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HomeMy WebLinkAboutSR - AGR-6238 - COLLECTION OF SPECIAL TAXES FEES CHARGES AND ASSESSMENTSAGENDA ITEM . July 14, 2015 TO: Honorable Mayor and Members of the City Council THRU: Rick Otto Interim City Manager FROM: William M. Kolbow,- / Finance Director !�/'! Joe DeFrancesco �y Public Works Di ctor ReviewedNerified City Manager Finance Dire or To Be Presented By: Will Kolbow X Cons Calendar _ City Mgr Rpts Council Reports _ Legal Affairs Boards /Cmtes Public Rrgs Admin Reports _ Plan/Environ 1. SUBJECT Agreement between the City of Orange and the County of Orange for Collection of Special Taxes, Fees, Charges and Assessments. 2. SUMMARY The County of Orange annually collects fees associated with five Assessment Districts and Community Facilities Districts ( "Districts ") in the City of Orange. These assessments are collected on the property tax bill for property owners of these Districts. This Agreement outlines the respective roles of the County and the City with regard to this process, and provides for compensation to the County for this service. 3. RECOMMENDED ACTION 1. Approve Agreement between the City of Orange and the County of Orange for Collection of Special Taxes, Fees, Charges and Assessments; and 2. Authorize the Mayor and City Clerk to execute on behalf of the City. 4. FISCAL IMPACT The compensation provided to the County of Orange under this Agreement is 0.30% of the original value for each special tax, fee or assessment that is to be collected on the County tax rolls by the County for the City. This amount is retained by the County before the balance of the assessments is provided to the City. There is no impact to the General Fund. ITEM 3. t o 1 7/14/15 5. STRATEGIC PLAN GOAL(S) 3. Be a fiscally healthy community a. Expend fiscal resources responsibly. 6. DISCUSSION and BACKGROUND Sections 51800, 29142 and 29304 of the State of California Government Code provides for the collection of taxes and assessments by a county for any special assessment levied upon land or real property by any city, county, or other public corporation. The following lists the assessment districts and community facilities districts in the City of Orange for which the County of Orange currently collects assessments on the annual property tax bills of property owners on behalf of the City: CFD 06 -1 Del Rio Public Improvements AD 95 -1 Sycamore Crossing CFD 91 -2 Serrano Heights Public Improvements LMD 86 -2 Santiago Hills LMD 94 -1 Sycamore Crossing Per the relevant Government Code section, the County is compensated for this service. The attached agreement outlines the roles and responsibilities of both the City and the County with respect to the collection of the assessments for these three landscape assessment districts, and provides for compensation to the County in the amount of .3% of the value of the assessments. This agreement will also cover the newly established Santiago Hills overlay district (LMD 15 -1), should the City Council take action to form the District and levy the assessments. 7. ATTACHMENTS Agreement for Collection of Special Taxes, Fees, Charges and Assessments ITEM 2 7/14/15