AgdaPkt 2025.10.27 Joint SA PFA - Laserfiche WebLink

Browse Search

Redwood City Stormwater Roadmap Funding Program September 2025 7-2 Schaaf & Wheeler Table 7-2: Funding Instrument Strengths and Weaknesses Type Strength Weakness Tax No substantial required findings Most legally defensible 2/3 Voter Approval Assessment Property Owner Majority Protest 1. Extensive Finding Requirements related to defining the Benefits 2. Separation of General & Special Benefits 3. Allocation of costs shall be according to the Proportional Special Benefits conferred 4. Additional Assessment Engineering Time/Expense to support required findings 5. Public Agency must Fund all General Benefit costs, may be a substantial amount 6. May not exempt any parcels based on ownership, publicly owned property may not be exempt 7. Legally Vulnerable Property- Related Fee Option to select approval group, Property Owner majority protest Legally defensible 1. If Registered Voters selected as approval group, 2/3 Voter Approval 2. Publicly owned property may not be exempt 3. Findings of cost basis for fee 4. Legally Vulnerable 7.1.2 Tax and CFD A Community Facilities District (CFD) can be formed pursuant to the Mello-Roos Community Facilities Act of 1982. A CFD can fund capital projects as well as ongoing maintenance. Bonds would be issued to pay for capital costs secured by a special tax levy. The same CFD can also fund ongoing maintenance costs through a special tax levy. A Parcel Tax can be formed under Government Code section 50078. A parcel tax works much in the same manner as a CFD. However, the formation process requires fewer steps, and capital costs are financed through revenue bonds and not direct special tax bonds. The CFD also has the benefit of approval through a mailed ballot election on the date of the City’s choosing should flexibility in timing be a consideration. There is great flexibility in both the geographic area to be levied and the formula by which to levy when using a CFD. A CFD may include non-contiguous geographic areas. There is no requirement that the special tax is apportioned based on the benefit to any property. Property owned by a public entity is generally exempt from the CFD special tax, ensuring no lingering obligation of other City revenues. Successful creation of a CFD requires the approval of two-thirds of registered voters voting in an election. With a voter election, each voter has one vote, regardless of their weighted share of the proposed special tax levy. In a landowner election, the vote is one vote per acre or portion thereof. 11.A. - Page 33 of 53 464