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An annexation is either of inhabited or uninhabited territory. Inhabited territory means there <br />are 12 or more registered voters as of the date of adoption of the Council's resolution formally <br />initiating the annexation proceeding with LAFCo. If there are fewer than 12 registered voters <br />in the area to be annexed, the territory is uninhabited, as is this proposal. LAFCo must <br />terminate the annexation if the territory is uninhabited and there are protests from landowners <br />owning more than 50% of the assessed value of the land to be annexed. <br />If there are insufficient protests to terminate the annexation, LAFCo will then order the <br />change in organization. The annexation becomes effective when it is formally recorded with <br />Alameda County. <br />Prezoning <br />On July 7, 1998, Council adopted Ordinance No. 1751 approving the pre - zoning of the 860 - <br />acre, Happy Valley Specific Plan area. The Dutra property is prezoned to PUD (Planned Unit <br />Development) - SRDR (Semi -Rural Density). This zoning allows for single - family detached <br />housing as a permitted use and maximum density of one house per two acres. <br />Tax Share Agreement <br />Under the tax share agreement, the City would receive an allocation of the computed property <br />tax revenue equivalent to the average citywide share of property tax it receives each year. <br />The proposed tax- sharing split would give the City the same percentage it receives on average, <br />citywide, which is approximately 25 % of the 1% ad valorem property tax rate received by the <br />County each year. This proposed tax- sharing agreement has been used with the City's more <br />recent annexations. <br />Property owners within the area of this proposed annexation and the surrounding area have <br />been notified the Council will be considering this annexation at your meeting of September 20, <br />2005. <br />FISCAL IMPACT <br />Applicants bear the costs of the annexation process. Should the area be incorporated, the City <br />would provide services (such as police and fire services) and receive the property tax revenues <br />SR:05:254 <br />Page 4 of 5 <br />