
By Sara Beth Williams–
The Citrus Heights City Council directed staff to move forward with an annexation work plan on Aug. 13, which is the first step toward exploring the potential annexation of a small five-and-a-half-acre section of unincorporated Sacramento County located on the border of Citrus Heights.
The city proposed to the council on Aug. 13 the annexation of a section of commercial and residential areas located at the corner of Madison Avenue and Fair Oaks Boulevard that is located just outside Citrus Heights in Fair Oaks, an unincorporated part of Sacramento County.
During an initial study where the city spent months looking into whether annexing several sections of the city would be financially feasible, the city found in 2022 that annexing would result in negative financial impacts to the city. In a staff report, the city said annexing the small section at Fair Oaks Boulevard and Madison Avenue was originally found to result in negative financial impact due to the required service upgrades needed for the signals at the intersection.
Since the original study took place, Sacramento County has approved a major modernization plan for Madison Avenue, which includes upgrading signal infrastructure and repaving sections of the main thoroughfare, including a section located in Citrus Heights between San Juan Avenue and Fair Oaks Boulevard. Citrus Heights General Services Director Regina Cave said in a previous interview with The Sentinel that the city will be working in cooperation with Sacramento County and that the project is expected to begin sometime in 2026.
A new cost estimate suggests that the city could see a neutral or positive financial impact if the portion of unincorporated Sacramento County was annexed following completed upgrades to the corner.
“Annexing this corner would ‘square off’ the city’s boundaries and potentially allow the city greater control over the Fair Oaks Boulevard and Madison Avenue intersection, a significant gateway and activity node,” city staff said.
In preparation for a hypothetical annexation, the city drafted a letter that conveys the city’s intent to explore “the level of interest” for annexation among property and business owners on the corner in question.
The letter lays out the benefits of annexation, including enhanced local services such as quicker response times for police, code enforcement, and emergency services; access to city resources and programs that support business development and property improvements; more direct representation and influence on local policies through the City Council; streamlined permitting and zoning processes; and opportunities for infrastructure improvements and streetscape enhancements.
The letter is one of the first steps in the process. During the Aug. 13 meeting, Community Development Director Casey Kempenaar said the city plans to send out the letter to three property owners who own five parcels, then host an in-person meeting with owners, and bring back feedback from the meeting to the council at a later date.
Citrus Heights Mayor Jayna Karpinski–Costa suggested that the city begin the process of a Municipal Services Review (MSR) now rather than later, because of the lengthy time it takes to complete. An MSR is a comprehensive study that evaluates how municipal services are being provided in a given area, and whether those services can adequately support potential changes in jurisdictional boundaries.
Citrus Heights City Manager Ash Feeney said in response that the cost of doing an MSR was high and that sending a letter proactively to business owners who may be potentially impacted will help the city gauge the level of interest before the city pays for an MSR.
The City Council gave the green light to move forward with the Annexation work plan presented and favored including the Finance Committee in any future property owner meeting.
In order for an annexation to take place, all those in the unincorporated area must vote in favor of being annexed into Citrus Heights.