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From YouTube: San Bruno Budget Study Session June 13, 2012
Description
San Bruno Budget Study Session June 13, 2012
This is the second of two Budge Study Sessions looking at the fiscal budget for the 2012-13 year.
A
A
C
Peterson
Kerry
Petersen
state
court
at
a
recent
meeting
at
is
that
on.
Can
you
hear
me
Linda
at
a
recent
meeting,
I
commented
that
the
rate
increase
that
was
advertised
as
nine
point.
Eight
percent
for
water
really
wasn't
and
tonight
I
brought
you
a
sheet
that
shows
you
the
differences
from
nine
point:
eight
percent,
when
I
talked
to
you
last
I,
was
incorrect.
When
I
said
it
was,
many
of
them
were
twenty
percent.
Actually
it
ranges
from
six
percent
to
almost
eleven
percent
and
I.
C
Think
that
one
of
the
comments
I
made
before
was
it
wasn't
accurate
I
think
it's
probably
less
inaccurate
and
I
implied
before,
and
some
of
the
some
of
the
increases
are
done
in
the
six
percent
range.
So
some
of
the
citizens
were
going
to
have
much
less
impact
than
others.
I
put
a
little
graph
on
what
the
proposed
in
the
current
rates
are
so
I
appreciate
your
attention
and
the
main
thing
I
was
concerned
about
is
that
the
information
that's
presented
to
the
public
be
accurate
and
I
think
exactly
nine
point.
C
D
Mr.
mayor
members
of
the
council,
thank
you
for
getting
together
again
a
second
time
so
that
we
can
complete
the
initial
review
of
the
general
fund
and
Enterprise
Fund
operating
budgets.
It's
our
intent
to
be
as
efficient
as
we
can
tonight
with
your
time,
because
we
were
actually
able
to
make
pretty
good
progress
through
the
the
whole
of
the
general
fund
budget.
At
the
study
session
last
Wednesday
night,
and
tonight
we
will
be
focusing
on
the
enterprise
fund
budgets.
D
We
have
one
item
that
will
come
forward
subsequently,
along
with
the
capital
improvement
program
budget
having
to
do
with
vehicle
replacements
that
we'd
like
to
discuss
with
you
tonight,
and
we
wanted
to
start
with
a
quick
review
of
some
of
the
topics
from
the
last
study
session
that
either
may
need
a
little
bit
more
clarification,
at
least
in
staffs
perspective.
We
thought.
Maybe
we
went
a
little
bit
too
fast
and
a
couple
of
items
that
we'd
like
to
give
you
a
heads
up
as
coming
attractions.
D
On
a
couple
of
items,
touching
back
to
last
week's
study
session,
I
wanted
to
again
encourage
City
Council
as
part
of
your
budget
action
to
direct
staff
to
come
back
to
you
in
a
timely
manner
and
a
within
the
next
I
would
say
within
certainly
within
30
to
60
days
after
the
budget
adoption,
with
a
focused
review
of
how
to
address
some
of
those
city
organizations
unmet
financial
needs.
We
talked
a
little
bit
last
week
about
the
fact
that
the
city
has
a
variety
of
topic
areas
where
it's
done
well.
D
We've
established
a
general
fund
reserve
that
is
at
this
point
at
the
level
that
one
would
consider
to
be
at
least
minimally,
if
not
moderately
appropriate.
Given
the
size
of
our
general
fund
operating
budget,
we
have
an
equipment
reserve,
we'll
talk
a
little
bit
about
that
tonight,
but
where
the
city
is
really
completely
uncovered,
if
you
will,
in
terms
of
a
financial
plan
or
reserve,
is
in
the
area
of
disaster
response.
D
I'm
going
to
ask
Kim
our
finance
director
to
give
you
a
very
quick
presentation
on
pension
and
up
an
opportunity
to
use
pension
obligation
bonds
to
save
the
city.
Some
costs
would
just
note
right
off
the
top
that
we
did
not
include
savings
related
to
this
technique
in
the
budget,
but
are
recommending
to
you
for
actually
an
initial
action
on
jun
26th.
E
So,
in
a
continuing
effort
of
identifying
areas
in
which
we
can
reduce
our
costs,
one
area
that
has
come
to
light,
especially
in
the
recent
years
with
low
interest
rates,
is
an
opportunity
to
look
at
our
what
is
called
the
CalPERS
side.
Fun
I'm
sure,
to
give
you
a
very
brief
overview
of
what
that
is
essentially
back
in
2003
CalPERS,
in
order
to
try
to
stabilize
the
volatility
of
the
rates
took.
E
Basically,
the
safety
plan
was
merged
into
a
greater
pool
when
that
occurred.
What
happened
was
that
CalPERS
determined
that
there
was
an
unfunded
liability
at
that
point
in
time
for
the
safety
fool
and
that
what
they
agreed
to
was
that
the
agencies,
each
agency
would
be
responsible
for
paying
that
obligation
over
a
term
of
25
years.
So
right
now,
with
the
rates
that
we
pay
to
CalPERS
for
the
safety
plan
right
now,
it's
about
thirty.
Six
percent,
a
percentage
of
that
rate,
is
actually
to
pay
this.
E
What
is
called
the
side
fund
CalPERS
uses
a
seven
point:
seven,
five
percent.
They
recently
changed
their
investment
sumption
to
a
seven
point:
five
percent
rate
of
return.
So
what
they're
saying
is
that
over
a
term
of
20
years
is
how
they
look
at.
They
believe
that
they
will
achieve
a
seven
point:
five
percent
annual
return
on
their
investment
in
turn,
that's
the
rate
that
we
pay
on
the
liability,
so
it's
sort
of
like
having
a
mortgage
or
a
loan
that
we
pay
a
seven
point:
five
percent
interest
rate
over
that
25-year
period.
E
What
a
pension
obligation
bond
the
opportunity
to
issue
a
pension
obligation
bond
is
essentially
to
capitalize
on
the
lower
interest
rates.
So,
right
now
in
the
range
of
five
five
point,
five
percent
essentially
saving
a
two
percent,
so
you
can
issue
pension
obligation,
bonds
and
pay
off
that
side
fund,
that
remaining
side
fund
and
reduce
your
payment
over
the
remaining
course
of
15
years
that
remain
on
those
on
that
side.
Fine
amortization!
E
So
that,
in
essence,
is
what
a
pension
obligation
bond
is
and
what
it
does
is
it
will
at
the
point
in
time
that,
though
those
funds
the
bonds
are
issued
and
then
they
are
provided
to
CalPERS
that
debt
is
paid
off
at
CalPERS
and
results
in
a
reduction
in
our
rates
going
forward,
and
therefore
the
debt
service
on
the
pension
obligation
bonds
is
less
than
the
amount
that
we
would
pay
to
CalPERS
obligation,
so
I'm
happy
to
answer
any
questions
right
now.
If
you
have
any
or
we
will
be
coming
back.
D
D
D
Just
make
sure
that
the
council
is
fully
understanding
what
the
topic
areas
addressed
here
are
kind
of
kind
of
I'm
going
to
move
around
the
sheet
a
little
bit
so
I'm
starred
in
the
middle
I.
Don't
think
that
we
clearly
and
completely
addressed
in
the
in
the
center
section
of
the
front
of
the
page
under
community
development.
D
There
are
a
couple
of
proposals
here.
One
is
fairly
simple
and
that
is
that,
with
the
loss
of
redevelopment,
there
were
a
number
three
small
contributions
that
the
city
has
historically
made
to
programs
provided
by
others
that
serve
homeless
or
other
housing
needs
within
our
region,
and
this
contribution
has
been
paid
to
to
these
organizations
via
redevelopment.
So
these
were
historically
and
for
a
long
period
of
time
have
been
contributions
that
the
agencies
have
have
relied
on.
D
Our
initial
thought
was
that
these
might
need
to
be
completely
eliminated,
and
so
we
did
not
put
them
into
the
budget
as
a
what
I
would
call
a
base
budget
item
that
wouldn't
necessarily
attract
your
attention.
We
wanted
to
call
them
out
because
we
felt
it
was
important
for
the
council
to
make
a
thoughtful
decision
about
whether
you
wanted
to
continue
those
we're
recommending
that
you
do
and
given
the
dollar
amount
feel
that
it
is
a
an
expenditure
that
is
both
hugely
desirable
and
affordable
for
the
city
at
the
given.
D
At
this
time
you
wouldn't
create
any
obligation,
except
for
a
year
for
your
consideration
and
obviously,
if
circumstances
prevented
it
in
future
years,
we
could.
We
could
potentially
cut
those
off
if
we,
as
we
have
done
with
other
outside
funding
to
other
agencies
for
their
programs.
Just
above
and
those
three
are
the
hip
housing,
shelter,
Network,
homeless,
Center
and
the
North
Peninsula
family
servant
on
earth,
Peninsula
neighborhood
services
in
each
I
misspoke,
rather
than
funding
that
through
the
general
fund.
Our
proposal,
I'm
sorry,
is
that
that
be
funded
by
the
below
market
rate
housing
fund.
D
That's
your
in
Luffy's
that
you've
collected
over
the
years
from
housing
projects.
I'm
sorry
that
I
must
spoke
about
that
again.
You
know
that
that's
a
that's
a
limited
pot
of
money,
but
again
we
think
that
this
is
a
fairly
smallish
amount
that
has
a
pretty
significant
benefit
and
again
consider
it
on
a
year
for
year
basis.
D
Similarly,
we
have
a
restricted
fund
that
we
are
we've
a
couple
of
restricted
funds
that
we've
been
collecting
in
conjunction
with
building
permits.
Every
building
permit
carries
with
it
a
surcharge
that
is
a
contribution
to
the
document
imaging
fee
and
and
separately
to
a
technology
fee
that
are
precisely
identified
for
certain
technology
and
document
management
initiatives
that
the
city
has
undertaken
and
is
continuing
on
an
ongoing
basis.
D
This
initiative
would
be
funded
by
the
revenues
in
the
technology
fee,
as
well
as
in
the
trust
fund
that
is,
funding
the
crest,
more
recovery
activities,
as
a
portion
of
that
is
really
directly
and
deliberately
intended
to
provide
information
related
to
those
specific
activities.
I'll.
Let
the
cable
television
staff
touch
on
the
marketing
program
here
in
their
presentation
tonight,
and
jump
back
to
two
fairly
comprehensive
proposals
for
staff
reorganization
in
order
to
meet
some
very
specific
needs
within
the
organization.
D
The
reorganization
includes
reclassification
of
an
addition,
an
existing
director
position
in
our
organization,
the
human
resources
director
and
back
filling
that
position
at
a
lower
level,
which
results
in
some
cost
savings,
combined
with
a
proposal
in
the
next
line
under
community
development
to
eliminate
the
general
fund
funding
for
the
housing
and
redevelopment
manager
and
to
transfer
that
into
the
successor
agency
budget,
which
is
a
dedicated
$250,000
allocation.
Under
the
redevelopment
dissolution
program.
D
That
the
the
net
effect
of
that
administrative
reorganization
is
cost
neutral
or
very
close
to
cost
material
moving
down
to
the
community
services
department.
There
are
a
couple
of
issues
here
that
I
think
we
may
not
have
been
absolutely
clear
with
the
City
Council
about
and
that
are
really
the
impetus
for
the
reorganization.
That's
proposed
and
I
won't
go
through
the
all
of
the
details
unless
the
council
would
like
me
to
do
that,
first
of
all,
anytime,
that
there
is
a
position,
particularly
a
management
position
becomes
vacant.
D
In
the
city
service,
we
do
a
as
thorough
as
we
possibly
can
and
thoughtful
evaluation
of
whether
reorganization
might
be
possible
in
order
to
eliminate
downgrade
otherwise
shift
around
responsibilities
in
order
to
save
costs.
In
this
particular
case,
the
circulation
services
manager
position
has
been
vacant
now
for
a
number
of
months,
and
the
community
services
department
has
evaluated
the
viability
of
utilizing
additional
part-time
hours
in
the
library
to
cover
a
number
of
services,
and,
in
fact,
has
already
in
in
large
measure,
reorganized
the
way
it
does
business.
D
In
the
absence
of
that
position,
and
has
been
doing
so
quite
effectively,
this
reorganization
saves
the
need
to
transfer
funds
out
of
the
one-time
resource
of
the
state,
interlibrary
loan
and
state
library
fund
that
the
city
has
accumulated
a
small
amount
of
money.
But,
as
we've
drawn
on
that
over
the
last
couple
of
years,
they
have
been
concerned
an
increasing
risk
of
that
funding
being
depleted
prior
to
us.
Having
a
real
opportunity
to
deploy.
D
Those,
as
I
think
was,
has
historically
been
the
council's
intent
for
facility
rated
related
improvements
or
replacement
a
couple
of
issue
areas
in
the
community
services
department.
That
really
do
need
our
attention,
and
that
is
the
long-term
stability
and
viability
of
the
senior
of
staff
resources
to
the
Senior
Services
program.
D
So
there
is
a
need
to
secure
the
operations
in
the
management
of
the
Senior
Services
program,
and
our
reorganization
is
intended
to
address
that
issue
along
with
a
continuing
need
by
the
department
to
better
secure
the
the
operations
of
the
front
office
was
up
at
the
rec
center.
The
City
Council
may
recall
a
few
years
ago.
I'm
sorry,
I
don't
remember
precisely
what
year
it
was.
We
cut
the
full-time
staffing
in
the
recreation
center
office
from
to
administrative
support
personnel
to
one
and
backfilled
on
an
ongoing,
continuous
basis.
F
D
D
D
At
this
point,
yeah
as
I
said,
I
think
that
this
is
a
plan
that
will
work.
I
I
would
suggest
to
you
that
I
would
like
to
spend
its
some
additional
time
internally
to
to
massage
this
a
little
bit,
but
this
is
I.
Wanted
you
to
make
I
want
to
make
sure
that
you
understood
exactly
what
was
proposed
here,
and
we
could
be
satisfied
that,
at
least
in
my
opinion,
we've
done
a
terrific
job
of
evaluating
opportunities,
meeting
needs
and
containing
costs.
D
Okay,
we
received
a
couple
of
I'm
not
going
to
go
through
all
of
the
questions
that
we
think
that
we
answered
last
week.
If,
if
you
don't
feel
that
you
got
an
answer
to
a
question
that
you
raised,
please
do
let
us
know
there
were
a
couple
of
questions
that
have
come
up
subsequently
and
I
wanted
to
give
you
at
least
an
oral
answer,
and,
as
I
said,
we
will
include
a
complete
transcript
of
the
questions
that
we've
understood,
that
we've
received
and
the
answers
for
your
meeting
on
jun
26th.
D
Two
additional
questions
one
is:
there
is
a
pretty
significant
difference
between
the
cost
of
facility
maintenance
and
utilities
compared
comparable
between
the
police
department,
police
station
building
and
the
fire
department
for
the
two
fire
stations.
I.
Don't
have
the
precise
numbers
in
front
of
me,
but
the
answer
to
that
question
is
the
reason
for
that
discrepancy
is
that
where
there
is
24-7
operations
in
all
of
those
facilities,
obviously
the
police
department
receives
a
pretty
significant
amount
of
janitorial
services
and
that
is
provided
by
the
facilities
division.
D
In
other
words,
we
have
I
believe
we
have
one
custodian
assigned
full-time
to
the
police
station.
Is
that
correct
and
it's
sheriff
really
over
India's
here?
Okay,
almost
full
time
it
just
based
on
the
workload
at
that
facility,
by
contrast,
I,
believe
it's
correct
that
there
is
no
janitorial
service
provided
by
the
facilities
division
to
the
fire
stations.
D
Fire
personnel
live
in
the
station;
they
they
may
they
take
care
of
it.
They
clean
it.
They
they
do
what
otherwise
would
be
provided
by
our
facilities.
Staff
for
for
regular
day-to-day
maintenance
and
cleaning
services
in
the
in
the
and
again
I
did
not
go
back
and
completely
verify
the
precise
numbers,
but
in
terms
of
utilities,
it's
my
understanding
that
we
budget
the
full
cost
of
the
utilities
that
the
city
pays.
D
However,
in
the
police
station
facility
that
we
receive
some
of
our
operating
costs
back
from
bart
who
is
a
roughly
I
guess,
roughly
half
of
the
building
is,
or
some
significant
part
of
it
is-
is
Bart
operations
and
is
not
actually
utilized.
The
building
was
built
in
order
that
it
could
serve
both
of
the
department's
we
own
it
and
we
sublease
to
to
the
to
the
BART
police
department.
So
it's
my
understanding
that
at
least
a
portion
of
our
utility
costs
are
covered
by
Bart.
So.
E
D
F
D
D
F
E
D
Unless
there
was
I
think
the
one
one
thing
that
we
may
not
have
answered
in
public
if
I
remember
correctly,
is
that
the
successor
agency
budget
shows
a
total
cost
of
three
hundred
and
twenty
four
thousand
dollars,
and
only
two
hundred
and
fifty
thousand
dollars
in
anticipated
revenue
through
tax
increment
again
based
on
the
formulas
for
under
the
law
based
on
dissolution
of
redevelopment.
The
difference
between
those
numbers
is
included
in
the
general
fund
budget.
It's
not
a
it's.
D
It's
a
cost
that
has
already
been
captured
in
the
budget
and
would
represent
a
cost
for
things
like
our
ongoing
use
of
legal
services
associated
with
successor
agency
or
and/or
City
activities
related
to
the
dissolution
of
redevelopment.
The
law
requires
us
to
prepare
a
successor
agency
budget
to
present
that,
to
the
oversight
board
for
their
review
and
approval,
and
irrespective
of
what
amount
of
costs
we
might
be
able
to
demonstrate
it
is.
D
We
know
that
we
will
receive
$250,000
and
it's
probably
a
good
idea
to
demonstrate
our
costs
in
that
budget
at
what
we
actually
think
they
are.
Even
though
we
don't
anticipate
that
that
will
be
compelling
either
to
the
to
the
oversight
board
o
to
the
state
in
terms
of
how
much
money
we
should
actually
receive
back,
we
expect
the
$250,000
and,
however,
it
was
pointed
out
that
we
could
do
a
better
job
of
showing
that
in
the
budget,
so
that
it's
clear
that
that's
not
just
a
mismatch
between
revenues
and
expenditures.
D
G
G
Delivering
the
capital
improvement
program
for
the
horse,
Syrian,
managing
or
central
/
fleet
our
budget
for
next
year
is
in
essence,
a
no
change
budget
vs
this
year.
They
are
two
changes
in
our
budget.
One
is
all
the
result
of
the
last
of
RDF
on
funding
will
be
more
limited,
matching
fund
for
ongoing
projects
such
as
the
medium
project
or
transit
corridor
project,
those
type
of
project
which
which
historically
was
matched
with
our
day
money.
G
Our
focus
for
I
will
just
highlight
if
you
focus
area
for
the
horde
apartment
for
next
year,
certainly
one
of
the
most
important
one
will
be
to
feel
the
three
very
critical
of
composition,
existing
tree
open
position
in
the
department
right
now.
Those
three
positions
are
the
two
deputies,
one
for
the
city,
engineer
position
and
also
the
other
deputy
position
for
for
operation
and
maintenance
and
the
management
analyst
position.
G
G
What
that
really
will
looks
like
even
have
took
us
a
long
longer
time
than
any
of
us
would
have
wanted
to
to
implement
the
cmms
program
in
in
the
sewer
sewer
right
now
is
able
to
utilize
the
cmms
program
in
a
very
effective
manner,
using
for
pre-planning
and
pre-programming
activities
for
maintenance
activities
and
basically
based
on
a
pre-scheduled
sequence
of
maintenance
activity.
They
are,
they
are
producing
work
orders
and
they
are
able
to
increase
their
day
by
day
activity.
G
G
How
I
mentioned
before
was
proposed
the
reduction
of
point
five
ft
for
the
garage
with
the
garage
manager
position
this
last
year,
the
department
looking
for
opportunities
for
managing
this
vacancy
and
assessing
many
alternatives,
including
including
partnership
with
other
series
like
millbrae
and
south
city.
Neither
of
those
alternative
were
feasible
and
from
managerial
and
financial
reason
during
this
process
also
was
concluded.
That
is
possible
for
us
to
reduce
the
ft
number
in
the
garage
f.
G
Another
main
another
focus
for
the
department
will
be
to
further
improve
our
accuracy
of
the
information
on
our
system,
and
specifically
here
I
will
highlight.
The
focus
will
be
on
our
stone
water
system
right
now.
The
information
system
is
accurate
at
fifty
percent
level
for
our
storm
system
and
is
our
intent
to
improve
that
percentage
by
the
end
of
next
year
to
seventy-five
percent
and
at
the
end
of
next
year.
G
Another
focus
area
for
us
will
be
to
ongoingly
refined
the
development
and
the
CIP.
The
capital
improvement
program
delivery
process
to
meet.
You
need
your
objectives,
delivering
those
project
on
time
and
on
budget
and,
of
course,
will
be
a
young
going
focus
on
of
our
department,
coordinating
with
all
of
the
departments.
The
reconstruction
of
the
grass
mowed
infrastructure
project,
those
those
are
the
main
highlights
what
I
wanted
to
mention
and
I
will
stand
for
any
question
and
any
other
financial
highlights
team
will
follow
my
presentation.
B
B
I
asked
you
this
before,
but
I'd
like
you
to
State
for
the
public
on
page
for
179,
we
talked
about
the
street
light
and
improvements.
I
know
years
ago
we
started
talking
about
replacing
the
existing
Street
strut
lights
themselves,
the
poles
and
then
also
improving
the
street
lights
themselves
as
well.
So
you
have
this
part.
You
initiated
a
pilot
program
and
now
you're
going
to
go
on
with
it.
So
what's
happening
with
all
that.
G
G
Capital
in
two
months,
I,
said
two
months
is
I.
Think
all
of
the
all
of
the
information
you
see
in
place
and
will
depend
how
I
will
be
able
to
work
out
the
time
it's
a
city
manager
when
the
city
manager,
we
feel
comfortable
that
all
of
the
informations
are
in
place
for
that
discussion
and
presentation.
We.
D
We
will
be
if
this
is
captured
in
the
CIP.
The
CIP
will
be
bringing
out
to
you
within
the
next
30
days.
I
think
the
director
is
suggesting
that
we
probably
want
to
spend
some
focused
time
with
you
about
this
particular
topic,
because
it
was
something
that
was
a
strong
interest
to
the
City
Council,
so
it
depending
on
how
you
want
to
handle
that
as
as
a
component
of
the
CIP
discussion
or
separately.
Certainly
within
the
next
60
days,
we
will
be
able
to
be
back
to
you
again.
Yeah.
B
On
page
538
we're
doing
a
illegal
dumping
hotline,
it's
set
for
goals
and
objectives
to
reduce
trust
load
through
enhancement
of
what
water
street,
where
wet
weather
streets
waving
at
say
that
twice
fast
monthly
cleaning
and
all
that
stuff.
And
then
it
says
a
newt
you're
having
a
new
illegal
dumping
hotline
is
that,
yes,.
G
To
include
a
goal
for
the
organics,
that's
the
issue
a
two
days
before
yes,
and
what
you
require
Steph
is
possible
for
us
to
include
in
our
but
program
is
a
goal
to
have
some
education
and
outreach
on
the
Organic
Program
and
yes,
it
is
possible,
will
be
included
in
our
yep,
the
city
manager.
Will
support,
certainly
will
be
included
in
our
next
year.
Battery
did.
B
You
catch
that
one
of
the
goals
I'd
like
us
to
add
is
education
about
organics
and
what,
in
the
future,
we're
going
to
have
to
do
it
again,
I
mean
eventually
we're
gonna
have
to
do
it.
So
I'd
like
us
to
start
doing
some
pre
education
about
it
to
the
public,
so
I
was
hoping.
We
can
add
it
to
one
of
the
goals.
B
G
G
B
I
didn't
see
anything
under
the
stormwater
about
keeping
track
of
the
dredging
or
lack
thereof
of
the
channel
on
that's
on
the
airport.
Land
I
don't
know
if
you've
noticed
it
that
if
you
looked
you're
on
Sandra
Avenue
and
you
look
to
the
north,
the
channel
is
heavily
silted
up.
There's
actual
plants
just
like
little
islands
and
there's
plants
growing
on
it.
B
G
Certainly,
that
would
be
under
the
responsibility
of
the
plot
district
cemetery
plot
this
week,
but
in
coordination
with
us,
I
will
make
sure
that
will
be
an
update
on
that
issue.
The
Department
will
contact
them
and
we'll
discuss
this
issue
and
provide
an
update.
What
is
there
here
scheduled
activity
for
the
flood
channel?
Ok,.
G
G
F
F
D
In
other
words,
if
there's
a
history
of
the
funds
not
being
needed,
they're
questioned
they're
often
deleted,
and
there
is
at
least
a
discussion
with
the
department
to
make
sure
that
the
budget
management
staff
is
understanding
why
that
expenditure
is
necessary
if,
if
it's
either
new
or
unused
in
the
in
the
prior
year.
Similarly,
there's
a
pretty
thorough
assessment
via
the
finance
department,
analysts
of
and
the
director
herself
of,
both
the
the
areas
where
a
change
either
up
or
down,
is
experienced
in
a
line
item.
D
And
then
that's
reviewed
and
analyzed,
and
and
sometimes
what
the
departments
have
requested
is
is
is
not
approved,
so
that
I
hope
captures
the
intent
of
your
question,
because
we've
told
you
that
there
is
an
active
evaluation
of
all
expenditures.
Departments
are
expected
in
the
front
end
to
minimize
their
their
proposed
budgets
and
there's
a
an
additional
layer
of
oversight
and
review
that
sometimes,
if
we
have
time
includes
first,
the
finance
department
and
then
me
or
me,
and
the
finance
department
and
in
coordination
with
each
other.
D
E
Move
into
some
numbers
so
before
we
get
into
the
numbers
one
other
item
on
this
slide.
That
I
would
like
to
just
point
out.
Measure
em
is
a
ten-dollar
voter
to
dlf.
Back
in
two
thousand
november,
two
thousand
ten
voters
approved
a
ten-dollar
blf
that
can
be
used
to
fund
street
maintenance
efforts,
as
well
as
street
sweeping
and
some
activities
related
to
maintaining
storm
water
system.
So
this
is
a
new
fee.
That's
we
are
just
now
starting
to
receive
and
we
are
in
the
process
of
developing
a
work
program
for
this
fee.
E
So
I
called
this
out
because
this
is
not
incorporated
into
at
this
point
in
time
is
not
incorporated
into
the
budget
that
you
have
before
you,
because
we
are
still
the
process
of
determining
where
the
need
lies,
and
this
is
about
a
two
hundred
estimated
to
be
about
two
hundred
thousand
dollars
a
year
and,
as
I
said,
can
be
used
for
street
street
activities
or
storm
water
activities.
So
that's
something
that
we
are
working
on
and
we'll
come
back
and
provide
for
their
information
on
once.
E
We've
determined
a
proposed
work
program
for
those
funds,
so
I'm
just
going
to
touch
very
quickly
on
the
revenue
source,
the
revenues
for
the
various
public
services
operations.
This
first
slide
touches
on
street
sources
of
streets
funding,
as
you
can
see,
there's
a
variety
of
funding
sources,
the
general
fund
at
the
current
year,
2012-13
level
of
four
hundred
thirty-seven
thousand
dollars,
just
a
very
brief
history
of
the
general
fund
contribution
to
streets.
A
couple
years
ago,
the
city
used
to
historically
receive
what
was
called
traffic
congestion
relief,
proposition
42
funds.
E
Those
funds
required
at
order
to
be
eligible
to
receive
those
funds.
The
city
had
to
maintain
had
to
maintain
a
general
fund
contribution
to
streets
operations,
something
that's
called
the
maintenance
of
effort
that
dollar
amount
was
491
thousand
dollars.
So,
historically
the
general
fund
contribution
the
streets
spend
four
hundred
ninety
one
thousand
dollars
a
couple
years
ago.
The
state
did
some
swapped
around
funds
as
they
like
to
do.
Essentially
prop
42
funds
were
eliminated
at
that
point
in
time
and
we're
back
filled
with
increase
of
gas
tax
funds.
E
So
when
that
occurred
with
that
swap
occurred,
even
though
net
we're
still
receiving
essentially
the
same
amount
of
money
from
the
state
that
maintenance
of
effort
requirement
did
go
away
because
we
no
longer
have
the
pot
42
funds.
However,
in
an
interest
of
maintaining
the
streets
operating
budget
at
the
current
level,
we've
maintained
that
contribution
close
to
what
that
MOA
effort.
General
fund
contribution
has
historically
been.
So
that's
the
number
you
see
before
you,
the
gas
tax.
Overall,
we
see
received
just
under
1.2
million
dollars
of
gas
tax
funds.
E
In
addition,
we
receive
measure
a
it's
a
sales
tax
that
we
receive
for
street
spending
street
improvements,
as
well
as
some
reimbursements
related
to
make
maintenance
of
right
away
from
Caltrans
with
right,
aways
and
some
see
cake
fees.
So,
overall
that
brings
total
revenue
for
streets
activities
to
about
2.3
million.
We
utilize
of
that
1.2
million
for
the
operations,
and
that
leaves
a
residual
just
about
1.1
million
to
be
used
for
capital
purposes.
E
On
the
enterprise
revenues
I
just
wanted
to
quickly
walk
through
present
you,
the
budget
numbers
for
the
current
year,
what
the
estimated
actuals
are
going
to
be,
as
well
as
the
proposed
budget
for
1213,
so
the
just
to
start
with
the
1213
proposed
budget
figures
for
water
and
wastewater.
Those
figures
are
a
product
of
the
rate
analysis
that
was
completed
in
the
late
winter
early
spring,
so
those
numbers
do
anticipate
a
rate
increase.
E
However,
just
in
looking
back
at
the
budget
and
the
estimated
actuals,
what
you'll
see
is
that
for
the
current
year,
we
are
actually
seeing
a
rear
anticipating
to
come
in
over
budget
on
water
revenues,
and
the
reason
for
that
is
essentially,
we
had
a
very
dry
winner
and
what
we
saw
was
a
significant
jump
and
consumption
during
the
winter
months
over
what
we
had
previously
things.
So,
therefore,
we
are
seeing
some
increase
in
the
revenues,
so
we'll
continue
to
monitor
that
and
report
back
to
you
as
we.
E
Obviously,
we
need
to
meet
that
revenue
requirement
and
so
we'll
keep
an
eye
on
that
consumption
and
how
that's
driving
the
rates
are.
The
revenues
on
the
similar
situation
on
the
wastewater
side,
however,
the
just
a
reminder
that
the
wastewater
revenues
are
sort
of
a
fixed
fee
through
them
throughout
the
year
for
the
residential
customers,
so
the
estimated
actual
for
the
current
years
actually
anticipated
be
slightly
below
the
budget,
because
the
preceding
the
previous
fiscal
year
was
actually,
we
had
reduced
water
consumption.
E
So
therefore
sewer
calculation
sewer
revenues
ended
up
being
slightly
less
this
year,
then
what
was
budgeted
and
then
on
the
stormwater
that
those
fees
are
collected.
It's
a
fixed
fee,
that's
been
on
the
property
tax
roll
for
many
years.
It's
a
consistent
dollar
amount
that
we
receive
and
the
one
small
change
decrease
that
you
are
seeing
in
the
stormwater
revenue
side
is
the.
E
We
were
in
the
proverb
in
the
process
of
evaluating
what
the
best
use
of
those
funds.
What
I
was
highlighting
here
is
the
current.
There
was
a
currently
a
four
dollar
vlf
in
place
that
required.
It
was
a
50-50
split
between
streets
and
stormwater.
It
was
a
required
split.
The
new
blf
doesn't
have
that
same
requirement
in
place.
We
can
determine
how
to
where
to
put
those
funds,
so
the
reduction
in
the
stormwater
as
a
result
of
that
sunset
of
that
for
dollar
BLS.
D
There
are
numbers
of
issues
that
the
city
has
historically
not
been
funded
adequately
through
the
stormwater
fee
that
we
collect
on
the
ibelieve
it's
collected
on
the
property
tax,
that
is,
that
flows
to
the
city
itself.
It
actually
turns
out
to
be
a
very
small
number
and
then
we're
able
to
get
a
little
bit
more
from
that
50-50
split
of
the
local
San
Mateo
County
vlf
surcharge,
and
now
we
have
this
new
additional
two
hundred
thousand
dollars
that
can
be
used
for
a
couple
of
different
purposes.
D
H
Good
evening,
honorable
mayor
and
members
of
the
City
Council
tonight
I'll
be
presenting
the
highlights
for
the
cable,
television
and
local
rigea
nation
budgets.
As
you
know,
the
cable
operation
is
currently
comprised
of
20
positions.
All
of
them
filled
with
exception
of
the
director
Hal
Johnson.
Our
system
engineer
is
here
and
I
are
currently
sharing
that
role.
Let
me
outline
some
highlights.
From
this
past
fiscal
year,
the
cable
department
extended
the
fiber
and
coax
plant
to
include
Pacific
vistas,
cedar
Mills,
the
golf
center
and
Skyline
College
recently
in
order
to
serve
those
customers.
H
H
Improvements
were
made
to
the
Internet
service
by
way
of
a
caching
system
which
you
approved
earlier
this
year,
and
the
caching
system
was
proposed
to
divert
25%
of
the
traffic
that
we
send
down
down
the
pipes
and
it
did.
It
did
so
in
fact,
little
bit
better
than
twenty-five
percent
of
that
traffic,
combined
with
a
reconfiguration
of
our
network,
we
were
able
to
achieve
the
faster
downloads
and
eliminate
saturation
issues
that
we
were
experiencing
in
some
areas.
H
Most
of
the
power
supplies
in
the
field
have
been
replaced
or
upgraded
this
past
year
for
more
reliable
performance.
This
helps
avoid
outages
and
they're
also
battery
backed
up,
so
we
replace
batteries
as
needed
as
well.
For
that
same
reason,
on
the
marketing
side,
291
new
video
subscriptions
were
added
using
the
fixed
pricing
campaign
approved
by
council
last
year.
In
addition,
151
internet
subscriptions
were
added
with
current
video
customers,
taking
advantage
of
the
internet
service
offer
that
we
sent
to
those
folks.
H
H
Farmers
market
we
sent
letter
out
to
businesses
in
the
Bay,
Hill
business
park,
area,
advertising,
our
commercial
services,
and
we
conducted
the
for
fixed
pricing
campaigns
to
non-subscribers
and
those
pricing
campaigns
that
we
conducted
were
aggressive
in
the
fact
that
we
sent
out
multiple
pieces
during
each
one
of
those
campaigns
to
non-subscribers
to,
as
the
mayor
told
us,
to
really
hit
hard
with
that.
So
that's
what
we
did.
Staff
completed
five
retransmission
agreements
with
five
broadcast
stations.
H
Those
are
the
agreements
that
we
have
to
enter
into
to
carry
brought
some
broadcast
stations
that
elect
to
have
must
carry
on
our
system.
Three
of
those
were
major
networks
and
we'll
have
one
this
year
as
well,
staff
recently
renegotiated
a
digital
telephone
service
amending
that
contract
and
achieving
a
20-percent
discount,
while
maintaining
all
the
services
and
features
including
the
20
free
international
countries.
H
The
department
has
seen
a
slowdown
in
basic
TV
subscriber
losses
at
about
half
the
losses
of
last
year.
At
the
same
time,
there
has
been
an
uptick
in
HD,
DVR
box
deployments,
internet
service,
subscriptions
phone
service
and
premium
services,
which
is
surprising
because
of
Netflix.
We,
we
are
seeing
folks
coming
back
to
showtime
and
HBO,
mainly
because
of
their
programming
staff,
continues
to
pursue
the
business
sector
and
has
added
clients
such
as
stella
and
dot
provident
funding,
audit
oz
and
skyline
college
this
coming
fiscal
year.
H
A
continuing
goal
is
to
grow
our
subscriber
basis
for
all
services,
using
direct
sales
mailers
to
both
residential
and
business
nonsubscribers,
and
continue
with
the
retention
campaign
via
video
advertising
on
cable
TV.
You
may
have
seen
some
of
those
ads
talking
about.
The
grass
is
greener
on
the
other
side.
What
to
expect
if
you
go,
and
we
have
series
of
three
or
four
of
those
that
where
we've
been
running
as
well
and
will
continue
to
run,
we're
also
recommending,
as
the
city
manager
touched
on
a
sales
effort
with
a
dedicated.
H
Our
proposal
is
a
dedicated
sales
person
to
target
managers
of
apartment
complexes
to
market
to
commercial
services
to
the
business
community.
This
is
not
a
door-to-door
sales
campaign
that
we
experienced
before.
We
know
the
apprehension
we
have
with
that
type
of
campaign,
and-
and
we
agree,
and
so
this
would
be
more
of
a
person
that
would
work
with
different
departments
in
the
city,
planning,
water
utilities.
H
Those
types
of
things
and
reach
out
to
the
community
in
the
form
of
the
managers
at
complexes
make
sure
that
we're
targeting
those
folks
that
are
moving
out
moving
in
and
getting
them
getting
them
first
and
develop
those
relationship
relationships
with
those
folks,
as
well
as
someone
that
can
go
to
the
businesses
in
the
Bay
Hill
area
and
sell
some
of
our
high-end
Internet
services.
And
so
that's
will
come
to
you
with
that
later
on
at
some
point,
but
that
that's
something
that
we're
looking
for.
We
are
also
proposing
to
offer
over
the
top
services.
H
At
the
moment,
staff
is
exploring
security,
alarm
services
for
residents
and
businesses
via
the
cable
system.
These
improvements
are
all
being
considered
with
the
same
objective:
to
offer
state-of-the-art
services,
excellent
customer
service,
how
to
competitive
price.
The
proposed
operating
budget
before
you
tonight
projects
revenues
to
be
just
over
10
million
dollars.
As
you're
aware,
revenues
are
derived
from
monthly
service
fees
charged
to
residential
and
business
customers.
We
get
some
advertising
commissions
and
various
one
timepiece.
H
Our
expenditures
are
projected
to
be
9.5
million,
comprised
of
programming
and
personnel
costs
totaling,
just
over
5.9
million,
representing
about
sixty
percent
of
our
expenditures.
Interdepartmental
allocations,
franchise
fees,
equity
earnings,
transferred
to
the
general
fund
about
1.6
million
or
eighteen
percent
of
expenditures,
and
then
the
internet
service
fees
and
other
operating
expenses
make
up
the
balance.
H
The
local
origination
department
budget
is
funded
by
the
City
Council
approved
rate
allocation
of
a
dollar
ninety
percent
scrapper
month
for
20
to
80
a
year
that
revenue
covers
operating
and
personnel
costs
to
provide
coverage
of
city
council
meetings
and
other
meetings,
city
meetings,
school
board
meetings.
We
offer
an
internship
program,
videotape
local
events,
staff
also
produces
public
service
announcements
such
as
the
fireworks
video
you've,
seen
commercial
cable,
TV
promotions,
promoting
our
services,
currently
we're
doing
two
additional
monthly
programs
and
maintaining
the
channel
and
messaging
system.
H
B
H
Of
those
are
on
our
d3
service,
which
is
a
docsis
three
service,
which
is
a
faster
internet
speed
in
the
normal
speed
that
we
would
sell
to
residents.
I
know
I'm,
sorry,
Johnny
that'd,
be
so
technical,
but
anyway,
so
that
faster
and
that
service
is
more
appropriate
for
businesses
residential.
But
there
are
some
businesses
that
use
the
residential
service
as
well.
F
F
D
We've
worked
with
the
cable
subcommittee
and
reviewed
the
preliminary
report
and
have
some
additional
direction
from
them
and
and
we'll
be
proceeding
to
bring
this
entire
thing
back
to
the
City
Council
within
the
within
the
near
future.
I
would
say,
unfortunately,
that
work
out
there
has
been
a
little
bit
delayed
step
deleted.
Staff
has
been
delay.
My
office
has
been
delayed
in
getting
done
through
the
analysis
by
the
subcommittee,
but
the
answer
is
yes.
F
F
D
Primary
recommendation
out
of
the
report,
there
are
two
primary
one:
primary
finding
and
one
primary
recommendation
and
the
primary
finding
is
that
it
that
the
cable
enterprise
is
pursuing
a
strategy
that
is
viable
and
that
is
consistent
with
the
industry
standard.
There
is
still
a
it
is
still
a
small
company
fishing
if
you
will--
in
a
relatively
small
market
pool,
given
that
our
service
territory
is
confined
by
the
jurisdictional
limits
in
the
city
of
San
Bruno,
and
recognizing
that
there
is
a
recommendation
in
the
report
for
a
more
focused
and
strategic
effort
around
marketing.
D
The
report
recommends
consideration
of
a
full
time
marketing
position
in
lieu
of
a
director
that
is
we've
what
kind
of
walk
down
the
middle
of
that
recommendation
by
continuing
to
defer
the
appointment
of
a
full-time
director
position
in
order
that
we
can
deploy
a
marketing
program,
as
is
indicated,
and
actually
the
director
of
the
acting
director
did
not.
If
we
go
back
to
the
supplemental
proposals,
there
is
a
deployment
of
seventy
thousand
dollars,
which
would
be
essentially
salary
savings
for
an
additional
period
of
time
where
the
director
position
is
not
filled.
D
D
B
D
F
E
Going
to
talk
numbers
again
just
for
a
minute
here,
but
just
a
overview
of
the
cable
television
fun,
just
to
recap
some
more
to
what
I
what
was
presented
with
the
other
enterprises
and
looking
at
revenue
history.
Couple
things
I'd
like
to
point
out
on
the
revenues
one
there
is
a
misstatement
in
the
budget.
Narrative
they'll
call
your
attention
on
page
3
38.
E
It
states
that
the
revenue,
the
revenues
12
13
proposed
revenue
budget
includes
a
five
percent
rate
increase
which
in
fact
is
not
the
case.
We
have
purposely
held
the
revenues
based
on
what
we
estimate
in
the
bay
based
on
current
rates,
with
the
thought
of
evaluating
that
rate
structure
in
the
coming
months.
One
of
the
timing
of
the
rates-
one
item
that's
coming
to
my
attention
recently-
is
that
our
grades
have
been
historically
about
dinner
with
the
start
of
the
fiscal
year.
E
Some
of
the
competitors
change
their
rates
in
the
early
fall
October,
and
so
one
thought
is
maybe
it
makes
sense
for
us
to
start
looking
at
evaluating
our
restructure
in
conjunction
with
some
of
the
competitors
are
also
looking
at
rates.
So
that
is
something
that
will
continue
to
work
on
in
the
coming
months.
The
other
item
I
just
want
to
point
out
I
think
we've
had
it
is
a
very
conservative
revenue
budget
for
cable
proposed
for
the
upcoming
year.
E
It's
probably
one
of
the
most
conservative
that
we've
had
and,
as
you
can
see,
it's
really
essentially
pulled
the
line
from
what
our
estimated
actual
are.
Predictably
for
this
year
on
the
expenditure
side,
some
reduction
as
a
result
of
when
debt
service
payment-
that
was
a
five-year
lease
purchase
agreement
with
the
digital
set-top
boxes
five
years
ago,
that
the
current
fiscal
year
was
the
final
year
that
payment,
so
our
expenditures
will
be
reduced
next
year
by
that
dollar
amount.
E
The
only
other
thing
to
bring
to
your
attention
is:
we
have
an
operating
we're,
projecting
an
operating
surplus
in
cable
next
year
of
just
over
five
hundred
and
sixty
five
thousand
dollars.
That
is
before,
taking
into
account
the
cable
or
the
capital
improvement
program,
and
just
historically
our
capital
improvement
program
has
been
since
there
have
been
significant
investments
needed
necessary
in
order
to
maintain
competitiveness
and
going
forward.
Another
item
to
be
evaluated
is
sort
of
what
they
need
is
ongoing.
Need
is
to
preserve
for
capital
investment
in
cable
fun.
D
A
F
E
E
Just
that
policy
has
been
practices
been
to
fund
those
in
the
general
fan
operating
budget
due
to
the
fact
that
they
are
continuously
purchased
on
an
annual
basis,
so
the
funding
source
for
this,
the
general
fund,
the
other
four
vehicles,
are
items
that
have
been
reserved
for
the
equipment
reserve.
All
of
them
are
basically
passed
their
useful
life
and
just
the
dollar
amount
of
my
invention
that
the
purchase
amounts
may
feel
Oh.
E
A
F
F
The
truck
is
not
what
we
need
it
to
be
too
how's
the
camera
equipment
and
some
of
the
other
machinery
that
we
use
to
respond
to
a
problem
in
a
service
lateral
where
we
remove
roots
or
clear
a
blockage
or
we
introduce
chemical
foam
to
to
kill
to
kill
the
roots.
So
the
truck
is
in
very
bad
condition.
Hi
mile
high
mileage
is
past
its
useful
life
and
it's
all
of
the
equipment
that
we
needed
to
put
onto
it
is
actually
pushing
it
to
it
its
limit.
A
F
D
Is
any
time
any
expenditure
over
twenty-five
thousand
dollars
comes
to
you,
and
so
it
will
come
to
you
in
the
manner
that
you're
used
to
seeing
it
now.
I
think
what
we
will
do
is
probably
wrap.
All
of
these
I
see
one
I
see
these.
These
used
vehicles
in
the
police
department
for
the
unmarked
are
technically
each
of
them
under
twenty
five
thousand
dollars,
but
you
will
see
those
as
well.
A
E
All
vehicles,
with
the
exception
of
the
black
and
whites,
are
reserved
funded
in
the
equipment
reserve
and
they
any
other
exception,
may
become
a
reservist
with
the
general
fund
and
operations.
And
then
each
of
the
enterprise
have
separate
reserves,
obviously
directly
from
that
enterprise.
But
the
black
and
whites
are
the
only
vehicles
that
have
historically
been
purchased
out
of
the
operating
budget
and.
D
They're
very
place
so
frequently
they
did
they
and-
and
there
is,
we
historically
have
replaced
either
two
or
three
per
years,
so
that
we're
sort
of
constantly
cycling
them
around
and
that's
the
there's
generally
a
longer
useful
life
and
their
retention.
History
that
goes
into
those
items
that
are
reserved
and.
E
Okay,
so
moving
on
to
the
equipment
portion
of
those
requests,
the
police
department,
there
is
a
request
for
the
replacement
of
three
laptop
computer
computers:
three
out
of
the
19
in
the
department.
There
is
a
request
for
a
replacement
of
radio
equipment,
the
two-way
radio
system.
These
are
both
items
that
are
reserved
funded
in
the
equipment
reserve
and,
finally,
the
replacement
of
firearms
and
the
intent
is
to
replace
53
of
them
in
the
upcoming
fiscal
year.
E
Those
are
partially
funded
in
the
equipment
reserve,
with
the
requests
remaining
request
for
funds
to
come
from
the
police
asset
forfeiture
fund
in
the
Recreation
Department
and
the
library
community
services,
there's
a
request
for
replacement
of
equipment,
a
boiler
that
has
stroke
it's
basically
original
to
the
building
and
there's
been
a
buildup
of
sediment
in
that
and
it's
becoming
a
safety
concern.
So
there's
a
request
to
replace
that
boiler.
E
Similarly,
in
the
library,
a
compressor
similar
issues
leaking
inside
and
requires
frequent
maintenance
and
a
generator
that
the
department
is
having
trouble
finding
parts,
it's
so
old
replacement
parts
and
air
filters,
so
these
are
all
need
to
be
critical
replacements.
When
item
of
note
is
that
these
are
all
three
of
these
items
are
not
items
that
have
been
historically
research
for
in
the
one.
F
F
Does
and
when
it
leaks
is
leaking
hundreds
and
hundreds
and
hundreds
of
gallons
out
into
the
parking
lot
at
a
time
and
the
energy
to
heat
that
amount
of
water
is
significant.
So
I've
not
specifically
asked
the
question
about
the
utility
savings,
but
there
probably
is
some
I
do
not
know
the
extent
of
that.
D
No,
that
concludes
our
presentation
were
interested
in
available
for
any
questions.
City
Council
has
now
or
yeah.
Now,
on
the
material
that
we
presented
tonight
or
anything
in
the
budget
or
anything
that
we
presented
at
the
previous
meeting
again,
we
will
do
our
best
to
compile
transcribe
and
respond
in
writing
as
well
as
orally
as
we've
done
to
to
any
and
all
questions
that
we
receive
and
we'll
be
back
to
you
on
the
twenty-sixth.
Unless
you
have
additional
discussion,
you'd
like
to
have
tonight.