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HomeMy WebLinkAbout2020-07-14 - AGENDA REPORTS - TESORO DEL VALLE PROPTY TAX TRANSFER RESO AND PARK (2)Agenda Item: 21 P CITY OF SANTA CLARITA AGENDA REPORT CONSENT CALENDAR CITY MANAGER APPROVAL:1 DATE: July 14, 2020 SUBJECT: TESORO DEL VALLE PROPERTY TAX TRANSFER RESOLUTION AND PARK PROPERTY TRANSFER AGREEMENT DEPARTMENT: Community Development PRESENTER: Ben Jarvis RECOMMENDED ACTION City Council: 1. Adopt a joint resolution of negotiated exchange of property tax revenue for the proposed Tesoro Del Valle Annexation Area. 2. Authorize the City Manager, or his designee, to sign, subject to the approval of the City Attorney, a Park Property Transfer Agreement to accept Tesoro Adobe Historic Park into the City of Santa Clarita parks system upon completion of the Tesoro del Valle Annexation. BACKGROUND On November 12, 2019, the City Council adopted Resolution No. 19-57 (attached) to initiate annexation proceedings for the Tesoro del Valle Annexation Area with the Local Agency Formation Commission (LAFCO). The application was submitted to LAFCO on January 28, 2020. Following the submission of the application to LAFCO, a joint resolution was drafted by the County of Los Angeles (County) to provide for a transfer of property tax revenue from the County to the City of Santa Clarita (City) in the amount of $376,681 identified for the General Fund, and $198,529 identified for the Public Library Fund. For each fiscal year thereafter, the proposed joint resolution provides for the transfer of specified ratios of annual property tax increment attributable to each of the respective Tax Rate Areas. Upon approval of this matter by the City Council, the Los Angeles County Board of Supervisors will schedule a hearing to consider the joint resolution. Subsequent steps call for up to two LAFCO hearings prior to completion of this annexation. The first is a general public hearing Page 1 Packet Pg. 161 anticipated for early fall of 2020, followed by a "protest hearing" should it be necessary. This annexation is anticipated to be complete by the end of November 2020. Included as a part of the annexation process is the transfer of County park land to the City. The City Manager, or his designee, will sign, subject to the approval of the City Attorney, a Park Property Transfer Agreement for the Tesoro del Valle Annexation, which includes the Tesoro Adobe Historic Park. Upon completion of the transfer, the City will provide recreational services to the residents of the area. Funds for the maintenance of the Tesoro Adobe Historic Park will be provided through the existing County Landscape Maintenance District established for such purpose. ALTERNATIVE ACTION The City Council may direct staff to terminate annexation proceedings or direct other actions as determined by the City Council. FISCAL IMPACT The service expenditures related to this annexation are offset by the revenue to be collected from within the annexation area. This annexation is fiscally neutral and will not have a negative impact on the City of Santa Clarita. ATTACHMENTS Joint Resolution Tesoro del Valle Annexation Map Resolution 19-57 Page 2 Packet Pg. 162 21.a JOINT RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF LOS ANGELES AND THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, APPROVING AND ACCEPTING THE NEGOTIATED EXCHANGE OF PROPERTY TAX REVENUE RESULTING FROM THE ANNEXATION OF TERRITORY KNOWN AS REORGANIZATION 2020-01 (TESORO DEL VALLE) TO THE CITY OF SANTA CLARITA, DETACHMENT FROM COUNTY ROAD DISTRICT NO. 5, WITHDRAWAL FROM THE LOS ANGELES COUNTY LIBRARY WHEREAS, the City of Santa Clarita initiated proceedings with the Local Agency Formation Commission for Los Angeles County (LAFCO) for the annexation of territory identified as Annexation 2020-01 to the City of Santa Clarita; and WHEREAS, pursuant to Section 99 of the California Revenue and Taxation Code, for specified jurisdictional changes, the governing bodies of affected agencies shall negotiate and determine the amount of property tax revenue to be exchanged between the affected agencies; and WHEREAS, the area proposed for annexation is identified as Annexation 2020-01 and consists of Parcel 1 & 2 with approximately 1,786± acres of inhabited territory to the City of Santa Clarita and annex Parcel 1 with approximately 1,609± acres to the Greater Los Angeles County Vector Control District; and affected territory generally known as "Tesoro del Valle" is located north of the intersection of Copper Hill Drive and Avenida Rancho Tesoro; and WHEREAS, effective July 1, 2011, the City of Santa Clarita has withdrawn from the LA County Library, and therefore, all unincorporated territory annexed to the City of Santa Clarita after that date will also be withdrawn from the LA County Library. WHEREAS, the Board of Supervisors of the County of Los Angeles, as governing body of the County and the County of Los Angeles Road District No. 5, and the LA County Library, and the City Council of the City of Santa Clarita, have determined the amount of property tax revenue to be exchanged between their respective agencies as a result of the annexation of the unincorporated territory identified as Annexation 2020-01, detachment from County Road District No. 5, and withdrawal from the LA County Library, is as set forth below: NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: 1. The negotiated exchange of property tax revenue between the County of Los Angeles and the City of Santa Clarita, resulting from Annexation 2020-01 is approved and accepted. HOA.102922538.1 Packet Pg. 163 21.a Joint Resolution City of Santa Clarita Reorganization 2020-01 (Tesoro Del Valle) Page 2 of 10 2. For the fiscal year commencing in the year after the filing of the statement of boundary change for Annexation 2020-01 with the Board of Equalization pursuant to Government Code sections 54902 and 57204, and every fiscal year thereafter, property tax revenue received by County Road District No. 5, attributable to Annexation 2020-01, shall be transferred to the County of Los Angeles, and the County Road District No. 5 share in the annexation area shall be reduced to zero. 3. For the fiscal year commencing in the year after the filing of the statement of boundary change for Annexation 2020-01 with the Board of Equalization pursuant to Government Code sections 54902 and 57204, a base of One Hundred, Ninety -Eight Thousand, Five Hundred, and Twenty -Nine Dollars ($198,529) in property tax revenue attributable to the LA County Library, within the territory of Annexation 2020-01, shall be transferred to the City -Santa Clarita Library Fund, and the following ratios of annual property tax increment attributable to each respective Tax Rate Area in the Annexation 2020-01 territory shall be transferred from the LA County Library to the City -Santa Clarita Library Fund as shown below, and the LA County Library's share in the annexation area shall be reduced to zero. Tax Annual Tax Tax Annual Tax Tax Annual Tax Increment Ratio Increment Ratio Increment Ratio Rate Rate Rate Area Transfer to the Area Transfer to the Area Transfer to the city city city 2477 0.028192949 13352 0.028192949 14865 0.028194058 6789 0.028683695 13697 0.028139617 15426 0.028234941 6832 0.028590949 13699 0.028139617 15641 0.028192949 8723 0.031188135 13700 0.028098851 15840 0.028098851 13348 0.027872598 13701 0.028139617 16129 0.028098851 13349 0.030371569 13702 0.028099952 16130 0.028098253 13350 0.030790135 13704 0.028139617 13351 0.028235317 13705 0.028139617 4. For the fiscal year commencing in the year after the filing of the statement of boundary change for Annexation 2020-01 with the Board of Equalization pursuant to Government Code sections 54902 and 57204, the annual property tax growth in Tax Rate Areas of 6789, 6832, 8723, 13348, 13349, 13350, 13351, 13352, 133697, 13699, 13701, 13704, 13705, 13706, 13707, 15426, 15640, 15641, and 16130 attributable to the affected taxing entities' shares of property tax growth in Tax Rate Areas shall be adjusted as specified below. 5. For the fiscal year commencing after the filing of the statement of boundary change for Annexation 2020-01 with the Board of Equalization pursuant to Government Code sections 54902 and 57204, and every fiscal year thereafter, the following ratios of annual property tax growth as shown below shall be transferred from the affected taxing entities to the Greater Los Angeles County Vector Control District HOA.102922538.1 Packet Pg. 164 21.a Joint Resolution City of Santa Clarita Reorganization 2020-01 (Tesoro Del Valle) Page 3 of 10 ("District") as a result of Annexation No. 2020-01 to the District. The other affected taxing entities' share of property tax growth in the Tax Rate Areas shall be adjusted to reflect transfer to the District: Annual Tax Annual Tax Annual Tax Tax Tax Increment Increment Tax Rate Increment Rate Ratio Transfer Rate Ratio Transfer Area Ratio Transfer Area Area to the District to the District to the District 6789 0.000155906 13352 0.000155779 13707 0.000155906 6832 0.000155779 13697 0.000155906 15426 0.000155906 8723 0.000150369 13699 0.000155906 15640 0.000155906 13348 0.000153714 13701 0.000155906 15641 0.000155768 13349 0.000148085 13704 0.000155906 16130 0.000155779 13350 0.000150369 13705 0.000155906 13351 0.000155906 13706 0.000155779 6. For the fiscal year commencing in the year after the filing of the statement of boundary change for Annexation 2020-01 with the Board of Equalization pursuant to Government Code sections 54902 and 57204, and every fiscal year thereafter, Three Hundred, Seventy -Six Thousand, Six Hundred, and Eighty -One Dollars ($376,681) in base property tax revenue shall be transferred from the County of Los Angeles to the City of Santa Clarita. 7. For the fiscal year commencing after the filing of the statement of boundary change for Annexation 2020-01 with the Board of Equalization pursuant to Government Code sections 54902 and 57204, and every fiscal year thereafter, the following ratios of annual property tax increment attributable to each respective Tax Rate Area in the Annexation 2020-01 territory shall be transferred from the County of Los Angeles to the City of Santa Clarita as shown below and the County's share shall be reduced accordingly: Annual Tax Annual Tax Annual Tax Tax Tax Tax Increment Ratio Increment Ratio Increment Ratio Rate Transfer to the Rate Transfer to the Rate Transfer to the Area Area Area city city city 2477 0.052904526 13352 0.051714163 14865 0.052901333 6789 0.059909032 13697 0.051797893 15426 0.051970954 6832 0.054094259 13699 0.051797893 15640 0.051797893 8723 0.075371378 13700 0.052712857 15641 0.051714162 13348 0.048239167 13701 0.051797893 15840 0.052712857 13349 0.056961323 13702 0.052709665 16129 0.052712857 13350 0.062863824 13704 0.051797893 16130 0.05152837 13351 0.051971664 13705 0.051797893 HOA.102922538.1 Packet Pg. 165 21.a Joint Resolution City of Santa Clarita Reorganization 2020-01 (Tesoro Del Valle) Page 4 of 10 PASSED, APPROVED AND ADOPTED this 2020 by the following vote: AYES: ABSENT: NOES: ABSTAIN- ATTEST - City Clerk City of Santa Clarita day of , Mayor City of Santa Clarita, California HOA.102922538.1 Packet Pg. 166 21.a Joint Resolution City of Santa Clarita Reorganization 2020-01 (Tesoro Del Valle) Page 5 of 10 (Signed in Counterpart) The foregoing resolution was on the day of , 2020, adopted by the Board of Supervisors of the County of Los Angeles and ex officio the governing body of all other special assessment and taxing districts, agencies and authorities for which said Board so acts. APPROVED AS TO FORM: MARY C. WICKHAM County Counsel In Deputy CELIA ZAVALA, Acting Executive Officer Clerk of the Board of Supervisors of the County of Los Angeles LIM Deputy HOA.102922538.1 Packet Pg. 167 21.a Joint Resolution City of Santa Clarita Reorganization 2020-01 (Tesoro Del Valle) Page 6 of 10 (Signed in Counterpart) HOA.102922538.1 Packet Pg. 168 �r Tesoro del Valle Annexation Boundary Vicinity Map City of Santa `r == Clarita Sphere of Influence —' Parcel Outlines Tesoro del Valle Annexation Boundary City of Santa Clarita Boundary -1 City -owned Property N A 1,000 500 0 1,000 0 US Feet Date Created: September 3, 2019 Date Updated May 5, 2020 Parcel data: Copyright May 2020, ParcelOuest & County of Los Angeles. All rights reserved. The City of Santa Clente does not warrant the accuracy of the data and assumes no liability for any errors or omissions. Q:\M01ECT%CD\200519f1\Tesoro Mdrvty\Tesoro wcinityapm OPEN SPACE 11111111111111ei A .7111111111111111 Packet Pg. 169 1 21.c RESOLUTION NO. 19-57 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, REQUESTING THE LOCAL AGENCY FORMATION COMMISSION OF LOS ANGELES COUNTY INITIATE PROCEEDINGS TO ANNEX CERTAIN INHABITED TERRITORY KNOWN AS THE TESORO DEL VALLE ANNEXATION AREA TO THE CITY OF SANTA CLARITA (MASTER CASE NO. 19-115) WHEREAS, the City of Santa Clarita (City) desires to initiate proceedings pursuant to the Cortese -Knox -Hertzberg Local Government Reorganization Act of 2000, commencing with Section 56000 of the California Government Code for an annexation of approximately 1,786 acres of unincorporated Los Angeles County territory; and WHEREAS, the territory proposed to be annexed is inhabited, includes 1,077 existing units and at least 820 units that are entitled but not yet built, is estimated to have an ultimate population of 5,151 residents, and a boundary map of the annexation area is set forth in the attached Exhibit A and is by this reference incorporated; and WHEREAS, the short form designation of the proposal is Annexation 19-001 (Master Case No. 19-115), which includes the area known as the Tesoro del Valle Annexation Area; and WHEREAS, the City Council, in their regular meeting on November 12, 2019, adopted the Negative Declaration prepared for the project (Master Case No. 19-115); and WHEREAS, in May 2019, the City conducted an annexation survey of 1,133 property owners in the Tesoro del Valle community, with the results of the survey showing 86 percent of the respondents supported annexation, 8 percent did not support annexation., and 6 percent requested more information; and WHEREAS, the reasons for this proposed annexation are to create a logical extension of City boundaries, to respond to the property owners' request for local representetion, to promote the efficient provision of municipal services in the affected territory, to bring established neighborhoods, future development areas, open space, and public facilities into the City's jurisdiction, and to preserve vacant land within the annexation area as permanent open space; and WHEREAS, the City Council of the City of Santa Clarita has considered all evidence, oral and documentary, and is advised of the foregoing. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Santa Clarita, California, does herby determine and find as follows: SECTION 1. This Resolution of Application is hereby adopted by the City Council, and the Local Agency Formation Commission of Los Angeles County is hereby requested to initiate proceedings for the annexation of that territory shown in Exhibit A, according to the terms and PacketPg.170 21.e conditions stated above, if any, with notice and hearing by the Local Agency Formation Commission, and in the manner provided by the Cortese -Knox Hertzberg Local Government Reorganization Act of 2000. SECTION 2. The City Council hereby directs and authorizes the City Manager, or designee, to file the application with Local Agency Formation Commission to annex the subject area to the City of Santa Clarita on behalf of the City Council. SECTION 3. The City Council hereby directs and authorizes the City Clerk of the City of Santa Clarita to forward a certified copy of this Resolution, with applicable fees and other information as required by Section 56383 of the Government Code, to the Executive Officer of the Local Agency Formation Commission of Los Angeles County. SECTION 4. The City Clerk shall certify to the adoption of this resolution and certify this record to be a full, true, correct copy of the action taken. PASSED, APPROVED AND ADOPTED this 12`h day of November, 2019. Gir MAYOR ATTEST: CITY CLERK 41 DATE L1 Packet Pg.171 21.c n 1 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) CITY OF SANTA CLARITA ) I, Mary Cusick, City Clerk of the City of Santa Clarita, do hereby certify that the foregoing Resolution No. 19-57 was duly adopted by the City Council of the City of Santa Clarita at a regular meeting thereof, held on the 121h day of November, 2019, by the following vote of Council: AYES: COUNCILMEMBERS: Smyth, Miranda, Kellar, Weste, McLean NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None 3 CITY CLERK Packet Pg.172 MOwir e �o 3 t f i Ft ERnEW Rp • g t 1% r.r • S4N FRANCISOUITO OPEN SPACE l wwq t -l' i�a.•. 7F� -- � � � L 'M�' l• .yam.," t F , QW y$° r _ pR0- 'p o � yficaa�s, i. F�8 waorto�4 r31� �. dostl. � �: r.,.. �. • j- 4 �.}i�i.. 1 Jam. ¢ _ - (ILY Of SANTA CLARITA t�- T Ig esoro de V alle g r_._: Annexation Boundary v14 Tesoro Vicinity Map . del Valle Annexation N �r BoundaryCity •""t ,." rc .riM°� r I rrope ad Property t000 aoFeet Parcel Outlines Parcel data: Copyrlgh[August 2019, '- -_-' City of Santa ParCelOUest & County of Los Angeles. All rights reserved 1�--1. a a ££ it �a Clarity Boundary Time City of Santa Clarita does not warrant: ro.� C wno�nn ,,,owl City of Santa the accuracy of the data and assumes no 7 13ailityfor any errors oromissions i1 Clarita Sphere of f Influence OtPROJECT5tCDt190903ff Vrxdttesuro_annex_vlcmlty.rrtxd PadcetPg.1T3