Crescent City MSR SOI ADOPTED January 28 2019 final

City of Crescent City Municipal Service Review & Sphere of Influence Update Adopted January 28,2019 Del Norte Local Agency Formation Commission Del Norte Local Agency Formation Commission Commissioners Blake Inscore Chair & City Member Bob Berkowitz Vice Chair & County Member Roger Gitlin County Member Jason Greenough City Member Duane (Sparky) Countess Public Member Lori Cowan Alternate County Member Darrin Short Alternate City Member Judy Dobbs Alternate Public Member Staff George Williamson, AICP, Executive Officer Vanessa Blodgett, Services Analyst/ Administrator Elizabeth Cable, Legal Counsel Nicole Burshem, PS Business Services, Clerk Emily Morris, Assistant Analyst Jason Barnes, GIS & Spatial Data Analyst Acknowledgements LAFCo staff would like to thank City staff, including City Manager Eric Wier and Finance Director Linda Leaver, for their contributions to this Municipal Service Review. This report would not have been possible without the City’s assistance. Table of Contents INTRODUCTION ......................................................................................................................................................... 2 SERVICE REVIEW DETERMINATIONS ...................................................................................................... 2 SPHERE OF INFLUENCE DETERMINATIONS .............................................................................................. 2 REVIEW METHODS ........................................................................................................................... 3 CALIFORNIA ENVIRONMENTAL QUALITY ACT .......................................................................................... 3 CITY OF CRESCENT CITY .......................................................................................................................................... 4 OVERVIEW ...................................................................................................................................... 4 FORMATION .................................................................................................................................... 5 BOUNDARY AND SPHERE OF INFLUENCE................................................................................................. 5 ACCOUNTABILITY AND GOVERNANCE .................................................................................................... 6 PRESENT AND PLANNED LAND USE ....................................................................................................... 8 POPULATION AND GROWTH ................................................................................................................ 9 DISADVANTAGED UNINCORPORATED COMMUNITIES ................................................................................ 9 SERVICES & INFRASTRUCTURE ............................................................................................................................. 9 CRESCENT CITY HOUSING AUTHORITY ................................................................................................... 9 WATER SERVICES ........................................................................................................................... 10 WASTEWATER SERVICE OVERVIEW ..................................................................................................... 12 LAW ENFORCEMENT ....................................................................................................................... 12 FIRE PROTECTION ........................................................................................................................... 13 CITY STREETS ................................................................................................................................. 13 PARKS, RECREATION AND PUBLIC FACILITIES ......................................................................................... 14 OTHER PUBLIC SERVICE PROVIDERS .................................................................................................... 14 SHARED FACILITIES & SERVICES ......................................................................................................... 15 BUDGET .................................................................................................................................................................... 15 MUNICIPAL SERVICE REVIEW DETERMINATIONS ......................................................................................... 17 SPHERE OF INFLUENCE DETERMINATIONS .................................................................................................... 19 REFERENCES ............................................................................................................................................................ 20 LIST OF TABLES Table 1: Crescent City Agency Profile .............................................................................................. 4 Table 2:City Council Members......................................................................................................... 6 Table 3: Crescent City Water Source Data .................................................................................... 11 Table 4: Storage Data .................................................................................................................... 11 Table 5: Del Norte County Schools ................................................................................................ 15 Table 6: Del Norte District Schools ................................................................................................ 15 Table 7: Crescent City Budget Information 2017-18 ..................................................................... 16 Table 8: Crescent City Fee Schedule .............................................................................................. 16 LIST OF FIGURES Figure 1: City Boundary and SOI ...................................................................................................... 7 Figure 2 City of Crescent City Organizational Chart ........................................................................ 8 Crescent City Adopted MSR/SOI 2019 INTRODUCTION This Municipal Service Review (MSR) and Sphere of Influence (SOI) Update provides information about the services and boundaries of the City of Crescent City. The report is for use by the Del Norte Local Agency Formation Commission (LAFCo) in conducting a statutorily required review and update process. The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 (CKH Act) requires that the Commission conduct periodic reviews and updates of Spheres of Influence of all cities and special districts in Del Norte County (Government Code § 56425). State law also requires that, prior to SOI adoption, LAFCo must conduct a review of the municipal services provided by that local agency (Government Code §56430). This report provides LAFCo with a tool to study current and future public service conditions comprehensively and to evaluate organizational options for accommodating growth, preventing urban sprawl, and ensuring that critical services are provided efficiently. Service Review Determinations Government Code § 56430 requires LAFCo to conduct a review of municipal services provided in the county by region, sub-region or other designated geographic area, as appropriate, for the service or services to be reviewed, and prepare a written statement of determinations with respect to each of the following topics: 1. Growth and population projections for the affected area; 2. The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the sphere of influence; 3. Present and planned capacity of public facilities, adequacy of public services, and infrastructure needs or deficiencies (including needs or deficiencies related to sewers, municipal and industrial water, and structural fire protection in any disadvantaged, unincorporated communities within or contiguous to the sphere of influence); 4. Financial ability of agencies to provide services; 5. Status of, and opportunities for, shared facilities; 6. Accountability for community service needs, including governmental structure and operational efficiencies; and 7. Any other matter affecting or related to effective or efficient service delivery, as required by Commission policy. State Guidelines and Commission policies encourage stakeholder cooperation in the municipal service review process. It also provides a basis to evaluate, and make changes to Spheres of Influence, if appropriate. Sphere of Influence Determinations A Sphere of Influence (SOI) is a LAFCo-approved plan that designates an agency’s probable physical boundary and service area. Spheres are planning tools used to provide guidance for individual boundary change proposals and are intended to encourage efficient provision of organized community services, discourage urban sprawl and premature conversion of agricultural and open space lands, and prevent overlapping jurisdictions and duplication of services. LAFCo is required to establish SOIs for all local agencies and enact policies to promote the logical and orderly development of areas within the SOIs. Furthermore, LAFCo must update those SOIs every five years. For a SOI Crescent City Adopted MSR/SOI 2 2019 update, LAFCo is required to conduct an MSR and adopt related determinations. It must also make the following SOI determinations: 1. The present and planned land uses in the area, including agricultural and open-space lands; 2. The present and probable need for public facilities and services in the area; 3. The present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide; 4. The existence of any social or economic communities of interest in the area if the Commission determines that they are relevant to the agency; and 5. The present and probable need for public facilities and services related to sewers, municipal or industrial water, or structural fire protection of any disadvantaged unincorporated communities within the existing sphere of influence (effective July 1, 2012). Review Methods The following information was considered in the development of this service review: Agency-specific data: responses to LAFCo Requests for Information from Crescent City Departments; o Crescent City and Del Norte County General Plan and Zoning data; and GIS data; o City of Crescent City 2010 Urban Water Management Plan o Demographic data: U.S. Census Bureau; Department of Finance; CA Water Resources Board; o Finances: budgets, rates and fees; and o Infrastructure Plans o California Environmental Quality Act The California Environmental Quality Act (CEQA) is contained in Public Resources Code § 21000 et seq. Public agencies are required to evaluate the potential environmental effects of their actions. MSRs are statutorily exempt from CEQA pursuant to § 15262 (feasibility or planning studies) and categorically exempt pursuant to CEQA Guidelines § 15306 (information collection). CEQA requirements are generally applicable to SOI Updates. The CEQA lead agency for SOI Updates is most often LAFCo, unless an agency has initiated an SOI expansion or update. Crescent City Adopted MSR/SOI 3 2019 CITY OF CRESCENT CITY Table 1: Crescent City Agency Profile Formation Agency Name City of Crescent City Incorporation Date February 26, 1854 Enabling Legislation California Government Code §34000 et seq. Contact Contact Eric Wier City Manager E-mail ewier@crescentcity.org District Office 377 J Street Crescent City, CA 95531 Mailing Address 377 J Street Crescent City, CA 95531 Phone (707) 464-7483 Governance Governing Body City Council Board Meetings 1st and 3rd Monday of every month Meeting Location 981 H St. Crescent City, CA 95531 Services Water treatment and distribution, wastewater collection and treatment, fire Services Provided protection, law enforcement, city streets and sidewalks, housing authority, storm drains, community development, parks and recreation The incorporated City of Crescent City which includes Pelican Bay State Areas Served Prison. The City also provides water and wastewater treatment to some unincorporated areas. Overview Crescent City is located on the Northern California Coast approximately 20 miles south of the Oregon border along Hwy 101, is Del Norte County’s only incorporated city and serves as the county seat. Fishing, crabbing, timber, healthcare and tourism are Crescent City’s major industries. Pelican Bay State Prison is an incorporated island, approximately one mile north of the main incorporated area. It opened in December 1989 and has had major physical and economic impacts on Crescent City. The prison initially brought an influx of prison staff (approximately 1,500 employees) that located in the Crescent City area. The prison increased activity for many small businesses, including medical transcription, psychological services, vehicle services, food services/food contracts, lodging, recreation contracts, and counseling contracts. The 1992 prison lands annexation resulted in the addition of inmates to the City group quarters census population. This population increase results in additional state assistance to the city for local services. Crescent City municipal services reviewed in this document include: water treatment and distribution; wastewater collection and treatment; fire protection; law enforcement; city streets; parks and recreation, a housing authority, storm drainage, public facilities; community development and planning, and administration. The City also contracts with outside agencies to provide certain municipal services such as garbage and recycling collection, and engineering services and other specialized services as needed. The City has an estimated population of approximately 7,120. A municipal service review was previously conducted in 2011. This will update the previous MSR and be the basis for a Sphere of Influence (SOI) Update. Crescent City Adopted MSR/SOI 4 2019 There are several special districts adjacent to the City. The Crescent City Harbor District, adjacent to the south, provides significant commercial fishing opportunities and plays a vital role in the City’s economy. The Harbor District serves as a commercial boat basin for salmon, shrimp, tuna, cod and Dungeness crab fishing vessels, as well as a providing recreational boating facilities. Other adjacent districts include the Bertsch Oceanview and Church Tree CSDs and County Service Area #1. Initially, the Yurok and Tolowa Indigenous peoples occupied what is now Del Norte County. There are now four federally recognized tribal governments in the region, including the Tolowa Dee-ni’ Nation, the Elk Valley Rancheria, the Resighini Rancheria and the Yurok Tribe. These groups still occupy parts of Del Norte County. Europeans arrived as early as 1828 and populations grew rapidly with the discovery of gold in the Smith River. Formation Crescent City was incorporated as a city in 1854. Crescent City was also the name of an ocean-going schooner built in 1848. It is the northernmost City on the California Coast. Boundary and Sphere of Influence The City of Crescent City includes approximately 1.8 square miles (1,152 acres) within its jurisdictional boundaries. The current Crescent City Sphere of Influence (SOI) encompasses 12,031 acres, which is over 10 times bigger than the current city boundaries. The current SOI encompasses an area surrounding the City that extends as far north as the Lake Earl/Northcrest area and as far east as the Elk Valley community (Municipal Service Review, 2011). The current SOI includes agricultural and resource conservation lands that are not likely to need city services. These areas, at the edges of the current SOI, are proposed for removal. At the December 10, 2018 Del Norte LAFCO Commission meeting, the committee requested additional information on water service potential in resource lands related to cannabis use. Public lands are not available for cannabis use, but private lands are present within resource land areas and are potentially available. Because this SOI reduction will not affect any provision of services, it is eligible for a CEQA exemption under CEQA Guidelines Section 15061(b)(3). LAFCo staff will file a notice of exemption as lead agency under CEQA Guidelines Section 15062. There is coastal grazing land zoned Resource Conservation Area (RCA) and Agriculture Lands (AG-5) present north of the city boundary that does not need city services. A large wetland and timberland area with Elk Creek running through it is directly east of the city boundary. Southeast of the Elk Creek wetland area is the Bertsch-Oceanview Community Services District (BOVCSD) and below the BOVCSD is Martin Ranch held as Elk Valley Off-Reservation Trust Land. Both the BOVCSD and Martin Ranch are proposed for continued inclusion in the proposed SOI. The BOVCSD is adjacent to the Crescent City boundary located east of the city limits within the current SOI. BOVCSD is organized as an independent special district under Community Service District law (Government Code Section 61000 et seq). BOVCSD provides domestic water service to the unincorporated community of Bertsch- Ocean View located along the coast, adjacent to, and south of Crescent City. The CSD serves a population of approximately 1,600 people through 629 connections. The water system is maintained by the CSD, but water is purchased from the City. The Church Tree Community Services District (CTCSD) is located within the Crescent City SOI at the edge of land zoned agriculture (AG-3) in the northeast part of the City’s SOI. CTCSD is organized as an independent special district under Community Service District law (Government Code Section 61000 et seq). Located approximately two miles north of the Bertsch Ocean-View CSD along Elk Valley Road and adjacent to the Jedidiah Smith Redwood Crescent City Adopted MSR/SOI 5 2019 State Park, the CTCSD provides domestic water service to a population of approximately 40 people through 26 connections. Church Tree CSD customers purchase water from the City of Crescent City. The Crescent City Harbor District (CCHD or District) is adjacent to the City of Crescent City, approximately 20 miles south of the Oregon border. Crescent City Harbor is located in Crescent Bay, just south of town, both on lands granted by the State Lands Commission (SLC) to the Harbor District and lands owned fee and title by the District. The Harbor is a shallow-draft critical harbor of refuge, supporting a Coast Guard search and rescue station, commercial and sport fishing, and recreational boating. The District was formed in 1951 to assume responsibility for improvements, maintenance, and management of the Crescent City Marina and related harbor facilities. CSA No. 1 provides wastewater collection services to unincorporated areas within the Crescent City urban area. The collection system connects to the City of Crescent City’s collection system where it is treated at the City’s wastewater treatment plant. The current SOI is proposed to be reduced to 10,270 acres which is a 15 percent reduction. The SOI reduction will remove portions of Del Norte County designated Resource Conservation Areas and Agriculture General that are adjacent to federal and state conservation areas (Initial Study Municipal Service Review and Sphere of Influence Update 2011). The City is responsible for water service to Pelican Bay State Prison but has no obligation to provide fire or law enforcement services. Figure 1 shows the City Boundary and the current and proposed SOI. The Crescent City Urban Boundary (Figure 1), includes 4,221 acres as designated in the Crescent City and County of Del Norte General Plans, and is the area surrounding the City limits that encompasses all land considered for future water and sewer service expansion and thus, for urban development and expansion. Accountability and Governance Table 2: City Council Members Board Member Title Term Expiration Blake Inscore Mayor November 2018 Heidi Kime Mayor Pro Tem November 2020 Alex Fallman Councilmember November 2020 Jason Greenough Councilmember November 2020 Darrin Short Councilmember November 2018 Governance Crescent City is a general law city formed under state legislative statutes and governed by a body of laws in the California Government Code § 34000 et seq. Crescent City employs a City Council-City Manager government. The City Council consists of five council members elected at large with staggered four-year terms. A Mayor and a Mayor Pro Tem are selected from the council members during the first meeting after the election. The Mayor and Mayor Pro Tem are elected by the City Council each year. Councilmembers are elected to four-year terms. The City Council meets every first and third Monday of the month at the Flynn Center on 981 H Street in Crescent City. There is a new building under renovation that will be used as the future City Hall located on 2nd and H Streets. Special meetings and workshops may be held at the Wastewater Treatment Plant located at 210 Battery Street. Special cultural events such as the signing of the sister city agreement with Rikuzentakata Japan and celebration in 2018 was held at the Cultural Center, on Front Street. Crescent City Adopted MSR/SOI 6 2019 Figure 1 City Boundary and SOI Crescent City Adopted MSR/SOI 7 2019 Figure 2: City of Crescent City Organizational Chart Administration The management of the City is the responsibility of the City Council members in concert with the City Manager as appointed by the Council. The Council establishes the policies under which the City operates and appoints a City Manager to administer the affairs of the City. City Manager responsibilities include hiring of City staff, preparation of the annual budget, administration and coordination of the City's operations, general supervision over all property under the control of the City, and enforcement of City ordinance and applicable state laws. Administrative and fiscal recommendations are made by the City Manager to the Council for approval. The City currently has over seventy budgeted staff positions. The departments are organized as shown in Figure 2. Other Service Providers The Del Norte Solid Waste Management Authority is a joint powers authority formed by the City of Crescent City and the County of Del Norte in 1992 to administer and manage all solid waste, recycling, composting and household hazardous waste facilities. Present and Planned Land Use Existing Land Uses California Planning and Zoning Law requires the City to adopt a comprehensive, long term general plan for its development. City land use designations include single and multi-family residential, commercial, industrial, public Crescent City Adopted MSR/SOI 8 2019 facilities, harbor, and conservation and open space. The prevailing land use is residential. Land use outside the city limits is determined by Del Norte County. The City is surrounded by land designated as Residential (MF, RR, SR, UR), Public Facilities, Commercial (GC, VSC), Agriculture (AG-5, 20), Industrial (GI, LI), and Resource Conservation Area (RCA). Future Development Potential The City has adequate open land and potential to provide services to a wider area. The main constraints to increased development are a lack of employment and low population growth. There has been no significant development activity since the previous MSR. The SOI reduction will remove portions of Del Norte County designated Resource Conservation Areas (RCA) and Agriculture General (AG) adjacent to federal and state conservation areas. Population and Growth According to the US Census Bureau, the 2015 5-year population estimate for Crescent City was 7,120. A 2016 Department of Finance (DOF) document reports a 0.73 percent increase in the population of Crescent City between 2015 and 2016, however, county population predictions report a lower rate of annual growth at only about 0.1 percent (CA Department of Transportation, 2016). Using the 0.1 percent annual growth estimate, and the 2010 population, the Crescent City population could increase to 7,300 by the year 2035. Based on this analysis, it is unlikely that the City will have a significant increase in demand for services during the MSR timeframe. Disadvantaged Unincorporated Communities LAFCo is required to evaluate disadvantaged unincorporated communities (DUCs) as part of this municipal service review, including the location and characteristics of any such communities. Per California Senate Bill 244, a DUC is defined as any area with 12 or more registered voters where the median household income (MHI) is less than 80 % of statewide MHI. Within a DUC, three basic services are evaluated: water, sewer, and fire protection. The City of Crescent City provides water, sewer services and fire protection and is responsible for assuring that those services are adequately provided to the community. The City of Crescent is a Census Designated Place with a MHI of $27,885, 44 % of California’s reported $63,783 MHI, thereby qualifying the area as disadvantaged (CA Dept. of Water Resources Disadvantaged Community Mapping Tool). Crescent City is incorporated, and therefore does not qualify as a DUC. However, unincorporated territory surrounding the City may qualify as disadvantaged. Should the City pursue annexation, DUC communities within the its vicinity would be examined. SERVICES & INFRASTRUCTURE Crescent City Housing Authority The Crescent City Housing Authority (CCHA) serves the affordable housing needs of Del Norte county. It has offices located at 235 H Street and has staff including a full-time director. The CCHA prepares 5-Year and Annual Public Housing Authority (PHA) Plans that provide information for interested parties to locate basic PHA policies, rules, and requirements concerning the PHA’s operations, programs, and services, and informs Housing and Urban Development (HUD or Section 8) programs, families served by the PHA, and members of the public of the PHA’s mission, goals and objectives for serving the needs of low-income, very low-income, and extremely Crescent City Adopted MSR/SOI 9 2019 low-income families. The CCHA is developing an affordable housing project with Project Based Vouchers (PBVs) as a partial funding source. They have secured property, committed vouchers and selected a contractor, Danco Communities, and entered into a deferred development agreement to build the “Harbor Point Apartments” an affordable housing project with subsidized units. Water Services The Crescent City water system provides water collection, treatment and distribution to the incorporated city of Crescent City, certain unincorporated areas near the city, and the Pelican Bay State Prison through a system comprised of one well in the Smith River, and 60 miles of water mains to approximately 1,800 residential customers and 1,600 wholesale customers. As of July 2016, there are approximately 4,624 total connections (meters) and 4,238 active water accounts (Coleman Engineering, July 2017). In 2010, the water system also delivered service to 107 commercial connections, six industrial connections, and one connection for the Pelican Bay State Prison. The City delivers water directly to customers to additional unincorporated areas outside of the City. Under contractual agreements, the City also delivers water within the Bertsch-Oceanview Community Services District (BOV CSD), the Church Tree Community Services District (CT CSD), Crescent Fire Protection District W-1 (FDW1) and the Meadow Brook (MB) area of the Del Norte Flood Control District. The City has an Urban Water Management Plan (UWMP) (Amended 2010) in compliance with the California Department of Water Resources (DWR) requirements pursuant to the Urban Water Management Act (UWMP Act) and the Water Conservation Bill of 2009. The UWMP Act (California Water Code §10610 et seq.) requires urban water suppliers to report, describe, and evaluate the following: • Water deliveries and uses; • Water supply sources; • Efficient water uses; and • Demand Management Measures (DMMs), including implementation strategy and schedule. The UWMP includes a water use reduction plan. “The City of Crescent City has established a 2020 water consumption goal of 87.3 GPCD. Due to ongoing conservation measures the GPCD has been significantly reduced in the past 10 years from over 100 GPCD in 2000 to less than 80 GPCD in 2010 surpassing the 2020 water consumption goal. The City of Crescent City is committed to initiating public and school education programs. These additional water conservation measures should result in additional reductions beyond the 2020 GPCD goal.” In addition, the Water Conservation Bill of 2009 requires urban water suppliers to report in their UWMPs base daily per capita water use (baseline), urban water use target, interim urban water use target, and compliance daily per capita water use. Water Source The City of Crescent City's only water source is provided by groundwater from the Smith River Plain Groundwater Basin. The Smith River provides an abundant supply of high quality fresh water. The drainage basin of the Smith River, which covers about 700 square miles, produces runoff of about 2.9 million acre-feet per year (AFY) (944,265 million gallons per year), making it the highest water-producing drainage in California based on runoff per square mile (UWMP). Production from the Smith River between 2005 and 2010 was 690- 830 million gallons per year, well below the permitted amount of 1,194 million gallons per year. The City has a state designated place of use that extends along the main transmission line from the Smith River. Crescent City Adopted MSR/SOI 10 2019 Table 3: Crescent City Water Source Data Source Status Capacity (gpd) Smith River – Ranney Well Active 10 million gpd/ 626,000 acre feet Water Demand Peak demand for water use in the City of Crescent City is currently 3 mgd/day. A 2017 inspection showed good water quality and adequate capacity. The storage and pumping facility located on Washington Blvd was upgraded in 2001 from a 1-million-gallon storage reservoir to a 4-million gallon reservoir (Freshwater Environmental Services, 2014). This upgrade allowed the system to supply adequate water for fire protection. Table 4: Storage Data Name Type Capacity Comments Washington Welded steel, 4 million Independent evaluations conducted in 2013 and 2016 Reservoir above ground gallons related to conditions, efficiencies and recommendations. Amador Welded steel, 1.5 million Reservoir above ground gallons Water Treatment Water from the Smith River is naturally filtered through the sand and gravel bed of the river and collected by intake lines 30 feet below the river. From there, water is pumped southward to the treatment facility off Kings Valley Road, where chlorine is added to meet State compliance standards. The City ceased adding fluoride to its water supply on November 8, 2012 per ballot measure A. Under Water Resources Control Board water rights permits, the appropriation from the Smith River (underflow) is specified as an average of 12.8 cubic feet per second (cfs) (8.3 million gallons per day) with a maximum annual diversion of 3,666 AFY (1,194 million gallons per year) (Freshwater Environmental Services, 2014. Water Distribution After treatment, the water enters the Ranney collector, a 2.85 mile transmission line, to a 50,000 gallon elevated storage tank. From the storage tank, the water is gravity fed approximately two miles via a 24-inch line to the City’s distribution system consisting of booster pumps and storage tanks. According to the City’s 2016 annual water quality report, a total of 656 million gallons were collected through the Ranney Collector, which is approximately 1.8 million gallons per day. Water Meters There are currently no electronic water meters installed. Potentially in the future electronic meters will be installed and allow for automatic meter reading. The average water meter age is over 40 years and although multiple repairs and replacements have occurred within the system no complete replacement of the system has taken place (Coleman, 2017). System Monitoring Water is analyzed daily for chlorine, turbidity and acidity. Additionally, microbiological tests are analyzed from various locations throughout the system to further ensure that it meets health and quality standards. Water monitoring test results showed that all contaminants were below Maximum Contaminant Levels (MCLs) (Crescent City Annual Water Quality Report, 2016). Crescent City Adopted MSR/SOI 11 2019 Water System Infrastructure Planned Upgrades City staff has indicated that the current system provides adequate water volume and pressure for the City’s residential, commercial, and fire protection needs. The City of Crescent City commissioned a preliminary engineering report (PER) for a water improvement project that was presented to the City Council. The report covered needed upgrades to the water system including identifying planned upgrades to the existing reservoirs and select transmission lines (Coleman, 2017). The City submitted a pre-application for USDA rural development funding entitled Water Systems Improvement Projects 2015. As this project moves forward, it will address the majority of the water system infrastructure needs and deficiencies. In addition, the system is undergoing a multi-year seismic retrofit to prepare for potential earthquakes and to increase system performance. During the retrofit, city staff will install a Supervisory Control and Data Acquisition (SCADA) system, which will improve efficiency and promote reductions in maintenance costs and will replace the water tanks with hydrostatic pumps to supply reliable water in the event of a power outage. Wastewater Service Overview Major renovations and upgrades to the Crescent City wastewater treatment facility were completed in 2010. The Wastewater Treatment Facility (WWTF) consists of new influent pumping equipment and controls, new grit removal system, primary clarifier modifications, upsized and upgraded site piping, removal of underground storage tank and contaminated soil, and addition of membrane bioreactors, ultraviolet disinfection and effluent pumping for the production water that comports with the California Code of Regulations Title 22 (Title 22) requirements. The City's WWTF is capable of producing, tertiary-treated recycled water meeting Title 22 Water Recycling Criteria and the City looks for recycled water use opportunities. The reclamation system capacity is 0.6 mgd; however, the membrane bioreactor can treat up to 1.6 mgd. Effluent that is not recycled is discharged to the Pacific Ocean. The 24- inch diameter ductile iron pipe outfall discharges into a rocky slot in the surf zone adjacent to Battery Point Lighthouse and has an effluent conveyance capacity up to 13 mgd (UWMP). Wastewater Collection System There are approximately 3,850 sewer connections, 21 lift stations, and 51 miles of sewer line inside the City and in Community Service Areas served by the City. Infrastructure Needs and Deficiencies The City’s wastewater system, originally constructed in the late 1950’s, underwent a major Wastewater Treatment and Disposal System upgrade which was completed in 2010. Recent upgrades include the B Street Sanitary Sewer Rehabilitation Project and the 2nd & B Street Sewer Main Line Replacement. The B Street main line is one of the most critical main lines in the city’s sewer infrastructure. The line was over 50 years old and in urgent need of replacement. Wastewater System Planned Upgrades There is currently a project in place to upgrade lift stations. The upgrade is a joint project with the County and will rebuild two lift stations as well as installing Supervisory Control and Data Acquisition (SCADA) systems for stations, which will improve the efficiency and promote reductions in maintenance costs. Law Enforcement The Crescent City Police Department is located at 686 G. St. and can be contacted at 707-464-2133 or ccpd@crescentcity.org. The department is comprised of one police chief, two sergeants, nine officers, and one Crescent City Adopted MSR/SOI 12 2019 records clerk and is currently fully staffed. The department also has a K-9 program with two K-9 officers. The dogs are valuable in their ability to locate illegal narcotics. There are current public safety needs that should be addressed. The department will need to build a new police station or rehabilitate the old one. An ongoing study is underway and potential funding is being reviewed. The department continues Peace Officer Standards and Training (POST) trainings every 24 months to ensure officer performance. Crescent City provides all aspects of law enforcement for the City, such as patrol, investigations, traffic enforcement, and traffic collision investigations. The Department responds to a wide range of calls for service and provides a number of community support and outreach programs to promote policy/community partnerships. These programs include volunteer programs such as Volunteers in Police Service (VIPS), Crescent City Explorers, and Reserve Officers; and other programs including School Resource Officer (SRO) and Lunch with the Law. The City Police Chief Ivan Minsal enjoys a good working relationship with the County Sheriff. The department responded to 8,119 calls for service in 2017 and 8056 calls in 2016. Fire Protection The Crescent City Volunteer Fire Department provides fire protection within city limits. In 2015, the Crescent City Volunteer Fire Department and the Crescent Fire Protection District entered into a memorandum of understanding to combine administration, fire prevention, training, operations and support services as part of “Crescent City Fire and Rescue” (CCF&R). This was prompted by efforts to maintain a high level of service in an environment of ever-increasing costs and service demands. The two fire agencies have a long history of successful cooperative efforts. This has allowed for the blending of operations without changing the underlying structure of the existing agencies. In 2016, the Fire Department received funds for a seismic retrofit, modernization of facilities and equipment purchases. The agency is composed of one full-time Fire Chief, one part-time Deputy Chief, one part-time maintenance worker, a full-time Administrative Assistant and 50-60 volunteer firefighters. CCFR responds to approximately 1,600 structural and wildland fire, medical and other emergencies yearly within Del Norte County, as well as with other agencies and departments provided through Memorandum of Understanding Agreements. The agencies will continue to have separate budgets and oversight from two elected bodies and will retain their own buildings and equipment. Crescent City provides human resources, financial, and other related services. The CCFR fire hall is located at 255 West Washington Blvd. in Crescent City. The Crescent City Volunteer Fire Hall is located at 520 I Street inside the city limits. Recent infrastructure improvements include seismic retrofitting and modernization of the fire hall, and a new apparatus. The City maintains 492 hydrants (Countywide Fire Services MSR 2016). City Streets Infrastructure The City Public Works Department maintains 23 miles of roads and five downtown parking lots. Infrastructure Needs and Deficiencies The City is pursuing a maintenance and rehabilitation schedule to help improve the surface conditions of the streets. (MSR 2011). The 23 miles of roads maintained by the City were evaluated in a 2017 Pavement Management Plan. The City uses the Pavement Surface Evaluation and Rating system (PASER) to rate the City’s paved surfaces on a 1-10 scale, where 1 represents a failed surface and a 10 an excellent one. The average PASER rating for all city streets was a 6.2 down from a 7.5 in 2008. The City continues to upgrade streets to improve pedestrian and bicycle safety and access as per the 2016 Regional Transportation Plan developed by the Del Norte Crescent City Adopted MSR/SOI 13 2019 Local Transportation Commission. In 2015, the Del Norte Local Transportation Commission prepared a Climate Change and Stormwater Management Plan that addresses localized flooding and the vulnerability of transportation assets, including city streets, to flooding, erosion and sea level rise. Planned Upgrades The City has planned for the following roadway improvements: Front St Design and Reconstruction; “A” Street to Front St Realignment; and “A” St to Pacific Ave Rehabilitation. The City has plans to implement the Pebble Beach Drive Improvement project that will connect Preston Island to downtown Crescent City. The route will be safe for active transportation users like cyclists and pedestrians while accommodating all modes of transport including cars and buses. The City also has plans to improve pedestrian access and safety throughout the city. Parks, Recreation and Public Facilities The city maintains a total of 70 acres of parkland and the following recreational facilities: • Crescent City Cultural Center • Fred Endert Municipal Swimming Pool • Shoreline RV Park • Beachfront Park (picnic area, gazebo, horseshoe pits, monuments, dog park and Kids Town) • Fraser Park (a playground, basketball courts, and restrooms) • Peterson Park (a baseball field, tennis and Pickleball courts, and restrooms) • Howe Park (picnic area) • Harbor Trail (a bridge and parking area) Recent improvements and upgrades include the reconstruction of Shoreline RV Park which consisted of new grading, new utilities, WIFI & Cable TV, and upgrades to the shower and laundry facilities and renovations to the Fred Endert Municipal Swimming Pool which included skylight and roof replacement and improved exterior accessibility as well as installation of LED lighting and installation of an ADA lift. Beachfront Park has plans to include disc golf, soccer fields and improved beach access and now includes an amphitheater (Beachfront Master Design Plan, 2016). The City has built the dog park included in the Beachfront design plan. The dog park is located between Front Street and Battery Street next to the SS Emidio Memorial. The City is dedicated to increasing community involvement in the Beachfront Park Plan through avenues such as the Beachfront Park Fund (Crescent City Strategic Plan, 2016). The Cultural Center, located at 1001 Front St., is available for rental for special events. Beachfront and Peterson Park are also available for special events. All rentals are available by contacting the Public Works Department office technician. Infrastructure Needs and Deficiencies There are no current needs or deficiencies. Planned Improvements A Master Design plan has been developed for proposed upgrades and improvements to the existing Beachfront Park. The plan includes construction of new roads and a roundabout, new pedestrian walkways, an amphitheater, a town square, disc golf course, picnic area, soccer fields, and a game center. Other Public Service Providers Schools The Del Norte County Unified School District and Office of Education is located at 301 West Washington Boulevard. County and District Schools are illustrated in Tables 5 and 6 below. Crescent City Adopted MSR/SOI 14 2019 Table 5: Del Norte County Schools Kindergarten – Kindergarten – Kindergarten – 12th 7th– 12th Grades 6th Grade 8th Grade Grade Community Unchartered Avalon/Paragon School Community-Day Schools Day Schools Shores Academy Castle Rock Charter Elk Creek School School McCarthy Community School Table 6: Del Norte District Schools Elementary Schools Middle Schools High Schools Bess Maxwell; Joe Hamilton; Crescent Elk Sunset Continuation Margaret Keating; Mary Peacock Del Norte Mountain; Pine Grove; Redwood Smith River Solid Waste and Recycling The City’s solid waste and recycling services are overseen by the Del Norte Solid Waste Management Authority (DNSWMA). Weekly recycling and trash pick-up are provided by Recology Del Norte. The Del Norte County Transfer Station is located at 1700 State Street, Crescent City. Solid waste from the Station is transferred to the Dry Creek Landfill, located in the Medford, Oregon area. In 2006, the Dry Creek Landfill was estimated to have a capacity of 47.5 million tons remaining, which is estimated to provide at least 50 years of continued disposal. Public Transportation Local public transit is provided by Redwood Coast Transit, providing local service as well as service from Smith River to Arcata. Shared Facilities & Services The City of Crescent City and Del Norte County are cooperating on a Pavement Management Assessment. The Del Norte Local Transportation Commission compiled a 2016 Regional Transportation Plan that serves as a guide for the development of a coordinated and balanced multi-modal regional transportation system. The plan addresses future transportation development projects that will be implemented by Del Norte County and the City of Crescent City. Rural Human Services is an outreach organization based in the City that coordinates programs throughout Del Norte County. It runs a Farmer’s market at the Del Norte County fairgrounds in Crescent City, a food bank program, a shelter for victims of domestic violence, a natural resources outreach program and a supported living services program. BUDGET The City’s Budget is organized by fund type, divided into the following categories: General Fund, Special Revenue Funds, Enterprise Funds, Internal Service Funds, Fiduciary Funds and Capital Project Funds. The City’s adopted fiscal year 2018-19 (City Council Resolution No. 2018-26) sets budget amounts shown in Table 7. The City’s primary source of General Fund revenues derives from Taxes. The City’s primary source of General Fund expenditures is Wages and Salaries. Crescent City Adopted MSR/SOI 15 2019 Table 7: Crescent City Budget Information 2018-19 Type of Fund(s) Budget Amount General $5,922,059 Special Revenue $4,376,830 Enterprise $9,907,728 Internal Service $1,174,757 General CIP Funds $413,292 Fiduciary Funds $103,056 Total $ 21,897,722 The appropriated Enterprise and Internal Service Fund amounts do not include depreciation. The appropriated amounts do include transfers between funds. Audit Report The City’s assets exceeded its liabilities by $21,693,983 for the fiscal year ending June 30, 2016. The biggest increases in expenditures include increases in spending on community projects and increases in insurance and retirement expenses. Maintaining infrastructure and increases in employee expenses are unavoidable, but charges for services could be increased to offset increased expenses. Service Rates New service water connection charges are determined by estimated usage figured at a single-family equivalency of 250 gallons per day at a rate of $2,700.00 per single family equivalent. Water and wastewater rates and fees are set by Proposition 218 passed by the City Council. Other fees are set by a city approved resolution and may be amended only after a properly noticed public hearing. (Ord. 566, 1980; Ord. 563 § 2, 1980; prior code § 16-126). Water service charges are $2.62 for every 100 c.f. above the 500 c.f. minimum charge. The current Crescent City Fee schedule is available on-line on the City’s webpage. Table 8: Crescent City Fee Schedule Size Service Connection Fees Monthly Service Rate 5/8” – 3/4” Set by Resolution 2017-22 22.49 up to 500 cf 1” Set by Resolution 2017-22 22.49 up to 500 cf 1-1/2" Set by Resolution 2017-22 22.49 up to 500 cf 2” Set by Resolution 2017-22 22.49 up to 500 cf Financing Constraints and Opportunities The City of Crescent City conducts an annual budgeting process and controls costs to limit expenses. The City actively pursues grant funding from numerous agencies that provide rural area funding to cover infrastructure and other City improvements. Cost Avoidance Opportunities The City already shares staff members across departments to reduce staffing costs. The City also uses volunteers and works with non-profit organizations to provide services at low costs. Crescent City Adopted MSR/SOI 16 2019 MUNICIPAL SERVICE REVIEW DETERMINATIONS This chapter addresses the requirements of the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 (California Government Code Section 56430). As part of the municipal service review process, LAFCo is required to make written statements of determinations in each of the categories listed below. Growth and population projections According to the US Census Bureau, the 2015 5-year population estimate for Crescent City was 7,120. Using a 0.1 percent annual growth estimate, and the 2010 population, the Crescent City population could increase to 7,300 by the year 2035 (CA Department of Finance, 2016). The city has plenty of space to accommodate this level of growth. The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the Sphere of Influence. Although the City of Crescent City is considered a Disadvantaged Community Place with place ID number 0617022, it is incorporated so it is not considered a DUC. It is directly adjacent to the Bertsch-Oceanview CSD, which is within the current sphere of influence. Bertsch-Oceanview has a population of 2,568 and a MHI of 35,678 and is considered to be a disadvantaged community (Department of Water Resources, Disadvantaged Community Mapping Tool, 2017). Crescent City provides water to the Bertsch-Oceanview CSD which then distributes it to the community. Present and planned capacity of public facilities and adequacy of public services, including infrastructure needs or deficiencies. Growth in the incorporated Crescent City area is expected to be minimal and the current public facilities and infrastructure should be adequate to accommodate future increases. A building at 2nd and H Streets was recently purchased for future renovation as the new City Hall location. There is a need for a new police station and a study looking at feasibility and funding sources is still underway. Financial ability of agencies to provide services The City establishes annual appropriations for General; Special Revenue; Enterprise; Internal Service; General CIP; and Fiduciary Funds as part of their budget process. These funds are allocated to provide the range of services offered by the City. Status of, and opportunities for, shared facilities The City of Crescent City provides potable water service to the City, some unincorporated areas around the City and Pelican Bay State Prison. The City delivers water directly to customers within the City, the County Service Area/Assessment District Number One (CSA1/AD1) and additional unincorporated areas outside of the City. Under contractual agreements, the City also delivers water to the Bertsch-Ocean View Community Services District, the Church Tree Community Services District and Meadow Brook for their customers. CSA1/AD1 also provides wastewater conveyance for customers within their jurisdiction. However, wastewater from the CSA1/AD1 is treated by the City’s WWTP. The BOV CSD has the same boundary and serves the same customers as the CSA1/AD1. The BOV CSD provides water service and the CSA1/AD1 provides wastewater collection service. The BOV CSD purchases its water from the City and the CSA1/AD1 conveys its wastewater to the City for treatment and disposal. Given the above conditions, and because these areas are within the Crescent City SOI, a future annexation of one or both of these Special Districts to the City of Crescent City may be warranted, as would consideration of a future Special District consolidation. Furthermore, in order for urban densities designated in the City of Crescent City Adopted MSR/SOI 17 2019 Crescent City and the Del Norte County General Plans to be developed, services must first be available. Crescent City could pursue the annexation of the Bertsch-Oceanview CSD and the Crescent City Harbor District. Accountability for community service needs, including governmental structure and operational efficiencies The City is governed by the Crescent City City Council. The City Council is comprised of five elected members that serve a four year term. The current government structure is operating efficiently, and the City appears to have sufficient governance structure and operational capacity. No change is needed. Any other matter related to effective or efficient service delivery, as required by commission policy The future annexation of the Bertsch-Oceanview CSD and the Crescent City Harbor District would allow for more efficient service delivery to these areas. The Harbor District is pursuing financial solutions to address deficits that should improve its ability to provide adequate services and be more viable for future annexation. SPHERE OF INFLUENCE DETERMINATIONS The current sphere of influence (SOI) surrounding the City of Crescent City is very large and is proposed for reduction as part of a SOI update. The SOI will still include the Church Tree Community Services District, the Bertsch Ocean-View CSD and the Meadowbrook subdivision north of city limits. Present and planned land uses in the area, including agricultural and open-space lands. The area surrounding Crescent City is primarily agricultural, commercial timber production lands, recreation areas, residential developments and mobile home parks. There are areas of light industrial and commercial areas, some of which are vacant. Opportunities for growth exist, but physical hazards and constraints such as flood plains and hillsides are barriers to growth. The Commission carefully considered the areas within the SOI, especially resource lands. The Commission is particularly concerned with private land within resource lands and would like to consider their retention within the SOI to make access to the water supply more available for cannabis use and other small agricultural businesses. Present and probable need for public facilities and services in the area. Given the low growth estimates for the City, there are no anticipated needs for the expansion of public services and facilities. The proposed reduction in the SOI will remove areas that will not need public services from the City. Development is currently in progress in the industrial areas around the airport and the airport itself is proposed for inclusion in the SOI. State and Federal lands will not be developed, will not rely on an extension of city services and are proposed for removal. However, private inholdings within resource lands could potentially be used for small agriculture businesses and require water service in the future. Present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide. The current capacity of public facilities provided by the City appear to be adequate to serve current demand. Existence of any social or economic communities of interest in the area if the commission determines that they are relevant to the agency. The City of Crescent City is a shopping and service industry hub for local residents in Del Norte County. Crescent City’s commercial and public businesses support the daily local needs of the greater population of the County. Crescent City Adopted MSR/SOI 18 2019 For an update of a sphere of influence of a city or special district that provides public facilities or services related to sewers, municipal and industrial water, or structural fire protection, the present and probable need for those public facilities and services of any disadvantaged unincorporated communities within the existing sphere. The current SOI is proposed for reduction due to a lack of demand for development on the edges of the current SOI. There are no disadvantaged unincorporated communities that will be removed from the current SOI that will no longer be able to receive services from the City. Crescent City Adopted MSR/SOI 19 2019 REFERENCES City of Crescent City, 2016. Beachfront Master Design Plan. City of Crescent City, 2016. Annual Water Quality Report. http://crescentcity.org/docs/2016CCR.pdf City of Crescent City, 2016. Strategic Design Plan Coleman Engineering, 2017. City of Crescent City Water Improvement Project Preliminary Engineering Report. CA Dept. of Water Resources: http://www.water.ca.gov/irwm/grants/resources_dac.cfm CA Dept of Water Resources Groundwater Information Center http://www.water.ca.gov/pubs/groundwater/bulletin_118/basindescriptions/1-1.pdf Freshwater Environmental Services, 2014. 2010 Urban Water Management Plan Amendment, Crescent City CA North Coast Resource Partnership: http://www.northcoastresourcepartnership.org/app_pages/view/7897 State of California, Department of Finance, E-1 Population Estimates for Cities, Counties and the State with Annual Percent Change — January 1, 2016 and 2017. Sacramento, California, May 2017. California Department of Transportation: http://www.dot.ca.gov/hq/tpp/offices/eab/index_files/2016/DelNorte2016.pdf US Census Bureau: https://www.census.gov/quickfacts/table/PST045215/06 US EPA Safe Drinking Water Information System Accessed 2017 https://sdwis.waterboards.ca.gov/PDWW/JSP/WaterSystemDetail.jsp?tinwsys_is_number=277&tinwsys_st_cod e=CA&counter=0 US Census Bureau https://factfinder.census.gov/faces/nav/jsf/pages/community_facts.xhtml Crescent City Adopted MSR/SOI 20 2019