TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Brian Ambrose, Community Services Director
PREPARED BY: Crystal Arora, Management Analyst - Parks & Recreation
SUBJECT:
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Public Hearing of the Murrieta Community Services District to Consider Ordering the Levy and Collection of Annual Assessments
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ABSTRACT
The following agenda report requests that the Community Services District Board of Directors’ hold a public hearing, approve the final Engineer’s Annual Levy Report, and order the collection of the rates and charges within the Murrieta Community Services District. A public hearing is held annually to review the rates and charges of the Murrieta Community Services District.
RECOMMENDATION
recommendation
Conduct the public hearing; and
Amend the Fiscal Year (FY) 2026/27 Operating Budget to reflect revenue budget and expenditure appropriations across all Community Services District Local Zones to include final totals from the Engineer’s Report; and
Adopt Resolution No. CSD 26-288 entitled: A Resolution of the Board of Directors of the Murrieta Community Services District (1) Approving the Engineer’s Annual Levy Report for the Levy and Collection of Rates and Charges within the Murrieta Community Services District for Fiscal Year 2026/27, and (2) Ordering the Levy and Collection of Rates and Charges within the Murrieta Community Services District for Fiscal Year 2026/27; and
Direct the Board Secretary to file the levy with the County Auditor upon adoption.
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PRIOR ACTION/VOTE
On May 5, 2026, the Board of Directors approved Resolution No. CSD 26-287, preliminarily approving the Fiscal Year 2026/27 Engineer’s Report and setting a public hearing date for July 7, 2026 (Vote: 5-0).
STRATEGIC ALIGNMENT
This item aligns with the City Council goal of: maintaining a high performing organization that values fiscal sustainability, transparency, accountability and organizational efficiency relating to an administrative priority.
DISCUSSION
On May 5, 2026, the Community Services District (CSD) Board of Directors (Board) adopted a resolution for the approval of the preliminary Engineer’s Levy Report (Report) and initiated proceedings for the levy and collection of annual assessments to be placed on the County tax rolls for parcels within the limits of the Murrieta Community Services District. There were no proposed changes by the Board, and the final Engineer’s Annual Levy Report, including the annual assessments, is presented herein for approval. The Report is an exhibit to the attached Resolution. These assessments provide funding for costs and expenses required for the following services provided by the CSD for Fiscal Year 2026/27:
a) Local Benefit Zone: Personnel and expenditures required for maintenance, servicing, and operations of the local parks and open space areas, local perimeter and parkways, and local street lighting; and
b) Exempt Services: Personnel and expenditures required for maintenance, servicing, and operations of flood/drainage control improvements, and street sweeping services.
The “Local Benefit Zones” span fourteen (14) zones. The rates and charges (Assessments) to each Assessor’s Parcel Number (APN) in its respective zone is directly related to the improvements, the number and types of services provided, the cost associated with those improvements and services, and the number and types of parcels that benefit from those improvements. Much of the development within the City consists of planned developments, referred to as Specific Plans. Most of the zones can be identified geographically by Specific Plan boundaries or by individual tract boundaries. The annual assessments associated with local improvements are budgeted separately for each zone and charged to only those APNs or parcels that benefit from those improvements and services. The annual assessment for each zone varies and is based on the services received, ranging from $45.44 for just flood/drainage control and street sweeping to $751.16, which also includes landscape maintenance and local street lighting in a commercial business center. Please refer to the charts on pages 19-21 of the Engineer’s Report for each zone assessment.
The annual assessments are for “Exempt Services” for flood/drainage control at $39.72 per APN and street sweeping at $5.72 per applicable APN in specific residential tracts and developments. These improvements and services continue to be levied at the same rates and methods of apportionment established prior to the adoption of Proposition 218.
Pursuant to the CSD Code, annual notices were mailed to each parcel owner subject to the annual rates and charges, indicating that an Engineer’s Report has been filed, and the time and place of the Public Hearing to be held before the Board. Following consideration of public comments and any written protests presented to the Board, the Board may order amendments to the Engineer’s Report or approve the report and confirmation of the rates and charges. The Board may then order the levy and collection of the charges for Fiscal Year 2026/27 through approval of the presented resolution.
History
The CSD was formed in 1993 with rates and charges set and established annually pursuant to Community Services District Law 61000, Section 61621 (repealed in 2005 and replaced with Section 61115), Title 6, Division 3 of the California Government Code (CSD Code) and in compliance with the substantive and procedural requirements of the California State Constitution Article XIIID. The parcels receiving this assessment are identified by their own APN. The County Auditor/Controller uses APNs to identify on the tax roll properties charged for this special district benefit. In accordance with the State Constitutional amendments set forth in Proposition 218 (approved by California voters in November 1996), the costs and rates and charges associated with the services and improvements by the CSD were re-established for the services listed above.
In 1997, the Board initiated and conducted property owner protest ballot proceedings establishing the charges for the local improvements and services in each zone. The property owners approved the local benefit assessments for each zone that established a maximum rate for each zone. These assessments have not increased for this next fiscal year and continue to be levied at the rate approved by the property owners in 1997. Any future increase to the approved assessments will require additional property owner ballot proceedings and approval by the affected properties.
PUBLIC NOTICING
The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). Property owners within the Community Services District received notice of the public hearing as required by state law.
CEQA AND REGULATORY OVERVIEW
This action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly.
FISCAL IMPACT
The CSD levy assessment amount for Fiscal Year 2026/27 is estimated to total $2,882,186.13. The levy and collection of these annual assessments will help pay for the costs associated with the services provided by the CSD.
ATTACHMENTS
ATT 1 - Resolution No. CSD 26-288