Reso 2013-102 - Laserfiche WebLink

Home

Background The Downtown San Leandro Community Benefit District ( "CBD ") is a property-based special assessment district being established in San Leandro pursuant to San Leandro Community Benefit District Ordinance, Title 2, Chapter 2 -20 of the San Leandro Municipal Code modeled after Section 36600 et seq. of the California Streets and Highways Code, known as the Property and Business Improvement District Law of 1994 (the "Act "). To satisfy the constitutional requirements for assessments on property imposed by Proposition 218, the costs of the services, activities and improvements in the district to be funded by assessments ( "district programs ") are to be distributed amongst all the identified properties based on the proportional benefit each parcel is expected to derive from the district programs. Within the Act, Proposition 218 and the Proposition 218 Omnibus Implementation Act, frequent references are made to the relative "special benefit" received from the district programs versus the amount of the assessment levied, which incorporate the concepts of "nexus" and "proportionality" that are required to levy assessments on property within a special assessment district. "Nexus" requires that only those properties expected to derive special benefits from the district programs may be assessed. "Proportionality" requires that, for each assessed property, the assessment be only in an amount proportional to that parcel's share of the reasonable costs of providing the relative special benefits expected to be conferred on that parcel. The method used to determine special benefits derived by each identified property within a CBD begins with the selection of a suitable and tangible basic benefit unit. For property related services, such as those proposed in the Downtown San Leandro CBD, the benefit unit may be measured in linear feet of primary street frontage or parcel size in square feet or building size in square feet or number of building floors or proximity to major corridors in average linear feet, or any combination of these factors. Quantity takeoffs for each parcel are then measured or otherwise ascertained. From these figures, the amount of benefit units to be assigned to each property can be calculated. Special circumstances such as unique geography, land uses, development constraints etc. are carefully reviewed relative to specific programs and improvements to be funded by the CBD in order to determine any levels of diminished benefit which may apply on a parcel -by- parcel or categorical basis. Based on the factors described above such as geography and nature of programs and activities proposed, an assessment formula is developed which is derived from a singular or composite basic benefit unit factor or factors. Within the assessment formula, different factors may be assigned different "weights" or percentage of values based on their relationship to programs /services to be funded. Next, all program and activity costs, including incidental costs, District administration and ancillary program costs, are estimated. It is noted, as stipulated in Proposition 218, and now required of all property based assessment Districts, indirect or general benefits may not be incorporated into the assessment formula and levied on the District properties; only direct or "special" benefits and costs may be considered. Indirect or general benefit costs, if any, 2