GHAD 062116 - Laserfiche WebLink

DISCUSSION The annual assessments can be adjusted each year by the ENR Construction Cost Index for the San Francisco Bay Area. The current index allows for an increase of two percent. The allowed ENR adjustment is stated within each GHAD's original creation documents and is therefore compliant with Proposition 218 requirements. Oak Tree Farm An Engineer's Report for the Oak Tree Farm CHAD has been prepared. It concludes that funding is needed for the following on-going special services for properties within this CHAD: cleaning of retention basins, site inspections, erosion stabilization, preparation of the Engineer's Report, and City administrative costs. This year the parcel assessment has been increased two percent according to the index (to $304). With 42 properties within the CHAD, including the City-owned sanitary sewer pump station, this year's projected revenue will be $13,268. The anticipated operational expenses this year will total $11,486, leaving $1,782 to be deposited into the reserve fund. As of May 3, 2016, the Oak Tree Farm CHAD has a fund reserve balance of $79,132. This reserve is to be used to pay for landslide repair work, which the original Plan of Control estimated would be needed approximately every ten years. This reserve is slowly being replenished because over the last several years the majority of the reserve funds were used to complete erosion repairs along the fire trail within the covered area. Should a significant event occur this amount is likely inadequate to cover the cost of needed repairs. Moller Ranch The Engineer's Report for the Moller Ranch CHAD concludes that funding is needed for the following special services for properties within this CHAD: excavation and re- compaction of shallow slope failures, installation of additional subdrain systems, repair of surface drainage improvements, construction of additional surface drainage improvements, restoration of eroded areas and/or removal of siltation deposits, site inspection, preparation of the Engineer's Report and City administrative costs. This year the parcel assessment has been increased two percent according to the index (to $114). With 100 properties within the CHAD, including the City-owned water reservoir site, this year's projected revenue will be $12,200. The anticipated operational expenses this year will total $10,556, leaving $1,644 to be deposited into the fund reserve. As of May 3, 2016, the Moller Ranch GHAD has a fund reserve balance of$114,385. This reserve is for the repair of landslides, hillside slopes and drainage facilities, as may be necessary in the future, based on estimates of significant earth movement events discussed in the original Plan of Control for this CHAD. These reserves can also be used for the eventual replacement infrastructure should it become necessary. Should a significant event occur this reserve amount is likely inadequate to cover the cost of needed repairs. Page 3 of 5