(First published at 6:00 AM September 13, 2010) In what appears to be a full court press against the premature and partial annexation of Tesoro del Valle proposed by the City of Santa Clarita, the Tesoro HOA board is striking back. As of this publishing, the Tesoro HAO board has set up a website, www.no2annexation.com, and will unveil banners in their community against the premature annexation attempt as well as delivering the following letter to over a thousand homes in the Tesoro community:  

September 13, 2010

Dear Mayor Weste and Council Members:

This correspondence concerns the premature attempt by the City of Santa Clarita to annex a portion of Tesoro del Valle, a 1795 acre master planned community. Annexation at this time is opposed by Tesoro’s Board of Directors as untimely and very disruptive to community improvements, on which the Board is working, the orderly build out of the remainder of the community and governance of Tesoro. We do not challenge the merits of annexation – only the timing. Note that three of the five members of Tesoro’s Board of Directors are homeowners and live in the community.

Background

Recognizing the need to more closely monitor surrounding development, the Association’s Board of Directors formed a Land Use Committee in late 2008. In addition to reviewing a proposed adjacent church project, landscape and hardscape improvements and access to an adjacent apartment complex, the committee’s charter includes interface with Montalvo, the developer of Tesoro, on the build out plans for Tesoro Planning Areas “B” and “C” plus study of governance options including potential annexation by the City of Santa Clarita.

In the Spring of 2009, as a board member and committee delegate, current Board President, Rick Ryan, went to the City of Santa Clarita to talk to its staff about the prospects for Tesoro becoming a part of the City and a potential pre-annexation agreement. The City did not reasonably respond to that request. We were also aware of a City-County study of governance options which included annexation as well as formation of a new city to incorporate certain residential and commercial projects on the west and northwest sectors of the valley.

The study ultimately concluded that potential annexation of Tesoro into the City would have a negative impact on City finances when the cost of services was compared to projected tax revenue.

In October 2009, responding to our invitation, representatives of the City, County and LAFCO attended a Tesoro community meeting and made presentations on the general benefits of annexation or remaining in the county, as well as the annexation process. A number of Tesoro residents attended.

Mr. Ryan met with City staff again in the Spring of 2010 to gauge interest and pursue further discussions with the City concerning the timing of annexation and a possible pre-annexation agreement. Tesoro again did not receive a satisfactory response from the City of Santa Clarita.

At no time until July 2010 did City representatives disclose the advanced state of their planning to file an annexation application with regulatory authorities that would include portions of Tesoro. We find such actions hasty, at best, or in outright disregard for what is best for Tesoro as well as the leadership of Tesoro.

Community Surveys

In November 2009, a vote was held in conjunction with elections to survey the residents of three unincorporated L.A. County areas, including Tesoro del Valle, to gauge interest in being annexed into the City. Currently, Tesoro del Valle is governed by, and certain municipal services are provided by, the County of Los Angeles. Note that it is the Board’s belief that we are being well served by the County of Los Angeles and that our relationship with the County is providing many benefits to Tesoro.

In any event, there was an advisory vote in November 2009. The residents of Tesoro voted as follows:

   Annexation                                              Votes Cast                     Percent

Registered voters in Tesoro                            1524                                100%

Tesoro voters casting votes                           209                                  13.7%

Prefer annexation                                               158                                  10.4%

Oppose annexation –stay with County        51                                      3.3%

 

In disingenuous testimony before the City’s Planning Commission on July 20, 2010, City staff reported that 83% of Tesoro’s residents voted in favor of annexation. We challenge such statistic as incorrect, actually false if you think a bout it. Only 10.4% of the registered voters in Tesoro voted for annexation.

As another expression of the Tesoro community’s thinking about potential annexation, Tesoro’s Board received input via a questionnaire circulated to the community in late 2009. That survey asked homeowners to prioritize planned enhancements to the community (i.e., hiking trails, center street medians, entry landscape/hardscape improvements, etc.) and sought input on potential annexation. The questionnaire received a high response rate (33.5percent of households), in fact much higher than the number of Tesoro voters in November.

The question about potential annexation noted the following:

Annexation                                                         Surveys                                 Percent                          

Total number of homes in Tesoro                    1077                                      100%             

Total surveys returned                                         361                                      33.5%        

Maybe, it depends                                                 175                                      16.2%  

Yes                                                                               155                                      14.4%              

No                                                                                31                                        2.9%       

Tesoro’s Board considered these two separate community responses and has been gauging community interest at its monthly Board meetings. The Board has received no mandate in support of annexation.

Tesoro’s Board of Directors recently informed the City that Tesoro was not interested in pursuing annexation at this time, preferring instead to wait until the master plan is complete, the final 700 homes built, and several millions of dollars in the planned community amenities and enhancements are completed. Further, the community’s Landscape Committee is engaged with the County in long term planning of landscape and hardscape improvements. The community is currently in year 3 of a 6 year plan, which will add many improvements. Many are already evident, including 1,000 new trees and miles of new 3 rail fencing. Further improvements are at risk if the City prevails at this time.

Moreover, the Land Use Committee is working with Montalvo on final plans for upgrades to the major entry monuments, the construction of raised street medians along Rancho Tesoro Dr. and Avenida Tesoro Dr., walking/hiking trails and upgrades to secondary neighborhood entry monuments. Concurrently, Montalvo is processing through the County of Los Angeles a revised subdivision map and an update of its environmental impact report to secure final County approval of the 700 housing units in Planning Areas “B” and “C.”

Bifurcation of Tesoro Master Planned Community

We also recently learned for the first time that the City wants to annex the currently built out portion of Tesoro –foregoing plans to annex Planning Areas “B” and “C.” Approximately one third of Tesoro could be annexed. Two thirds left in the County. Why?

The City proposes to annex only a portion of Tesoro. To bifurcate our community. To cut it up between the City and the County. Subjecting Tesoro to multiple governing bodies. Seven hundred (700) homes in the County and one thousand seventy seven (1077) in the City. Tesoro was approved, designed and planned to be one master planned community governed by one master HOA. Why would the City take such an unorthodox approach to annexation?

In any event, the Board objects to our community being cut in half for obvious reasons – not just that it is “illogical.” Dividing our master planned community between the City and County will present governance problems that are quite obvious – the reasons for which we cannot fully comprehend.

Current Status of Annexation

The Santa Clarita City Council will potentially soon vote on whether to approve a Planning Commission recommendation to submit an Annexation application (including a general plan amendment, negative environmental impact declaration, pre-zoning designation, etc. for the impacted neighborhoods) to the Local Area Formation Commission (“LAFCO”). Tesoro is not the only opponent to this attempt at premature annexation. In addition to Montalvo and the HOA Board, the City’s action is being opposed by Newhall Land and Farming and at least one local environmental group. All opponents acknowledge that annexation may ultimately occur but challenge the timing of the current attempt.

Should annexation occur prematurely, Tesoro’s Board believes that many of the community amenities and enhancements that are being planned may not be implemented. Certainly disruptions and delays would occur.Governance will undoubtedly be complicated.

Montalvo expects to complete its entitlement in the first quarter of 2011 and, after final engineering of the grading and improvement plans, will be in a position to commence site work, including the planned enhancements to Planning Area “A,” hopefully during the fourth quarter of 2011. Concurrently, Montalvo will be marketing the approved 700 lots to merchant builders.

To delay annexation a few years until community build out and completion of improvements will cause no harm to the City and will benefit Tesoro’s citizens immensely. To force annexation now is potentially a disaster.

Tesoro’s Request

The Board of Directors for Tesoro del Valle’s Master Homeowners Association reasonably requests that the Citypends any and all current attempts to annex a portion of Tesoro del Valle. At the appropriate time, Tesoro’s Board requests that the City then enter into good faith discussions leading to appropriate pre-annexation agreements.

Sincerely,

Tesoro del Valle Master; Homeowners Association

Rick Ryan; President, Board of Directors

cc:   LAFCO                                                                                                                                                                                                        City of Santa Clarita, Sharon Sorenson                                                                                                                                 County of Los Angeles, Rosalind Wayman                                                                                                                        County of Los Angeles, Michael Antonovich, Supervisor, 5thDistrict

This is just another example of how thoroughly messed up Santa Clarita City management is in that they can’t even get the leadership of a community on board with an annexation they are submitting to LAFCO. Just as what happened in the Hasley Hills/Valencia Commerce Center proposed annexation, the City has not been able to build a consensus or fold in a majority of the community and instead has been belligerent in its efforts.   

What’s more amazing is that the Tesoro HOA actually approached and met with City officials to discuss a timeline that would work for the entire community. The City for its part has completely ignored those overtures and instead is spreading misinformation, untruths and distorted facts as it moves forward with an ill-conceived, premature and partial annexation attempt.

The City of Santa Clarita leadership must get out of their ivory tower and needs to start fully engaging the communities it’s interested in. They need to build consensus and start respecting residents in an appropriate manner. This is the Santa Clarita Valley, not the City of Bell or Vernon!!

 This is the flyer that was distributed in the Tesoro del Valle community: