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water tank in L & L District 1993-2 and the water tank in L & L District 1995-1. It is staffs intention to continue administering contracts with private contractors for the maintenance of these districts. There is minimal fiscal impact to the City relating to the administration of the Districts. As part of the assessment, the City collects an annual fee to administer the districts as well as the maintenance contracts. A portion of this fee, along with interest earnings and delinquency penalties, is available to reimburse the City for staff time. BACKGROUND The Landscaping and Lighting Act of 1972 ("the Act") authorizes local agencies to impose an annual assessment on real property benefiting from improvements in order to pay for constructing and maintaining lighting and landscaping improvements. The assessments are collected by Alameda County as part of the annual tax bill. At the meeting of May 17, 2016, the City Council approved the Engineer's Report relating to each respective assessment district and scheduled the June 21, 2016 public hearing in conformance with the requirements of the State of California Landscaping and Lighting Act of 1972. DISCUSSION As required by the Landscaping and Lighting Act of 1972, the City must levy an annual assessment to all parcels benefited by their Landscaping District. The resolutions adopted at the meeting of May 17, 2016, authorized the City Clerk to give the required notice of public hearing regarding the levy of proposed annual assessments for the respective districts. At the meeting of June 21, 2016, the City Council will hear and consider all public comments, and make modifications, if determined to be necessary, to the proposed assessments. After the close of the public hearing, the Council will, if desired, adopt a resolution confirming the Engineer's Report and levying assessments for each of the Districts for fiscal year 2016-17. Landscape District 1984-1, Ponderosa-Del Prado Maintenance in this District includes masonry walls, trees, shrubbery, groundcover and irrigation systems along Paseo Santa Cruz between Corte Pacifica and Paseo Catalina. The assessment for the coming year for District 1984-1 (Ponderosa-Del Prado) will be the same as last year, $16.90 per parcel per year. With a total of 344 parcels in the district (including one City-owned parcel, Del Prado Park), this year's total assessment will be $5,813.32. The $5,813.32 assessment is not sufficient to fund the maintenance of all common areas along Paseo Santa Cruz, including water and electrical costs, county administration fees, city administration fees, replacement of plantings, irrigation systems, masonry walls, and other district improvements. The Engineer's Report projects that an additional $5,795.72 will be required from the reserve fund to cover projected maintenance costs. It is likely that an increase in the annual assessment will be necessary in the future in order to maintain the maintenance standards of the District. Page 2 of 5