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HomeMy WebLinkAbout _ 6.1--Public Hearing re_ SSMD 01-25 Salt Creek 4 Formation GI �" Y C� F � � �- ' � ° � � i � CITY OF REDDING �� REPORT TO THE CITY COUNCIL MEETING DATE: September 2,2025 FROM: Michael Webb, Public Works ITEM NO. 6.1 Director ***APPROVED BY*** „, �. .A,��,� ie ael � iiEali� oaks L)arector �(?11242� i�}�in,Ci an � 8127(242� mwebb@cityofredding.org btippin@cityofredding.org SUBJECT: 6.1--Public Hearing to consider adopting a Resolution forming Sanitary Sewer Maintenance District O1-25, Salt Creek 4). Recommendation Conduct a Public Hearing and, upon conclusion, if the majority of the voting property owners are not opposed to the formation of Sanitary Sewer Maintenance District (SSMD) O1-25 (Salt Creek 4), adopt Resolution: (1) Confirming results of the election of the assessment district; (2) Confirming the assessments contained in the Engineer's Report for said district; (3) Ordering the formation of territory into SSMD 01-25 for Fiscal Year 2026-27; and (4) Approving the annual assessments for Fiscal Year 2026-27 pursuant to the Improvement Act of 1911, Streets and Highways Code, Chapter 26, Maintenance Districts, Section 5820, et. seg. and levying and collecting the same for Fiscal Year 2026-27. Fiscal Impact Generally, sanitary sewer maintenance districts are self-supporting and there are no fiscal impacts to the City of Redding's (City) General Fund. AZteNnative Action The City Council (Council) may choos� not to adopt the Resolution ordering the formation of SSMD 01-25, and provide alternative direetion to staf� This will require identifieation of an alternative funding source to provide the required maintenance so as not to become a General Fund obligation. If a majority protest is found at the Public Hearing, the Council cannot approve the formation of the district. Background/Analysis On Ju1y 15, 2025, the Council approved the Engineer's Report, directed staff to mail the Notice of Public Hearing and Official Ballots, and set a public hearing regarding the formation of Sanitary Sewer Maintenance District (SSMD) 01-25 Salt Creek 4. Report to Redding City Council August27,2025 Re: 6.1--Public Hearing re:SSMD 01-25 Salt Creek 4 Formation Page 2 SSMD O1-25 is being formed to comply with the conditions of approval �or the Sa1t Creek Unit 4 Subdivision (AMND-2017-00160 / 5-15-07 / PD-11-0�) located off Lower Springs Road north of Highway 299. A conventional gravity sewer system is impracticable for this subdivision; therefore, Condition of Approval No. 65 requires the developer to create an SSMD to fund the operation and maintenance costs of a sanitary sewer lift station with the formation, levy, and collection of assessments being pursuant to the Improvement Act of 1911. Smalllift stations that serve only a specific development are not commonly used in the public system; therefore, a SSMD will ensure that the maintenance responsibilities are borne by the parcels to be created by the Salt Creek Unit 4 Subdivision and not by other utility custoiners. The proposed formation of SSMD 01-25 will affect a total of 70 residential units, on which assessments will be levied. The total assessment for Fiscal Year 2026-2� is: $23,317.00 = $333.10 per residential unit(benefit unit) It is important to note that approval includes the allowance of an annual cost escalation to the assessment which is tied to the "20 Cities Construction Cost Index" from the most recent March issue of the Enginee�ing News Record. This annual cost escalation is intended to assure continued maintenance funding as inflation occurs and will be presented each year to the Council with the annual assessment and levy update for the SSMD. It should also be noted that the amount per unit is the maximum assessment and based on completion of the entire subdivision. The levy will be adjusted year to year as development occurs. The Improvement Act of 1911 requires an election of the property owners and requires that the Council hold a public hearing regarding the formation of new Sanitary Sewer Maintenance District. Proposition 218 also requires a public notice period of 45 days prior to the Council's action. On July 18, 2025, a notification of the proposed annual assessment and public hearing was mailed to each property owner in the proposed district along with a ballot for the formation of the district. Ballots are due prior to the end of the public hearing for this item. Following is an. explanation of the procedure for this item: l. Open the public hearing, accept comments and ballots from property owners, and close the public hearing, at which time property owners may no longer submit ballots. 2. Following the close of the public hearing, ballots are tabulated by the City Clerk who ret�urns to the Council later in the meeting to report the election results. If a majority protest is not determined, the Council can elect to adopt the Resolution that orders the formation of SSMD 01-25. The Resolution has been approved as to form by the City Attorney. Report to Redding City Council August27,2025 Re: 6.1--Public Hearing re:SSMD 01-25 Salt Creek 4 Formation Page 3 Envi�onmental Review This activity is not a project as defined by the California Environmental Quality Act (CEQA). On June 15, 2010, Council adopted resolution 2010-056 certifying the CEQA Environinental Impact Report EIR-1-08, approving Tentative Map Application 5-15-0�, and approving the Planned Development Plan Application PD-11-07. No further action is required. Council Priority/City Manager Goals • Budget and Financial Management — "Achieve balanced and stable 10-year Financial Plans for all funds." Attachments ^Resolution ^Location Map ^SSMD 1-25 Engineer's Report RECORDING REQUESTED BY: City of Redding WHEN RECORDED RETURN TO: City Clerk City of Redding 777 Cypress Avenue Redding CA 96001 RESOLUTION NO. 2025- SANITARY SEWER MAINTENANCE DISTRICT 01-25 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING (1) CONFIRMING THE RESULTS OF THE ELECTION OF THE ASSESSMENT DISTRICT. (2) CONFIRMING THE ASSESSMENTS CONTAINED IN THE ENGINEER'S REPORT. (3) ORDERING THE FORMATION OF TERRITORY INTO A SANITARY SEWER MAINTENANCE DISTRICT TO BE KNOWN AS SANITARY SEWER MAINTENANCE DISTRICT O1-25. (4) APPROVING THE ANNUAL ASSESSMENTS FOR FISCAL YEAR 2026-27 PURSUANT TO THE IMPROVEMENT ACT OF 1911, STREETS AND HIGHWAYS CODE, CHAPTER 26, MAINTENANCE DISTRICTS, SECTION 5820, ET. SEQ. AND THE LEVY AND COLLECTION OF THE SAME FOR FISCAL YEAR 2026-27. WHEREAS: A. On July 15, 2025, by Resolution 2025-052, the City Council approved the Engineer's Report as filed relating to Sanitary Sewer 1Vlaintenance District O1-25 (District) and gave notice of the time and place of the September 2, 2025, public hearing regarding the levy and collection of assessments for Fiscal Year 2026-2'7. B. Map of the area in the district is attached and made a part hereof. C. The public hearing, duly and properly noticed, commenced at the City Council Chambers, '7'7'7 Cypress Avenue, Redding, California, on September 2, 2025, and concluded prior to the adoption of this resolution. At the public hearing, the City Council gave every interested person an opportunity to speak to the proposed assessments. D. The ballots were counted and no majority protest was made to the formation of Sanitary Sewer Maintenance District 01-25. E. All legal prerequisites to the adoption of this resolution have occurred. NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Redding as follows: 1. The foregoing recitals are true and correct. 2. The City Council has considered all oral statements and written protests or cominunications made or filed by interested persons at the public hearing of September 2, 2025, and expressly overrules any and all protests filed objecting to the proposed assessments to be levied in the District. No majority protest was made to the formation of Sanitary Sewer Maintenance District 01-25. 3. The City Council finds that the Engineer's Report has fairly and properly apportioned the costs of the improvements to each residential unit in the district in proportion to the estimated benefits to be received by each benefit unit from the improvements. 4. Pursuant to Streets and Highways Code Section 5821, the City Council hereby approves the Assessments contained on the Engineer's Report, as filed with the City Clerk, and thereby confirms and adopts the assessment of the assessment district contained in the Engineer's Report. 5. The territory within the map of the assessment district set forth in the Engineer's Report is hereby formed into an assessment district under the Improvement Act of 1911, Chapter 26, Maintenance Districts (Streets and Highways Code Section 5820, et seg.), to be hereafter known as Sanitary Sewer Maintenance District 01-25. 6. Only costs for necessary repairs, replacements, fuel, power, electrical current, care supervision and all other items necessary for the property maintenance and operation thereof as authorized by Streets and Highways Code Sections 5821 will be assessed. Pursuant to Government Code Section 53'739, the amount of each fiscal year's assessment shall be adjusted for inflation in an amount not to exceed that provided by the "20 Cities Construction Costs Index" from the most recent March Engineering News Record and shall become �ffective July 1, 202'7, and every July 1 thereafter. 7. An assessment of $333.]0 per benefit unit located within SSMD 01-25 for Fiscal Year 2026-27 is adopted and confirmed. 8. The City Clerk shall forthwith transfer to the Auditor-Controller and the Assessor-Recorder of Shasta County a certified copy of this resolution and a certified copy of the assessment district map contained in the Engineers Report for Sanitary Sewer Maintenance District O1- 25. I HEREBY CERTIFY that the foregoing resolution was introduced and adopted at a regular meeting of the City Council of the City of Redding on the 2"d day of September, 2025, by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: JACK MUNNS, Mayor ATTEST: FORM APPROVED: SHARLENE TIPTON, City Clerk CHRISTIAN M. CURTIS, City Attorney NOTE: For the precise nature and location of improvements maintained by the District, refer to documents and mapping on file with the City's Engineering Division. NOTE: For a detailed description of the lines and dimensions of lots or parcels shown on this map, refer to the County assessor's maps which shall govern with respect to all details concerning the lines and dimensions of such lots or parcels. 70 ASSESSOR PARCELS: 204-030-074 SEWER IMPROVEMENTS: DISTRICT BOUNDARY -———- SEWER FORCE MAIN ` ❑ SEWER �I�f STATION 69 PARCE� A � �, �- ' � N DISTRICT BOUNDARY 33 ��G 32 ��q 31 � � 30 34 29 67 �$ ,� 35 � � � 51 � 36 ��`� / 5� � , 50 ,\ 37 53 38 68 �� 54 49 , 48 � 39 ���� 26 55 47 '� o�'� � 25 � 56 � 24 � 57 46 � �'° ����'�. SS �I�1" 10 23 � 5g 45 \ 40 �Q STATION 1� �� 22 � 59 44 \ 41 0��,�' � 13 21 ` 43 �' � `�� � 6p 42 9 g �� 14 20 61 66 � ��� � ` 15 19 � 62 65 % ��os e��o 6 16 ' / 5 �� 17 18 � „� 63 64 � ssMN v� _...--�- --�.., i 4 4" SS FORCE MAIN 3 2 1 FURFkq Wq y ENGINEERING DIVISION LOCATION MAP SANITARY SEWER MAINTENANCE DISTRICT 1-25 BENEF�T UNITS o' �oo' 200' SALT CREEK HEIGHTS UNIT 4 �w�. No: AM N D-2017-00160 �� ss�,o 01-25 JIJNE 2025 S-15-07 PD-11-07 sNEET � oF � . . . . � � � ��..� � � l ���� �� � � � w � � ��� � � � 1�1..�� ��� � �rep�red under the provisicans of the lmprc►ver�er�t �ct c�f 191 1 of th� C�Iiforni� S�reets & Hit�hw�ys Cc�de f'rep�red by C i T Y t� F Mich�el R. Webb, i�CE - Director �af I'ubli� Works/ " City Engineer ,,�r�;�4���� : ` � A I,. I F C� R f�! � .:A�' .1uly 20�5 � � - : �.� 8��� 1 N kY��&.e; 1 ' The undersigned respectfully submits the en�it�sed Engineer's Report as directed by the Gity Cauncil. �"� � �ated this day of J ly,2025. By: ,� ' �,r Michael R. .e , �E 73986 Directvr of Public Wc�rkslCity Engineer I HEREBY CERTIFY�tthat the encl���d Engineer's Repc�rt and Assessment Diagram was fited wit� me on the ��`� � day of �w;���,�.��.;,�_, 2025. City Clerk c�f the City o€Redding Ccrunty of Shast� �." `'� d ,� �; By� � .� � ��� ,������ �' �,���-�.� µ .� I HEREBY GERTIFY that the enc{osed Engineer's Report, together with the Assessment Roll thereto attached, was approved and confirmed by the City Council c�f the City c�f Redding, �t� � the ��4 t��.: day�f ��.�;�.,�-��`�:�,�w��:..�"� , 2025. City G1�rk of the City t�f F2eddin� Cc�unty af Shasta �- � � � �' ` `� � ,-� By: � � '�� � '�.� ;' ,,°";�'�`� ���M,'�`� � i , � .� _ � �. . �'- .. �„ 4 . . .. .. .. ... . w. City of Redding Sanitary Sewer Maintenance District -�istricf a'1-25 Page 1 C�verview The purpc�se of this report is the formatic�n Qf Sanitary Sewer Maintenance District 01-25 „District" �nd setting the budget and �ssessments fe�r the upcc�ming fiscal year. The C}istrict is authorized and will be administered under prc�visions of the City of Redding Muni�ipai Cc�de Sectic�n, the "Improvem�nt Act c�f 19�1'" (California Streets & Highway Ccrde��820 et. seq.}, "Propt�sitit�n 218,; {Article XIIID t�f the California Constitutic�n), and the "Prc�positian 218 Cyrnnibus Irnplementatiorr Act" (Califcarnia Senate Bil1 919). The aforementioned are cnilectiveiy referred tc�as"Ass�ssment Law." This Engineer's RepQrt addresses the annual m�intenance c�f identified imprc�vements within the District. �art,�4: A�sessm�nt�Ifap {See Part A A#tachmen#) The District is located in the City raf Redding, Cc�unty of Shast�, Sta#e c�f California.7h�C�istrict boundary generally encompasses the �alt Creek Heights Unit 4 Subdivisic�n (AMNt�-20`17- 00�6�/5-�15-07I PD-11-07)and is depicted on the PartAAttachment. Part I�: t�istrict itv�prov�;ments and Estimated �ll�intena�ce Expenses (See Part 8 Att�chmer�t) The e�timated maintenance expenses fc�r the District i�clude th� total costs t�f main#aining and servicing the C�istrict's s�nit�ry sewer lifit static�n com�onents and force main. The plans and specifications for the identiified imprc�vements are an fii� in the City's Engineering Divisi�n. The initial expense to ins#all the lift static�n and force main will be borne by the developer at tim�; of development. Nr�bcands will be iss�aed in connecti+�n with this Disfrict. �art �; Sani4ary�e�a+er C�i�trict Assessment arod Levy Catculatic�n The assessments are authorized to be indexed (increased) annually based on the published 20 Cities Construction Gosfi Index cc�m�iled by Engineering News Recc�rd. The actual per lot leuy is the lesser of the amount calculat�d tc� be needed for eacl� benefit unit (total funds needed divided by nurnber of b�nefiit urrits) and �he maximum autharized assessment. The ievy is the �mount that will be �ssessed an each bene�it �nit and will be calcul�ted c�n a y�arly basis. In the event that assessment revenues are insufficient to cover the cost of annual maintenance activities,services may be reduce�i tcs avoid a defic�t. ' City of Redding Sanitary Sewer Maintenanc�Disfricf -District 09-25 Page 2 Part C1: /.�nalysis a#�ene#its af Properties Be�ng Asse�sed Construction and maintenance c�f the identified impravements were canditions of development forthe subdivisinn. The lift station is neces�ary to convey sewage generated by the subdivision to the existing public sewer system within Lower Springs Road� These �re �peci�l benefits eonferred upon each assessed lot within the District. These `�special benefits" received by the identified �arcels are ab�ve and beyond the City's standard level of service and are exclusive c�f the generai benefits provided to the public at large c�r prop�rties Iocated outside the C7istrict. Part E: �Ifethod of�lpp+�rtionmea�t The law does not require lots to be contiguo�s to the improvements, anly that the assessment is distributed across a(I lots in proportic�n to the degree of �pecial b�nefit r�c��ved from the improvements.The praposed apportionment methc�derlogy is based c�n a unift�rm special benefit and assessment over aA developable It�ts within the District. The total nurnber of benefit units (BUs� may vary fram fiscal year to fiscal year due #o parcel changes andlor land use reciassifications. The tatal numb�r t�f benefit units is 70. The total estimated expens�s frorn the Part 8 att�chment is $23,317.00. Therefore,the maximum as�essment per benefit unit is $333.1� fnr Fisc�l Year 2026-�027. Part F. Assesset� Parceis (See Part F Attachment� Th� Part � Att�chment contains a fist of the 5hasfia County Assessor"s Parcel numb�rs wifhin the Assessmer�t District ft�r Fiscal Year 2024-25.The Assessment Roll is filed in the Office of th� City Cierk �nd is incorporated in this Report by reference. The list is keyed to the rec�rds of the Shasta County Assessor, whi�h �re incc�rporated #�erein by reference. City of Redding Sanitary Sewer ll�aintenance Qistrict -District 01-25 Page 3 T TT C E 1' NflT�:For the precise nature and(ocation of improvements maintained by the Diskrict,refer to docurnents and mapping on file with the City's Engineeting l7ivisian. NO7�:Far a d�tai{ed de�cription ot the lines and dimensions of lots or p�rceis shawn on this map,r�fer ta the County ass�ssor's maps whlch shall,govern witn respect to all details coneerning the lin�s and dintensions af such iots or parcels. 70 ass�ssc�� P,��c��.s.�a�-o�o-o�� SEWER IMPF�OUEMENTS: DISTRIGT 86UNDARY _ -...._ SE4NER F��RCE MAIN C� uEWER Li�'T' �iATIGN 69 � �!�+ Di�TRICT B�UNDARY � 33 � 32 ° 31 � � 30 ��y �9 �7 28 ,�'�, 35 � 51 � 36 ' S2 5tJ �� �� 53 �$ 27 �� 49 Y�, 2& 48 � 39 ��;�t 55 Qqg � 25 � 56 �7���' `i' 24 �� 57 � �etiU� SS Ui`T 1t7 �3 � � 45 �`� 40 �,� srArian� �:i � aa '� 4�1 ,�.'� 1� 22 5g �3 �,o 13 z1 ' �Q 42 9 J �$ 7� � 1 15 �� � 61 �6 �t � � � 16 19 � 62 �,, �� s gLVp �._..,��....--- 5 37 18 � 63 �q � ss�aH �``' �` . ;�,�., ,. 4 a' ss �-oacE r��air, 3 � 1 �LR�W �'�r �' �NEERI UN SANITARY SEWER MAINTEMANGE C}ISl'RICT 1-25 guNTsi : �o�' 2ao' SA,LT CREEK NEIGH75 UNIT 4 �wc. wa: AMND-2017-(�01�i0 �� �snac o�-2s JUN� 2Q2� 5-15-07 F'D-11mU7 yH��r � oF � City af Redding Sanitary Sewer Maintenance Distrr`ct D'�-'19 F'age 4 P T A� AC E NT Estimated Cost o# Il�lainten�nce for Fis��l Yea� 2Q►26-27 5anit�ry5ewer �ir�t�nance Distrwct 09.-25 Salt Cr�e� Unit 4 Fv zaas-z7 Estimated Expenses Section 1 Estimated District Ntaintenance E�penses 1. Lift Station Operational Maintenance 8,8U0 Perfarm�d by Public Works staff �. l.�tllit}�COStS �,�1� Electric,`Water and bata (Aiarm and SCADA) 3. Estimated C�st of Scheduled Replacement Parts {f�eplacernent casts aver a 10 year period=28,015) Year 1(1t?%of 28,015) 2,&Q2 4. Outside Services 1,5U0 Tota1 15,902 Sectican 11 Es#imated t�istrict-Administr�tiv�Expenses Administr�five G�sts: Public Works Department Purchasing Department City Attorney City�lerk City Treasurer Total 1,SOfl Seetion 1!I County Administrative Fee 115 Total Estimated Ex�enses 17,517 City of Redding Sanifary Sewer 119alntenance District 09-19 Page 5 Section lll Leary Calculation A. [7istrict Baiance as of June 3(?, 2o25 0 B. Total Estimated Expenses for FY 2�26-27 17,517 C. District Reserve (SO%af Maintenance Expenses Lines 1 &2) 5,80� D. Funds Needed to Pravide Maintenance and Maint�in District Reserve for FY 2026-27 ((B:Expenses+C:Reserv�)-,4:�alance] 23,317 E. Number of Lats to be levied{Benefit Unitsj 70 F. Lat Assessrnent based on Total Funds�ieeded 333.10 G. Current Lo#Levy 333.10 City of Redding Sanitary Sewer lt�aintenance L7istrict�9-'19 Page 6 TF E fi Assessment Rc�11 �iscal Y'e�r 20�A�-25 su�d�Wsse�n District Lot(Uumber APN Subdiwision �enefit Units lJnit Rate Totat Owner 01-25 1 through 70 204-�30-074 5alt Creek Unit 4 70 $333.10 $23,317.Op Sierra Pacifiic Land&Timber City�f Rsdding Sanitary Sewer Mairatenance District 01-19 Page 7