AGENDA ITEM #5.A TOWN OF LOS ALTOS HILLS StaffReport to the City Council July 31,2012 SUBJECT: APPROVAL OF A RESOLUTION TO UNINCORPORATED OLIVE TREE HILL AREA, TWENTY FIVE PARCELS (31.7 ACRES) OF DEVELOPED LAND IN UNINCORPORATED COUNTY. #134-11-MISC. ANNEX THE CONSISTING OF RESIDENTIALLY SANTA CLARA FROM: Debbie Pedro, Planning Directo~~ APPROVED: Carl Cahill, City Manager C. C. RECOMMENDATION: That the City Council: Approve the attached resolution ordering the annexation of the territory known as "Olive Tree Hill No.1". BACKGROUND The subject area is an unincorporated "island" consisting of twenty five parcels on 31.7 acres within the Town's Urban Service Area (USA). On June 21, 2012, the City Council unanimously voted to approve a resolution initiating the annexation oftwenty five unincorporated parcels in the Olive Tree Hill area and set a date ofjuly 31, 2012 for fmal consideration. One resident requested more information regarding the annexation as it relates to the development potential oftheir property. Staffheld two additional "open house" meetings on July 9 th and 16th to discuss development potential with any interested homeowners. Two homeowners attended one meeting where their questions concerning development of their property were answered. DISCUSSION The annexation area consists of twenty five propeliies on 31.7 acres of land developed with single-family homes and accessory structures. The annexation area includes parcels with outstanding building permits. The County will continue processing all inspections and final the outstanding permits. No physical changes are proposed as pati of this annexation application. The approval of the resolution is the last step in the annexation process. An approval packet will be sent to LAFCO for their final recordation ofthe celiificate ofcompletion.
StaffReport to the City Council La Loma Island Annexation July 31, 2012 Page 2 of2 CEQASTATUS The proposed annexation Negative Declaration was approved by the City Council on June 21,2012 ATTACHMENTS 1. Draft Resolution 2. Map ofproject Area 3. City Council StaffReport dated June 21,2012 Report prepared by: Cynthia Richardson, Planning Consultant
Attachment 1 DRAFT RESOLUTION No. RESOLUTION OF THE CITY COUNCIL OF THE TOWN OF LOS ALTOS HILLS MAKING DETERMINATIONS AND APPROVING THE ANNEXATION OF TERRITORY DESIGNATED AS "OLIVE TREE HILL NO.1" CONSISTING OF 25 PARCELS (31.7 ACRES) ENCOMPASSING 24809, 24898, 24892, 24860,24808,24802,24837,24855,24863,24871,24877,24899, 24886,24874 OLIVE TREE LANE, 10956, 10944, 10933, 10955,24797,24795,24793,24791 NORTHCREST LANE, 10925, 10921, 10919 STONEBROOK DRIVE, LOCATED ON THE SOUTHERN BOUNDARY OF LOS ALTOS IDLLS WHEREAS, on June 21, 2012, the City Council adopted Resolution No. 27-12 initiating proceedings for annexation ofthe area designated as "Olive Tree Hill No.1"; and WHEREAS, California Government Code Section 56375.3 provides for an expedited process for cities to initiate changes of organization or reorganization for pockets of unincorporated territory within specified time frames that meet specified criteria; and WHEREAS, the State legislature has adopted the objective for LAFCO's to promote orderly boundaries and the efficient delivery ofservices; and WHEREAS, the Town of Los Altos Hills has conducted a public hearing on the reorganization in accordance with Section 57050 ofthe California Government Code; and WHEREAS, in accordance with Government Code Section 56153, 56156 and Section 56157, the City Clerk of the Town of Los Altos Hills has provided mailed notice of the headng on the annexation. NOW, THEREFORE, BE IT RESOLVED, as follows: A. The following findings are made by the City Council ofthe Town of Los Altos Hills: 1.1 The territory does not exceed 150 acres in area, and is substantially surrounded by the Town oflos Altos Hills and is located within the urban service ofthe Town; 1.2 The territory is not a gated community, is fully developed with single family homes with provided services and is receiving benefits from the Town oflos Altos Hills; 1.3 That the territory is not considered prime agricultural land; 1.4 That the proposal does not create islands or areas in which it would be difficult to provide municipal services.
1.5 That the proposal is consistent with the adopted general plan ofthe city. 1.6 That the territory is contiguous to existing city limits. 1.7 That the city has complied with all conditions imposed by the LAFCO for inclusion ofthe territory in the urban service area ofthe city. B. That the City Council of the Town of Los Altos Hills hereby approves the annexation of the territory designated as "Olive Tree Hill No.1" into the Town of Los Altos Hills and that upon completion of the annexation proceedings, the area will be taxed on the regular county assessment roll. PASSED AND ADOPTED at a regular meeting ofthe City Council ofthe Town of Los Altos Hills on this day of 2012, by the following vote: AYES: NAYS: ABSTAIN: ABSENT: By: Rich Larsen, Mayor _ ATTEST: City Clerk 2
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Attachment 3 TOWN OF LOS ALTOS HILLS StaffReport to the City Council June 21,2012 SUBJECT: CONSIDERATION OF RESOLUTION INITIATING ANNEXATION PROCEEDINGS FOR THE UNINCORPORATED OLIVE TREE HILL AREA, CONSISTING OF 25 PARCELS (31.7 ACRES) OF RESIDENTIALLY DEVELOPED LAND IN UNINCORPORATED SANTA CLARA COUNTY. #134-11-MISC. FROM: Debbie Pedro, Planning Director APPROVED: Cat:l Cahill, City Manager RECOMMENDATION: That the City Council: 1. Approve the Initial Study and the Negative Declaration (Attachment #1); AND 2. Adopt a resolution, (Attachment #2) initiating annexation proceedings for the Olive Tree Hill Area and set a date for a second public hearing no sooner than July 26,2012: BACKGROUND On September 22, 2011, the Council set a plan for annexing the remaining pocket areas as follows: 1) La Loma and Olive Tree Hill, 2) Ravensburry, 3) Moody Road, 4) San Antonio Hills. This plan will be implemented over the next 4 to 5 years. On April 19, 2012, the City Council adopted an Ordinance to pre-zoning the Olive Tree Hill Area to the Town's R-A (Residential Agricultural) zone district. Prezoning must occur prior to any annexation. All twenty five (25) of the propeliies are developed with single-family residences with access to private roads. The Olive Tree Hill Area is located within the Town's Urban Service Area (USA). ANNEXATION PROCESS Per Government Code Section 56375.3, "island" annexations that meet celiain criteria may be approved without protest hearings or elections. These criteria are: 1) The island is 150 acres or less in size and is surrounded or substantially surrounded by the annexing city. 2) The island is not a gated community where services are provided by a Community Services District. 3) The island is substantially developed or developing based on the availability of public utility services. 4) The island is not considered prime agricultural land
StaffRepOit to the City Council Olive Tree Hill Annexation June 21,2012 Page 2 of6 5) The island is receiving benefits from the annexing city or will receive benefits from the annexing city after annexation. 6) The island was not created after Janurn.y 1, 2000. The Olive Tree Hill island, meets all of these criteria as it is only 31.7 acres in size, is substantially surrounded by the Town oflos Altos Hills, is not gated, is completely developed, is not prime agricultural land, and is currently receiving benefits from the Town. Therefore, the proposed annexation qualifies for the streamlined process outlined under Government Code Section 56375.3. Under the streamlined annexation process, two public hearings are required before the City Council; the first to adopt a resolution to initiate the annexation and set a date for the second public hearing, and the second to adopt the resolution to approve the annexation. DISCUSSION Statistical Summary Number of Parcels Total Land Area Average Lot Size Dwelling Units Vacant Lots Population Total Street Length (Public) Total Street Length (Private) Total Assessed Valuation *Census 2010 (based on average household size) 25 31.7 acres 1.26 acres 25 o 70* ofeet 1,950 feet $46,330,180 Land Use and Planning Analysis The annexation ofthe Olive Tree Hill Area will transfer land use regulatory authority from Santa Clara County to the Town oflos Altos Hills. The annexation area consists of 25 parcels on 31.7 acres of land developed with single-family homes. The annexation does not include any specific development projects, zoning change, or grant of land use entitlements. No physical changes are proposed as part of this annexation application., 7,,~.:,,.;. C< lu," I," = I ', Land Use Minimum Lot Size Min. Front Yard Setback Min. Side Yard Setback "RHS,, (Santa Clara County) Single-Family Residential 1 Acre 30' 20'. R-A (Los AltQs Hills) Single-Family Residential 1 Acre 40' 30'
StaffReport to the City Council Olive Tree Hill Annexation June 21, 2012 Page 3 of6 Min. Rear Yard Setback 25' 30' Maximum Height 35' 27' Second Dwelling Units Max. size 800 sq. ft. Max. size 1,000 sq. ft. Six parcels (24863 Olive Tree Lane, 10955 Stonebrook Drive, 24797, 24795, 24793, and 24791 NOlthcrest Lane) within the annexation area, are very steep lots and may not maintain a LUF (Lot Unit Factor) of at least one. These lots would possibly be considered CDP (Conditional Development Parcels). Stmctures built legally according to County standards that do not conform to Town standards would be recognized as "legal non-conforming" and allowed to continue as they cunently exist. Redevelopment oflegal non-conforming stmctures or additions to them would be required to comply with Section 10-1.401 of the Los Altos Hills Municipal Code. According to the County records there are a few properties with outstanding building permits. The County will continue processing all inspections and final the permits. The County will add a note into their database to cease accepting major applications for building permits two months prior to LAFCO recording the final annexation. We expect the final approval by LAFCO to be around the middle ofaugust. Public Services and Facilities Community Development The addition of 25 properties and 70 residents will result in a slight increase in workload for planning, engineering, and building department staff, as additional staff time will be needed to provide general customer service for the new residents. However, this administration cost would be offset by additional property tax revenues. The service cost for processing planning and building permits will be recovered through application fees and deposits. Police Services Law enforcement and public safety services are provided to Town residents under contract with the Santa Clara County Sheriffs Department. The Sheriff repolts that there will be no increase in cost associated with the annexation (Attachment #3). The Sheriffs Department repolts there are no cunent problems within this neighborhood. Fire Protection Fire protection, suppression, and safety services are provided by the Santa Clara County Fire Department, which will continue to be the agency responsible for fire protection services to properties in the La Loma Drive Area. The Fire Department has reviewed the annexation proposal and states that the roads meet current standards for emergency services (Attachment #4).
StaffReport to the City Council Olive Tree Hill Annexation June 21,2012 Page 4 of6 Schools The project area is cultently being served by the Los Altos Elementary School and Mountain View-Los Altos Unified High School Districts. Annexation to the Town does not affect school district boundaries. Water Supply The project area will continue to receive water from the California Water Service. There will be no change to the water supply. Solid Waste Collection and Street Sweeping Solid waste collection in Los Altos Hills is provided under an agreement with Greenwaste RecovelY, Inc. The agreement covers garbage collection and pickup of recyclable materials and yard waste. Sanitary Sewer In JanuaIY 2007, the Town of Los Altos Hills and the City of Los Altos entered into an agreement for the transportation, treatment, and disposal of sewage. The agreement allows a total flow of 0.3399 million gallons per day (MGD) from the Town into the sanitary sewer system owned by the City oflos Altos. There is adequate sewer capacity to serve the propeliies in the Olive Tree Hill Island who currently maintain septic systems. Propeliy owners wishing to connect to the sewer system will have to pay the required one-time sewer connection fee, construction permit fee, sewer reimbursement fee (if applicable), and an annual sewer assessment fee (cultently $733 per year). Streets Olive Tree Lane and NOlihcrest Lane are private roads at the location of.the project area. Stonebrook Drive is already part ofthe Town oflos Altos Hills and is considered a private road. It is the Town policy (Attachment #5) that if a private road is to be taken over by the Town then.the road must be brought up to Town standards prior to making it a public road. These roads will remain the responsibility ofthe homeowners who live in the neighborhood. Pathways, Recreational Facilities, and Open Space The annexation will have negligible impacts on the recreation facilities and programs in Los Altos Hills. It is not anticipated that the addition of 25 developed properties would significantly increase demand on overall service levels for recreational needs. There are no existing parks or other recreation areas within the project area. Pathways and Open Space Easement requirements will be evaluated at the time of site development of individual properties after the annexation is complete. Taxes and Fees Once the Board of Equalization assigns the Tax Rate Area, final tax changes can be determined. It is anticipated that the increase in taxes to the new residents will be minimal.
StaffRepOlt to the City Council Olive Tree Hill Annexation June 21, 2012 Page 5 of6 Taxing Agency Los Altos Hills Existing Taxes/Assessments/Fees 1. Santa Clara County-base tax No change 2. Santa Clara County-library No change 3. Los Altos School District No change 4. Santa Clara Valley Water District-flood control No change 5. Santa Clara Valley Water District-creek protection No change 6. Mosquito Abatement #2 No change 7. Vector Control No Change 8. NOlih CountyLibrary Authority No Change 9. Purissima Hills Water District No Change New Taxes/Assessments/Fees 10. Town oflos Altos Hills-sewer ifconnected $733 11. El Camino Hospital District $Varies 12. SCVWD - Zone W-l Bond $Varies The total net value of assessed parcels is $44,671,076 (includes land and improvements). This assessed value will result in additional tax revenue to the Town of approximately $26,450 for the 2014-2015 tax year. The final numbers will be calculated by the Board of Equalization and the County Finance Agency when the final annexation is recorded by LAFCO. AB117 (TEA FUNDING) AND ANNEXATIONS On February 28, 2006, the Santa Clara County Board of Supervisors passed two measures in suppoli of Tax Equity Allocation (TEA) which involves the return of annual property tax revenue from the County to the Town. The TEA accounts for a significant additional property tax revenue per year for the Town. The Board of Supervisors' support on TEA was clearly predicated on the Town's continuous commitment to pursue annexation of lmincorporated lands in the County within the Town's Sphere ofinfluence. CEQA STATUS An Initial Study and Negative Declaration have been prepared for the proposed annexation area. FISCAL IMPACT The additional costs of serving the annexed properties will be offset by additional propeliy tax revenue.
StaffRepOli to the City Council Olive Tree Hill Annexation June 21, 2012 Page 6 of6 NEIGHBORHOOD COMMENTS No comment letters have been received at this time. ATTACHMENTS 1. Initial Study and Negative Declaration 2. Draft Resolution 3. Sheriffs memo dated June 11,2012 4. Fire Department repoli dated June 6, 2012 5. Town Road Policy 6. Ordinance No. 535 amending the Zoning Map 7. March 14,2012 City Council staffreport (Prezoning) 8. LAFCO report dated November 1,2011 9. Town Annexation Policy 10. Map ofannexation Area Report prepared by: Cynthia Richardson, Planning Consultant