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1 f ll� • ANALYSIS Annexation Issues The proposed annexation is within the adopted Sphere of Influence for the City of Manteca and is an unincorporated island surrounded by the City of Manteca. The proposal therefore, is being processed as an "island annexation" under the following criteria contained in Section 56375.3(b) of the Local Government Reorganization Act: 1. Size Restriction The annexation area cannot exceed 150 acres. This proposal is to annex 89 acres. 2. Island The territory must constitute an entire unincorporated island located within the limits of a city. This proposal actually consists of two unincorporated islands surrounded on all sides by the current City Limit. (Refer to Exhibit C) 3. Surrounded The territory must be surrounded (or substantially surrounded) by the city to which annexation is proposed. Such is the case. (Refer to Exhibit A) 4. Developed The annexing territory must be substantially developed or developing. Such is the case, as the annexation area is developed as rural residential, light industrial, and commercial uses. Two parcels have been identified as 'vacant.' 5. Prime Agricultural Land The annexing territory cannot be prime agricultural land. The Soil Conservation Service classifies the subject property as Delhi-Urban land complex. The Delhi soil is suited to irrigated row, field, orchard and vineyard crops. Because of its location within the Manteca urban area, this soil type is not classified as Prime Farmland. 6. Benefits The annexing territory will receive benefits from the annexation or is receiving benefits from the annexing city. Such is the case as specified in the City Service Plan. (Refer to Exhibit E) Police and fire protection will be available upon annexation. Street improvements, water, sewer, and storm drainage services will become available as the area redevelops. Because the annexation area meets the criteria specified above, and because the proposal was initiated by a Resolution of Application from the affected city, the Commission must approve the annexation and must waive the protest provisions. Property Tax Sharing Property tax would be shared in accordance with the recently approved Master City-County Agreement. Because neither the City nor the County requested a separate property tax agreement pursuant to Section 56375.3(b)(3)(D) of the Government Code, the master agreement remains in effect. The annexed territory would assume the outstanding bond debt of the City, if any. LAFC 10-05 06-17-05 Page 2 of 62