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Council moves annual Landscaping and Lighting District assessments to public hearing after debate over $14,840 legal bill

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Summary

City staff presented updated engineer reports for five LLMDs and disclosed $14,840 in legal fees related to report revisions; council moved the matter to a July public hearing after residents and some council members questioned whether consultants should bear cleanup costs and how assessments should be apportioned.

The Escalon City Council opened the annual introduction for five Landscaping and Lighting Maintenance Districts (LLMDs), reviewed updated engineer reports prepared by Harris & Associates and voted to move the item to a public hearing on July 21 for formal adoption.

Staff explained the reports were revised to correct verbiage and update actuals; the changes prompted legal review and $14,840 in legal fees, billed at $380 per hour, which staff said were incurred to resolve procedural and noticing questions and to ensure the reports complied with applicable law. The legal fees were allocated across the LLMDs in the engineer's report.

Council members and multiple residents challenged whether those legal costs should be borne by LLMD property owners, with several urging the city to pursue reimbursement or cost responsibility from Harris & Associates for what speakers called an inadequate initial report. Council discussion included proposals to consider splitting costs, to bill proportionally by each district’s budget, or to seek alternative funding so residents with small LLMD balances would not bear the entire cost.

Staff said the fees included review of noticing and procedural steps required for the assessments and that the city previously allowed lapses in some collections, which reduced fund balances. Staff provided figures: the “new” proposed assessments total about $187,000 (an increase of roughly $15,645 over current levels) and staff noted Sunrise LLMD had just $1,366 cash on hand and that Bellaterra’s replacement fund was lower than target levels. Council members flagged that certain projected capital replacement figures (for masonry walls and fences) appear large and differ from some members’ expectations about likely maintenance needs.

Public speakers and council members requested more detailed invoices and that Harris & Associates or its contract terms be reviewed to determine responsibility for errors. Several council members asked staff to pursue whether other funds could absorb the onetime legal charge or whether the allocation could be spread differently; others noted legal constraints and the principle that LLMD-related costs are typically borne by the district. Staff said detailed invoices for the legal charges are available and that the item will return for adoption at the July 21 meeting.

By voice vote the council approved a motion to proceed to the July public hearing (vote recorded as 3-2). The July hearing will include the finalized engineers reports, a detailed budget and the council’s formal vote on assessment levels.