Loading...
HomeMy WebLinkAbout2007 04 23 Regular 602 Annual Capital and Maintenance Assessment Rates Relating to Oak Forest COMMISSION AGENDA ITEM 602 CONSENT INFORMATIONAL PUBLIC HEARING REGULAR X April 23, 2007 Meeting MGR ~PT Authorization REQUEST: The Finance And Community Development Departments Are Requesting That The City Commission Authorize Staff To Proceed With Mailing Of Notice To Property Owners Via United States Mail Regarding Public Hearing; To Publish A Legal Advertisement Of Public Hearing; And To Establish The Public Hearing Date As Tuesday, May 29, 2007 To Consider Increasing The Maximum Annual Capital And Maintenance Assessment Rates Relating To The Oak Forest Wall And Beautification District. PURPOSE: The purpose of this request is for the City Commission authorize staff to proceed with all legal notices necessary to hold a public hearing and set a date for the said public hearing to consider increasing the maximum annual capital and maintenance assessment rates relating to the Oak Forest Wall and Beautification District. CONSIDERA TIONS: . On July 13, 1998, the City Commission adopted Resolution No. 98-704, providing for the creation of assessment areas within the City and authorizing the imposition and collection of special assessments to fund the cost of capital improvements and related services within the City. Section 3.07 of this resolution requires that the City Commission adopt an Annual Local Improvement Assessment Resolution for each fiscal year in which the Local Improvement Assessments will be imposed to approve the Local Improvement Assessment Roll for such year. Section 3.08 requires that the Local Improvement Assessment Roll, as approved by the Annual Local Improvement Assessment Resolution, be certified to the Tax Collector. Resolution No. 2000-06, dated April 10, 2000, established the Oak Forest Assessment Area. Resolution No. 2000-10, dated May 10, 2000, adopted a maximum annual assessment rate of$71.00 per Equivalent Residential Unit (ERU) for capital and $24.00 per ERU for maintenance. On September 20, 2004, Resolution No. 2004-42 was adopted by the Commission, which added flexibility in the application of improvement assessment proceeds as well as increased the annual maintenance assessment to $40.82 per ERU. Regular Agenda ltem 602 April 23, 2007 Page 2 of3 . As noted in the August 28, 2006 Regular Agenda Item 302, both assessments are at their legal maximums, $71.00 per ERU for capital and $40.82 per ERU for maintenance. Due to increases in costs such as: landscape maintenance, entry feature maintenance, electrical service and administration costs of the assessment program by Government Services Group (GSG) and Nabors, Giblin and Nickerson, P.A. (legal counsel), legal maximums will need to be increased before adoption of the Fiscal Year 2007/2008 (Tax Year 2007) Final Budget. . Government Services Group (GSG) has been contracted to perform the duties associated with the annual determination of capital (debt service) and maintenance assessments for Oak Forest and has performed such calculations for over seven years (since the creation of this assessment district). Additional analysis was required due to the increased costs described in the previous paragraph. Steve Richart, Urban Beautification Manager, prepared a five-year maintenance budget and Camille Tharpe of GSG performed a five-year rate analysis (see Attachment 1 ). . The attached analysis by GSG shows that the maximum assessment rates of$71.00 per ERU for capital and $40.82 per ERU for maintenance should be increased to at least $72.00 per ERU for capital and $63.00 per ERU for maintenance (additional documentation to follow at the Commission Meeting) to cover the forecasted expenditures for the next five fiscal years (FY 2007-2008 to FY 2011-2012) (see Attachment 2). The proposed rates will need to be established tonight in order to properly notice property owners of public hearing on proposed rate increases. The rate change, however, will not be formally adopted until the Public Hearing on Tuesday, May 29,2007. . In order to increase the assessment rates the City is required to send a notice of a public hearing to each property owner via U.S. mail (see Attachment 4 - approving substance not necessarily [onn as legal review needs to occur), which should be mailed on May 8, 2007 by GSG, as well as publish a notice of public hearing (see Attachment 3 - approving substance not necessarily form as legal review needs to occur) in the Tuesday, May 8, 2007, Orlando Sentinel (to be placed by City staff), pursuant to Ordinance No. 98-704, in order to increase the Capital and Maintenance Assessments above the maximum amounts established by the City's previous notice to owners sent out on July 19, 2004 for the maintenance assessment and April 19,2000 for the capital assessment. . The final assessment rolls by parcel number and alphabetically by property owner are not available with this agenda item but will be available in the lobby and the City Clerk's office with the Public Hearing agenda item for the May 29,2007 City Commission meeting. Regular Agenda Item 602 April 23, 2007 Page 3 of3 RECOMMENDATION: It is recommended that the City Commission authorize staff to proceed with mailing of notice to property owners via United States mail regarding public hearing; to publish a legal advertisement of public hearing; and to establish the public hearing date as Tuesday, May 29, 2007 to consider increasing the maximum annual capital and maintenance assessment relating to the Oak Forest Wall and Beautification District. It is also recommended that the City Commission approve the proposed maximum assessment rates of $72.00 per ERU for capital and $63.00 per ERU for maintenance to be contained in the notice to property owners in the assessment area as well as the legal advertisement regarding the public hearing. A TT ACHMENTS: 1. GSG memo dated April 12, 2007 2. Current and Proposed Assessment Rates 3. Form of Published Notice 4. Form of Mailed Notice COMMISSION ACTION: ATTACHMENT 1 GSG MEMO DATED APRIL 12, 2007 G S G / pubJic sector ../ f i}/} i~/i ) .}.9: .. ,/'~ 0'" -t'.f .t. _? I ..... solutions GOVERNMENT SERVICES GROUP. INC. April 12, 2007 Via Electronic Transmission Ronald McLemore, City Manager City of Winter Springs 1126 East SR 434 Winter Springs, FL 32708 Re: City of Winter Springs - Assessment Rate Analysis for Tuscawilla Lighting and Beautification District Phases One and Two and Oak Forest Wall Neighborhood Improvement Assessment Program Dear Ron: Over the past eight years or more, Government Services Group, Inc. (GSG) has assisted the City of Winter Springs (City) in developing and maintaining the non-ad valorem assessment programs to fund the following: . Tuscawilla Lighting and Beautification District (TLBD) - Phase One: Capital Improvements and Ongoing Maintenance Services . Tuscawilla Lighting and Beautification District (TLBD) - Phase Two: Capital Improvements and Ongoing Maintenance Services . Oak Forest Wall Neighborhood Improvement Area - Capital Improvements and Ongoing Maintenance Services As these programs have been in place for several years, GSG recommended that the City review and analyze methods to develop an integrated and streamlined program for both the TLBD Phase One and TLBD Phase Two assessment programs, as well as the Oak Forest Wall Neighborhood Improvement assessment program. This correspondence provides the results of the preliminary analysis and includes five-year annual assessment rates and the minimum, maximum and average assessment rates for the maintenance services component of all three programs. The analysis also provides a revised maximum annual capital assessment rate for all three programs. The first step in streamlining the process was to determine the feasibility of combining the TLBD Phase One and Two assessment programs. While it was feasible to combine the maintenance assessment programs, it was not feasible to combine the two capital assessment programs. The reason the capital assessment programs could not be combined was because although both programs initially started with the same parcels of property, different property owners have chosen to prepay their capital assessment amounts; therefore, the current databases contain different property owners based on if they prepaid or not. F Ronald McLemore April 12, 2007 Page 2 There is no ability to prepay the maintenance assessment so all the same property owners are subject to the annual assessment rates for maintenance services. The next step in streamlining the process was to develop five-year proforma maintenance budgets. The TLBD Phase One and Two maintenance budgets were combined beginning Fiscal Year 2007-08. City staff provided preliminary five-year maintenance budgets for the programs which GSG reviewed and revised for additional costs. The five-year budget for the combined TLBD maintenance assessment program and annual assessment rates are provided in Table 1. Table 1 TLBD Proforma Maintenance Budgets and Assessment Rates Fiscal Year 2007-08 through 2011-12 Account Baseline New Total Baseline New Total Baseline New Total Baseline New Total Baseline New Total Number Description of Expenditures FY07-0S FY07-0S FY07-0S FYOS-09 FYOS-09 FYOS-09 FY09-10 FY 09-10 FY09.10 FY10.11 FY10-11 FY10-11 FYl1-12 FYl1-12 FYll-12 Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget 53180 Consultant Services $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 53211 Assessment Services $11,055 $0 $11,055 $9,316 $0 $9,316 $9,596 $0 $9,596 $9,884 $0 $9,884 $10,180 $0 $10,180 53410 Contractual Services Cost $1,500 $100 $1,600 $1,600 $0 $1,600 $1,600 $0 $1.600 $1,600 $100 $1,700 $1,700 $0 $1.700 53411 Bank Service Charges $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 53680 Unrecognized Gain/Loss $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 54210 Postage $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $5,500 $5,500 $0 $0 $0 54310 Utility Services $45,000 $0 $45,000 $45,000 $1,000 $46,000 $46,000 $1,000 $47,000 $47,000 $1,000 $48,000 $48,000 $1,000 $49,000 54330 Street Lighting $45,000 $162,000 $207,000 $197,000 $19,700 $216.700 $216,700 $10,835 $227,535 $227,535 $11,500 $239,035 $239,035 $12,000 $251,035 54686 Repairs & Maint - Landscape $135,000 $0 $135,000 $135,000 $0 $135,000 $135,000 $0 $135,000 $130,000 $5,000 $135,000 $135,000 $5,000 $140,000 54693 Repairs & Maint - Fountains $20,000 $0 $20,000 $20,000 $20,000 $20,000 $25,000 $45,000 $20,000 $0 $20,000 $20,000 $5,000 $25,000 54695 Repairs & Maint - Signs & Walls $20,000 $15,000 $35,000 $20,000 $30,000 $50,000 $20,000 $30,000 $50,000 $20,000 $0 $20,000 $20,000 $0 $20,000 55230 Clerk Supplies $100 $0 $100 $100 $0 $100 $100 $0 $100 $100 $0 $100 $100 $0 $100 59130 Transfer to General Fund -Insurance $6.400 $0 $6.400 $6.400 $100 $6,500 $6,500 $300 $6,800 $6,800 $300 $7,100 $7,100 $400 $7,500 59130 Transfer to General Fund - Clerk Fees* $3,800 $0 $3,800 $3,800 $200 $4,000 $4,000 $0 $4.000 $4,000 $0 $4,000 $4,000 $0 $4,000 59130 Transfer to Gell.Fund - Beautification $41,000 $0 $41,000 $41,000 $2,000 $43,000 $43.000 $0 $43,000 $43,000 $1,000 $44,000 $44,000 $1,000 $45,000 59310 Statutory Reserve $14,566 $0 $14,566 $22,176 $0 $22,176 $23,735 $0 $23.735 $22,263 $0 $22,263 $23,063 $0 $23,063 Notice Costs $5,636 $0 $5,636 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Tax Collector Costs $7,135 $0 $7,135 $10,862 $0 $10,862 $11,625 $0 $11,625 $10,904 $0 $10,904 $11,296 $0 $11,296 Less Carry Forward from TLBD II ($162,000) Grand Total $356,192 $177,100 $371,292 $512,253 $53,000 $565,253 $537,S56 $67,135 $604,991 $543,OS7 $24,400 $567,487 $563,474 $24,400 $5S7,S74 Annual Assessment Rate Per ERU $S6_37 $131.48 $140.73 $132.00 $136.75 Maximum Rate 'i 115.S1-- ~ S-JI5",Sl, ~ .'II:),S?-- ~ $JJ~.~ ~ J I S'.S'V ~ Difference ('2<1 LtS) $~ ~I S'.i,tp $~ fl'f (.h ~~ j 11c.'''6 ~ tUJ~3 ~ Rona Id McLemore April 12, 2007 Page 3 Table 2 provides the minimum, maximum and average budgets and corresponding assessment rates for the combined TLBD maintenance assessment program for the five year period. Table 2 TLBD Proforma Maintenance Budgets and Assessment Rates Minimum, Maximum and Average Account Number Description of Expenditures Minimum Average Maximum Budget Budget Budget 53180 Consultant Services $0 $0 $0 53211 Assessment Services $11,055 $10,007 $9,596 53410 Contractual Services Cost $1,600 $1,640 $1,600 53411 Bank Service Charges $0 $0 $0 53680 Unrecognized Gain/Loss $0 $0 $0 54210 Posta ge $0 $1,100 $0 54310 Uti Iity Services $45,000 $47,000 $47,000 54330 Street Lighti ng $207,000 $228,261 $227,535 54686 Repairs & Maint - Landscape $135,000 $136,000 $135,000 54693 Repairs & Maint - Fountains $20,000 $26,000 $45,000 54695 Repairs & Maint - Signs & Walls $35,000 $35,000 $50,000 55230 Clerk Supplies $100 $100 $100 59130 Transfer to General Fund - Insurance $6.400 $6,860 $6,800 59130 Transfer to General Fund - Clerk Fees* $3,800 $3,960 $4,000 59130 Transfer to Gen.Fund - Beautification $41,000 $43,200 $43,000 59310 Statutory Reserve $14,566 $21,161 $23,735 Notice Costs $5,636 $1,128 $0 Tax Collector Costs $7,135 $10,365 $11,625 Less Carry Forward from TLBD II ($162,000) ($32.400) Grand Total $371,292 $539,382 $604,991 Annual Assessment Rate Per ERU $86.37 $125.47 $140.73 Maximum Rate f. /1C),S"V $jj.9:(JO $IIS,IbVa.aa:n-o ~ J1~.S'V~ Difference (~lq~'5') $~ JCj.~~ $~ ~'V-/~, ~ Table 3 provides a cash flow analysis for the combined TLBD maintenance assessment program for the five- year period assuming the City imposes the average maintenance assessment rate for the five years. Table 3 TLBD Proforma Cash Flow Analysis FY07-08 FY08-09 FY09-10 FYl0-ll FYll-12 Revenue @ average rate - $703,674 $712,056 $688,4 77 $625,160 $599,347 rounded up (includes carryover) Budget $533,292 $565,253 $604,991 $567,487 $587,874 Difference $170,382 $146,803 $83,486 $57,673 $11,473 Ronald McLemore April 12, 2007 Page 4 Table 4 provides the maximum annual capital assessment rate for TLBD Phase One. Table 4 TLBD Phase One Maximum Capital Assessment Rates Maximum Annual Debt Service $155,949 $5,929 $10,057 $171,936 4,017 $42.80 $43.00 Professional Fees Collection Costs (Statutory Discount and Tax Collector Costs) Total Annual Assessment Amount Number of ERUs Annual Assessment AmountjERU Rounded Annual Assessment AmountjERU Table 5 provides the maximum annual capital assessment rate for TLBD Phase Two. Table 5 TLBD Phase Two Maximum Capital Assessment Rates Maximum Annual Debt Service $30,679 $1,167 $1,742 $33,588 2,492 $13.48 $14.00 Professional Fees Collection Costs (Statutory Discount and Tax Collector Costs) Total Annual Assessment Amount Number of ERUs Annual Assessment AmountjERU Rounded Annual Assessment AmountjERU Ronald McLemore April 12, 2007 Page 5 The five-year budget for the Oak Forest Wall maintenance assessment program and annual assessment rates are provided in Table 6. Table 6 Oak Forest Wall Proforma Maintenance Budgets and Assessment Rates Fiscal Year 2007-08 through 2011-12 Account Baseline New Total Baseline New Total Baseline New Total Baseline New Total Baseline New Total Number Description of Expenditures FY07-08 FY07-08 FY07-08 FY08-09 FY08-09 FY08-09 FY09-10 FY09-10 FY09-10 FY10-11 FY10-11 FY10-11 FY11-12 FY11-12 FY11-12 Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget 53111 Legal $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 53211 Ad ministration Fees $15,950 $0 $15,950 $13.905 $0 $13.905 $14.322 $0 $14.322 $14.752 $0 $14.752 $15.194 $0 $15.194 53410 Billing Services Cost $300 $0 $300 $300 $50 $350 $350 $0 $350 $350 $0 $350 $350 $50 $400 53411 Bank Service Charges $0 $0 $0 $0 $0 53680 Unrecognized Gain/Loss $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 54210 Postage $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $1.500 $1,500 $0 $0 $0 54310 Utility Services $1,800 $0 $1.800 $1.800 $200 $2,000 $2,000 $200 $2,200 $2.200 $200 $2,400 $2,400 $100 $2.500 54682 Repairs & Maint- Grounds $17.000 $3.000 $20.000 $20.000 $1.000 $21.000 $21.000 $0 $21.000 $21.000 $0 $21.000 $21.000 $0 $21.000 54695 Repairs & Maint - Sign/Wails $4.000 $500 $4,500 $4.500 $500 $5.000 $4.500 $0 $4.500 $4,500 $0 $4.500 $4.500 $0 $4.500 55230 Clerk Supplies $50 $0 $50 $50 $0 $50 $50 $0 $50 $50 $0 $50 $50 $0 $50 55270 Small Tools & Equipment $0 $0 $0 $0 $0 59130 Transfer to General Fund - Insurance $1,350 $125 $1,475 $1,4 75 $100 $1.575 $1.575 $75 $1.650 $1.650 $75 $1,725 $1.725 $75 $1.800 59130 Transfer to General Fund - Clerk Fees * $1.900 $0 $1.900 $1.900 $100 $2.000 $2.000 $0 $2.000 $2.000 $0 $2.000 $2.000 $0 $2,000 59130 Transfer to Gen Fund - Beautification Coord. $6,750 $450 $7.200 $7,200 $800 $8.000 $8.000 $0 $8,000 $8.000 $500 $8.500 $8,500 $200 $8.700 59310 Statutory Reserve $2.264 $0 $2.264 $1.885 $0 $1.885 $1.885 $0 $1.885 $1.885 $0 $1.885 $1,885 $0 $1.885 Notice Costs $1.169 $0 $1.169 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Tax Collector Costs $1,179 $0 $1.179 $1.162 $0 $1.162 $1.166 $0 $1.166 $1.222 $0 $1,222 $1,209 $0 $1.209 Grand Total $53,712 $4,075 $57,787 $54,177 $2,750 $56,927 $56,848 $275 $57,123 $57,609 $2,275 $59,884 $58,813 $425 $59,238 Annual Assessment Rate Per ERU $59.81 $58.92 $59.12 $61.98 $61.31 Current Maximum Rate $40.82 $40.82 $40.82 $40.82 $40.82 Difference $18.99 $18.10 $18.30 $21.16 $20.49 Ronald McLemore April 12, 2007 Page 6 Table 7 provides the minimum, maximum and average budgets and corresponding assessment rates for the Oak Forest Wall maintenance assessment program for the five year period. Table 7 Oak Forest Proforma Maintenance Budgets and Assessment Rates Minimum, Maximum and Average Account Description of Expenditures Minimum Average Maximum Number Budget Budget Budget 53111 Legal $0 $0 $0 53211 Administration Fees $13,905 $14,825 $14,752 53410 Billing Services Cost $350 $350 $350 53411 Bank Service Charges $0 $0 $0 53680 Unrecognized Gain/Loss $0 $0 $0 54210 Postage $0 $300 $1,500 54310 Utility Services $2,000 $2,180 $2,400 54682 Repairs & Maint - Grounds $21,000 $20,800 $21,000 54695 Repairs & Maint - Signs/Walls $5,000 $4,600 $4,500 55230 Clerk Supplies $50 $50 $50 55270 Small Tools & Equipment $0 $0 $0 59130 Transfer to General Fund - Insurance $1,575 $1,645 $1,725 59130 Transfer to General Fund - Clerk Fees * $2,000 $1,980 $2,000 59130 Transfer to Gen Fund - Beautification Coord. $8,000 $8,080 $8,500 59310 Statutory Reserve $1,885 $1,961 $1,885 Notice Costs $0 $234 $0 Tax Collector Costs $1,162 $1,188 $1,222 Grand Total $56,927 $58,193 $59,884 Annual Assessment Rate Per ERU $58.92 $60.23 $61.98 Current Maximum Rate $40.82 $40.82 $40.82 Difference $18.10 $19.41 $21.16 Table 8 provides a cash flow analysis for Oak Forest Wall maintenance assessment program for the five-year period assuming the City imposes the average maintenance assessment rates for the five years. Table 8 Oak Forest Wall Proforma Cash Flow Analysis Fiscal Year 2007-08 through 2011-12 Revenue @ average rate -rounded up Budget Difference FY07-08 $58,938 $57,787 $1,151 FY08-09 $60,089 $56,927 $3,162 FY09-10 $62,100 $57,123 $4,978 FY10-11 $63,916 $59,884 $4,032 FYll-12 $62,970 $59,238 $3,732 Ronald McLemore April 12, 2007 Page 7 Table 9 provides the maximum annual capital assessment rates for the Oak Forest Wall capital assessment program. Table 9 Oak Forest Wall Maximum Capital Assessment Rates Maximum Annual Debt Service $51,505 $5,264 $3,573 $60,342 847 $71.22 $72.00 Professional Fees Collection Costs (Statutory Discount and Tax Collector Costs) Total Annual Assessment Amount Number of ERUs Annual Assessment AmountjERU Rounded Annual Assessment AmountjERU Because all of these proforma rates exceed the maximum rates established by the City for these assessment programs, the imposition of these proforma rates will require the City to send first class mailed notices to all affected property owners regarding the annual and maximum rates to be imposed; these mailing costs have been included in the proforma budgets. The notices would need to be mailed 20 days prior to the public hearing to adopt the annual assessment resolutions. Table 10 provides the schedule for Fiscal Year 2007-08. Table 10 Fiscal Year 2007-08 Assessment Schedule EVENT DATE GSG presents proforma rates to City Commission April 25, 2007 GSG mails out notices May 8, 2007 City to Publish Notice of Hearing to Adopt Annual May 8, 2007 Resolution City adopts annual assessment resolution May 29, 2007 GSG Certifies Assessment Roll to Tax Collector By September 15, 2007 Tax Bill Mailed November 1, 2007 GSG is available to meet with you, City staff and elected officials to explain the streamlining process and results at your convenience. If you have any questions or need additional information, please call me. Sincerely, ~lQk (?~ Camille P. Tharpe cc: Chris Traber, NGN Mark Brown, GSG ATTACHMENT 2 CURRENT AND PROPOSED ASSESSMENT RATES ATTACHMENT 2 Winter Springs Oak Forest Assessment Program FY 2007-2008 thru FY 2011-2012 CURRENT FY 2006-2007** PROPOSED FY 2007-2008 thru FY 2011-2012 Assessment Increase Maintenance $40.82 $63.00 $22.18 Improvements $71.00 $72.00 $1.00 Total $111.82 $135.00 $23.18 ** Please note that the FY 2006-2007 Assessment Rates are currently being charged at the maximum rates allowable by Resolutions No. 2000-10 and No. 2004-42 adopted by City Commission on May 10,2000 and September 20,2004, respectively. ATTACHMENT 3 FORM OF PUBLISHED NOTICE To Be Published on or before May 8, 2007 [MAP OF OAK FOREST ASSESSMENT AREA] NOTICE OF HEARING TO INCREASE CAPITAL AND MAINTENANCE ASSESSMENTS Notice is hereby given that the City Commission of Winter Springs, Florida, will conduct a public hearing to consider increasing the Capital Assessments imposed in the Oak Forest Assessment Area, as shown above, from $71.00 per Benefit Unit to $72.00 per Benefit Unit and increasing the Maintenance Assessments imposed in the Oak Forest Assessment Area, as shown above, from $40.82 per Benefit Unit to $63.00 per Benefit Unit. The public hearing will be held at 5:15 PM on May 29,2007, in the City Hall - Commission Chambers, Winter Springs, Florida. In accordance with the Americans with Disabilities Act, persons needing a special accommodation or an interpreter to participate in this proceeding should contact the City Clerk's office at (407) 327-1800 at least 48 hours prior to the date of the hearing. All affected property owners have a right to appear at the hearing and to file written objections with the City Commission within 20 days of this notice. Any person wishing to appeal any decision of the City Commission with respect to any matter considered will need a record and may wish to ensure that a verbatim record is based. The assessments are imposed to fund capital and maintenance costs for the privacy wall serving the Oak Forest Assessment Area. The project is referred to as the Oak Forest Subdivision Wall. The assessment for each parcel of property within the Oak Forest Assessment Area is based upon the parcel's proximity to the privacy wall measured in "Benefit Units." The assignment of Benefit Units is based on the level of benefit each lot receives from aesthetic and subdivision identity (all lots), noise abatement (lots with the majority of their area within 600 feet of the Oak Forest Subdivision Wall) and glare abatement (lots that abut the Oak Forest Subdivision Wall). A more specific description is set forth in the Initial Assessment Resolution and Final Assessment Resolution adopted by the City Commission on April 10, 2000 and May 10, 2000, respectively. Copies of the Initial Assessment Resolution, Final Assessment Resolution, the plans and specifications for the project, and the assessment rolls are available for inspection at the offices of the City Manager, located at 1126 East State Road 434, Winter Springs, Florida. Annual capital and maintenance assessments to fund the Oak Forest Subdivision Wall are being collected on the ad valorem tax bill for a period of 30 years, commencing with the tax bill mailed in November 2000. Failure to pay the assessments will cause a tax certificate to be issued against the property which may result in a loss of title. Future annual capital assessments may be prepaid at the option of the property owner. However, future annual maintenance assessments may not be prepaid. If you have any questions, please contact the City of Winter Springs Urban Beautification Manager at (407) 327-1800 extension 315. ATTACHMENT 4 FORM OF MAILED NOTICE NOTICE OF HEARING TO INCREASE CAPITAL AND MAINTENANCE ASSESSMENTS ,2007 [Property Owner Name] [Street Address] [City, State and zip] Re: Tax Parcel Number [Insert Number] Benefit Units [Insert Number] Oak Forest Assessment Area Dear Property Owner: Notice is hereby given that the City Commission of Winter Springs, Florida, will conduct a public hearing to consider increasing the Capital Assessments imposed in the Oak Forest Assessment Area, from $71.00 per Benefit Unit to $72.00 per Benefit Unit and increasing the Maintenance Assessments imposed in the Oak Forest Assessment Area, from $40.82 per Benefit Unit to $63.00 per Benefit Unit. The Oak Forest Assessment Area has been created to provide a privacy wall and related improvements. The project to construct the privacy wall is referred to as the Oak Forest Subdivision Wall. The construction and maintenance costs of the Oak Forest Subdivision Wall are funded by assessments against the property located within the Oak Forest Assessment Area. The construction and maintenance assessments for each parcel of property are based on its proximity to the Oak Forest Subdivision Wall measured in "Benefit Units." The assignment of Benefit Units is based on the level of benefit each lot receives from aesthetic and subdivision identity (all lots), noise abatement (lots with the majority of their area within 600 feet of the Oak Forest Subdivision Wall) and glare abatement (lots that abut the Oak Forest Subdivision Wall). A more specific description of the assessment program is set forth in the Initial Assessment Resolution and Final Assessment Resolution adopted by the City Commission on April 10, 2000 and May 10, 2000, respectively. Copies of the Initial Assessment Resolution, Final Assessment Resolution, the plans and specification for the Oak Forest Assessment Area, and the assessment rolls including the capital and maintenance assessments are available for your review at the offices of the City Manager, located at 1126 East State Road 434, Winter Springs, Florida. Annual capital and maintenance assessments to fund the Oak Forest Subdivision Wall are being collected on the ad valorem tax bill for a period of 30 years, commencing with the tax bill mailed in November 2000. Failure to pay the assessments will cause a tax certificate to be issued against the property which may result in a loss of title. Future annual capital assessments may be prepaid at the option of the property owner. However, future annual maintenance assessments may not be prepaid. The City Commission will hold the public hearing at 5: 15 PM on May 29, 2007, in the City Hall - Commission Chambers, Winter Springs, Florida, for the purpose of receiving comments on the increase in Capital and Maintenance Assessments. You are invited to attend and participate in the hearing. You may also file written objections with the City Commission prior to or during the hearing. If you decide to appeal any decision made by the City Commission with respect to any matter considered at the hearing, you will need a record of the proceedings and may need to ensure that a verbatim record is made, including the testimony and evidence upon which the appeal is to be based. In accordance with the Americans with Disabilities Act, if you need a special accommodation or an interpreter to participate in this proceeding, please contact the City Clerk's office at (407) 327-1800 at least 48 hours prior to the date of the hearing. If you have any questions, please contact the City of Winter Springs Urban Beautification Manager at (407) 327-1800 extension 315. Date: April 23, 2007 The attached was referenced during the discussion of Regular Agenda Item "601" and Regular Agenda Item "602" at the April 23, 2007 City Commission Regular Meeting. ss s pub}ic sector fUl'}(;(f113 &(service sOlutions GOVERNMENT SERVICES (jROUP,JNC. April 20, 2007 Via Electronic Transmission Ronald McLemore, City Manager City of Winter Springs 1126 East SR 434 Winter Springs, FL 32708 Re: City of Winter Springs - Assessment Rate Analysis for Tuscawllla Lighting and Beautification District Phases One and Two and Oak Forest Wall Neighborhood Improvement Assessment Program Dear Ron: Over the past eight years or more, Government Services Group, Inc. (GSG) has assisted the City of Winter Springs (City) in developing and maintaining the non-ad valorem assessment programs to fund the following: · Tuscawilla Lighting and Beautification District (TLBD) - Phase One: Capital Improvements and Ongoing Maintenance Services · Tuscawilla Lighting and Beautification District (TLBD) - Phase Two: Capital Improvements and Ongoing Maintenance Services · Oak Forest Wall Neighborhood Improvement Area - Capital Improvements and Ongoing Maintenance Services As these programs have been in place for several years, GSG recommended that the City review and analyze methods to develop an integrated and streamlined program for both the TLBD Phase One and TLBD Phase Two assessment programs, as well as the Oak Forest Wall Neighborhood Improvement assessment program. This correspondence provides the results of the preliminary analysis and includes five-year annual assessment rates and the minimum, maximum and average assessment rates for the maintenance services component of all three programs. The analysis also provides a revised maximum annual capital assessment rate for all three programs. The first step in streamlining the process was to determine the feasibility of combining the TLBD Phase One and Two assessment programs. While it was feasible to combine the maintenance assessment programs, it was not feasible to combine the two capital assessment programs. The reason the capital assessment programs could not be combined was because although both programs initially started with the same parcels of property, different property owners have chosen to prepay their capital assessment amounts; therefore, the current databases contain different property owners based on if they prepaid or not. Mahon Drive. Suite 250 ! Tallstlassee fL 32~i08 I T 85CL68J 3717 F 850,224 720G 28() ~Vek;va H9i:'ld. Suite 2000 i Longwoocl FL. 32/i'9d026 i T 40T629,bC!OO ! F 407,6.;',,1,6963 Ronald Mclemore April 20, 2007 Page 2 There is no ability to prepay the maintenance assessment so all the same property owners are subject to the annual assessment rates for maintenance services. The next step in streamlining the process was to develop five-year proforma maintenance budgets. The TlBD Phase One and Two maintenance bJdgets were combined beginning Fiscal Year 2007-08. City staff provided preliminary five-year maintenance budgets for the programs which GSG reviewed and revised for additional costs. The five-year budget for the combined TlBD maintenance assessment program and annual assessment rates are provided in Table 1. Table 1 nBD Proforma Maintenance Budgets and Assessment Rates FIscal Vear 2007-G& through 20U.12 Account Baseline New Totel Besellne New Totel Baseline New Total Ba.ellne New Total B_lIne New Total Number Description of Expenditures FY07-<J& FY07-<J8 FY07-<J& FY08-<J9 FY08-<J9 FYO&-<J9 FY09-10 FY 09-10 FY09-lO FY10-11 FY 10-11 FY10-11 FY11-12 FYU-12 FYU-12 Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget 53180 Consultant Services $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 53211 Assessment Services $9,316 $0 $9,316 $9,596 $0 $9,596 $9,884 $0 $9,884 $10,180 $0 $10,180 $10,689 $0 $10,689 53410 Contractual Services Cost $1,500 $100 $1,600 $1,600 $0 $1,600 $1,600 $0 $1,600 $1,600 $100 $1,700 $1,700 $0 $1,700 53411 Bank Service Charges $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 53680 Unrecognized Gain/Loss $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 54210 Postage $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $5,500 $5,500 $0 $0 $0 54310 Utility Services $45,000 $0 $45,000 $45,000 $1,000 $46,000 $46,000 $1,000 $47,000 $47,000 $1,000 $48,000 $48,000 $1,000 $49,000 54330 Street Lighting $45,000 $162,000 $207,000 $197,000 $19,700 $216,700 $216,700 $10,635 $227,535 $227,535 $11,500 $239,035 $239,035 $12,000 $251,035 54686 Repairs & Maint - Landscape $135,000 $0 $135,000 $135,000 $0 $135,000 $135,000 $0 $135,000 $130,000 $5,000 $135,000 $135,000 $5,000 $140,000 54693 Repairs & Maint ~ Fountains $20,000 $0 $20,000 $20,000 $20,000 $20,000 $25,000 $45,000 $20,000 $0 $20,000 $20,000 $5,000 $25,000 54695 Repairs & Maint - Signs & Walls $20,000 $15,000 $35,000 $20,000 $30,000 $50,000 $20,000 $30,000 $50,000 $20,000 $0 $20,000 $20,000 $0 $20,000 55230 Clerk Supplies $100 $0 $100 $100 $0 $100 $100 $0 $100 $100 $0 $100 $100 $0 $100 59130 Transfer to General Fund -Insurance $6,400 $0 $6,400 $6,400 $100 $6,500 $6,500 $300 $6,800 $6,800 $300 $7,100 $7,100 $400 $7.500 59130 Transfer to General Fund - Clerk Fees' $3,800 $0 $3,800 $3,800 $200 $4,000 $4,000 $0 $4,000 $4,000 $0 $4.000 $4,000 $0 $4,000 59130 Transfer to Gen.Fund . Beautification $41,000 $0 $41,000 $41,000 $2,000 $43,000 $43,000 $0 $43,000 $43,000 $1.000 $44,000 $44,000 $1.000 $45,000 59310 Statutory Reserve $14,494 $0 $14,494 $22,187 $0 $22,187 $23,747 $0 $23,747 $22,276 $0 $22,276 $23,084 $0 $23.084 Notice Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Tax Collector Costs $7,099 $0 $7,099 $10,867 $0 $10,867 $11,631 $0 $11,631 $10,911 $0 $10,911 $11,307 $0 $11.307 Less Carry Forward from TLBD II ($156,364) Grand Totel $348,709 $177,100 $369,445 $512,551 $53,000 $565,551 $538,162 $67,135 $605,297 $543,401 $24,400 $567,801 $564,015 $24,400 $588,415 Annual Asae..mentRate Per ERU $85.94 $131.55 $140.80 $132.0& $136.87 Maximum Rate $115.82 $115.82 $115.82 $115.82 $115.82 Difference ($29.88) $15.73 $24.9& $16.26 $21.05 Ronald McLemore April 20, 2007 Page 3 Table 2 provides the minimum, maximum and average budgets and corresponding assessment rates for the combined TLBD maintenance assessment program for the five year period. Table 2 TLBD Proforma Maintenance Budgets and Assessment Rates Minimum, Maximum and Average Account Number Description of Expenditures Minimum Average Maximum Budget Budget Budget 53180 Consultant Services $0 $0 $0 53211 Assessment Sp.rvir.p.s $0,316 $9,933 $9,884 53410 Contractual Services Cost $1,600 $1,640 $1,600 53411 Bank Service Charges $0 $0 $0 53680 Unrecognized Gain/Loss $0 $0 $0 54210 Postage $0 $1,100 $0 54310 Utility Services $45,000 $47,000 $47,000 54330 Street Lighting $207,000 $228,261 $227,535 54686 Repairs & Maint - Landscape $135,000 $136,000 $135,000 54693 Repairs & Maint - Fountains $20,000 $26,000 $45,000 54695 Repairs & Maint - Signs & Walls $35,000 $35,000 $50,000 55230 Clerk Supplies $100 $100 $100 59130 Transfer to General Fund -Insurance $6,400 $6,860 $6,800 59130 Transfer to General Fund - Clerk Fees* $3,800 $3,960 $4,000 59130 Transfer to Gen.Fund - Beautification $41,000 $43,200 $43,000 59310 Statutory Reserve $14,494 $21,158 $23,747 Notice Costs $0 $0 $0 Tax Collector Costs $7,099 $10,363 $11,631 Less Carry Forward from TLBD II ($156,364) ($31,273) Grand Total $369,445 $539,302 $605,297 Annual Assessment Rate Per ERU $85.94 $125.45 $140.80 Maximum Rate $115.82 $115.82 $115.82 Difference $(29.88) $9.63 $24.98 Table 3 provides a cash flow analysis for the combined TLBD maintenance assessment program for the five- year period assuming the City imposes the average maintenance assessment rate (rounded up to the nearest dollar) at $126.00 per year for the five years. Table 3 TLBD Proforma Cash Flow Analysis FY07-08 FY08-09 FY09-10 FY10-11 FY11-12 Revenue @ average rate - rounded up $698,038 $713,903 $690,027 $626,404 $600,277 (includes carryover) Budget $525,809 $565,551 $605,297 $567.801 $588,415 Difference $172.229 $148,353 $84,730 $58.603 $11,862 Ronald McLemore April 20, 2007 Page 4 Table 4 provides the maximum annual capital assessment rate for TLBD Phase One. Table 4 TLBD Phase One Maximum Capital Assessment Rates Maximum Annual Debt Service $155,949 $5,929 $10,057 $171,936 4,017 $42.80 $43.00 Professional Fees Collection Costs (Statutory Discount and Tax Collector Costs) Total Annual Assessment Amount Number of ERUs Annual Assessment AmountjERU Rounded Annual Assessment AmountjERU Table 5 provides the maximum annual capital assessment rate for TLBD Phase Two. Table 5 TLBD Phase Two Maximum Capital Assessment Rates Maximum Annual Debt Service $30,679 $1,167 $1,742 $33,588 2,492 $13.48 $14.00 Professional Fees Collection Costs (Statutory Discount and Tax Collector Costs) Total Annual Assessment Amount Number of ERUs Annual Assessment AmountjERU Rounded Annual Assessment AmountjERU Ronald McLemore April 20, 2007 Page 5 The five-year budget for the Oak Forest Wall maintenance assessment program and annual assessment rates are provided in Table 6. Table 6 Oak Forest Wall Proforma Maintenance Budgets and Assessment Rates Rscal Year 2007-08 through 20U.12 Account Baseline New Total Baseline New Total Baseline New Total Baseline New Total Baseline New Total Number Descrlptlon of Expendltur.. FY07.08 FY07'()8 FY07'()8 FYOs.o9 FYOs.o9 FY08.()9 FY09-lO FY09-lO FY09-1O FY:l.O-11 FY:l.O-11 FY:l.O-11 FY11-12 FY11.12 FY11.12 Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget 53111 legal $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 53211 Administration Fees $9,316 $0 $9,316 $9,596 $0 $9,596 $9,884 $0 $9,884 $10,180 $0 $10,180 $10,689 $0 $10,689 53410 Billing Services Cost $300 $0 $300 $300 $50 $350 $350 $0 $350 $350 $0 $350 $350 $50 $400 53411 Bank Service Charges $0 $0 $0 $0 $0 53680 Unrecognized Gain/loss $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 54210 Postage $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,500 $1,500 $0 $0 $0 54310 Utility Services $2,800 $0 $2,800 $3,080 $200 $3,280 $3,388 $200 $3,588 $3,727 $200 $3,927 $4,099 $100 $4,199 54682 Repairs & Maint - Grounds $17,000 $3,000 $20,000 $20,000 $1,000 $21,000 $21,000 $0 $21,000 $21,000 $0 $21,000 $21,000 $0 $21,000 54695 Repairs & Maint - Sign/Walls $4,000 $500 $4,500 $4,500 $500 $5,000 $4,500 $0 $4,500 $4,500 $0 $4,500 $4,500 $0 $4,500 55230 Clerk Supplies $50 $0 $50. $50 $0 $50 $50 $0 $50 $50 $0 $50 $50 $0 $50 55270 Small Tools & EQuipment $0 $0 $0 $0 $0 59130 Transfer to General Fund - Insurance $1.350 $125 $1.475 $1.475 $100 $1,575 $1,575 $75 $1,650 $1,650 $75 $1,725 $1,725 $75 $1,800 59130 Transfer to General Fund - Clerk Fees' $1,900 $0 $1,900 $1,900 $100 $2,000 $2,000 $0 $2,000 $2,000 $0 $2,000 $2,000 $0 $2,000 59130 Transfer to Gen Fund - Beautification Coord. $6,750 $450 $ 7,200 $7,200 $800 $8,000 $8,000 $0 $8,000 $8,000 $500 $8,500 $8,500 $200 $8,700 59310 Statutory Reserve $1,981 $0 $1,981 $1,885 $0 $1,885 $1,885 $0 $1,885 $1,885 $0 $1,885 $1,885 $0 $1,885 Notice Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Tax Collector Costs $1,032 $0 $1,032 $1,099 $0 $1,099 $1,102 $0 $1,102 $1,159 $0 $1,159 $1,150 $0 $1,150 Grand Total $46,479 $4,075 $50,554 $51,085 $2,750 $53,835 $53,734 $275 $54,009 $54,500 $2,275 $56,775 $55,949 $425 $56,374 Annual Asoe..ment Rate Per ERU $52.32 $55.72 $55.90 $58.76 $58.35 Current Maximum Rete $40.82 $40.82 $40.82 $40.82 $40.82 Difference $1.1..50 $:1.4.90 $:1.5.08 $:1.7.94 $:1.7.53 Ronald McLemore April 20, 2007 Page 6 Table 7 provides the minimum, maximum and average budgets and corresponding assessment rates for the Oak Forest Wall maintenance assessment program for the five year period. Table 7 Oak Forest Proforma Maintenance Budgets and Assessment Rates Minimum, Maximum and Average Account Description of Expenditures Minimum Average Maximum Number Budget Budget Budget 53111 Legal $0 $0 $0 53211 Administration Fees $9,316 $9,933 $10,180 53410 Billing Services Cost $300 $350 $350 53411 Bank Service Charges $0 $0 $0 53680 Unrecognized Gain/Loss $0 $0 $0 54210 Postage $0 $300 $1,500 54310 Utility Services $2,800 $3,559 $3,927 54682 Repairs & Maint - Grounds $20,000 $20,800 $21,000 54695 Repairs & Maint - Signs/Walls $4,500 $4,600 $4,500 55230 Clerk Supplies $50 $50 $50 55270 Small Tools & Equipment $0 $0 $0 59130 Transfer to General Fund - Insurance $1,475 $1,645 $1,725 59130 Transfer to General Fund - Clerk Fees * $1,900 $1,980 $2,000 59130 Transfer to Gen Fund - Beautification Coord. $7,200 $8,080 $8,500 59310 Statutory Reserve $1,981 $1,905 $1,885 Notice Costs $0 $0 $0 Tax Collector Costs $1,032 $1,109 $1,159 Grand Total $50,554 $54,311 $56,775 Annual Assessment Rate Per ERU $52.32 $56.21 $58.76 Current Maximum Rate $40.82 $40.82 $40.82 Difference $11.50 $15.39 $17.94 Table 8 provides a cash flow analysis for Oak Forest Wall maintenance assessment program for the five-year period assuming the City imposes the average maintenance assessment rates(rounded up to the nearest dollar) at $57.00 per year for the five years. Table 8 Oak Forest Wall Proforma Cash Flow Analysis Fiscal Year 2007-08 through 2011.12 FY07-08 FY08-09 FY09-10 FY10-11 FY11-12 Revenue @ average rate -rounded up $55,073 $59,593 $60,832 $61,896 $60,194 (includes carryover) Budget $50,554 $53,835 $54,009 $56,775 $56,374 Difference (Rounded up) $4,520 $5,759 $6,823 $5,121 $3,820 Ronald McLemore April 20, 2007 Page 7 Table 9 provides the maximum annual capital assessment rates for the Oak Forest Wall capital assessment program. Table 9 Oak Forest Wall Maximum Capital Assessment Rates Maximum Annual Debt Service $51,505 $5,264 $3,573 $60,342 847 $71.22 $72.00 Professional Fees Collection Costs (Statutory Discount and Tax Collector Costs) Total Annual Assessment Amount Number of ERUs Annual Assessment AmounVERU Rounded Annual Assessment AmounVERU Because all of these proforma rates exceed the maximum rates established by the City for these assessment programs, the imposition of these proforma rates will require the City to send first class mailed notices to all affected property owners regarding the annual and maximum rates to be imposed; these mailing costs have been included in the proforma budgets. The notices would need to be mailed 20 days prior to the public hearing to adopt the annual assessment resolutions. Table 10 provides the schedule for Fiscal Year 2007-08. Table 10 Fiscal Vear 2007-08 Assessment Schedule EVENT DATE GSG presents proforma rates to City Commission April 25, 2007 GSG mails out notices May 8, 2007 City to Publish Notice of Hearing to Adopt Annual May 8, 2007 Resolution City adopts annual assessment resolution May 29, 2007 GSG Certifies Assessment Roll to Tax Collector By September 15, 2007 Tax Bill Mailed November 1, 2007 GSG is available to meet with you, City staff and elected officials to explain the streamlining process and results at your convenience. If you have any questions or need additional information, please call me. Sincerely, Qp~ (?~ Camille P. Tharpe cc: Chris Traber, NGN Mark Brown, GSG ATTACHMENT 2 Winter Springs Oak Forest Assessment Program FY 2007-2008 thru FY 2011-2012 Assessment Increase Maintenance $40.82 $57.00 $16.18 Improvements $71.00 $72.00 $1.00 Total $111.82 $129.00 $17.18 CURRENT FY 2006-2007** PROPOSED FY 2007-2008 thru FY 2011-2012 ** Please note that the FY 2006-2007 Assessment Rates are currently being charged at the maximum rates allowable by Resolutions No. 2000-10 and No. 2004-42 adopted by City Commission on May 10,2000 and September 20,2004, respectively.