Before ordering any improvement which is authorized by this division to be made, the legislative body shall adopt a resolution declaring its intention to do so, briefly describing the proposed improvement, specifying the exterior boundaries of the assessment district, providing for the issuance of improvement bonds, if any bonds are to be issued, pursuant to Chapter 7 (commencing with Section 10600), declaring its intention to levy an assessment to maintain, repair, or improve the facility pursuant to Section 10100.8, if it intends to levy such an assessment, and providing for the disposal of any surplus remaining in the improvement fund after the completion of the improvement, as authorized in Section 10427. The descriptions do not need to be detailed and shall be sufficient if they enable the engineer to generally identify the nature, location, and extent of the improvements and the location and extent of the assessment district. The resolution of intention shall also contain a brief statement of the intention of the legislative body to enter into an agreement with any other public agency, or public utility, pursuant to Chapter 2 (commencing with Section 10100).
Chapter 3Resolution of Intention and Report
Section § 10200
Before any improvement project can start, the legislative body must first pass a resolution that outlines their plan. This resolution needs to describe the project, outline the boundaries for the area paying for it, and mention if they will issue bonds for funding. It should also state if they will levy additional charges for upkeep and what will happen with leftover funds once the project finishes. This document should provide enough detail for the engineer to understand and find the work area, but it doesn't need to be overly detailed. Moreover, it should mention if there will be any cooperation with other public agencies or utilities.
resolution of intention improvement projects assessment district improvement bonds levy an assessment maintenance and repair surplus funds disposal legislative body public agency agreement public utility partnership project boundaries engineer identification funding mechanisms Chapter 7 bonds interagency agreements
Section § 10201
This law section allows the local government to decide that a certain amount or percentage of the costs for an improvement project will be covered by the city's funds. They can pick which fund will be used for this purpose.
In the resolution of intention the legislative body may order that a specified portion or percentage of the cost and expenses of the improvement shall be paid out of the treasury of the municipality from such fund as the legislative body may designate.
improvement project funding municipal treasury cost allocation legislative body decision fund designation public project expenses city improvement costs municipal funding source budget allocation for improvements percentage of expenses government fund use city infrastructure funding expense distribution for projects
Section § 10201.1
This law defines "private utility damages" as the compensation that a private utility can claim due to construction projects affecting its operations, as outlined in another legal chapter. It also allows a legislative body to decide if these damages should be included in the financial assessment of the construction project.
As used in the chapter, “private utility damages” means the amount to which any private utility might be entitled by virtue of Chapter 8.5 (commencing with Section 1501) of Part 1 of Division 1 of the Public Utilities Code on account of the construction of the proposed improvement.
In the resolution of intention, the legislative body, in its discretion, may order that private utility damages be included in the assessment.
private utility damages construction impact compensation for utilities legislative discretion assessment inclusion Public Utilities Code Chapter 8.5 construction project assessment utility compensation damage claims assessment resolution utility entitlements infrastructure improvement
Section § 10202
This law states that when proposing a new project, it can involve various types of work, as long as they are mentioned in this legal division. However, if the project includes maintaining equipment or providing electricity, gas, or lighting, this service can only be planned for up to two years, as specified in the proposal's announcement.
The proposed improvement may include any or all of the different kinds of work mentioned in this division, but the maintenance of appliances or the furnishing of electric current, gas, or other illuminating agent shall be for a period stated in the resolution of intention not exceeding two years.
proposed improvement types of work maintenance of appliances furnishing electric current furnishing gas illuminating agent resolution of intention two-year limit project duration public improvement projects service period limitation legal division announcement specification
Section § 10203
This law section states that when a legislative body in a municipality wants to improve public infrastructure, it must refer the proposed project to the appropriate municipal board, commission, or officer responsible for such improvements. They can also designate the city engineer or another qualified municipal employee. This designated party must then prepare and submit a written report on the proposal to the legislative body's clerk.
In the resolution of intention the legislative body shall refer the proposed improvement to the board, commission, or officer of the municipality having charge and control of the construction of public improvements of the kind described in the resolution, or to the city engineer, or to such other board or officer of the municipality, or competent person employed by the municipality for the purpose, as the legislative body may name in the resolution, and direct such board, commission, officer, or person to make and file with the clerk of the legislative body a report in writing.
municipal improvements legislative body public infrastructure city engineer municipal board written report infrastructure proposal municipality construction project referral public improvement process
Section § 10204
This section explains what information needs to be included in a report when a local government plans an improvement project. First, the report should have basic plans and specs that outline what the project involves and show its general scope and location, especially if the area is split into different zones with different types of improvements.
Next, it should describe any existing facilities or gadgets that will be part of the project. The report also needs to estimate the total costs, including land, rights-of-way, easements, and any related expenses. If damages to private utilities are relevant, these should be included as well as any estimates for future maintenance costs.
A diagram must be provided to show details like the borders of the assessment district and property lines in it. Each land parcel needs to be clearly numbered, possibly using county assessor maps for accuracy. Then, the report should suggest how the costs will be spread out among the properties based on the benefits each would receive. Finally, the report must also propose a cap on annual charges for ongoing costs related to managing these assessments and any bonds involved.
The report of the person or board to whom the improvement is referred by the legislative body shall contain all of the following:
(a)CA Streets and Highways Code § 10204(a) Plans and specifications of the proposed improvement if the improvement is not already installed. The plans and specifications need not be detailed and are sufficient if they show or describe the general nature, location, and extent of the improvements. If the assessment district is divided into zones, the plans and specifications shall indicate the class and the type of improvements to be provided for each zone. The plans or specifications may be prepared as separate documents, or either or both may be incorporated in the report as a combined document.
(b)CA Streets and Highways Code § 10204(b) A general description of works or appliances already installed and any other property necessary or convenient for the operation of the improvement, if the works, appliances, or property are to be acquired as part of the improvement.
(c)CA Streets and Highways Code § 10204(c) An estimate of the cost of the improvement and of the cost of lands, rights-of-way, easements, and incidental expenses in connection with the improvement, including any cost of registering bonds. If the legislative body, in the resolution of intention, ordered that private utility damages be included in the assessment, the report shall contain an estimate of the private utility damages. If the legislative body, in the resolution of intention, declared its intention to levy an assessment for the maintenance, repair, or improvement of the work, system, or facility, the report shall contain an estimate of the amount of this assessment for each of the first five years during which the assessment would be levied.
(d)CA Streets and Highways Code § 10204(d) A diagram showing, as they existed at the time of the passage of the resolution of intention, all of the following:
(1)CA Streets and Highways Code § 10204(d)(1) The exterior boundaries of the assessment district.
(2)CA Streets and Highways Code § 10204(d)(2) The boundaries of any zones within the district.
(3)CA Streets and Highways Code § 10204(d)(3) The lines and dimensions of each parcel of land within the district.
Each subdivision, including each separate condominium interest, as defined in Section 783 of the Civil Code, shall be given a separate number upon the diagram. The diagram may refer to the county assessor’s maps for a detailed description of the lines and dimensions of any parcels, in which case those maps shall govern for all details concerning the lines and dimensions of the parcels.
(e)CA Streets and Highways Code § 10204(e) A proposed assessment of the total amount of the cost and expenses of the proposed improvement upon the several subdivisions of land in the district in proportion to the estimated benefits to be received by each subdivision, respectively, from the improvement. In the case of an assessment for installation of planned local drainage facilities which are financed, in whole or in part, pursuant to Section 66483 of the Government Code, the assessment levied against each parcel of subdivided land may be levied on the basis of the proportionate storm water runoff from each parcel. When any portion or percentage of the cost and expenses of the improvement is ordered to be paid out of the treasury of the municipality, pursuant to Section 10201, the amount of that portion or percentage shall first be deducted from the total estimated cost and expenses of the improvement, and the assessment upon property proposed in the report shall include only the remainder of the estimated cost and expenses. The assessment shall refer to the subdivisions by their respective numbers as assigned pursuant to subdivision (d).
(f)CA Streets and Highways Code § 10204(f) A proposed maximum annual assessment upon each of the several subdivisions of land in the district to pay costs incurred by the city and not otherwise reimbursed which result from the administration and collection of assessments or from the administration or registration of any associated bonds and reserve or other related funds.
improvement project report plans and specifications existing facilities description cost estimation land acquisition rights-of-way private utility damages maintenance cost estimation assessment district diagram property parcel numbering benefit-based cost distribution maximum annual assessment administrative costs bond administration storm water runoff assessment
Section § 10204.1
In California, if an assessment district includes land that's being subdivided under the Subdivision Map Act, all costs related to complying with that act, like surveying and engineering for map preparation, can't be counted as incidental expenses for improvements. Incidental expenses can, however, cover costs for changing tentative or final maps for district use, preparing plans for improvements, and addressing private utility damages.
If the assessment district consists, in whole or in part, of lands subdivided or to be subdivided under the provisions of the Subdivision Map Act, Division 2 (commencing with Section 66410) of Title 7 of the Government Code, none of the costs and expenses required for compliance with the Subdivision Map Act, including but not limited to surveying and engineering costs incurred in the preparation of any map required by such act, shall be included in the incidental expenses of any improvement ordered to be made or acquired under this division. Incidental expenses under this division may include:
(1)CA Streets and Highways Code § 10204.1(1) The costs and expenses of modifying any tentative or final map prepared pursuant to the Subdivision Map Act for use as the map of the assessment district or diagram; and
(2)CA Streets and Highways Code § 10204.1(2) Any surveying or engineering expenses incurred for preparation of the plans and specifications of any improvement to be constructed under this division.
(3)CA Streets and Highways Code § 10204.1(3) Any private utility damages.
assessment district costs Subdivision Map Act compliance map preparation costs incidental expenses tentative or final map modification surveying expenses engineering expenses improvement plans private utility damages subdivided lands land surveying in subdivided districts engineering for assessment districts final map adjustments tentative map adjustments
Section § 10204.2
This law states that when bonds are issued for public improvements under the Improvement Bond Act of 1915, the cost calculations for the project can include up to two years' worth of estimated interest on the bonds. This interest money is then placed into a fund meant to pay back the bondholders when the bonds are sold and delivered.
If improvement bonds are to be issued pursuant to the Improvement Bond Act of 1915 (Division 10 (commencing with Section 8500)), the costs and expenses of the proposed improvement may include an allowance for interest not exceeding two years’ estimated interest on the bonds. The amount of the allowance for interest shall be paid into the redemption fund for the bonds upon sale and delivery of the bonds.
improvement bonds Improvement Bond Act of 1915 cost calculations estimated interest redemption fund public improvements bondholders allowance for interest funding public projects two years interest bonds sale and delivery
Section § 10204.5
This law states that when a report is prepared for dividing up assessment costs for improvements in an area, it can be assumed that undeveloped or underdeveloped properties will benefit from facilities designed for future residents. If the legislative body approves this report, the assumption cannot be disputed.
In preparing the report in which assessments are apportioned pursuant to subdivision (e) of Section 10204, the person or board to whom the improvement is referred by the legislative body may presume that facilities which are required to meet the needs of future residents of an area, as indicated by a general or specific plan for the area, will benefit undeveloped and underdeveloped property within the area. If the legislative body adopts the report, that presumption shall be conclusive.
assessment apportionment future resident needs facility benefits undeveloped property underdeveloped property legislative body approval presumption of benefit general plan specific plan report adoption conclusive presumption improvement assessment facility needs property development benefits area plan benefits
Section § 10205
This section allows a city to financially support a district for improvements, like building projects or buying land, using revenue sources that aren't against the law. They can do this for a set time, not longer than the bond period. This support can also help reduce the charges placed on property owners in the district. However, it doesn't create a debt for the city. Contributions can't come from property taxes if they're approved after assessment charges are set.
The provisions of the Improvement Act of 1911 relating to contributions are incorporated in this division as if fully set out herein.
At any time either before or after the formation of the district, the legislative body may provide by ordinance that for a period specified in the ordinance, but not exceeding the term of bonds issued or to be issued, the city may contribute, from any sources of revenue not otherwise prohibited by law, any specified amount, portion, or percentage of such revenues for the purposes set forth in such ordinance, limited to the following: the acquisition or construction of improvements, the acquisition of interests in real property and the payment of expenses incidental thereto for the use and benefit of the district. In addition, the purposes specified in the ordinance may also include the application of such revenues as a credit upon the levied assessments in the same manner as is provided in Section 10427.1. A brief statement of intention to provide such contribution of revenues shall be set forth in the resolution of intention. Such contribution shall not constitute an indebtedness or liability of the municipality. Contributions may be made from any sources of revenue not otherwise prohibited by law; provided, however, that any contributions authorized after the levy of assessment shall be from sources other than ad valorem taxes on real property.
Improvement Act of 1911 district contributions city ordinance revenue sources municipal contributions bond period real property interests levied assessments resolution of intention credit application incidental expenses non-ad valorem taxes
Section § 10206
This law section means that the rules from the Improvement Act of 1911, which deal with how assessments (charges or fees) apply to publicly owned and railroad properties, are included in this division as if they were written here in full. It also covers how payments for these properties can be covered by certificates or bonds.
The provisions of the Improvement Act of 1911 relating to assessments on publicly owned property and railroad property, and certificate or bond secured by unpaid assessments on publicly owned property, are incorporated in this division as if fully set out herein.
Improvement Act of 1911 assessments publicly owned property railroad property unpaid assessments certificates bonds property charges public property assessment railroad property fees assessment incorporation payment security property fees
Section § 10207
This section states that the rules from Chapter 4, starting with Section 5150, of the Improvement Act of 1911 are included in this division as if they were written here in full. It means that the procedures and regulations from that chapter apply directly to this part of the law.
The provisions of Chapter 4 (commencing with Section 5150) of Part 3 of the Improvement Act of 1911 are incorporated in this division as if fully set out herein.
Improvement Act of 1911 Chapter 4 Section 5150 incorporation by reference regulations rules application direct inclusion procedures division part of law framework construction laws civic improvement building regulations
Section § 10208
This law states that the borders of an assessment district should be described according to the procedures outlined in the Improvement Act of 1911.
The exterior boundaries of the assessment district may be specified and described as provided in the Improvement Act of 1911.
assessment district boundaries Improvement Act of 1911 district borders boundary description exterior assessment limits improvement procedure 1911 Act guidelines district specification border determination assessment area description
Section § 10209
When assessing the value of land, officials can factor in credit for any land dedicated for public use and improvements paid for by the landowner.
In the assessment of land, credit may be given for dedications and for improvements constructed at private expense.
land assessment credit land dedications private expense improvements land value adjustment public use land land development credit property improvement credit landowner expenses public dedication land valuation process private land expenditures valuation credits real estate assessment property tax considerations land improvement credit
Section § 10210
This law allows a city or town council to speed up certain projects by temporarily moving money from the municipality's funds into a special fund for the project. This transfer is a loan, and it must be paid back using money collected from specific assessments related to the project.
To expedite the conduct of proceedings and the making of any acquisition or improvement authorized by this division the legislative body may at any time transfer into a special fund designated by the name of the improvement proceeding, out of any available funds of the municipality, such sums as it deems necessary. The sums so transferred are a loan to the special fund, and shall be repaid out of the proceeds of the assessments provided for in this division.
municipal funds transfer special fund improvement projects legislative body loan repayment proceeds of assessments assessment proceeds loan to special fund funds for improvements municipality funding expedite proceedings acquisition financing improvement financing municipal loans project funding
