Reso 2024-030 Intent to Initiate Prop 218 Proceedings (Stormwater Fee)

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IN THE CITY COUNCIL OF THE CITY OF SAN LEANDRO RESOLUTION NO. 2024-030 RESOLUTION DECLARING INTENTION TO INITIATE A PROCEEDING TO OBTAIN APPROVAL OF AN AMENDMENT OF THE CITY’S STORMWATER FEE, A PROPERTY-RELATED FEE CONFORMING TO ARTICLE XIII D, SECTION 6 OF THE STATE CONSTITUTION WHEREAS, the City of San Leandro is ini�a�ng an amendment to the exis�ng Stormwater Fee; and WHEREAS, the City maintains and manages a municipal storm drainage system that includes capital improvements, maintenance and opera�ons, and ac�vi�es to ensure compliance with all state and federal regula�ons associated with the Na�onal Pollutant Discharge Elimina�on System (“NPDES”); and WHEREAS, the City’s comprehensive storm drainage system includes man-made drainage elements such as curbs and guters, ditches, culverts, pipelines, manholes, catch basins (inlets), and ou�all structures in addi�on to the City’s natural creek system that serves as an integral part of the system; and WHEREAS, the City, through its storm drainage system, provides stormwater services (“Services”) that include, but are not limited to, collec�ng, conveying, and managing stormwater runoff from proper�es within the City; and WHEREAS the Alameda County Flood Control District (ACFCD) is a partner in managing local flood control issues as many of the City’s storm drainage systems discharge into ACFCD-owned and/or managed facili�es; and WHEREAS, the exis�ng Stormwater Fee generates approximately $1.1 million annually and has not increased since its adop�on in 1993; and WHEREAS, the exis�ng Stormwater Fee’s purchasing power has decreased over the past 30 years by greater than half and over that same period, clean water regula�ons have increased with more mandates that require addi�onal investment, repair, and maintenance of the system to address recurring flooding and capacity issues and to plan for future climate adapta�on; and WHEREAS, the Stormwater Fee does not provide adequate funding to pay for all of the City’s storm drainage system needs. In order to finance these needs the City would need to amend the Stormwater Fee in compliance with Ar�cle XIII D, Sec�on 6 of the Cons�tu�on, which would require a ballot proceeding; and WHEREAS, the City Council authorized Schaaf & Wheeler to complete a Storm Drain Master Plan (SDMP) to map the City’s storm drainage system, evaluate flood risks, recommend ac�ons and priori�ze capital projects needed to maintain the stormwater system and meet Clean Water regula�ons. The SDMP iden�fied an approximately $4.8 million annual revenue need to fund clean water, flood protec�on, and stormwater system opera�ng and capital improvement costs; and WHEREAS, the City Council authorized HF&H Consultants LLC to assist with the Proposi�on 218 no�cing and ballo�ng process, to perform a rate study, and to dra� a Stormwater Fee Report (“Fee Report”) to determine the amount of the fees on various parcels of land that would, in compliance with Ar�cle XIII D, Sec�on 6 of the Cons�tu�on, finance certain capital improvements, opera�ons and maintenance needs and NPDES clean water compliance needs; and WHEREAS, the Fee Report includes a rate op�on to generate $3.2 million in Stormwater Fee revenue to fund annual costs and the very high and high priority capital improvement projects and while this op�on would not provide full funding of the system’s needs, it would ensure that the highest priority projects are addressed. Another amendment