HomeMy WebLinkAbout34 - Proceedings for Reorganization of Territory0
ITEM 34
TO: Members of the Newport Beach City Council
FROM: Dave Kiff, Deputy City Manager
SUBJECT: Notice to Interested Agencies: Intent to Initiate Proceedings for the
Reorganization of Territory
RECOMMENDED 1. Set October 25,1999 as the date of a Public Hearing at which time the City Council will
ACTIONS: consider the adoption of a Resolution of Intention to Initiate Proceedings for the
Reorganization of Territory.
2. Per Government Code §56800(b), direct the City Clerk to mail notice to all affected
agencies of a resolution declaring the City of Newport Beach's intention to initiate
proceedings for the reorganization of territory known as Bay Knolls, the Santa Ana
Heights, and the Newport Coast and Ridge.
3. Direct staff to return to the City Council after acting to:
(a) Complete the METES AND BOUNDS that describe the proposed reorganization
. areas.
(b) Prepare a PLAN OF SERVICE reflecting the draft Plan described in this staff report.
(c) Complete the required ENVIRONMENTAL REVIEW and PLANNING AND
ZONING obligations associated with the proposed reorganization, including the:
(1) Initiation, processing and approval of General Plan Amendments implementing
the "Second Amendment" to the Local Coastal Program (LCP) and other recent
modifications to the Newport Coast and San Joaquin Hills Planned
Communities' land use plans,
(2) Initiation, processing and approval of amendments to the Zoning Code and
Districting Map to conform with (cl);
(3) Initiation, processing and approval of LCP amendments to modify jurisdiction,
incorporate (cl) and (c2), assume Master Coastal Development Permit authority
(after appropriate transition) and other appropriate modifications necessary to
implement the land use plan;
(4) Environmental Documentation for a General Plan Amendment, Zone Change,
Local Coastal Program, Development Agreement, and impacts associated with
plan for services and boundary adjustments and, if necessary, the capital
improvements associated with acquiring the water and sewer infrastructure in
the Newport Coast and Ridge annexation area.
(d) Complete any DEVELOPMENT AGREEMENT and other documents associated
with the processing of development approvals in the Newport Coast and Ridge
area, including:
(1) Any Annexation /Development Agreement with The Irvine Company;
(2) Any Joint Powers Agreement with the County of Orange describing the
processing of development permits.
Newport Beach City Council
Page 2
KBCUMMENDED (e) Complete the PROPERTY TAX EXCHANGE AGREEMENTS required by Revenue
ACTIONS: and Taxation Code §99 and §99.1;
(cont'd) (� Complete any remaining Fiscal Impact Analyses of the proposed reorganization
areas;
(g) Upon adoption of the Resolution of Intention to Initiate Proceedings, pay any
applicable filing fees (in an amount not to exceed $6,500) to the Orange County
Local Agency Formation Commission (LAFCO);
(h) Take any other action that may be necessary to inform the city s residents, other
local agencies, residents within the reorganization areas, and others about the
proposed reorganization of territory.
BACKGROUND: The City of Newport Beach today has about 72,600 residents and covers 21,930 acres
(including bay and oceanfront tidelands). Since incorporation in 1906, the City has
processed 94 annexations. The City's last annexations occurred in 1998, when it added
two small parcels of land -one in Corona del Mar and one near Upper Newport Bay
Most incorporated cities, including Newport Beach, have "Spheres of Influence" that
bound their municipal limits. State law defines a sphere of influence as a "plan for the
probable physical boundaries and service area of a local agency' as determined by the
Local Agency Formation Commission or "LAFCO." The City's Sphere of Influence
includes about 5,439 acres of land not currently within the City limits. These areas
include:
• West Newport/Banning Ranch (357 acres)
• Portions of Santa Ana Heights (197 acres)
• Newport Coast and Newport Ridge (4,885 acres)
State law does not require a city to annex the remainder of its Sphere of Influence by a
time certain. But it does offer guidance to LAFCOs and to local officials as follows:
"The Legislature .. recognizes that when areas become urbanized to the extent that they nerd the full range of
community services, priorities are required to be established regarding the type and levels of services that the
residents of an urban community need and desire; that community service priorities be established by weighing
the total community service needs against the total financial resources available for securing community
services; and that those community service priorities are required to reflect local circumstances, conditions, and
limited financial resources. The Legislature finds and declares that a single governmental agency, rather than
several limited purpose agencies, is in many cases better able to assess and be accountable for community
service needs and financial resources and, therefore, is the best mechanism for establishing community service
priorities." Government Cade §56001
As noted in state law, local officials establish community service priorities by weighing
community service needs against the financial resources available to "secure community
services." This "weighing- is typically done by identifying an area within a city's Sphere
of Influence and then completing a Fiscal Impact Analysis of the area —the Analysis looks
at the revenues and likely expenses involved in annexing new territory.
Similarly, the City of Newport Beach's Council Policy D -2 requires the City to follow
"Annexation Guidelines" that examine the fiscal impacts of an annexation prior to the
Council's formal evaluation of an annexation proposal. The review required by Council
Policy D-2 includes:
• A Statistical Summary
• Land Use and Planning Summaries
• A Plan of Services
• Traffic and Circulation information
• Demographics
• Costs to correct improper development
• A Cost - Benefit Analysis
• more
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Page 3
BACKGROUND: In late 1997, the Newport Beach City Council hired a consultant to complete a Fiscal
(cont'd) Impact Analysis of the Newport Coast and Ridge area. The consultant, Stan Hoffman,
presented this information to the City Council in early 1998. The data showed that the
City would be able to serve the Newport Coast and Ridge community without causing a
drain on City General Fund revenues. Assuming a strong economy and full build out of
the residential and commercial areas in the Newport Coast and Ridge, Mr. Hoffman's
data showed that the City would enjoy a surplus in revenue associated with the Coast in
later years.
City staff completed a detailed 86 -page staff report associated with this information and
the Newport Coast and Ridge development dated February 23,1998. This report and Mr.
Hoffman's analysis is available in the City Manager's Office.
At the time, the City Council was approached by several residents of the Newport Coast
community who asked the City to delay any action on annexing the Newport Coast and
Ridge until the residents could study annexation further and discuss their needs with City
staff and City officials. The Council appointed an ad hoc committee to meet with the Coast
residents -these meetings occurred over an 18 month period.
City staff believes that it is time to conclude the meetings with the Coast residents and to
ask the City Council to formally begin reorganization proceedings in the Newport Coast
and Ridge. At the same time, the County of Orange offered to increase its contribution to
the City's share of the property tax apportioned in the Newport Coast if the City would
agree to annex the Bay Knolls territory near Tustin Avenue. Finally, the ad hoc committee
expressed its intent to revisit the annexation of Santa Ana Heights in an effort to
consolidate these three annexations in one single reorganization application to LAFCO.
More details about each area - and the proposed Plan of Service for each area - follow.
ATTACHMENTS: Attachment A: Summary of Annexation Areas
Attachment B: Proposed Plan of Service
Attachment C: Summary of LAFCO Process
Attachment D: Proposed Resolution of Intention to Initiate Proceedings to Reorganize
Territory (including maps of reorganization areas)
Attachment A
Newport Beach Annexations*
Page 4
i
Bay Knolls
76
650
253
253
0
0
$54,087,128
$213,783
$105,297
$0
0
City of Newport
Newport Coast
Newport Coast
Santa Ana
Beach
(Today)
( Buildout)
Heights
Acreage
21,930
4,885
4,885
197
Population (est)
72,600
4,207
11,000
1,124
Dwelling Units
37,044
1,976
4,639
406
— Single Family
15,242
1,367
3,830
352
— Multi - Family
20,855
609
809
54
Resort/Hotel Units
2,600
0
2,150
0
Assessed Valuation
$12,330,205,468
$1,622,950,081
$4,000,000,000
$120,336,550
Average AV per DU
$821,331
$862,255
$296,395
Annual Property Tax
$20,700,000
$2,705,189
$6,767,399
$225,223
Annual UTOT
$7,000,000
$0
$571,000
$0
1% of County's GF Share
in Coast
$162,300
$406,004
Information includes estimates of dwelling
units and buildout
assessed valuation
Page 4
i
Bay Knolls
76
650
253
253
0
0
$54,087,128
$213,783
$105,297
$0
0
Page S
Water
Wholesale /Retail
Attachment B
Mesa Consolidated /IRWD
N/A
Improvement District
N/A
N/A
PROPOSED PLAN OF SERVICE
Solid Waste
Costa Mesa San District
AREA A - BAY KNOLLS
N/A
SERVICE
CURRENT PROVIDER PROPOSED PROVIDER
EFFECTIVE DATE
Public Softly
Lighting and Landscaping Assessment District
Assessment District
Police Protection
OC Sheriff Newport Beach PD
July 1, 2000
Fire Protection
OC Fire Authority Newport Beach Fire /Marine
July 1, 2000
Paramedic /Ambulance
OC Fire Authority Newport Beach Fire/Marine
July 1, 2000
Animal Control
County of Orange Newport Beach PD
July 1, 2000
Utilities
Redevelopment
OC RDA
Sewerage
N/A
Community Services
Collection
Costa Mesa San District Costa Mesa San District
N/A
Treatment /Disposal
OC Sanitation District OC Sanitation District
N/A
Reclamation
N/A N/A
N/A
Water
Wholesale /Retail
Mesa Consolidated /IRWD
Mesa Consolidated /IRWD
N/A
Improvement District
N/A
N/A
N/A
Solid Waste
Costa Mesa San District
Costa Mesa San District
N/A
Public Works
Lighting and Landscaping Assessment District
Assessment District
N/A
Flood Control
OC Flood Control
OC Flood Control
N/A
Street Maintenance
County of Orange
City of Newport Beach
July 1, 2000
Community Deodopment
Redevelopment
OC RDA
OC RDA
N/A
Community Services
Parks
None
City of Newport Beach
July 1, 2000
Recreation Programs
None
City of Newport Beach
July 1, 2000
Library Service
OCPL
City of Newport Beach
July 1, 2000
7
SERVICE
Public Safety
Police Protection
Fire Protection
Paramedic /Ambulance
Animal Control
Utilities
Sewerage
Collection
Treatment /Disposal
Reclamation
Water
Wholesale /Retail
Improvement District
Solid Waste
Public Works
Lighting and Landscaping
Flood Control
Street Maintenance
Community Development
Redevelopment
Community Services
Parks
Recreation Programs
Library Service
PROPOSED PLAN OF SERVICE
AREA B - SANTA ANA HEIGHTS
CURRENT PROVIDER
OC Sheriff
OC Fire Authority
OC Fire Authority
County of Orange
IRWD
OC Sanitation District
N/A
IRWD
N/A
Waste Management, Inc.
N/A
OC Flood Control
County of Orange
OC RDA
None
None
OCPL
PROPOSED PROVIDER
Newport Beach PD
Newport Beach Fire /Marine
Newport Beach Fire /Marine
Newport Beach PD
IRWD
OC Sanitation District
N/A
IRWD
N/A
Waste Management, Inc.
N/A
OC Flood Control
City of Newport Beach
OC RDA
City of Newport Beach
City of Newport Beach
City of Newport Beach
Page 6
EFFECTIVE DATE
July 1, 2000
July 1, 2000
July 1, 2000
July 1, 2000
N/A
N/A
N/A
N/A
N/A
N/A
N/A
N/A
July 1, 2000
N/A
July 1, 2000
July 1, 2000
July 1, 2000
E
0
0
PROPOSED PLAN OF SERVICE
AREA C - NEWPORT COAST AND RIDGE
SERVICE
CURRENT PROVIDER
Public Safety
IRWD
Police Protection
OC Sheriff
Fire Protection
OC Fire Authority
Paramedic /Ambulance
OC Fire Authority
Animal Control
County of Orange
Utilities
OC Flood Control
Sewerage
County of Orange, HOAs
Collection
IRWD
Treatment /Disposal
IRWD /OC Sanitation District
Reclamation
IRWD
Water
Wholesale /Retail
IRWD
Improvement District
IRWD
Solid Waste
Waste Management, Inc
Public Works
Lighting and Landscaping
OC AD 88 -1, 92 -1
Flood Control
OC Flood Control
Street Maintenance
County of Orange, HOAs
Community Development
Redevelopment
N/A
Community Services
Parks
HOAs, NC Master Assn.
Recreation Programs
None
Library Service
OCPL
PROPOSED PROVIDER
Newport Beach PD
Newport Beach Fire /Marine
Newport Beach Fire /Marine
Newport Beach PD
City of Newport Beach
City/OC Sanitation District
City of Newport Beach /IRWD
City of Newport Beach
City of Newport Beach
Waste Management, Inc
OC AD 88-1,92-1
OC Flood Control
City of Newport Beach, HOAs
N/A
City of Newport Beach
City of Newport Beach
City of Newport Beach
Page 7
EFFECTIVE DATE
July 1, 2000
July 1, 2000
July 1, 2000
July 1, 2000
July 1, 2000
July 1, 2000
July 1, 2000
July 1, 2000
July 1, 2000
N/A
N/A
N/A
July 1, 2000
N/A
July 1, 2000
July 1, 2000
July 1, 2000
Attachment C
Summary of LAFCO Reorganization Process
A Graphical Description
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Page 8
_ .
Residents M Area to he
SAM
May file wmten pn test
against the reorgareation
up urng the dose of dre
Ob/s hearing
May vote on the Question
'shall (area) be annexed to
the City or Newport
BeaUB'
Residents begin reodving
services from
City of Newport Beach.
I*
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Attachment D
RESOLUTION NO. 99-DRAFT
A RESOLUTION OF APPLICATION
BY THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH
REQUESTING THE LOCAL AGENCY FORMATION COMMISSION
TO INITIATE PROCEEDINGS
FOR THE REORGANIZATION OF TERRITORY
WHEREAS, the City of Newport Beach desires to initiate proceedings pursuant
to the Cortese -Knox Local Government Reorganization Act of 1985, commencing with
Section 56000 of the California Government Code, for a reorganization which would
concurrently:
(1) Annex territory to the City of Newport Beach;
(2) Detach territory from the Sphere of Influence (SOI) of the City of Costa Mesa;
and
(3) Detach territory from the City of Costa Mesa,
(4) Detach territory from the Orange County Library District; and
(5) Detach territory from the Irvine Ranch Water District;
WHEREAS, this reorganization shall be known as the "Newport Coast /Bay
Knolls /Santa Ana Heights Annexation" and includes three distinct " areas" that shall be
known as follows:
Area A -Bay Knolls
Area B -Santa Ana Heights
Area C - Newport Coast and Ridge
WHEREAS, notice of intent to adopt this resolution of application has been
given, and this Council has conducted a public hearing based upon this notification;
and
WHEREAS, the principal reasons for the proposed reorganization are as follows:
(a) the City anticipates that it can provide more efficient municipal services,
especially in the areas of law enforcement and community recreational
services, to the Areas than currently provided; and
(b) the annexation of the Areas, with limited exception, is an anticipated result of
the City's review of service provision to the property within its Sphere of
Influence;
r:,
Resolution 99-_
Page
(c) the City seeks to assist the County of Orange and Orange County LAFCO in
improving and simplifying the service delivery, jurisdiction, and governance
of several unincorporated "islands" adjacent to the City.
WHEREAS, the following agencies would be affected by the proposed
jurisdictional changes:
AGENCY
City of Costa Mesa
City of Newport Beach
County of Orange
Orange County Library District
Orange County Fire Authority
Irvine Ranch Water District
NATURE OF CHANGE
Detachment from Sphere of Influence and
detachment from City
Annexation to City boundaries
Reorganization of unincorporated territory
Detachment from territory
Detachment from service area
Detachment from territory
WHEREAS, the territory proposed to be annexed is inhabited and a description
of the boundaries of the territory is set forth in:
Area A - Exhibit A
Area B - Exhibit B
Area C - Exhibit C
and attached hereto and by this reference incorporated herein; and
WHEREAS, this proposal is not consistent with one or more of the adopted
spheres of influence for the agencies subject to this reorganization; therefore, it is
proposed that spheres of influence be concurrently amended; and
WHEREAS, it is desired that the proposed annexation be subject to the following
terms and conditions: NONE: and
WHEREAS, this City Council certifies that portions of this project are exempt
from CEQA under section 15319 of the State CEQA guidelines.
NOW, THEREFORE, this Resolution of Application is hereby adopted and
approved by the City Council of the City of Newport Beach, and the Local Agency
Formation Commission of Orange County is hereby requested to take proceedings for
the reorganization of territory as described in Exhibits A, B, and C (the "Newport
Coast /Bay Knolls /Santa Ana Heights Annexation "), according to the terms and
conditions stated above and in the manner provided by the Cortese -Knox Local
Government Reorganization Act of 1985.
0
is
•
4
0 ADOPTED this 25th day of October 1999.
ATTEST:
LaVONNE HARKLFSS
CITY CLERK
0
DENNIS D. O'NEIL
MAYOR
Resolution 99 -_
Page 3
Resolution 99 -_
Page
Exhibit A — BAY KNOLLS
9
0
•
t>
Resolution 99-_
Page 5
Exhibit B -SANTA ANA HEIGHTS
ra
Bay Knolls Homeowners
J 2215 Donnie Road, Newport Beach, California 92660
"RECEIVED AFTER AGENDA
PRINTED:" �3`F q-14 -9rl
September 24, 1999
David Kiff, Deputy City Manager
City of Newport Beach
3300 Newport Blvd.
Newport Beach, California 92663 -3884
RE: Support for Bay Knolls Annexation to the City of Newport Beach
Dear Mr. Kiff:
The Bay Knolls Steering Committee has reviewed the staff report including the attachments
and proposed Resolution for Agenda Item 34 (Noticed to Interested Agencies: Intent to
• Initiate Proceedings for the Reorganization of Territory). We support annexation to the City
of Newport Beach in accord with the boundaries shown on "Exhibit A -- Bay Knolls" of the
attached Resolution. Representatives of Bay Knolls will be available to respond to questions
from the Council, if necessary.
Sincerely, Sincerelv.
J V1L1t /Vl Va 1 l�1fY UVl
Member of Bay Knolls Homeowners Member of Bay Knolls Homeowners
Steering Committee Steering Committee
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