11 - Refund of Sanitary Assessment Overpayment- 2990 Airway Avenue Costa Mesa Sanitary District
…an Independent Special District
Protecting our community’s health and the environment by providing solid waste and sewer collection services.
www.cmsdca.gov
Memorandum
To: Board of Directors
Via: Scott Carroll, General Manager
From: Anna Sanchez, Administrative Service Manager
Date: June 27, 2013
Subject: Refund of Sanitary Assessment Overpayment - 2990 Airway Avenue
Summary
The sanitary assessment charged on parcel number 427 -161 -15 , 2990 Airway Avenue ,
Costa Mesa has been incorrectly calculated based on the square footage for this industrial
zoned property . The land area square footage was mistakenly used to calculate the
assessment charge instead of the building square footage.
Staff Recommendation
In accordance with District Operations Code and State Law, s t a ff recommends the Board
of Directors approve a refund for the previous year assessment 201 2 -1 3 in the amount of
$4,509.75 .
Analysis
Attached is a request to the CMSD Board of Directors to refund erroneously calculated
sanitary assessment fees charged on assessor’s parcel number 427 -161 -15 , using the
land area square footage instead of the building area square footage for this industrial
zoned property . The property owner has been in contact with staff regarding issuing a
refund of overpayments. The property owner has provided his request in writing for the
Board to consider a refund, including annual interest accrual, which is attached, hereto.
The District’s policy for refunds as stated in Chapter 9.02 of the Operations Code states:
“For all claims for refunds for sewer or trash service for which a special rule (set forth below)
does not apply, refund procedures and time limitations will be governed by the Tort Claims
Act (Government Code Section 900 et seq.) including, but not limited to, the requirements
ITEM NO. 11
Board of Directors
June 27 , 2013
Page 2 of 3
that the claimant present a written req uest for a refund from the Board within one year of the
accrual of the cause of action. Refunds will be allowed if the
claimant's request satisfies the procedures of the Tort Claims Act and if the claimant
establishes that his or her claim is meritorious .
(b) For amounts "paid under protest", refunds may be allowed for up to four years
provided that the procedures of the Health and Safety Code and Revenue and taxation Code
were followed. (See Health and Safety Code Section 5472; Revenue and Taxation Co de
Sections 5097 and 5140 et seq.)
(c) Persons who have paid sewer service fees but who have received no service
and have not been connected to the District's system shall be eligible for a refund depending
on when the fees were collected as follows:
(1) If the fees were collected before January 1, 1992, there is no statute of
limitations and the claimant may submit a claim for such amount that he can prove that he
paid and for which he received no service.
(2) If the fees were paid after January 1, 1992, a claim must have been filed within
180 days of the date of the payment.”
Strategic Plan Element & Goal
This item complies with the objective and strategy of Strategic Element 5.0., Administrative
Management , whi ch states:
“Objective: To create, maintain and implement policies and procedures to ensure sound
management of the District.”
“Strategy: We will conduct periodic reviews, refine and implement policies and
procedures, and assure the General Manager has the direction and tools necessary for
successful District operations.”
Legal Review
District Counsel concurs that the 201 2 /201 3 sanitary assessment should be refunded.
District Counsel opines that since the statute of limitations ran on previous years, r efunds
of overpayments for years prior to 201 2 /201 3 could constitute a gift of public funds and
should not be issued.
Financial Review
The refund for p rop er ty tax year 2012/13 in the amount of $4,509.75 has been prepared to
be sent to the County. The tax roll will be corrected with the appropriate square footage
moving forward.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the
June 27, 2013 Board of Directors regular meeting at Dis trict headquarters and on District’s
website.
Board of Directors
June 27, 2013
Page 3 of 3
Alternative Actions
1. Direct staff to report back with more information
Reviewed by:
Marc Davis
Acting Accounting Manager
Attachment A : Letter Dated May 30, 2013 from Ms. Monica Rios on behalf of the
property owner, E.C. Alsenz/ Land Associates Trust