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BACKGROUND <br /> The Landscaping and Lighting Act of 1972 (the Act) authorizes local agencies to impose <br /> an annual assessment on real property benefiting from improvements in order to pay for <br /> constructing and maintaining lighting and landscaping improvements. The five LMDs <br /> maintained by the City 1984-1 (Ponderosa-Del Prado), 1993-1 (Windsor), 1993-2 <br /> (Bonde Ranch), 1994-1 (Oak Tree Farm), and 1995-1 (Moller Ranch) were formed <br /> under the authority provided by the Act. The year of formation is contained within the <br /> title of each LMD as listed above. Assessment amounts in each district have not <br /> changed in any of the districts since formation. When considering increased costs of <br /> maintenance in general, and the eventual need for capital replacement of things such <br /> as the irrigation systems or decorative fencing and lighting, every district is <br /> underfunded, with Windsor and Bonde Ranch experiencing the most difficult funding <br /> challenges. <br /> Proposition 218, commonly referred to as the "Right to Vote on Taxes Act," was passed <br /> by California voters in November 1996. The proposition limits the authority of local <br /> governments (including cities, counties, special districts and school districts) to impose <br /> changes to taxes and property-related assessments, fees, and charges. It also <br /> establishes procedures for implementing annual assessments for lighting and <br /> landscape maintenance districts. Procedures include a requirement that the City <br /> develop an engineering report which identifies the special benefits that will accrue to <br /> each property as a result of the assessment. Further, subject to certain exceptions, it <br /> establishes that the majority of the property owners in the assessment district must vote <br /> in favor of any proposed increase in an assessment for it to be implemented. <br /> The City has managed the districts to this point by using more drought-tolerant plants, <br /> reducing maintenance, reducing and/or shutting off water use, and patching the dated <br /> irrigation systems. Capital replacements have generally been deferred; while this has <br /> allowed the districts to operate without increasing assessments, it is not sustainable. <br /> Residents within the districts have expressed concerns that maintenance of the LMD <br /> improvements is not meeting their expectations. <br /> On December 21, 2018, the City approved the original contract to update and complete <br /> engineering reports for FY 2019/20 for the five districts to be in conformance with <br /> Proposition 218. That effort was achieved with the submittal and approval of the <br /> Engineer's Reports for the five LMDs in May and June 2019. On September 3, 2019, <br /> City Council approved the first amendment with SCI Consulting Group to update the <br /> engineering reports for the five LMDs for FY 2020/21 and start the Proposition 218 <br /> process to consider increasing assessments in the Windsor and Bonde Ranch LMDs. <br /> On April 21, 2020, the second amendment with SCI Consulting Group was issued to <br /> remove the public outreach scope of work for the Proposition 218 process for increasing <br /> assessments in the Windsor and Bonde Ranch LMDs due to the pandemic and the <br /> associated challenges with holding public meetings. <br /> Page 2 of 3 <br />