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HomeMy WebLinkAboutAGENDA REPORT 1994 0518 CC REG ITEM 11G„77'ArX CAL!70^N ON: AGENDA REPORT CITY OF MOORPARK ITEM I/• X*,- TO: Honorable City Council FROM: Mary R. Lindley, Assistant to the City Manageri /4/`, DATE: April 29, 1994 SUBJECT: Consider Support for SB 1448, Library Services Assessments Background If approved, SB 1448 (Roberti) would authorize a local agency that provides library services to establish an assessment district and levy an annual assessment for library services with a majority vote of its residents. The City Council opposed a similar bill by the same author in 1993. That bill was approved by the State legislature but was vetoed by Governor Wilson. SB 1448 allows local officials that are authorized to provide library services to levy benefit assessments to pay for library services, including the construction and furnishing of library facilities. To levy a library services assessment, a local agency must hold a public hearing. Public hearing notices must be sent to all affected property owners at least 45 days before the hearing. If, at the public hearing, protests are received by 50 percent of the total value of the proposed assessment, officials must abandon the assessment. If, however, less than 50 percent protest, the agency can put the assessment on a ballot for majority voter approval. In subsequent years, local officials can levy assessments without giving individuals mailed notices as long as the assessments do not exceed the maximum assessment cap set by the original assessments. To increase the cap, another public hearing must be held and notices mailed to property owners. SB 1148 failed passage on the Senate floor, but was granted reconsideration. A date for reconsideration has not yet been set. The League of California Cities supports the bill. Recommendation ro riate MOORPARK. Imoc ^,'.t Direct staff as deemed appropriate il P City Cou� Mee of 1�YJ c: \wp51 \legis \sb1448.agd ACTION: SENATE BILL 1448 (ROBERT[) LIBRARY SERVICES ASSESSMENTS The California Library Association is sponsoring legislation to create statutory authority for financing of public library services through assessments on real property. Under procedures outlined in SB 1448, a local agency, such as a city or county, can establish a benefit assessment district by providing notice to affected property owners and conducting a public hearing. The bill provides due process safeguards for property owners, including a majority protest procedure and a mandatory election before any assessments can be levied. The bill provides flexibility for local agencies to set their own assessment amount based on local needs. In addition, the funds are restricted to use for library services. Assessments may be used for any public library service or facility costs. Summary of Bill: The legislation would add provisions to the Government Code to allow creation of assessment districts for library services, subject to approval by the voters, and would contain the following elements: • Allows a local agency to form an assessment district in any area to which it makes library services available. Applies to any local agency authorized by law to provide library services, including cities, counties, library districts and joint powers authorities. • Annual assessments on properties in the district are based on the benefit of library services to the properties. Zones with separate apportionment methods may be established. • Assessments may pay for all services and facilities provided by a local agency in connection with a public library. • Notice of public hearing is given by publication, posting and mailing to all property owners in the proposed assessment district. • If written protests are received representing less than 50 percent of the total annual assessment, the proposal must be approved by a majority of the voters in the proposed district. If written protests are received by persons representing more than 50 percent of the expected revenues, the proposal must be abandoned. • District is established and maximum assessment is set by ordinance or resolution after the noticed public hearing and election with majority voter approval. • An annual report containing the annual assessments must be approved by the legislative body after a noticed public hearing, with notice provided by publication and posting. • The annual assessments cannot exceed the maximum set when the district was formed, except after a public hearing for which notice by publication, posting and mailing has been given. The legislation is proposed as an urgency measure to take effect immediately upon enactment DF: 2 -22 -94 1:lcornmoMbeneli t.2Vnewsum Prepared by the California Library Association's Legislative Committee -- Benefit Assessment Legislation Task Force 5. Who pays the assessment charge and how mucfi will It cost? Only property within the Library's service area can be included in the library assessment district. All property owners within the established assessment district are responsible for paying the assessment. The amount will vary in each library jurisdiction since it will be set based on the needs of each local agency. The amount is levied on an annual basis and added to your regular property tax bill 6. How Is an assessment different from a property tax.? The law makes a formal distinction between a tax, which is levied for general expenditures, and an assessment, which is used to finance specific services or facilities. Taxes are raised for the general revenue of the governmental entity to pay for a variety of services. Property taxes typically are ad valorem, meaning that they are based on the value of the property taxed. Assessments are charges against property to pay for services which benefit the affected property and are based on the degree of benefit to the property. 7. Isn't this really just a way around Proposition 13 to charge higher property taxes? No. The law distinguishes between taxes and assessments and this is not a property tax. California court decisions have ruled on the formal differences between taxes and assessments, including findings that assessments are not subject to the Constitutional restrictions on ad valorem property taxes or special taxes enacted by Proposition 13. 8. Why not just charge everyone who uses the library a fee for their library card? Public libraries are restricted from charging a fee for providing basic library service. Therefore, charging for a library card would violate this restriction. 9. Will approval of this bill Impose an assessment on my property automatically? No. SB 1448 does not implement the assessment. It merely establishes the legal authority for local agencies, such as cities, counties and special districts, to use this method of financing library services. It will still take a separate action by the local governing agency to give notice, hold public hearings, and to hold an election to implement an assessment district and levy an assessment. 10. How Is an assessment district different from a county service area? A county board of supervisors may establish a county service area to provide various kinds of services. However, a county service area for library service is financed only through special taxes. On the other hand, the benefit assessment metliod proposed in SB 1448, does not require a special tax. In addition, it applies more broadly to any local agency, not just to counties. OF: 2 22.94 F .1cm m on :b eno fi t. 210- /l 5 Prepared by the Califomia Library Association's Legislative committee - Benefit Assessment Legislation Task Force