HomeMy WebLinkAboutAGENDA REPORT 1994 0504 CC REG ITEM 11J1!)"ADK. CAUFe I
',:DN: u •�
AGENDA REPORT
CITY OF MOORPARK
ITEM /1* J06-
TO: Honorable City Council
FROM: Mary R. Lindley, Assistant to the City Manager){/-,
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
Direct staff as deemed appropriate
c: \wp51 \legis \sbl448.agd
SENATE BILL 1448 (ROBERTI)
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
f#�#
DF: 2 -22 -94
1 loom monlbeneli 1.2\newsum
Prepared by the California Library Association's Legislativf? Committee - Benefit Assessment Legislation Task Force
QUESTION AND ANSWER SHEET
SENATE BILL 1448 — LIBRARY BENEFIT ASSESSMENT
What Is a benefit assessment?
Benefit assessment (also sometimes referred to as a "special assessment" or "local
assessment ") is a mechanism used by local governments to finance specific services,
programs or improvements by assessing real property. The amount of the assessment
is based on the degree of benefit received by the property from the service or
improvement being financed. The benefit assessment process is well established in
current law and is used for services such as fire protection, flood control, street lighting
maintenance, and parks.
2. What Is the process for establishing an assessment district for library service? Will
I get to vote on it?
Each local agency which operates a public library would have the option to establish its
own assessment district for library service for properties within the affected service area.
SB 1448 spells out the procedures for implementing the assessment district, including due
process safeguards for property owners. The local agency, such as a city or county, can
establish the assessment district by providing public notice to the affected property
owners, conducting public hearings, adopting an ordinance, and submitting the proposal
to an election for majority approval by the voters.
3. Since I already pay property taxes, why do we need benefit assessment to pay for
library service?
Property taxes are collected for general expenditures of the government entity without
regard to any particular service. Due to the current crisis in financing state and local
government, and the State's shift of property taxes to schools, property taxes alone are
inadequate to finance all local services. Many libraries already must compete with other
city or county general fund services for dwindling revenues. In addition, libraries do not
generally have sufficient, if any, fee authority to replace lost revenues resulting from
property tax shifts and other revenue shortages. Passage of SB 1448 would give local
agencies an added revenue source which is dedicated specifically to financing library
services.
4. Will I have to pay an assessment If I live outside the assessment district?
No. The assessment applies only to the properties located within the district, and includes
only the areas to which the local agency is responsible for providing library services. For
example, it the Board of Supervisors establishes an assessment district for the County
Library, you would pay that assessment only if you live in a city or unincorporated area
served by the County Library. If you live in a city which operates its own independent city
library, you would pay only the charge for that library assessment district if your city
council establishes one.
5. Who pays the assessment charge and how much 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 method proposed in
SB 1448, does not require a special tax. In addition, it applies more broadly to any local
agency, not just to counties.
DF: 2.22 -94
F.Acro mon:benoti1.2%&A.5
Prepared by the Galitomia Library Association's Legislative Comminee -- Benefit Assessment Legislation Task Force