RECOMMENDED ACTION

City Council conduct a second reading and adopt an ordinance entitled, "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, DETERMINING THE ANNUAL STORMWATER POLLUTION PREVENTION FEE FOR FISCAL YEAR 2012-2013."

BACKGROUND

The collection of the Annual Stormwater Pollution Prevention Fee (Fee) began in 1992. The Fee is used to meet the requirements of the 1972 Federal Clean Water Act and National Pollutant Discharge Elimination System Permit (Permit). Under this Permit and with the Fees collected, programs are administered and funded, such as pollution education and prevention, street sweeping, and cleaning of storm drain catch basins.

Pursuant to Section 15.50.070 of the City’s Municipal Code, the City shall annually hold a public hearing or meeting where an oral and written presentation may be made in connection with the Fee. The City Clerk has published notice of such annual public hearing as provided by law, and a public hearing was scheduled and held on May 22, 2012.

In 2009, property owners approved the Fee by a vote through a Mailed Ballot Special Election process that was conducted per the requirements of the California State Constitution and under Proposition 218 and Article XIIID. With a new rate methodology, the approved Fee reduced the annual stormwater cost for most residential property owners. A total of 13,459 valid ballots were received; of those 10,294 (76%) voted “yes,” and 3,164 (24%) voted “no.” As a result, the City Council held a public hearing on October 27, 2009, and adopted Ordinance No. 09-14 (Ordinance), establishing the new methodology to be used to calculate the Annual Stormwater Pollution Prevention Fee.

Pursuant to Section 3 of the Ordinance, the City Council shall annually determine the rates of the Fees subject to the maximum fees authorized by the Ordinance. The City Council may determine to do any of the following: a) discontinue the Fee, b) reduce or maintain the actual Fee rate imposed below the maximum Fee rate authorized, or c) increase their rate up to or below the maximum voter-authorized rate if it has been previously set below such rate. The City Council shall not be required to include an inflation increase in each year but may accumulate the inflationary increase and enact the cumulative amount.

It is proposed that the Stormwater Pollution Prevention Fee for fiscal year 2012-2013 be imposed at the same level as fiscal year 2011-2012. The amount of the Fee for fiscal year 2012-2013 will be $22.45 per Equivalent Residential Unit (ERU). The amount of the Fee for fiscal year 2012-2013 is $0.45 less than the maximum voter-approved rate of $22.90 which is inclusive of a rate increased by an amount equal to the Consumer Price Index for All Urban Consumers, for the Los Angeles, Riverside, and Orange County areas. For the preceding year ending March 2012, the calculated change to CPI has been determined to be 2.02 percent.

The accumulation of an inflationary increase provides maximum flexibility for the City to meet future National Pollutant Discharge Elimination System (NPDES) Permit obligations imposed upon Santa Clarita by the State of California through the Los Angeles Regional Water Quality Control Board. While still being developed by the Regional Water Board, staff anticipates Santa Clarita's new permit will include additional reporting, the creation of a monitoring program, additional construction monitoring requirements, and incorporation of Total Maximum Daily Loads (TMDLs).

An annual report and preliminary list of the rates for each identified parcel subject to the Fees for fiscal year 2012-2013 has been prepared (Annual List) and is on file with the City Clerk. Having conducted the Public Hearing on May 22, 2012, the City Council may consider the attached ordinance determining the rate for the Annual Stormwater Pollution Prevention Fee for fiscal year 2012-2013. If the attached ordinance is adopted, Willdan Financial Services, Inc. is directed to prepare and file the Annual List with the Los Angeles County Auditor Controller to be placed on the tax rolls and collected with regular City and County taxes.

ALTERNATIVE ACTIONS

Other action as determined by the City Council.

FISCAL IMPACT

There is no impact to the General Fund with this action.

ATTACHMENTS

Ordinance
Stormwater Pollution Prevention Fee - FY 2012-2013 Annual Fee Report (Available in City Clerk's Reading File)