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HomeMy WebLinkAboutOak Forest Wall Assessment Project Whitie Paper Analysis June 1997 CI TY OF WINTER SPRINGS OAK FOREST WALL ASSESSMENT PROJECT WHITE PAPER A11lAL YSIS June 1997 Presented by: Government Services Group, Inc. 315 South Calhoun Street Barnett Bank Building, Suite 860 Tallahassee, Florida 32301 Nabors, Giblin ~ Nickerson, P.A. 315 South Calhoun Street Barnett Bank Building, Suite 800 Tallahassee, Florida 32301 " ~ CITY OF WINTER SPRINGS OAK FOREST WALL ASSESSMENT PROJECT WHITE PAPER ANALYSIS TABLE OF CONTENTS Paae Executive Summary i Introduction i Objectives ii Apportionment Methodology ii Preliminary Estimated Annual Assessment Rates iv Remaining Issues v Next Steps vi Assessment Analysis 1 Introduction 1 Objectives 2 Study Methodology ~ Project Background ~ Assessable Costs Calculations 4 Special Beneft Assumptions 5 Apportionment Methodology 5 Estimated Assessments $ Legal Sufficiency Conclusion 10 Analysis 10 Legal Sufficiency Conclusion 12 Development and Implementation Phases 14 Next Steps 14 Development and Implementation Time Frame 14 Appendices Appendix A Correspondence from Pardue, Heid, Church, Smith & Waller, Inc. re: Real Estate Appraisal Research Appendix B Correspondence from Conklin, Porter and Holmes, Inc. re: Engineering Research Appendix C Map of Oak Forest Subdivision and Delineation of Benefit Areas Appendix D Preliminary Assessment Roll Appendix E Sample Ballot Appendix F Public Information GOVERNMENT SERVICES GROUP and NABORS, GIBL/N 6 NICKERSON, P.A. I ~~ INDEX OF TABLES 3 Paae Table 1 Estimated Annual Assessment Rates v Table 2 Total Construction Costs 4 Table 3 Total Assessable Costs 5 Table 4 Lots and Benefit Units 8 Table 5 Estimated Prepayment and Assessment Rates 9 Table 6 Estimated Annual Assessment Rates 9 GOVERNMENT SERVICES GROUP and NABORS, GIBLIN 6 NICKERSON, P.A. II ~~ ~~ EXECUTIVE SUMMARY Government Services Group, Inc. ("GSG") is a firm that INTRODUCTION specializes in providing management consulting services to local governments utilizing computer based technology and process oriented analysis. GSG is also affiliated with Nabors, Giblin & Nickerson, P.A. ("NG&N"), a law firm dedicated to the representation of local governments on issues of finance and taxation. Both firms have collectively developed a special expertise in structuring and implementing alternative revenue sources in Florida. The City of Winter Springs (the "City") has entered into a professional services agreement with GSG and NG&N to provide specialized services in the development and implementation of a non-ad valorem assessment program to fund the costs of building- and maintaining an architectural wall requested by the residents of the Oak Forest subdivision in response to the Tuskawilla Road widening project (tfie "Oak Forest Wa11 Assessment Project"). Also as part of this project, the City engaged the services of Pardue, Heid, Church, Smith & Waller, Inc. ("PHCSW"), an Orlando based real estate appraisal firm and Conklin, Porter and Holmes Engineers, Inc. ("CPH"), an engineering flan also located in Orlando. The professional services agreement contemplates that the Oak Forest Wall Assessment Project will be accomplished in three phases: • Phase I: Structure • Phase Il: Development • Phase III: Implementation This document constitutes the Phase I deliverable whicfi is a preliminary white paper analysis of the Oak Forest Wall Assessment Project and provides (i) the estimated cost calculations, (ii) the conceptual description of the apportionment methodology, (iii) development of a public information brochure and ballot to be mailed to each affected property owner, (iv) a legal sufficiency overview and (v) a critical events schedule for subsequent phases. This preliminary white paper analysis is intended to provide the City with adecision- making- tool useful in proceeding to the development and implementation phases. All assessment rates contained within this paper are estimates. This white paper analysis is intended to focus on methodology; rates are provided to establish a practical context to the methodology. Final numbers will be derived in the development and implementation phases through analysis of detailed, parcel specific data. GOVERNMENT SERVICES GROUP and NABORS. GlBLIN b M/CKERSON, P.A. I ~~ The City has retained GSG and NG&N to develop a special OBJECTIVES assessment program capable of funding the assessable costs associated with the building and maintaining of the Oak Forest Wall Project as an annual recurring assessment program to be collected on the ad valorem tax bill as provided in section 197.3f32, Florida Statues (the "Uniform Method"). It is expected that the actual imposition of the special assessments will commence in Fiscal Year 2000-01. The Uniform Method necessarily requires the use of data available on the ad valorem tax roll. Accordingly, the challenge for local government is to develop anon-ad valorem assessment program which employs property information that is readily available or reasonably should be included and consistently updated on the ad valorem tax roll. To this end, GSG and NG8~N have been charged to use the City's estimates of the cost of the improvements and maintenance services to be provided, develop a fair and reasonable apportionment methodology for such assessable costs and calculate preliminary assessment rates. The objectives of this initial effort were to: • Provide the estimated assessable cost calculations for the proposed- project. • Develop a conceptual description of the proposed apportionment methodology. • Calculate preliminary rates based on the proposed apportionment methodology and assessable cost calculations. • Develop anon-binding ballot and a public information brochure to be mailed to each affected property owner to assist in gauging homeowner support. • Provide a legal sufficiency overview. • Develop a schedule for subsequent phases. All parcels within the Oak Forest Subdivision benefit from the APPORTIONMENT construction of the architectural quality wall. However, METHODOLOGY dependent on each parcel's geographic location in relation to the wall, each parcel will benefit in varying degrees from the wall construction based on the following three components: • Beautification or aesthetics • Noise attenuation • Glare abatement GOVERNMENT SERVICES GROUP end NABOBS, G/BLIN 6 NICKERSON, P.A. II Beautification Component PHCSW investigated the sales of single family homes within subdivisions providing privacy walls and those without privacy walls, particularly those of both types situated within developments along four-lane thoroughfares. The research included both new and existing home sales from January 1995 through the present and included may areas of Seminole and Orange counties. This results of this research are documented in correspondence to the City dated June 9, 1997 and provided as Appendix A. Based on the research conducted by PHCSW, of measurable differences between sales of single family residences with and without privacy walls, it was determined that given comparable featured single family homes, those with privacy walls tended to sell for a higher price than those without such a feature. Further, it was concluded that the impact on the market value of the single family residences is reflected on both in#erior homesites, as well as those immediately abutting the wall based on the aesthetic appeal to the overall subdivision. - Noise Attenuation CPH reviewed the noise attenuation impacts resulting from the construction. of the proposed wall along the western right-of--way of Tuskawilla Road. The results of the review by CPH are provided as Appendix B. Noise penetration can be stopped by any form of solid material which blocks the line of sight between the noise source and the receptors. The noise is deflected upward and a zone is created behind the barrier wherein the noise levels are reduced. The placement of a barrier cuts off the direct path of the noise and works as a deflection device. Research by the City's engineer did not reveal specific literature on the sound attenuation benefits of a six foot high wall along an urban highway. However, any attenuation will provide positive effects. Traffic noise produces varying human reactions. The physical factor of noise is not, in itself, a good predictor of public annoyance. For example, the reaction is usually less, if the noise source is hidden from view. Based on engineering literature and research, the positive effects of the wall sound attenuation extend from the wall back a maximum distance of 600 feet from the right-of- way line. The noise attenuation is based on the fact that barrier is present versus its absence. With the attenuation provided by the wall, the noise is reduced to ambient levels at approximately 36 feet from the wall compared to approximately 600 feet without any attenuation. Accordingly, a reduction in noise resulting from traffic on a four-lane road is experienced in a geographic zone extending up to a maximum 600 feet from the right-of-way line. GOVERNMENT SERVICES GROUP and NABOBS, G/BLIN 6 NlCKERSON, P.A. III `i~ ~ Glare Abatement CPH also conducted an analysis of the light attenuation impacts of the proposed wall; this analysis is also included in Appendix B. The proposed grade for the Tuskawilla road widening project will remain unchanged and the wall will be placed at the west right-of--way line of the road. Because the roadway grade is relatively flat in this area, it is expected that direct light on the homes within the subdivision would be created by turning movements on and off Tuskawilla Road. Based on Florida Department of Transportation literature, it is expected that the proposed wall will create an opaque visual barrier which will eliminate the direct light created by vehicle headlights. A low beam headlight loses its light intensity in approximately 500 feet without any blockage of the beam. However, the beams will be blocked by other houses in the absence of any wall. Therefore, reduction in low level lights that emanate from the roadway (vehicle headlights) would only be expected to benefit those parcels immediately adjacent to the wall. Accordingly, the assessable costs of the Oak Forest Wall Project are proposed to be apportioned based on the aforementioned factors.. Each parcel of property within the Oak Forest subdivision will benefit equally based on the beautification and recognition components. Parcels within the geographic area located approximately 600 feet. from the wall will also be assessed based on the noise attenuation component. Finally, those parcels that directly abut the wall will also be assessed based- on the glare abatement component. A map depicting the various zones of benefit is provided. as Appendix C. An assessment for any given parcel would be calculated by multiplying the number of dwelling units (developed and undeveloped) contained on the parcel by the aesthetic component factor, the noise attenuation component factor and glare abatement component factor to determine the number of equivalent benefit units. PRELIMINARY All of the information regarding the costs of constructing and ESTIMATED financing the Oak Forest Wall Project have been provided by ANNUAL the City in conjunction with the City's Financial Advisor. Based ASSESSMENT on the assessable costs of the Oak Forest Wall Project and the RATES application of the recommended apportionment methodology, Table 1 provides the preliminary annual assessment rate per equivalent benefit unit. GOVERNMENT SERVICES GROUP and NABORS, GIBLIN 6 N/CKERSON, P.A. IV < TABLE 1 } ESTIMATED ANNUAL ASSESSMENT RATES Capital/ Maintenance Costs Maintenance Costs Maximum Annual Debt Service $30,000 nnual Debt Service/Equiv Benefit Unit $30.92 Annual Maintenance/Replacement Costs $8,500 $8,500 nnual Maintenance Cost/Equiv Benefit Unit $8.76 $8.76 nnual Assessment Admin/CoHection Costs- $8.54 $7.93 Statutory Discount $2.01 . $0.70 Annual AssessmenUEquivatent Benefit Unit $Sa.24 $17.39 GSG and NG&N have identified the following issues relating to the REMAINING Oak .Forest Wall Project assessments that will require further ISSUES consideration with respect to the estimated parcel cost. 1 Issue 7. Tracts of Unplatted, Undeveloped Land GSG has confirmed with the City Planning Department that all buildable residential parcels are platted or only capable to supporting. a single dwelling unit. GSG identified approximately ten parcels of land, within the Oak Forest Subdivision which are currently unplatted and undeveloped. Some of the parcels of land were identified. as submerged land or lakes by the property use assigned by the Seminole County Property Appraiser. This assignment of use was also confirmed by the City's Planning Department. The other parcels of property have been identified as right-of--way easements or greenbelt drainage and conservation easements or properties by the City's Planning Department. Based on that identification, the City Planning Department has determined that all unplatted, undeveloped tracts of land located within the Oak ,Forest Subdivision are unbuildable. Because the benefits emanating- from the wall are focused upon residential uses, it is recommended that the City not impose special assessments against these tracts of land. Issue 2. Undeveloped, Platted Properties In contrast to those properties described in Issue 1, there are three properties containing a single platted lot within the Oak Forest Subdivision and assigned the GOVERNMENT SERVICES GROUP and NABORS, G/BLIN 6 NICKERSON, P.A. V ,~ " ~ vacant residential property use by the Seminole County Property Appraiser. These properties are considered buildable and thus should receive a special assessment based on their assignment of the various apportionment methodology factors. Issue 3. Owners of Multiple Properties There are a few property owners within the Oak Forest Subdivision who own .more than one parcel of property. Each of these properties will be treated individually with respect to the application of the apportionment methodology and voting ability. Specifically, each parcel will receive an individual assessment and a voting right. Issue 4. Pre-payment of Construction Costs The estimated assessment rates provided within this white paper analysis include the pre-payment amount for property owners who may choose to pre-pay the "capital" amount of the assessment and avoid the financing costs. Please note that although the capital component of the assessment rates can be pre-paid, each property owner will be subject to an annual recurring assessment rate to fund the annual maintenance and replacements costs of the Oak Forest Wall Project. If a property owner does not pre- pay, the owner's annual assessment rate will include the financed capital component costs plus the maintenance costs. Subsequent sections of this white paper analysis provide detailed NEXT STEPS information regarding the necessary development and . implementation steps required by Florida Statutes in order to collect the special assessments on the ad valorem tax roll. However, prior to undertaking of these development and implementation phases, the City has determined it necessary to obtain extraordinary, non-binding input from the property owners who would benefit from the construction of the Oak Forest Wall Project and who may be subject to the special assessment. Provided as Appendix D is a preliminary assessment roll with a list of property owners, an indication of each property's assignment based on the proposed apportionment methodology and the estimated pre-payment amount and annual assessment rate for both capital costs for those property owners who choose not to pre-pay the assessment amount prior to financing of the construction of the wall and maintenance costs for all property owners. In order to gain public input regarding the proposed special assessment program, a sample ballot is provided as Appendix E which is tentatively scheduled for mailing by July 14, 1997. The ballots are due by July 24, 1997 and the results of the ballot are expected to be tabulated by the City by July 25, 1997. In order to provide the best available information, GSG and NG&N, in conjunction with the Oak Forest Homeowners Association and the City Manager, have developed a public information question and answer sheet provided as Appendix F. GOVERNMENT SERVICES GROUP and NABORS, G/BLIN 6 N/CKERSON, P.A. VI ASSESSMENT ANALYSIS Government Services Group, Inc. ("GSG") is a firm that INTRODUCTION specializes in providing management consulting services to local governments utilizing computer based technology and process oriented analysis. GSG is also affiliated with Nabors, Giblin & Nickerson, P.A. ("NG&N"), a law firm dedicated to the representation of local governments on issues of finance and taxation. Both firms have collectively developed a special expertise in structuring and implementing alternative revenue sources in Florida. The City of Winter Springs (the "City") has entered into a professional services agreement with GSG and NG&N to provide specialized services in the development and implementation of a non-ad valorem assessment program to fund the costs of building and maintaining an architectural wall requested by the residents of the Oak Forest subdivision in response to the Tuskawilla Road widening project (tfie "Oak Forest Wall Assessment Project"). Also as part of this project, the City engaged the services of Pardue, Heid, Church, Smith & Waller, Inc. ("PHCSW"), an Orlando based real estate appraisal firm and Conklin, Porter and Holmes Engineers, Inc. ("CPH"), an engineering firm also located in Orlando. The professional services agreement contemplates that the Oak Forest Wall Assessment Project will- be acc®mplished in three phases: • Phase I: Structure • Phase II: Development • Phase III: Implementation This document constitutes the Phase I deliverable which is a preliminary white paper analysis of the Oak Forest Wall Assessment Project and provides (i) the estimated cost calculations, (ii) the conceptual description of the apportionment methodology, (iii) development of a public information brochure and ballot to be mailed to each affected property owner, (iv) a legal sufficiency overview and (v) a critical events schedule for subsequent phases. This preliminary white paper analysis is intended to provide the City with adecision- making tool useful in proceeding to the development and implementation phases. All assessment rates contained within this paper are estimates. This white paper analysis is intended to focus on methodology; rates are provided to establish a practical context to the methodology. Final numbers will be derived in the development and implementation phases through rigorous analysis of detailed, parcel specific data. GOVERNMENT SERVICES GROUP end NABOBS, GIBLIN 6 NlCKERSON, P.A. ~ '~ ) The City has retained GSG and NG&N to develop a special OBJECTIVES assessment program capable of funding the assessable costs associated with the building and maintaining of the Oak Forest Wall Project as an annual recurring assessment program to be collected on the ad valorem tax bill as provided in section 197.3632, Florida Statues (the "Uniform Method"). It is expected that the actual imposition of the special ' assessments will commence in Fiscal Year 2000-01. The Uniform Method necessarily requires the use of data available on the ad valorem tax roll. Accordingly, the challenge -for local government is to develop anon-ad valorem assessment program which employs property information that is readily available or reasonably should be included and consistently updated on the ad valorem tax roll.. To this end, GSG and NG8~N have been charged to use the City's estimates of the cost of the improvements and maintenance services to be provided, develop a fair and reasonable apportionment methodology for such assessable costs and calculate preliminary assessment rates. The objectives of this initial effort were to: • Provide the estimated assessable cost calculations for the proposed project. • Develop a conceptual description of the proposed- apportionment methodology. • Calculate preliminary rates based on the proposed apportionment methodology and assessable cost calculations. • Develop a ballot and a public information brochure to be mailed to each affected property owner to assist in gauging homeowner support. • Provide a legal sufficiency overview. • Develop an implementation schedule for subsequent phases. STUDY GSG and NG&N performed the following tasks in accomplishing METHODOLOGY the project objectives: • Analyzed the ad valorem tax roll information from the Property Appraiser • Using the County's geographic information systems ("GIS") files, verified all platted lots and tracts within the subdivision and confirmed that the affected lots conform to the single family residential use GOVERNMENT SERVICES GROUP and NABOBS, G/BLIN & NlCKERSON, P.A. 2 _ Coordinated the research conducted by i'HCSW and CPH to provide data necessary to develop a logical apportionment methodology • Using the proposed apportionment methodology and the GIS system, identified the parcels within the various zones of benefit, i.e., abutting the proposed wall, approximately 600 feet from the proposed wall, and the interior lots • Based on the assessable costs provided by the City and the proposed apportionment methodology, calculated preliminary annual assessment rates The residents of the Oak Forest subdivision desire to build an PROJECT architectural quality wall in response to the Tuskawilla Road BACKGROUND Widening Project and in order to preserve and enhance the value, use and enjoyment of single family parcels. The following provides a chronology of events #o date related to the Oak Forest Wall Assessment Project: On July 22, 1996, the City Commission decided that the residents would be required to pay the full cost of the construction and maintenance of the wall., and agreed to assist the residents in setting up a special assessment program to finance the Oak Forest j Wall Project. On April 14, 1997, the City Commission authorized Commissioner McLeod and the City Manager to work with the homeowners in developing a strategy for implementing the Oak Forest Wall Assessment Project. On April 14, 1997, the City Commission ,authorized the expenditure of $292,000 in 1 Infrastructure Transportation Sales Taxes to make improvements to the Tuskawilla Road Improvement Project necessary to accommodate the construction of the wall in the road right of way, and for Commissioner McLeod and the City Manager to request same of the County Commission at its April 22, 1997 meeting. On April 22, 1997, the County Commission unanimously approved the development of an interlocal agreement to allocate $292,000 from the City's share of the 1 % Local Option Infrastructure Transportation Sales Tax to make modifications to the Tuskawilla Road Widening Project to accommodate construction of the wall in the road right-of- way. This decision provided that the remaining funding for the project would be generated through special assessment proceeds. On April 28, 1997 the City Commission approved the proposal dated February 25, 1997, from GSG and NG&N to provide specialized assistance to the City in the implementation of a non-ad valorem assessment program to fund the Oak Forest Wall Project. GOVERNMENT SERVICES GROUP and NABORS, GIBL/N 6 NICKERSON, P.A. 3 k ' Description of the Parcel Composition Within the Oak Forest Subdivision, our data indicates that there are 945 parcels, of which 932 contain platted lots with a single family property use as assigned by the Seminole County Property Appraiser. Three parcels contain a single platted lot and are assigned the vacant residential property use by the Seminole County Property Appraiser. These properties are considered buildable. In addition to the 935 parcels containing platted lots, there are 10 parcels of land within the Oak Forest Subdivision which are currently unplatted and undeveloped. Some of the parcels of land were identified as submerged land or lakes by the property use assigned by the Seminole County Property Appraiser. This assignment of use was confirmed by the City's Planning Department. The other parcels of property have been identified as right-of--way easements or greenbelt drainage and conservation easements or properties by the City's Planning Department. Based - on that identification, the City Planning Department has determined that all unplatted, undeveloped tracts of land located within the Oak Forest Subdivision are unbuildable. There are a few property owners within the Oak Forest Subdivision who own more than one parcel of property. ASSESSABLE The City has determined the total estimated cost of the Oak Forest COST Wall Project to be $738,000 with the 1 % Locat Option Sales Tax CALCULATIONS financing $292,000 and the special assessments financing $446,000 as illustrated in Table 2: TABLE 2 TOTAL CONSTRUCTION COSTS Road Wall Total Improvements Improvements Sales Taxes $292,000 $292,000 Assessments $446,000 446,000 Total $292,000 . $446,000 $738,000 The following table depicts the assessable cost calculations utilized to develop the estimated annual assessment rates including the capital, maintenance and assessment program costs. These assessable costs are based on information provided by the City's Financial Advisor regarding the maximum annual debt service and by the City regarding maintenance and contingency costs. GOVERNMENT SERVICES GROUP and NABOBS, GIBLIN & NICKERSON, P.A. 4 TABLE 3 TOTAL ASSESSABLE COSTS .Capital/ Maintenance Costs Maintenance Costs Wall Improvement Costs $340,000 Contin ency $41,000 ssessment Program Costs/Admin Costs $65,000 Subtotal $446,000 Maximum Annual Debt Service $30,000 nnual Maintenance/Replacement Costs $8,500 - $8,500 Annual Assessment Admin/Collection Costs/Discount $10,235 $10,235 SPECIAL BENEFIT The following assumptions and legislative declarations ASSUMPTIONS support a finding that the construction of an aesthetic quality wall confers a special benefit on the assessed parcels. • The construction and maintenance of the Oak Forest Wall Project specially benefits all of the residential parcels, whether developed or undeveloped, by improving the exterior boundary and subdivision entrance, thus enhancing their value, use and enjoyment. Residential parcels that are located within approximately 600 feet of the Oak Forest Wall Project will receive additional special benefit from the construction of the wall by virtue of the noise attenuation resulting therefrom. • Residential parcels that abut the wall will receive a second additional special benefit from the City's construction of the wall by virtue of the reduction in glare resulting therefrom. All parcels within the Oak Forest Subdivision benefit from the APPORTIONMENT construction of the architectural quality .wall. However, METHODOLOGY dependent on each parcel's geographic location in relation to the wall, each parcel will benefit in varying degrees from the wall construction based on the following three components: • Beautification or aesthetics • Noise attenuation • Glare abatement GOVERNMENT SERVICES GROUP and NABORS, GIBLIN 6 NICKERSON, P.A.rJ .._ ~~ "~ Beautification Component PHCSW investigated the sales of single family homes within subdivisions providing privacy walls and those without privacy walls, particularly those of both types situated within developments along four-lane thoroughfares. The research included both new and existing home sales from January 1995 through the present and included may areas of Seminole and Orange counties. This results of this research are documented in correspondence to the City dated June 9, 1997 and provided as Appendix A. Based on the research conducted by PHCSW of measurable differences between sales of single family residences with and without privacy walls, it was determined that given comparable featured single family homes, those with privacy walls tended to sell for a higher price than those without such a feature. Further, it was concluded that the impact on the market value of the single family residences is reflected on both interior homesites, as well as those immediately abutting the wall based on the aesthetic appeal to the overall subdivision. Therefore, it is fair and reasonable to assign one benefit unit per lot for the beautifcation component. Noise Attenuation CPH reviewed the noise attenuation impacts resulting from the construction of the proposed wall along the western right-of--way of Tuskawilla Road. The results of the review by CPI-t are provided as Appendix B. Noise penetration can be stopped by any form of solid material which blocks the line of sight between the noise source and the receptors. The noise is deflected upward and a zone is created behind the barrier wherein the noise levels are reduced. The placement of a barrier cuts of the direct path off the noise and works as a deflection device. Research by the City's engineer did not reveal specific literature on the sound attenuation benefits of ~ six foot high wall along an urban highway. However, any attenuation will provide positive effects. Traffic noise produces varying human reactions. The physical factor of noise is not, in itself, a good predictor of public annoyance. For example, the reaction is usually less if the noise source is hidden from view. Based on engineering literature and research, the positive effects of the wall sound attenuation extend from the wall back a maximum distance of 600 feet from the right-of- way line. The noise attenuation is based on the fact that the barrier is present versus its absence. With the attenuation provided by the wall, the noise is reduced to ambient levels at approximately 36 feet from the wall compared to approximately 600 feet GOVERNMENT SERVICES GROUP and NABORS, G/BLIN 6 NICKERSON, P.A. 6 ~ "- ~ without any attenuation. Accordingly, a reduction in noise resulting from traffic on a four-lane road is experienced in a geographic zone extending up to a maximum 600 feet from the right-of--way line. Therefore, although the additional benefit resulting from noise attenuation is not precisely quantifiable, it is fair and reasonable to add 0.10 benefit unit per lot for the noise attenuation component. Glare Abatement CPH also conducted an analysis of the light attenuation impacts of the proposed wall; this analysis is also included in Appendix B. The proposed grade for the Tuskawilla road widening project will remain unchanged and the wall will be placed at the west right-of--way line of the road. Because the roadway grade is relatively flat in this area, it is expected that direct light on the homes within the subdivision would be created by turning movements on and off Tuskawilla Road. Based on Florida Department of Transportation literature, it is expected that the proposed wall will create an opaque visual barrier which will eliminate the direct light created by vehicle headlights. A low beam headlight loses its light intensity I approximately 500 feet without any blockage of the beam. However, the beams will be blocked by other houses in the absence of any wall. Therefore, reduction in low level lights that emanate from the roadway (vehicle headlights) would only be expected to benefit those parcels immediately adjacent to the wall. Therefore, although the second additional special benefit resulting from glare abatement is again not precisely quantifiable, it is fair and reasonable to add 0.15 benefit unit per lot for the glare abatement component. Summary Accordingly, the assessable costs of the. Oak Forest Wall Project are proposed to be apportioned based on the aforementioned factors. Each parcel of property within the Oak Forest subdivision will benefit equally based on the beautification component. Parcels within the geographic area located approximately 600 feet from the wall will also be assessed based on the noise attenuation component. Finally, those parcels that directly abut the wall will also be assessed based on the glare ,abatement component. An assessment for any given parcel would be calculated by multiplying the number of single family residential lots (developed and undeveloped) by the aesthetic component factor, the noise attenuation component factor and glare abatement component factor to determine the number of equivalent benefit units. GOVERNMENT SERVICES GROUP end NABORS. GIBLIN 6 NICKERSON, P.A. T i Table 4 provides the total number of lots by geographic location and resultant number of benefit units based on the proposed apportionment methodology. TABLE 4 LOTS AND BENEFIT UNITS Total Number of Lots Total Number o Benefit Units Fronta a Lots @ 1.25 BU/LOT 58 72.50 Noise Zone Lots @ 1.10 BU/LOT 206 226.60 General Lots @ 1.00 BU/LOT 671 671.00 Totat Lots/Benefit Units 935 970.10 Frontage lots are lots which directly abut the proposed wall project receiving aesthetic, noise attenuation and glare reduction benefits. Noise Zone lots are Pots that do not abut the wall, but are within 600 feet of the wall thus receiving aesthetic and noise attenuation benefits. The remaining lots are General lots which receive only aesthetic benefit. ESTIMATED . Based on the assessable costs of constructing and maintaining the ASSESSMENTS Oak Forest Wall Project, the assignment of benefit according to the proposed apportionment methodology and the number of single family residential lots, the following tables summarize the estimated assessment rates per equivalent benefit unit. Table 5provides apre-payment amount based on estimated construction costs. Table 6 provides an estimated annual assessment rate for both the capital component of the Oak Forest Wall Project after financing and the maintenance component. Please note that if any property owner chooses to pre-pay the assessment amount and avoid fnancing costs, the property owner will still be subject to the annual maintenance assessment. GOVERNMENT SERVICES GROUP and NA80RS. GlBLIN 6 NICKERSON, P.A. H -~ TABLE 5 ESTIMATED PREPAYMENT ASSESSMENT RATES Capital Costs all Improvement Costs $340,000 Contingency $41,000 ssessment Pro ram Costs/Admin Costs $65,000 Subtotal $446,000 PreFinancing-PrePmtlEquiv Benefit Unit $459.75 Frontage Lot $574.68 Noise Zone Lot $505.72 General .Lot $459.75 TABLE 6 ^- ~~ ESTIMATED ANNUAL ASSESSMENT RATES Capital/ Maintenance Costs Maintenance Costs Maximum Annual Debt Service $30,000.00 Annual Debt Service/Equiv Benefit Unit $30.92 Annual Maintenance/Replacement Costs $8,500.00 $8,500:00 Annual Maintenance Cost/Equiv Benefit Unit $8.76 $8.76 nnual Assessment Admin/Collection Costs $8.54 $7.93 Statuto Discount $2.01 $0.70 Annual Assessment/Equivalent Benefit Unit $50.24 $17.38 Frontage Lot $62.80 $21.73 Noise Zone Lot $55.26 $19.12 General Lot $50.24 $17.38 GOVERNMENT SERVICES GROUP and NA80RS, GlBL/N 6 N/CKERSON, P.A. 9 ;~' -i ~.EGAL SUFFICIENCY CONCLUSION Municipalities have the authority to impose special assessments by ANALYSIS ` ordinance pursuant to their home rule powers. City of Boca Raton v. tate, 595 So. 2d 25 (Fla. 1992). As established by case law, two requirements exist for the imposition of a valid special assessment: (1) the property assessed must derive a special benefit from the improvement or service provided, and (2) the assessment must be fairly and reasonably apportioned among the properties which receive the special benefit. (d. at 29. A special assessment may provide funding for either capital expenditures or the operational costs of services, so long as the special assessment meets these two criteria. Sarasota County v. Sarasota Church of Christ, 667 So. 2d 180, 183 (Fla. 1995). Special Benefrt Requirement The benefit required for a valid special assessment consists of more than simply an increase in market value and includes both potential increases in value in, and added use and enjoyment, of the property. Meyer v. Ciiy of Oakland Park, 219 So. 2d 417 (Fla. 1969). Furthermore, the benefit need not be determined in relation to the existing use of the property. But the benefit must be substantial, certain, and capable of being realized within a reasonable time. See City of Hallandale v. Meekins, 237 So. 2d 318 (Fla. 4th DCA 1970), ax 245 So. 2d 253 (Fla. 1974)(upholding sewer improvement special assessments imposed against vacant property, not currently using sewage service). Although not legally required,. the persuasiveness of legislative findings of both special benefit and fair apportionment have been emphasized by the Supreme Court of Florida in the recent cases of S rasQta County v. Sarasota Church of Christ. Inc., 667 So. 2d 180 (Fla. 1995); and Harris v. 11VilsQn, 22 Fla. L. Weekly 5137 (Fla. Mareh 20, 1997). The Supreme Court held in Church of Christ that "the legislative determination as to the existence of special benefits and as to the apportionment of the costs of those benefits should be upheld unless the determination is arbitrary." 667 So. 2d at 184. Similarly, in Harris v. Wilson, the Supreme Court noted that the "question of what constitutes special benefit is a matter of judgment that courts should not overturn in the absence of a clear and full showing of arbitrary action or plain abuse." 22 Fla. L. Weekly at S138 (citing .South Trail Fire Control pistrict. Sarasota County v. State, 273 So. 2d 380 (Fla. 1973)). Thus, legislative findings should be considered a critical element to any local government assessment program. The advent of gated or walled communities is a relatively recent phenomenon to Florida and no case law is available on point. However, the beautification, subdivision recognition, noise attenuation and glare reduction benefits emanating from the construction and maintenance would appear to have a logical relationship to the residential parcels in the Oak Forest Subdivision. These benefits which are peculiar to NABORS, GIBLIN Q NICKERSON, P.A. 1 O ~~- ~ the properties withn~the Oak Forest Subdivision have been substantiated by the review and research of a certified real property appraiser and civil engineer. The special benefits are: The construction and maintenance of the Oak Forest Wall Project specially benefits all of the parcels, whether developed or undeveloped, by improving the exterior boundary and subdivision entrance, thus enhancing their value, use and enjoyment; Residential properties that are located within approximately 600 feet of the Oak Forest Walt Project will receive additional special benefit from the construction of the wall by virtue of the noise attenuation resulting therefrom; and Residential properties that abut the wall will receive a second additional special benefit from the City's construction of the wall by virtue of the reduction in glare resulting therefrom. Fair And Reasonable Apportionment fdequirement An improvement which specially benefits assessed properties must also be "fairly and reasonably apportioned among the properties that receive the special benefit." Ci of Boca Raton v. State, 595 So. 2d at 29. Consequently, an improper apportionment method will defeat a special assessment even when a special benefit is otherwise available. For example, in St. Lucie County-Fort Pierce F'tre Prevention and Control District v. Higgs, 141 So. 2d 744 (Fla. 1962), the Supreme Court' invalidated fire assessments that were imposed against property because the method of apportionment was based upon the ratio of the assessed value of each property to the total value. of all property in the district; that method had no relationship to the benefits conferred. The Supreme Court in Lake County v. Water Oak Management Cori;, 22 Fla. L. Weekly S231 (Fla. May 1, 1997} (non-fnal opinion), clarified that the assessment in HIggS was invalid for failure to meet the fair apportionment test not that fire rescue services were incapable of providing a special benefit to assessed property: Specifically, the assessment in that case was actually a tax because it had been wrongfully apportioned based on the assessed value of the properties rather than on the special benefits provided to the properties. In sum, we disapproved the assessment in HIQQS based on the assessment's failure to meet the apportionment prong rather than the special benefit prong. 22 Fla. L. Weekly at S232-33. In contrast, a value-based apportionment has been upheld, in a non-residential circumstance, when a logical relationship existed between property value and the special benefit of the assessed improvement. See City of Boca Raton v. State, 595 So. NABOBS, GIBLIN 6 N/CKERSON, P.A. 11 - , F- - - APPENDIX f * * * * * BALLOT TO ASSIST IN DECISION MAKING* City of Winter Springs 1126 East S.R. 434 Winter Springs, Florida 32708 «Owner» «Street» «city» [aSequence_»] Tax Parcel # aParcel» Numerous residents within the Oak Forest Subdivision have requested that the Winter Springs City Commission install an architectural quality wall along Tuskawilla Road as a part of the County's upcoming widening project. A ballot has been sent to every landowner within the Oak Forest wall subdivision and will assist in gauging homeowner support. A special assessment to pay for the capital costs in installments over a 20 year period and annually fund landscape beautification and wall maintenance is proposed. The amount of the proposed assessments within the subdivision would be expected to vary as a result of each parcel's proximity to the proposed wall. The proposed special assessment on the above parcel would be based on aunits text» equivalent benefit unit(s) and is estimated to be ~cAssessment» annually. Such special assessment would be collected on the same bill as your property taxes. [QUESTION] Shall the Winter Springs City Commission create a special assessment program and assess each of the. property owners of the Oak Forest Subdivision within the Tuskawilla Planned Unit Development (PUD) located in the corporate limits of the City of Winter Springs an annual non ad-valorem special assessment in an amount to be determined according to the cost and benefit of the construction and annual maintenance of an architectural quality wall and associated landscaping for the purpose of providing public safety, an aesthetically pleasing barrier along Tuskawilla Road, and landscape beautification to the residential landowners of the Oak Forest Subdivision? Yes ^ No (mark only one) of (print name) (print mailing address) do solemnly affirm that I am the owner of record of the above parcel or have been duly authorized by the owner(s) of record of the above parcel to cast this ballot. I understand that this ballot represents an attempt to solicit extraordinary landowner input and is not binding upon the Winter Springs City Commission. Date: , 1997 By: (signature) "" This Ballot must be returned to the City or post marked on or before , 1997 "` E-1 r .. APPENDIX F PUBLIC INFORMATION QUESTIONS Q. Why are we doing this? A. To fund the costs of building and maintaining an architectural quality wall requested by the residents of the Oak Forest subdivision in response to the Tuskawilla Road widening project. In order to preserve and enhance the value, use and enjoyment of single family parcels within the Oak Forest subdivision. Q. When will the wall be built? A. According to the County, the Tuskawilla Road widening project is set for bid in April 1998 and will begin construction in July 1998. The road widening project will be completed in November 1999. The wall project will be completed in the final phase of improvements to Tuskawilla Road. Q. When do we start paying? A. The imposition of the assessment to fund the capital element of the Oak Forest Wall Project is expected to occur in the fiscal year subsequent to completion of the wall. Q. Can we off the assessment early? A. The estimated special assessments provided in the consultant's report provide a pre-payment amount for the capital component of the wall project which can be paid prior to financing without financing costs or at any other time during the assessment period based on the pro-rata share of the assessment and financing costs. However, an assessment amount for maintenance and replacement costs will be imposed annually regardless of pre-payments. Q. What are my costs? A. The costs are based on each parcel's geographic location to the wall and benefits determined based on the relationship to the wall. The three benefit components in the rate structure are beautification, noise attenuation and glare abatement. Each parcel of property within the Oak Forest wall subdivision will benefit equally based on the beautification and recognition component. Additionally, parcels within the geographic area located approximately 600 feet from the wall will be assessed based on a noise attenuation component and those parcels that directly abut the wall will also be assessed based on a glare abatement component. F-1 _ Q. What are the benehts to my property? A. Each parcel will benefit in varying degrees from the wall construction based on the following components: • Beautification or aesthetics • Noise attenuation • Glare abatement • Preservation and enhancement of property values • Better security and safety • Preservation of the use and enjoyment of our homes and neighborhoods Q. Will all property owners pay the same? A. No. An assessment for any given parcel is calculated by multiplying the number of lots contained on the parcel by the aesthetic component factor, the noise attenuation component factor and glare abatement component factor to determine the number of equivalent benefit units. Q. What will the wall look like? A. The style of the wall has been chosen by the Homeowner's Association and is typical of other walls along Tuskawilla Road. An architectural illustration is provided on the cover page of the public information handout. Q. Has the City contributed to the cost? A. The County has agreed to allow the City to reallocate approximately $292,000 from the City's share of the 1% Infrastructure Sales Tax to make modifications to the Tuskawilla Road widening project in order to accommodate the construction of the wall in the road right-of--way. Q. Why assessments rather than property taxes? A. Because cities only have the general law authority to impose taxes city-wide and not within certain areas of the city. Q. Are there other assessment districts within the City? A. Yes. There is a lighting district within the City and numerous other assessment districts within Seminole County. F-2 ~_ .. ~ 4 Q. Who will decide if the wall will be build and an assessment imposed? A. The City Commission retains the ultimate decision making authority. However, in seeking extraordinary landowner input, an opportunity has been provided fora non- binding ballot to be sent to landowners within the Oak Forest Subdivision with each single family residential lot (developed and undeveloped) possessing one vote. A simple majority vote of the property owners is expected to provide direction regarding the wall project. Q. What vote margin will the City Commission require? A. The City Commission has decided that a simple majority vote of the property owners will provide direction regarding the wall project. Q. Can the assessment be paid through my home mortgage? A. If you make monthly mortgage payments, it is likely that this amount will be escrowed by your mortgage holder much like property taxes and your monthly mortgage payment will include this assessment. Q. Can we deduct the assessment from taxes? A. This is a question for your tax adviser. However, generally a special assessment against your residence in not a valid income tax deduction. Q. If I move, do I have to pay it off? A. No. The assessment is imposed annually and is payable as part of your tax bill, each year between November 1 and March 31. Q. How long will the assessment be imposed? A. The capital component of the special assessment is expected to be imposed for 20 years. However, the maintenance and replacement portion of the special assessment will be imposed annually for the life of the wall. Q. What happens if the wall is destroyed? A. It is envisioned that the City's general insurance policy will provide funds to replace the wall if it is destroyed by accident. However, the deductible would be expected to be recovered through the annual maintenance and replacement budget for the wall. Q. Where will the wall be built? F-3 A. The wall will be built in the west right-of--way line of Tuskawilla Road. .l Q. Who determines the level of maintenance or future improvements? A. The City Commission has the ultimate responsibility for determining the level of maintenance of the wall. However, an advisory board composed of property owners within the Oak Forest subdivision will provide advice and assistance in the process. Q. Who owns the wall? A. The wall is to be located in the right-of--way; the City will own the wall. Q. Who is the governing entity? A. The City Commission has the ultimate responsibility for the wall. However, an advisory board composed of property owners within the Oak Forest subdivision will .provide advice and assistance. Q. How does the process flow? A. If the decision is made to build the wall, an ordinance will be developed to create a home rule special assessment program which will provide procedures for imposing `' ~ the special assessments to fund the costs of construction and maintenance for the wall. A preliminary assessment roll of all the property owners will be developed along with each parcel's proposed assessment amount. Each property owner will have an opportunity to pre-pay the capital component of the wall construction. After financing, all remaining property owners will be subject to an annual assessment amount for the capital component. Additionally, all property owners within the subdivision will pay an annual assessment for maintenance and replacement costs. Each. subsequent year, after the initial imposition of the assessment, an advisory board composed of owners within the Oak Forest Subdivision will meet in the early spring to provide input on the level.of maintenance as the City develops a proposed annual budget for this program. Q. Can the assessments be spent for any other purpose? A. No. By law, special assessments can only be used for the services or facilities for which they have been imposed. F-4 Q. Where can we get more information? l A. Contact the City of Winter Springs at (407) 327-1800 or the following Homeowner's Association members: Unit "1" -Tom Petroni Unit "1" - Dick/Laurie Taylor Unit "2" -Don Kuhl Unit "3" -Jim Beiswenger Unit "4" -Nina Neal Unit "5" -Kelly Thompson Unit "6" -Jay Clay Unit "7" - AI Murro Unit "8" -Doug Atkins Floater -Jan Romano (407) 695-8841 (407) 695-0831 (407) 695-1662 (407) 696-7253 (407) 696-9080 (407) 696-4519 (407) 696-7728 (407) 696-0400 (407) 696-4253 (407) 699--9810 F-5 2d 25 (Fla. 1992) (apportioning the cost of infrastructure improvements used for '' ~ downtown redevelopment against properties in a defined downtown area based upon the property's value). The Supreme Court concluded, in City of Boca Raton, that while front foot or square foot methodologies for apportioning costs of special improvement projects are traditional methods, other methods are clearly permitted. For example, in upholding the value-based apportionment methodology in City of Boca Raton, the Supreme Court not only referenced testimony provided by an economist that the amount of benefits from the infrastructure improvements would be reasonably measured by property values, the Supreme Court also cited to additional Florida cases in which the use, in whole or part, of property value as the method of apportionment was upheld. See City of Naples v. Moon, 269 So. 2d 355 (Fla. 1972) (approving special assessment for downtown parking facility based in part on assessed values); Richardson y. Hardee, 96 So. 290 (Fla. 1923) (approving drainage proiect apportioned inside a drainage improvement district based on the assessed values of the properties}. In determining the reasonableness of an apportionment method, the courts defer to the legislative determination of the local government. In Rosche v. City of Hollywood, 55 So. 2d 909 (Fla. 1952}, the Supreme Court of Florida stated that °the apportionment of assessments is a legislative function and if reasonable men may differ as to whether land assessed was benefited by the local improvement the determination as to such benefits of the city officials must be sustained." Id. at 913 (emphasis added}; see also Sarasota County v. Sarasota Church of Christ, 667 So. 2d 180 (Fla. 1995); Harris v. Wilson, 22 Fla. L. Weekly S137 (Fla. March 20, 1997); and State v. Sarasota County, 22 Fla. L. Weekly S241 (Fla. May 1, 1997) (recognizing, in all three cases, that the local legislative determination as to the apportionment of the costs of benefits should be upheld unless the determination is arbitrary.} In reliance on the above Florida ease law analysis and on the LEGAL decisions of the Supreme Court, we conclude that the construction SUFFICIENCY and continuing maintenance of the proposed architectural quality CONCLUSION wall and associated entry-way and right-of--way beautification services to be provided to the Oak Forest subdivision described in this Assessment Memorandum, along with the method of apportionment of the identifed assessable costs for such improvements and services, are consistent with the special benefit and fair apportionment requirements for a valid special assessment. This conclusion assumes, however, that the special assessment ordinance and implementing resolutions adopted by the City contain specific legislative findings supporting this conclusion, as' prepared and directed by us; that no exceptions are created that would undermine the apportionment method described in this Assessment Memorandum; and that the final assessment roll is prepared by the consulting team specified in the existing agreement with the City. Upon the realization of these assumptions by the final imposition of the contemplated special assessments under the adoption procedure outlined in this Assessment Memorandum, our opinion on the legal NABORS, GIBLIN & NICKERSON, P.A. 12 sufficiency o~ the contemplated special assessments shall be delivered to the City in reliance on such legislative findings. NABORS, GIBLIN & NICKERSON, P.A. NA80RS, G/BLIN & NICKERSON, P.A. 13 .,. , r- ~ 'DEVELOPMENT ~-ND IMPLEMENTATION PHASES k Subsequent paragraphs of this section of the white paper analysis NEXT STEPS provide detailed information regarding the necessary development and implementation steps required by Florida Statutes in .order to collect the special assessments on the ad valorem tax roll. However, prior to undertaking of these .development and implementation phases, the City, has determined it necessary to obtain extraordinary landowner input from the properly owners who benefit from the construction of the Oak Forest Wall Project and who may be subject to the special assessment. Provided as Appendix D is a .preliminary assessment roll with a list of property owners, an indication of each property's assignment based on the proposed apportionment methodology and the estimated annual assessment rate for both capital and maintenance costs for those property owners who choose not to pre-pay the assessment amount prior to financing of the construction of the wall: In order to gain public input regarding the proposed special assessment program, the City has requested the development of the sample ballot, provided as Appendix E, which is tentatively scheduled for mailing by July 14, 1997. The ballots are due by July 24, 1997 and the results of the ballot are expected to be tabulated by the City by July 25, 1997. In order to provide the best available information, GSO and NG&N, in conjunction with the Oak Forest Homeowners Association and the City Manager, have developed a public information question and answer sheef provided as Appendix F. DEVELOPMENT AND This section describes the steps required to use the Uniform IMPLEMENTATION Method for develop and implement the special assessment TIME FRAME program with an eye toward collecting... the special assessments on the same bill as ad valorem faxes. To use the tax bill collection process, a local government must follow the strict procedures provided in section 197.3632, Florida Statutes (the "Uniform Method"). A local government must initiate the process almost a year before it intends to begin using the Uniform Method to collect the assessments. The process begins with the passage of a resolution of intent prior to January 1 or, if the property appraiser, tax collector, and local government agree, March 1. The adoption of a resolution of intent does not obligate the local government to use the method or to impose a special assessment, but it is a prerequisite to using the Uniform Method. The local government must publish notice of its intent to consider a resolution to use the Uniform Method weekly for four consecutive weeks prior to a public hearing on the matter. If the resolution is adopted, the governing board must send a copy of it to the property appraiser, the tax collector, and the Florida Department of Revenue by GOVERNMENT SERVICES GROUP and NABOBS, G/BUN & N/CKERSON, P.A. 14 f r~ ~ January 10 or, if the property appraiser, tax collector, and local government agree, '~ ~ March 10. Assuming the City decides to proceed, we will draft a home rule ordinance which will outline the procedural steps and notifications required to impose the program. We will also provide a draft initial assessment resolution for the program to be adopted by the City. Such initial assessment resolution will, among other things, briefly describe the assessment program, the method of apportionment, set a public hearing date for final consideration, and direct and authorize the mailed and published notifications to those property owners included on an initial assessment roll. After adopting the necessary implementing documentation, the local government must develop a computerized, non-ad valorem assessment roll that contains the basis and rate of the assessment and electronically applies them to each parcel subject to the assessment. The non-ad valorem assessment roll in this instance must utilize the parcel. identification number and combination of the information maintained- by the property appraiser and the GIS data base developed by the City. A critical consideration in the implementation of an assessment rate is the verification of the integrity of the property data bases utilized to develop the assessment rate structure and ultimately, the development of the non-ad valorem assessment roil on an annual basis. ~; } The local govemment, not the property appraiser, must develop the non-ad valorem assessment roll. County property appraisers are charged with the responsibility of determining the value of all property within each county and maintaining certain records connected therewith, specifically the preparation of the ad valorem tax roll. The ad valorem tax roll is designed solely to provide the data required by property appraisers to determine property values. Under section 197.3632, Florida Statutes, property appraisers must annually provide certain information to local governments by June 1 to assist the local government in the preparation of special assessment rolls to be collected under the Uniform Method. The information must conform to that contained on the ad valorem tax roll, but the property appraiser need not submit information that is not on the ad valorem tax roll. If the 19ca1 government determines that the information supplied by the property appraiser is insufficient to develop its non-ad valorem assessment. roll, the local. government must obtain information from other sources. Accordingly, successful special assessment programs are those programs designed to employ to the maximum extent possible, the information maintained by the property appraiser on the ad valorem tax roll. In addition, a special assessment program should be designed to maximize the local government's ability to electronically maintain the data base on an annual basis, which in turn minimizes the amount of manual manipulation to the special assessment roll. Statutory requirements provide that a service assessment roll must be adopted at a public hearing between June 1 and September 15 so the tax collector can merge it with GOVERNMENT SERVICES GROUP end NABORS, GIBUN & NICKERSON, P.A. 15 . ,~ + ~ ~. , ---~ the ad valorem tax roll and mail a single bill for the combined collection of assessments and ad valorem taxes. The program discussed herein has a capital component and a maintenance component with annual installment payments for the improvement project. At least 20 days prior to the public hearing, a local government must publish notice of the hearing in a newspaper of general circulation within the government's boundaries and by individual first class United States mail to the owners of property subject to the assessment. After the scheduled public hearing, the City will adopt the assessment ordinance which, among other things, will confirm the initial assessment resolution, articulate the rate of assessments, approve the assessment roll, and direct and authorize the method of collection. Once the assessment ordinance is adopted and the roll certified on September 15 to the tax collector to be collected along with ad valorem taxes, any minor modifications, corrections or errors must be made in accordance with the procedure applicable to the correction of errors on the tax roll, upon written direction from the City to the tax collector. Collection of the special assessments and ad valorem taxes begins in November. Failure to pay the assessments and taxes result in the issuance of a tax certificate and `~ ,l may result in the sale of a tax deed. If the special assessment will be collected for a period of more than one year or is to be amortized over a number of years, the local government must so specify in the published and mailed notices and is not required to annually adopt the assessment roll. However, for assessments whose rates vary from that previously noticed, the property owners must be notifed if their assessment increases or the basis for the assessment changes. Essentially, the City will be faced with annually revisiting these assessment rolls. Experience has taught us that annual notification of all property owners subject to special assessments is the most efficient and effective approach to deal with re- notification required by ownership changes in the ad valorem roll, as well as the subdivision or the plottage of parcels. The procedural ordinance is being developed to authorize imposition will provide for annual re-notification. GOVERNMENT SERVICES GROUP and NABORS, G/BL/N 6 NICKERSON, P.A.. 16