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HomeMy WebLinkAbout06. Adopt updated Board Policy No. BP 022-Alhambra Valley Assessment Districts (AVADs) Page 1 of 4 Item 6. CENTRAL SAN BOARD OF DIRECTORS ' POSITION PAPER MEETING DATE: FEBRUARY 1, 2018 SUBJECT: ADOPT UPDATED BOARD POLICY NO. BP 022 -ALHAMBRA VALLEY ASSESSMENT DISTRICTS (AVADS). 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 DONNA M.ANDERSON, 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 022 - Alhambra Valley Assessment Districts (AVAD)was reviewed. Several minor edits to the policy have been proposed. The revised BP 022 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 70 of 148 Page 2 of 4 and approve individual AVAD projects as is currently done. ALTERNATIVES/CONSIDERATIONS The Board could direct that additional edits and changes be made to the AVAD policy. FINANCIAL IMPACTS None by this action. COMMITTEE RECOMMENDATION The existing AVAD 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 022 - Alhambra Valley Assessment Districts. Strategic Plan Tie-In GOAL ONE: Provide Exceptional Customer Service Strategy 1 - Foster Customer Engagement and Awareness ATTACHMENTS: 1. Updated B P 022 -Alhambra Valley Assessment Districts (in strikeout) February 1, 2018 Regular Board Meeting Agenda Packet- Page 71 of 148 Page 3 of 4 Central Contra costa Number: BP 022 Sanitary District Authority: Board of Directors Effective: November 5, 2015 Reviewed: Initiating Dept./Div.: Engineering/Planning & Development Services BOARD POLICY ALHAMBRA VALLEY ASSESSMENT DISTRICTS PURPOSE To encourage residential property owners to connect to the public sewer system. The Alhambra Valley Assessment District (AVAD) 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 AVAD program is intended for residential properties, primarily owner-occupied, and not commercial properties. While the AVAD program is similar to the Contractual Assessment District (CAD) Program, it offers several additional incentives for property owners to connect to public sewers tributary to the Alhambra Valley Trunk Sewer, thereby enabling the DiStFiG Central San to more quickly collect reimbursement for District funds that were used for the planning, design, and 2008 construction of the trunk sewer. POLICY This policy establishes the criteria for formation of AVAD 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 an AVAD. FUNDING AVAD proponents are required to hire an engineer and pay the initial engineering costs for the design of the improvements. Upon approval of the AVAD 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 DiStFiG Central San. The initial participating property owners repay their share of this money, either in a lump sum at the completion of construction or in 15 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 February 1, 2018 Regular Board Meeting Agenda Packet- Page 72 of 148 Page 4 of 4 Number: BP 022 ALHAMBRA VALLEY ASSESSMENT DISTRICT POLICY STATEMENT Page 2of2 repay their share of this the AVAD costs to Central San when they connect to the sewer main. LEGAL GADS are formed pursuant to Streets and Highways Code Section 5898, et seq. While the State Legislature has found that SADs ,\/ADs are voluntary, imposed pursuant to an agreement and are not subject to Proposition 218, the D;StriGt will not proceed with a SAD 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 DiStFiGt' Central San AVAD financing program, the proposed mainline sewer extension project must meet the following criteria: • A minimum of three annexed properties must be directly tributary to a proposed AVAD facility. • A minimum of 60 percent of the properties directly tributary to a proposed AVAD facility must already be developed. • A participant parcel may not have more than two dwellings on it to participate in an AVAD. February 1, 2018 Regular Board Meeting Agenda Packet- Page 73 of 148