TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Kim Summers, City Manager
PREPARED BY: Isaac Bravo, Management Analyst
SUBJECT:
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Consider the Levy of 2023 Delinquent Refuse Service Charges on the Fiscal Year 2024/25 Property Tax Roll
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RECOMMENDATION
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Conduct a Public Hearing; and
Adopt Resolution No. 24-4770 entitled: A Resolution of the City Council of the City of Murrieta, California, Affirming the Report of Delinquent Refuse Charges and Directing their Collection on the Fiscal Year 2024/25 Property Tax Roll.
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PRIOR ACTION/VOTE
On June 18, 2019, the City Council adopted Resolution No. 19-4100, approving the report for 2018 for delinquent refuse service charges and certifying them for collection with property taxes (Vote: 5-0).
On July 21, 2020, the City Council adopted Resolution No. 20-4292, approving the report for 2019 for delinquent refuse service charges and certifying them for collection with property taxes (Vote: 4-0-1).
On July 6, 2021, the City Council adopted Resolution No. 21-4438, approving the report for 2020 for delinquent refuse service charges and certifying them for collection with property taxes (Vote: 5-0).
On June 21, 2022, the City Council adopted Resolution No. 22-4591, approving the report for 2021 for delinquent refuse service charges and certifying them for collection with property taxes (Vote: 5-0).
On August 1, 2023, the City Council adopted Resolution No. 23-4696, approving the report for 2018 for delinquent refuse service charges and certifying them for collection with property taxes (Vote: 5-0).
CITY COUNCIL GOAL
Maintain a high performing organization that values fiscal sustainability, transparency, accountability and organizational efficiency.
BACKGROUND
Under the City of Murrieta’s (City) franchise agreement with Waste Management for solid waste collection, the City has agreed to consider annually whether to lien residential properties with delinquent refuse hauling service charges from the previous calendar year or impose a lien on the property. The City Council must conduct a public hearing to consider the charges that remain delinquent from 2023, and then adopt a resolution certifying the delinquent fees for collection on the Fiscal Year 2024/25 property tax roll (Attachment No. 1). This hearing is the opportunity for any property owner to object to the fees imposed on its property.
The public hearing for this item was properly noticed on June 16, 2024 in the Press Enterprise, Daily Bulletin, and San Bernardino Sun. Additionally, Waste Management sent a notice on April 23, 2024, advising property owners of overdue balances and collection efforts to recover payment in an effort to seek proactive payment prior to placing the fees on the property tax roll.
The annual levy of delinquent fees from 2023, is in consideration of the City’s requirement of Waste Management that no residential property can have regular refuse service stopped due to unpaid fees. This was done because the City does not wish to encourage illegal dumping and has a mandatory service requirement for all properties in the community. Mandatory refuse service is also an important component of the City’s ability to meet the State’s mandatory landfill diversion requirements imposed by SB 1383.
As of May 1, 2024, delinquent refuse charges for 1,448 parcels payable to Waste Management total $464,325.84. Details on the properties and amounts at issue are included in Attachment A to the Resolution. Including penalties and interest, the total proposed levy amount is $602,686.80. This levy is a pass-through. The City will remit any amounts collected from this action to Waste Management, less actual administrative costs incurred to process the collection and remittance of the delinquent charges, per the City’s franchise agreement with Waste Management.
FISCAL IMPACT
The City retains ten percent of any amount collected pursuant to the collection of unpaid solid waste services to offset administrative costs incurred to process the collection and remittance of the delinquent charges. The amount of this collection is included in the Fiscal Year 2024/25 Operating Budget under 1100000-40019.
ATTACHMENTS
1. Resolution No. 24-4770