Loading...
HomeMy WebLinkAbout031025-03.5 Updated LLAD PresentationLighting & Landscape Assessment District (LLAD) 2025 Annual Danville Town Council & Town Commission Workshop 1March 10, 2025 (presentation updated March 11, 2025) Overview Lighting and Landscape Assessment District 1.What it is, What it does & and Why it Matters 2.Fiscal Challenges 3.The Funding Gap 4.2025 Rate Adjustment 5.Process & Next Steps 2 The LLAD What It Is •Lighting and Landscape Assessment Districts (LLADs) established under state law . •Since incorporation, Danville has had an LLAD •All properties in Danville currently pay LLAD assessments •Assessments are set based upon degree of benefit received by each property •Crucial for maintaining parks, landscaping, street lighting, and public facilities 3 The LLAD What it does •Maintains +/- 200 acres of public parks, including 5 community parks & 5 school parks •Maintains community facilities (i.e. library, community centers, etc.) •Maintains +/- 60 acres of roadside and median landscaping •Maintains +/- 3,500 street lights •Public assets that support public safety and quality of life 4 The LLAD Why It Matters •Danville is a Low Property Tax City – receives $70 of every $1,000 Property Tax dollar •LLAD an essential funding source (3rd largest) •No rate increase since 2003 •Revenues not kept pace with rising costs, most of which are attributable to utility and maintenance costs. •LLAD revenues are being subsidized by the General Fund and LLAD Reserves 5 Other CDA/Successor Agency CDA Loan Repayments Town of Danville Operating Budget General Purpose Revenues Special Purpose Revenues Municipal Services Transfers Revenues & Expenditures | Overview 6 Unrestricted revenue (“General Fund”) Operating Budget •Police Services •Maintenance Services •Administrative Services •Development Services •Recreation Services •General Government Restricted revenue, only spent for specific purposes (LLAD) Capital Budget •Pavement Management •Capital Improvements Other Transfers •LLAD Subsidy •Asset Replacement •Reserves Other CDA/Successor Agency CDA Loan Repayments Town of Danville Operating Budget General Purpose Revenues Special Purpose Revenues Municipal Services Transfers General Fund | Growing Operating & Capital Demands 7 Unrestricted revenue (“General Fund”) Operating Budget •Police Services •Maintenance Services •Administrative Services •Development Services •Recreation Services •General Government Restricted revenue, only spent for specific purposes (LLAD) Capital Budget •Pavement Management •Capital Improvements Other Transfers •LLAD Subsidy •Asset Replacement •Operating Reserve Flat Revenues, Surging Costs 8 43% 16% 7% LLAD Funding Gap 9 Fund Activity Assessment Revenues $3.05 million 2023/24 Expenditures ($4.85 million) Balance or (Shortfall)($1.79 million) Fund Subsidies General Fund $1.35 million LLAD Reserves $0.44 million Total Subsidies: $1.79 million LLAD Funding Gap 10 Fund Activity Assessment Revenues $3.05 million 2023/24 Expenditures ($4.85 million) Balance or (Shortfall)($1.79 million) Fund Subsidies General Fund $1.35 million LLAD Reserves $0.44 million Total Subsidies: $1.79 million LLAD Funding Gap Forecast to be depleted by FY 2026/27 General Fund under pressure to support other operating and capital functions Rate Adjustment LLAD 2025-1 Partially Closes the Funding Gap •Preserve current standards of park, roadside landscape, facility and street light maintenance. •Reduce pressure on the General Fund, freeing resource for infrastructure and public safety priorities. •Ensure long-term financial sustainability, aligning LLAD revenues with actual maintenance costs. 11 12 LLAD Rate Adjustment | What It Means in Real Dollars Balloting Process Procedural Requirements (Proposition 218 ) •Notices and ballots mailed → all affected property owners. •Major protest rule: If a majority of the *returned ballots* do not oppose the rate adjustment, then it can be implemented. •Ballots are weighted based on the assessment paid. All votes count in a Proposition 218 procedure, just not equally. 13 LLAD No. 2025-1 Balloting Timeline 14 February 4: Resolution of Initiation for LLAD No. 2025-1. March 18: Resolution of Intent and preliminary approval of Engineer’s Report. April 4: Deadline to mail notices and ballots. May 20: Public hearing to declare balloting period has closed. Continue item to June 3. June 3: Declare results of ballot tabulation. If property owners favor LLAD No. 2025-1, adopt resolution confirming assessment. August 10: Deadline to submit LLAD No. 2025-1 assessments to Contra Costa County for placement on next year’s tax roll. 43% 16% 7% Learn More www.danville.ca.gov/LLAD 15