TO: Members of the Governing Board
FROM: Christopher Silke, District Engineer
REPORT BY: Annamaria Martinez, Assistant Engineer
SUBJECT: Fiscal Year 2025-2026 Availability Charge Public Hearing
RECOMMENDATION
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Adopt a Resolution accepting the District Engineer’s report and imposing the availability (standby) charges for Fiscal Year 2025-2026 of $10 per parcel per month for water service, and $10 per parcel per month for sewer service for the Napa Berryessa Resort Improvement District. (Fiscal Impact: $127,300 Revenue; Napa Berryessa Resort Improvement District Fund; Budgeted; Discretionary)
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BACKGROUND
Today's action is to consider any objections or protests with respect to the water and sewer availability charge for the Napa Berryessa Resort Improvement District (District). District staff recommends continuing the current availability charges for water and sewer service for next fiscal year.
The District was established by the Resort Improvement Act in the 1960’s. Due to various parcel mergers over the years, the District currently contains approximately 552 parcels and assesses a water and sewer availability charge to each parcel, whether developed or not. The availability charge is collected by the County Treasurer along with the normal property tax on each parcel. Revenues generated by these charges are appropriated through the District’s annual budget and fund the maintenance and upgrade of existing water and sewer system facilities.
The water/sewer availability charge was established in 1996 at $240 per parcel per year ($10 per parcel per month for water and $10 per parcel per month for sewer). The amount of this charge, and the parcels to which it is assessed, must be established annually by a Report of the District Engineer. The Engineer’s Report includes a listing of parcels by Assessor’s Parcel Number and the corresponding amount of the charge for Fiscal Year 2025-26. These proposed availability charges have remained unchanged since before January 1, 1997, and therefore do not need voter approval under Proposition 218.
The Engineer's Report shows a calculated revenue for the Availability Charge of $132,000, assuming that every parcel pays the amount billed on their tax bill in full and no delinquency is realized. The revenue from the Availability Charge that is budgeted in the operations and maintenance budget - totaling $127,300 - is an estimated amount that includes an approximate 4.5% delinquency rate - which matches the delinquency rate sometimes seen with water/sewer user fees.
Requested Actions:
1. Adopt a Resolution accepting the District Engineer’s report and imposing availability charges for fiscal year 2025-2026.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
Yes |
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Where is it budgeted? |
The revenue is budgeted within the NBRID Operations Budget |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
The District would not receive the revenue from the availability charges |
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Is the general fund affected? |
No |
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Future fiscal impact: |
None |
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Consequences if not approved: |
The availability charge provides a necessary annual revenue source for the operating budget. Without the revenue generated by the availability charges, the District will have insufficient funds to cover operations and maintenance expenses. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by 14 California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.