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HomeMy WebLinkAbout2007-06-26 - AGENDA REPORTS - NORTHPARK LMD TRSFR (2)Agenda Item: CITY OF SANTA CLARITA AGENDA REPORT CONSENT CALENDAR City Manager Approval: Item to be presented by: Dennis Luppens DATE: June 26, 2007 SUBJECT: JOINT CITY OF SANTA CLARTTA-COUNTY OF LOS ANGELES RESOLUTION TO TRANSFER THE THE LMD ZONE FOR NORTHPARK FROM THE COUNTY TO THE CITY DEPARTMENT: Administrative Services RECOMMENDED ACTION 1. City Council adopt the attached resolution transferring Landscape Maintenance District (LMD) administration and maintenance responsibilities for Northpark (Zone T-47) from the County of Los Angeles to the City of Santa Clarita. 2. City Council authorize increase of revenue account 401-61836 by $800,000 (funds that will transfer from the County to the City in June and August of 2007), and authorize a one-time FY 07-08 budget appropriation to account 2934-8012 in the amount of $150,000 for one-time maintenance and repair items. 3. City Council authorize City Manager or designee, subject to City Attorney approval, to execute the contracts and modify existing contract pertaining to the existing landscape contract with Oakridge Landscape, Inc. and other repair and maintenance contractors in a total amount not to exceed $150,000 for one-time maintenance and repair items. BACKGROUND In March of 2006, the NorthPark community was annexed into the City. Contiguous with NorthPark's borders is the Landscape Maintenance District (LMD), which is identified by the City as LMD Zone T-47 - NorthPark. This LMD zone is currently administered and maintained via landscape contracts managed by the County of Los Angeles. Consistent with past LMD transfers between the City and the County of Los Angeles when unincorporated territory is annexed into the City and that territory has a LMD, it is the County's policy to transfer the LMD Adopted: `ee , 0 -y-7 as well. This transfer is permitted pursuant to Section 22612 of the California Streets and Highway Code. On January 9, 2007, the City Council adopted Resolution 07-4 to transfer the NorthPark LMD into the City. Prior to the County adopting the same Joint Resolution, the NorthPark Homeowners Association (HOA) sent a letter to the County suggesting legal action to remedy an issue concerning the maintenance of specific slope properties belonging to the NorthPark HOA. As a result, Joint Resolution 074 was pulled from the February 20, 2007 Board of Supervisors (BOS) Meeting agenda. To date, Joint Resolution 07-04 has not been approved by the BOS. Since February, the NorthPark HOA has been working with the County to remedy maintenance of slope concerns and the repair of the NorthPark community fencing. To date, the community fencing has not been repaired, and the maintenance of slopes remains an issue to be worked out between the HOA and the future LMD administrator, the City of Santa Clarita. To move forward, the County requested that City staff recommend to the City Council a new Joint Resolution which acknowledges a letter from the NorthPark HOA to the County threatening legal action. The County desires this acknowledgement as a standard practice, alerting the City to any potential legal claims before the transfer takes place. It is also important to note that the NorthPark Board of Directors that sent the letter to the County resigned en masse due to unrelated community issues, and a new Board of Directors has been installed. Additionally, the law firm that sent the letter for the former Board of Directors has not been retained by the new Board of Directors. The City Council's adoption of the attached Joint Resolution replaces Joint Resolution 07-4. The three main differences are: 1) the recognition of the former NorthPark Board of Directors' threatened litigation, 2) modification of dates to transfer administration responsibility and funds, and 3) the County's termination of the Contract with existing landscape contractor, American Heritage. In anticipation of this LMD transfer, staff has been working with the new HOA Board of Directors and has accomplished the following: • A new landscape contract has been awarded to Oakridge Landscape, Inc. • Sent a letter to every community member updating them on the LMD transfer progress. • A City LMD transfer web page was created and is hosted on the City's website. • A Request For Proposal (RFP) to repair all community fencing is out to bid, and an award recommendation is anticipated for the July 10 City Council meeting. • Landscape inspection agreements are ready to be modified to meet the level of service required to bring the NorthPark LMD up to City standards. • Staff has regularly conferenced with the new Northpark HOA Board of Directors and individual members to discuss potential remedies for slope maintenance. Based on County financial documents, staff believes the NorthPark LMD has sufficient funds to address this LMD zone's challenges. Los Angeles County documents show that NorthPazk's July 1, 2006 fund balance is estimated to be $888,600. Projected FY 07-08 revenues are $560,000, and the City's anticipated FY 07-08 budget for NorthPark LMD is $579,611. If tonight's recommendation is approved, a $150,000 increase to the Zone T-47 NorthPark budget has been requested to fund one-time repair and maintenance activities caused by deferred maintenance. The deferred maintenance repairs include work on the paseo lighting, the uncovering of compacted earth from swales and drains, and the grinding and replacement of segments of paseo concrete which has lifted and crumbled. A $170,000 apppropriation is already in the City CIP FY 06-07 budget for the replacement of the community fencing, and a request to re -appropriate the funds for FY 07-08 is scheduled for the July 10 City Council meeting. Although this year's budget exceeds revenue, this will not be an ongoing occurrence. Upon completion of the extra maintenance activity, revenues and expenditures will balance in future years. ALTERNATIVE ACTIONS Other actions as directed by the City Council. FISCAL IMPACT No impact to the General Fund. Base budget appropriations for NorthPark are included in the FY 07-08 Budget. The recommended $150,000 appropriation will come from the Zone T-47 NorthPark fund balance. ATTACHMENTS Resolution - Joint City of Santa Clarita-County of Los Angeles