Whittier Municipal Code Ch. 3.52 Community Benefit Districts

(a) This chapter shall be known as the "Whittier Community Benefit District Procedural Ordinance" and may be cited by that name.

(b) This chapter is adopted pursuant to Section 200 of the City Charter, which provides that, subject only to restrictions and limitations set forth in the State Constitution and the City Charter, the city shall have the power to make and enforce all laws and regulations in respect to municipal affairs. The creation of an assessment district to fund maintenance, services and improvements of a local nature is a quintessential municipal affair. The purpose of this chapter is to provide a procedure for the establishment of assessment districts.

(Ord. No. 3056, § 3, 9-13-16)

This chapter provides a procedure for the establishment of assessment districts that is separate from, and alternative to, other procedures under state or municipal law. This chapter does not prohibit the city council from establishing an assessment district or conducting proceedings for such district under any other procedure authorized by law.

(Ord. No. 3056, § 3, 9-13-16)

The city council may establish a community benefit district and levy assessments in connection with such a district pursuant to this chapter.

(Ord. No. 3056, § 3, 9-13-16)

This chapter incorporates the Property and Business Improvement District Law of 1994 (Streets and Highways Code §§ 36600 et seq.) ("PBID law"), as such law may be amended from time to time. In connection with such incorporation, all references in the PBID Law to a "district" or a "property and business district" shall be interpreted as references to a community benefit district. Except where a provision of the PBID Law is inconsistent with a provision of this chapter, all provisions of the PBID law shall apply to the establishment and operation of any Community benefit district established pursuant to this chapter. In the event of a conflict between the provisions of this chapter and those of the PBID law, the provisions in this chapter shall prevail.

(Ord. No. 3056, § 3, 9-13-16)

Notwithstanding the requirements of section 36632 of the PBID law, any parcel of real property, regardless of the zoning of such parcel, may be included in a community benefit district and subject to an assessment in connection therewith, so long as such parcel specially benefits from the services and improvements funded by that district.

(Ord. No. 3056, § 3, 9-13-16)

Only assessments against real property may be levied in connection with a community benefit district.

(Ord. No. 3056, § 3, 9-13-16)

In lieu of the requirements of Section 36621(a) of the PBID law, the city council may initiate proceedings to form a community benefit district upon the submission of a written petition, signed by property owners in the proposed district who will pay at least thirty percent of the assessments proposed to be levied in connection with such district. The amount of assessment attributable to property owned by the same property owner that is in excess of twenty percent of the amount of all assessments proposed to be levied, shall not be included in determining whether the petition is signed by property owners who will pay more than thirty percent of the total amount of assessments proposed to be levied.

(Ord. No. 3056, § 3, 9-13-16)

If so provided in the engineer's report for a community benefit district, the assessment levied in connection with such a district may include amounts sufficient to recover the costs incurred in forming the district, including:

1. The costs of preparation of the management plan and engineer's report required by state law; and

2. The cost of preparing, circulating and submitting the petition to the city council seeking establishment of the district; and

3. The costs of printing, advertising and the giving of published, posted or mailed notices; and

4. Compensation of any consultant, engineer or attorney employed to render services in proceedings under this chapter or the PBlD law; and

5. Costs incurred by the city for public hearings, notices, ballots and other proceedings required by law for approval of a new or increased assessment.

The engineer's report shall specify the formation costs eligible for recovery through assessments, the schedule for recovery of those costs, and the basis for determining the amount of the additional assessment for recovery of costs, including the maximum amount of the additional assessment, expressed either as a dollar amount, or as a percentage of the underlying assessment.

(Ord. No. 3056, § 3, 9-13-16)

The city council may, in the resolution of intention to establish a community benefit district, provide that if the district is established, funds may be advanced from the city's general fund to permit the operation of the District prior to the city's collection of the assessment. Such advance shall occur only after the establishment of the district, and no advance shall be made if the district is not established. Any such advance may not exceed the total anticipated assessment proceeds for the first year of the assessment. Any such advance must be recovered from assessment proceeds as provided in the resolution of intention, along with interest calculated at a rate set forth in the resolution of intention. The duration of any such advance shall not exceed five years.

(Ord. No. 3056, § 3, 9-13-16)

The duration of a new community benefit district shall be no greater than specified in the resolution of intention for the district, and may be permitted to run into perpetuity. This section is intended to supplant any shorter limitation set forth in the PBID law on the duration of assessments levied in connection with an assessment district.

(Ord. No. 3056, § 3, 9-13-16)

A community benefit district may be renewed for a period of not to exceed the period specified in the resolution of intention for the district by following the procedures set forth in the PBID law.

(Ord. No. 3056, § 3, 9-13-16)

The city council may, on its own initiative, at any time, adopt a resolution of intention to disestablish a community benefit district and shall adopt such a resolution if, during the annual thirty (30) day period set forth in section 36670(a)(2) of the PBID law, the city council receives a written petition requesting disestablishment signed by property owners who pay at least thirty percent of the assessments levied in connection with the district. This section provides an alternative method for the initiation of proceedings to disestablish a community benefit district and shall not be interpreted to preempt the existence of other methods set forth in section 36670 of the PBID law. A resolution of intention adopted pursuant to this section shall have the same effect, and trigger the same notice and hearing requirements, as a resolution of intention otherwise adopted pursuant to section 36670 of the PBID law.

(Ord. No. 3056, § 3, 9-13-16)

As provided under Section 36633 of the PBID Law, the validity of an assessment levied under this Chapter shall not be contested in any action or proceeding unless the action or proceeding is commenced within thirty days after the resolution of formation levying the assessment is adopted. Any appeal from a final judgment in an action or proceeding shall be perfected within thirty days after the entry of judgment.

(Ord. No. 3056, § 3, 9-13-16)