How is an underground utility assessment district formed?
Under Proposition 218, a majority of property owners that will benefit from the proposed improvements must vote in favor of forming the district. The process begins when property owners submit a letter of interest to the City. After City staff and the utility companies perform some preliminary work, a bond counsel is retained and a petition, which includes a cost estimate, is circulated among the local property owners. If at least 60 percent of the property owners express interest, the process continues and an Engineers Report is created. This report is important because it includes the assessment amount the share of the improvement costs that each property owner would pay. A ballot is prepared and mailed to each property owner who then votes for or against forming the district.
