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council shall adopt an annual budget for the district in accordance with the provisions of this article. Section 13-187 Recordation. Upon levying the initial and any annual assessment as ~)rovided in this article, the city council shall direct the clerk to execute and record in the office of the county recorder, pursuant to the provisions of Streets and Highways Code Section 3114, the required assessment diagram and notice of assessment in substantially the form described in Section 3114 of the California Streets and Highways Code. The notice of assessment shall state the duration of the assessment. The assessment shall be a lien on the land upon which it is levied. This lien shall be paramount to all other liens, except prior assessments and taxes. Section 13-188 Adoption of annual district budget--Engineer's report.. Annual levy procedures. After formation of the district, the district budget shall be established annually by the city council, which may be done as a part of the regular budget approval process for the city as a whole. Where the maintenance services to.be provided are not anticipated to change in any substantial manner during an upcomin, g year, the city council may establish a multi-year budget and assessment and, in such case shall specify any reporting and other obligations imposed as conditions to allowing a multi-year budget and assessment. For the purpose of adoption of the annual district budget, the engineer shall annually prepare and file with the clerk a report containing the information specified in Section 13-180 of this article. In the event .that the city council accepts the report as submitted, or as modified, the city council shall take one of the following two actions: A. If the city council does not intend to increase the assessment, other than as permitted for inflation adjustment pursuant to Section 13-181 of this article, the city council may by resolution adopt the budget and levy the assessment for the fiscal year or years covered by the engineer's report. Adoption of this resolution shall constitute the levy of the confirmed assessment, and the clerk shall follow the procedures specified in Section 13-187 of this article. B. If the city council does intend to increase the assessment, all of the procedures specified in Sections 13-183 through 13-186 of this article shall apply and be followed. Upon completion of those procedures, if a majority protest does not exist, the city council may by resolution adopt the budget and levy the assessment for the fiscal year or years covered by the engineer's report. Adoption of this resolution shall constitute the levy of the confirmed assessment, and the clerk shall follow the procedures specified in Section 13-187 of this article. Ordinance No. NS-2526 Page 8 of 12