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complaints or concerns of property owners, and process progress payments to the contractor. City administration generally includes the following steps: 1 . Prepare maintenance specifications for competitive bidding and advertise the maintenance projects for bids or amend the existing contract per contract terms 2. Hold a bid opening or amend the contract 3. Review bids and recommend acceptance of the lowest responsible bid or amend the contract; review maintenance costs, estimate annual costs (water, power, etc.) and prepare a budget to be included in the annual Engineer's Report 4. Prepare the Engineer's Report for each district 5. Prepare a legal notice and advertise the public hearing for annual assessments 6. Prepare a City Council staff report for the public hearing 7. Hold a public hearing to confirm the Engineer's Report and levy the annual assessment after the closure of the public hearing 8. Award or amend the maintenance agreement with the landscape maintenance company (either with the approval of the City Manager or City Council, depending upon the agreement amount) 9. Coordinate with the City's Finance Department and City Clerk to send the annual assessment information to the County Assessor for inclusion on the subject parcels' property tax bill (Alameda County must receive annual assessment totals prior to August 1 each year) 10.Transfer City administration costs from the Assessment District account to the City's General Fund 11.Transfer assessments on City-owned parcels from the General Fund to Assessment District accounts 12.Answer residents' questions and address residents' concerns throughout the year and hold neighborhood meetings upon request. Effects of Proposition 218 Proposition 218, commonly referred to as the "Right to Vote on Taxes Act," was passed by California voters in November 1996. The Proposition amends the State's Constitution by adding Articles XIII(C) and XIII(D) to do the following: • Limit the authority of local governments (including cities, counties, special districts and school districts) to impose taxes and property-related assessments, fees, and charges; and • Establish procedures for implementing annual assessments which include benefit assessments, special assessments, maintenance assessments, etc. for landscaping and lighting maintenance districts. Procedures will include a requirement that the City develop an engineering report which identifies the special benefits that will accrue to each property as a result of the assessment. Further, subject to certain Page 3 of 1'