AgdaPkt 2003-12-08 - Laserfiche WebLink

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December 8, 2003 Subject Appeals Against the General Improvement District 1-64 Assessments for Fiscal Year 2003- 04 Recommendation Staff recommends accepting the revised appraised values in those cases in which the City and the property owners have agreed to a reduced value. Staff also recommends that the proposed revised appraised value in the appeal by Mr. Fred Countryman be accepted. Background District History: In 1959, the City annexed lands known as the Redwood Peninsula (Redwood Shores) and Bair Island. In 1964, this area was constituted as General Improvement District No. 1-64 (GID 1-64). District landowner elections authorized a series of general obligation bonds (issued under the City's charter authority) for facilities and reclamation purposes. These bonds are general obligations of the district only and not the entire city. Facilities projects include construction of local streets and highways, wastewater treatment works, sewer mains, transmission lines, pumping facilities, collection systems, water transmission lines, storage facilities and park facilities. Reclamation projects include construction of levee works, and filling and grading necessary to drain and reclaim land within the district. Between 1966 and 1979, the district issued a total of about 18.5 million dollars of facilities bonds and about 9.5 million dollars of reclamation bonds. The Council is required by the terms of the bond documents to apportion debt service (principal and interest) of the bonds issued for GID 1-64 improvements on the basis of the current assessed values of land and improvements. Annual bond service is currently about two million dollars. Facilities bonds are funded by property taxes levied on assessed value of all real property; reclamation bonds are funded from property taxes levied on the assessed value of land. To determine the assessed value, an independent appraiser is engaged to provide current assessed values. These values will differ from the assessed values utilized by the County of San Mateo Assessor for general property taxes. The County must assess based on historical value as required by Proposition 13; the improvement district bases assessments on market value. The City has established a Board of Equalization to formally accept the assessed values furnished by the appraiser through the District Assessor (Finance Director) and to hear appeals presented by any property owners who disagree with the appraised values proposed by the District Assessor.