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R-10024 EPWM:CP:AA:PTS:\Staff Reports In Process\3_08\CC1978.DOC Council Meeting: March 8, 2005 Santa Monica, California RESOLUTION NUMBER 10024 (CCS) (CITY COUNCIL SERIES) A RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA FINDING THAT THE PUBLIC CONVENIENCE AND NECESSITY REQUIRE STREET IMPROVEMENTS AND DECLARING ITS INTENTION TO CONSTRUCT VARIOUS STREET IMPROVEMENTS ON YALE STREET AS SHOWN ON CITY DRAWING SERIES NO. 6518 WITHIN THE CITY OF SANTA MONICA WHEREAS, the City Council of the City of Santa Monica proposes to initiate proceedings for the establishment of an assessment district and the levy of assessments for payment of costs of various street improvements in accordance with the requirements of Article XIIID of the California Constitution and the Improvement Act of 1911 for the following area in the City of Santa Monica: District A Yale Street Montana Avenue to Wilshire Boulevard WEREAS, Section 19 of Article XVI of the California Constitution provides that certain specified debt limitation and majority protest provisions shall not apply if, after the giving of reasonable notice by publication and posting and the holding of such public hearing as the City Council of the City of Santa Monica shall have prescribed, the City Council by no less than four-fifths vote of all members thereof finds and determines that the public convenience and necessity require the proposed street improvements to be made; and WHEREAS, Streets and Highways Code Section 2804 provides that the "Special Assessment, Investigation, Limitation and Majority Protest Act of 1931" shall not apply to any proceeding otherwise subject thereto when the improvement proceeding is held by a 1 charter city and the City has complied with the provisions of Section 19 of Article XVI of the California Constitution; and WHEREAS, the City of Santa Monica is a charter city of the State of California, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION 1. The City Council proposes to initiate proceedings for the design and construction of various street improvements shown on City Drawing Series No. 6518 and generally known as Yale Street Improvement Project on: District A Yale Street Montana Avenue to Wilshire Boulevard SECTION 2. The total estimated cost of the proposed street improvements is $1,228,000. The property owners' share of the cost is estimated at $908,000. SECTION 3. Improvements shall be conducted in accordance with the requirements of Article X111 D of the California Constitution and the Improvement Act of 1911 (Sections 5000 et seq. of the California Streets and Highways Code). SECTION 4. On February 1,2005 at 7:00 P.M., a public meeting was held between City staff and affected property owners and residents to discuss plans and estimated costs of the improvement. SECTION 5. The proposed improvements are of more than local or ordinary public benefit, and the City Council hereby resolves that the assessment district in the City of Santa Monica to be benefited by the improvements be assessed the costs, less the City's contribution of $320,000, of the improvements as hereinafter provided. 2 . Sinqle-familv properties. Property.owners in this category are assessed 100% based on the parcel frontage and cost per lineal foot. For example, if the total project cost is approximately $195.00 per lineal foot and your parcel frontage is 50 feet, the cost estimate would be 50 feet multiplied by $195.00 per lineal foot, or $9,750.00. All corner lots in this category, regardless of the property address, are assessed 50% of the yard facing the improved street. For example, if the parcel's yard facing the improved street were150 feet, the cost estimate would be 150 feet multiplied by 50% and by $195.00 per lineal foot, or $14,625. . Condominium and Multi-unit properties. Property owners in this category are charged for a portion of the total project cost according to the amount of lineal feet that the entire development fronts the improved street, divided by the number of units in the complex. For example, given a ten-unit complex with a frontage of 50 feet and construction cost estimate of $195.00 per lineal foot, the total cost estimate is $9,750.00. Each unit owner in this example will be assessed one-tenth of the complex's share, or $975.00. Some corner lots are assessed 50% if the property address is on the adjacent street. . Non-residential properties. Property owners in this category are assessed 100% based on the parcel frontage and cost per lineal foot. Some corner lots are assessed 50% if the property address is on the adjacent street. These proposed assessment amounts are equal to or less than the proportionate special benefit cost of improvements for each parcel as identified in the Engineer's Report. The assessment district is depicted in Drawing Series No. 6518, which are on file in the 3 Office of the City Engineer. All public streets, alleys, or portions thereof, hereby are exempt from the district. SECTION 6. Parcels owned by non-profit organizations, which can demonstrate that the organization receives a welfare exemption from the Los Angeles County Assessor, shall be exempt from this assessment. SECTION 7. Serial bonds bearing interest at the rate of not to exceed 8% per annum shall be issued to represent each assessment of the remaining unpaid balance for thirty (30) days after the recording of the warrant. The Finance Director is hereby authorized and directed to determine the actual interest rate at or prior to the time of execution of the construction contract for the assessment district improvements. The interest rate stated on each serial bond shall be conclusive of the Finance Director's determination. Each serial bond shall extend over a period ending nine (9) years from the second day of January next succeeding the next September 1 st following its date. Property owners shall make payments on the principal of unpaid assessments and interest to the City Treasurer and the same shall be disbursed by him/her or as provided in the "Municipal Improvement Act of 1911." In accordance with Streets and Highways Code Section 6442, the City Treasurer as the cost of servicing the delinquency may retain the first two- percent (2%) delinquency penalty authorized by such section. This bond may be redeemed by the owner or any person interested in any lot or parcel of land described herein, at any time before maturity and before commencement of proceedings for sale, upon payment to the Treasurer for the holder of this bond of the amount then unpaid on the principal sum, together with a premium of five (5) percent of said unmatured principal thereof with interest thereon (if not previously paid) up to the next succeeding January 2 or 4 July 2, as the case may be, at the rate named in this bond, and all penalties accrued and unpaid. SECTION 8. Pursuant to Article XIID of the California Constitution, notice has been given that on Tuesday, March 8, 2005, at 7:00 P.M., in the City Council Chambers located in City Hall, 1685 Main Street, Santa Monica, California, a public hearing will be held before the City Council for the purpose of determining whether the public convenience and necessity require the above-described improvements and for the purpose of allowing any and all persons having any objections to the proposed work or improvements to appear and show cause why the proposed work or improvements should not be carried out in accordance with this Resolution of Intention. SECTION 9. The City Clerk has given notice of the hearing by publication in the Los Angles Times on February 18th and February 19th, 2005.in accordance with applicable law. Any interested person may file a protest against the proposed work or improvements in writing with the City Clerk at any time not later than the hour set for the first public hearing in the manner set forth in the Section 4 of Article XIII D of the California Constitution. Owners of the properties may show their approval or opposition to the assessment district by submitting assessment ballots before the close of the first public hearing. Non-resident owners of controlled rental units may not pass through the cost of the assessment to tenants. SECTION 10. Pursuant to Public Contract Code Section 20433, the City Council hereby finds that the public interest will not be served by allowing the property owners to contract for the improvements and that the City shall be responsible for letting and administering the construction contract for this district. 5 SECTION 11. The City Council hereby determines that it is in the public interest and more economical to do work on private property to eliminate any disparity in level or size between the proposed district work and private work than to adjust the work on public property to eliminate such disparity. SECTION 12. The ballots will remain sealed until their opening by the City Clerk or her designee on March 9, 2005 at 2:00 pm. in the City Clerk's Office located in Room 102, 1685 Main Street, Santa Monica, California Santa Monica, California, which opening and counting of assessment ballots shall be available for public review. SECTION 13. All actions heretofore taken by the officers and agents of the City with respect to the transactions set forth above are hereby approved, confirmed and ratified. SECTION 114 The City Clerk shall certify to the adoption of this Resolution, and thereafter the same shall be in full force and effect. APPROVED AS TO FORM: 6 Adopted and approved this 8th day of March, 2005. I, Maria Stewart, City Clerk of the City of Santa Monica, do hereby certify that the foregoing Resolution No. 10024 (CCS) was duly adopted at a meeting of the Santa Monica City Council held on the 8th day of March, 2005, by the following vote: Ayes: Council members: Mayor Pro Tem Katz, Bloom, Genser, Holbrook, McKeown, Shriver Noes: Council members: None Abstain: Councilmembeffi: None Absent: Council members: Mayor O'Connor ATTEST: ~~. ~~.~ Maria M. Stewart, ity Clerk 7