Novato Regional Municipal Service Review and Sphere of Influence Update- January 2020

Marin Local Agency Formation Commission Municipal Service Review Novato Region Final Draft Januray 2020 PREFACE This Municipal Services Review (MSR) documents and analyzes the services provided by local governmental agencies in the Novato area. Specifically, this report evaluates the adequacy and efficiency of local government structure and boundaries within the region and provides a basis for boundary planning decisions by the Marin Local Agency Formation Commission (LAFCo). Context Marin LAFCo is required to prepare this MSR in accordance with the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 (Government Code §56000, et seq.), which took effect on January 1, 2001. The MSR reviews services provided by public agencies—cities and special districts—whose boundaries and governance are subject to LAFCo. The analysis and recommendations included herein serve to promote and coordinate the efficient delivery of local government services and encourage the preservation of open space and agricultural lands. Commissioners, Staff, Municipal Services Review Preparers Commissioners Sashi McEntee, Chair City City of Mill Valley Craig Murray, Vice Chair Special District Las Gallinas Valley Sanitary District Damon Connolly County District 1 Supervisor Judy Arnold County District 5 Supervisor Sloan Bailey City Town of Corte Madera Lew Kious Special District Almonte Sanitary District Larry Loder Public Commission Chris Skelton Public Alternate Commission Tod Moody Special District Alternate Sanitary District #5 Matt Brown City Alternate City of San Anselmo Dennis Rodoni County Alternate District 4 Supervisor Staff Jason Fried Executive Director Candice Bozzard Commission Clerk Jeren Seibel Policy Analyst MSR Preparers Marin LAFCo 1 Novato Region Final Draft MSR January 2020 Table of Contents 1.0 INTRODUCTION .................................................................................................................................. 6 1.1 Role and Responsibility of LAFCo................................................................................................... 6 1.2 Municipal Service Reviews............................................................................................................. 7 1.3 Marin LAFCo Composition ............................................................................................................. 8 2.0 EXECUTIVE SUMMARY ....................................................................................................................... 9 2.1 Affected Public Agencies ............................................................................................................... 9 2.2 Plans, Policies, Studies ................................................................................................................. 10 2.3 Agency and Public Participation .................................................................................................. 11 2.4 Written Determinations .............................................................................................................. 13 3.0 SERVICES EVALUATION AND DETERMINATIONS ............................................................................. 15 3.1 Regional Municipal Services ........................................................................................................ 15 3.2 Municipal Service Review Determinations .................................................................................. 19 4.0 REGIONAL SETTING .......................................................................................................................... 21 4.1 Unincorporated Islands ............................................................................................................... 21 4.2 Growth and Population ............................................................................................................... 25 5.0 CITY OF NOVATO .............................................................................................................................. 27 5.1 Overview ...................................................................................................................................... 27 5.2 Formation and Development....................................................................................................... 27 5.3 City Boundary and Sphere of Influence ....................................................................................... 28 5.4 Municipal Services ....................................................................................................................... 32 5.5 Organizational Structure .............................................................................................................. 34 5.6 Accountability and Transparency ................................................................................................ 36 5.7 Financial Overview ....................................................................................................................... 36 5.8 Sustainability ................................................................................................................................ 38 6.0 NOVATO SANITARY DISTRICT .......................................................................................................... 40 6.1 Overview ...................................................................................................................................... 40 6.2 Formation and Development....................................................................................................... 40 6.3 District Boundary and Sphere of Influence.................................................................................. 43 6.4 Municipal Services ....................................................................................................................... 43 6.5 Organizational Structure .............................................................................................................. 45 6.6 Accountability and Transparency ................................................................................................ 46 6.7 Financial Overview ....................................................................................................................... 46 Marin LAFCo 2 Novato Region Final Draft MSR January 2020 6.8 Sustainability ................................................................................................................................ 49 7.0 NOVATO FIRE PROTECTION DISTRICT .............................................................................................. 50 7.1 Overview ..................................................................................................................................... 50 7.2 Formation and Development....................................................................................................... 50 7.3 District Boundary and SPHERE of Influence ................................................................................ 53 7.4 Municipal Services ....................................................................................................................... 53 7.5 Organization Structure ................................................................................................................ 57 7.6 Accountability and Transparency ................................................................................................ 59 7.7 Financial Overview ....................................................................................................................... 59 7.8 Wildland Fire Preparedness ......................................................................................................... 62 8.0 BEL MARIN KEYS COMMUNITY SERVICE DISTRICT .......................................................................... 64 8.1 Overview ...................................................................................................................................... 64 8.2 Formation and Development....................................................................................................... 67 8.3 District Boundary and Sphere of Influence.................................................................................. 67 8.4 Population and Growth ............................................................................................................... 67 8.5 Municipal Services ....................................................................................................................... 67 8.6 Organizational Structure .............................................................................................................. 70 8.7 Accountability and Transparency ................................................................................................ 71 8.8 Financial Overview ....................................................................................................................... 71 8.9 Sustainability ................................................................................................................................ 75 9.0 COUNTY SERVICE AREA NO. 1 (LOMA VERDE) ................................................................................ 76 9.1 Overview ...................................................................................................................................... 76 9.2 Formation and Development....................................................................................................... 76 9.3 District Boundary and Sphere of Influence.................................................................................. 79 9.4 Municipal Services ....................................................................................................................... 79 9.5 Organizational Structure .............................................................................................................. 81 9.6 Accountability and Transparency ................................................................................................ 82 9.7 Financial Overview ....................................................................................................................... 82 10.0 COUNTY SERVICE AREA NO. 20 (INDIAN VALLEY)............................................................................ 84 10.1 Overview ...................................................................................................................................... 84 10.2 Formation and Development....................................................................................................... 84 10.3 District Boundary and Sphere of Influence.................................................................................. 84 10.4 Municipal Services ....................................................................................................................... 87 Marin LAFCo 3 Novato Region Final Draft MSR January 2020 10.5 Organizational Structure .............................................................................................................. 88 10.6 Accountability and Transparency ................................................................................................ 88 10.7 Financial Overview ....................................................................................................................... 89 10.8 Sustainability ................................................................................................................................ 89 11.0 COUNTY SERVICE AREA NO. 25 (MOUNT BURDELL PARK AND OPEN SPACE) ................................ 90 11.1 Overview ...................................................................................................................................... 90 11.2 Formation and Development....................................................................................................... 90 11.3 District Boundary and Sphere of Influence.................................................................................. 92 11.4 Municipal Services ....................................................................................................................... 92 11.5 Organizational Structure .............................................................................................................. 92 11.6 Financial Overview ....................................................................................................................... 92 11.7 Governance Structure Options .................................................................................................... 93 List of Figures Figure 4-1: Novato Regional Map ................................................................................................................ 23 Figure 5-1: City of Novato Boundary and SOI .............................................................................................. 30 Figure 5-2: City of Novato Land Use ............................................................................................................ 31 Figure 5-3: City of Novato Organizational Structure ................................................................................... 35 Figure 5-4: Novato General Fund Budget Expenditures .............................................................................. 37 Figure 5-5: Novato General Fund Budget Revenues ................................................................................... 38 Figure 6-1: Novato Sanitary District Boundary and SOI............................................................................... 41 Figure 6-2: Novato Sanitary District Zoning ................................................................................................. 42 Figure 7-1: Novato Fire Protection District Boundary and SOI .................................................................... 51 Figure 7-2: Novato Fire Protection District Zoning ...................................................................................... 52 Figure 7-3: NFPD Total Calls per Fiscal Year ................................................................................................ 54 Figure 7-4: NFPD Response Times by Incident Type (2018) ........................................................................ 54 Figure 7-5: NFDP Emergency Responses by Incident Type (2018) .............................................................. 55 Figure 8-1: Bel Marin Keys CSD Boundary and SOI ...................................................................................... 65 Figure 8-2: Bel Marin Keys Land Use ........................................................................................................... 66 Figure 9-1: CSA No. 1 Boundary and SOI ..................................................................................................... 77 Figure 9-2: CSA No. 1 Land Use.................................................................................................................... 78 Figure 9-3: Loma Verde Open Space Preserve Map .................................................................................... 80 Figure 10-1: CSA No. 20 Boundary and SOI ................................................................................................. 85 Figure 10-2: CSA No. 20 Land Use ............................................................................................................... 86 Figure 10-3: Indian Valley and Ignacio Valley Open Space Trail Map ......................................................... 87 Figure 11-1: CSA No. 25 District Boundary .................................................................................................. 91 Marin LAFCo 4 Novato Region Final Draft MSR January 2020 List of Tables Table 1-1: LAFCO Regulatory Powers ............................................................................................................ 7 Table 1-2: Mandatory Determinations .......................................................................................................... 8 Table 1-3: Marin LAFCo Commission Membership ....................................................................................... 8 Table 2-1: Agencies in Novato Regional MSR ................................................................................................ 9 Table 2-2: Novato Regional Agencies’ Meeting Information ...................................................................... 12 Table 5-1: City of Novato Overview ............................................................................................................. 27 Table 6-1: Novato Sanitary District Overview ............................................................................................. 40 Table 6-2: Novato Sanitary District Residential Sewer Service Charges...................................................... 44 Table 6-3: Recology Solid Waste Disposal Rates ......................................................................................... 45 Table 6-4: Novato Sanitary District Board Members ................................................................................... 46 Table 6-5: Novato Sanitary District Financial Audit Summary..................................................................... 47 Table 6-6: Novato Sanitary District Budget Overview ................................................................................. 48 Table 7-1: Novato Fire Protection District Overview ................................................................................... 50 Table 7-2: NFPD Vehicle Service Times........................................................................................................ 56 Table 7-3: NFPD Board of Supervisors ......................................................................................................... 58 Table 7-4: NFPD Financial Audit Summary .................................................................................................. 60 Table 7-5: NFPD Approved Budget Summary .............................................................................................. 61 Table 7-6: NFPD Reserve Funds ................................................................................................................... 62 Table 8-1: Bel Marin Keys CSD Overview..................................................................................................... 64 Table 8-2: Bel Marin Keys Dredging History ................................................................................................ 69 Table 8-3: Bel Marin Keys Board of Supervisors .......................................................................................... 70 Table 8-4: Bel Marin Keys CSD Financial Audit Summary ............................................................................ 73 Table 8-5: Bel Marin Keys CSD Budget Summary ........................................................................................ 74 Table 9-1: CSA No. 1 Overview .................................................................................................................... 76 Table 9-2: Summary of Maintenance Frequency for CSA No. 1 .................................................................. 79 Table 9-3: County of Marin Board of Supervisors ....................................................................................... 81 Table 9-4: CSA No. 1 Financial Summary ..................................................................................................... 83 Table 10-1: CSA No. 20 Overview ................................................................................................................ 84 Table 10-2: CSA No. 20 Advisory Board Members ...................................................................................... 88 Table 10-3: CSA No. 20 Financial Summary ................................................................................................. 89 Table 11-1: CSA No. 25 Overview ................................................................................................................ 90 Appendix A – References Cited Marin LAFCo 5 Novato Region Final Draft MSR January 2020 1.0 INTRODUCTION 1.1 ROLE AND RESPONSIBILITY OF LAFCO Local Agency Formation Commissions (LAFCos) were established in 1963 and are political subdivisions of the State of California responsible for providing regional growth management oversight in all 58 counties. LAFCos’ authority is currently codified under the Cortese-Knox- Hertzberg Local Government Reorganization Act of 2000 (“CKH”), which specifies regulatory and planning powers delegated by the Legislature to coordinate and oversee the establishment, expansion, and organization of cities and special districts as well as their municipal service areas. LAFCos’ regulatory and planning powers are set to fulfill specific purposes and objectives that collectively construct the Legislature’s regional growth management priorities under Government Code (G.C.) Section 56301. This statute reads: “Among the purposes of the commission are discouraging urban sprawl, preserving open space and prime agricultural lands, efficiently providing governmental services, and encouraging the orderly formation and development of local agencies based upon local conditions and circumstances. One of the objects of the commission is to make studies and to obtain and furnish information which will contribute to the logical and reasonable development of local agencies in each county and to shape the development of local agencies so as to advantageously provide for the present and future needs of each county and its communities.” LAFCo decisions are legislative in nature and not subject to an outside appeal process. LAFCos also have broad powers with respect to conditioning regulatory and planning approvals so long as not establishing any terms that directly control land uses, densities, or subdivision requirements. Regulatory Responsibilities LAFCos’ principal regulatory responsibility involves approving or disapproving all jurisdictional changes involving the establishment, expansion, and reorganization of cities and most special districts. More recently LAFCos have been tasked with also overseeing the approval process for 1 cities and districts to provide new or extended services beyond their jurisdictional boundaries by contract or agreement as well as district actions to either activate a new service or divest an existing service. LAFCos generally exercise their regulatory authority in response to applications submitted by the affected agencies, landowners, or registered voters. Recent CKH amendments, however, now authorize and encourage LAFCos to initiate on their own jurisdictional changes to form, consolidate, and dissolve special districts consistent with current and future community needs. The following table provides a complete list of LAFCos’ regulatory authority. 1 CKH defines “special district” to mean any agency of the State formed pursuant to general law or special act for the local performance of governmental or proprietary functions within limited boundaries. All special districts in California are subject to LAFCO with the following exceptions: school districts; community college districts; assessment districts; improvement districts; community facilities districts; and air pollution control districts. Marin LAFCo 6 Novato Region Final Draft MSR January 2020 Table 1-1: LAFCO Regulatory Powers LAFCo Regulatory Powers • City Incorporations / Disincorporations • City and District Annexations • District Formations / Dissolutions • City and District Detachments • City and District Consolidations • Merge/Establish Subsidiary Districts • City and District Outside Service • District Service Activations / Divestitures Extensions Planning Responsibilities LAFCos inform their regulatory actions through two central planning responsibilities: (a) making sphere of influence (“sphere”) determinations and (b) preparing municipal service reviews. Sphere determinations have been a core planning function of LAFCos since 1971 and effectively serve as the Legislature’s version of “urban growth boundaries” with regard to cumulatively delineating the appropriate interface between urban and non-urban uses within each county. Municipal service reviews, in contrast, are a relatively new planning responsibility enacted as part of CKH and are intended to inform – among other activities – sphere determinations. The Legislature mandates, notably, all sphere changes as of 2001 be accompanied by preceding municipal service reviews to help ensure LAFCos are effectively aligning governmental services with current and anticipated community needs. 1.2 MUNICIPAL SERVICE REVIEWS Municipal service reviews were a centerpiece to CKH’s enactment in 2001 and are comprehensive studies of the availability, range, and performance of governmental services provided within a defined geographic area. LAFCos generally prepare municipal service reviews to explicitly inform subsequent sphere determinations. LAFCos also prepare municipal service reviews irrespective of making any specific sphere determinations in order to obtain and furnish information to contribute to the overall orderly development of local communities. Municipal service reviews vary in scope and can focus on a particular agency or governmental service. LAFCos may use the information generated from municipal service reviews to initiate other actions under their authority, such as forming, consolidating, or dissolving one or more local agencies. All municipal service reviews – regardless of their intended purpose – culminate with LAFCos preparing written statements addressing seven specific service factors listed under G.C. Section 56430. This includes, most notably, infrastructure needs or deficiencies, growth and population trends, and financial standing. The seven mandated service factors are summarized in the following table. Marin LAFCo 7 Novato Region Final Draft MSR January 2020 Table 1-2: Mandatory Determinations Mandatory Determinations / Municipal Service Reviews (Government Code Section 56430) 1. Growth and population projections for the affected area. 2. Location and characteristics of any disadvantaged unincorporated communities within or contiguous to affected spheres of influence. 3. Present and planned capacity of public facilities, adequacy of public services, and infrastructure needs or deficiencies. 4. Financial ability of agencies to provide services. 5. Status and opportunities for shared facilities. 6. Accountability for community service needs, including structure and operational efficiencies. 7. Matters relating to effective or efficient service delivery as required by LAFCo policy. 1.3 MARIN LAFCO COMPOSITION Marin LAFCo is governed by a 7-member board comprising two county supervisors, two city councilmembers, two independent special district members, and one representative of the general public. Each group also appoints one “alternate” member. Each member must exercise their independent judgment, separate from their appointing group, on behalf of the interests of all residents, landowners, and the public. Marin LAFCo’s current commission membership is provided below in Table 2-3. Table 1-3: Marin LAFCo Commission Membership Name Position Agency Affiliation Sashi McEntee, Chair City City of Mill Valley Craig Murray, Vice Chair Special District Las Gallinas Valley Sanitary District Damon Connolly County District 1 Supervisor Judy Arnold County District 5 Supervisor Sloan Bailey City Town of Corte Madera Lew Kious Special District Almonte Sanitary District Larry Loder Public Commission Chris Skelton Public Alternate Commission Tod Moody Special District Alternate Sanitary District #5 Matt Brown City Alternate City of San Anselmo Dennis Rodoni County Alternate District 4 Supervisor Marin LAFCo is independent of local government and employs its own staff. Its offices are located at 1401 Los Gamos Drive, Suite 220 in San Rafael. Information on Marin LAFCo’s functions and activities, including reorganization applications, are available by calling 415-448-5877 by e-mail to staff@marinlafco.org or by visiting www.marinlafco.org. Marin LAFCo 8 Novato Region Final Draft MSR January 2020 2.0 EXECUTIVE SUMMARY This study represents Marin LAFCo’s scheduled regional municipal service review of local agencies in the Novato region of eastern central Marin County. The underlying aim of the study is to produce an independent assessment of municipal services in the area over the next five to ten years relative to the Commission’s regional growth management duties and responsibilities. The information generated as part of the study will be directly used by the Commission in (a) guiding subsequent sphere of influence updates, (b) informing future boundary changes, and – if merited – (c) initiating government reorganizations, such as special district formations, consolidations, and/or dissolutions. 2.1 AFFECTED PUBLIC AGENCIES This report focuses on seven agencies operating in the Novato Region as listed below. Table 2-1: Agencies in Novato Regional MSR Novato Regional MSR City of Novato Novato Sanitary District Novato Fire Protection District Bel Marin Keys Community Service District CSA No. 1 (Loma Verde) CSA No. 20 (Indian Valley) CSA No. 25 (County Parks) Together, these agencies provide a range of municipal services to the communities in which they serve, including: Water Water services include access to, treatment of, and distribution of water for municipal purposes. The Study Area is entirely within the North Marin Water District and the District is the sole purveyor of municipal water to the area. An in-depth review of countywide water services, including the North Marin Water District, was prepared by Marin LAFCo in 2016. Wastewater Wastewater services include collection, transmission, and treatment of wastewater. Within the Study Area, the Novato Sanitary District is the sole public provider of wastewater services. See Section 6 for a review of the District’s services. Fire Protection and Emergency Services Fire protection and emergency services consist of firefighting and fire prevention, emergency medical response, hospital service, ambulance, and rescue services. These services are somewhat Marin LAFCo 9 Novato Region Final Draft MSR January 2020 interrelated in nature and overlap in functional application. The Novato Fire Protection District is the primary service provider for fire protection and emergency services in the current study area. Park and Recreation Services Parks and recreation services include the provision and maintenance of parks and recreation services. This also includes open space management. Open Space land is commonly set aside for recreation and stormwater management purposes, as well as for natural resource protection, preservation of cultural and historic resources, preservation of scenic vistas, and many other reasons. In the current study area, much of the open space land is managed by the Marin County Department of Parks and Open Space which is not included in this MSR. Other entities that provide park and recreation services in the study area include the City of Novato, Bel Marin Keys Community Service District, County Service Area (CSA) No. 1 – Loma Verde, and CSA No. 20 – Indian Valley. Channel Maintenance Channel maintenance includes periodic dredging of creek channels. For the current study area, Bel Marin Keys Community Service District is the only district that provides channel maintenance. Roadway Services Roadway services include construction, maintenance, planning of roads, and roadway lighting. In addition to the City of Novato, districts that provide Roadway Services include Bel Marin Keys Community Service District and County Service Area No. 1 – Loma Verde. 2.2 PLANS, POLICIES, STUDIES Key references and information sources for this study were gathered for each district considered. The references utilized in this study include published reports; review of agency files and databases (agendas, minutes, budgets, contracts, audits, etc.); Master Plans; Capital Improvement Plans; engineering reports; EIRs; finance studies; general plans; and state and regional agency information (permits, reviews, communications, regulatory requirements, etc.). Additionally, the consulting team, in coordination with the LAFCo Executive Officer, contacted each agency with requests for information. The MSR study area includes communities within the City as well as unincorporated areas adjacent to the city. In the areas entirely outside of the City, Marin County has the primary authority over local land-use and development policies (and growth). The City of Novato has authority over land use and development policies within the City. City, County, and Community plans were vital for the collection of baseline and background data for each agency. The following is a list of documents used in the preparation of this MSR: • City and County General Plans • Specific Plans • Community Plans • Agency databases and online archives (agendas, meeting minutes, website information) Marin LAFCo 10 Novato Region Final Draft MSR January 2020 2.3 AGENCY AND PUBLIC PARTICIPATION Consistent with the approved scope of work, this study has been prepared with an emphasis in soliciting outside public review and comment as well as multiple opportunities for input from the affected agencies. These efforts are summarized below. This included information requests sent to individual agencies, draft agency profiles also sent to agencies, and review of the draft report prior to Commission action. This MSR is posted on the Commission’s website (www.marinlafco.org). It may also be reviewed at the LAFCo office located at 1401 Los Gamos Drive, Suite 220 in San Rafael during open hours. Marin LAFCo 11 Novato Region Final Draft MSR January 2020 Table 2-2: Novato Regional Agencies’ Meeting Information Novato Regional Municipal Service Review - Agency Transparency Agency Governing Meeting Meeting Location Televised/Streaming Website Body Date/Time City of Novato City Council 2nd and 4th Novato City Hall Council Televised live on local Ch 27. https://novato.org/governm Tuesday at Chambers Rebroadcast on Ch 27 and ent/city-council 901 Sherman Avenue Horizon Cable Ch 70. Live 6:00pm Novato, CA 94945 online at Council website. Novato Board of 2nd Monday at NSD District Office N/A http://www.novatosan.com/ 500 Davidson Street Sanitary Directors 5:30pm board-agendas-and- Novato, CA 94945 District minutes/our-board Novato Fire Board of 1st Wednesday Fire Station 61 N/A https://www.novatofire.org/ Protection Berthinier Conference Rm Directors at 6:00pm about-us/board-of-directors District 7025 Redwood Boulevard Novato, CA 94945 Bel Marin Keys Board of 3rd Thursday at BMK Community Center N/A http://www.bmkcsd.us/bmk Community 4 Montego Key Directors 7:30pm -csd/board-of-directors/ Service District Novato, CA 94945 County Service County Board 2nd and 4th County of Marin Civic Building Webcasts available on Board https://www.marincounty.o Area No. 1 3501 Civic Center Drive - Suite of Supervisors Tuesday at of Supervisors website. rg/depts/bs/meeting-archive Loma Verde 329, San Rafael, CA 94903 9:00am County Service Advisory Board Once per year or Novato Fire District N/A https://www.marincountypa Area No. 20 Administrative Building - more as needed rks.org/about-us/boards- Indian Valley Cavallero Conference Room and-commissions/csa20 95 Rowland Way Novato, CA 94945 County Service County Board 2nd and 4th County of Marin Civic Building Webcasts available on Board https://www.marincounty.o Area No. 25 3501 Civic Center Drive - Suite of Supervisors Tuesday at of Supervisors website. rg/depts/bs/meeting-archive Mount Burdell 329, San Rafael, CA 94903 9:00am (Inactive) Marin LAFCo 12 Novato Region Final Draft MSR January 2020 2.4 WRITTEN DETERMINATIONS The Commission is directed to prepare written determinations to address the multiple governance factors enumerated under G.C. Section 56430 anytime it prepares a municipal service review. These determinations are similar to findings and serve as independent statements based on information collected, analyzed, and presented in this study’s subsequent sections. The underlying intent of the determinations is to identify all pertinent issues relating to the planning, delivery, and funding of municipal services as it relates to the Commission’s role and responsibilities. An explanation of these seven determination categories is provided below. 1. Growth and Population This determination evaluates existing and projected population estimates for the City of Novato and the adjacent unincorporated communities within the study area. The ability of each provider to accommodate growth and demand projections is considered in each agency profile. 2. Location and Characteristics of any Disadvantaged Unincorporated Communities Within or Contiguous to the Sphere of Influence. This determination was added by Senate Bill (SB) 244, which became effective in January 2012. A disadvantaged community is defined as an inhabited community of 12 or more registered voters having a median household income of 80 percent or less than the statewide median household income. 3. Capacity and Infrastructure Also discussed is the adequacy and quality of the services provided by each agency, including whether sufficient infrastructure and capital are in place (or planned for) to accommodate planned future growth and expansions. This is detailed for each provider. 4. Financing This determination provides an analysis of the financial structure and health of each service provider, including the consideration of rates and service operations, as well as other factors affecting the financial health and stability of each provider. Other factors considered include those that affect the financing of needed infrastructure improvements and compliance with existing requirements relative to financial reporting and management. 5. Shared Facilities Opportunities for districts to share facilities are described throughout this MSR. Practices and opportunities that may help to reduce or eliminate unnecessary costs are examined, along with cost avoidance measures that are already being utilized. Occurrences of facilities sharing are listed and assessed for more efficient delivery of services. 6. Government Structure and Local Accountability Accountability and governance are described in Chapter 4 for each provider. This sub- section addresses the adequacy and appropriateness of existing boundaries and spheres of influence and evaluates the ability of each service provider to meet its demands under its Marin LAFCo 13 Novato Region Final Draft MSR January 2020 existing government structure. Also included is an evaluation of compliance by each provider with public meeting and records laws (Brown Act). 7. Other Matters Related to Effective or Efficient Service Delivery, as Required by Commission Policy Marin LAFCo has specified the sustainability of local agencies as a priority matter for consideration in this MSR. Sustainable local governments that take practical steps to protect the environment and our natural resources through land conservations, water recycling and reuse, preservation of open space and opting to use renewable energy are the key players in determining the sustainability of the region. In addition, other matters for consideration could relate to the potential future SOI determination and/or additional effort to review potential advantages or disadvantages of consolidation or reorganization. A summary of determinations regarding each of the above categories are provided in Chapter 11 of this document and will be considered by Marin LAFCo in assessing potential future changes to an SOI or other reorganization. Marin LAFCo 14 Novato Region Final Draft MSR January 2020 3.0 SERVICES EVALUATION AND DETERMINATIONS 3.1 REGIONAL MUNICIPAL SERVICES In conducting a service review, the commission shall comprehensively review all of the agencies that provide the identified service or services within the designated geographic area. Services reviewed, on a regional scale, provide LAFCo with a broader understanding of service adequacy and efficiency. Evaluations consider service levels, service demand, financing challenges and opportunities, infrastructure needs and deficiencies, opportunities for shared facilities, and governance structure options. The commission may assess various alternatives for improving efficiency and affordability of infrastructure and service delivery within and contiguous to the sphere of influence, including, but not limited to, the consolidation of governmental agencies. Written determinations address mandatory factors required under the statute. 1) Regional Considerations for Fire & Emergency Response Services Fire protection and emergency response services in the Novato region are provided by the Novato Fire Protection District. The FPD maintains a budget of over $30 million dollars that is spread over five distinct divisions. The FPD is able to support 78 staff that work at five fire stations and one administrative building. The FPD participates in a number of regional collaborations including the Marin Emergency Radio Authority and jointly operates an Emergency Operations Center with the City of Novato. It also has serval automatic aid agreements in place with regional emergency response agencies including the Marin County Fire Chiefs Mutual Aid Agreement which allows for county-wide mobilization during emergencies. Currently, the FPD is seeking funding to fill vacancies in its Risk Reduction, Prevention, and Mitigation division. By expanding this division, the FPD would be able to better support residents in the Wildland Urban Interface by conducting hazard assessments and drafting fuel reduction plans. This could decrease the number of losses associated with wildland fires which is a growing threat to communities all throughout California. 2) Regional Considerations for Wastewater and Solid Waste Collection Services The Novato Sanitary District provides wastewater collection and recycled water services. It also provides solid waste collection services through a contract agreement with Recology Sonoma Marin. NSD operates a central treatment facility that was recently upgraded in 2011 and maintains hundreds of miles of pipeline throughout the Novato region. It is also able to provide approximately 165 million gallons of recycled water that is delivered by the North Marin Water District. Recent upgrades to the Novato WWTP have allowed NSD to improve their level of service while also planning for future development and growth in the region. The NSD has also been working on upgrading its sewer collection system since 2000. With hundreds of miles of pipeline in a range of conditions, upgrades will continue to take place. In FY 2019-20 the NSD will complete a Collection System Master Plan that will identify needed improvements to its collection system. Marin LAFCo 15 Novato Region Final Draft MSR January 2020 Having this long-range planning document will allow the NSD to adequately budget for needed upgrades over the next decade and seek out additional funding as needed for larger projects. 3) Regional Considerations for Parks and Recreation Services Parks and recreation remain an integral part of the communities in the Novato region. The region has ample opportunity for recreation and could better serve residents in some areas by conducting long-term planning and considering governance structure and boundary changes. Long-Term Planning Parks and recreation services in the Novato region are mainly overseen by the City of Novato and the Marin County Department of Parks and Open Space. Additional park and recreation services are provided by Bel Marin Keys. These agencies have developed long-term planning documents that help guide capital improvement projects throughout the region. Another agency, CSA No. 20, could also benefit from such a document. CSA 20 exists for the purpose of enhancing features and amenities within the Indian Valley Open Space Preserve, which is managed by Marin County Open Space District. While CSA 20 reports that the utilize the current Marin County Open Space District planning documents to help inform decisions made by the Advisory Board. A long-term planning document specific to the Indian Valley Preserve, such as a list of project priorities, could help inform decisions made by the Advisory Board and help track management of funds and services. Governance Structure and Boundaries The Marin County Department of Parks and Open Space manages much of the open space area in the Novato Region including areas within the boundaries of CSAs Nos. 1, 20, and 25. This provides for consolidated management responsibilities and coordinated planning. In the case of CSA No. 25, all lands purchased by the CSA were transferred to the Open Space District which is now the Marin County Department of Parks and Open Space. As such, CSA No. 25 has no assets, revenue, or expenditures. It meets the criteria set forth by the State Controller’s Office for an inactive district and is eligible for the State’s inactive district list which would lead to the dissolution of the district. As the CSA has accomplished its original goal of land acquisition and no longer provides services to the region, this is a reasonable course of action. Funding In recent years the recreation facilities in the Novato region have benefited from Measure A funds. However, these funds are due to sunset in 2021. The City has also noted that revenues for Parks and Recreation and other City departments are highly dependent on community participation in programs. The cost of providing these services is anticipated to increase at a greater rate than revenues. Both the County and the City may consider researching additional long-term funding mechanisms, such as another bond measure or extension of the existing sales tax measure (Measure A), to continue funding park and recreation services in the Novato region. Marin LAFCo 16 Novato Region Final Draft MSR January 2020 4) Regional Considerations for Police Services The City of Novato Police Department serves residents within and directly adjacent to the City’s boundary. Unincorporated areas of the Novato region are served by the Marin County Sheriff Office from their patrol unit’s Main Station in the City of San Rafael and the California Highway Patrol. The City of Novato Police Department maintains a police force of approximately 20 patrol units and runs a range of community engagement efforts. Community efforts such as the Novato Response Team focus on crime prevention and neighborhood safety. The efforts of the police force have contributed to lower crime rates and very low citizen complaints. The department has an annual budget of over $15.5 million which accounts for approximately 38% of the City’s General Fund budget. 5) Regional Considerations for Roads & Street Lighting Services The City of Novato Public Works Department is responsible for maintaining City facilities including roads, traffic signals, and thousands of street lights. The department works to improve pedestrian crossings, convert lights to LED in an effort to conserve energy, maintain adequate retaining walls, and repave roads along with many other regular maintenance and improvement projects. Road maintenance outside of the City of Novato is the responsibility of Marin County. Major access roads to unincorporated areas include Bel Marin Keys Boulevard in Bel Marin Keys, Alameda de la Loma in Loma Verde, Harbor Drive in Black Point, Atherton Avenue in Green Point, and Indian Valley Road in Indian Valley. Major state roads include Highway 101 and Highway 37 which are maintained by Caltrans. One issue that may arise in the future is the inundation of roads by sea-level rise. While much of Novato is anticipated to not be impacted by sea-level rise, according to the Marin Shoreline Sea Level Rise Vulnerability Assessment for the Novato region, some areas along San Pablo Bay and the Petaluma River could be impacted. In the event of 10” of sea-level rise and a 100-year Storm Surge event, approximately half of Bel Marin Keys Streets and portions of Green Point could see substantial flooding. Another issue arising with road and street lighting services is the City’s ability to continue funding departments at current and anticipated future levels. The City has noted that the rising cost of employee compensation, contributions to medical premiums, and workers compensation is exceeding revenue increases which may lead to funding deficits. The City may want to look at other sources of long-term revenue to help offset these rising costs. 6) Regional Considerations for Dredging Services Dredging takes place in navigable creeks and rivers in the region. Bel Marin Keys CSD provides maintenance dredging services for its North Lagoon and portions of Novato Creek near flood control structures. Additional dredging in the region is conducted by the US Army Corps of Engineers along the Petaluma River. Marin LAFCo 17 Novato Region Final Draft MSR January 2020 Bel Marin Keys CSD has been able to secure funding for regular maintenance of their North Lagoon though passing of Measure D. However, Novato Creek remains largely unfunded. The last dredging that took place in 2005 and was funded by the passing of Measure F. Ideally the creek is dredged on a 20-year cycle to maintain the navigation channel. When the next major dredging of the creek is scheduled the CSD will need to consider additional funding options such as another bond measure or potential cost-sharing opportunities. 7) Regional Considerations for Planning The City of Novato is the major jurisdiction within the document’s study area. While the largest in the area, water and sewer service are provided by other agencies. The provision of these services, along with land use authority, are some of the major factors determining development and growth. This means that growth on the unincorporated edges of the city is not generally at the discretion of the city, making it challenging for them to plan and provide for growth on their boundaries. While Novato cannot have direct control over the unincorporated lands surrounding the City, there are tools available to them to further establish their region of interest. The Governor’s Office of Planning and Research (OPR) recommends that cities establish a planning area as a part of their general plan development. The planning area may include regions that are outside of the City’s SOI but that may impact the City if development occurs.. The City of Novato may be impacted by development in unincorporated areas due to increased population around the City and use of City amenities. As such, it would be advantageous to define a Planning Area in which the City is included in the development process through either notification, comment, or other agreeded upon process. This type of planning area does not give the City of Novato the authority to approve or disapprove of any proposals but simply the chance to know about local projects. The City of Novato should consider working together with the County and surrounding communities to delineate a Novato Planning Area and establishing formal agreements for processing development proposals in this area. Marin LAFCo 18 Novato Region Final Draft MSR January 2020 3.2 MUNICIPAL SERVICE REVIEW DETERMINATIONS 1) Growth and population projections for the affected area. a) Projected near-future growth is expected to be moderate. According to the Association of Bay Area Governments, the Novato population is expected to increase to a total population of 53,900 by 2025 with an estimated annual growth rate of 0.3 percent. 2) The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the sphere of influence. a) There are no identified DUCs within the Study Area. 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. a) As noted above, there are no unincorporated communities within the Study Area that have been identified as disadvantaged. 4) Financial ability of agencies to provide services. a) The City of Novato, Novato Sanitary District, Novato Fire Protection District, Bel Marin Keys CSD, and the County Service Areas all prepare annual budgets and prepare financial statements in accordance with established governmental accounting standards. The City Council, NSD, FPD, and CSD Boards, and County Board of Supervisors may amend their budgets by resolution during the fiscal year in order to respond to emerging needs, changes in resources, or shifting priorities. Expenditures may not exceed appropriations at the fund level, which is the legal level of control. b) The City Manager, Chief Engineer, Fire Chief, CSD General Manager, and County Administrative Officer are authorized to transfer budgeted amounts between accounts, departments or funds under certain circumstances, however; the City Council, NSD, FPD, and CSD Boards, and County Board of Supervisors must approve any increase in the operating expenditures, appropriations for capital projects, and transfers between major funds and reportable fund groups. Audited financial statements are also prepared for the City, NSD, FPD, CSD, and County by independent certified public accounting firms. c) While additional revenues are needed to provide some services and maintain infrastructure covered in this MSR, the agencies meet their financial responsibilities to provide services. 5) Status of, and opportunities for, shared facilities. a) The Marin County Department of Parks and Open Space provides shared services for CSA Nos. 1 and 20 by managing open space areas and preserves within the CSAs’ boundaries. b) The Novato Sanitary District is able to provide recycled water to the region that is distributed by the North Marin Water District. c) The Novato Fire Protection District operates an Emergency Operations Center jointly with the City of Novato and participates in multiple regional agreements for aid and operations. Marin LAFCo 19 Novato Region Final Draft MSR January 2020 6) Accountability for community service needs, including governmental structure and operational efficiencies. a) CSA No. 20 may consider a long-term planning document outlining special project needs within the boundaries of the CSA that include fuel reduction, trail realignment, and parking solutions along with other projects as deemed appropriate by the Advisory Board. 7) Any other matter related to effective or efficient service delivery, as required by commission policy. a) No other matters relating to the effective or efficient service delivery have been identified. Marin LAFCo 20 Novato Region Final Draft MSR January 2020 4.0 REGIONAL SETTING The MSR study area consists of Marin County’s northen 101 corridor at the intersection of Highway 37 serving the Novato, Bel Marin Keys, Green Point-Black Point, Indian Valley, an Loma Verde communities. Seven public agencies, including three County Service Areas (CSA), are included. Not evaluated but located wihin the study area is the North Marin Water District which was recently reviewed by LAFCo in 2017. Several communities lie within and adjacent to the Novato Study Area. Most are served by a number of municipal service providers established over time to meet local service needs. There are limited services overlaps within the Novato region. Fire and emergency medical services are provided by the Novato Fire Protection District, sanitary services are generally provided by the Novato Sanitary District except in areas with onsite services, and water is provided by North Marin Water District. There are several agencies that manage park and recreation services, including open space management. The City of Novato primarily provides police, parks and recreation, road, flood control, and street lighting services within the city’s corporate limits. The City encompasses approximately 28 square miles with an additional 2 square miles in its sphere of influence. In and around the City are several unincorporated pocket areas known as unincorporated islands, which are discussed below. A limited number of CSAs serve parts of the region. Of the three present only two are currently active, CSA No. 1 – Loma Verde and CSA No. 20 – Indian Valley. These were primarily developed to fund open space acquisition, however, other services are provided as discussed further under their agency profiles. South of the study area are the communites of Marinwood, St. Vincents, and the City of San Rafael which were recently reviewed by LAFCo in the San Rafael Regional MSR. To the north of the study area is Sonoma County and the City of Petaluma along the Petaluma River. To the east and west of the study area are San Pablo Bay and large areas of open space and agricultural lands, respectively. 4.1 UNINCORPORATED ISLANDS The State Legislature has recognized that pockets of unincorporated territory that are surrounded or substantially surrounded by incorporated cities, typically known as “islands”, create governance and service delivery inefficiencies and deficiencies. Marin LAFCo’s Unincorporated Island policy encourages annexations of islands to cities, where supported by the island community, to further reduce and/or eliminate islands to provide more orderly local governmental boundaries and cost- efficiencies. However, Marin LAFCo will not independently proceed with an entire island annexation to the City of Novato where local residents have voiced opposition. In addition, the City of Novato has a voter-approved Urban Growth Boundary (UGB) that limits growth of the City. With some very limited expections a City voter supported UGB amendment would be required before any annexation of areas outside that boundary could take place. More information on the UGB can be found in Section 5.3. Marin LAFCo 21 Novato Region Final Draft MSR January 2020 There are five unincorporated islands in the City of Novato region, including Bel Marin Keys, Black Point, Green Point, Indian Valley, and Loma Verde. Each of these neighborhoods are described in more detail in the discussion below. Black Point The Black Point planning area, along with its immediate neighbor Green Point, is an island of unincorporated territory along the Marin and Sanoma county line, bordered by the City of Novato on one side and San Pablo Bay on the other. The unincorporated Black Point neighborhood abuts the unincorporated Green Point neighborhood, the Petaluma River, and the northeast jurisdictional limits of Novato (See Figure 3-1). The area is primarily rural-residential, surrounded by open space. Zoning in the area is primarily Agricultural Limited 2 and Open Area which allows for the rural 2 residential nature of the community. Basic services in the area include water and fire protection. The community is within the Novato Sanitary District SOI but does not currently receive service from them. Instead, residents rely on onsite wastewater treatment systems. Black Point has many natural resources and associated hazards. Almost the entire area is within the Wildland Urban Interface and susceptible to wildland fires. The Novato Fire Protection District works collaboratively with county and other local fire agencies to help educate residents about the risk of wildland fires. The community is also located next to the San Andreas Fault Zone but it is primarily on soil that would not greatly amplify shaking and has a very low liquefaction rating . 3 Another hazard of concern is flooding. Most of the community is located on higher elevation hill areas that are not within the 100-year flood zone , however, some portions of the community along 4 the tidal marshes could be susceptible to flooding and potential impacts from sea-level rise. The community, through the Black Point Improvement Club, has informed LAFCo that they do not wish to be annexed into the City of Novato in order to limit development and maintain the rural community setting . This is also the reason why Novato Sanitary District wastewater service has not been extended to the area. Onsite water treatment systems limit the development of higher occupancy residential areas due to their limited capacity . 2 Marin Map Viewer, County Unincorporated Zoning. 3 Ibid, pgs. 36-39. 4 Ibid, pg. 41. Marin LAFCo 22 Novato Region Final Draft MSR January 2020 Figure 4-1: Novato Regional Map Marin LAFCo 23 Novato Region Final Draft MSR January 2020 Green Point The unincorporated community of Green Point is adjacent to the Black Point neighborhood. Paralleling the Petaluma River, it is bounded on the south by the flat uninhabited bay plains, which separates the community from the City of Novato. Principal access to Green Point is via State Route 37, which separates Green Point and Black Point. Green Point largely developed within the last forty years with large residential lots interspersed with agriculture and large swaths of open space . According to Marin County’s Green Point 5 Community Plan, the neighborhood has historically retained a rural sense of place, with an absence of urban services and amenities. The Black Point Improvement Club (BPIC), a local community group that is, in part, made of people who live in this unincorporated island of Green Point, has informed LAFCo that they do not want to be incorporated into the City of Novato. Bel Marin Keys The unincorporated community of Bel Marin Keys is located in the southeast Novato region between Highway 37 and Highway 101 and is primarily served by the Bel Marin Keys CSD (see profile in Section 8). The community is estimated to cover approximately one square mile and has an estimated 700 housing units. In 1982 Marin LAFCo excluded the Bel Marin Keys area from the City of Novato’s SOI. The 2002 LAFCo Municipal Service Review for the region noted that the Bel Marin Key’s residents desire for the exclusive use of its waterways and the City’s desire to avoid the cost liability and service responsibility associated with Bel Marin Keys’ waterways fostered a mutual interest in maintaining the community separate from the city. While the 2002 MSR mentioned “exclusive use” of the waterways, this is not an accurate depiction of what occurs under the Clean Water Act. The Clean Water act allows the general public passage thought the locks if they desire use of the lagoons. The Bel Marin Keys’ residents desire is to maintain controlled and limited access to the waterways in accordance with all government regulations and ordinances. The Bel Marin Keys CSD Board of Directors, on behalf of its membership, has informated LAFCo that they do not want to be annexed into the City of Novato. Loma Verde The Loma Verde neighborhood is located in the southern portion of Novato. Made up of primarily single-family homes with some apartments and townhomes, the neighborhood’s developed residential area is unincorporated but completely surrounded by the City of Novato, and within the City’s SOI. Adjacent to, and associated with the neighborhood is the Loma Verde Open Space preserve. The preserve itself is within Novato city limits. Both the preserve and unincorporated Loma Verde neighborhood are within the boundaries of CSA 1. See Section 9 for further discussion of CSA 1. 5 Marin County. 2016 Green Point Community Plan. Adopted by the Marin County Board of Supervisors on July 26, 2016. Pg. 26 Marin LAFCo 24 Novato Region Final Draft MSR January 2020 While there is no official neighborhood group for the Loma Verde area, residents have reached out to LAFCo to indicate they do not want their island annexed into the City of Novato. Indian Valley As defined in the Marin Countywide Plan and Indian Valley Specific Plan, Indian Valley is comprised of the approximately 630-acre unincorporated portion of the Novato area lying south of Mill Road between Pacheco Avenue and Trumbull Avenue, extending to the boundary of the agricultural and open space preserves to the south. Land ownership in Indian Valley is principally single-family housing with parcel sizes ranging from one to nearly 45 acres. Other uses include equestrian activity, orchards and livestock (cattle, sheep) pasture and grazing. There is no multi-family use, no institutional use, and no commercial use other than home-office oriented businesses and several horse stables and plant nurseries. The Indian Valley Association (IVA) is a local community group made up of people who live in this unincorporated island. The IVA leadership, on behalf of its membership, has informed LAFCo that they do not want to be annexed into the City of Novato. IVA also does not want wastewater service from Novato Sanitary District to be extended to the area. Onsite water treatment systems limit the development of higher occupancy residential areas due to their limited capacity and is the preferred method for the community. 4.2 GROWTH AND POPULATION LAFCo is required to make MSR determinations on growth and population. When planning for the provision of future services and infrastructure it is important to have ready access to accurate growth and population projections. This MSR also identifies and considers disadvantaged communities and growth and population data contribute to that analysis. The region’s growth rates are based on historical development patterns, the County and Marin’s general plans, regional estimates from the Association of Bay Area Governments and California Department of Finance, and information provided by special districts. Land Use Marin County is generally considered an “infill” county, with new development guided to existing urbanized areas. The Marin Countywide Plan (2007) serves to guide the conservation and development of Marin County through policies that protect open space and “community separators” in the city-centered corridors. Marin County’s 520 square miles is only 11% developed with urban uses, and only 5% of the remaining land is potentially developable under existing policies. Agricultural lands make up 36% of the County’s total area, parklands 33%, and the remaining 15% in public or private open space use . 6 The Novato Region outside the City commercial areas has a rural atmosphere largely because of its low population density and the high amount of open space and parks in and near the city. 6 Marin LAFCo. Novato Regional Municipal Service Review. 2006. Marin LAFCo 25 Novato Region Final Draft MSR January 2020 Novato’s population density is about one-half that of San Rafael and is nearly one-third that of Petaluma or Vallejo . 7 Current Population Marin County experienced progressive growth between 1950 and 1960 when the population jumped substantially from 85,619 to 146, 820, an increase of 72%. Compared to other Bay Area counties, Marin County has since experienced slow population growth rates between three and five percent . Overall Marin remains the slowest growing county in the Bay Area. 8 The City of Novato accounts for the majority of the Study Area population, with an estimated population of 55,655 in 2018 . The Black Point–Green Point Census Designated Place (CDP) 9 encompasses both communities, which are also within the Study Area. Together they have an estimated population of 1,544 . 10 Projected Growth and Development According to 2013 projections by the Association of Bay Area Governments (ABAG), the Novato population is expected to increase to a total population of 53,900 by 2025 with an estimated annual growth rate of 0.3 percent. ABAG projected the population of Marin County as a whole to increase by 14,191 for a total population of 266,600 in 2025. Disadvantaged Unincorporated Communities LAFCo is required to evaluate disadvantaged unincorporated communities (DUCs) as part of this review, including the location and characteristics of any such communities within or contiguous to the SOIs established in the Study Area. A DUC is an unincorporated geographic area with 12 or more registered voters with a median household income of 80% or less of the statewide median household income. The identification of DUCs is intended to ensure that the needs of these communities are met when considering service extensions and/or annexations in unincorporated areas. There are no identified DUCs within the Study Area. 7 City of Novato Adopted Budget 2018/19. Pg. 11. 8 Marin LAFCo. Novato Regional Municipal Service Review. 2006. 9 U.S. Census Bureau, Population Division. Annual Estimates of the Resident Population: April 1, 2010 to July 1, 2018. https://factfinder.census.gov/faces/nav/jsf/pages/community_facts.xhtml?src=bkmk 10 U.S. Census Bureau, 2013-2017 American Community Survey 5-Year Estimates. https://factfinder.census.gov/faces/nav/jsf/pages/community_facts.xhtml?src=bkmk Marin LAFCo 26 Novato Region Final Draft MSR January 2020 5.0 CITY OF NOVATO 5.1 OVERVIEW The City of Novato, California is the northernmost city in Marin County, approximately twenty- nine miles north of San Francisco and thirty-seven miles northwest of Oakland. Characterized by a low population density (persons per acre) and a high amount of open space and parks in and near the city, Novato’s jurisdictional boundary covers twenty-eight square miles with a population of 55,655 . The city’s population density is about one-half that of San Rafael and is nearly one-third 11 that of Petaluma or Vallejo . 12 Novato provides a range of municipal services, including streets and street lighting; land use planning; recreation, park, and open space; and law enforcement. Other municipal services to the city are provided by several special districts. Table 5-1: City of Novato Overview City of Novato Overview City Manager: Adam McGill Main Office: 922 Machin Avenue, Novato Council Chambers: 901 Sherman Avenue, Novato Formation Date: January 20, 1960 Services Provided: Police, Parks & Recreation, Roads, Flood Control, Street Lighting City Boundary: 28 sq. mi. city limit, 2 sq. mi. SOI Population Served: 55,655 5.2 FORMATION AND DEVELOPMENT During the latter half of the 19th century, fruit orchards and the new Northwestern Pacific Railroad Depot spurred development in the Novato region. In 1888, land grants were subdivided into lots and parcels, providing the footprint of the new town along the railroad tracks. By the end of the nineteenth century, Novato had a well-developed downtown with residential development concentrated around the railroad and Grant Avenue. The 1920s saw the continued development of Novato. The Sanitary District was formed and sidewalks were paved. The Great Depression brought a halt to Novato’s economic growth and development, until the construction of Hamilton Field in 1932 (a United States Air Force base decommissioned in 1974), and subsequently World War II, which brought an abundance of new jobs to Novato. 11 United States Census Bureau. Quickfacts City of Novato. Population estimates, July 1, 2018. 12 City of Novato Adopted Budget FY 2018-19, “Compiled”. Marin LAFCo 27 Novato Region Final Draft MSR January 2020 Novato incorporated on January 20, 1960, as a General Law city. Residential development in the 1960s and 1970s spread outward along Novato Boulevard, as the City’s population increased from 17,900 in 1960 to nearly 44,000 by 1980. Today, the existing land use in Novato is predominately residential in the valley areas west of Highway 101 and in neighborhoods east of the freeway. Most units are single-family detached homes on lots under one acre in size. In the last two decades, the re-use of the Hamilton Army Airfield added over 2,100 new homes to Novato . 13 5.3 CITY BOUNDARY AND SPHERE OF INFLUENCE The current City of Novato jurisdictional boundary is roughly 28 square miles (17,857 acres) in size and largely defined by area topography . The northeast portion of the city abuts the Petaluma River and the Marin/Sonoma County line. The eastern extent of the city is surrounded by San Pablo Bay while the western and the southern extents are defined by open space preserves, steep topography, and Big Rock Ridge. Marin LAFCo originally established a City of Novato sphere of influence (SOI) in 1982. At that time, it included most of the unincorporated territory surrounding the city, extending to cover open space areas within the City’s drainage and viewshed. Notably, it did not include the Bel Marin Keys area. In 2002, the Commission conducted a municipal service review and sphere of influence update. The updated sphere excluded publicly owned open space as well as the Indian Valley, Black Point, and Green Point neighborhoods, reflecting the city’s adopted Urban Growth Boundary (UGB) . The Commission’s 2007 update reaffirmed the 2002 sphere, recommending 14 no change. No sphere changes have occurred since. As discussed in Section 2, a SOI is a boundary determined by LAFCo that establishes the probable city service area limit. The current SOI is coterminous with present city boundaries with four exceptions (comprising a total of 1,384 acres): (1) the Loma Verde neighborhood, the unincorporated portion of CSA #1 Loma Verde; (2) the Vineyard Road area; (3) Atherton Avenue between U.S. 101 and Bugeia Lane, and (4) portions of the St. Vincent properties abutting Novato to the south. See Figure 5-1. The County has designated approximately 56 percent of this land 15 for very low- and low-density residential use and 27 percent for open space and conservation . 16 Other unincorporated islands described in Section 4.1 above are not in the City SOI. Urban Growth Boundary Within a city’s jurisdictional boundary (also determined by LAFCo) a city may also develop policies and define areas such as an Urban Growth Boundary (UGB), to guide development and services extension . In 1997 the voters of Novato adopted an UGB to constrain the expansion of 13 City of Novato. Draft General Plan 2035. 2016. Pgs. 1-3 & 1-4. 14 Marin LAFCo. Periodic Update – Adopted Sphere of Influence for Cities and Special Districts in the Novato Area. September 28, 2007. 15 City of Novato. General Plan 2035 Policy White Paper, Urban Growth Boundary. April 142014. https://novato.org/home/showdocument?id=11898 16 City of Novato. Draft General Plan 2035. 2016. Pg. 2-21. Marin LAFCo 28 Novato Region Final Draft MSR January 2020 “urban” development (e.g., that which required sewer and water utilities) into the rural areas surrounding the incorporated City limits. Initially established in 1997, Novato citizens reaffirmed the UGB and its associated policies to continue through 2037 via ballot Measure D in 2017. Established as coterminous with the city limit, there have been several minor amendments to the UGB to annex single or small groups of property to the city. The UGB is to protect the area from City development, maintain agricultural uses, and maintain open space separators between itself and other nearby cities by limiting land use beyond the boundary to non-urban uses such as agricultural, conservation, parkland, and open space, with limited exceptions. Novato’s UGB guides city decisions on land within its jurisdiction, however, given that the majority of land the UGB aims to protect is outside of the city’s jurisdictional boundary, and the city does not directly provide services like water and sewer (development-related services), land use and development in unincorporated areas surrounding are not directly within the Novato’s control. The City has the ability to comment on projects that occur outside the city limits but within its SOI. However, given that SOI is currently set to be generally coterminous with the city limit line and UGB (with exception of unincorporated areas discussed above), much of the unincorporated land bordering Novato is not required to concurrently annex to the City if seeking annexation to the Sanitary and/or Water Districts. Accordingly, while not required to do so, Marin LAFCo does send single-district annexations noticing to neighboring jurisdictions, it does not carry the same weight in the decision-making process when the jurisdiction has no planning oversight. While the City does not have land-use authority over the unincorporated lands surrounding the City, there are tools available to them to further establish their region of interest. The Governor’s Office of Planning and Research (OPR) recommends that cities establish a planning area as a part of their General Plan. Should the City wish to have a more active role in land use decisions outside of its UGB, they could consider working together with the County and surrounding local agencies to delineate a Novato planning area and consider establishing formal agreements for processing development proposals within the area. Marin LAFCo 29 Novato Region Final Draft MSR January 2020 Figure 5-1: City of Novato Boundary and SOI Marin LAFCo 30 Novato Region Final Draft MSR January 2020 Figure 5-2: City of Novato Land Use Marin LAFCo 31 Novato Region Final Draft MSR January 2020 5.4 MUNICIPAL SERVICES The City of Novato and the surrounding area is served by a variety of public services and facilities. Many services are provided by independent public agencies other than the City: water supply is provided by the North Marin Water District; wastewater collection and treatment, and trash collection and recycling are provided by the Novato Sanitary District; fire protection is provided by the Novato Fire Protection District; Flood Control is provided by the Marin County Flood Control & Water Conservation District; schools are provided by the Novato Unified School District; and libraries are provided by the Marin County Free Library District. The Pacific Gas & Electric Company provides electricity and natural gas distribution, and Marin Clean Energy provides an alternative energy source. City facilities encompass 50 acres of parks, including a historic cemetery, 22 athletic fields, two storm drain pump stations and a public swimming pool as well as public buildings including City Hall, City Administrative offices, a police station, a corporation yard, Margaret Todd Senior Center, three museums, an art studio complex, two gymnasiums, and several historical structures in City’s downtown area. The City of Novato provides the following municipal services: o Land use planning o Stormwater drainage o Streets and street lighting o Recreation, park, and open space o Law enforcement The below sections describe the provision of services by Novato in more detail. Land Use Planning The Community Development Department is charged with providing city land use planning services. They assist the City Council, and ultimately the community, in planning for the City's future development, and reviewing proposed development projects for conformance with the City's adopted policies and ordinances and environmental laws. The Department also provides ongoing monitoring of deed restricted housing stock, including resales and rentals, and implementation of various housing programs contained in the Housing Element. Within the department are several divisions: • Building Division - Provides building permitting and inspection processes • Code Enforcement Division - Enforces the Novato Municipal Code • Planning Division - Develops and administers the City's General Plan, zoning regulations, and planning permit processes. Marin LAFCo 32 Novato Region Final Draft MSR January 2020 The primary City planning vehicle is the General Plan, the foundation for establishing goals, purposes, zoning, and activities allowed within the city. The City's General Plan was last completely updated and approved by City Council in December 1996. General Plan Elements have been updated since, such as the Housing Element. Since 2016, Novato has been updating the plan and a Draft General Plan 2035 is available on the city website. Streets and Street Lighting The City’s Public Works Department provides design, construction, maintenance and operation of public use facilities, including all roads and street lighting. The Public Works Director serves as the City Engineer and manages the Administrative, Engineering and Maintenance Divisions. The Department employs 55.5 full-time equivalents (FTE) positions and maintains facilities, including parking lots, roads, parks, traffic signals, and street lights. Of the $9.5 million Public Works operating budget, approximately $1.6 Million (16.8%) are Streets and Street Lighting expenses. Of the $28 million in Capital Improvement Project Expenses programmed for fiscal year 2019-20, $19 Million (67.8%) is slated for Streets and Street Lighting related projects. In the 2018-19 fiscal year, the department completed the following projects: • Renovated the Dogbone Meadow dog park; • Enhanced 7 pedestrian crossings and refreshed all school-zone crosswalks and signage; • Completed Vineyard Rd. Improvements; • Rebuilt retaining wall along Sunset Parkway; • Built a Marin Valley Mobile Country Club retaining wall and walkway installations; • Performed LED lighting upgrades to save $20-30K in annual costs; • Reduced flooding by pre-emptive storm drain maintenance; and • Refurbished Pioneer Park restrooms Department Goals for Fiscal Year 2019/20 include: • Finalize Storm Drain Master Plan; • Develop 2020 Annual Pavement Rehabilitation Program; • Complete a fire-wise assessment of city-owned properties in conjunction with NFPD; • Develop annual defensible space clearance program; • Begin construction on Hill Recreation Area Central Hub Project; • Review and update City’s Development Impact and Public Works fees for services; • Forecast long-range infrastructure funding needs; • Repave Nave Drive and complete right-of-way acquisition for Grant Ave. Bridge Project; • Increase the number of Parking Spaces downtown; • Begin implementation of a Computer Maintenance Management System; • Increase # of fuel-efficient vehicles in City fleet; and • Continue organic sheet mulching and explore other options for eco-friendly weed control. Marin LAFCo 33 Novato Region Final Draft MSR January 2020 Recreation, Park, and Open Space The Parks, Recreation & Community Services Department has oversight of City park and recreation facilities, programs, special events, classes, and childcare services. It offers a range of social and recreational programs and activities for all ages. From sports leagues and facility rentals to youth classes and senior events. They also manage park use. The Department employs 23.3 FTE positions and oversees the operations of a range of facilities. The Culture and Recreation expenses for the city are budgeted $5.3 million (13% of the General Fund expenditures) for the 2019-20 fiscal year. City park facilities include 439 acres of parks at 29 park sites or approximately 8.5 acres per one thousand residents. Parks in Novato feature, among other amenities, hiking trails, playgrounds, playing fields, outdoor courts, amphitheater, a skate park, a dog park, a community swimming pool, and picnic areas. Law Enforcement The City of Novato provides law enforcement, dispatch, and emergency preparedness services to all areas within the city limit and response to nearby unincorporated neighborhoods as necessary. The Novato Police Department is located at 909 Machin Avenue in Novato. As a full-service agency, NPD is divided into the Operations Division and the Administrative Services Division each led by a Police Captain. The Novato Police Department maintains its own Dispatch Center. Dispatchers receive and handle calls, including 911 calls, 24 hours a day. Projected expenditures for 2019 are 17 million (41% of the General Fund expenditures), similar to the 2018-19 adopted budget. There are approximately 82 staff in the department including 61 sworn personnel (including two school resource officers), and a volunteer program . This equates 17 to 1.10 full-time sworn officers per 1,000 population. This is comparable to the San Rafael average of 1.07 full-time sworn officers per 1,000 population. Department community engagement efforts include the Minors Access to Alcohol Prevention and Bicycle/Pedestrian Safety programs. The Novato Response Team is a special police team focused on crime prevention and intervention. It meets with residents to provide crime prevention tips, visits schools to mentor youth and reduce gang involvement and works with property owners of multifamily housing to ensure the safety of their residents and the surrounding community. 5.5 ORGANIZATIONAL STRUCTURE The City of Novato was incorporated on January 20, 1960, as a general law city. The City Council is made up of five members, elected at large, serving four-year terms. The Mayor is selected from 17 City of Novato website. Police Department “About Us” page. Accessed July 3, 2019. https://novato.org/government/police-department/about-us Marin LAFCo 34 Novato Region Final Draft MSR January 2020 City Council members for a one-year term The Council operates under a council-manager form of government and directly appoint both the City Manager and the City Attorney. City Council duties also include establishing legislation and policies governing the city; adopting all ordinances, resolutions, and major contracts; approving and modifying annual budgets; making appointments to advisory boards; commissions and committees. City Council meetings are scheduled the second and fourth Tuesday every month at 6:00 p.m. in the Novato City Hall Council Chambers located at 901 Sherman Avenue and are televised. Figure 5-3: City of Novato Organizational Structure Staffing and City Operations The City Manager is responsible for city operations management and policy implementation on behalf of the City Council. The City Manager is an at-will employee and administers the City of Novato’s departments. The City has 208.67 FTE employees and delivers municipal services through six departments: Central Administration, Police, Community Development, Public Works, Parks & Recreation, and Community Services . 18 18 City of Novato Comprehensive Annual Financial Report for the Year Ended June 30, 2018. Pg. ii. Marin LAFCo 35 Novato Region Final Draft MSR January 2020 5.6 ACCOUNTABILITY AND TRANSPARENCY Meetings and Agendas When conducting service reviews and reviewing proposals, LAFCo considers an agency’s accountability for community service needs, including governmental structure, operational efficiencies, financial resources, and promoting public access. The City offers multiple ways to keep citizens informed about services, meetings, finances and decision-making processes. Public notices are posted on the website. Past meeting agendas and meeting minutes may be found in the Public Meetings section of the City’s website. The public may also provide verbal comments or complaints by phone or in person at City Hall during business hours and/or at City Council meetings during the public comment period. 5.7 FINANCIAL OVERVIEW The City of Novato prepares an annual report on the City’s financial statements in accordance with established governmental accounting standards. The most recent audited financial statement was prepared by the independent certified public accounting firm, Mann, Urrutia, Nelson, CPAs & Associates, LLP, for the fiscal year ending on June 30, 2018. The City adopts an annual budget effective July 1 for the ensuing fiscal year. The budget reflects estimated revenues and expenditures. Appropriations and spending authorizations for projects in the capital projects funds and some special revenue funds are approved by the City Council on a multi-year basis. The City Council may amend the budget by resolution during the fiscal year in order to respond to emerging needs, changes in resources, or shifting priorities. Expenditures may not exceed appropriations at the fund level, which is the legal level of control. The City Manager is authorized to transfer budgeted amounts between accounts, departments or funds; the Council must approve any increase in the City’s operating expenditures, appropriations for capital projects, and transfers between major funds and reportable fund groups. Revenues and Expenditures The Fiscal Year (FY) 2019-2020 general fund expenditure budget for Novato is $42.7 million (including appropriations and transfers out to other funds). See Figure 5-3. The expenditure budget is supported predominantly by a projected revenue of $41.7 million. See Figure 5-4. The FY 2019/20 budget is balanced and does not require the use of one-time reserves for ongoing expenditures, however, in the Final Budget adoption staff report, city staff noted that the City faces fiscal challenges that will remain unless the Council implements new revenue sources that create a sustainable revenue stream over future years. According to the report, approximately 70% of the city’s expenditures are personnel costs which are appropriated for the purposes of providing services and programs for the residents of Novato. The city will either need to reduce personnel costs to a level that would offset future expenditure increases and/or evaluate and implement Marin LAFCo 36 Novato Region Final Draft MSR January 2020 multiple revenue growth strategies that will generate sufficient revenue to meet the future projected expenditure increases to the General Fund. Based on the FY 2017/18 Comrehensive Annual Financial Report, as of June 30, 2018 the City had a net pension liability of $47,489,946. Large net pension liabilities are a common occurrence among local governments and promted the Marin County Local Government Reform of Pensions and Other Post-Employment Benefits study that was released in September 2019. The City will be looking into the reccomendations of the report and strategizing on how best to pay down pension liabilities. Figure 5-4: Novato General Fund Budget Expenditures Figure source: City of Novato website, Finance page. Accessed July 12, 2019. Marin LAFCo 37 Novato Region Final Draft MSR January 2020 Figure 5-5: Novato General Fund Budget Revenues Figure source: City of Novato website, Finance page. Accessed July 12, 2019. 5.8 SUSTAINABILITY The City of Novato was one of the first cities in Marin to adopt a Climate Action Plan in 2009. Since that time, they have worked to integrate sustainability actions into city operations and the community at large. Major past accomplishments include converting more than 4,000 streetlights to energy-efficient LEDs and switching over to Deep Green 100% renewable energy at all city facilities. Currently housed within the Central Administration Department, Novato maintains a Sustainability Division which focuses on implementing the City’s Climate Change Action Plan, reducing greenhouse gas emissions and preserving natural resources in City operations and throughout the community. They have a Sustainability Coordinator who implements an internal staff Green Team, secures Green Business Certification for City operations, and provides support for community sustainability-related events. Current division activities include: a range of education and outreach programs with a focus on reducing greenhouse gas emissions, adding electric vehicles to the city fleet, retrofitting several municipal buildings to be more energy and water efficient, reducing the environmental impact of city purchasing decisions, exploring options to increase municipal solar electricity generation, and rolling out a green commute program for city staff. Marin LAFCo 38 Novato Region Final Draft MSR January 2020 In the 2019/20 fiscal year, the City has prioritized the following items: • Update the Climate Action Plan; • Establish energy efficiency, water conservation and waste reduction targets for each City- owned Facility; • Manage the Reimagining Citizenship program, fostering the next generation of community leaders; • Implement expanded recycling programs at Hamilton Community Center and Margaret Todd Senior Center; • Continue the Green Film Series and other public outreach and education events; • Develop and implement targeted community action campaigns focused on renewable electricity, idling, food waste, and school travel; • Support the implementation of the Clean Fleet Policy; • Develop a community-wide Electric Vehicle Strategy; and • Identify City-owned properties suitable for solar installations. Recent program accomplishments noted in the FY 2019/20 budget include: • Implemented lighting upgrade in the police station; • Conducted quarterly Climate Action Roundtable meetings with the community; • Hosted North Bay Climate Action Summit at the Buck Institute Marin/Sonoma Climate Action Summit, in conjunction with the state Global Climate Action Summit; • Organized inaugural Green Living Festival to celebrate Earth Day; • Submitted successful grant application to Cal Recycle for county-wide food waste prevention; and • Established two community (Organic Waste and School Travel) and two staff (Green Facilities and Green Fleet) working groups to tackle sustainability issues. Marin LAFCo 39 Novato Region Final Draft MSR January 2020 6.0 NOVATO SANITARY DISTRICT 6.1 OVERVIEW The Novato Sanitary District (NSD) was one of the first agencies formed in the Novato Region. The NSD boundary includes the city of Novato and surrounding populated areas. Being adjacent to San Pablo Bay provides for unique conservation activities, in that Recycled water can be transferred to wetland and agricultural sites to help promote restoration and farming (pasture) activities and to reduce treated water volumes discharged into the bay. NSD was originally formed to manage solid waste in the Novato region. Now, NSD provides wastewater collection, solid waste disposal by a franchise agreement, and recycled water distributed by the North Marin Water District. In the upcoming years, NSD will continue to collaborate with other North Bay region wastewater and water service providers to increase recycled water use and share facilities. Table 6-1: Novato Sanitary District Overview Novato Sanitary District Primary Contact Sandeep Karkal, General Manager – Chief Engineer Phone (415) 892-1694 Office Location: 500 Davidson Street, Novato, CA 94945 Formation Date 1925 Services Provided Wastewater Treatment, Recycled Water, Solid Waste Collection Service Area 31.26 sq. mi. 6.2 FORMATION AND DEVELOPMENT The NSD was formed in October 1925 after approval in a special election held September 30, 1925 . The district was formed to provide oversight to sanitary systems in Novato, primarily solid 19 waste disposal. Later on, in 1949, a collection system and primary treatment plant were built to serve community needs. Most recently, in 2011, NSD consolidated its aging Ignacio and Novato treatment plants into an upgraded facility at the Novato Treatment Plant (NTP) site. The upgraded plant is more energy-efficient and has the capacity to meet projected future needs. 19 Marin County Board of Supervisors, Meeting Minutes October 5, 1925, Minute Book pg. 80. Marin LAFCo 40 Novato Region Final Draft MSR January 2020 Figure 6-1: Novato Sanitary District Boundary and SOI Marin LAFCo 41 Novato Region Final Draft MSR January 2020 Figure 6-2: Novato Sanitary District Zoning Marin LAFCo 42 Novato Region Final Draft MSR January 2020 6.3 DISTRICT BOUNDARY AND SPHERE OF INFLUENCE Novato Sanitary District’s SOI is not coterminous with the outer edges of its jurisdictional boundary. The NSD SOI includes several unincorporated areas around the City of Novato, but not in the City SOI, including Green Point, Black Point, and Indian Valley. The original district boundary encompassed a small portion of Novato. Over the years, multiple annexations took place as Novato expanded. The current boundary totals 20,006.4 acres which equates to 31.26 square miles. NSD serves communities within the City of Novato and those directly adjacent to the City boundary including Bel Marin Keys, Loma Verde, and neighborhoods surrounding Verissimo Hills Preserve and Ohair Park. Within the NSD boundary, there are several parcels and small areas that are not included as part of the district. These properties have on-site wastewater systems and do not require NSD connections. They do remain within the NSD SOI in the event that future connections are needed. 6.4 MUNICIPAL SERVICES Wastewater NSD owns and operates a wastewater collection system, a municipal wastewater treatment plant (WWTP), and an effluent discharge outfall. The WWTP is the Novato Treatment Plant, which is currently designed for an average dry weather flow of 7.0 MGD. This plant was significantly upgraded and placed into service in 2011. Also, in 2010 NSD entered into an agreement with Veolia Water to operate the NSD treatment facilities on a contract basis. In 2018 the WWTP processed a total of 1,569.28 million gallons of wastewater. The maximum monthly flow was 200.92 million gallons in March and the minimum was 100.90 million gallons in September . 20 NSD’s wastewater collection system collects and transports wastewater flows to the WWTP through a series of gravity sewers and interceptors, pump stations, and force mains. The combined collection and conveyance systems include a total of about 235 miles of sewers with about 212 miles of gravity sewer lines ranging from 6-inch to 48-inch diameter, about 23 miles of force mains, 5 main pump stations, and 33 lift stations. The pump stations vary in capacity from about 50 GPM to about 5 MGD, and individual pumps range from 3 hp to 90 hp . 21 Over the last two decades, NSD has been working on upgrading its aging facilities. The WWTP was upgraded in 2011 and the sewer collection system and pump stations have been going through upgrades since 2000. In FY 2019-20 NSD is anticipated to complete a Collection System Master Plan (CSMP) that will further identify needed improvements to its collection system for the next 10-20 years. 20 2018 Annual Operations and Maintenance Report for the Novato Sanitary District, Veolia Water West Operating Services, Inc., March 2019, pg. 22. 21 Novato Sanitary District, Sewer system Management Plan, August 2018, pg. I-1 to I-2. Marin LAFCo 43 Novato Region Final Draft MSR January 2020 Rates Residential rates for sewer service are calculated using Equivalent Dwelling Units (EDU) and the customer’s water usage during the winter months. Rates are broken down into three tiers Low, Average, and high water-use. Details are provided below in Table 6-2. Table 6-2: Novato Sanitary District Residential Sewer Service Charges Percent of Average Cost per EDU Tier Winter Water Use EDU 2018-2019 Low 25% or less 0.6 $370 Average 26% to 199% 1.0 $615 High 200% or more 1.8 $1,105 Non-residential rates are based on building square footage, water use, and building type. A full non-residential categories and rates list is on the NSD website under Sewer Service Charges. Rates are scheduled to increase annually for both residential and non-residential service over the next few years. While the rates are set to increase, NSD works to keep customer costs down by maintaining a small staff, pursuing grants to cover project costs, and seeking low-interest loans for large capital improvements. Recycled Water The NSD participates in the North Bay Water Reuse Authority (NBWRA) which is a collaboration of several local agencies serving the North Bay region. NBWRA is implementing recycled water programs in two major phases that focus on infrastructure upgrades, storage, and providing recycled water for landscaping, agriculture, and wetland restoration. In Phase 1, NSD added recycled water production capacity and began to provide recycled water for distribution by the North Main Water District (NMWD) . In Phase 2, NSD will potentially work towards expanding 22 its recycled water production capacity in conjunction with NMWD . 23 In 2018 NSD produced 165.414 million gallons of recycled water that was delivered by the North Marin Water District . The NSD works with North Marin Water District and Las Gallinas Valley 24 Sanitary District to provide recycled water to large landscaped areas, golf courses, school and park areas, and several commercial uses. Additionally, during the summer months (June 1 to August 31) NSD sends its secondary treated effluent to its effluent storage ponds located near Deer Island, north of Hwy 37. This water is used to irrigate approximately 800 acres of pasture land that the NSD leases for grazing operations. The irrigation operations reduce the volume of treated water discharged into the bay. In 2018, 243 million gallons of treated effluent was used for irrigation. 22 North Bay Water Reuse Program, Project Descriptions, http://www.nbwra.org/project-descriptions/. 23 North Bay Water Reuse Program, Program Overview – Summer 2015, http://www.nbwra.org/wp/wp- content/uploads/NBWRA-Program-Overview-Summer-2105.pdf. 24 2018 Annual Operations and Maintenance Report for the Novato Sanitary District, Veolia Water West Operating Services, Inc., March 2019, pg. 20. Marin LAFCo 44 Novato Region Final Draft MSR January 2020 Solid Waste Management NSD contracts with a franchise service provider, Recology Sonoma-Marin (Recology), that manages recycling, composting, and garbage collection in the region. Recology has a “Waste Zero” vision that works by diverting waste from landfills. They utilize a three-bin system that includes compost, recycle, and trash. In 2018, the total waste generated and picked up by Recology was 55,046 tons, with 24,850 tons (45.14%) diverted through recycling processes. The original franchise agreement was made with Novato Disposal Service in 2011. Since then, Recology bought out Novato Disposal Service and took over the remainder of the agreement which extends through December 31, 2025. Recology performs the responsibilities and duties as described in the agreement with the understanding that fees will be collected from customers for services rendered. Recology does not receive payment from NSD as part of the agreement . 25 Rates Solid waste disposal rates are based on residential and commercial customer bin size and are charged on a monthly basis. Current rates are provided below in Table 6-3. A full list of residential and commercial rates along with extra services are on the Recology website . 26 Table 6-3: Recology Solid Waste Disposal Rates Residential Carts 20 gal 32 gal 64 gal 96 gal Residential Rates $13.26 $21.20 $42.37 $63.58 Extra Pick Ups $6.50 $6.50 $6.50 $6.50 Commercial Cart 20 gal 32 gal 64 gal 96 gal Garbage Rate - $22.96 $44.07 $66.09 Compost Rate - - $33.05 $49.57 Note: All rates are per month and based on one collection per week. Additional charges apply for more frequent collections and commercial/multi-family units. 6.5 ORGANIZATIONAL STRUCTURE Board of Directors NSD is overseen by a five-member Board of Directors that are elected to four-year terms. The NSD is currently seeking changes to how the board members are elected. Previously, members were elected at large. Now, the board members will be elected by region within the NSD boundary. Board members are entitled to compensation for their participation. Members receive $225 per meeting or per day if multiple meetings are scheduled on the same day. The current Board members are listed below in Table 6-4. 25 Amended and Restated Agreement Between Novato Sanitary District and Novato Disposal Service, Inc. for Solid Waste Collection, Processing, Diversion and Disposal, March 2011, pg. 49. 26 https://www.recology.com/recology-sonoma-marin/novato/rates/. Marin LAFCo 45 Novato Region Final Draft MSR January 2020 Table 6-4: Novato Sanitary District Board Members Member Position Experience Term Carole Dillon-Knutson President Geotechnical Consulting 2022 Jerry Peters Director Airline and Property Management 2020 Jean Mariani Director Budget and Finance Management 2020 President Pro- Technical and Marketing William C. Long 2022 tem Management Civil Engineering Project Tim Fuette Director 2022 Management Staffing and District Operations NSD currently supports 23.32 Full-Time Equivalent employees including a General Manager that oversees operations . Operations are organized into several divisions including Project/Plant 27 Management, Field Services, Collection Systems, and Engineering. 6.6 ACCOUNTABILITY AND TRANSPARENCY Meetings and Agendas Board meetings are held on the second Monday of every month at 5:30 pm at the District office. Meeting agendas, minutes, and handouts are on the District webpage (www.novatosan.com). The current meeting agenda is displayed on the homepage for easy access. Annual Budget Review NSD provides an annual budget to the Board for review and consideration. An independent financial auditor, Maze & Associates, has conducted the most recent annual audit of NSD’s financial statements. Both the annual budget approved by the Board and the financial audit can be found online on NSD’s website. 6.7 FINANCIAL OVERVIEW NSD’s primary source of revenues is from service fees. Additional revenue sources include property taxes, rental fees, and grants. Major expenses include the operation of the wastewater treatment plant and collection system, infrastructure upgrades, and administrative and engineering operations. A summary of NSD’s financials is provided below in Tables 6-5 and 6-6. 27 Novato Sanitary District, Board of Directors Meeting Packet, June 10, 2019, pg. 108. Marin LAFCo 46 Novato Region Final Draft MSR January 2020 Table 6-5: Novato Sanitary District Financial Audit Summary Revenues FY 2015-16 FY 2016-17 FY 2017-18 Actuals Actuals Actuals Sewer Service Fees $16,222,876 $16,843,212 $17,655,740 Other Service Fees $207,416 $193,006 $147,410 Permit & Inspection Fees $46,283 $28,479 $27,141 Recycled Water Facility $100,433 $177,285 $138,258 AB939 – Solid Waste $11,513 $354,134 $376,426 Property Taxes $2,155,476 $2,292,988 $2,360,251 Franchise Fees $51,059 $52,485 $54,358 Rental Revenue $101,530 $94,439 $77,732 Interest Earnings $71,592 $136,595 $312,886 Gain/(Loss) on Assets $0 $1,627 ($34,250) Grant Revenue $0 $51,069 $257,183 Other Non-Op Revenue $ $227,891 $0 Total Revenues $19,299,289 $20,453,210 $21,373,135 Expenditures FY 2015-16 FY 2016-17 FY 2017-18 Actuals Actuals Actuals Operating Expenses $8,392,467 $9,173,987 $9,131,926 Depreciation Expense $5,661,922 $5,744,111 $5,793,254 Non-Operating Expense $2,533,440 $2,513,064 $2,390,042 Total Expenditures $16,587,829 $17,431,162 $17,315,222 Net Total $2,711,460 $3,022,048 $4,057,913 As seen from Table 6-6 below, NSD requires significant annual capital expense budgeting. However, annual capital expenditures follow a very different spending trajectory than regular annual operating expenditures, and tend to be extremely “lumpy” on an annual basis over short time periods (although they tend to even out over longer periods). Therefore, while Table 6-6 shows net annual deficits from a budgeting perspective, the audited financials of Table 6-5 illustrate a more “typical” and “actual” sustainable revenues/expenditures picture. District has an overall financial rating of “AAA” as assigned by Standard & Poors’ (S&P) Rating Services, which is highest rating offered by S&P, and reflects S&P’s confidence & belief in NSD’s financial strength and stability. In addition, the Government Finance Officers Association (GFOA) has awarded NSD its prestigious Award and Financial Reporting achievement (AFRA) and Certificate of Achievement for Excellence in Financial Reporting for NSD’s Comprehensive Annual Financial Reports (CAFRs) for the past eight years. This award is generally recognized as the highest form of recognition in governmental accounting and financial reporting, and its attainment for eight years in a row represents a significant accomplishment by a government and its management. Marin LAFCo 47 Novato Region Final Draft MSR January 2020 Revenue NSD’s primary revenue source is service fees. As discussed above in Section 5.5, there is a tiered rate structure based on winter water use. In FY 2017-18 sewer service fees totaled over $17.7 million accounting for 83% of NSD’s total revenue. Fees for sewer services are billed annually on the County of Marin’s property tax bills . An additional 11% of NSD’s total revenue comes 28 from property taxes which in FY 2017-18 totaled $2,360,251. Table 6-6: Novato Sanitary District Budget Overview Revenues FY 2016-17 FY 2017-18 FY 2018-19 Budget Budget Budget Operating Revenue $10,108,692 $10,654,033 $11,282,802 Capital Revenue $10,015,352 $10,926,445 $11,035,274 Total Revenues $20,124,044 $21,580,478 $22,318,076 Expenditures FY 2016-17 FY 2017-18 FY 2018-19 Budget Budget Budget Operating Expense $9,972,648 $10,329,235 $10,740,490 Capital Expense $4,675,000 $5,680,000 $6,803,000 Debt Service $7,059,705 $7,043,504 $6,839,456 Total Expenditures $21,707,353 $23,052,739 $24,382,946 Net Total ($1,583,309) ($1,472,261) ($2,064,870) Debt NSD has several long-term debt obligations including Wastewater Revenue Certificates of Participation totaling $13,410,000 and a State Revolving Fund Loan totaling $59,463,938 as of June 30, 2018 . The NSD’s total debt is $74,518,409 as of June 30, 2018. 29 NSD issued Refunding Bonds in 2017 to refund the 2011 Wastewater Revenue Certificates of Participation. These bonds have an interest rate of 2.03% that is payable twice per year . In 2008, 30 NSD was granted a loan for $81,329,083 in order to construct upgrades to the Novato Treatment Plant. This loan is being repaid at a rate of 2.40% interest. For FY 2018-19 the anticipated principal paid is $3,951,834 and the anticipated interest paid is $1,427,123. The loan is scheduled to be paid in full by 2031 . 31 Additional NSD liabilities include pension plans and other post-employment benefits for retirees. NSD contributes to the California Public Employees Retirement System (CalPERS) which provides various retirement to members and beneficiaries. For FY 2017-18 NSD employer contributions totaled $327,385. As of June 30, 2018, NSD had a total net pension liability of $5,544,711 . NSD also pays a portion of the cost of health insurance for retirees under any group 32 28 Novato Sanitary District Comprehensive Annual Financial Report FY 2017-18 and FY 2016-17, pg. 19. 29 Ibid. pg. 29. 30 Ibid. pg. 31. 31 Ibid. pg. 30. 32 Ibid, pg. 40. Marin LAFCo 48 Novato Region Final Draft MSR January 2020 plan offered by CalPERS, subject to certain restrictions. In 2018 there were a total of 19 active place members and 34 retirees/beneficiaries receiving benefits . 33 Financial Planning/Capital Improvement NSD provides a two-year Capital Improvement Budget for Board review and approval. This budget outlines projects scheduled to take place over the next two fiscal years and the funding mechanisms for each project. For the 2018-2020 budget, major projects include the North Bay Water Reuse Authority Phase 2 project implementation, which will be partially funded by the US Bureau of Reclamation WaterSMART program, capacity expansion of the Recycled Water Facility, and continued replacement of collection system components and laterals. The largest cost centers for the Capital Improvement Program (CIP) are Collection System Improvements, budgeted at $2.45 million for FY 2018-19 and the Recycled Water Facility Expansion, budgeted for $2.02 million in FY 2018-19 . CIP projects are reviewed on an annual 34 basis and the Board is made aware of any changes for the upcoming fiscal years. Major initiatives are also identified in NSD’s annual financial audit. This allows NSD to adequately prepare and budget for needed system upgrades. 6.8 SUSTAINABILITY Local agencies play a critical role in protecting natural resources and the environment through land conservation, water recycling, preserving open space, and renewable energy projects. NSD is working closely with other wastewater and water providers in the north bay region though the North Bay Water Reuse Authority. As discussed above in Section 5.5 – Recycled Water, NSD has already upgraded its recycled water capacity. Also, in the upcoming years, NSD will be working with the State Coastal Conservancy to potentially provide treated effluent to propagate and sustain a brackish marsh at the former Bel Main Keys V and Hamilton Air Force base sites. The upgraded WWTP also decreased NSD energy use. It is estimated that approximately 528 MWh of energy is saved annually which equates to 373 metric tons of carbon dioxide equivalent 35 saved . The NSD will continue to work towards its vision of “Collecting and transforming 36 Novato’s wastewater and solid waste into more valuable resources.” 33 Ibid. pg. 34 34 Novato Sanitary District, Capital Improvement Program Committee Agenda Packet, May 31, 2018, pg. 13. 35 Novato Sanitary Wastewater Facilities Upgrade Project PowerPoint Presentation, July 2010, slide 21. 36 United States Environmental Protection Agency, Energy and the Environment, Greenhouse Gas Equivalencies Calculator, https://www.epa.gov/energy/greenhouse-gas-equivalencies-calculator. Marin LAFCo 49 Novato Region Final Draft MSR January 2020 7.0 NOVATO FIRE PROTECTION DISTRICT 7.1 OVERVIEW The Novato Fire Protection District (NFPD) was established in 1926 as an independent Special District from what was originally a volunteer fire department. The NFPD boundary encompasses approximately 71 square miles in northern Marin County, California. This includes all of the City of Novato and surrounding unincorporated areas to the east, north, and west. The District has a population of approximately 66,000 persons. The last Municipal Service Review for the NFPD was conducted in fall 2007 as part of the Novato Area Periodic Update. Currently, the primary NFPD function is to provide structural fire and emergency medical response to the City of Novato and surrounding areas as shown in Figure 7-1. The NFPD also participates in many automatic and mutual aid agreements with nearby fire districts and responds to wildland fires as needed. The main administration building is also the site of the City of Novato and NFPD Joint Emergency Operations Center (EOC) during major disasters. The NFPD has close community ties and many of its members voluntarily support a number of Novato Fire Foundation programs including youth programs, toy drives, and education activities. As part of its community outreach program, the NFPD hosts an annual open house and participates in and provides medical services at the Novato Chamber of Commerce Art & Wine Festival where the community can visit any station to view equipment and interact with personnel. Table 7-1: Novato Fire Protection District Overview Novato Fire Protection District Primary Contact Chief Bill Tyler Phone (415) 878-2690 Office Location: 95 Rowland Way, Novato, CA 94945 Formation Date 1926 Services Provided Fire Protection and Emergency Response Service Area ~71 mi2 Population Served ~66,000 7.2 FORMATION AND DEVELOPMENT NFPD formation was the result of community interest to provide basic services even before the town of Novato was created. Prior to the NFPD, a small volunteer fire department, formed in 1894 , served the area with hose carts and a chemical engine. After Novato was granted township, 37 the NFPD was established and its first commissioners appointed on July 7, 1926 . It was 38 established as an independent Special District whose legal authority and responsibilities are contained in the State of California Health and Safety Code Sections 13800 – 13970. 37 Novato Fire Protection District Website. “Historical Timeline” page, Accessed June 20, 2019 - https://www.novatofire.org/about-us/history/historical-timeline 38 Marin County Board of Supervisors, Regular Meeting Minutes, July 7, 1926, pg. 134. Marin LAFCo 50 Novato Region Final Draft MSR January 2020 Figure 7-1: Novato Fire Protection District Boundary and SOI Marin LAFCo 51 Novato Region Final Draft MSR January 2020 Figure 7-2: Novato Fire Protection District Zoning Marin LAFCo 52 Novato Region Final Draft MSR January 2020 7.3 DISTRICT BOUNDARY AND SPHERE OF INFLUENCE NFPD’s service boundary, which currently encompasses 71 square miles includes all of the City of Novato and outlying areas east to San Pablo Bay and up to the Sonoma County line. The current Sphere of Influence encompasses 69.5 square miles. In 1977 the Hamilton Air Force Base was detached from the NFPD boundary, however, in 1999 the Ninth Circuit U.S. Court of Appeals determined that the detachment was not valid. In 2009, Marin LAFCo rescinded the action on the “Hamilton Field and Rafael Village Detachment” with LAFCo Board Resolution No. 09-03. This action rescinded the NFPD boundary change but did not account for the SOI which was determined after the 1977 decision. Therefore, the NFPD boundary is currently larger than the SOI. There are County and City designated land uses in and around the NFPD’s service boundary. Within the City of Novato boundary, land use authority falls under city jurisdiction. Unincorporated areas within the District are subject to Marin County Land use authority. Land use within the city is predominantly residential but also includes commercial and mixed-use areas; 39 business and industrial areas; and community and natural resource lands. The predominant land uses in unincorporated district territory are generally comprised of agricultural, public facility, open space, rural residential, and low-density residential lands Figure 7-2. 7.4 MUNICIPAL SERVICES Fire Protection and Emergency Response The FPD provides fire protection, emergency response, and paramedic services. Incident call types include emergency medical response, fire, service calls, good intention calls, natural disasters, and hazardous materials/conditions. The District has five stations with personnel covering three shifts. Each shift has one Battalion Chief, five Captains and five engine companies including a cross staffed truck and Type 3 engines. Staffing includes two front line paramedic ambulances, each staffed with two firefighter/paramedics. The District also has a Risk Reduction, Prevention, and Mitigation division, as well as Training and EMS divisions. NFPD has been awarded a Class 1 Public Protection Classification rating by the Insurance Services Office (ISO), an organization that independently evaluates municipal fire protection efforts throughout the United States. An ISO rating of 1 is the highest possible that can be given to any fire department using this metric. Insurance companies often use ISO information combined with other factors to establish local property insurance rates – generally offering lower fire policy premiums in communities with better protection. The NFPD receives an average of 5,259.5 calls per year (2008 – 2018) with the majority being for Rescue/ Emergency Medical . The call volume has increased steadily over the last five years 40 39 City of Novato General Plan 2035. 2016. Pg. 1-4 40 Novato Fire Protection District, Comprehensive Annual financial Report for the Year Ended June 30, 2018, pg. 78. Marin LAFCo 53 Novato Region Final Draft MSR January 2020 from 4,888 calls in 2013/14 to 5,996 in 2017/18. A summary of call numbers over the last 10 years is shown below in Figure 7-3. Figure 7-3: NFPD Total Calls per Fiscal Year41 During FY 2017-18 the NFPD responded to 5,996 incidents. Of these, 68 percent were for emergency medical services and 2 percent were for fires. The average reported response time was 5 minutes 35 seconds for emergency medical services and 7 minutes 11 seconds for fires . A 42 summary of incidents and response times is provided below in Figures 7-3 and 7-4. Figure 7-4: NFPD Response Times by Incident Type (2018)43 41 Ibid. 42 Novato Fire Protection District, Popular Annual Financial Report, Fiscal Year Ended June 30, 2018. https://www.novatofire.org/home/showdocument?id=8606 43 Ibid. Marin LAFCo 54 Novato Region Final Draft MSR January 2020 Figure 7-5: NFDP Emergency Responses by Incident Type (2018)44 The NFPD currently contracts with the Marin County Sheriff’s Department for dispatch services. Additionally, the City of Novato dispatch will route calls that come in for structural fire and/or medical services to the County Sheriff’s Department. This helps ensure that services are provided efficiently throughout the FPD service area. Facilities and Apparatuses The NFPD owns, operates and maintains one administrative building and five stations as listed below: • Administration Building - 95 Rowland Way, Novato, CA 94945 • Station 61 - 7025 Redwood Boulevard, Novato, CA 94945 • Station 62 - 450 Atherton Avenue, Novato, CA 94945 • Station 63 - 65 San Ramon Way, Novato, CA 94945 • Station 64 - 319 Enfrente Road, Novato, CA 94949 • Station 65 - 5 Bolling Drive, Novato, CA 94949 A facilities assessment was conducted in 2014 for all NFPD owned buildings. The assessment identified the current building status and upcoming repair and/or replace needs. Station 64 was not included in this assessment as it was being rebuilt at the time of the assessment. During the assessment, many of the buildings were found to be in fair to good condition with lifecycle replacements of building systems needed within the next 10 years . Having these 45 44 Ibid, pg. 8. 45 EMG, Facility Condition Assessment of - Administration Building, Fire Station 61, Fire Station 62, Fire Station 63, Fire Station 65, 2014. Marin LAFCo 55 Novato Region Final Draft MSR January 2020 assessments allows the NFPD to plan ahead for major facility upgrades. Currently, the NFPD has completed the renovation of fire station 62’s kitchen and full replacement and upgraded to the station’s septic system. In addition, the fire district’s training tower locate at fire station 62 is currently being replaced, and two new training classrooms are being installed with a completion date of spring of 2020. . 46 The NFPD has a variety of apparatus that serve the community ranging from support vehicles to paramedic trucks. The NFPD’s apparatus listed by station is provided below . 47 Station 61: Type 1 engine, Ambulance, Water Tender, B/C Command vehicle, Reserve Ambulance, Off-Road Utility, Reserve Type 1 Engine Station 62: Type 1 Engine, 1 Reserve Type 1, 1 Ambulance, Golf Cart Station 63: Type 1 engine, Type 3 engine, 1 Reserve Ambulance, Off-Road Utility Station 64: Type 1 engine, Ladder Truck, Ambulance Station 65: Type 1 engine, Type 3 engine, Medium Duty Rescue Unit, Off-Road Utility Additionally, the Risk Reduction Prevention and Mitigation Division (RPM) utilizes several SUVs for inspections, investigations, and fire response. For Public Education purposes, the District maintains a utility vehicle and a golf cart. There are two pool vehicles (a hybrid car and a 12- passenger van) utilized for administrative needs. The NFPD utilizes a Vehicle Replacement Plan to ensure that all vehicles remain in sound 48 working order and are replaced when needed. Operations vehicles are replaced based on years of front-line service and are then placed in reserve. Table 7-2 summarizes the service time for each vehicle type. Having a Vehicle Replacement Plan allows the NFPD to adequately plan for upcoming replacement costs and ensures that service needs can be fulfilled. Table 7-2: NFPD Vehicle Service Times Vehicle Type Front-line Reserve Service (years) (years) All Engine Types 15 5 Ambulances 5 5 Aerial Trucks 20 5 Rescue 20 - Water Tender 25 - 46 Chief Bill Tyler, Personal Communication, October 7, 2019. 47 Novato Fire Protection District, Comprehensive Annual Financial Report for the Year Ended June 30, 2018. 48 Novato Fire Protection District, NFPD Fire Policy Manual, Policy 704. Marin LAFCo 56 Novato Region Final Draft MSR January 2020 Command Vehicles 5 - Other Service Providers The NFPD is a member of the Marin Emergency Radio Authority (MERA) which is a countywide public safety and emergency radio system that allows emergency response agencies to communicate effectively with each other. The NFPD jointly operates the EOC with the City of Novato at the NFPD administrative office. During a major emergency or disaster, the EOC provides a central location of authority and information with face-to-face coordination among personnel. To the north of Novato is the City of Petaluma which provides emergency response services in Sonoma County and participates in an automatic aid agreement with the NFPD for the response to wildland fires in the Mutual Threat Zone. To the south of Novato is the San Rafael region which has multiple emergency response agencies including Marinwood CSD, adjacent to the NFPD boundary, and the City of San Rafael. Several automatic and mutual aid agreements are in place to ensure a high level of service to area residents. The NFPD currently has agreements with Lakeville Volunteer Fire Company; Marinwood Community Services District; Petaluma Fire Department; San Antonio Volunteer Fire Company; Marin County Fire Department. The NFPD also is a party to a Mutual Threat Zone agreement with CalFire, Marin County Fire Department, and Sonoma County Fire – San Antonio that outlines a joint response to vegetation fires in the area of Highway 101 near the Sonoma and Marin County line . In the event of extraordinary events, the NFPD is also party to the Marin 49 County Fire Chiefs Mutual Aid Agreement which provides for county-wide mutual assistance and mobilization during emergencies . 50 Additional public services in the area include water service provided by the North Marin Water District and sewer service provided by Novato Sanitary District. The City of Novato provides a range of municipal services including parks and recreation and police services. 7.5 ORGANIZATION STRUCTURE Board of Directors The NFPD has a five-member board that is elected to a four-year term. Elections for Board members are now by district elections so that each Board member represents a specific defined area within the NFPD. 49 County Line Mutual Threat Zone Between Marin County Fire Department, Novato Fire Protection District, Sonoma County Fire Department, and California Department of Forestry and Fire Protection, June 2018. 50 Marin County Fire Chiefs Mutual Aid Agreement, Draft May 28, 2019. Marin LAFCo 57 Novato Region Final Draft MSR January 2020 Table 7-3: NFPD Board of Supervisors Member Position Experience Term Expiration James Galli President Battalion Chief December 2020 (jgalli@novatofire.org) Lj Silverman Vice-President Firefighter/Paramedic December 2020 (ljsilverman@novatofire.org) Steve Metcho Secretary Firefighter December 2020 (smetcho@novatofire.org) William “Bill” Davis Director Registered Nurse December 2022 (bdavis@novatofire.org) Bruce Goines Director USFS Fire Service December 2022 (bgoines@novatofire.org) The Board of Directors maintains current certificates for the CA Local Agency Ethics and California Sexual Harassment Prevention for Supervisors programs. Certificates for each of the board members can be found on the NFPD website. According to the Board of Directors’ policy (Policy 225), members are paid a sum of $200 per meeting (effective November 2019), workshop, study session, special meeting, and committee meeting up to a maximum of 4 meetings per month . Information on meeting dates and payments 51 is provided on the NFPD website. The Board of Directors is guided by Policy 223 which provides general duties of the board, roles and responsibilities, and training, both required and suggested. Staffing and District Operations The NFPD currently staffs 78 employees working at five fire stations and one administrative building. Stations are regularly staffed with a combination of battalion chiefs, captains, engineers, firefighter/paramedics. Currently, the NFPD is seeking to fill vacancies in their RPM Division. Additional staffing positions that are desired, but do not yet have permanent funding, are additional fire inspectors, and an administrative Training Captain. Two fulltime limited term Wildfire Mitigation Specialists have been recently hired to complete additional defensible space inspections and structural ignitability evaluations of homes and businesses in Novato. The Wildfire Mitigation Specialists are responsible for conducting hazard assessments, providing vegetation management assessment and prescriptions, and drafting fuel reduction plans for the wildland-urban interface areas of the NFPD. The Training Captain would be responsible for creating and implementing a fire training 51 NFPD Fire Policy Manual, Policy 225, Board of Directors. Marin LAFCo 58 Novato Region Final Draft MSR January 2020 program. The NFPD is currently looking into long-term strategies to fund these additional positions. 7.6 ACCOUNTABILITY AND TRANSPARENCY Over the past several years, the NFPD has made it a priority to maintain high accountability and transparency with all its activities. The NFPD website (www.novatofire.org) provides information on Board meetings, financial reports, stations, history, employment, and more. Meetings and Agendas The NFPD Board meets on the first Wednesday of every month at 6:00 pm at Fire Station 61 located at 7025 Redwood Boulevard in Novato. Special meetings are held as needed to go over specific topics such as the annual budget. Meeting agendas and minutes can be found on the NFDP website (www.novatofire.org). Annual Budget Review The NFPD prepares and adopts annual budgets covering revenues, operating, and capital expenses and fund balances. The NFPD takes into consideration five distinct divisions when preparing the annual budget: Emergency Medical Services, Risk Reduction Prevention & Mitigation, Operations, Organization Resources & Support, and Training. The NFPD vision statement is “To position the Fire District operationally and financially to create a sustainable future”. 7.7 FINANCIAL OVERVIEW Approximately 84% of the district’s annual revenue comes from property taxes. Other revenue sources include ambulance service fees, state and federal reimbursements for mutual aid assistance, and fire inspection and plan check fees. The NFDP aims to provide a high level of community service while maintaining sustainable fiscal practices. As is shown in Table 7-4, the past three years of audits show budget surpluses that help build the general fund. Revenue Revenue sources for the NFPD come primarily from a portion of the 1% property tax and a parcel tax originally approved by voters in 1991 and later amended in 2002 . Of the 1% property tax, 52 the NFPD receives an average of 14.5% which amounts to approximately $20.3 million for FY 53 2017-18. The voter-approved special tax is adjusted every year for inflation based on increases in the CPI and Board Approval. For FY 2018-19 the parcel tax rate is 9.16 cents per square foot for residential parcels and 13.73 cents per square foot for commercial/ industrial parcels. The FY 2017-18 tax rate was set at 8.87 cents per square foot residential and 13.30 cents per square foot commercial/industrial which amounted to approximately $5.4 million for the NFPD. 52 County of Marin, Elections Department, Past Elections Results and Information, https://www.marincounty.org/depts/rv/election-info/past-elections?tabnum=10. 53 County of Marin, Tax Distribution Percentages – City of Novato, https://www.marincounty.org/depts/df/novato. Marin LAFCo 59 Novato Region Final Draft MSR January 2020 Table 7-4: NFPD Financial Audit Summary Revenues FY 2015-16 FY 2016-17 FY 2017-18 Audit Audit Audit Charges for Services $3,867,554 $3,780,142 $4,531,999 Capital Grants and Contributions $27,862 $70,722 $0 Property Taxes $23,712,159 $25,009,489 $25,684,707 Investment Earnings $29,950 $55,464 $133,664 Non-Restricted Grants $86,993 $84,983 $84,756 Miscellaneous $170,767 $164,000 $252,398 Total Revenues $27,895,285 $29,164,800 $30,687,524 Expenditures FY 2015-16 FY 2016-17 FY 2017-18 Audit Audit Audit Personnel $15,431,417 $22,140,885 $22,990,911 Material and Services $4,378,374 $3,777,604 $3,883,965 Depreciation $1,442,580 $1,458,984 $1,386,291 Interest on Debt $115,486 $97,736 $79,334 Total Expenditures $21,367,857 $27,475,209 $28,340,501 Net Total $6,527,428 $1,689,591 $2,347,023 Other sources of revenue for the district include but are not limited to, ambulance service charges, plan check and fire inspection fees, capital grants and contributions, investment earnings, and state and federal reimbursements for mutual aid. The NFPD financials summary can be found in Tables 7-4 and 7-5. Debt The FPD expends approximately $750,000 per year on debt service including principal and interest payments. Current debt obligations include the administration building mortgage and loan payments for Station 64 construction which was completed in September 2015 . As of June 30, 54 2018, the FPD had approximately $3,315,000 in outstanding debt which included $164,000 for a ladder truck that was paid off in FY 2018-19. According to the June 30, 2019 unaudited financial statements, the NFPD has outstanding debt totaling $2,637,000. The NFPD also provides a pension plan for employees and is part of the Marin County Employees’ Retirement Association (MCERA). MCERA provides retirement, disability, and death benefits based on the employee’s years of service, age, and final compensation. As of June 30, 2018, the NFPD Net Pension Liability was $15,629,033 which is a decrease of approximately $2.8 million 54 Ibid. pg. 9308-12. Marin LAFCo 60 Novato Region Final Draft MSR January 2020 from the prior year. The NFPD pension funded ratio is 89.2% which is among the highest ratio for fire districts . In addition to the pension plan, the NFPD provides post-retirement health care 55 benefits to its retirees. For FY 17-18 the NFPD contributed $1,502,716 to the plan which has 73 active members and 90 inactive employees or beneficiaries that are currently receiving benefit payments. The NFPD maintains a District credit card with a credit limit of $175,000. As of July 11, 2018, the available credit was $164,490. The card balance is typically paid in full every month so that no interest is accrued. Table 7-5: NFPD Approved Budget Summary Revenues FY 2016-17 FY 2017-18 FY 2018-19 Adopted Adopted Adopted Property Taxes $24,684,811 $25,839,858 $26,546,170 Interest $16,032 $34,830 $68,084 Intergovernmental $389,766 $329,983 $329,756 Charges for Services $2,549,898 $2,765,678 $2,352,653 Other $686,608 $433,001 $1,191,503 Total Revenues $28,327,115 $29,403,350 $30,488,166 Expenditures FY 2016-17 FY 2017-18 FY 2017-18 Adopted Adopted Adopted Personnel $22,475,443 $23,741,066 $25,120,276 Services and Supplies $4,001,875 $4,154,266 $4,146,723 Debt Service $820,500 $757,300 $747,300 Total Expenditures $27,297,818 $28,652,632 $30,014,299 Net Total $1,029,297 $750,718 $473,867 Financial Audit The NFPD contracts with an outside accounting firm, currently Maze & Associates, to prepare an annual report for each fiscal year to review the District’s financial statements in accordance with established governmental accounting standards. The most recent audited financial statement was prepared for the fiscal year ending June 30, 2018. Financial Planning/Capital Improvement The NFPD maintains several designated reserve accounts as shown in Table 7-6. The NFPD also maintains a committed fund that provides contingency funding in situations where actual revenue is 15% or more below expected revenue, or when a state of emergency is declared by the District 55 Cheiron, MCERA Actuarial Valuation Report as of June 30, 2018. Marin LAFCo 61 Novato Region Final Draft MSR January 2020 Board or County of Marin for an area that falls within District boundaries. As of June 30, 2018, the balance for that fund was $4,199,942. Table 7-6: NFPD Reserve Funds Reserve Fund Balance56 EMS Capital Equipment Reserve $100,000 Unemployment Insurance $35,100 Management Information Systems $210,000 Apparatus and Equipment Replacement $3,322,000 Facility Capital Improvement $500,000 Retirement Unfunded Liability $2,110,000 Worker’s Compensation Fund $1,038,000 Retiree Health Benefits $3,095,594 Wildfire Mitigation Fund $738,000 Protective Equipment Reserve $180,000 Compensated Absences $830,035 Total $12,158,729 7.8 WILDLAND FIRE PREPAREDNESS Local agencies such as the NFPD play a critical role in protecting natural resources and the environment. Extended periods of drought, changing climate patterns, wind and low humidity have the potential to increase the occurrence and severity of wildland fires which could threaten structures and lives in the Wildland Urban Interface. The NFPD participated in the Community Wildfire Protection Plan that was released in 2016. This was a collaborative effort among fire agencies in the county, local fire organizations including FIRESafe Marin, land management agencies, and community stakeholders. Through this effort, areas of concern throughout the county were identified based on population, fire behavior, vegetation, and other factors. Additionally, several goals were stated and associated action items were created to better prepare the county for wildland fires. One such goal is to “Increase awareness, knowledge, and actions implemented by individuals and communities to reduce human loss and property damage from wildland fires, such as defensible space and fuels reduction activities, and fire prevention through fire safe building standards” . The NFPD is working 57 towards providing more education to the community about this topic and staffing of the RPM Division would further aid in the implementation of this goal. 56 Fund balances as of June 30, 2019. Novato Fire Protection District Preliminary Unaudited Financial Statements, Note 7. 57 Marin County Fire Department and FIRESafe Marin, Community Wildfire Protection Plan, July 2016, Appendix D. Marin LAFCo 62 Novato Region Final Draft MSR January 2020 Consistent with the Community Wildfire Protection Plan, the “Lessons Learned from North Bay Fire Siege” report, and the 2019 “Marin Civil Grand Jury Report on Wildfire Preparedness,” stress the importance of a countywide, multi-agency approach to better protect county residents. The deadliest and most destructive wildfires in the state’s history have occurred in recent years, and Marin’s wildlands and lush vegetation leave the Novato region particularly vulnerable. Given the changing climate and increased risk of wildfires, NFPD has been partnering with FIRESafe Marin, fire agencies, the county, and cities and towns in Marin to develop a countywide Wildfire Prevention program and authority to coordinate and oversee the ongoing programs to make the community safer and better prepared. A countywide coalition that includes the cooperation of all Marin fire and city/town agencies and the county has proposed a new joint powers agreement (JPA) and funding measure that would raise approximately $21 million per year dedicated to local wildfire prevention. The JPA agreement would consist of local fire agencies, cities and towns, and the County. The mission of the Marin Wildfire Prevention Authority would be to fund and oversee the following efforts: • Wildfire detection and evacuation system improvements • Vegetation management and fire hazard reduction • Defensible space and home hardening evaluations • Public education and neighborhood wildfire preparedness • Local specific wildfire prevention efforts The NFPD will continue to work with the other partner agencies to ensure the higest level of safety and service for residents within Marin County. Marin LAFCo 63 Novato Region Final Draft MSR January 2020 8.0 BEL MARIN KEYS COMMUNITY SERVICE DISTRICT 8.1 OVERVIEW The Bel Marin Keys Community Services District (CSD) is located in the southeast Novato region between Highway 37 and Highway 101 and is accessed by Bel Marin Keys Boulevard. Within the westerly portion of the CSD is a unique community with lagoons that provides water access and recreation to Bel Marin Keys residents. It also maintains two locks that provide access to Novato Creek which flows into San Pablo Bay. The easterly portion of the CSD is California State Coastal Conservancy land with San Pablo Bay frontage that is pwine of the larger Hamilton Wetlands Restoration effort. Table 8-1: Bel Marin Keys CSD Overview Bel Marin Keys CSD Primary Contact Noemi Camargo-Martinez Phone (415) 883-4222 Office Location: 4 Montego Key, Novato, CA 94949 Formation Date 1961 Services Provided Lagoon Maintenance (including marine infrastructure and dredging), Public Facilities, Parks and Recreation (Open Space), Flood Protection Facilities, Street Lighting Service Area 4 sq. mi. Population Served 1,530 The CSD provides a multitude of community services either directly or through contracts. Services and facilities include, but are not limited to, Novato Creek maintenance dredging, north and south lagoon maintenance, maintenance and operation of marine infrastructure assets, operation of a community center complete with kitchen and bar, four boat ramps of which three can be accessed by residents, eight parks, six open space areas, two islands, and street lighting maintenance. Water, wastewater, and fire services are provided by other agencies. Services and facilities listed above require planning, budgeting, and in some cases permitting. Major projects such as levee maintenance and dredging require coordination with several agencies and stakeholders to ensure compliance with state and federal regulations. The CSD manages these projects and regular maintenance activities with a small staff and contract management services. Marin LAFCo 64 Novato Region Final Draft MSR January 2020 Figure 8-1: Bel Marin Keys CSD Boundary and SOI Marin LAFCo 65 Novato Region Final Draft MSR January 2020 Figure 8-2: Bel Marin Keys Land Use Marin LAFCo 66 Novato Region Final Draft MSR January 2020 8.2 FORMATION AND DEVELOPMENT Bel Marin Keys CSD was formed in 1961 to provide services for the new Bel Marin Keys housing development. Basic infrastructure was purchased by Marin County, after construction by the developer, using proceeds from the sale of serial bonds . Once initial construction of 58,59 infrastructure was completed, certain systems were conveyed from the County to the appropriate agency. Lagoons were transferred to the CSD, the water supply system was transferred to the North Marin Water District and the sewer system was transferred to the Novato Sanitary District . 60 In 1980, approximately 90 acres to the south of the original CSD was annexed for the development of Bel Marin Keys Unit IV. There were plans to develop additional land to the south and east as Bel Marin Keys Unit V. However, after years of deliberation, the parcels were purchased by the California State Coastal Conservancy and are now part of a greater wetland restoration effort taking place in the region. 8.3 DISTRICT BOUNDARY AND SPHERE OF INFLUENCE Bel Marin Keys CSD’s jurisdictional boundary is larger than its current sphere of influence. The boundary includes the Bel Marin Keys housing development, portions of Novato Creek, and California State Coastal Conservancy lands bordering San Pablo Bay. The boundary encompasses a total of 990 acres and the SOI encompasses a total of 855 acres. 8.4 POPULATION AND GROWTH Bel Marin Keys is located in Census Blocks 1001, 1001, 1005, and 1006 of Tract 1043 in Marin County. According to the 2010 US Census, these blocks had a total population of 1,530. Since the sale of Bel Marin Keys V to the California Coastal Conservancy, there is no longer potential for further development in the area. 8.5 MUNICIPAL SERVICES The CSD currently provides several services to the community including lagoon maintenance, marine infrastructure operation and maintenance, dredging, and parks and recreation. The CSD also owns and maintains a community center equipped with a full kitchen, bathrooms, and a bar. Additionally, the CSD provides street lighting through a contract with DC Electric. Lagoon Maintenance After initial waterways construction by developers, the lagoons were turned over to the CSD for management and maintenance. Waterways are tested for pathogens, in accordance with County of Marin Recreational Standards, once a month typically when a lagoon flushing event occurs. The lagoons are mechanically maintained at prescribed set water elevations and water quality is maintained by exchanging water (flushing) to and from Novato Creek. A flushing schedule is 58 Marin County Board of Supervisors, Resolution 6981, October 24, 1961. 59 Marin County Board of Supervisors, Resolution 6980, October 24, 1961. 60 Ibid. Marin LAFCo 67 Novato Region Final Draft MSR January 2020 posted in the quarterly newsletter and signs are posted at the navigation locks to advise residents not to enter waters near the lock areas when flushing is occurring. Additional lagoon maintenance includes monthly inspection of buoys, regular inspection of the CSD’s four boat ramps, debris removal, aquatic vegetation control, CSD dock inspections, and easement compliance along with other water-related maintenance items. There are two navigation locks owned and maintained by the CSD. The south lock was originally built in 1985 and the north lock was built in 1974. These locks maintain and allow for lagoon water level management within the CSD while providing residents Novato Creek access. They also assist with seasonal flood control. The locks are operated by a controlled access system that residents receive after going through training on how to use the system. In addition to lagoon maintenance, the CSD surveys Novato Creek performs debris removal in the creek and has previously conducted dredging to maintain adequate navigational depths and removal accreted materials from flood control structures. The CSD also maintains the levee surrounding the south lagoon which is an 11,000-foot-long levee owned by the California State Coastal Conservancy (SCC) and bordering SCC land known as BMK V. The BMK V development was originally going to provide tax income for south levee maintenance. Now that the SCC owns the land, there is no revenue to support this maintenance. The CSD is currently working with the SCC to address levee improvement funding specific to cost incurred by the CSD. There is a project scheduled to be undertaken by the SCC in summer 2019 61 on the BMK V parcel. Dredging The CSD is responsible for dredging areas of the Bel Marin Keys lagoons and Novato Creek for water quality, flood control, and watercraft access. Maintenance dredging as undertaken requires planning, financing, permitting, dredging, and dredge material placement. Planning The last dredging event conducted by the CSD in Novato Creek was in 2005. The last dredging of the north lagoon was conducted in 2007. There are areas within the north lagoon that have a propensity for sediment accretion and as such, the CSD monitors and will conduct maintenance dredging as needed and budgets allow. Novato Creek is ideally dredged on a 20-year cycle although there is no specific funding for this . 62 A detailed October 2017 hydrographic survey mapped the Novato Creek channel with contours and comparisons to December 2013 and July 2016 hydrographic surveys to depict channel 61 California State Coastal Conservancy, Projects, San Francisco Bay Area: https://scc.ca.gov/projects/san-francisco- bay/. 62 Personal Communication, Noemi Camargo-Martinez – District Manager, June 3, 2019 and June 19, 2019. Marin LAFCo 68 Novato Region Final Draft MSR January 2020 changes. The 2017 survey results provide information on where future dredging activities may need to take place . 63 Financing The District funds dredging activities for the lagoons through Measure D that was passed in 2001 and is discussed in further detail under Finances. Planned 2019 dredging activities include portions of Novato Creek around flood control structures which will be funded by Measure D. Other creek areas are currently not funded through Measure D. The last Novato Creek channel dredging, completed in 2005, was funded through bond Measure F which is also discussed below. Permitting In 2017 the CSD applied to the US Army Corps of Engineers for a 10-year maintenance dredging permit that included North Lagoon and portions of Novato Creek. The CSD is still operating under this permit and continues to work with other regulatory agencies such as the San Francisco Bay Regional Water Quality Control Board and the San Francisco Bay Conservation and Development Commission. Dredging Activities The CSD procures dredging services under public contracting guidelines as discussed under Contracting below. Prior dredging, summarized in Table 8-2, has utilized hydraulic dredge methods to remove build-up sediment. The dredged material is then pumped through a slurry pipeline and deposited at the nearby disposal site discussed below . 64 Table 8-2: Bel Marin Keys Dredging History Year Location Approximate Volume (cubic yards) 1985 Novato Creek 40,000 2001 North Lagoon 15,000 2005 Novato Creek 100,000 2007 North Lagoon 220,000 Dredge Disposal Dredged material from both the lagoons and the creek has been deposited on a 22-acre parcel owned and operated by the CSD to the west of Bel Marin Keys permitted as a Dredged Materials Management Site (DMMS) . The DMMS is adjacent to and runs along the north edge of Bel 65 Marin Keys Boulevard across from Pacheco Pond. This parcel is outside of the CSD boundary. 63 CLE Engineering, Novato Creek Condition Hydrographic Survey- October 2017, January 5, 2018. 64 US Army Corps of Engineers, San Francisco District, SPN-2006-22397N Bel Marin Keys Maintenance Dredging, June 9, 2017. 65 Ibid. Marin LAFCo 69 Novato Region Final Draft MSR January 2020 Parks and Recreation The CSD owns 37 parcels within its boundary, many of which are maintained as park or open space areas. There are currently eight parks, six open space areas, and two islands. In 2012 county voters approved a sales tax (Measure A) to help fund park and recreation improvements in Marin County. The CSD receives an apportionment of those tax funds for Bel Marin Keys park and open space improvements. The CSD held a community meeting to identify priority areas for Measure A funding and developed a timeline of improvements for many of the parks. The highest priority park identified by the community meeting was Montego Park. Residents indicated that a new multipurpose court and bocce ball course were desired. Replacement of existing tennis courts was completed in 2018 and other park and open space facilities will continue to be upgraded as funds become available. The CSD offers play equipment in several park areas and has recently expanded its All Ages Fitness areas. These areas offer workout stations that include sit-up stations, chin-up bars, cycling, and other equipment to help promote fitness for all ages and abilities. A continuing issue with park facilities, including Montego Park, is drainage. Flooding occurs in areas during high rainfall and limits accessibility to park facilities. The CSD has utilized pumps in the past to keep park areas free of water and is currently working on drainage upgrades that will provide a long-term solution to flooding issues. Park and other landscaped areas are maintained through a contract with an outside company. The annual cost of landscaping in the CSD is approximately $60,000. Additional areas maintained by the CSD include a moat, two front entry areas, a parking lot, two offices, and a community center. 8.6 ORGANIZATIONAL STRUCTURE Board of Directors Bel Marin Keys was formed as an independent special district and maintains a five-member Board of Directors elected to serve four-year terms. A current list of Board members is provided below in Table 8-3. Board members receive compensation of $100 per meeting for their participation. Table 8-3: Bel Marin Keys Board of Supervisors Member Position Experience Term Vince Lattanzio President Landscape Design 2022 Darrick T. Chase Vice-President Family Law 2020 Mark Montobbio Director Law 2022 Mercy Angelopulos Director Technical Communications 2020 Cheryl Furst Director Business Management 2020 Marin LAFCo 70 Novato Region Final Draft MSR January 2020 Staffing and District Operations The CSD has one full-time staff member and one part-time staff member. Other staffing services, including a waterways manager, is provided by contract through Foth-CLE Engineering Group, LLC that is renewed every five years. Annual contract services are approximately $120,000 for waterways management, $100,000 for engineering and permitting, and $20,000 for parks design and engineering. 8.7 ACCOUNTABILITY AND TRANSPARENCY Meetings and Agendas Board meetings are held the third Thursday of every month at the Community Center at 4 Montego Key in Novato. Board meeting agendas and minutes are posted on the CSD website for public access (http://www.bmkcsd.us/agendas). Annual Budget Review The CSD provides an annual budget to the Board for review and consideration. Separate budgets are prepared for the general obligation fund and Measure D funds. The CSD has a Measure D oversight subcommittee that meets semi-annually to accurately track and report the revenue and expenditures for Measure D which is specifically for lagoon maintenance. Separate reporting is conducted on Measure A in accordance with Marin County requirements. An independent financial auditor conducts an annual audit of the CSD’s financial statements. The last audit, by R.J. Ricciardi, Inc., was conducted for the fiscal year ending June 30, 2018. Budgets and audits can be found on the CSD’s website. 8.8 FINANCIAL OVERVIEW Bel Marin Keys CSD is funded through a portion of the ad valorem property tax for properties served, two bond measures, and one parcel tax passed by voters in the CSD. Primary expenditures are for lagoons, marine infrastructure, Novato Creek, and park maintenance. See Table 8-4 for District revenues and expenses. Notably, in Fiscal Year 2017-18, the District had a significant increase in expenses. This is attributed to several unexpected capital outlay expenses for a culvert replacement and new tennis court. Such expenditures are not expected to be an annual occurrence in the future. Revenues The main source of revenue for the CSD is a portion of the ad valorem property tax collected and distributed by the County of Marin, special taxes, and bond measures (Measures A, D, E, & F) approved by voters living in the CSD boundary, or in the case of Measure A, the county. Taxes account for 99% of the CSD revenues with the other 1% coming from investment income and other revenue. Marin LAFCo 71 Novato Region Final Draft MSR January 2020 Measure A is a countywide measure that was approved by voters in 2012 and applies a one-quarter cent sales tax in order to fund county park areas . Once passed, the measure would be effective 66 for nine (9) years making the sunset date November 2021. The CSD receives a portion of this tax to fund maintenance and improvements to park areas. In FY 2017-18 the total revenue from Measure A was $57,461. Measure D was passed by voters in November 2001 and levies a Parcel Tax that increases at a rate of 2% every year with no sunset date to provide regular long-term revenue for the CSD. This tax is to be used for operation and maintenance of the CSD’s marine facilities . In FY 2017-18 the 67 total revenue from Measure D was $481,488. Measure E was passed by voters in November 2001 and allowed for the issuance of $2,600,000 in special tax bonds to finance improvements to the CSD’s shared and public marine facilities for Community Facilities District No. 2001-1 (Marine Facilities Improvements). The bonds are to be repaid by a special tax levied on properties in CFD No. 2001-1 that is not to exceed $385 per parcel . In FY 2017-18 the total revenue from Measure E was $227,643 which was then passed 68 through for loan payments. Once the bond refinancing loan is repaid, the special tax will no longer be levied. Measure F was passed by voters in November 2001 and allowed for the issuance of $5,600,000 in special tax bonds to finance improvements to the CSD’s marine facilities for CFD No. 2001-2 (Dredging and Marine Improvements). More specifically, the bonds funded dredging of lagoons and Novato Creek, training walls in Novato Creek, water circulation system upgrades, and necessary extensions of private and public docks and piers. The bonds are to be repaid by a special tax levied on properties in CFD No. 2001-2 according to their area designation. Maximum annual tax rates range from $330 to $1,131 . In FY 2017-18 the total revenue from Measure F was 69 $455,495 which was then passed through for loan payments. Once the bond refinancing loan is repaid, the special tax will no longer be levied. 66 County of Marin, Past Elections Results and Information, November 6, 2012, Ballot Measure A. 67 County of Marin, Past Elections Results and Information, November 6, 2001, Ballot Measure D. 68 Ibid, Ballot Measure E. 69 Ibid, Ballot Measure F. Marin LAFCo 72 Novato Region Final Draft MSR January 2020 Table 8-4: Bel Marin Keys CSD Financial Audit Summary Revenues FY 2015-16 FY 2016-17 FY 2017-18 Actuals Actuals Actuals General Fund $506,039 $521,319 $543,639 Measure A $53,351 $81,480 $57,461 Measure D $469,739 $476,631 $493,324 Measure E and F $686,274 $686,218 $683,351 Total Revenues $1,715,403 $1,765,648 $1,777,775 Expenditures FY 2015-16 FY 2016-17 FY 2017-18 Actuals Actuals Actuals Measure A $36,835 $31,071 $78,709 Measure D $126,970 $153,999 $148,961 Loan Payments $639,761 $639,764 $639,761 Projects I and II $182,564 $92,159 $126,609 Maintenance $237,206 $405,031 $269,190 Capital Outlay $51,696 $50,825 $562,736 Other $340,479 $303,293 $323,964 Total Expenditures $1,615,511 $1,676,142 $2,149,930 Net Total $99,892 $89,506 ($372,155) Measures D, E, And F were all proposed and passed in 2001 in order to provide needed funding for the CSD. Prior to these measures, there was not enough revenue to cover rising maintenance activities costs. Measure D now provides a long-term source of income for maintenance activities including water testing, lock maintenance, maintenance dredging, and annual management of the waterways. Measures E and F provided bond funding for large capital improvement projects and major dredging that was needed at the time. For FY 2017-18 Measure D taxes were $686.38 per parcel, Measure E taxes were $350.76 per parcel, and Measure F taxes ranged from $287.26 to $984.52 per parcel depending on location . The total CSD taxes for these measures totaled 70 $1,321.40 to $2,021.66. This does not include basic property tax or Measure A estimates. 70 County of Marin, Department of Finance, Property Tax Bill Tax Roll Year 2017-18, https://apps.marincounty.org/TaxBillOnline. Marin LAFCo 73 Novato Region Final Draft MSR January 2020 Table 8-5: Bel Marin Keys CSD Budget Summary Revenues FY 2016-17 FY 2017-18 FY 2018-19 Adopted Budget Adopted Budget Adopted Budget Operating $400,120 $410,120 $466,720 Capital Improvement $- $365,000 $160,000 Measure D $450,235 $468,971 $481,000 Total Revenues $850,355 $1,244,091 $1,107,720 Expenditures FY 2016-17 FY 2017-18 FY 2018-19 Adopted Budget Adopted Budget Adopted Budget Maintenance $120,400 $122,200 $202,040 Payroll Expenses* $138,096 $137,206 $156,718 Professional Fees $38,700 $39,200 $37,500 Utilities $27,376 $28,156 $29,536 General Operating Capital Improvement $- $365,000 $128,000 Measure D $262,000 $236,614 $244,050 Other $64,458 $63,632 $26,734 Total Expenditures $651,030 $992,008 $824,578 Net Total $199,325 $252,083 $283,142 *This includes employee benefits and director fees. Debt The CSD has a long-term lease-finance agreement with PG&E with a loan balance of $19,084 as of June 30, 2018, and two commercial loans with the Bank of Marin to re-finance Measure E and F Special Tax bonds. Those loans had a combined balance of $2,698,165 as of June 30, 2018. Contracting The CSD participates in the California Uniform Public Construction Cost Accounting Program. Under this program, the CSD maintains an Informal Bid List of contracts that receive notices on projects taking place within the CSD. This program allows for contracting flexibility that eases costs to the CSD while still maintaining a competitive bid process. Long-term Planning The CSD is currently preparing a Capital Improvement Plan which is set to be finalized by Fall 2019. This plan will identify priority needs for the CSD and provide a schedule of improvements for several fiscal years allowing the CSD to plan ahead for future improvements. Marin LAFCo 74 Novato Region Final Draft MSR January 2020 8.9 SUSTAINABILITY Bel Marin Keys has been working with residents on sustainable practices for both land and water. Community groups come together to help reduce household carbon footprints and the CSD has offered Clean and Green Boating seminars. Boating seminars include education of effective spill cleanup, safe fueling practices, reducing marine debris and proper sewage disposal. Neighborhood groups have also worked with other organizations including the Greenbelt Alliance, Marin Conservation League, and Sierra Club to gain voter approval on laws that limit urban sprawl and maintain open spaces for community benefit. Flooding remains an important issue to the CSD as high spring rain levels have caused levee breaches in adjacent neighboring parcels. The CSD will continue to work with other local agencies in order to identify critical needs and conduct flood control projects. Marin LAFCo 75 Novato Region Final Draft MSR January 2020 9.0 COUNTY SERVICE AREA NO. 1 (LOMA VERDE) 9.1 OVERVIEW CSA No. 1 is located south of Ignacio Boulevard as shown in Figure 9-1. The northerly developed Loma Verde neighborhood and Loma Verde Elementary School portions are unincorporated and the southerly Loma Verde Preserve portion is in the City of Novato. The neighborhood, which is completely surrounded by the City of Novato, is made up of mostly single-family homes with some apartments and townhomes. The main roads through the CSA are Alameda De La Loma which runs east and west, and Alameda Del Prado that runs parallel to Highway 101. The CSA provides street light maintenance throughout the unincorporated area through a contract administered by the Marin General Services Authority, meridian maintenance along Alameda Del Prado, and has acquired open space for the county. Table 9-1: CSA No. 1 Overview CSA No. 6 – Loma Verde Primary Contact Michael Frost – Deputy Director of Public Works Phone (415) 473-3725 Email mfrost@marincounty.org Office Location 3501 Civic Center Drive, San Rafael, CA 94903 Formation Date 1956 Services Provided Meridian Maintenance, Lighting, Open Space Street Service Area 503 acres 9.2 FORMATION AND DEVELOPMENT CSA No. 1 was formed by Marin County Board Resolution No. 4294 on January 1956 in order to provide County services to the area. Upon formation, no designation of specific services was made. In later years, specific resolutions were made to define services as lighting and parkway maintenance. In 1974 additional parcels were annexed to the CSA in order to provide open space for the community. This land acquisition was funded by the sale of bonds that were repaid by a special tax levied on properties within the CSA. Bonds were originally set to mature no later than 1995, at which point taxes would no longer be collected for bond repayment . 71 71 Marin County Board of Supervisors, Resolution No. 75-74, March 18, 1975. Marin LAFCo 76 Novato Region Final Draft MSR January 2020 Figure 9-1: CSA No. 1 Boundary and SOI Marin LAFCo 77 Novato Region Final Draft MSR January 2020 Figure 9-2: CSA No. 1 Land Use Marin LAFCo 78 Novato Region Final Draft MSR January 2020 9.3 DISTRICT BOUNDARY AND SPHERE OF INFLUENCE CSA No. 1’s jurisdictional boundary encompasses approximately 503 acres, a portion of which is within the Novato city boundary. The sphere of influence is coterminous. The original boundary encompassed only the Loma Verde neighborhood. In 1974, approximately 100 acres of land, now known as the Loma Verde Preserve, was annexed to the CSA for open space land acquisition and management. At the same time, the open space land was annexed, the original CSA boundary was designated as a CSA improvement district where taxes could be levied for services provided . 72 The Loma Verde neighborhood and elementary school are not part of the City of Novato. However, the surrounding open space is within the City. Land use in and around the CSA is primarily Open Space Low-Density Residential and public facility for the elementary school site. 9.4 MUNICIPAL SERVICES Street Lighting and Maintenance The County contracts with a private landscaping firm that provides services for many different areas in the region. Included in this larger contract is a small portion for landscaping maintenance of Alameda Del Prado in CSA No. 1. From Ignacio Boulevard to Posada Del Sol there is a meridian down Alameda Del Prado with trees, shrubs, and flowering plants that require regular maintenance. A maintenance schedule summary is provided below in Table 9-2. Table 9-2: Summary of Maintenance Frequency for CSA No. 1 Maintenance Activity y lk e y lh t n y lr e t r a y ll a u n n A y ll a u n d e d e e N e W o M u Q iB - n A s A Irrigation (Mar-Oct) X Fertilization X Pruning X Pest/Weed Control X Litter/Trash Removal X X Curb and Gutter Cleaning X Irrigation System Inspection (Apr-Oct) X There are approximately 101 street lights in CSA No. 1 maintained as part of the Marin County Street Light network through a county contract with DC Electric that is funded and administered by the Marin General Service Authority. The original contract was entered into in August 2015 and is renewed annually. Under this contract, lights are replaced every five years or more 72 Marin County Board of Supervisors, Resolution No. 74-129, May 7, 1974. Marin LAFCo 79 Novato Region Final Draft MSR January 2020 frequently as needed. Other street maintenance is overseen by the County Department of Public Works. Recreation (Open Space Acquisition) Loma Verde Preserve is south of the Loma Verde neighborhood. The preserve covers the northeast slope of Big Rock Ridge and offers dog-friendly hiking and horseback riding. It can be accessed at several points in CSA No. 1 including Pebble Beach Drive, Winged Foot Drive, Via Escondida, and Posada Del Sol. Many other footpaths also lead off of neighborhood streets into the preserve. As discussed previously, the preserve was purchased with bond funds through CSA No. 1. It is approximately 100 acres in size and adjoins Ignacio Valley, Pacheco Valle, and Marinwood to provide large contiguous open space access for area residents. The Marin County Department of Parks and Open Space now manages the Loma Verde preserve as part of its open space system. A map of the preserve and connecting trails is provided in Figure 9-3. Figure 9-3: Loma Verde Open Space Preserve Map73 73 Marin County Department of Parks and Open Space, Loma Verde Preserve Map, February 27, 2019. Marin LAFCo 80 Novato Region Final Draft MSR January 2020 9.5 ORGANIZATIONAL STRUCTURE Board of Directors CSA No. 1 was formed as a dependent special district with the Marin County Board of Supervisors as its governing body. The five county supervisors are elected to four-year terms of office with no term limits. Government Code Section (25212) grants the Board of Supervisors rights and powers to administer service areas. The Board of Supervisors meets the second and fourth Tuesday every month at 9:00 a.m. in the County of Marin Civic Building located at 3501 Civic Center Drive, Suite 329 in San Rafael. A current listing of members along with respective backgrounds can be found below in Table 9-3. Table 9-3: County of Marin Board of Supervisors Member Position Experience Term Damon Connolly Supervisor Government Expires January 2023 (District 1) Katie Rice Vice-President Government Expires January 2021 (District 2) Kate Sears President Attorney Expires January 2022 (District 3) Dennis Rodoni 2nd Vice-President Construction Expires January 2021 (District 4) Judy Arnold Supervisor Government Expires January 2023 (District 5) Staffing and District Operations As a dependent special district of the County, all administrative services are provided by county departments, including legal counsel and compilation of financial transaction reports for the State Controller’s Office required under Government Code Section (53891). District projects are overseen by county senior and principal engineers. CSA No. 1 is primarily managed by the Department of Public Works which oversees the street lighting contract which is primarily held by the Marin General Services Authority. The Department of Parks and Open Space manages the meridian maintenance contract and the open space is managed as part of the county’s broader open space program. Marin LAFCo 81 Novato Region Final Draft MSR January 2020 9.6 ACCOUNTABILITY AND TRANSPARENCY Meetings and Agendas The Board of Supervisors meeting agendas, minutes, and recordings can be found online on the Marin County website. Board documents such as resolutions and ordinances can also be found on the Board of Supervisors page of Marin County’s website. Annual Budget Review The County of Marin contracts with an independent financial auditor, Clifton Larson Allen, to conduct an annual financial report. CSA No. 1 is included in the report under the Budgetary Comparison Schedule for County Service Areas Fund. The latest audit was prepared for the year ending June 30, 2018. Every year the County Department of Public Works develops a CSA budget and presents it to the Board of Supervisors for review and approval. It is based on prior years’ expenses and anticipated upcoming fiscal year infrastructure upgrades and maintenance costs. 9.7 FINANCIAL OVERVIEW CSA No. 1 is funded through a portion of the ad valorem property tax for properties served. Properties taxed are those within the original CSA boundary which was designated an improvement district of the CSA in 1974 . The taxes collected are solely for meridian 74 maintenance. The open space portion of the CSA receives funding and management through the County Department of Parks and Open Space. Street lighting is funded by the Marin General Services Authority. Maintenance of the Alameda Del Prado meridian costs the CSA approximately $982 per month ($11,784 per year) depending on monthly service activities. This is a small portion of the approximately $26,433 monthly County landscaping contract . All other CSA activities are 75 funded by other county sources including the Marin General Services Authority and the Marin County Department of Parks and Open Space. This allows the CSA to grow and maintain a healthy fund balance that can be used for emergency repairs or other unforeseen costs as needed. 74 Marin County Board of Supervisors, Resolution No. 74-129, May 7, 1974. 75 Gardeners’ Guild, County of Marin – Parks, Open Spaces & Cultural Services Landscape Maintenance, May 2019 Invoice. Marin LAFCo 82 Novato Region Final Draft MSR January 2020 Table 9-4: CSA No. 1 Financial Summary Revenues FY 2016-17 FY 2017-18 FY 2018-19 Actuals Estimated Adopted Budget Current Secured Property Tax $41,519 $43,276 $34,136 Use of Money and Property $1,566 $3,474 $261 Intergovernmental Revenues $197 $196 $205 Total Revenues $43,282 $46,946 $34,602 Expenditures FY 2016-17 FY 2017-18 FY 2018-19 Actuals Estimated Adopted Budget Services and Supplies $1,016 $3,120 $70,500 Interfund Expense $7,298 $7,497 $7,080 Total Expenditures $8,314 $10,617 $77,580 Net Total $34,968 $36,329 ($42,978) Fund Balance (Start of FY)76 $274,532 $309,521 $345,851 Sustainability Local agencies play a critical role in protecting natural resources and the environment through land conservation, water recycling, preserving open space, and renewable energy projects. CSA No. 1 provides ample open space for community residents to enjoy and utilizes water-efficient landscaping to reduce municipal water consumption. In addition, street lights were updated to LED lights in 2011 to decrease CSA and county energy usage. 76 Frost, Michael – Department of Public Works, Personal Communication, June 25, 2019. Marin LAFCo 83 Novato Region Final Draft MSR January 2020 10.0 COUNTY SERVICE AREA NO. 20 (INDIAN VALLEY) 10.1 OVERVIEW CSA No. 20 is located in the southwest Novato region and provides open space-related services. It encompasses over 7 square miles of both incorporated and unincorporated territory that includes the Indian Valley and Ignacio Valley Open Space Preserves which are managed by the Marin County Department of Parks and Open Space. The CSA conducts special projects in open space areas within the CSA boundary. This includes improved trails, access, and wildland fire prevention measures for the Marin County Club and Indian Valley communities. Table 10-1: CSA No. 20 Overview CSA No. 20 – Indian Valley Primary Contact Jim Chayka, Superintendent Marin County Parks Phone (415) 473-3639 Office Location: Marin County Parks, 3501 Civic Center Drive, #260, San Rafael, CA 94903 Formation Date 1974 Services Provided Parks and Recreation (Open Space Services) Service Area 4,620 acres (7.2 miles) 10.2 FORMATION AND DEVELOPMENT CSA No. 20 was formed by Board Resolution 74-371 in November 1974. The types of services designated by the Board at the time of formation were “Local park and recreation facilities and services”. The CSA was partially funded by a bond in 1975 for the acquisition of 1,300 acres. The bonds were scheduled to be paid in full by 1995 . 77 10.3 DISTRICT BOUNDARY AND SPHERE OF INFLUENCE CSA No. 20’s jurisdictional boundary encompasses 4,620 acres of land. Portions of the CSA are within the City of Novato boundary and subject to the City’s Zoning. The sphere of influence is coterminous. Primary land use designations in the CSA area are Open Space, Low-Density Residential, Conservation, and Agriculture with some Community Facilities and Planned Residential. The CSA boundary surrounds the College of Marin – Indian Valley Campus off of Ignacio Boulevard which is also the main access point for much of the open space. Additional access points include Indian Valley Road to the north and Fairway Drive to the south. 77 Marin County Board of Supervisors, Resolution 75-143, May 13, 1975. Marin LAFCo 84 Novato Region Final Draft MSR January 2020 Figure 10-1: CSA No. 20 Boundary and SOI Marin LAFCo 85 Novato Region Final Draft MSR January 2020 Figure 10-2: CSA No. 20 Land Use Marin LAFCo 86 Novato Region Final Draft MSR January 2020 10.4 MUNICIPAL SERVICES Parks and Recreation CSA No. 20 provides access to open space near the communities of Indian Valley and Marin County Club. The two open space preserves in the CSA, Indian Valley and Ignacio Valley, are managed as part of the larger Marin County open space system. Open space activities include biking, hiking, fishing, and horseback riding. A map of the open space area is shown in Figure 10-3. Figure 10-3: Indian Valley and Ignacio Valley Open Space Trail Map78 Funds collected by the CSA are primarily used to conduct special projects within the CSA area at the direction of the Advisory Board and for the benefit of the communities adjacent to the preserves. Completed projects include decommissioning of illegal trails and fencing of sensitive habitats . Recently the CSA has been looking at funding for re-alignment of Indian Valley Fire 79 Road . However, due to rising wildland fire concerns, the CSA is now looking at funding fire 80 fuel reduction including removing brush, downed trees, and dead or dying trees. 78 Marin County Department of Parks and Open Space, June 27, 2017. 79 CSA 20 Advisory Board, Meeting Minutes for April 13, 2015. 80 CSA 20 Advisory Board, Draft Meeting Minutes for September 11, 2017. Marin LAFCo 87 Novato Region Final Draft MSR January 2020 10.5 ORGANIZATIONAL STRUCTURE Board of Directors CSA No. 20 was formed as a dependent special district with the Marin County Board of Supervisors as its governing body. A list of the current Board of Supervisors can be found in Section 8.6. Advisory Board CSA No. 20 is guided by a five-member Advisory Board that meets at least once per year. Members of this board are appointed to two-year terms by the County Board of Supervisors. Current members of the advisory board are provided below in Table 10-3. The Advisory Board meets to review budget items and planned projects for the upcoming year. They also provide input to county staff and provide recommendations to the County Board of Supervisors. Table 10-2: CSA No. 20 Advisory Board Members Member Position Term Rodney Bosche Advisor 10-17-19 Gary Frugoli Advisor 09-12-19 Jonathan Gasson Advisor 10-31-19 R. Craig Knowlton Advisor 10-17-19 Ron Witzel Advisor 02-13-20 Staffing and District Operations As a dependent special district of the County, all CSA functions are provided by county departments, including legal counsel and compilation of financial transaction reports for the State Controller’s Office required under Government Code Section (53891). The CSA is primarily administrated by Marin County Department of Parks and Open Space and specific CSA projects are overseen by county senior and principal engineers. 10.6 ACCOUNTABILITY AND TRANSPARENCY Meetings and Agendas Meeting agendas, minutes, and handouts can be found on the Marin County Parks webpage under CSA No. 20 Advisory Board. Annual Budget Review CSA No. 20 includes draft budgets as a hyperlink on the meeting agenda webpage. These draft budgets are excerpts from the County’s MUNIS system. The CSA is also included in the County’s annual financial audit under Budgetary Comparison Schedule County Service Areas Fund. The most recent audit was conducted for the year ending June 30, 2018. Marin LAFCo 88 Novato Region Final Draft MSR January 2020 10.7 FINANCIAL OVERVIEW CSA No. 20 is funded through a portion of the ad valorem property tax from properties within the CSA boundary. There is no other CSA funding and expenses are limited to administration costs in most years except for when special projects, such as improving trails and fuel reduction measures, are approved by the Advisory Board. A summary of the CSA’s annual finances is provided in Table 10-5 below. Special projects for the CSA are funded out of the reserve balance built up for the CSA. As of September 2018, the total fund balance for CSA No. 20 was $160,745.02. Trail realignment was scheduled for FY 2018-19 which was approved at $100,000. However, these activities were paused due to new direction from the Advisory Board. The fund balance will instead be carried over and utilized to fund fuel reduction projects in the area . 81 Table 10-3: CSA No. 20 Financial Summary Revenues FY 2016-17 FY 2017-18 FY 2018-19 Actuals Adopted Budget Adopted Budget Current Secured Property Tax $12,119 $12,611 $12,511 Use of Money and Property $657 $1,446 $200 Intergovernmental Revenues $58 $58 $30 Total Revenues $12,834 $14,115 $12,741 Expenditures FY 2016-17 FY 2017-18 FY 2018-19 Actuals Adopted Budget Adopted Budget Services and Supplies $0 $0 $100,000 Capital Assets $0 $0 $0 Interfund Expense $84 $84 $0 Total Expenditures $84 $84 $100,000 Net Total $12,750 $14,031 ($87,259) 10.8 SUSTAINABILITY CSA No. 20 is primarily composed of open space lands that connect to other Marin County Department of Parks and Open Space preserves and public lands. Warmer temperatures and longer drought periods increase the potential for wildfires in these areas that may threaten structures in the CSA. Currently planned fuel reduction projects will help decrease wildfire potential and provide better protection for CSA residents 81 Jim Chayka, Marin County Department of Parks and Open Space, Personal Communication, June 13, 2019. Marin LAFCo 89 Novato Region Final Draft MSR January 2020 11.0 COUNTY SERVICE AREA NO. 25 (MOUNT BURDELL PARK AND OPEN SPACE) 11.1 OVERVIEW County Service Area No. 25 (CSA No. 25) is a dependent, single-purpose special district organized to provide park and open space services pursuant to County Service Area Law (California Government Code Section 25210 et seq.). CSA No. 25 was formed in 1975 to fund tacquisition and preservation of the Mount Burdell area. This area, identified in the Marin County Parks and Open Space Strategic Plan, is an important land conservation area and a major element of a proposed greenbelt extending from Rush Creek wetlands to Stafford Lake Park. Since its formation, the Marin Open Space District, now a part of Marin County Department of Parks, has managed the Mount Burdell Preserve. CSA No. 25 currently provides no services and has no budget, fund balance, funding sources, or expenditures. As such, CSA No. 25 is considered inactive. Table 11-1: CSA No. 25 Overview CSA No. 25 – Mount Burdell Park and Open Space Primary Contact Jim Chayka, Superintendent Marin County Parks Phone (415) 473-3795 Email: jchayka@marincounty.org Office Location: 3501 Civic Center Drive, Suite 260 San Rafael, CA 94903 Formation Date 1975 Services Provided Inactive 11.2 FORMATION AND DEVELOPMENT CSA No. 25 was formed in July 1975 by Board Resolution 75-224 as a means to raise funds for the purchase of several properties around Mount Burdell. The types of services authorized at its formation were local park and recreation facilities and services. The property purchase funded by the CSA included Exxon, Great Western, Nunes, and Exeter Equity holdings around Mount Burdell. Acquisition of the properties took place from 1976 to 1978 with the last property, Exeter, being purchased in February 1978 . Purchase was funded by bond sales in the amount of 82 $700,000 for the acquisition of the 1,266 acres and sale of land banked property as discussed below. Upon acquisition of the properties, the land was immediately conveyed to the Marin County Open Space District . 83 82 Marin County Department of Public Works, Board of Supervisors Memorandum Re: Joint CSA #25/ Open Space District Purchase of Exeter Equities Property – Mt. Burdell, February 9, 1978. 83 Marin County Open Space District, Joint Powers Agreement with County Service Area No. 25, January 18, 1977. Marin LAFCo 90 Novato Region Final Draft MSR January 2020 Figure 11-1: CSA No. 25 District Boundary Marin LAFCo 91 Novato Region Final Draft MSR January 2020 A portion of the Exxon property, approximately 49 acres, was to be used for land banking. This property was sold to private enterprise for development purposes to help offset the cost of the total land purchase for CSA No. 25. Sale of land was expected to total no less than $250,000. Any excess funds from the sale of this property, which occurred in 1977, was to be used to offset the purchase of additional land, primarily the Exeter property, around Mount Burdell . 84 11.3 DISTRICT BOUNDARY AND SPHERE OF INFLUENCE CSA No. 25 was originally established with a boundary encompassing approximately 3,535 acres around Mount Burdell as shown in Figure 11-1. This includes the bond purchase area of 1,266 acres and additional land to the northeast which is now a portion of Olompali State Park. 11.4 MUNICIPAL SERVICES As discussed previously, CSA No. 25 was formed primarily as a funding mechanism to purchase open space parcels. In January 1977 the Marin County Open Space District and CSA No. 25 entered into a Joint Power Agreement which identified the funding commitments, ownership, and management functions for each participating agency. As part of the agreement, all lands purchased by the CSA were immediately conveyed to and managed by the Open Space District. Additionally, the Open Space District was to consult with the CSA Advisory Board on land stewardship activities . 85 11.5 ORGANIZATIONAL STRUCTURE As a dependent special district, the Marin County Board of Supervisors serves as the CSA’s governing body. The five-member Board of Supervisors meets the second and fourth Tuesday every month at 9:00 a.m. in the County of Marin Civic Building located at 3501 Civic Center Drive, Suite 260 in San Rafael. Upon the CSA’s formation, an Advisory Board was created to consult with the Open Space District. However, that board has since been disbanded and there is no currently active Advisory Board. CSA functions would be carried out by various county departments, however, as mentioned previously, CSA No. 25 currently provides no services and is currently inactive. 11.6 FINANCIAL OVERVIEW Currently, CSA No. 25 provides no services and has no funding, no expenditures, and no fund balance. Marin County does not prepare an annual budget for this CSA. Originally, revenues generated from property taxes were used to pay off a $700,000 general obligation bond that was used to acquire several properties for open space. Following the bond repayment, which was scheduled to be completed by 1997 , the CSA no longer has an operating budget and has since 86 been inactive. 84 Ibid, 3. 85 Ibid, 4. 86 Marin County Board of Supervisors, Resolution No. 77-40, February 1, 1977. Marin LAFCo 92 Novato Region Final Draft MSR January 2020 11.7 GOVERNANCE STRUCTURE OPTIONS In 2017, Senate Bill 448 (Weickowski) was passed to streamline the process for LAFCos to dissolve inactive special districts. The new legislation requires the State Controller’s Office to create a list of inactive districts annually and to notify applicable LAFCos in which the inactive special districts are located. In accordance with Government Code (G.C.) Section 56879, the Commission must adopt a resolution initiating dissolution of inactive districts meeting the above definition within 90 days of notice from the State Controller’s Office. Following the adoption of the resolution, the Commission must then hold a public hearing on the dissolution within an additional 90 days. Unless evidence is provided that qualifies the district as being active, the Commission must dissolve the district. An inactive district is defined as a district that meets all the following criteria as set forth in G.C. Section 56042, as follows: a) The special district is as defined in Government Code Section 56036, which specifies a special district as “an agency of the state, formed for general law or special act, for the local performance of governmental or proprietary functions...” b) The special district has no financial transactions in the previous fiscal year. c) The special district has no assets and liabilities. d) The special district has no outstanding debts, judgements, litigation, contracts, liens, or claims. CSA No. 25 meets the above criteria but has not yet been listed by the State Controller as inactive. Based on the County Auditor’s Office determination that CSA 25 is inactive, LAFCo, in coordination with the County and the State Controller’s Office, should take the appropriate steps to dissolve the district pursuant to G.C. Section 56879. Further, because CSA No. 25 has no assets, liabilities, outstanding debts, judgments, contracts or claims, there is no need to designate a successor agency for the district. Marin LAFCo 93 Novato Region Final Draft MSR January 2020 APPENDIX A NOVATO REGIONAL MSR – REFERENCES CITED • Marin Map Viewer, County Unincorporated Zoning. https://www.marinmap.org/Html5Viewer/Index.html?viewer=smmdataviewer • Marin County Black Point Community Plan. July 26, 2016. https://www.marincounty.org/depts/cd/divisions/planning/black-point • Marin County. 2016 Green Point Community Plan. Adopted by the Marin County Board of Supervisors on July 26, 2016. https://www.marincounty.org/depts/cd/divisions/planning/black-point • Marin LAFCo. Novato Regional Municipal Service Review. September 2007. https://www.marinlafco.org/municipal-servi-ce-review-and-sphere-of-influence-update- reports • City of Novato Adopted Budget 2018/19. https://novato.org/government/finance/city- budget • U.S. Census Bureau, Population Division. Annual Estimates of the Resident Population: April 1, 2010 to July 1, 2018. https://factfinder.census.gov/faces/nav/jsf/pages/community_facts.xhtml?src=bkmk • U.S. Census Bureau, 2013-2017 American Community Survey 5-Year Estimates. https://factfinder.census.gov/faces/nav/jsf/pages/community_facts.xhtml?src=bkmk • United States Census Bureau. Quickfacts City of Novato. Population estimates, July 1, 2018. - https://www.census.gov/quickfacts/fact/table/novatocitycalifornia,US/PST045218 • City of Novato. Draft General Plan 2035. August 2016. https://novato.org/government/community-development/general-plan-update • City of Novato. General Plan 2035 Policy White Paper, Urban Growth Boundary. April 14, 2014. https://novato.org/home/showdocument?id=11898 • City of Novato website. Police Department “About Us” page. Accessed July 3, 2019. https://novato.org/government/police-department/about-us • City of Novato Comprehensive Annual Financial Report for the Year Ended June 30, 2017. https://novato.org/government/finance • Marin County Board of Supervisors, Meeting Minutes October 5, 1925, Minute Book pg. 80. https://pav.marincounty.org/publicaccessbosrecords/api/Document/Abdxbrh6arAWpOCy y3HS1wu1P6N%C3%891A4%C3%89k0D5GvpSPIVutw5rC9XyTT0RpiN3zsTy9DrsI0t jb37MDqL0svcK1Zk%3D/ Marin LAFCo 94 Novato Region Final Draft MSR January 2020 • 2018 Annual Operations and Maintenance Report for the Novato Sanitary District, Veolia Water West Operating Services, Inc., March 2019. http://www.novatosan.com/assets/uploads/documents/treatment- plant/Novato%20WWTP%202018%20Veolia%20Annual%20Report%20-%202019-04- 09.pdf • Novato Sanitary District, Sewer system Management Plan, August 2018. http://www.novatosan.com/assets/uploads/documents/planning-and- facilities/Final_SSMP-2018.pdf • North Bay Water Reuse Program, Project Descriptions. http://www.nbwra.org/project- descriptions/ • North Bay Water Reuse Program, Program Overview – Summer 2015. http://www.nbwra.org/wp/wp-content/uploads/NBWRA-Program-Overview-Summer- 2105.pdf • 2018 Annual Operations and Maintenance Report for the Novato Sanitary District, Veolia Water West Operating Services, Inc., March 2019. http://www.novatosan.com/assets/uploads/documents/treatment- plant/Novato%20WWTP%202018%20Veolia%20Annual%20Report%20-%202019-04- 09.pdf • Amended and Restated Agreement Between Novato Sanitary District and Novato Disposal Service, Inc. for Solid Waste Collection, Processing, Diversion and Disposal, March 2011. http://www.novatosan.com/assets/uploads/documents/solid- waste/2011_Franchise_Agreement.pdf • Recology Sonoma-Marin. Novato Sanitary District – Rates. Effective January 1, 2019. https://www.recology.com/recology-sonoma-marin/novato/rates/ • Novato Sanitary District, Board of Directors Meeting Packet, June 10, 2019. http://www.novatosan.com/assets/docs/board/collateral/Full_packet_June_10_2019.pdf • Novato Sanitary District Comprehensive Annual Financial Report FY 2017-18 and FY 2016-17. http://www.novatosan.com/assets/uploads/documents/finance/NSD%20CAFR%20and%2 0Audit%20-%202017-2018%20and%202016-2017.pdf • Novato Sanitary District, Capital Improvement Program Committee Agenda Packet, May 31, 2018. http://www.novatosan.com/assets/docs/board/collateral/05312018_CIP_Packet.pdf • Novato Sanitary Wastewater Facilities Upgrade Project PowerPoint Presentation, July 2010. http://www.novatosan.com/assets/uploads/documents/solid- waste/Wastewater%20Proj%20Update%20NSD.pptx Marin LAFCo 95 Novato Region Final Draft MSR January 2020 • United States Environmental Protection Agency, Energy and the Environment, Greenhouse Gas Equivalencies Calculator. https://www.epa.gov/energy/greenhouse-gas- equivalencies-calculator • Novato Fire Protection District Website. “Historical Timeline”. https://www.novatofire.org/about-us/history/historical-timeline • Marin County Board of Supervisors, Regular Meeting Minutes, July 7, 1926. https://pav.marincounty.org/publicaccessbosrecords/api/Document/AYMrM9BGq90uFE OR2czsIAzihmiNAbB636fhDPXRiJsUchr5ozIUddj4KhF9n%C3%81UinFoDAcv1aZVJ WH0FgpY35o0%3D/ • Novato Fire Protection District, Comprehensive Annual financial Report for the Year Ended June 30, 2018. https://www.novatofire.org/about-us/district- documents/finance/comprehensive-annual-financial-report • Novato Fire Protection District, Popular Annual Financial Report, Fiscal Year Ended June 30, 2018. https://www.novatofire.org/home/showdocument?id=8606 • EMG, Facility Condition Assessment of - Administration Building, Fire Station 61, Fire Station 62, Fire Station 63, Fire Station 65, 2014. No URL available, document may be viewed at Marin LAFCo Offices. • Chief Bill Tyler, Personal Communication, June 5, 2019. • Novato Fire Protection District, NFPD Fire Policy Manual, Policy 704. No URL available, document may be viewed at Marin LAFCo Offices. • County Line Mutual Threat Zone Between Marin County Fire Department, Novato Fire Protection District, Sonoma County Fire Department, and California Department of Forestry and Fire Protection, June 2018. No URL available, document may be viewed at Marin LAFCo Offices. • Marin County Fire Chiefs Mutual Aid Agreement, Draft May 28, 2019. No URL available, document may be viewed at Marin LAFCo Offices. • NFPD Fire Policy Manual, Policy 223, Board of Directors. https://www.novatofire.org/home/showdocument?id=4136 • County of Marin, Elections Department, Past Elections Results and Information. https://www.marincounty.org/depts/rv/election-info/past-elections?tabnum=10 • Marin LAFCo, Periodic Update – Adopted Spheres of Influence for Cities and Special Districts in the Novato Area, September 28, 2007. https://www.marinlafco.org/files/55c0d701e/Novato+Service+Review+and+Sphere+of+I nfluence+Update+-+5+Year+Review+-+September+2007+%28PDF%29.pdf • Novato Fire Protection District, Annual Budget 2018-2019. https://www.novatofire.org/about-us/district-documents/finance/annual-budget Marin LAFCo 96 Novato Region Final Draft MSR January 2020 • Cheiron, MCERA Actuarial Valuation Report as of June 30, 2018. https://www.novatofire.org/home/showdocument?id=8808 • Marin County Fire Department and FIRESafe Marin, Community Wildfire Protection Plan, July 2016, Appendix D. https://www.firesafemarin.org/cwpp • Marin County Board of Supervisors, Resolution 6981, October 24, 1961. https://pav.marincounty.org/publicaccessbosrecords/api/Document/AXkXUc%C3%814a mwL3Gz9gEkOZ0pHyE1JxirCKhXEAteUeH2RSGGKrP3c5EwWFgZloALeaLEz6A8i Q3I8rxJbtMHb7XU%3D/ • Marin County Board of Supervisors, Resolution 6980, October 24, 1961. https://pav.marincounty.org/publicaccessbosrecords/api/Document/ATdd5jqFfyZ3yXKW GtoAxbHnAxguxdl%C3%81i2nt%C3%81nVstAsHcpQsoChLHCpIo0zKhJF43N8XEK XJsHJ4HlrAkighs2U%3D/ • California State Coastal Conservancy, Projects, San Francisco Bay Area. https://scc.ca.gov/projects/san-francisco-bay/ • Personal Communication, Noemi Camargo-Martinez – District Manager, June 3, 2019 and June 19, 2019. • CLE Engineering, Novato Creek Condition Hydrographic Survey- October 2017, January 5, 2018. No URL available, document may be viewed at Marin LAFCo Offices. • US Army Corps of Engineers, San Francisco District, SPN-2006-22397N Bel Marin Keys Maintenance Dredging, June 9, 2017. https://www.spn.usace.army.mil/Missions/Regulatory/Public- Notices/Article/1205480/spn-2006-22397n-bel-marin-keys-maintenance-dredging/ • County of Marin, Past Elections Results and Information, November 6, 2012, Ballot Measure A. https://www.marincounty.org/- /media/files/departments/rv/elections/past/2012/nov-2012/ballot-measures/measurea.pdf • County of Marin, Past Elections Results and Information, November 6, 2001, Ballot Measure D, E, and F. https://www.marincounty.org/depts/rv/election-info/past- elections?tabnum=11 • County of Marin, Department of Finance, Property Tax Bill Tax Roll Year 2017-18. https://apps.marincounty.org/TaxBillOnline • Marin County Board of Supervisors, Resolution No. 75-74, March 18, 1975. https://pav.marincounty.org/publicaccessbosrecords/api/Document/AcHqYoDf4jL0jee6V dBBsHpBWtJJ4s2FsalxD8NVMsBDwTGxt5cTlgrURBUTmADlIVtBgN9fB%C3%89FI R6RDq9CS3rw%3D/ • Marin County Board of Supervisors, Resolution No. 74-129, May 7, 1974. https://pav.marincounty.org/publicaccessbosrecords/api/Document/Aen1nwKIHnzz6C6E f4S9XkQgxCRvLGF7L5qkg%C3%89r9zdcSRHYkX5VsspOFaqw33nozZKa6F7iS8Nqi 27UMsuuVI2s%3D/ Marin LAFCo 97 Novato Region Final Draft MSR January 2020 • Marin County Department of Parks and Open Space, Loma Verde Preserve Map, February 27, 2019. https://www.marincountyparks.org/- /media/images/sites/marincountyparks/parkspreserves/preserves/loma- verde/pdf_map_lucasvalley_pachecovalle_lomaverde_ignaciovalley_20190227-(003).pdf • Frost, Michael – Department of Public Works, Personal Communication, June 25, 2019. • Gardeners’ Guild, County of Marin – Parks, Open Spaces & Cultural Services Landscape Maintenance, May 2019 Invoice. • Marin County Board of Supervisors, Resolution 75-143, May 13, 1975. https://pav.marincounty.org/publicaccessbosrecords/api/Document/Aa9AEe5PN2ugZSA hRZP0Wd88eE2pJEYaCd06%C3%81iKV7eW4JTer4DonhQ79y4DOGpFt8%C3%81W U8TKfY%C3%898tXDNevN2LLFo%3D/ • Indian Valley and Ignacio Valley Open Space Preserves Map. Marin County Department of Parks and Open Space, June 27, 2017. https://www.marincountyparks.org/- /media/images/sites/marincountyparks/parkspreserves/preserves/indian- valley/10_indianvalley-062717w.pdf • CSA 20 Advisory Board, Meeting Minutes for April 13, 2015. https://www.marincountyparks.org/~/media/files/departments/pk/about-us/agendas- minutes/2015/csa-20/15_04_13_csa20_minutes.pdf?la=en. • CSA 20 Advisory Board, Draft Meeting Minutes for September 11, 2017. No URL available, document may be viewed at Marin LAFCo Offices. • Jim Chayka, Marin County Department of Parks and Open Space, Personal Communication, June 13, 2019. • Marin County Department of Public Works, Board of Supervisors Memorandum Re: Joint CSA #25/ Open Space District Purchase of Exeter Equities Property – Mt. Burdell, February 9, 1978. No URL available, document may be viewed at Marin LAFCo Offices. • Marin County Open Space District, Joint Powers Agreement with County Service Area No. 25, January 18, 1977. No URL available, document may be viewed at Marin LAFCo Offices. • Marin County Board of Supervisors, Resolution No. 77-40, February 1, 1977. https://pav.marincounty.org/publicaccessbosrecords/api/Document/AR0W1q57X4WFEh dVsqqegIMNKTN2SJ5FkA6Vo5Dywi8FGH%C3%8957ivKdadUOu1vA68BMPEmbFx mMygHaku21kw%C3%89Q2A%3D/ Marin LAFCo 98 Novato Region Final Draft MSR January 2020