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HomeMy WebLinkAbout2026-06-23 - AGENDA REPORTS - LMD ASMT CONTR AUTHORITY ZONES T44 T48 AND T62Agenda Item• 14 CITY OF SANTA CLARITA .` AGENDA REPORT CONSENT CALENDAR CITY MANAGER APPROVAL: DATE: June 23, 2026 SUBJECT: LANDSCAPE MAINTENANCE DISTRICT ASSESSMENT CONTRACT AUTHORITY AND BUDGET INCREASE FOR ZONES T44 (BOUQUET CANYON), T48 (SHADOW HILLS), AND T62 (CANYON HEIGHTS) DEPARTMENT: Administrative Services PRESENTER: Andrew Adams RECOMMENDED ACTION City Council: 1. Authorize an expenditure authority increase for landscape maintenance services for Landscape Maintenance District Zone T-44 (Bouquet Canyon) with Specialized Landscape Maintenance Services, Inc., in the amount of $39,484 for a revised total annual contract amount not to exceed $60,168. 2. Authorize an expenditure authority increase for landscape maintenance services for Landscape Maintenance District Zone T-48 (Shadow Hills) with Specialized Landscape Maintenance Services, Inc., in the amount of $25,416 for a revised total annual contract amount not to exceed $46,371. 3. Authorize an expenditure authority increase for landscape maintenance services for Landscape Maintenance District Zone T-62 (Canyon Heights) with Specialized Landscape Maintenance Services, Inc., in the amount of $27,764 for a revised total annual contract amount not to exceed $67,064. 4. Authorize an expenditure authority increase for tree maintenance services with West Coast Arborists, Inc., in the amount of $35,000 for a revised total contract amount not to exceed $6,735,548. 5. Authorize the City Manager or designee to incorporate the revised contract amounts into all applicable renewal options for the Specialized Landscape Maintenance Services, Inc., and West Coast Arborists, Inc., agreements, inclusive of Consumer Price Index adjustments, Page 1 Packet Pg. 89 contingent upon appropriation of funds by the City Council in the annual budget for such fiscal year. 6. Appropriate corresponding budget increases within the Landscape Maintenance District Fund (Fund 357), as detailed in Attachment A. 7. Authorize the City Manager or designee to execute all contracts and associated documents, subject to City Attorney review. BACKGROUND On October 14, 2025, the City Council adopted resolutions declaring the results of the Proposition 218 property owner ballot proceedings and confirming increased assessments for Landscape Maintenance District (LMD) Zones T44 (Bouquet Canyon), T48 (Shadow Hills), and T62 (Canyon Heights), following majority support from affected property owners. Subsequently, on June 9, 2026, the City Council approved the Fiscal Year 2026-27 Annual Levy for the Landscape and Lighting District, authorizing the levy and collection of the approved assessments for these zones. The increased assessments will generate nearly $225,000 in additional annual revenue, subject to annual Consumer Price Index (CPI) adjustments, providing sustainable funding to restore and enhance landscape and tree maintenance. For more than 25 years, assessment rates in these zones remained unchanged and did not include annual CPI adjustments. As costs for labor, water, materials, and infrastructure repairs increased over time, available revenues became insufficient to maintain established service levels. As a result, irrigation repairs were deferred, maintenance frequencies were reduced, tree trimming cycles were extended, and overall landscape conditions declined. The City has existing agreements with Specialized Landscape Maintenance Services, Inc., for Zones T44, T48, and T62, originally awarded by the City Council on December 12, 2023, and currently in the first of three optional renewal terms. The proposed expenditure authority increases will align the agreements with the newly approved assessment revenues and enhanced maintenance service levels within the affected zones. Under the revised contract amounts, the zones will receive more than double existing maintenance staffing levels, resulting in increased maintenance frequency, improved irrigation repairs, enhanced brush clearance, and more proactive slope and infrastructure upkeep. An increase in expenditure authority is also requested for West Coast Arborists, Inc., to support expanded tree trimming, hazard mitigation, and tree health monitoring efforts within the affected zones. Additionally, budget adjustments associated with each zone, as outlined in Attachment A, are required to support implementation of these enhanced maintenance services. Page 2 Packet Pg. 90 ALTERNATIVE ACTION Other action as determined by the City Council. FISCAL IMPACT On June 9, 2026, the City Council approved the Fiscal Year 2026-27 Annual Levy for the Landscape Maintenance District, formally authorizing the levy and collection of the increased assessments for Zones T44 (Bouquet Canyon), T48 (Shadow Hills), and T62 (Canyon Heights). These increased assessments will generate approximately $224,710 in additional annual revenue, subject to annual Consumer Price Index adjustments. The requested expenditure authority increases and associated budget adjustments as detailed in Attachment A, are fully supported by these additional assessment revenues within the Landscape Maintenance District Fund (Fund 357). No General Fund impact is anticipated. ATTACHMENTS Attachment A LMD Requested Budget Appropriations - (T44, T48, T62) Page 3 Packet Pg. 91 14.a Attachment A City of Santa Clarita LMD Local Zones T44, T48, & T62 - Requested Budget Appropriations Fiscal Year 2026-2027 Zone Account Number Account Title Current Budget Amt Proposed Budget Amt Amount of Increase One-time or ongoing Zone T44 3572454-516110 Landscape Services $15,000 $55,168 $40,168 Ongoing Zone T48 3572455-516110 Landscape Services $15,040 $41,371 $26,331 Ongoing Zone T62 3572456-516110 Landscape Services $30,000 $62,064 $32,064 Ongoing Zone T44 3572454-514101 Maintenance & Repairs $5,000 $10,000 $5,000 Ongoing Zone T48 3572455-514101 Maintenance & Repairs $5,262 $10,262 $5,000 Ongoing Zone T62 3572456-514101 Maintenance & Repairs $8,000 $13,000 $5,000 Ongoing Zone T44 3572454-513101 Electric Utility $1,800 $3,600 $1,800 Ongoing Zone T48 3572455-513101 Electric Utility $600 $1,400 $800 Ongoing Zone T62 3572456-513101 Electric Utility $418 $950 $532 Ongoing Zone T44 3572454-513106 Water Utility $39,144 $50,000 $10,856 Ongoing Zone T48 3572455-513106 Water Utility $21,141 $25,000 $3,859 Ongoing Zone T62 3572456-513106 Water Utility $50,873 $65,000 $14,127 Ongoing Zone T44 3572454-516112 Tree Trimming $3,889 $21,000 $17,111 Ongoing Zone T48 3572455-516112 Tree Trimming $1,096 $8,000 $6,904 Ongoing Zone T62 3572456-516112 Tree Trimming $10,203 $20,000 $9,797 Ongoing $207,466 $386,815 $179,349 N tD H C H q1 H Cn W Z O N J N tD H C q' H 'i q' H Packet Pg. 92