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CITY MANAGER'S TRANSMITTAL LETTER Seaport Centre Maintenance District City of Redwood City County of San Mateo, State of California The City Manager of the City of Redwood City, County of San Mateo, State of California, makes this report, as directed by the City Council, pursuant to Section 18.104 of Article XII of Chapter 18 of the Code of the City of Redwood City, as amended. Accompanying this Report is the Engineer's Report, prepared in accordance with Article XIII D of the California Constitution, enacted by approval of Proposition No. 218 in the November 5, 1996 statewide general election. The Seaport Centre Maintenance District (the "District") was established in April 1985 to pay for the cost and expense of maintaining and operating certain public improvements within the District that will be of benefit to parcels within the District. In November 5, 1996 California voters amended the California Constitution with the passage of Proposition No. 218. Pursuant to Proposition No. 218, as of July 1, 1997, assessments must be approved by a majority vote protest procedure. Assessments were last approved by property owners in 2010 for a five year period ending June 30, 2015. The District encompasses all of the area included in the Seaport Centre business park development as filed in the subdivision maps entitled "SEAPORT CENTRE SUBDIVISION OF PARCEL A "AMENDED MAP" OF PARCEL MAP NO. 82- 1", which map was filed for record in the office of the County Recorder of the County of San Mateo on August 31, 1984 at Volume 112 of Subdivision Maps at Pages 4, 5, and 6. The District was established to maintain certain public utility facilities on public easements determined to be of sole benefit to the parcels within the District. The prior property owner vote approved only a five year cumulative levy. Any continuation of the levy at its current amount beyond the fiscal year ending June 30, 2015 requires a majority protest vote of affected property owners. In consultation with property owners, staff has prepared a new annual budget for the District. Property owners will vote to approve the proposed annual property tax assessment. The Engineer's Report, set forth as an attachment to this report, includes the annual budget of the District, the formula for allocating the annual budget requirement among property owners, and an assessment spread showing the amount to be levied on each parcel in the District. The property owner ballot and the notice to be mailed to property owners as required pursuant to Proposition 218 are included as exhibits to the Resolution of Intention to levy assessments that is before the Council for its consideration.