HomeMy WebLinkAbout05. Adppt updated Board Policy No. BP 010-Contractual Assessment Districts (CADSs) Page 1 of 4
Item 5.
CENTRAL SAN BOARD OF DIRECTORS
' POSITION PAPER
MEETING DATE: FEBRUARY 1, 2018
SUBJECT: ADOPT UPDATED BOARD POLICY NO. BP 010 - CONTRACTUAL
ASSESSMENT DISTRICTS (CADS).APPROVAL RECOMMENDED BY
ADMINISTRATION COMMITTEE.
SUBMITTED BY: INITIATING DEPARTMENT:
RUSSELL LEAVITT, ENGINEERING ENGINEERING AND TECHNICAL SERVICES-
ASSISTANT I I I PDS-RATES AND FEES
REVIEWED BY: THOMAS BRIGHTBILL, SENIOR ENGINEER
DANEA GEMMELL, PLANNING AND DEVELOPMENT SERVICES DIVISION
MANAGER
JEAN-MARC PETIT, DIRECTOR OF ENGINEERINGAND TECHNICAL
SERVICES
DONNAANDERSON, PROVISIONAL SECRETARYOF THE DISTRICT
Ann Sasaki
Deputy General Manager Kenton L. Alm
District Counsel
ISSUE
Changes to Board policies require the review and approval of the Board of Directors.
BACKGROUND
As part of a review of all Board policies, BP 010 - Contractual Assessment Districts (CAD) was
reviewed. Several minor edits to the policy have been proposed. The revised BP 010 and corresponding
Administrative Procedures are consistent with the existing policy. The Board of Directors will still review
February 1, 2018 Regular Board Meeting Agenda Packet- Page 66 of 148
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and approve individual CAD projects as is currently done.
ALTERNATIVES/CONSIDERATIONS
The Board could direct that additional edits and changes be made to the CAD policy.
FINANCIAL IMPACTS
None by this action.
COMMITTEE RECOMMENDATION
The existing CAD policy was reviewed by the Administration Committee at the January 12, 2018 meeting.
District Counsel, Kent Alm, suggested that a couple of minor revisions be made to clarify current
practices. The Committee asked Mr.Alm to work with staff on the proposed revisions and asked staff to
present the revised policy to the full Board for consideration without the need for further Committee review.
RECOMMENDED BOARD ACTION
Approve the updated BP 010 - Contractual Assessment Districts.
Strategic Plan Tie-In
GOAL ONE: Provide Exceptional Customer Service
Strategy 1 - Foster Customer Engagement and Awareness
ATTACHMENTS:
1. Updated BP 010 - Contractual Assessment Districts (in strikeout)
February 1, 2018 Regular Board Meeting Agenda Packet- Page 67 of 148
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Central Contra costa
Number: BP 010 Sanitary District
Authority: Board of Directors
Effective: January 7, 1999
Revised: February 1, 2001, September 5, 2002,
October 4, 2012, October 26, 2015
Reviewed:
Initiating Dept./Div.: Engineering/Planning &
Development Services
BOARD POLICY
CONTRACTUAL ASSESSMENT DISTRICTS
PURPOSE
To encourage residential property owners to connect to the public sewer system. The
Contractual Assessment District (CAD) program provides financial assistance to small
groups of homeowners, often with inadequate septic tank systems, so that they may
extend the public sewer system to serve their properties. The CAD program is intended
for residential properties, primarily owner-occupied, and not commercial properties.
POLICY
This policy statement establishes the criteria for formation of CAD projects. Nothing in
this policy is intended to bind the GtCentral San to continue with the program for
any predetermined time period, nor does it create any right or entitlement in favor of
potential program participants. The Board may consider technical, economic, staffing,
budgetary, environmental and other factors in its consideration of whether to form a
CAD.
FUNDING
CAD proponents are required to hire an engineer and pay the initial engineering costs
for the design of the improvements. Upon approval of the CAD by the Board of
Directors, funding for design, construction and inspection of the sewer improvements
and reimbursement of reasonable initial engineering costs will be provided by the
Central San. This money is repaid by participating property owners, either in a
lump sum at the completion of construction or in 10 annual installments. The annual
installments include a nominal interest rate, are secured by a lien on the property, and
are collected on the property tax bill. Subsequent participants who connect to the sewer
main within 20 years repay their share of the CAD costs to the other participants at the
time of connection.
February 1, 2018 Regular Board Meeting Agenda Packet- Page 68 of 148
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Number: BP 010
CONTRACTUAL ASSESSMENT DISTRICT POLICY STATEMENT
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LEGAL
CADs are formed pursuant to Streets and Highways Code Section 5898, et seq. While
the State Legislature has found that CADs are voluntary, imposed pursuant to an
agreement and are not subject to Proposition 218, the Central Sar will not
proceed with a CAD formation if a majority of ballots, weighted by the proposed
assessment, are submitted in protest of the project.
FORMATION CRITERIA
In order to be eligible for participation in the DiStriGt'sCentral San CAD assessment
financing program, the proposed mainline sewer extension project must meet the
following criteria:
1. A minimum of five properties must be directly tributary to the proposed CAD
facilities.
2. A minimum of 60 percent of the properties directly tributary to the proposed CAD
facilities must have existing homes served by septic tank systems.
3. A participant parcel may not have more than two dwellings to participate in
a CAD.
February 1, 2018 Regular Board Meeting Agenda Packet- Page 69 of 148