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Home My WebLink AboutRES 22-7326 (INCREASED SEWER SERVICE CHARGE)Page 1 of 4 22-7326 CITY OF HERMOSA BEACH RESOLUTION NO. 22 -7326 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH ADOPTING THE INCREASED ANNUAL SEWER SERVICE CHARGE AND AUTHORIZING THE CHARGE FOR FISCAL YEAR 2022-2023 TO FUND MAINTENANCE, OPERATION, SERVICING, AND IMPROVEMENTS TO THE CITY’S SEWER COLLECTION SYSTEM The City Council of the City of Hermosa Beach does hereby resolve and order as follows: SECTION 1. RECITALS. A. On April 28, 2015, the Hermosa Beach City Council approved a resolution adopting the first annual sewer service charge to fund maintenance, operations, servicing, and improvements to the City’s sewer collection system B. At its July 14, 2015 meeting City Council waived full reading and adopted by title Ordinance No. 15-1355 regarding a sewer service charge, with a base charge set at $115/Equivalent Sewage Unit (ESU), and each year the City Council votes to put the sewer service charge on the tax roll. C. At its A[April 26th, 2022] meeting, the City Council adopted Resolution No. 22-0260 which adopted the City of Hermosa Beach Sewer Service Charges Commencing Fiscal Year 2022/2023 Preliminary Engineer’s Report (“Engineer’s Report”) for the proposed sewer charge and set a majority protest hearing as required under Article XIIID of the California Constitution (Proposition 218). D. On or around May 4th, 2022, the City mailed notices of the proposed sewer service charge and majority protest hearing to the record owners at the service address and if different, also to the record owner’s mailing address (as set forth on the last equalized assessment roll). E. A total of parcels were notified of the proposed sewer charge and majority protest hearing. F. The actual Parcel Charges (a listing of the Assessor's Parcel Numbers and the amount to be levied on each parcel) has been made available in the Hermosa Beach City Clerk’s Office in an electronic format. G. On July 12, 2022, the City Council held a duly noticed protest hearing with respect to the proposed sewer service charge. All affected properties were given notice of the hearing and given an opportunity to file a written protest. DocuSign Envelope ID: 3CEB8F3E-69D7-4DC3-8875-3C05CB51A852 Page 2 of 4 22-7326 SECTION 2. UPDATED ENGINEER’S REPORT. A. The Engineer’s Report has been revised based on the City Council’s decision to increase the sewer service charge based on inflation, capped at a five percent CPI increase. The rate per ESU for 2022/2023 of $132.93 will be multiplied by the ESUs for each residential parcel and by water consumption for non-residential to determine the charge for each parcel. After reviewing and considering the revised Engineer’s Report, the City Council hereby adopts the City of Hermosa Beach Sewer Service Charges Commencing Fiscal Year 2022/2023 Engineer’s Report dated April 26, 2022 as an accurate and complete analysis of the proposed service charge. The April 26, 2022 report is attached hereto and incorporated herein by reference. SECTION 3. MAJORITY PROTEST. A. 7141 parcels will be affected by the proposed sewer service charge. The City received written protests for 36 properties prior to the protest hearing and an additional 0 written protests were received at the public hearing. A total of 36 written protests were received before the close of the July 12, 2022 hearing. The number of written protests received was not sufficient to constitute a majority protest under Proposition 218. The City Clerk has certified the tabulation of written protests. SECTION 4. ADOPTING ANNUAL SEWER SERVICE CHARGE. A. The City Council hereby accepts the City Clerk’s certification of the results of the protest hearing and adopts the sewer service charge of $132.93/ESU per year, as set forth in the April 26, 2022 Engineer’s Report. The charge will commence in fiscal year 2022-2023 and shall be increased annually for inflation by the annual increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers in the Los Angeles‐Riverside‐Orange County, CA Area (CPI), including all items as published by the US Bureau of Labor Statistics as of March 1 of each year, not to exceed five percent (5%) per year. An annual notice will be provided before an annual inflation increase will be applied. The annual increase for inflation is authorized through fiscal year 2026-2027. After the five-year period, the City may conduct another majority protest hearing to authorize inflation increases for an additional period not to exceed five years. This charge will also be codified in Hermosa Beach Municipal Code Chapter 13.12. DocuSign Envelope ID: 3CEB8F3E-69D7-4DC3-8875-3C05CB51A852 Page 3 of 4 22-7326 B. The parcels within the Sewer Service Charge Area consist of all lots, parcels and subdivisions of land within the City of Hermosa Beach, as set forth in the Boundary Diagram in Part D of the Engineer’s Report. C. The charge is in compliance with the provisions of Article XIIID of the California Constitution and the City Council has complied with all laws pertaining to the levy of an annual charge pursuant to Article XIIID of the California Constitution (Proposition 218). SECTION 5. CONFIRMING CHARGE FOR FISCAL YEAR 2022-2023. A. The City Council declares that the Boundary Diagram and Sewer Service Charge, as presented to the City Council in the Engineer's Report is hereby confirmed as filed. B. The purpose of the charge is to collect funds to cover the expenses for the overall operation, maintenance and servicing of the city- owned sewer system as well as the funds deemed appropriate and necessary to pay for capital improvements and reserves. C. The adoption of this Resolution constitutes the levy of the charge against the parcels within the Sewer Service Charge Area for the fiscal year commencing July 1, 2022 and ending June 30, 2023. SECTION 6. The County Auditor of Los Angeles County shall enter on the County Assessment Roll opposite each lot or parcel of land the amount of the charge as set forth in the Engineer’s Report, and such charge shall then be collected at the same time and in the same manner as the County taxes are collected. After collection by the County, the net amount of the assessments, after deduction of any compensation due the County for collection, shall be paid to the City Treasurer. SECTION 7. The Hermosa Beach Finance Director, or designee, shall deposit all moneys representing charges collected by the County to the credit of the City’s Sewer Fund. SECTION 8. The City Clerk is hereby authorized and directed to file the Boundary Diagram and the list of actual Parcel Charges (a listing of the Assessor's Parcel Numbers and the amount to be levied on each parcel) with the County Auditor, together with a certified copy of this Resolution upon its adoption, in addition to any additional information the County Auditor required to collect the charge with the County taxes. SECTION 9. A copy of the Engineer’s Report and the actual Parcel Charges (a listing of the Assessor's Parcel Numbers and the amount to be levied on each parcel) shall be filed in the office of the Department of Public Works, DocuSign Envelope ID: 3CEB8F3E-69D7-4DC3-8875-3C05CB51A852 Page 4 of 4 22-7326 with a duplicate copy on file in the office of the City Clerk and open to public inspection. SECTION 10. Beginning in fiscal year 2023-2024, the City Clerk is hereby directed to mail an annual notice to each property before an annual inflation increase will be applied at least thirty days before the effective date of the increase. The notice shall be provided in accordance with Government Code Section 53756. SECTION 11. The City Clerk is directed to complete the blanks in Section 3 above; certify the adoption of this Resolution; record this Resolution in the book of the City’s original resolutions; and make a minute of the adoption of the Resolution in the City Council’s records and the minutes of this meeting. SECTION 12. This Resolution will become effective immediately upon adoption. PASSED AND ADOPTED this 12th day of July, 2022. Mayor Michael Detoy PRESIDENT of the City Council and MAYOR of the City of Hermosa Beach, CA ATTEST: APPROVED AS TO FORM: ____________________________ ____________________________ Myra Maravilla, Michael Jenkins, City Clerk City Attorney DocuSign Envelope ID: 3CEB8F3E-69D7-4DC3-8875-3C05CB51A852 State of California ) County of Los Angeles ) ss City of Hermosa Beach ) July 15, 2022 Certification of Council Action RESOLUTION NO. 22-7326 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH ADOPTING THE INCREASED ANNUAL SEWER SERVICE CHARGE AND AUTHORIZING THE CHARGE FOR FISCAL YEAR 2022-2023 TO FUND MAINTENANCE, OPERATION, SERVICING, AND IMPROVEMENTS TO THE CITY’S SEWER COLLECTION SYSTEM I, Myra Maravilla, City Clerk of the City of Hermosa Beach do hereby certify that the above and foregoing Resolution 22-7326 was duly approved and adopted by the City Council of said City at its regular meeting thereof held on the 12th day of July, 2022 and passed by the following vote. AYES: COUNCILMEMBERS ARMATO, CAMPBELL, MASSEY MAYOR PRO TEMPORE JACKSON, MAYOR DETOY, NOES: NONE ABSTAIN: NONE ABSENT: NONE ________________________________ Myra Maravilla, MPA, CMC City Clerk DocuSign Envelope ID: 926CD487-98B8-4F05-A135-81303338A970