No. 2015-94, A Resolution of the City Council of the City of
Newport Beach, California, Preliminarily Approving the Assessment Engineer's
Report and Fixing the Time and Place of the Public Hearing for Assessment
District No. 116;
18-7
Proposed Assessment District Nos. 111, 116 and 116B - Areas Adjacent to Balboa
Boulevard between Coast Highway and 23rd Street
November 10, 2015
Page 2
c) Adopt Resolution No. 2015-95, A Resolution of the City Council of the City of
Newport Beach, California, Preliminarily Approving the Assessment Engineer's
Report and Fixing the Time and Place of the Public Hearing for Assessment
District No. 116B;
d) Adopt Resolution No. 2015-96, A Resolution of the City Council of the City of
Newport Beach, California, Declaring its Intention to take Proceedings Pursuant
to the Municipal Improvement Act of 1913 and to Issue Bonds Pursuant to the
Improvement Bond Act of 1915, and Make Certain Findings and Determinations
in Connection therewith, all Relating to the Formation of Assessment District No.
111;
e) Adopt Resolution No. 2015-97, A Resolution of the City Council of the City of
Newport Beach, California, Declaring its Intention to take Proceedings Pursuant
to the Municipal Improvement Act of 1913 and to Issue Bonds Pursuant to the
Improvement Bond Act of 1915, and Make Certain Findings and Determinations
in Connection therewith, all Relating to the Formation of Assessment District No.
116;
f) Adopt Resolution No. 2015-98, A Resolution of the City Council of the City of
Newport Beach, California, Declaring its Intention to take Proceedings Pursuant
to the Municipal Improvement Act of 1913 and to Issue Bonds Pursuant to the
Improvement Bond Act of 1915, and Make Certain Findings and Determinations
in Connection therewith, all Relating to the Formation of Assessment District No.
116B; and
g) Per City Council Policy L-28 (Assessment Ballot Guidelines), determine that the
City will not participate in the AD -116B balloting process for the Channel Park
property by neither voting for nor against the assessment.
FUNDING REQUIREMENTS:
Funds will be provided by property owner contributions and/or bond proceeds if the
assessment district is approved. If AD -116B is formed, the City will be responsible for
the estimated assessments for Channel Park ($82,105.84).
To proceed to the property owner vote for these three assessment districts there is no
new fiscal impact. Based on Council input last fiscal year, an $87,000 Professional
Services Agreement with Harris and Associates was executed to complete the
Engineer's Reports, prepare assessment ballots and attend the public hearings for the
property owners to consider undergrounding for the AD -111 and AD -116B districts.
Approximately $60,000 of these appropriated funds has been expended to date.
Sufficient funds remain to complete the property owner balloting. In addition, the
::
Proposed Assessment District Nos. 111, 116 and 116B - Areas Adjacent to Balboa
Boulevard between Coast Highway and 23rd Street
November 10, 2015
Page 3
Professional Services Agreement with Harris and Associates was amended to add
$25,000 to complete the assessment engineering for AD -116. No further funds are
needed for the preparation of assessment ballots or for the public hearings for these
districts.
If the districts are not successful in formation, the General Funds utilized for the
preparation of the Engineer's Reports and balloting efforts would not be recovered from
the proposed district property owners.
DISCUSSION:
Owners of property located in Proposed Assessment Districts submitted petitions to the
City requesting the formation of a special assessment district to underground overhead
utilities. On June 5, 2015, the assessment engineer certified that owners representing
more than 60 percent of the assessable property area within AD -116 had signed a
petition for undergrounding overhead utilities. On June 18, 2015, the assessment
engineer certified that owners representing more than 50 percent of the assessable
property area within AD -116B had signed a petition for undergrounding overhead
utilities. On June 23, 2015, the assessment engineer certified that owners representing
more than 50 percent of the assessable property area AD -111 had signed a petition for
undergrounding overhead utilities. On July 14, 2015, the City Council approved
Resolution No. 2015-60 certifying the Petition for AD -116 and on October 13, 2015, the
City Council approved Resolution Nos. 2015-81, and 2015-82 certifying the Petitions for
AD -111 and AD -116B.
The AD -111, 116 and 116B Assessment Districts are being proposed for the conversion
of existing overhead utilities to underground locations. The property owners within the
boundary of the proposed Assessment Districts will bear the cost of the improvements
and their associated proceedings.
All three Districts are adjacent to the City's Balboa Boulevard 20a undergrounding
project that extends from West Coast Highway to 23rd Street. In order to finalize the
20a design, the undergrounding boundaries of adjacent areas must be understood by
Edison. Prior to combining the design efforts and to guarantee commitment from the
AD -111, 116 and 116B property owners City staff recommends a property owner vote
prior to expending additional design efforts on the 20a project or advancing design costs
for the AD -111, 116 and 116B projects.
The Municipal Improvement Act of 1913 governs the procedures used to create the
Assessment District. Bonds issued under the Improvement Bond Act of 1915 carry up to
a 40 -year term and are issued to finance assessments not paid in cash within 30 days
after confirmation of the assessment. Staff is recommending a 20 -year term for this
District.
:•
Proposed Assessment District Nos. 111, 116 and 116B - Areas Adjacent to Balboa
Boulevard between Coast Highway and 23rd Street
November 10, 2015
Page 4
Federal Income Tax Component of Contribution Tax (ITCC) has been eliminated
pursuant to Council direction. The ITCC is a tax assessed whenever private party
contributions in aid of construction (CIAC) are made. To date, underground utility
districts have not been assessed this tax as underground utility districts are viewed as
providing public benefit by increasing community aesthetics and public safety.
If following the public hearing and balloting, AD -111, 116 and 116B are formed; an
assessment lien would be recorded on the title of properties included in the Districts.
Therefore, a cash collection period would take place to provide property owners with an
opportunity to remove the assessment lien. A second cash collection period is also
anticipated prior to the bond sale, which is anticipated to occur prior to construction and
after design is complete.
The total assessment for Proposed Assessment District Nos. 111, 116 and 116B are
estimated as follows:
Proposed Assessment District No. 111
ITEM
COST
Cost of Design and Construction
$2,845,700.00
Incidental Costs and Expenses
$340,300.00
Financing (Bond) Costs
$249,000.00
Estimated Total Cost:
$3,435,000.00
Proposed Assessment District No. 116
ITEM
COST
Cost of Design and Construction
$1,563,100.00
Incidental Costs and Expenses
$222,900.00
Financing (Bond) Costs
$139,000.00
Estimated Total Cost:
$1,925,000.00
Proposed Assessment District No. 116B
ITEM
COST
Cost of Design and Construction
$711,000.00
Incidental Costs and Expenses
$188,700.00
Financing (Bond) Costs
$70,300.00
Estimated Total Cost:
$970,000.00
In addition to the payment of the assessment, each property owner will be responsible
for the costs of connecting the main service conduit in the public right-of-way to the
property owner's home or business. The cost to the property owner for this conversion
varies depending on the condition and location of the current electrical service. Each
18-10
Proposed Assessment District Nos. 111, 116 and 116B - Areas Adjacent to Balboa
Boulevard between Coast Highway and 23rd Street
November 10, 2015
Page 5
property owner is encouraged to contact a licensed electrical contractor to assess the
particular property needs.
The following is a tentative schedule for proposed Assessment District Nos. 111, 116
and 116B:
Resolution of Intention
November 10, 2015
Public Hearing
January 12, 2016
Tentative Bond Sale Period
May/June 2017
Public utilities commence work
September 2017
Property owners notified to install service
connections
September 2018
Property owners complete conversions
June 2019
Public utilities begin to remove overhead
structures
July 2019
Public utilities finish removing poles and
overhead structures
December 2019
The assessment engineer used a lot size methodology to apportion assessments within
each district considering that all properties are receiving the same safety, connection
and aesthetic benefit. The special benefits from undergrounding the overhead utilities
were defined as follows:
Improved Aesthetics Benefit. This benefit relates to the improved aesthetics of
the streetscape due to the removal of overhead wires and utility poles. The
removal of guy wires and other support structures related to the overhead
facilities are included in the definition of improved aesthetics.
Additional Safety Benefit. This benefit relates to the additional safety of having
the overhead distribution wires placed underground and having the power poles
removed, which eliminates the threat of downed utility lines and poles due to
wind, rain and other unforeseeable events. Falling facilities can lead to personal
injuries and damage to structures, including fire. Properties immediately adjacent
to the facilities usually have a greater risk. Furthermore, in compact communities
like these along Balboa Boulevard, the negative effects of falling lines and poles
are more widespread including blocked driveways and alleys, and property
damage.
Connection Benefit. This benefit relates to the enhanced reliability of service from
the underground utilities, due to new wires and equipment underground, reducing
the threat of service interruption from downed lines. When compared to overhead
18-11
Proposed Assessment District Nos. 111, 116 and 116B - Areas Adjacent to Balboa
Boulevard between Coast Highway and 23rd Street
November 10, 2015
Page 6
systems, fewer outages occur due to acts of nature, traffic collisions and
obstructions (such as trees).
The following is a summary of properties with unique considerations:
Assessment District No. 111: Assessment Nos. 14 & 15. The poles, wires and guy wires
to be undergrounded do not front these properties, or access thereto, and do not
provide significant aesthetic benefits to these properties. Therefore, these properties are
assigned zero (0) aesthetic benefits.
Ballot Tabulation Procedures:
All assessment ballots submitted to the City Clerk prior to the close of the public hearing
recommended to be set for January 12, 2016, will be tabulated per the ballot tabulation
procedures directed by City Council Policy L-28.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this project exempt from the California
Environmental Quality Act ("CEQA") pursuant to Section 15302 (replacement of existing
facilities involving negligible expansion of capacity) of the CEQA Guidelines, California
Code of Regulations, Title 14, Chapter 3, because it has no potential to have a
significant effect on the environment.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item). In addition, the property
owners of the proposed assessment district will receive notice of the Public Hearing a
minimum of 45 days before the scheduled date along with their balloting information
package.
ATTACHMENTS:
Attachment A — A Resolution of the City Council of the City of Newport Beach Approving
the Assessment Engineer's Report and Fixing the Time and Place of the Public Hearing
for Assessment District No. 111
Attachment B — A Resolution of the City Council of the City of Newport Beach Approving
the Assessment Engineer's Report and Fixing the Time and Place of the Public Hearing
for Assessment District No. 116
18-12
Proposed Assessment District Nos. 111, 116 and 116B - Areas Adjacent to Balboa
Boulevard between Coast Highway and 23rd Street
November 10, 2015
Page 7
Attachment C — A Resolution of the City Council of the City of Newport Beach
Approving the Assessment Engineer's Report and Fixing the Time and Place of the
Public Hearing for Assessment District No. 116B
Attachment D — A Resolution of the City Council of the City of Newport Beach,
Declaring its Intention to Take Proceedings Pursuant to the Municipal Improvement Act
of 1913 and to Issue Bonds pursuant to the Improvement Bond Act of 1915, and make
certain findings and determinations in connection therewith, all relating to the formation
of Assessment District No. 111
Attachment E — A Resolution of the City Council of the City of Newport Beach, Declaring
its Intention to Take Proceedings Pursuant to the Municipal Improvement Act of 1913
and to Issue Bonds pursuant to the Improvement Bond Act of 1915, and make certain
findings and determinations in connection therewith, all relating to the formation of
Assessment District No. 116
Attachment F — A Resolution of the City Council of the City of Newport Beach, Declaring
its Intention to Take Proceedings Pursuant to the Municipal Improvement Act of 1913
and to Issue Bonds pursuant to the Improvement Bond Act of 1915, and make certain
findings and determinations in connection therewith, all relating to the formation of
Assessment District No. 116B
Attachment G — Preliminary Engineer's Report for AD 111
Attachment H — Preliminary Engineer's Report for AD 116
Attachment I — Preliminary Engineer's Report for AD 116B
18-13
ATTACHMENT B
ASSESSMENT DIAGRAM FOR
ASSESSMENT DISTRICT NO. 111
(NEWPORT BLVD / 23RD ST / OCEAN FRONT W / 31ST ST)
CITY OF NEWPORT BEACH, COUNTY OF ORANGE
STATE OF CALIFORNIA
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THE BOUNDARY OF THE PROPOSED ASSESSMENT DISTRICT COINCIDES WITH THE ASSESSOR'S PARCELS WITHIN THE BOUNDARY SHOWN ON THIS
MAP. FOR PARTICULARS OF LINES AND DIMENSIONS OF ASSESSOR'S PARCELS, REFERENCE IS MADE TO THE MAPS OF THE ORANGE COUNTY
ASSESSOR, SPECIFICALLY BOOK 423 PAGES 29, 30, AND 36. ALL DIMENSIONS SHOWN HEREIN ARE PER THE ASSESSOR'S PARCEL MAPS.
ACCEPTED AND FILED AT THE
REQUEST OF
CITY OF NEWPORT BEACH
DATE
TIME FEE $
INSTRUMENT#
BOOK PAGE
OF THE ASSESSMENT AND COMMUNITY FACILITIES
DISTRICTS IN THE OFFICE OF THE RECORDER OF THE
COUNTY OF ORANGE, STATE OF CALIFORNIA.
HUGH NGUYEN
COUNTY CLERK RECORDER
BY
DEPUTY
EXEMPT RECORDING PER
G.C. 6103
RECORDED IN THE OFFICE OF THE SUPERINTENDENT OF
STREETS, CITY OF NEWPORT BEACH, THIS DAY
OF 20_
SUPERINTENDENT OF STREETS
AN ASSESSMENT WAS LEVIED BY THE CITY COUNCIL ON THE
LOTS, PIECES AND PARCELS OF LAND SHOWN ON THIS
ASSESSMENT DIAGRAM. SAID ASSESSMENT WAS LEVIED ON
THE _ DAY OF , 20 . REFERENCE IS
MADE TO THE ASSESSMENT ROLL RECORDED IN THE OFFICE
OF THE SUPERINTENDENT OF STREETS FOR THE EXACT
AMOUNT OF EACH ASSESSMENT LEVIED AGAINST THE
PARCELS SHOWN ON THIS ASSESSMENT DIAGRAM.
CITY CLERK
FILED IN THE OFFICE OF THE CITY CLERK OF THE CITY OF
NEWPORT BEACH THIS _ DAY OF , 20
CITY CLERK
U) LEGEND
ASSESSOR'S PARCEL LINE
M ---- ASSESSMENT DISTRICT BOUNDARY
N
GRAPHIC SCALE
Hams & Associates.
22 Executive Park, Suite 200
Irvine, California 92614
800-827-4901
DATE 9/11 /15 SHEET 1 OF 3
18-14
ASSESSMENT DIAGRAM FOR
ASSESSMENT DISTRICT NO. 111
(NEWPORT BLVD/23RD ST/OCEAN FRONT W/31 ST ST)
CITY OF NEWPORT BEACH, COUNTY OF ORANGE
STATE OF CALIFORNIA
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Hams & Associates.
22 Executive Park, Suite 200
Irvine. California 92114
800-827-4901
THE BOUNDARY OF THE PROPOSED ASSESSMENT DISTRICT COINCIDES WITH THE ASSESSOR'S PARCELS WITHIN THE BOUNDARY SHOWN ON THIS
MAP. FOR PARTICULARS OF LINES AND DIMENSIONS OF ASSESSOR'S PARCELS, REFERENCE IS MADE TO THE MAPS OF THE ORANGE COUNTY 9/11/15 SHEET 2 of 3
ASSESSOR, SPECIFICALLY BOOK 423 PAGES 29, 30, AND 35. ALL DIMENSIONS SHOWN HEREIN ARE PER THE ASSESSOR'S PARCEL MAPS. DATE
18-15
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ASSESSMENT DIAGRAM FOR
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STATE OF CALIFORNIA
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THE BOUNDARY OF THE PROPOSED ASSESSMENT DISTRICT COINCIDES WITH THE ASSESSOR'S PARCELS WITHIN THE BOUNDARY SHOWN ON THIS
MAP. FOR PARTICULARS OF LINES AND DIMENSIONS OF ASSESSOR'S PARCELS, REFERENCE IS MADE TO THE MAPS OF THE ORANGE COUNTY
ASSESSOR, SPECIFICALLY BOOK 423 PAGES 29, 30, AND 35. ALL DIMENSIONS SHOWN HEREIN ARE PER THE ASSESSOR'S PARCEL MAPS.
18-16
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THE BOUNDARY OF THE PROPOSED ASSESSMENT DISTRICT COINCIDES WITH THE ASSESSOR'S PARCELS WITHIN THE BOUNDARY SHOWN ON THIS
MAP. FOR PARTICULARS OF LINES AND DIMENSIONS OF ASSESSOR'S PARCELS, REFERENCE IS MADE TO THE MAPS OF THE ORANGE COUNTY
ASSESSOR, SPECIFICALLY BOOK 423 PAGES 29, 30, AND 35. ALL DIMENSIONS SHOWN HEREIN ARE PER THE ASSESSOR'S PARCEL MAPS.
18-16
ATTACHMENT C
RESOLUTION NO. 2016-7
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH MAKING DETERMINATIONS, CONFIRMING
ASSESSMENTS AND PROCEEDINGS AND DESIGNATING THE
SUPERINTENDENT OF STREETS TO COLLECT AND RECEIVE
ASSESSMENTS AND TO ESTABLISH A SPECIAL FUND FOR
CITY OF NEWPORT BEACH ASSESSMENT DISTRICT NO. 116B
WHEREAS, this City Council has heretofore adopted Resolution No. 2015-98 (the "Resolution of
Intention") declaring its intention to order the construction of the improvements described in the Resolution
of Intention (the "Improvements") and to form Assessment District No. 116B (the "Assessment District")
under the provisions of the Municipal Improvement Act of 1913 (Division 12 of the California Streets and
Highways Code, "the Act"); and
WHEREAS, this City Council has heretofore preliminarily approved a report prepared under and
pursuant to the Act and, in particular, Section 10204 of the California Streets and Highways Code (the
"Engineer's Report"); and
WHEREAS, this City Council fixed January 12, 2015, at the hour of 7:00 p.m. at the regular
meeting place of the City Council, City Hall, 100 Civic Center Drive, Newport Beach, California 92660, as
the time and place of hearing protests and objections to the improvements proposed in the Engineer's
Report to be made, the extent of the Assessment District proposed to be created and/or to the proposed
assessment; and
WHEREAS, the City Clerk has caused notice to be given of the passage of the Resolution of
Intention, the filing of the Engineer's Report and the time and place and purpose of said hearing, all as
required by the Act and by Section 53753(c) of the California Government Code and Article XIIID, Section
4 of the California Constitution ("Article XIIID"); and
WHEREAS, a final Engineer's Report (the "Final Report") has been prepared setting forth the
Improvements to be acquired and constructed, and the Final Report has been filed with the City Council
and has been available for review by the property owners within the proposed Assessment District; and
18-17
Resolution No. 2016-7
Page 2 of 5
WHEREAS, at the time and place stated in the aforesaid notice, a hearing was duly held by this
City Council and, during the course of said hearing, the Final Report was duly presented and considered, all
written protests and objections received, if any, were duly presented, read, heard and considered and all
persons appearing at said hearing and desiring to be heard in the matter of said Final Report were heard,
and a full, fair and complete hearing has been conducted; and
WHEREAS, this City Council has received all ballots filed with the City Clerk prior to the
conclusion of the hearing, and the Assessment Engineer, on behalf of the City Clerk, has counted all ballots
for and against the formation of the Assessment District as provided in Article XIIID; and
WHEREAS, this City Council has considered the assessment proposed in the Final Report and the
evidence presented at said hearing; and
WHEREAS, under the provisions of Section 10424 of the California Streets and Highways Code,
funds collected by the Director of Public Works acting as the Superintendent of Streets (the
"Superintendent of Streets") pursuant to an assessment under the Municipal Improvement Act of 1913 are
required to be placed in a special improvement fund designated by the name of the assessment proceeding.
NOW, THEREFORE, the Council of the City of Newport Beach does hereby RESOLVE, as
follows:
1. Recitals. The above recitals, and each of them, are true and correct.
2. Approval of Final Report. The public hearing referred to in the recitals hereof has been
duly held, and each and every step in the proceedings prior to and including the hearing has been duly and
regularly taken. This City Council is satisfied with the correctness of the Final Report, including the
assessment and diagram and the maximum annual assessment for administrative expenses, the proceedings
and all matters relating thereto.
3. Benefit to Property. The property within the Assessment District to be assessed as shown
in the Final Report will be benefited by the Improvements.
Resolution No. 2016-7
Page 3 of 5
4. Majority of Ballots in Favor. The City Council overrules and denies any and all protests,
objections and appeals made in regard to these proceedings; and it finds and determines that a majority of
the ballots received are in favor of the assessment. In tabulating the ballots, the ballots were weighted
according to the proportional financial obligation of the affected property.
5. Confirmation of Assessments. The amount of the assessments shown in the Final Report
and the proposed maximum annual assessment per parcel for administrative expenses shown are confirmed
and are fixed in said amounts.
6. Approval of Assessments. The amounts to be assessed against the individual parcels
shown on the assessment diagram contained in the Final Report are hereby approved and confirmed; and
the City Council is authorized and directed to endorse the fact and date of such approval on the Final
Report.
7. Recordation of Documents. The assessment diagram and assessment is to be placed on
file in the office of the Superintendent of Streets, and the City Clerk is authorized and directed to record, or
cause to be recorded, the assessment diagram and assessment in the office of the County Recorder of the
County of Orange as required by Sections 3114, 10401 and 10402 of the California Streets and Highways
Code; and the City Clerk shall record, or cause to be recorded, a Notice of Assessment as required by
Section 3114 of said Code.
8. Notice of Recordation. The Superintendent of Streets is authorized and directed to give
notice of the recordation of the assessment, as provided in Section 10404 of said Code.
9. Compliance with Alternative Proceedings Requirements. This City Council hereby
finds and determines that the information set forth at pages 15 and 16 of the Final Report demonstrates
compliance with the requirements of Part 7.5 of Division 4 of the Code, thereby dispensing with any further
proceedings pursuant to said Division 4, and this determination and action is final and conclusive as to all
persons in accordance with Section 3012 of the Code.
18-19
Resolution No. 2016-7
Page 4 of 5
10. Receipt of Prepaid Assessments. The Superintendent of Streets is designated to receive
the assessments paid during: (i) the 30 -day cash payment period which shall commence on the date of filing
the assessment diagram with the Superintendent of Streets, and (ii) approximately 90 days prior to the
issuance of the limited obligation improvement bonds referenced in the Resolution of Intention (the
"Bonds").
11. Intention to Issue Bonds. Following receipt of the Certificate re Paid and Unpaid
Assessments, this City Council intends to proceed with authorization of the issuance and sale of the Bonds,
pursuant to the Improvement Bond Act of 1915 and upon the security of and in a principal amount equal to
the unpaid assessments, bearing interest at a rate not to exceed twelve percent (12%) per annum, with the
last principal installment of the Bonds to mature not to exceed twenty (20) years from the second day of
September next succeeding twelve (12) months from their date.
12. Designation as Underground Utilities District. The area within the Assessment District
is hereby designated an underground utilities district pursuant to and in accordance with Chapter 15.32 of
the Code of Ordinances of the City, and in accordance with Section 15.32.040 of such Code, this City
Council hereby establishes the date which is one year from the date on which the Improvements are
released by the utility companies responsible for such Improvements (the "Utility Companies") as a
reasonable date by which all affected property owners must be ready to receive underground service.
13. Execution of Utility Company Contracts. The City Manager of the City, or any
designees thereof, is authorized to execute any and all contracts with the Utility Companies for the purpose
of constructing or funding the Improvements or otherwise carrying out the intentions of this Resolution.
14. Severability. If any section, subsection, sentence, clause or phrase of this resolution is, for
any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or
constitutionality of the remaining portions of this resolution. The City Council hereby declares that it
would have passed this resolution, and each section, subsection, sentence, clause or phrase hereof,
18-20
Resolution No. 2016-7
Page 5 of 5
irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared
invalid or unconstitutional.
15. California Environmental Quality Act. The City Council finds the adoption of this
resolution is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections
15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in
physical change to the environment, directly or indirectly.
16. Effective Date of Resolution. This Resolution shall take effect immediately upon its
adoption.
PASSED, APPROVED, and ADOPTED this 12'h day of January, 2016.
Diane B. Dixon
Mayor
ATTEST:
Leilani I. Brown
City Clerk
18-21
ATTACHMENT D
RESOLUTION NO.
RESOLUTION OF THE CITY OF NEWPORT BEACH
DECLARING ABANDONMENT OF PROCEEDINGS FOR CITY
OF NEWPORT BEACH ASSESSMENT DISTRICT NO. 116B
WHEREAS, this City Council has previously adopted Resolution No. 2015-98 (the
"Resolution of Intention") and initiated proceedings for the acquisition of certain public works of
improvement, namely, the conversion of certain overhead electrical, cable and communication
facilities to underground locations, together with appurtenances and appurtenant work, in a special
assessment district designated as "City of Newport Beach Assessment District No. 11613"
(hereinafter referred to as the "Assessment District") pursuant to the terms and provisions of the
"Municipal Improvement Act of 1913", being Division 12 of the Streets and Highways Code of the
State of California (the "Act"), Article XIIID of the Constitution of the State of California ("Article
XIIID"), and the Proposition 218 Omnibus Implementation Act (commencing with Section 53750 of
the Government Code) (the "Implementation Act") (the Act, Article XIIID, and the Implementation
Act are referred to herein collectively as the "Assessment Law"); and
WHEREAS, after notice of a public hearing, accompanied by ballot materials, was mailed, a
full public hearing on the improvements and assessments was held on January 12, 2016, all in
accordance with Assessment Law; and
WHEREAS, this City Council has received all ballots filed with the City Clerk prior to the
conclusion of the hearing, and the Assessment Engineer on behalf of the City Clerk has counted all
ballots for and against the formation of the Assessment District as provided in Article XIIID;
NOW, THEREFORE, the Council of the City of Newport Beach does hereby RESOLVE,
as follows:
18-22
1. Recitals. The above recitals, and each of them, are true and correct.
2. Occurrence of Public Hearing. The public hearing referred to in the recitals hereof
has been duly held, and each and every step in the proceedings prior to and including the hearing has
been duly and regularly taken.
3. Majority of Ballots Opposed. This City Council finds and determines based upon
the Certificate of Assessment Engineer who conducted the ballot tabulation that a majority of the
ballots received are in opposition to the assessment. In tabulating the ballots, the ballots were
weighted according to the proportional financial obligation of the affected property.
4. Abandonment of Proceedings. The proceedings heretofore taken under and
pursuant to the Assessment Law for the work and improvements proposed by said Resolution of
Intention in the Assessment District are hereby ordered abandoned.
5. Recordation of Resolution. The City Clerk shall immediately cause the recordation
of a certified copy of this Resolution of Abandonment with the County Recorder. The certificate
attached to the Resolution shall include a reference to the date of the adoption of this Resolution, the
date of the original Resolution of Intention, and the date the map of the Assessment District was
previously filed with the County Recorder.
18-23
6. Effective Date of Resolution. This Resolution shall take effect immediately upon its
passage.
PASSED, APPROVED, and ADOPTED on January 12, 2016.
DIANE B. DIXON, Mayor
ATTEST:
LEILANI I. BROWN, City Clerk
(seal)
18-24
STATE OF CALIFORNIA
COUNTY OF ORANGE
CITY OF NEWPORT BEACH
The undersigned CERTIFIES as follows:
1. During all of the times herein mentioned, the undersigned was, and now is, the duly qualified
and acting City Clerk of the City of Newport Beach, California.
2. The attached Resolution abandoning proceedings for the construction of certain
improvements in City of Newport Beach Assessment District No. I I 6 was duly adopted on January
12, 2016.
3. Reference is hereby made to a Resolution of Intention, Resolution No. 2015-98, adopted on
the November 10, 2015 for a further and complete description of the works of improvement and
assessments proposed for the Assessment District.
4. A map of the proposed boundaries of the Assessment District was filed in the Office of the
County Recorder of the County of Orange County on November 19, 2015 in Assessment District
Maps Book 103, Page 4.
EXECUTED this day of , 2016.
CITY CLERK
18-25
L
FINAL
ENGINEER'S REPORT
For
Underground Utility
Assessment District No. 116b
(Balboa Blvd / Neptune Ave / 4711 St / 45t1 St /
Channel Rd)
Prepared under the provisions of the
Municipal Improvement Act of 1913
Forthe
City of Newport Beach
County of Orange, California
December 22, 2015
Harris & Associates
I
r -
CITY OF
NEWPORT BEACH
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 1471h St 1451h St and Channel Rd)
Final Engineer's Report
TABLE OF CONTENTS
APPENDIX
A. Assessment Calculations
Harris & Associates
Page
Introduction and Certifications............................................................................................1
PART I
Plans and Specifications...................................................................................
4
PARTII
Cost Estimate.....................................................................................................
5
PART III
Assessment Roll and Method of Assessment Spread .....................................
6
Table 1 — Assessment Roll..................................................................................
8
Table 2 - Debt Limit Valuation.........................................................................10
Exhibit 1 — Method and Formula of Assessment Spread..................................11
PART IV
Annual Administrative Assessment...............................................................16
PART V
Diagram of Assessment District.....................................................................17
PART VI
Description of Facilities..................................................................................19
Right -of -Way Certificate..................................................................................
20
Certification of Completion of Environmental Proceedings
............................ 21
APPENDIX
A. Assessment Calculations
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 1
AGENCY: CITY OF NEWPORT BEACH
PROJECT: ASSESSMENT DISTRICT NO. 116b
TO: CITY COUNCIL
ENGINEER'S "REPORT" PURSUANT TO THE
PROVISIONS OF SECTIONS 2961 AND 10204
OF THE STREETS AND HIGHWAYS CODE
The purposes of this Assessment District is to provide financing to underground power, telephone
and cable facilities in the area generally bounded by Balboa Boulevard, Neptune Avenue, 47th Street,
45th Street, and Channel Road. The proposed underground utility improvements will provide
conversion to an upgraded utility system and will enhance neighborhood aesthetics, safety and
reliability.
The construction of these improvements will conform to existing City of Newport Beach, Southern
California Edison, AT&T and Time Warner Cable standards. The proposed improvements are of
special and direct benefit to the properties within the boundary of the Assessment District.
Pursuant to the provisions of Article XIIID of the State Constitution, Part 7.5 of the "Special
Assessment Investigation, Limitation and Majority Protest Act of 1931", being Division 4 of the
Streets and Highways Code of the State of California, and the "Municipal Improvement Act of
1913", being Division 12 of said Code, and the Resolution of Intention, adopted by the City Council
of the CITY OF NEWPORT BEACH, State of California, in connection with the proceedings for
Underground Utility Assessment District No. 116b (hereinafter referred to as the "Assessment
District"), I, Alison M. Bouley, P.E., a Registered Professional Engineer and authorized
representative of Harris & Associates, the duly appointed Engineer of Work, herewith submits the
"Report" for the Assessment District, consisting of six (6) parts as stated below.
PART I
This part contains the plans and specifications which describe the general nature, location and extent
for the proposed improvements to be constructed, and are filed herewith and made a part hereof.
Said plans and specifications are on file in the Office of the Superintendent of Streets.
PART II
This part contains an estimate of the cost of the proposed improvements, including capitalized
interest, if any, incidental costs and expenses in connection therewith as set forth herein and attached
hereto.
PART III
This part consists of the following information:
A. A proposed assessment of the total amount of the costs and expenses of the proposed
improvements upon the several subdivisions of land within the Assessment District, in proportion
to the special benefits to be received by such subdivisions from said improvements, which is set
forth upon the assessment roll filed herewith and made a part hereof.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 2
B. The total amount, as near as may be determined, of the total principal sum of all unpaid special
assessments and special assessments required or proposed to be levied under any completed or
pending assessment proceedings, other than that contemplated for the Assessment District, which
would require an investigation and report under the "Special Assessment Investigation,
Limitation and Majority Protest Act of 1931" against the total area proposed to be assessed.
C. The total true value, determined from the latest Assessor's roll, of the parcels of land and
improvements which are proposed to be assessed.
PART IV
This part contains the proposed maximum annual administrative assessment to be levied upon each
subdivision or parcel of land within the Assessment District to pay the costs incurred by the CITY
OF NEWPORT BEACH, and not otherwise reimbursed, resulting from the administration and
collection of assessments, from the administration and registration of any associated bonds and
reserve or other related funds, or both.
PART V
This part contains a map showing the boundaries of the Assessment District, and a diagram showing
the Assessment District, the boundaries and the dimensions of the subdivisions of land within said
Assessment District, as the same existed at the time of the passage of the Resolution of Intention. The
Boundary Map and Assessment Diagram are filed herewith and made a part hereof, and part of the
assessment.
PART VI
This part shall consist of the following information:
A. Description of facilities
B. Right -of -Way Certificate
C. Environmental Certificate
This report is submitted on December 22, 2015.
HARRIS & ASSOCIATES
'C Gl --
ALISON M. BOULEY, P.E.
R.C.E. No. C61383
ENGINEER OF WORK
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 3
Preliminary approval by the CITY COUNCIL of the CITY OF NEWPORT BEACH, CALIFORNIA,
on the day of , 2015.
CITY CLERK
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
Final approval by the CITY COUNCIL of the CITY OF NEWPORT BEACH, CALIFORNIA, on
the day of , 2016.
CITY CLERK
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 4
Part I
Plans and Specifications
The plans and specifications to construct the utility undergrounding improvements, and any ancillary
improvements thereof, for the area generally described as Underground Utility Assessment District
No. 116b, (Balboa Boulevard, Neptune Avenue, 47h Street, 45u' Street, and Channel Road), describe
the general nature, location and extent of the improvements for this Assessment District are
referenced herein and incorporated as if attached and a part of this Report.
Said Plans and Specifications for the improvements are shown on the assessment diagram. Final
plans and specifications will be prepared by the City in conjunction with the utility companies and
will be on file in the office of the Superintendent of Streets when completed.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 1471h St 1451h St and Channel Rd)
Final Engineer's Report Page 5
Part II
Cost Estimate
INCIDENTIAL EXPENSES:
Assessment Engineering
CALCULATION
Final Estimate
Length in ft.
Cost per ft.
Utility Engineering & Construction
Financial Advisor
$20,000.00
Southern Califf
1,130
$310
$350,000.00
AT&T
1,130
$178
$201,000.00
Time Warner
1,130
$84
$95,000.00
Printing, Advertising, Notices
$2,500.00
$646,000.00
Contingecy 10%
$3,700.00
Subtotal Incidential Expenses
$65,000.00
TOTAL CONSTRUCTION
Construction
$711,000.00
INCIDENTIAL EXPENSES:
Assessment Engineering
$50,000.00
Contract Inspection
$20,000.00
City Administration
$20,000.00
Financial Advisor
$20,000.00
Bond and Disclosure Counsel
$55,000.00
Underwriter's Counsel
$15,000.00
Paying Agent
$2,500.00
Credit Rating Fee
$0.00
Printing, Advertising, Notices
$2,500.00
Miscellaneous
$3,700.00
Subtotal Incidential Expenses
$188,700.00
Construction
$711,000.00
Subtotal Incidental & Construction
$899,700.00
FINANCIAL COSTS
Underwriter's Discount
1.0%
$9,700.00
Bond Reserve
5.0%
$48,500.00
Capitalized Interest - 5.0% for 3 months
1.3%
$12,100.00
Subtotal & Financial Cost
7.3%
$70,300.00
TOTAL ESTIMATE
$970,000.00
iM Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 6
Part III
Assessment Roll and
Method of Assessment Spread
WHEREAS, on November 10, 1015 the City Council of the CITY OF NEWPORT BEACH, State of
California, did, pursuant to the provisions of the 1913 Act "Municipal Improvement Act of 1913",
being Division 12 of the Streets and Highways Code, of the State of California, adopt its Resolution
of Intention No. 2015-98, for the installation and construction of certain public improvements,
together with appurtenances and appurtenant work in connection therewith, in a special assessment
district known and designated as ASSESSMENT DISTRICT NO. 116b (hereinafter referred to as the
"Assessment District"); and
WHEREAS, said Resolution of Intention, as required by law, did direct the Engineer of Work to
make and file a "Report", consisting of the following as required by Section 10204 of the Act:
a. Plans and Specifications;
b. A general description of works or appliances already installed and any other property necessary
or convenient for the operation of the improvement, if the works, appliances, or property are to
be acquired as part of the improvement;
c. Cost Estimates;
d. Assessment Diagram showing the Assessment District and the subdivisions of land therein;
e. A proposed assessment of the costs and expenses of the works of improvement levied upon the
parcels within the boundaries of the Assessment District;
f. The proposed maximum annual assessment to be levied upon each subdivision or parcel of land
within the Assessment District to pay the costs incurred by the City and not otherwise reimbursed
resulting from the administration and collection of assessments or from the administration and
registration of any associated bonds and reserve or other related funds.
For particulars, reference is made to the Resolution of Intention as previously adopted.
NOW, THEREFORE, I, Alison M. Bouley, P.E., the authorized representative of HARRIS &
ASSOCIATES, pursuant to Article XIIID of the California Constitution and the "Municipal
Improvement Act of 1913", do hereby submit the following:
Pursuant to the provisions of law and the Resolution of Intention, I have assessed the costs
and expenses of the works of improvement to be performed in the Assessment District upon
the parcels of land in the Assessment District specially benefited thereby in direct proportion
and relation to the special benefits to be received by each of said parcels. For particulars as
to the identification of said parcels, reference is made to the Assessment Diagram, a copy of
which is attached hereto and incorporated herein.
2. As required by law, a Diagram is hereto attached, showing the Assessment District, as well as
the boundaries and dimensions of the respective parcels and subdivisions of land within said
District as the same existed at the time of the passage of said Resolution of Intention, each of
which subdivisions of land or parcels or lots respectively have been given a separate number
upon said Diagram and in said Assessment Roll.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 7
3. The subdivisions and parcels of land the numbers therein as shown on the respective
Assessment Diagram as attached hereto correspond with the numbers as appearing on the
Assessment Roll as contained herein.
4. NOTICE IS HEREBY GIVEN that bonds will be issued in accordance with Division 10 of
the Streets and Highways Code of the State of California (the "Improvement Bond Act of
1915"), to represent all unpaid assessments, which bonds shall be issued in one or more
series, each with a term not to exceed the legal maximum term as authorized by law,
THIRTY-NINE (39) YEARS from the 2nd day of September next succeeding twelve (12)
months from their date. Said bonds shall bear interest at a rate not to exceed the current legal
maximum rate of 12% per annum.
5. By virtue of the authority contained in said "Municipal Improvement Act of 1913", and by
further direction and order of the legislative body, I hereby recommend the following
Assessment to cover the costs and expenses of the works of improvement for the Assessment
District based on the costs and expenses as set forth below:
For particulars as to the individual assessments and their descriptions, reference is made to
Table 1 (Assessment Roll) attached hereto.
6. The Method of Spread of Assessment is as set forth in the exhibit identified as Part III
(Exhibit 1), which is attached hereto, referenced and so incorporated.
Harris & Associates
As Preliminarily
Approved
As
Confirmed
Estimated Cost of Design and Construction:
$711,000
$711,000
Estimated Incidental Expenses:
$188,700
$188,700
Estimated Financial Costs:
$70,300
$70,300
Estimated Contribution:
$0
$0
Estimated Total to Assessment:
$970,000
$970,000
For particulars as to the individual assessments and their descriptions, reference is made to
Table 1 (Assessment Roll) attached hereto.
6. The Method of Spread of Assessment is as set forth in the exhibit identified as Part III
(Exhibit 1), which is attached hereto, referenced and so incorporated.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 8
Table 1
Assessment Roll
Asmt
No.
Assessor's
Parcel
Number
Total
True
Value
Existing
Liens
Assessments as
Preliminarily
Approved
Assessments
as Confirmed
and Recorded
Value
to Lien
Ratio
1
2
42441201
42441202
$
$
763,937
371,241
$ -
$ -
$21,896.15
$18,970.09
$21,896.15
$18,970.09
35
20
3
42441203
$
658,699
$ -
$18,970.08
$18,970.08
35
4
93061448
$
848,482
$ -
$9,482.94
$9,482.94
89
5
93061449
$
1,019,980
$ -
$9,482.94
$9,482.94
108
6
42441205
$
602,298
$ -
$18,970.08
$18,970.08
32
7
93061450
$
1,044,000
$ -
$9,482.94
$9,482.94
110
8
9
93061451
42441207
$
$
832,373
117,602
$ -
$ -
$9,482.94
$18,970.08
$9,482.94
$18,970.08
88
6
10
42441208
$
525,161
$ -
$18,709.98
$18,709.98
28
11
42441209
$
289,820
$ -
$15,679.05
$15,679.05
18
12
42441210
$
1,280,763
$ -
$17,187.18
$17,187.18
75
13
42441211
$
122,396
$ -
$17,187.19
$17,187.19
7
14
42441212
$
430,808
$ -
$17,187.19
$17,187.19
25
15
42441213
$
210,600
$ -
$17,187.19
$17,187.19
12
16
42441214
$
1,500,078
$ -
$17,187.19
$17,187.19
87
17
42441215
$
1,507,749
$ -
$17,187.19
$17,187.19
88
18
42441216
$
79,351
$ -
$17,187.19
$17,187.19
5
19
20
42441217
42441218
$
$
643,698
80,107
$ -
$ -
$17,187.19
$17,187.19
$17,187.19
$17,187.19
37
5
21
42441219
$
732,250
$ -
$17,042.46
$17,042.46
43
22
42329114
$
826,153
$ -
$17,743.03
$17,743.03
47
23
24
42329113
42329110
$
$
539,992
159,406
$ -
$ -
$20,413.19
$19,756.66
$20,413.19
$19,756.66
26
8
25
42329109
$
1,045,102
$ -
$17,224.93
$17,224.93
61
26
42329105
$
415,782
$ -
$17,208.17
$17,208.17
24
27
42329104
$
139,959
$ -
$19,517.55
$19,517.55
7
28
42329102
$
764,212
$ -
$18,131.08
$18,131.08
42
29
42329103
$
393,119
$ -
$18,093.32
$18,093.32
22
30
42329106
$
124,280
$ -
$17,136.84
$17,136.84
7
31
42329108
$
794,902
$ -
$17,187.19
$17,187.19
46
32
42441301
$
973,380
$ -
$17,187.19
$17,187.19
57
33
42441302
$
1,013,339
$ -
$17,187.19
$17,187.19
59
34
35
42441303
42441304
$
$
623,513
85,765
$ -
$ -
$17,187.19
$17,187.19
$17,187.19
$17,187.19
36
5
36
42441305
$
641,917
$ -
$17,187.19
$17,187.19
37
37
42441306
$
466,689
$ -
$17,187.19
$17,187.19
27
38
39
42441307
42441308
$
$
114,107
591,222
$ -
$ -
$17,187.19
$17,187.19
$17,187.19
$17,187.19
7
34
40
42441309
$
456,777
$ -
$17,187.19
$17,187.19
27
41
42441310
$
614,042
$ -
$17,090.71
$17,090.71
36
42
42441315
$
730,720
$ -
$18,504.43
$18,504.43
39
43
42441316
$
414,236
$ -
$17,187.19
$17,187.19
24
44
42441317
$
173,137
$ -
$17,187.19
$17,187.19
10
45
42441318
$
106,567
$ -
$17,187.19
$17,187.19
6
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 9
Asmt
No.
Assessor's
Parcel
Number
Total
True
Value
Existing
Liens
Assessments as
Preliminarily
Approved
Assessments
as Confirmed
and Recorded
Value
to Lien
Ratio
46
47
42441319
42441320
$
$
386,161
109,581
$ -
$ -
$17,187.19
$17,187.19
$17,187.19
$17,187.19
22
6
48
49
42441321
42441322
$
$
272,455
1,376,744
$ -
$ -
$17,187.19
$17,187.19
$17,187.19
$17,187.19
16
80
50
42441323
$
406,114
$ -
$17,187.19
$17,187.19
24
51
42441324
$
883,296
$ -
$17,088.60
$17,088.60
52
52
42329401
$
526,572
$ -
$18,791.80
$18,791.80
28
53
42329101
$
800,004
$ -
$82,105.84
$82,105.84
10
$
30,630,638
$ -
$970,000.00
$970,000.00
32
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 10
Table 2
Debt Limit Valuation
A. ESTIMATED BALANCE TO ASSESSMENT
$970,000
B. UNPAID SPECIAL ASSESSMENTS
$0
TOTAL A & B
$970,000
C. TRUE VALUE OF PARCELS
$30,630,638 **
AVERAGE VALUE TO LIEN RATIO
32:1
Unpaid Special Assessments shall consist of the total principal sum of all unpaid special
assessments previously levied or proposed to be levied other than in the instant proceedings.
** True Value of Parcels means the total value of the land and improvements as estimated and
shown on the last equalized roll of the County or as otherwise reasonably calculated.
This report does not represent a recommendation of parcel value, economic viability or financial
feasibility, as that is not the responsibility of the Assessment Engineer.
CERTIFICATION
I, the undersigned Assessment Engineer, do hereby certify that (i) the total amount of the principal
sum of the special assessments proposed to be levied, together with the principal amount of
previously levied special assessments, as set forth above, do not exceed one-half (1/2) the total true
value of the parcels proposed to be assessed, and (ii) the amount proposed to be assessed upon any
parcel does not exceed one-half of the true value of the parcel.
EXECUTED on December 22, 2015.
HARRIS & ASSOCIATES
ALISON M. BOULEY, P.E.
R.C.E. NO. C61383
ASSESSMENT ENGINEER
CITY OF NEWPORT BEACH
COUNTY OF ORANGE, STATE OF CALIFORNIA
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 11
Exhibit 1
Method and Formula of Assessment Spread
Since the improvements are to be funded by the levying of assessments, the "Municipal Improvement
Act of 1913" and Article XIIID of the State Constitution require that assessments must be based on
the special benefit that the properties receive from the works of improvement. In addition, Section 4
of Article XIIID of the State Constitution requires that a parcel's assessment may not exceed the
reasonable cost of the proportional special benefit conferred on that parcel. Section 4 provides that
only special benefits are assessable and the local agency levying the assessment must separate the
general benefits from the special benefits. It also provides that parcels within a district that are
owned or used by any public agency, the State of California, or the United States shall not be exempt
from assessment unless the agency can demonstrate by clear and convincing evidence that those
publicly owned parcels in fact receive no special benefit. Neither the Act nor the State Constitution
specifies the method or formula that should be used to apportion the costs to properties in any special
assessment district proceedings.
The responsibility for recommending an apportionment of the costs to properties which specially
benefit from the improvements rests with the Assessment Engineer, who is appointed for the purpose
of making an analysis of the facts and determining the correct apportionment of the assessment
obligation. In order to apportion the assessments to each parcel in direct proportion with the special
benefit which it will receive from the improvements, an analysis has been completed and is used as
the basis for apportioning costs to each property within the Assessment District.
Based upon an analysis of the special benefit to be received by each parcel from the construction of
the works of improvement, the Assessment Engineer recommends the apportionment of costs as
outlined below. The final authority and action rests with the City Council after hearing all testimony
and evidence presented at a public hearing, and tabulating the assessment ballots previously mailed
to all record owners of property within the Assessment District. Upon the conclusion of the public
hearing, the City Council must make the final determination whether or not the assessment spread
has been made in direct proportion to the special benefits received by each parcel within the
Assessment District. Ballot tabulation will be done at that time and, if a majority of the returned
ballots weighted by assessment amount are not in opposition to the Assessment District, the City
Council may form the Assessment District.
The following sections set forth the methodology used to apportion the costs of the improvements to
each parcel.
SPECIAL BENEFITS
In further making the analysis, it is necessary that the properties receive a special benefit
distinguished from general benefits conferred on real property located in the District or to the public
at large.
The purpose of this Assessment District is to provide the financing to underground existing overhead
electrical, telephone and cable facilities as well as rehabilitate the affected portions of streets and
alleys within the District. These facilities are the direct source of service to the properties within the
Assessment District.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 12
The proposed replacement of existing overhead utility facilities (power, telephone and cable
facilities) with underground facilities and removal of the existing utility poles and the overhead wires
will provide a special benefit to the parcels connected to and adjacent to, or in near proximity of, the
facilities as follows:
■ Improved Aesthetics Benefit. This benefit relates to the improved aesthetics of the streetscape due
to the removal of overhead wires and utility poles. For the purposes of this report, a street is
defined as either a street or alley. The removal of guy wires and other support structures related to
the overhead facilities are included in the definition of improved aesthetics. Properties that are
directly adjacent to overhead facilities receive an aesthetic benefit. This benefit is based on the
area of the parcel.
■ Additional Safety Benefit. This benefit relates to the additional safety of having the overhead
distribution wires placed underground and having the power poles removed, which eliminates the
threat of downed utility lines and poles due to wind, rain and other unforeseeable events. Falling
facilities can lead to personal injuries and damage to structures, including fire. Properties
immediately adjacent to the facilities usually have a greater risk. Furthermore, in compact
communities like the Balboa Peninsula, the negative effects of falling lines and poles are more
widespread including blocked roadways and alleys, and property damage due to impact. Properties
that are adjacent to, or in proximity of, overhead facilities receive a safety benefit. This benefit is
equal for all parcels receiving this benefit and is therefore based on the average parcel area within
the Assessment District boundary.
■ Connection Benefit. This benefit relates to the enhanced reliability of service from the utilities
being underground, due to having all new wires and equipment and having that equipment
underground, which reduces the threat of service interruption from downed lines. When compared
to overhead systems, fewer outages occur due to various acts of nature, traffic collisions and
obstructions (such as trees). Properties that are connected to, or have the ability to connect to, the
facilities proposed to be undergrounded receive a connection benefit. This benefit is equal for all
parcels receiving this benefit and is therefore based on the average parcel area within the
Assessment District boundary.
By virtue of such special benefits, the proposed improvements will provide a higher level of service,
increase the desirability of the properties and will specifically enhance the values of the properties
within the Assessment District. In addition, properties will receive easier access to garage parking
within the residential alleyways. Therefore, the proposed improvements are of direct and special
benefit to these properties.
GENERAL BENEFITS
Section 4 of Article XIIID requires that the general benefits imparted by the utility undergrounding
project be separated from the special benefits and that only the special benefit portion of the costs of
the project be assessed against those parcels which are identified as receiving special benefits.
Separating the general from the special benefits requires an examination of the facts and
circumstances of the project and the property being assessed.
In this particular assessment district, the streets and alleys along which the existing overhead utility
facilities are being undergrounded function as local and collector streets. No other roadways are
designated as an arterial, a major arterial or a scenic corridor in the Transportation Element of the
City's General Plan. Furthermore, the City has an established network of arterial streets which
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 13
appear to function as intended to provide for the movement of traffic around and through the
community at large without the need to utilize local collector streets for such purposes. Under these
circumstances, any use of the streets within the Assessment District as "through" streets is incidental.
The properties situated within the Assessment District are used almost exclusively as residential.
Under this circumstance, the impacts, both visual and safety, are largely isolated to those properties
(and the persons who inhabit them) which front on these local streets and alleys, with only incidental
impacts on those who visit homes within the Assessment District or who pass through the
Assessment District on trips originating outside the boundary and having a destination outside the
boundary.
Based on these facts and circumstances, any general benefits to the property within the Assessment
District, to the surrounding community and to the public at large from the project of undergrounding
these local overhead utility facilities on the local streets and alleys, such as to the general public
visiting in cars, on bikes or on foot, are incidental and do not exceed five percent (5%) of the
estimated project costs. This general benefit portion of the cost is more than offset by the estimated
20 percent (20%) utility company contribution. Therefore, the remainder of the project design and
construction costs represents the local and special benefits to the parcels within the Assessment
District. Because only the net amount of $970,000 is apportioned to the parcels within the District, no
parcel is assessed more than its proportional share of the special benefits from the improvements.
METHODOLOGY
Based upon the findings described above, the special benefit received by the properties within the
boundaries of the Assessment District is the conversion from an overhead to an underground utility
system resulting in additional safety, enhanced reliability, and improved aesthetics to the adjacent
properties.
Based on these conditions, it is our conclusion that the improvements specially benefit all assessed
properties in the Assessment District.
To establish the benefit to the individual parcels within the Assessment District, the highest and best
use of each property is considered. For example, a vacant property is considered developed to its
highest potential and connected to the system.
The more a property is developed, the more it benefits from the proposed improvements. Most of
properties within this Assessment District are zoned residential and some have one or two dwelling
units on them. There is a direct correlation between the size of a property and the extent to which a
property may develop. Because parcel size is one of the main limiting factors for what can be built on
a property, or the extent the property is developed, the size of each parcel is used as the base unit for
measuring benefit.
Consideration was given to reducing the amount of area assigned to parcels based upon the building
setbacks applicable to each parcel. Due to the combined factors of (a) significant variations in the
setback requirements, including front, side and rear setbacks, (b) availability of future variances from
currently applicable setback requirements as well as existing variances already in place, and (c)
significant variations in the ratios between building size and lot size, it was concluded that
adjustments to parcel areas on account of setback requirements would not improve upon the
assessment methodology. Accordingly, no reductions have been made to parcel area based upon
applicable setback requirements or the existence of easements within those setbacks.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 14
The area of a condominium is calculated by taking the area of the base parcel and dividing by the
number of condominiums.
The special benefits from the undergrounding of overhead utilities are categorized into the three (3)
distinct benefits identified above. All parcels within the District, except for any exceptions identified
below, receive 3 of the 3 benefits.
For the Improved Aesthetics Benefit the parcel area is multiplied by 1 to calculate the "Aesthetics
Benefit Area".
For the "Additional Safety Benefit", each parcel is considered to receive 1 unit of benefit. For
condominiums, each unit is assigned 0.5 safety benefit unit. The average parcel size, 2,822 square
feet, is multiplied by the safety benefit factor to calculate the "Safety Benefit Area".
For the Connection Benefit, each lot is assigned 1 benefit unit. For condominiums, each unit is
assigned a 0.5 connection benefit. The average parcel area, 2,822 square feet, within the district is
multiplied by the benefit unit for each parcel to determine "Connection Benefit Area".
The Assessed Benefit Area per parcel is equal to the Aesthetics Benefit Area plus the Safety Benefit
Area plus the Connection Benefit Area, divided by 3. See Appendix A for the assessment
calculations for each parcel within the District.
Exceptions
There are no exceptions to the above methodology.
ASSESSMENT APPORTIONMENT
Each parcel will be apportioned its fair share of the construction costs based on the Assessed Benefit
Area calculated for each property.
Incidental Expenses and Financial Costs have been assessed to the entire Assessment District on a
prorata basis relative to the total construction cost allocations.
The individual assessment calculations are provided in Appendix A. For particulars to the
Assessment Roll, reference is made to Table 1 in Part III of this report.
In conclusion, it is my opinion that the assessments for the referenced Assessment District have been
spread in direct accordance with the special benefits that each parcel receives from the works of
improvement.
DATED: December 22, 2015
�I
HARRIS & ASSOCIATES
ALISON M. BOULEY, .E.
R.C.E. No. C61383
No. C61383 rn ASSESSMENT ENGINEER
* CITY OF NEWPORT BEACH
GIvy%- ��� COUNTY OF ORANGE,
STATE OF CALIFORNIA
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 15
I, , as CITY CLERK of the CITY OF NEWPORT
BEACH, CALIFORNIA do hereby certify that the foregoing Assessment, together with the Diagram
attached thereto, was filed in my office on the day of , 20_.
CITY CLERK
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
I, , as CITY CLERK of the CITY OF NEWPORT
BEACH, CALIFORNIA do hereby certify that the foregoing Assessment, together with the Diagram
attached thereto, was preliminarily approved by the City Council of the CITY OF NEWPORT
BEACH, CALIFORNIA, on the day of , 20_.
CITY CLERK
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
I, , as CITY CLERK of the CITY OF NEWPORT
BEACH, CALIFORNIA do hereby certify that the foregoing Assessment, together with the Diagram
attached thereto, was approved and confirmed by the City Council of said City on the day of
, 20—.
CITY CLERK
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
I, , as SUPERINTENDENT OF STREETS of the CITY OF NEWPORT
BEACH, CALIFORNIA do hereby certify that the foregoing Assessment, together with the Diagram
attached thereto, was recorded in my office on the day of , 20_.
SUPERINTENDENT OF STREETS
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 16
Part IV
Annual Administrative Assessment
A proposed maximum annual administrative assessment shall be levied on each parcel of land and
subdivision of land within the Assessment District to pay for necessary costs and expenses incurred
by the CITY OF NEWPORT BEACH, and not otherwise reimbursed, resulting from the
administration and collection of assessments, from the administration or registration of any bonds
and reserve or other related funds, or both. The maximum assessment is authorized pursuant to the
provisions of Section 10204(f) of the Streets and Highways Code and shall not exceed fifty dollars
($50) per parcel per year, subject to an annual increase based on the Consumer Price Index (CPI),
during the preceding year ending in January, for all Urban Consumers in the Los Angeles, Riverside,
and Orange County areas. The exact amount of the administration charge will be established each
year by the Superintendent of Streets.
The annual administrative assessment will be collected in the same manner and in the same
installments as the assessment levied to pay for the cost of the works of improvement.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 17
Part V
Diagram of Assessment District
A reduced copy of the Assessment Diagram is attached hereto. Full-sized copies of the Boundary
Map and Assessment Diagram are on file in the Office of the City Clerk, of the City of Newport
Beach.
As required by the Act, the Assessment Diagram shows the exterior boundaries of the Assessment
District and the assessment number assigned to each parcel of land corresponding to its number as it
appears in the Assessment Roll contained in Part III Table 1. The Assessor's Parcel Number is also
shown for each parcel as they existed at the time of the passage of the Resolution of Intention and
reference is hereby made to the Assessor's Parcel Maps of the County of Orange for the boundaries
and dimensions of each parcel of land.
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 18
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Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 19
Part VI
Description of Facilities
Section 10100 of the Act provides for the legislative body of any municipality to finance certain
capital facilities and services within or along its streets or any public way or easement. The
following is a list of proposed improvements as allowed under the Act to be installed, or improved
under the provisions of the Act, including the acquisition of required right-of-way and/or property.
For the general location of the improvements to be constructed referenced is hereby made to the
Plans and Specifications described in Part I of this report.
The following improvements are proposed to be constructed and installed in the general location
referred to as Assessment District No. I I6b:
1. Acquisition of any required easements or rights-of-way;
2. Removal of existing utility poles;
3. Removal of overhead resident service drops;
4. Construction of mainline underground power, telephone and cable conduit, with appurtenant
manholes and pullboxes, and installation of cabling, wiring and other facilities;
5. Construction of service conduit and appurtenances.
The improvements will be designed by the Southern California Edison Company, AT&T and Time
Warner Cable. The utility companies will be responsible for inspecting the work for their facilities
and the City of Newport Beach will inspect the work to ensure conformance to City standards and
specifications where applicable.
The City will also construct additional pavement rehabilitation as needed for the project.
Once completed, the underground facilities will become the property and responsibility of Southern
California Edison Company, AT&T, and Time Warner Cable.
Each owner of property located within the Assessment District will be responsible for arranging for
and paying for work on his or her property necessary to connect facilities constructed by the public
utilities in the public streets and alleys to the points of connection on the private property.
Conversion of individual service connections on private property is not included in the work done by
the Assessment District.
The estimated time for completion of the undergrounding of the utilities is 36 months after the sale of
bonds. Property owners will be required to provide necessary underground connections within 120
days of the completion of the underground facilities.
Failure to convert individual service connections on private property may result in a recommendation
to the City Council that the public utilities be directed to discontinue service to that property pursuant
to Section 15.32 of the Municipal Code. Overhead facilities cannot be removed until all overhead
service has been discontinued.
Harris & Associates
City of Newport Beach
Underground Utility Assessment District No
Final Engineer's Report
STATE OF CALIFORNIA
COUNTY OF ORANGE
CITY OF NEWPORT BEACH
December 22, 2015
116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Paae 20
Right -of -Way Certificate
The undersigned hereby CERTIFIES UNDER PENALTY OF PERJURY that the following is all
true and correct.
That at all time herein mentioned, the undersigned was, and now is, the authorized representative of
the duly appointed SUPERINTENDENT OF STREETS of the CITY OF NEWPORT BEACH,
CALIFORNIA.
That there have now been instituted proceedings under the provisions of Article XIIID of the
California Constitution, and the "Municipal Improvements Act of 1913," being Division 12 of the
Streets and Highways Code of the State of California, for the construction of certain public
improvements in a special assessment district known and designated as ASSESSMENT DISTRICT
NO. 116b (hereinafter referred to as the "Assessment District").
THE UNDERSIGNED STATES AND CERTIFIES AS FOLLOWS:
All easements or right-of-way necessary for the construction and installation of the public
improvements of the Assessment District either have been obtained or are in process of being
obtained and will be obtained and in the possession of the affected utility company, the City, the
County of Orange or the State of California prior to commencement of the construction and
installation of such public improvements.
EXECUTED this day of , 2015, at CITY OF NEWPORT BEACH,
CALIFORNIA.
SUPERINTENDENT OF STREETS
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
Lo
DAVID WEBB, PE
Harris & Associates
City of Newport Beach December 22, 2015
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report Page 21
Certificate of Completion of Environmental Proceedings
STATE OF CALIFORNIA
COUNTY OF ORANGE
CITY OF NEWPORT BEACH
The undersigned, under penalty of perjury, CERTIFIES as follows:
1. That I am the person who authorized to prepare and process all environmental documentation as
needed as it relates to the formation of the special Assessment District being formed pursuant to
the provisions of the "Municipal Improvement Act of 1913" being Division 12 of the Streets and
Highways Code of the State of California, said special Assessment District known and
designated as UNDERGROUND UTILITY ASSESSMENT DISTRICT NO. 116b (hereinafter
referred to as the "Assessment District").
2. The specific environmental proceedings relating to this Assessment District that have been
completed are as follows:
CEQA compliance review:
The proposed project is Categorically Exempt (Class 2) from the provisions of CEQA
(replacement or reconstructions).
3. I do hereby certify that all environmental evaluation proceedings necessary for the formation of
the Assessment District have been completed to my satisfaction, and that no further
environmental proceedings are necessary.
EXECUTED this day of , 2015, at CITY OF NEWPORT BEACH,
CALIFORNIA.
DAVID WEBB, P.E.
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
Harris & Associates
City of Newport Beach
2
3
4
42441202
42441203
93061448
3,400
3,400
1,699
December 22, 2015
Underground Utility Assessment District
No. 116b (Balboa Blvd/Neptune Ave / 47th St / 45th St and Channel Rd)
3,015
3,015
1,507
$13,904.89
$13,904.88
$6,950.90
Final Engineer's Report
$3,315.37
$1,374.84
$1,374.84
$687.27
$18,970.09
$18,970.08
$9,482.94
Appendix A - Page 1
134 1/2 47TH ST
5
Appendix A - Assessment Calculations
1,699
1,699
1,411
Assessor's
Aesthetics Safety Connection Assessed
Total
Final
Property
Asmt Parcel
Parcel Benefit Benefit Benefit Benefit
Construction Incidental Financial
Total
Address
No. Number
Area (sf) Area Area Area Area
Costs Expenses Costs
Assessment
146 AB&C 47TH ST
1 42441201
4,795 4,795 2,822 2,822 3,480
$16,049.66 $4,259.58 $1,586.91
$21,896.15
142 &142 1/2 47TH ST
138 A&B 47TH ST
134 47TH ST
2
3
4
42441202
42441203
93061448
3,400
3,400
1,699
3,400
3,400
1,699
2,822
2,822
1,411
2,822
2,822
1,411
3,015
3,015
1,507
$13,904.89
$13,904.88
$6,950.90
$3,690.36
$3,690.36
$1,844.77
$3,315.37
$1,374.84
$1,374.84
$687.27
$18,970.09
$18,970.08
$9,482.94
$17,042.46
134 1/2 47TH ST
5
93061449
1,699
1,699
1,411
1,411
1,507
$6,950.90
$13,005.46
$1,844.77
$3,451.66
$687.27
$9,482.94
$17,187.19
130 &130 1/2 47TH ST
6
42441205
3,400
3,400
2,822
2,822
3,015
$13,904.88
3,244
$3,690.36
$3,343.53
$1,374.84
$18,970.08
$1,479.43
126 A 47TH ST
7
93061450
1,699
1,699
1,411
1,411
1,507
$6,950.90
2,822
$1,844.77
$14,481.43
$687.27
$9,482.94
$17,187.19
126 B 47TH ST
8
93061451
1,699
1,699
1,411
1,411
1,507
$6,950.90
2,822
2,822
$1,844.78
2,737
2,735
$687.26
$9,482.94
$3,350.87
$3,347.61
122 A&B 47TH ST
9
42441207
3,400
3,400
2,822
2,822
3,015
$13,904.88
3,661
3,000
$3,690.37
2,822
2,822
$1,374.83
$18,970.08
$17,090.71
118 &118 1/2 47TH ST
10
42441208
3,276
3,276
2,822
2,822
2,973
$13,714.23
2,982
$3,639.77
2,822
$1,355.98
$18,709.98
$18,504.43
115 46TH ST
11
42441209
1,831
1,831
2,822
2,822
2,492
$11,492.59
2,526
$3,050.14
$1,136.32
$15,679.05
2,723
117 A&B 46TH ST
12
42441210
2,550
2,550
2,822
2,822
2,731
$12,598.03
2,731
$3,343.53
$1,245.62
$17,187.18
119 A&B 46TH ST
13
42441211
2,550
2,550
2,822
2,822
2,731
$12,598.03
2,822
$3,343.53
$12,598.03
$1,245.63
$17,187.19
121 A&B 46TH ST
14
42441212
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
123 46TH ST
15
42441213
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
125 &125 1/2 46TH ST
16
42441214
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
127 A&B 46TH ST
129 A&B 46TH ST
131 A&B 46TH ST
17
18
19
42441215
42441216
42441217
2,550
2,550
2,550
2,550
2,550
2,550
2,822
2,822
2,822
2,822
2,822
2,822
2,731
2,731
2,731
$12,598.03
$12,598.03
$12,598.03
$3,343.53
$3,343.53
$3,343.53
$1,245.63
$1,245.63
$1,245.63
$17,187.19
$17,187.19
$17,187.19
4601 BALBOA BLVD
21
42441219
2,481
2,481
2,822
2,822
2,708
$12,491.95
$3,315.37
$1,235.14
$17,042.46
4508 A&B RIVER AVE
22
42329114
2,815
2,815
2,822
2,822
2,820
$13,005.46
$3,451.66
$1,285.91
$17,187.19
$17,743.03
120 &120 1/2 46TH ST
4506 A&B RIVER AVE
23
42329113
4,088
4,088
2,822
2,822
3,244
$14,962.66
$3,343.53
$3,971.10
$1,245.63
$1,479.43
$20,413.19
39
4419 RIVER AVE
24
42329110
3,775
3,775
2,822
2,822
3,140
$14,481.43
$3,843.38
$17,187.19
$1,431.85
116 A&B 46TH ST
$19,756.66
42441309
4411 RIVER AVE
4409 RIVER AVE
25
26
42329109
42329105
2,568
2,560
2,568
2,560
2,822
2,822
2,822
2,822
2,737
2,735
$12,625.70
$12,613.41
$1,245.63
$3,350.87
$3,347.61
$1,248.36
$1,247.15
41
$17,224.93
$17,208.17
2,504
4401 A&B RIVER AVE
4404 &4404 1/2 CHANNEL RD
27
28
42329104
42329102
3,661
3,000
3,661
3,000
2,822
2,822
2,822
2,822
3,102
2,881
$14,306.16
$13,284.89
$17,090.71
$3,796.87
$3,527.15
$1,414.52
$1,314.04
42
$19,517.55
$18,131.08
3,178
4406 &4406 1/2 CHANNEL RD
29
42329103
2,982
2,982
2,822
2,822
2,875
$13,262.22
$18,504.43
$3,519.80
117 &119 45TH ST
$1,311.30
42441316
$18,093.32
2,550
4408 &4408 1/2 CHANNEL RD
30
42329106
2,526
2,526
2,822
2,822
2,723
$12,561.13
$3,333.73
44
$1,241.98
2,550
$17,136.84
2,822
124 A&B 46TH ST
36
42441305
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
122 46TH ST
37
42441306
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
120 &120 1/2 46TH ST
38
42441307
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
118 46TH ST
39
42441308
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
116 A&B 46TH ST
40
42441309
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
114 46TH ST
41
42441310
2,504
2,504
2,822
2,822
2,716
$12,527.31
$3,324.76
$1,238.64
$17,090.71
115 A&B 45TH ST
42
42441315
3,178
3,178
2,822
2,822
2,941
$13,563.56
$3,599.78
$1,341.09
$18,504.43
117 &119 45TH ST
43
42441316
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
121 45TH ST
44
42441317
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
123 45TH ST
45
42441318
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
Harris & Associates
City of Newport Beach
Underground Utility Assessment District No. 116b (Balboa Blvd/Neptune Ave 147th St 145th St and Channel Rd)
Final Engineer's Report
Appendix A - Assessment Calculations
December 22, 2015
Appendix A - Page 2
Property
Address
Asmt
No.
Assessor's
Parcel
Number
Parcel
Area (sf)
Aesthetics
Benefit
Area
Safety
Benefit
Area
Connection Assessed
Benefit Benefit
Area Area
Total
Construction
Costs
Incidental
Expenses
Financial
Costs
Final
Total
Assessment
125 &125 1/2 45TH ST
46
42441319
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
127 45TH ST
47
42441320
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
129 &129 1/2 45TH ST
48
42441321
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
131 A&B 45TH ST
49
42441322
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
133 A&B 45TH ST
50
42441323
2,550
2,550
2,822
2,822
2,731
$12,598.03
$3,343.53
$1,245.63
$17,187.19
135 45TH ST
51
42441324
2,503
2,503
2,822
2,822
2,716
$12,525.77
$3,324.35
$1,238.48
$17,088.60
4401 & 4405 CHANNEL RD
52
42329401
3,315
3,315
2,822
2,822
2,986
$13,774.20
$3,655.68
$1,361.92
$18,791.80
4400 CHANNEL RD
53
42329101
33,500
33,500
2,822
2,822
13,048
$60,182.73
$15,972.55
$5,950.56
$82,105.84
Total
154,149
$711,000.00
$188,700.00
$70,300.00
$970,000.00
Harris & Associates
ATTACHMENT F
City of Newport Beach
BUDGET AMENDMENT
2015-16
EFFECT ON BUDGETARY FUND BALANCE:
Increase Revenue Estimates
Ex
Increase Expenditure Appropriations AND
Transfer Budget Appropriations
SOURCE:
from existing budget appropriations
from additional estimated revenues
X from unappropriated fund balance
EXPLANATION:
NO. BA- 16BA-024
AMOUNT:1 $130,560.00
Increase in Budgetary Fund Balance
X Decrease in Budgetary Fund Balance
No effect on Budgetary Fund Balance
This budget amendment is requested to provide for the following:
To authorize and transfer the amount of $130,560 to initiate the work associated with Assessment District #116B
If the District is not successful in formation, funds advanced to this district cannot be recovered from the
proposed district property owners and would therefore be expensed against future General Fund Resources.
ACCOUNTING ENTRY:
BUDGETARY FUND BALANCE
Fund Obiect Description
661 300000 Assessment District #116B - Fund Balance
REVENUE ESTIMATES (360 1)
Fund/Division Account Description
EXPENDITURE APPROPRIATIONS (3603)
Signed:
Signed:
Signed:
I Approval: Finance
Administrative Approval: City Manag
City Council Approval: City Clerk
Amount
Debit
$105,560.00
$25,000.00
Automatic System Entry.
Credit
$35,000.00
$10,560.00
$85,000.00
I &— I(e
Date
Date
Date
e,
Description
Org
Number
66102
Assessment District #116B
Object
Number
941027
AD Electrical Design
Object
Number
941005
AD Phone Design
Object
Number
941006
AD Engineering Services
Org
Number
65002
Assessment District Capital Project Fund
Object
Number
941006
AD Engineering Services
Signed:
Signed:
Signed:
I Approval: Finance
Administrative Approval: City Manag
City Council Approval: City Clerk
Amount
Debit
$105,560.00
$25,000.00
Automatic System Entry.
Credit
$35,000.00
$10,560.00
$85,000.00
I &— I(e
Date
Date
Date
e,