HomeMy WebLinkAbout06 - Petition Certification and Request for Funding for Proposed Underground Assessment District No. 116CTY OF
F
NEWPORT BEACH
City Council Staff Report
July 14, 2015
Agenda Item No. 6
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: David A. Webb, Public Works Director- (949) 644-3330,
dawebb@newportbeachca.gov
PREPARED BY: Michael J. Sinacori, Assistant City Engineer
PHONE: (949) 644-3342
TITLE: Petition Certification and Request for Funding for Proposed Underground
Assessment District No. 116 (Area bounded by: Channel Road, the Rivo Alto
Channel, 38th Street and Balboa Boulevard)
ABSTRACT:
Residents within a 6 -block area of West Newport have now submitted a petition to the City of Newport
Beach signed by at least 60% of the affected property owners requesting formation of Underground Utility
Assessment District Number 116 (AD 116). AD 116 is adjacent to the Balboa Boulevard 20a project that
Southern California Edison (SCE) and the City have been coordinating for the past two years. Due to its
proximity to the 20a project, design details for AD 116 have been difficult to finalize. City staff and the utility
companies are recommending that the City confirm the property owners' desire to underground prior to
completing the final 20a design efforts.
RECOMMENDATION:
a) Adopt Resolution No. 2015-60, A Resolution of the City Council of the City of Newport Beach,
California, Accepting Petition of Assessment District No. 116; and
b) Approve Budget Amendment No. 16BA-001 authorizing an advance from the General Fund in the
amount of $40,000 to Assessment District No. 116 and appropriating $40,000 to Account No. 74116-9812
for Assessment Engineering Services.
FUNDING REQUIREMENTS:
Upon approval of the Council directed Budget Amendment, sufficient funds would be available in the
following accounts:
Account Description
AD 116 Assessment Engineering
Account Number Amount
74116-9812 $40,000
M
If the district is not successful in formation, funds advanced to this district and expended for Assessment
Engineering would not be recovered from the proposed district property owners. The advanced funds
would then be expensed against General Fund reserves.
Owners of property included within Proposed Underground Assessment District No. 116 (AD 116) have
submitted a Petition to the City requesting a Special Assessment District be formed, pending approval of a
district wide vote, to finance the undergrounding of overhead utilities within the proposed district. The
boundaries of the proposed AD 116 are shown within Attachment A.
One of the initial steps in the district formation process is the circulation of the Petition for Special
Assessment Proceedings. Proponents of AD 116 circulated the petition to property owners within the
proposed district and have now submitted the petition signatures to the City. The submitted signatures
represent just over 60 percent (60%) of the assessable land within the proposed district. The City's
guidelines require a minimum of 60 percent (60%) in favor of the district in order to proceed with the
formation of a district. Harris and Associates, Inc. has reviewed and certified that owners representing just
60 percent (60%) of the assessable property within proposed AD 116 have signed the petition in support of
undergrounding overhead utilities.
Following acceptance of the petition, the normal next step in the formation process is for the City to
advance the necessary funds to SCE and AT&T for the design of the new underground systems. However,
the design will take 18 to 24 months and these funds will not be recovered if AD 116 is not formed. In
addition, AD 116 is adjacent to the City's Balboa Boulevard 20a undergrounding project that extends from
West Coast Highway to 23rd Street. The 20a project is planned for construction in approximately two years
and the design work related to that project is approximately 75% complete and scheduled for completion
later this year.
In order to finalize the 20a design, SCE needs to know which adjacent areas will be undergrounded at the
same time. Prior to combining the design efforts and to guarantee commitment from the AD 116 property
owners, City and SCE staff are recommending an early property owner vote prior to expending any more
design efforts on the 20a project or advancing design funds for the AD 116 project. If Council approves
the budget amendment, the assessment engineering will be completed as soon as possible and brought
back to Council for consideration of forming AD 116 and scheduling a vote of the property owners.
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).
ATTACHMENTS:
Description
Attachment A - Location Map
Attachment B - Resolution
Attachment C - Budget Amendment
6-2
N NA TA
in Cil"wCA aeP s^1�
45TH ST �s�^n aa°� BOUNDARYOF ROPOSED
ASSESSMENT DI RICT
A
OD .1 ODON
tn�l'>w r
co
N
= 44TH ST D
O O O N
A ODONAOONDO A W m0�
m — w
o Do
U1.m'fNilNv
IT1 43RD ST
-•�-�-'��� pNpNNN;N 4210
A OD O AN 00 I A W m O �. 42 1
p 4206
4`z; N N N -,N N� 42oI
CNV' W�JcND �0 ��2'v
4200
42ND ST M 4110-12 I
NN��'�1 41
�NNNNN mp Y 4106
T AOfWONAO)OD 4106 '�—
o 4104 ( O
-' N NNN oo o��1G 4102
vtV wvt� rnJ m�wZ 4100 0
41ST ST ( m 4010 i
NNN N N
I w . o N 4008 Z
W OD O N A W O 4006 Z
4004
r 9
��NN NN coi��loo�'m 4002
v1 10 w ut
-4(0 'a moo',re I c P
40TH ST N 'y
391912 w
�� N N NO i 9810-12 Z
A m N 99oa-12 40TH ST
3
3906
"M NNN 3904
N m 'm 3902
cm
a 3900
39TH ST I N N w 3812
3810 TH ST
---� 1 3808 D
3806 ( G
3804 I m
3802
3800
38TH ST. 1?1>
38TH ST
3 9 y
r
7 m
W
D 4
m
T
PROPOSED ASSESSMENT DISTRICT NO. 116 DISTANCE: 2,700 FEET .`
AREA BOUND BY BALBOA BLVD, RIVER AVE, 36TH STREET, AND RNO ALTO PARCELS: 103
LEGEND N
O UTILITY POLES TO REMAIN
0 UTILITY POLES TO BE REMOVED
O UTILITY POLES TO BE REMOVED AS PART OF BALBOA BLVD. 20A PROJECT N.T.S.
OVERHEAD UTILITY LINES TO BE REMOVED 6/13115
— — — — — OVERHEAD UTILITY LINES TO REMAIN IN PLACE
C GUYWIRE
V ADDED WOOD OR STEEL GUY POLES
HMENT A
m
ATTACHMENT B
RESOLUTION NO. 2015-
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NEWPORT BEACH ACCEPTING PETITION OF ASSESSMENT
DISTRICT NO. 116
WHEREAS, the owners of certain real property situated in the City of Newport Beach ( the
"City") have filed with the City Clerk several signed counterparts of a petition, requesting the
implementation of a project for the undergrounding of certain existing, overhead utility facilities,
together with appurtenant work and improvements, as described therein, the cost of which is to be
specifically assessed against each parcel of land benefiting from such improvements as shown on
an exhibit map attached to the petition; and
WHEREAS, the petition satisfies the requirements for instituting proceedings for the
conversion of existing overhead electric and communication facilities to underground locations in
accordance with Section 5896.5 of the Streets and Highways Code of the State of California; and
WHEREAS, the City Clerk has also received a certificate to the effect that the petition has
been signed by persons owning lands constituting more than sixty percent (60%) in area of the
land subject to assessment within the proposed assessment district; and
WHEREAS, this City Council finds that the owners of more than sixty percent (60%) in
area of the land proposed to be assessed for the proposed improvements, including the owners
of more than five of the subject parcels, have signed such petition and that the petition contains
the matters required by Sections 2804 and 2804.5 of the Streets and Highways Code.
- 1 -
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows:
Section 1: PETITION ACCEPTED. The petition, as filed with the City Clerk, is hereby
found to be legally sufficient and is accepted.
Section 2: DETERMINATION TO UNDERTAKE PROCEEDINGS. The special
assessment proceedings shall be undertaken by the terms of the petition, pursuant to the
Municipal Improvement Act of 1913 and without further compliance with the Special Assessment
Investigation, Limitation and Majority Protest Act of 1931 (commencing with Section 2800 of the
Streets and Highways Code).
Section 3: PUBLIC INTEREST AND CONVENIENCE SERVED. This City Council
hereby finds and determines that the public interest and convenience will be served by the taking
of such proceedings.
Section 3: This action is not subject to the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(3) of the CEQA Guidelines, California Code of Regulations, Title
14, Chapter 3 because the activity is not a project as defined in Section 15378 and has no
potential for resulting in physical change to the environment, directly or indirectly.
Section 4: ACTION IS FINAL. This action is "final' within the meaning of Streets and
Highways Code Section 3012.
-2-
M
Section 5: This resolution shall take effect immediately upon its adoption by the City
Council, and the City Clerk shall certify the vote adopting the resolution.
ADOPTED this day
ATTEST:
Leilani I. Brown,
City Clerk
2015.
M
Edward D. Selich, Mayor
Attachment: Assessment Engineer Certificate of Sufficiency of Petition
-3-
CERTIFICATE OF SUFFICIENCY OF PETITION
STATE OF CALIFORNIA
COUNTY OF ORANCE
CITY OF NEWPORT BEACH
The undersigned hereby CERTIFIES as follows:
That I am the duly appointed ASSESSMENT ENGINEER of the CITY OF NEWPORT BEACH,
CALIFORNIA.
That on the 5d' day of June, 2015, I reviewed a Petition for the formation of an Assessment District
for certain public works of improvement, together with appurtenances, appurtenant work and
acquisition, where necessary, in a special assessment district known and designated as
ASSESSMENT DISTRICT NO. 116 (hereinafter referred to as the "Assessment District"), a copy of
which is on file in the Office of the City Clerk.
The undersigned hereby further specifically certifies as follows
That I caused said Petition to be examined and my examination revealed that said Petition was
signed by not less than five (5) owners of assessable land in the proposed Assessment District as
shown by the last equalized assessment roll used by the City, owning lands constituting more
than fifty percent (50%) of the area of all assessable lands within the proposed Assessment
District, all as prescribed by Section 5896.6 of the Streets and Highways Code of the State of
California.
2. Pursuant to the Special Assessment Investigation, Limitation and Majority Protest Act of 1931,
that said Petition did represent sixty and sixteen one hundredths of a percent (60.16%) of the
assessable area of property within the proposed boundaries of the Assessment District.
Executed this 5'b day of June, 2015 at Irvine, California.
9 L = - �,- /!5!�- �4- - (- 4
ALISON M. BOULEY, P.E.
HARRIS & ASSOCIATES
ASSESSMENT ENGINEER
CITY OF NEWPORT BEACH
STATE OF CALIFORNIA
Q\Users\abouley\AppData\Local\Micmo ft\Windows\Tempomry Internet Files\Content.Outlook\RNHITOAF\petition sufficiency ad8Zdoc
M
ATTACHMENT C
City of Newport Beach NO. BA- 16BA-001
BUDGET AMENDMENT
2015-16 AMOUNT: $aa,000.00
EFFECT ON BUDGETARY FUND BALANCE:
Increase Revenue Estimates Increase in Budgetary Fund Balance
X Increase Expenditure Appropriations AND X Decrease in Budgetary Fund Balance
Transfer Budget Appropriations No effect on Budgetary Fund Balance
SOURCE:
from existing budget appropriations
from additional estimated revenues
PX from unappropriated fund balance
EXPLANATION:
This budget amendment is requested to provide for the following:
To authorize an advance from the General Fund in the amount of $40,000 to initiate the work associated with Assessment
District #116. 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 Amount
Fund Account Description Debit Credit
4116 3605 Assessment District #116 - Fund Balance $40,000.00
REVENUE ESTIMATES (360 1)
Fund/Division Account Description
EXPENDITURE APPROPRIATIONS (3603)
Description
Division Number 74116 Assessment District#116
Account Number 9812 Engineering Services $40,000.00
Signed:Will-,
,% —
[/�j ill -, Financial Approval: Finance Director Date
Signed:
AdministTati a Approval: City Manage Date
Signed:
City Council Approval: City Clerk Date
M