►
Description
San Bruno City Council Meeting May 26, 2020
7. 2020-21 CIP Budget Study Session
B
This
presentation
is
74
slides.
We
will
go
as
expeditiously
as
possible
recognizing
that
it's
9
30,
but
we
do
want
to
do
the
appropriate
articulation
for
council
and
the
public
as
we
get
that
up
the
full
budget
slide
deck
is,
I
don't
know
it's
297
now
and
you
can
thank
your
lovely
finance
department
for
that.
So
we
are
we're
ready,
so
javon
grogan
city
manager
and
keith
demartini.
Our
finance
director
will
take
the
podium
shortly.
B
So
I
want
to
first
off
begin
by
thanking
all
of
the
staff
that
had
a
lot
of
work
in
putting
together
this
proposed
budget
it.
It
was
truly
a
team
effort
with
rounds
and
rounds
of
revisions
and,
unfortunately,
giving
our
fiscal
context
further
reductions
being
proposed,
and
so,
while
it
is
called
the
city
manager's
proposed
budget,
we
do
nothing
alone
and
and
it's
truly
a
team
effort.
So
thank
you,
team,
okay,
so
tonight's
agenda.
We
will.
B
Review
at
a
very,
very
high
level,
the
process
to
develop
the
budget.
We'll
talk
about
the
fiscal
context
that
we
find
ourselves
in.
We
will
then
go
through
the
proposed
general
fund
budget
and
deficit
reduction
strategies
for
the
general
fund.
We
will
then
have
a
high
level
fiscal
condition,
summary
and
general
fund
detail
by
our
finance
director.
We
will
then
go
through
general
fund
financial,
summary,
general
fund
revenues
and
then
revenue
enhancement
strategies
and
then
that
will
close
out
tonight.
B
You
do
not
see
a
detailed
presentation
on
expenditures
there,
because
that
is
for
our
all-day
budget
retreat
with
the
city
council
tomorrow,
our
objectives.
Tonight
we
have
three,
I'm
gonna
go
from,
I'm
gonna
start
from
the
bottom
and
it's
ask
questions.
Yes,
this
is
a
presentation
but
city
council.
This
is
your
budget
deliberations
and
the
budget
is
the
key
to
the
city,
and
we
want
to
make
sure
that
we
provide
you
as
many
answers
that
we
can
tonight
and
throughout
the
rest
of
our
budget
process.
B
So
we
do
have
staff
that
are
paying
attention
to
the
questions
being
asked
and
we
will
answer
those
that
we
can.
We
really
want
to
discuss
the
proposed
strategies,
give
a
high
level
tonight
and
further
detail
later.
When
we
have
our
department
presentations,
we
will
discuss
the
pressures
facing
the
general
fund
and
we
will
sort
of
give
a
summary
of
both
operating
and
capital,
so
budget
development
process.
Why
don't
we
begin
there?
B
Our
vision
for
our
future
is
to
be
the
peninsula
city
of
choice
and
in
order
to
live
in
which
to
live,
learn,
work
shop
and
play
our
values
are
listed
there,
but
integrity
is
number
one:
teamwork,
exemplary
service
to
the
community
friendliness
and
commitment
city
council.
Priority
focus
areas
they're
there
they
are
not
listed
in
priority
area.
B
The
city
council
has
had
a
number
of
meetings
this
year
to
talk
about
priority,
focus
areas
and
strategic
initiatives.
We
have
another
one
coming
up
on
june
4th,
but
the
current
city
council
priority
focus
areas
and
at
your
last
meeting
you
did
confirm
that
these
would
be
your
priority
focus
areas
for
20
20
2021
fiscal
year,
but
that
will
be
finalized
again
on
june
4th.
But
it's
implement
the
vision
for
the
transit
corridor
and
revitalize
downtown
in
our
commercial
quarter,
assure
rehabilitation
and
replacement
of
critical
community
facilities
and
infrastructure
grow.
B
Just
a
quick
highlight
each
year
the
city
manager
delivers
a
proposed
budget
to
the
city
council.
There's
a
robust
set
of
meetings.
The
city
council
does
have
to
adopt
a
balanced
budget,
and
even
though
we
have
a
deficit
this
year,
there
are
a
number
of
budget
balancing
strategies
that
are
proposed
before
you.
As
you
know,
you
receive
quarterly
and
mid-year
updates,
and
we
had
a
number
of
those
we
had
all
of
those
this
year
with
a
number
of
challenges
before
us,
so
initial
instructions
that
are
instructions
that
I
provided
to
our
staff
pre-covet
19.
B
B
The
city
council
will
remember,
you
had
your
annual
retreat
on
february
22nd,
where
you
really
had
an
in-depth
presentation
from
the
departments
and
all
and
everything
that
they
were
working
on
and
got
sort
of
a
underneath,
the
hood
view
of
of
of
the
departments,
and
so
that
will
happen
again
tomorrow.
When
we
have
all
the
departments
present
for
a
presentation
april
21st
we
had
a
study
session
on
strategic
initiatives
and
goals
on
april
24th.
B
But
here's
where
we
are
now
a
a
ton
of
work
has
led
up
to
where
we
are
right
now
and
we
are
really
launching
the
city
council
budget
deliberation
process
and
so
before
you
on
the
screen
are
a
list
of
six
meetings.
Beginning
tonight.
With
our
study
session
on
the
presentation
of
the
proposed
budget
tomorrow,
we
will
have
a
all-day
budget
retreat.
B
That
will
be
like
this
setting
less
than
ideal
and
and
will
be
virtual,
and
so
it
will
be
a
challenge
to
have
the
type
of
robust
engagement
that
that
we
normally
have
when
we
go
through
the
budget
and
have
everybody
in
one
room,
but
that
meeting
will
begin
at
10
a.m.
It
will
be
on
zoom
and
is
a
public
meeting
for
everyone
to
see,
as
is
all
of
these
meetings,
and
so
we
we
anticipate-
and
the
schedule
has
us
going
tomorrow
from
10-
am
to
5
pm
next
on
june
4th.
B
We
then
will
have
a
capital
budget
day,
and
that
is
on
june
11th,
where
we
will
delve
deep
into
the
capital
improvement
budget
capital
improvement
budget.
It's
all
of
our
projects,
not
just
general
fund
projects,
but
sewer
projects,
water
projects,
storm
water
projects.
We
will
talk
not
only
about
the
current
projects
that
are
underway
their
status.
B
B
B
B
B
B
We
have
a
number
of
principal
employers.
These
will
look
very
familiar.
I
will
not
spend
the
time
to
go
through
them
all,
but
we
should
all
know.
Jcpenney's
is
up
there
and
we'll
talk
about
that
right
now.
So,
on
the
left
right
hand
panel
you
have
the
top
25
sales
tax
generators
in
the
city
of
san
bruno
in
alphabetical
order,
not
in
order
of
their
receipts.
B
B
In
addition,
due
to
covet
19,
we
are
projecting
a
18
reduction
in
sales
tax
for
this
coming
budget
year
and
we'll
talk
a
little
bit
about
that,
but
that
has
a
significant,
approximately
a
1.4
million
dollar
impact
on
our
revenue
generation
for
next
fiscal
year.
So
what
is
our
projected
deficit?
So
our
deficit
represents
15
of
expenditures,
which
is
a
significant.
B
B
What
I'll
tell
the
council
and
the
community
is,
that
is
in
line
with
other
cities
in
san
mateo
county
and
what
is
being
projected?
Some
cities
are
projecting
as
high
of
a
66
percent
drop.
The
unique
makeup
of
our
hotels
is
slightly
different
than
our
neighboring
cities
and
we'll
talk
about
that
in
a
little
bit
more
detail,
but
our
best
projection
is
a
40
drop
again.
A
18
drop
in
sales
tax,
a
28
drop
in
our
measure,
g
district
sales
tax,
and
you
may
be
asking
why.
B
Why
is
the
district
sales
tax
dropping
more
than
the
regular
sales
tax?
And
that's
because
it's
a
district
sales
sales
tax
and
it
actually
applies
to
transactions
differently.
The
regular
sales
tax
is
based
on
every
transaction,
that
is,
sales
tax
eligible
pays,
the
base
sales
tax
rate,
but
only
certain
transactions
pay
the
district
sales
tax,
for
example.
If
you
buy
a
car
and
that
car
is
going
to
be
registered
in
san
bruno,
you
pay
our
district
tax.
B
But
if
you
buy
that
car,
even
if
you
buy
that
car
in
san
bruno
but
your
place
of
residence
where
you
register
that
car
will
be
outside
of
san
bruno,
you
do
not
play
pay
that
district
tax.
It's
actually
a
use
and
transactions
tax
and
there's
a
whole
section
of
government
code.
That
explains
what
it
applies
to
and
what
it
doesn't,
but
at
a
top
line.
Summary
it
acts
differently,
but
we
are
projecting
2.9
million
dollars
from
that
revenue
source
where
we
had
been
projecting
more
than
four
million
dollars.
B
Pre-Covet
our
recreation
services
revenues
dropped
52
percent.
Now
that
comes
when
you
look
at
the
totality
of
the
budget
with
a
drop
in
expenditures,
because
we
will
not
be
running
a
number
of
recreation
programs
and
a
28
drop
in
our
senior
programs,
revenue
from
senior
programs.
Again
that
comes
with
an
associated
drop
in
expenditures
and
what
the
council
on
the
public
may
remember.
As
early
during
the
recession,
we
unfortunately
had
to
furlough
approximately
66
part-time
employees
due
to
the
cancellation
of
those
programs,
recreation,
library,
senior
programs
throughout
the
community.
B
Now
we
will
have,
through
tonight's
presentation
and
tomorrow's
workshop,
a
significant
conversation
about
every
fund
that
makes
up
our
fiscal
condition
and
our
our
financial
accounting
system,
but
I
did
in
the
beginning,
want
to
provide
the
city,
council
and
the
community
with
a
highlight
for
what
is
the
condition
of
our
funds
and
so
our
general
fund.
It's
projected
to
have
a
significant
deficit
of
15
percent
and
significant
progress
is
needed
to
obtain
fiscal
sustainability.
B
The
good
news
is
that
we
started
that
project,
but
part
of
our
8.2
million
dollar
deficit
is
covet,
19,
roughly
4
million,
but
roughly
half
is
increasing
in
other
expenditures,
largely
personnel
cost
and
contracts.
And
so
we
have
a
fiscal
sustainability
challenge
here,
and
that
is
reflected
in
that
8.2
million
dollar
shortfall
stormwater.
We
talked
a
little
bit
about
that
in
the
presentation
by
the
lou,
edwards
group
and
god
be
research.
B
Our
stormwater
fund
has
challenges.
It
is
projected
to
go
negative
in
2021
and
the
current
parcel
charges
to
fund
the
city's
stormwater
system
does
not
cover
all
of
the
cost
and
there
are
a
number
of
regulatory
trash
capture
devices
and
diversion
of
trash
to
the
storm
water
programs
that
we
have
to
implement
and
that
is
going
to
require
subsidy
to
the
general
fund
or
additional
parcel
fees.
And
in
addition,
we
have
capital
improvement
projects
that
we
do
not
have
the
ability
to
fund
out
of
the
stormwater
fund.
B
One
of
them
is
on
spyglass,
where
we
have
a
a
pinch
point
in
our
storm
water
network
and
we've
had
prior
flooding
and
that
project
is
being
designed
and
the
estimated
cost
of
that
project
is
1.5
million
dollars
and
we
do
not
have
sufficient
funds
in
that
stormwater
fund
to
cover
that,
and
so
we
will
be
looking
toward
other
general
funds
or
sources
to
fund
that.
But
it's
a
needed
improvement.
B
There
are
an
insufficient
amount
of
annual
set-asides
to
which
means
that
we
do
not
always
have
the
full
amount
set
aside
when
that
vehicle
or
that
equipment
needs
to
be
replaced,
and
so
a
subsidy
is
required
either
pulling
money
out
of
that
fund
additional
money
that
was
allocated
for
other
equipment
or
vehicles,
or
it
requires
a
subsidy
from
the
general
fund,
and
so
we
need
healthier
replacement
funds,
our
insurance
reserve
fund.
We
will
talk
about
in
significant
detail
tomorrow.
B
There
is
approximately
5
million
dollars
in
that
fund,
and
we
know
that
our
facil
our
needed
facility
improvements
today
far
exceed
that.
If
we
only
look
to
fire
station
52
that
has
a
estimated
replacement
cost
of
10
million
dollars,
you
can
see
that
we
do
not
have
enough
accumulated
in
that
fund
and
and
that
there
are
significant
improvements
needed
to
that
building,
as
well
as
a
number
of
of
our
other
facilities
city
net.
We've
talked
a
lot
about
that
and
we
will
continue
to
talk
a
lot
about
that.
B
Even
though
we've
made
substantial
progress
this
year
to
essentially
stop
digging
the
the
hole
in
the
annual
operating
budget,
there
is
still
a
projected
hole
in
in
1920
that
is
proposed
to
be
rectified
in
2021,
but
the
long
longer
term.
Success
of
that
enterprise
really
hinges
on
the
fiber
to
the
home
project
in
a
14
million
dollar
investment,
a
13
million
investment
for
that
project.
B
Available
cash
to
meet
the
policy
target
because
of
the
fiber
to
the
home
loan,
and
so
our
reserve
funds
are
challenged.
We've
talked
a
lot
about
that.
We'll
have
a
number
of
slides
on
that
and
it
does
pose
a
challenge
in
times
like
this,
where
we
would
ordinarily
be
relying
heavily
on
our
reserve
funds
and,
as
some
of
you
may
be
hearing
the
strategies
that
other
cities
are
implementing
to
resolve
their
shortfall,
they're
really
looking
towards
their
reserve
funds,
because
they
have
those
rainy
day
funds.
B
Unfortunately,
we
have
limited
available
cash
due
to
the
city
net
services
loan.
A
couple
of
bright
sides
in
our
financial
condition
are
the
water
fund
and
the
wastewater
fund.
Those
are
stable
and
sustainable,
largely
because
this
city
council
took
the
action
to
adopt
the
five-year
rate
increases
due
to
the
deferred
maintenance
in
our
of
our
water
and
sewer
infrastructure,
and
we
have
seen
those
projects
all
across
the
community
and
we
we
talked
about
those
at
a
prior
meeting
and
then
measure
g.
The
voter
approved
measure
is,
is
an
amazing.
B
I
want
to
provide
a
couple
other
context,
slides
for
this.
This
slide
provides
a
comparison
of
our
general
fund
revenue
to
a
few
other
cities
in
the
county
and
there's
a
lot
of
data
here.
But
the
main
point
on
this
slide
is
every
city
is
unique
and
we
how
this
economic
recession
is
affecting
us
is
different.
Then
it's
going
to
affect
burlingame,
for
example,
because
one
of
the
things
we
see
on
this
slide
is
burlingame
has
a
larger
share
of
their
general
fund
revenue.
B
Just
about
40
percent
on
transient
occupancy
tax.
Ours
is
significantly
less,
and
other
cities
have
a
higher
share
of
property
tax.
Ours
is
significantly
less,
and
so
I
wanted
to
show
this
just
because
community
people
in
the
community
may
be
seeing
the
how
other
cities
are
addressing
their
fiscal
challenge,
but
it
really,
you
really
have
to
take
a
deeper
look
and
see
what
is
their
revenue
base
and
how
is
the
reduction?
Having
an
impact
on
on
their
general
fund
next
slide
shows
per
capita.
B
Important
point
here
is
that,
on
a
per
capita
basis,
san
bruno
brings
in
less
revenue
significantly
less
compared
to
a
number
of
our
peer
cities
in
the
county.
In
in
this
presentation
sec.
The
lowest
only
only
second
to
daley
city,
and
so
that
that's
part
of
our
fiscal
context,
that's
part
of
our
reality
that
per
capita
revenue
generation
in
san
bruno
is
less
than
our
peer
cities
in
the
county.
B
It
was
not
a
joyous
thing
to
put
together
the
proposed
budget
that
is
before
you
and
the
task
that
you
have
is
a
challenging
one
and
know
that
I
and
the
entire
executive
team
recognizes
that,
and
so
there
are
difficult
decisions
to
resolve
our
fiscal
challenge.
This
year,
defunding
a
lot
of
capital
improvement
projects
where
we
have
had
money
to
set
aside
for
capital
improvement
projects
due
to
our
fiscal
condition.
B
B
There
are
a
number
of
service
level
reductions
that
we'll
talk
about,
there's
a
limited
use
of
our
reserves
because
of
the
limited
available
cash
in
our
reserves
and,
again
we'll
we'll
talk
in
detail
about
that
we're
reducing
set-asides
for
equipment
replacements
again,
remember.
I
said
that
we
actually
need
to
increase
our
set-asides
for
equipment
replacement.
B
B
This
the
city
of
san
bruno,
has
not
recovered
from
a
staffing
perspective
since
the
the
the
great
recession
and
not
having
a
position,
has
a
significant
impact
on
on
services
and
we'll
talk
about
those.
There
is
one
personnel
reduction
of
a
field
position,
a
senior
code
enforcement
officer
in
in
this
proposed
budget.
B
We
are
also
recommending
the
use
of
measure
g
to
delay
and
delaying
some
road
improvements
really
to
avoid
future
service
and
personnel
reductions
really
due
to
the
significant
fiscal
context
we
find
ourselves
in
this
year
with
four
million
dollars
of
that
deficit
being
generated
by
covet
19.,
and
then
we
are
postponing
progress
on
needed
enhancements
and
unmet
needs.
So
what
are
we
doing
about
it?
B
So
the
good
news
is
that
we
launched
the
fiscal
sustainability
project
as
the
council
and
members
in
the
community
that
have
been
paying
attention
to
some
of
these
presentations
and
we've
taken
a
number
of
steps.
Last
year,
a
lot
of
work
around
measure
g,
but
also
other
revenue,
expenditure
controls
and
a
number
of
changes
to
renegotiate
contracts.
B
We've
talked
about
those
and
all
the
wonderful
work
that
the
city
net
department
did
to
renegotiate
significant
contracts,
a
number
of
the
internal
controls
and
cost-saving
measures
that
were
led
by
our
finance
director
that
we
talked
about
in
our
prior
presentations.
Again,
I
don't
want
to
go
through
all
that,
but
this
is
important
to
note
that
we
are
not
beginning
the
rule
to
fiscal
sustainability.
B
B
So
the
next
thing,
fiscal
sustainability,
a
core
component-
is
growing
our
revenue
base
that
should
not
be
confused
with
increased
taxes
or
should
not
be
looked
at
as
growing.
The
city's
revenue
bases
means
that
we
are
only
looking
toward
increasing
taxes
and
fees.
Economic
development
is
critical,
as
we
all
know,
and
one
of
the
core
city
council,
priority
focus
areas,
is
implementation
of
the
transit
quarters
plan
and
economic
development
and
that
equals
growing
our
revenue
base,
and
I,
I
think,
we've
all
said
a
number
of
times.
B
We
really
have
to
grow
ourselves
out
of
this
problem.
We
unfortunately
can't
just
cut
ourselves
out
of
this
problem
or
tax.
Our
way
out
of
this
problem,
we
have
to
grow
grow
our
way
out
of
this
problem,
and
the
good
news
is
that
we
have
significant
development
potential
and
so
the
community
and
economic
development
director
darcy
smith
tomorrow
we'll
go
through
some
of
these
projects
in
detail.
B
But
I
wanted
to
provide
a
few
of
them
on
the
on
the
screen
here.
Just
so,
the
city,
council
and
the
community
can
see
that
there
are
a
number
of
projects
in
the
development
pipeline.
Some
have
been
approved
and
are
under
construction,
for
example,
the
skyline
residential
project,
30
single
family
homes
and
40
multifamily
teacher
housing
units
or
skyline
college
faculty
housing
units
glen
view
terrace,
is
in
the
the
entitlement
process.
Mills
park
will
be
before
you.
B
B
We
have
the
bay
hill
specific
plan
and
youtube's
request
for
an
additional
2
million
square
feet
of
office
space,
a
significant
project
that
has
been
going
forward
and
we
are
scheduling
a
study
session
to
talk
about
that
community
benefit
package,
and
then
we
have
tan
fran
and
sears.
That
has
been
undergoing
a
significant
effort
to
look
at
revitalization
and
we
we
know
that
sears
closed,
but
we
did
have.
B
We
have
been
in
communications
with
cerritage
the
company
that
manages
it's
the
reit
real
estate,
investment,
trust
that
manages
that
property
and
and
they
will
be
coming
forward
with
their
reuse
plan.
And
lastly,
on
this
slide
we
have
1000
san
mateo
avenue.
That
was
just
before
the
city
council
a
few
meetings
ago,
wanting
to
place
a
measure
on
the
november
ballot
to
increase
the
height
above.
The
three
stories
that
is
limited
under
ordinance,
1284
for
a
potential
large
reuse
of
of
that
property.
B
In
addition,
there
are
a
number
of
projects
in
south
san
francisco
that
are
projected
to
that
are
going
through
various
stages
of
the
development
pipeline.
There's
the
south
line
project
for
over
2.5
million
square
feet
of
office
space.
There
is
the
project
at
410
north
avenue,
just
behind
lowe's,
it's
the
old
century,
cedar
theater
site.
B
So
let's
talk
about
the
proposed
general
fund
budget
and
the
deficit
reduction
strategies.
All
in
we
are
a
180
million
dollar
organization
on
an
annual
basis,
that
is
all
funds
sewer
water,
general
fund.
Our
general
fund
budget,
as
I
mentioned,
is
49
million.
We
have
265,
ftes
and
active
and
proposed
capital
projects,
102.
B
budget
challenges
that
are
before
us.
Some
of
these
we've
touched
on
but
of
course,
covet
19.
A
significant
backlog
of
deferred
maintenance
projects,
rising
personnel
costs,
health
insurance,
pension
costs.
We'll
we'll
talk
about
that
today,
we
have
our
collective
bargaining
groups,
expiring.
All
of
our
bargaining
groups.
Will
contracts
will
expire
at
the
end
of
this
year,
so
at
december
31st
2020.
In
addition,
we
have
two
contracts
that
have
expired
and
we
are
negotiating
those.
B
We
have
our
city
net
department,
stormwater
needed
personnel,
investment,
I.t
infrastructure
pressures
on
the
general
fund,
so
revenues
are
45.2
million
expenditures
53.4
that
accounts
for
the
8.2
million
dollar
general
fund
deficit.
Let's
step
through
these
again,
I
went
over
these
in
a
prior
slide,
but
these
are
the
revenue
drops.
I
won't
talk
about
them
again.
B
B
We
are
an
organization
of
people
that
provide
services
and-
and
that
statistic
is
typical
for
municipal
agencies
like
like
ourselves
and
built
into
this
2021
budget
is
900
000
of
increased
calpers
pension
cost
that
is
spread
out
over
the
bi-weekly
payroll,
and
we
will
have
a
number
of
charts
and
graphs
on
that
increase.
Health
benefit
cost
and
only
minor
increases
in
supplies
or
contracts.
Frankly,
that
were
absolutely
necessary,
and
in
some
some
of
our
subsequent
round
of
analysis,
we
reduced
a
number
of
line
items
within
the
budget.
B
B
B
B
We
are
proposing
to
defund
the
senior
center
parking
lot,
improvements
and
research
alternative
funding
sources
that
is
92
000.
We
hope
to
utilize
funds
within
the
senior
center
bequest
fund.
So
currently
there
is
a
hundred
balance,
fifty
thousand
dollars
in
the
senior
center
bequest
fund,
and
so
we
will
be
bringing
that
project
back
at
a
later
date
with
a
recommendation
to
use
the
bequest
funds,
and
we
want
to
take
that
to
the
senior
advisory
board.
B
That
is
not
meeting
at
this
time,
but
that
is
a
very
needed
improvement
that
we
had
planned
to
fund
with
general
fund
resources
that
now
we
are
looking
to
use
those
bequest
funds
and
for
the
community.
Those
bequest
funds
are
donated
to
the
san
bruno
senior
center
by
users
of
the
senior
center
that
include
the
senior
center
in
their
will,
and
so
the
the
total
in
that
fund
right
now
is
750
thousand
dollars,
and
we
have.
B
We
were
actually
just
notified
by
a
trustee
of
another
donation,
and
so
we
it's
a
normal
process
that
that
the
city
goes
through.
In
working
with
the
senior
center
and
the
the
families
that
represent
the
will
or
the
trustee,
we
are
defunding
a
crestmoor
slope
stability
project,
as
we
all
know
that
there
there
was
a
slide
along
san
bruno
avenue
that
needed
to
be
fixed
immediately.
B
B
Reducing
the
scope
of
the
florida
avenue
park
project
by
900
000,
we
talked
a
little
bit
about
that
earlier,
but
the
plan
there
is
to
seek
grant
funding
for
that
project,
but
also
leaving
sufficient
funds
in
that
project
to
fund
the
45
thousand
dollars
to
finalize
the
plan.
So
we
do
have
shovel
ready
plans
that
we
can
use
in
our
grant
submittals
and
also
having
the
funds
necessary
to
install
irrigation
seed
the
park
and
return
it
to
the
community
as
a
open
grass
area.
B
B
Personnel
impacts,
so
these
total
over
1.9
million
dollars.
I
will
step
through
them
at
a
high
level.
You
will
have
count
city
council
before
you,
the
police,
chief,
the
fire
chief
and
all
the
department
heads
tomorrow
to
give
you
an
in-depth
presentation
on
the
impacts
of
all
these
reductions
in
their
department.
B
We
are.
We
currently
have
one
field
position,
but
with
freezing
these
vacant
officer
positions
there
is
a
sort
of
scale
down
effect
in
order
to
meet
minimum
staffings.
It
also
means
that
we
will
adjust
how
we
serve
tanfran
mall,
and
the
officers
that
are
assigned
to
tanfran
will
also
be
responsible
for
patrol
duties
as
well.
B
Freezing
to
vacant
firefighter
positions
that
accounts
for
a
little
over
seven,
three
hundred
and
fifty
thousand
dollars
to
freeze
those
vacant
firefighter
positions.
We
will
be
able
to
meet
minimum
staffings,
but,
as
is
the
case
today,
without
those
positions,
there
is
a
challenge
to
meet
accommodate
requests
for
sick
time
injuries,
and
we
we
essentially
have
to
use
overtime
because
we
do
not
have
those
positions
and,
and
so
they're
currently
vacant.
B
B
Our
public
works
department,
one
civil
engineer
position,
a
savings
of
155
000,
a
community
economic
development.
Two
positions
council
will
recall
that
these
two
positions
were
recommended
for
funding
last
fiscal
year.
Unfortunately,
due
to
budget
and
financial
challenges,
they
were
not
budgeted
for
the
full
year,
but
budgeted
to
come
online
in
january
of
2020..
B
They
were
not
filled
when
covet
19
came
upon
us,
and
so
we
are
recommending
that
those
two
positions
be
held
vacant.
It's
a
total
of
just
just
under
a
237
thousand
dollars
for
both
of
those
positions:
city
net,
not
general
fund,
but
holding
a
vacant
technician
position
of
117
000
and
the
reduction
of
one
senior
code
enforcement
officer
of
158
000
council
will
remember
that
we
recently
increased
staffing
in
that
unit
from
two
code
enforcement
officers
to
three
code
enforcement
officers,
and
this
will
be
returning
to
that
prior
staffing
level.
B
A
number
of
changes
are
reduced
in
the
police
department
for
reducing
operating
expenses.
This
is
reducing
backgrounds
because
we're
holding
those
positions,
positions,
vacant,
breach,
kits
emergency
equipment
uniforms
for
for
our
swat
personnel
because
they
purchase
uniforms
last
year,
and
so
we
we
will
not
need
that
minor
allocation.
But
it's
a
total
budgetary
savings
of
eighty
thousand
dollars
in
the
fire
department.
B
Next
up
is
a
category
that
amounts
to
two
just
under
three
million
dollars
of
projected
strategies,
and
these
are
what
we
call
fund
transfers.
So
it's
transferring
money
that
was
in
the
general
fund
or
was
budgeted
to
be
expended
from
from
the
general
fund
to
another
fund.
The
first
item
is
again
in
the
police
department.
Two
hundred
thousand
dollars
to
use
equitable
sharing
funds
also
again
called
asset
forfeiture
to
fund
the
the
position.
B
The
police
officer
position
that
is
assigned
to
the
dea
airport
task
force
that
that
position
does
really
really
really
important
work,
working
in
collaboration
with
not
just
the
airport
but
other
regional
agencies,
and
we
do
receive
asset
forfeiture
funds
from
that.
We
currently
have
a
balance
of
just
under
a
million
dollars
in
in
that
account,
and
we
are
projecting
to
use
those
funds
for
a
number
of
items
in
this
budget.
B
200
000
for
this
item
increase
money
for
cops
about
a
hundred
thousand
dollars
for
a
cops
grant
to
be
used
to
offset
general
fund
costs,
transferring
gas
tax
that
can
be
used
for
operating
expenditures
in
in
the
streets
program
by
a
hundred
thousand
again.
The
use
of
measure
g,
two
million
dollars
of
the
2.9
million,
that
we
are
projecting
to
receive
this
year
and
utilizing
just
under
six
hundred
thousand
000
of
our
reserve.
B
B
We
know
that
a
number
of
people
in
the
community
use
the
pool
and
we're
looking
for
at
least
some
use
before
it
closed
for
the
season,
but
unfortunately,
due
to
financial
challenges
that
is
not
included
in
the
budget
after
school
programs
are
not
included
in
the
budget
and
the
subsidy.
For
that
program.
B
The
plan
was
not
to
allocate
measure
g
funds
through
this
budget
process.
The
plan
was
always
to
establish
the
measure
g
over
oversight
committee,
that
is,
advisory
to
the
city
council
and
plan
out
a
list
of
rural
projects
and
other
important
needs
to
the
community.
Unfortunately,
covet
19
has
changed
everything
and
we
are
recommending
delaying
those
expenditures
due
to
the
need
to
avoid
cuts
to
public
safety
and
and
our
our
park
programs,
as
well
as
park,
maintenance
programs,
and
so
it
is
two
million
of
the
2.9.
B
We
believe
I
believe
that
our
fiscal
condition
warrants
it,
and
it's
before
the
budget
before
you
tonight
in
the
proposed
budget,
we
have
significant
deficit
reduction
strategies
that
have
that
have
been
identified,
so
we
we
can
adopt
a
balanced
budget.
It
will
be
tough.
There
are
no
easy
decisions
again.
Our
fiscal
sustainability
project
has
already
been
started
and
we
talked
about
the
development
pipeline.
B
The
bad
news
is
too
many
of
the
funds
are
going
in
the
wrong
direction
and
we
have
declining
fund
balances
and
there
are
also
many
unfunded
priorities.
We
have
our
deficit
in
our
city
net
department
and
we
have
our
storm
water
deficit
again.
That
is
unable
to
meet
the
needs
of
that
fund,
nor
the
needs
of
the
capital
improvement
projects
for
those
funds
and-
and
we
have
challenges
with
our
collective
bargaining
that
is
set
to
begin
with
our
contracts
that
are
expiring.
B
C
So
let
me
start
with
some
additional
slides
to
complement
the
city
manager's
slides
into
the
city's
fiscal
conditions,
staff
conducted
an
assessment
to
sort
of
evaluate
where
we
are
in
the
current
fiscal
year,
leading
up
to
the
proposed
2021
budget
cycle
and
as
the
city
manager
mentioned
in
regards
to
the
general
fund,
this
box.
On
the
left-hand
side,
there
is
a
significant
deficit
that
represents
about
15
percent
of
the
annual
operating
budget
staff,
has
identified
and
has
folded
in
the
budget
balancing
strategies
in
the
proposed
budget.
C
As
well.
City
manager
talked
about
our
reserves.
We
will
likely
meet
all
of
our
reserve
targets
by
the
end
of
this
current
fiscal
year.
However,
in
the
fiscal
year
2021
budget,
we
will
likely
be
falling
short
on
most
of
the
of
the
general
fund
reserves,
primarily
due
to
the
transfer
from
the
reserve
into
the
general
fund
to
meet
the
balanced
budget.
C
But
it's
important
to
note
here
that
the
most
significant
strain
on
the
city's
reserves
has
been
and
will
continue
to
be,
the
loan
from
the
city
net
services
department
due
to
the
reduction
of
available
cash
that
we
have
to
meet
those
reserves
and
the
city
manager
talked
a
lot
about
measure
g
already
so
I'll.
Just
go
on
to
the
next
slide.
C
Slide
summarizes
the
fiscal
condition
for
the
four
enterprise
funds.
The
water
and
the
wastewater
funds
are
healthy
fiscally.
They
have
adequate
reserves
on
hand,
primarily
from
the
rate
increases
that
the
council
approved
a
few
years
ago,
and
there
are
adequate
balances
that
the
city
is
currently
investing
in
a
very
robust
capital
improvement
program
in
both
of
those
areas.
C
The
stormwater
fund,
however,
has
its
challenges.
The
annual
property
tax
assessment
on
property
owners
for
for
most
properties
in
san
bernardino
is
about
46
a
year
that
falls
short
of
funding,
not
only
the
required
operating
expenses
for
the
enterprise,
but
it
it's
not
enough
to
cover
any
capital
improvements
in
the
city's
stormwater
system,
and
so
there
is
a
need
to
identify
additional
funding
to
continue
to
meet
our
stormwater
needs
and
then
also
with
the
city
net
services
department.
C
As
the
city
manager
mentioned,
we
are
meeting
our
reserve
targets
for
internal
service
departments.
However,
there
continues
to
be
inadequate
funding
available
for
vehicles
and
equipment
purchases
due
to
the
budget,
balancing
strategy
that
the
council
agreed
to
take
in
the
current
fiscal
year
and
that
staff
is
proposing
to
continue
to
take
in
the
2021
budget
cycle,
which
is
to
not
fund
our
equipment
reserve
at
all
in
the
night
within
this
current
year
and
into
the
following
fiscal
year.
So
the
the
net
effect
of
that
is.
C
Our
equipment
reserve
continues
to
not
have
adequate
resources
to
cover
eventual
equipment
and
vehicle
replacements.
Our
self-insurance
fund,
the
city
manager,
spoke
about
that
as
well
as
far
as
our
capital
improvement
program.
Again,
we
are
moving
forward
on
our
on
our
robust
water
and
wastewater
programs,
primarily
due
to
leveraging
the
debt
that
the
city
issued
back
in
2017
to
expedite
many
of
those
projects,
but
there
continues
to
be
many
unfunded
or
underfunded
priority
projects
that
staff
will
detail
in
the
upcoming
study
sessions
with
you
in
the
next
few
weeks.
C
So
with
that,
I
want
to
spend
some
time
focusing
on
the
general
fund
and
particularly
on
the
revenues.
I
want
to
first
focus
and
explain
how
we
present
our
five-year
financial
forecast,
and
it's
just
really
important
that
we
continue
to
do
this
last
year
was
the
first
year
that
the
city
implemented
a
long-range
financial
forecast
for
all
of
its
major
funds.
It's
a
government
best
practice.
C
So
this
graph
here
shows
you
in
the
blue,
the
blue,
gra,
the
blue
columns.
What
the
projected
ending
fund
balance
will
be
is
projected
to
be
in
the
general
fund
for
the
upcoming
five-year
financial
for
forecast
planning
cycle
and
the
dotted
black
line
shows
you
the
projected
expenditures
and
the
green
line
shows
you
the
revenues.
C
Overall
general
funds
summary
in
the
quarter,
three
financial
update
report
that
staff
delivered
to
you
at
the
last
city
council
meeting.
We
articulated
that
we
project
the
ending
fund
balance
in
the
current
fiscal
year
fiscal
year,
1920
to
be
about
1.5
million
dollars
again
that
meets
the
reserve
target
in
the
city's
reserve
policy.
C
Here,
these
pie
charts
should
be
familiar.
We
present
these
at
every
quarterly
financial
update.
Again,
most
of
our
revenues
do
come
from
taxes
which
I'll
walk
through
each
one.
In
a
little
bit
of
detail
in
the
next
few
slides
and
a
majority
of
our
general
fund
sources
go
to
pay
for
the
public
safety
function,
primarily
police
and
fire
at
more
than
half
of
the
general
fund
expenditures.
C
The
major
takeaway
on
this
slide,
though,
is,
as
you
can
see,
a
majority
of
these
revenue
sources
will
show
a
fairly
substantial
decline
year
over
year.
Taxes
is
projected
to
go
down
about
11
percent,
our
use
of
money
and
property
for
interest
income
and
our
rental
income
on
the
facility
on
city
facilities
is
down.
14
percent
departmental
revenues,
as
as
the
city
manager
talked
about
earlier
overall
is
going
to
be
down
about
28.
C
You
will
see
the
allocation
in
other
revenues
line
has
a
substantial
increase,
and
that
is
where
we
record
the
transfer
in
to
the
general
fund
from
the
various
other
fun
other
funds
like
measure
g
or
like
gas
tax.
That's
where
we
show
the
infusion
of
cash
coming
into
the
general
fund
to
help
us
balance
the
budget
at
the
end
of
the
day.
Overall,
general
fund
revenues
are
projected
to
be
down
about
eight
percent.
After
all
of
those
budget,
balancing
strategies
have
been
implemented.
C
So
just
peeling
the
onion
one
level
down
these
are
the
major
tax
revenue
sources
for
the
city's
general
fund,
starting
with
property
tax
will
be
about
flat
year
over
year
sales
tax,
as
mentioned
earlier
down,
18
transient,
occupancy
tax,
so
on
and
so
forth.
As
you
can
see,
our
major
tax
revenue
sources
will
experience
a
substantial
decline.
What
is
being
projected
into
next
fiscal
year
talking
about
property
tax?
For
a
moment,
this
graphic
shows
what
portion
of
every
dollar
remitted
to
the
county
for
a
resident's
property
tax
bill,
what
dollar
actual
what?
C
What
portion
of
that
dollar
actually
comes
back
to
the
city
of
san
bruno,
for
our
general
fund
operations
and
on
the
on
the
bottom
highlighted
in
red,
shows
you
that
only
15
cents
for
every
dollar
that
gets
permitted
comes
back
to
the
city.
A
majority
of
property
tax
dollars
goes
to
fund
public
education
systems
in
and
throughout
the
state
and
in
the
county.
C
Sam
bruno's,
assessed,
values
for
property
did
show
a
decline.
The
911
recession
lasted
about
a
year
and
the
recession
following
the
great
recession
lasted
a
couple
years
and
so
time
will
tell,
and
the
data
will
tell
how
significant
the
kova
19
shelter
in
place
economic
impacts
is
going
to
have
on
san
bruno's
assessed
values
which
directly
impacts
the
amount
of
property
tax
revenue
that
we
get
moving
on
to
sales
tax.
C
This
table
here
shows
the
percent
decline
in
those
major
sales
tax
generating
industries
year
over
year.
Pretty
much
and
the
middle
column
shows
that
a
majority
of
these
industries
are
projected
to
experience
a
substantial
decline
in
their
economic
activity
year
over
year.
Autos
and
transportation
will
be
cut
in
half
building
and
construction
activities.
C
C
C
There
is
an
assumption
of
some
businesses
actually
having
additional
activity
like
grocery
stores
or
some
other
retailers
that
experienced
some
increased
activity
during
shelter
in
place.
But,
overall,
this
revenue
source
for
the
city
is
projected
to
decline
about
31
year-over-year
and
that's
primary
primarily
attributable
to
the
closure
of
sky
park.
The
airport
parking
facility
off
of
san
mateo
avenue.
C
again,
a
development
impact
fee
is
a
one-time
fee
that
a
developer
will
pay
and
that
represents
their
proportional
share
of
what
it
will
take
to
enhance
infrastructure
improvements
to
serve
the
growth
from
the
development.
This
will
be
a
vital
funding
source
for
the
city
in
years
to
come
to
help
implement
capital
improvements.
C
This
table
here
summarizes
in
the
proposed
budget
how
staff
are
recommending
to
city
council
how
to
use
the
measure
g
funds.
Just
to
summarize
here.
First
about
two
million.
Two
million
dollars
is
projected
to
be
transferred
to
the
general
fund
to
avoid
any
future
cuts
to
police
fire
and
park
maintenance
operations.
C
C
The
city's
fee
study
project
will
include
many
of
the
bullets
here
here
listed.
I
won't
go
over
all
these
in
detail,
but
effectively
staff
is
taking
a
comprehensive
review
of
all
the
fees
making
sure
that
they're
set
at
the
right
level
achieving
full
cost
recovery
for
the
services
that
the
city
provides
for
these
types
of
services
that
it's
a
legally
defensible
process
that
we
are
able
to
update
and
maintain
these
fees,
at
least
on
an
annual
basis,
and
that
we
can
make
sure
that
they
stay
in
on
pace
with
inflation.
That
occurs
annually.
C
This
is
a
slide
here
that
summarizes
the
scope
of
the
fee
study
project.
This
was
a
presentation
that
staff
delivered
to
council
back
in
january
for
the
over
700
fees.
What
the
current
cost
recovery
is
for
for
all
of
the
fees
in
these
departments
listed
here
and
as
you
can
see,
for
the
building
division
and
for
the
planning
division.
C
And
then,
finally,
there
was
a
presentation
earlier
this
evening
that
our
consultants
presented
in
regards
to
the
community
priority
survey.
So
I
won't
go
into
detail
here,
but
it
it
was
clear
that
most
residents
were
satisfied
with
the
job
that
the
city
was
doing
to
address
the
impacts
from
kovid
and
the
services
that
were
being
offered
and
the
largest
problem
that
they
told
us
facing
the
city
was
the
chronovirus
response
and
the
recovery
needs,
which
is
playing
itself
out
in
how
the
budget
is
being
presented
for
2021.
A
A
A
A
Yeah
they're,
welcome
to
ask
you
tomorrow,
yeah.
I
was
hoping
that
we'd
go
to
each
of
us
and
marty.
I
appreciate
what
you
just
said
and
I'm
not
going
to
go
back
and
forth
we're
going
to
do
it
once
say
what
you
need
to
say
and
then
we'll
move
on
because,
like
you
said
we're
ten
to
five
tomorrow
laura.
A
Thank
you
mayor.
You
know
I
just
I
just
want
to
compliment
jovan
and
keith
for
just
a
really
I
mean.
I
know
you
guys
have
been
buried
in
this
for
probably
several
months,
but
the
presentations
are
excellent
and
the
information
you
provided.
It
really
does
help.
You
kind
of
you
paint
a
picture,
although
not
a
good
picture,
but
we're
making
strides
and
we're
moving
in
the
right
direction,
and
I
too
will
save
my
comments
and
questions
for
tomorrow,
linda
yeah.
A
I
know
we're
going
to
have
a
full
conversation
tomorrow,
but
I
just
want
to
reiterate
what
I
said
at
the
last
meeting,
because
there's
been
no
change
since
then,
which
is
that
we
do
have
enough
people
to
be
interviewed.
Those
interviews
were
cancelled
by
it
is
unknown
why
they
were
canceled
and
it's
unclear
why
we
haven't
moved
forward
with
an
oversight
committee
and
I
and
I
feel
uncomfortable
spending
a
sense
of
that
measure-
g
money
without
having
that
oversight
committee
in
place.
A
Michael
anything
for
you,
you're
muted,
I
was
muted
echo.
What
laura
said.
You
know:
compliments
to
staff
for
a
really
well
put
together
presentation,
it's
clear
that
a
lot
of
time
and
effort
went
into
this
and
all
of
the
you
know
the
reductions
and
the
the
the
methods
that
that
are
going
into
this
it's.
I
know
it's
been
a
lot
of
work
and
it's
while
it's
not
great
news.
A
A
It's
a
lot
of
information,
but
certainly
we'll
keep
it
fresh
for
tomorrow
when
we
get
more
into
each
department,
which
I
believe
this
is
now
the
second
time
that
we
will
have
done
a
all
day
to
really
focus
and
get
into
all
elements
of
the
budget,
and
this
will
be
a
challenging
one.
So
with
that
city
manager
or
finance
director,
is
there
anything
else
on
this
topic.