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HomeMy WebLinkAbout09-23-2020 Final PacketIMPORTANT COVID-19 NOTICE In an effort to protect public health and prevent the spread of COVID-19 and to enable appropriate social distancing, the Mayor and City Council meeting is not open for public attendance at this time. All meetings will be held via tele-conference. To view the live meeting:  Select the link to view the live-stream on the City’s website: http://sanbernardinocityca.iqm2.com/Citizens/Detail_Meeting.aspx?ID=2972 or  Spectrum & Frontier customers may view the broadcast on Channel 3. You may also view the archived video on the City’s website the day after the meeting. To provide public comments:  Email your written comment to publiccomments@sbcity.org by 4:00 p.m. the day of the scheduled meeting; or  Call 909-384-5208 and leave a recorded comment not to exceed three (3) minutes by 4:00 p.m. the day of the scheduled meeting. The subject line of your email should include the meeting date, whether your comment is for the Study Session, Closed Session, or Open Session, and whether it is for public comment or for a specific agenda item. Example: 09/23/2020 - Study Session - Agenda Item No. 1 To provide public comments for a Public Hearing: Send an email to publiccomments@sbcity.org by 4:00 p.m. the day of the scheduled meeting. Include your name, telephone number, and the agenda item number. At the time of the requested agenda item, the City Clerk will call the commenter. Each person will be allowed to speak for up to three-minutes. Written comments will be provided to the Mayor and City Council prior to the meeting and will be posted online for public review, but will not be read aloud. Voicemail comments will be played aloud during the appropriate public comment portion of the meeting. Please note that written & recorded comments received after the deadline will not be included in the record until the next regular meeting. Recorded comments received passed the deadline will not be played during the meeting. To view PowerPoint presentations, written comments, or any revised documents for this meeting date select the link below: http://edocs.sbcity.org/WebLink/Browse.aspx?id=4091212&dbid=0&repo=SB Or visit the City Clerk’s page: From the City’s homepage www.sbcity.org select the Government category -->City Clerk-- > on the Navigation menu select Search for Records Online --> Council Agendas--> Current Year 2020--> Meeting Date Please call the City Clerk’s Office at (909) 384-5002 if you have any questions. CITY OF SAN BERNARDINO AGENDA FOR THE SPECIAL MEETING OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE SUCCESSOR HOUSING AGENCY TO THE REDEVELOPMENT AGENCY, AND MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE HOUSING AUTHORITY WEDNESDAY, SEPTEMBER 23, 2020 5:30 PM –STUDY SESSION WEB-CONFERENCE • VIA ZOOM • SAN BERNARDINO, CA 92410 • WWW.SBCITY.ORG Theodore Sanchez John Valdivia Jim Mulvihill MAYOR PRO-TEM, WARD 1 MAYOR COUNCIL MEMBER, WARD 7 Sandra Ibarra Teri Ledoux COUNCIL MEMBER, WARD 2 CITY MANAGER Juan Figueroa Sonia Carvalho COUNCIL MEMBER, WARD 3 CITY ATTORNEY Fred Shorett Genoveva Rocha COUNCIL MEMBER, WARD 4 CITY CLERK Henry Nickel COUNCIL MEMBER, WARD 5 Bessine L. Richard COUNCIL MEMBER, WARD 6 Welcome to a meeting of the Mayor and City Council of the City of San Bernardino. o Written comment on any item may also be submitted to the City Clerk to be included in the meeting record. It will not be read aloud by the City Clerk. o Please contact the City Clerk’s Office (909)384-5002 two working days prior to the meeting for any requests for reasonable accommodation to include interpreters. o All documents for public review are on file with the City Clerk’s Office or may be accessed online by going to www.sbcity.org. Special Meeting Agenda September 23, 2020 Mayor and City Council of the City of San Bernardino Page 3 Printed 9/17/2020 CALL TO ORDER Attendee Name Present Absent Late Arrived Mayor Pro-Tem, Ward 1 Theodore Sanchez    Council Member, Ward 2 Sandra Ibarra    Council Member, Ward 3 Juan Figueroa    Council Member, Ward 4 Fred Shorett    Council Member, Ward 5 Henry Nickel    Council Member, Ward 6 Bessine L. Richard    Council Member, Ward 7 Jim Mulvihill    Mayor John Valdivia    Acting City Clerk Genoveva Rocha    City Attorney Sonia Carvalho    City Manager Teri Ledoux    5:30 P.M. INVOCATION AND PLEDGE OF ALLEGIANCE PUBLIC COMMENTS FOR ITEMS LISTED ON THE AGENDA STUDY SESSION 1. Proposed Measure S Expenditure Policy and Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities Recommendation It is recommended that the Mayor and City Council of the City of San Bernardino, California review and consider the following: Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities (Attachment A) Proposed Measure S Expenditure Policy (Attachment B) ADJOURNMENT The next joint regular meeting of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency will be held on Wednesday, October 7, 2020 via web-conference. Closed Session will begin at 5:30 p.m. and Open Session will begin at 7:00 p.m. Special Meeting Agenda September 23, 2020 Mayor and City Council of the City of San Bernardino Page 4 Printed 9/17/2020 CERTIFICATION OF POSTING AGENDA I, Genoveva Rocha, CMC, Acting City Clerk for the City of San Bernardino, California, hereby certify that the agenda for the September 23, 2020 Special Meeting of the Mayor and City Council and the Mayor and City Council acting as the Successor Agency to the Redevelopment Agency was posted on the City’s bulletin board located at 201 North “E” Street, San Bernardino, California, at the San Bernardino Public Library located at 555 West 6th Street, San Bernardino, California, and on the City’s website sbcity.org on Thursday, September 17, 2020. I declare under the penalty of perjury that the foregoing is true and correct. ___________________________________ Genoveva Rocha, CMC, Acting City Clerk Special Meeting Agenda September 23, 2020 Mayor and City Council of the City of San Bernardino Page 5 Printed 9/17/2020 NOTICE OF A SPECIAL MEETING OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO DATE: September 17, 2020 SUJECT: Special Meeting on Wednesday, September 23, 2020 NOTICE IS HEREBY GIVEN that the Mayor of the City of San Bernardino has called a Special Meeting to be held on Wednesday, September 23, 2020, via web- conference. The Special Meeting will begin at 5:30 p.m. Said meeting shall be for the purpose of considering the following: STUDY SESSION: 1. Proposed Measure S Expenditure Policy and Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities ADJOURNMENT The Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency will adjourn to the Regular meeting of the Mayor and City Council on Wednesday, October 7, 2020 via web-conference. Closed Session will begin at 5:30 p.m. and Open Session will begin at 7:00 p.m. ___________________________________ Genoveva Rocha, CMC, City Clerk Page 1 Staff Report City of San Bernardino Request for Council Action Date: September 23, 2020 To: Honorable Mayor and City Council Members From: Teri Ledoux, City Manager Subject: Measure S Expenditure Policy Recommendation It is recommended that the Mayor and City Council of the City of San Bernardino, California review and consider the following: Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities (Attachment A) Proposed Measure S Expenditure Policy (Attachment B) Background On July 15, 2020, the Mayor and Council approved the placement of Measure S on the November 3, 2020 ballot. Measure S, if approved by voters, will establish a 1% local General Transaction and Use Tax (sales tax) beginning April 1, 2021, replacing the 0.25% Measure Z sales tax approved by voters on November 7, 2006. If Measure S is not approved, Measure Z will remain in existence until its March 31, 2022 expiration date. On August 19, 2020, the Measure Z Citizens’ Oversight Committee recommended to the Mayor and Council that clear fiscal policies, reflecting the priorities of the Mayor and City Council should be developed with regard to the use of Measure S revenues. Additionally, the Measure Z committee recommended that the roles and responsibilities of the Citizens’ Oversight Committee be expanded to allow the committee to review the annual proposed Measure S budget, to ensure that it is in accordance with the Measure S Expenditure Policy, and provide recommendations to the Mayor and City Council during the annual budget process. At the August 19, 2020, Council Meeting, the Mayor and Council directed staff to return with proposed policies that incorporate the recommendations of the Measure Z Citizens’ Oversight Committee. Discussed below are the Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities (Attachment A) and the Proposed Measure S Expenditure Policy (Attachment B). Discussion Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities (Attachment A) 1 Packet Pg. 6 6921 Page 2 When Measure Z (the City’s current 0.25% local sales tax) was placed on the ballot on November 7, 2006, the Mayor and Council also created a Measure Z Citizens’ Oversight Committee (Ordinance MC-1229). The committee is comprised of nine (9) members who serve at the pleasure of the Mayor and City Council. Pursuant to Chapter 2.17 of the Municipal Code, each City Council member nominates one member serving for the term of the nominating Council member, and the Mayor nominates two members serving during the term of the Mayor. On February 20, 2007, the Mayor and Council approved the Measure Z Citizens’ Oversight Committee Roles and Responsibilities. The current roles and responsibilities of the committee are to: Review annually Measure Z expenditures to ensure that funds are spent in accordance with Measure YY. Measure YY, also approved by voters in November 7, 2006, is the advisory measure that accompanied Measure Z and states that the proceeds of Measure Z should be used for more police officers and support personnel; and for anti-gang and anti-crime operations including drug resistance education and supervisory after-school youth activities. Review an independent audit of Measure Z revenues and expenditures. Report to the voters of the City at least once a year regarding the committee’s findings. The ballot language for Measure S also contemplates citizen oversight. The Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities stipulates, contingent upon voter approval of Measure S, that the existing Measure Z Citizens’ Oversight Committee will be replaced by the Measure S Citizens’ Oversight Committee and the existing committee members will continue to serve on the new committee through their established terms. Additionally, when the Measure Z Citizens’ Oversight Committee met on August 10, 2020, one of their recommendations was to expand their role to allow the committee’s participation in the review and oversight of planned Measure S expenditures, in addition to their current role of reviewing and auditing expenditures that have already occurred. The committee’s recommendations were presented to the Mayor and Council at the August 19, 2020 Council Meeting. The proposed roles and responsibilities for the Measure S Citizens’ Oversight Committee combine elements of the original Measure Z Committee’s roles and responsibilities and the Measure Z Committee’s recommendations for a more expanded role in the planning of Measure S expenditures; the proposed policy is detailed in Attachment “A” Measure S Citizens’ Oversight Committee - Roles and Responsibilities. Proposed Measure S Expenditure Policy (Attachment B) The purpose of the Proposed Measure S Expenditure Policy is to establish guidelines for the use of Measure S proceeds (if approved by voters on November 3, 2020). On August 19, 2020, the Measure Z Citizens’ Oversight Committee recommended to the 1 Packet Pg. 7 6921 Page 3 Mayor and Council that clear fiscal policies, reflecting the priorities of the Mayor and City Council should be developed with regard to the use of Measure S revenues. The Mayor and Council subsequently directed staff to prepare a proposed expenditure policy for the Mayor and Council’s consideration. The guiding principles of the proposed policy are: 1. Measure S expenditures should be consistent with the Measure S ballot language. Although Measure S is a general purpose transaction and use tax that may be used for all lawful purposes and general municipal services, the intent of Measure S as stated in the ballot language is to “prevent reductions to City services including public safety, 911 emergency response, gang/prostitution prevention programs, street/pothole repairs, park/library maintenance, youth after-school, senior and homelessness programs, cleaning public areas, retaining/attracting businesses, and other general services.” 2. Measure S expenditures should be consistent with the Measure Z Citizens’ Oversight Committee’s recommendations to the Mayor and Council that “fiscal policies with regard to Measure S be established to ensure the City’s long-term fiscal stability, provide clear direction so the City’s finances are managed in a manner that will provide for the delivery of quality services, ensure a balanced budget; and establish reserves necessary to meet known and unknown future obligations.” Additionally and similar to the Measure S ballot language, the Measure Z Citizens’ Oversight Committee recommended that the use of proceeds from Measure S be in keeping with the City’s key priorities including a balanced distribution of resources to support: Public Safety, emergency response and violence intervention services Cleaner and safer neighborhoods Retaining and attracting new businesses Street, park, and library maintenance improvements 3. Measure S expenditures should be consistent with the Mayor and Council’s established strategic goals and objectives, beginning with the 2020-2025 Strategic Targets and Goals adopted on January 15, 2020, as summarized below and detailed in Attachment C: Financial Stability Focused, Aligned Leadership and Unified Community Improved Quality of Life Economic Growth and Development 4. Measure S expenditures will be considered in the context of maintaining compliance with the City’s General Fund Reserve Policy adopted on November 21, 2018 (Attachment D). The Proposed Measure S Expenditure Policy does not recommend specific set 1 Packet Pg. 8 6921 Page 4 percentages for programs. Rather the approach is that each year during the budget process, allocation of Measure S proceeds will be considered in the context of the guiding principles outlined above. It is understood that depending upon the economy, as the chart below illustrates, actual revenues will fluctuate; therefore, the amount allocated to qualifying uses will vary by year depending upon resources available. In addition to showing the history of Measure Z revenues, it also includes projections for Measure S revenues through FY 2026-27 when revenues are expected to reach over $40 million annually. As the ballot language states, Measure S should prevent reductions to qualifying services. Currently, all of Measure Z proceeds are allocated to public safety services and the violence intervention program (VIP) which is designed to respond to community violence as an effort to reduce gun violence in the City, to improve outcomes for those at highest risk of violence, and to strengthen trust-based working partnerships between the community and the Police. It is recommended that, in order to mitigate reductions in these areas, the level of Measure Z funding currently dedicated to these programs remain as a baseline for allocation of Measure S funds going forward. All revenues above this amount will be allocated to qualifying programs and services annually as part of the annual budget process and in accordance with the guiding principles consistent with: the Measure S ballot language, the Mayor and Council’s adopted Targets and Goals, and the City’s adopted reserves policy. The Proposed Measure S Expenditure Policy directs the City Manager, as part of the annual budget process, to prepare a Measure S spending plan for consideration by the Mayor and Council and also provides for review and input of the annual proposed spending plan by the Measure S Citizens’ Oversight Committee. Next Steps 1 Packet Pg. 9 6921 Page 5 Following the Council workshop, the draft resolutions will be updated and presented to the Measure Z Citizens’ Oversight Committee for review and input on October 5, 2020. The draft resolutions will be brought back for adoption by the Mayor and City Council on October 7, 2020 along with any recommended changes presented for consideration by the committee. 2020-2025 Key Strategic Targets and Goals Review and approval of the Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities (Attachment A) and the Proposed Measure S Expenditure Policy (Attachment B) align with Key Target No. 1: Financial Stability. Fiscal Impact No fiscal impact to the City from the review and approval of these proposed policies. Conclusion It is recommended that the Mayor and City Council of the City of San Bernardino, California review and consider the following: Proposed Measure S Citizens’ Oversight Committee - Roles and Responsibilities (Attachment A) Proposed Measure S Expenditure Policy (Attachment B) Attachments Attachment A Proposed Measure S Citizens’ Oversight Committee - Roles Responsibilities Attachment B Proposed Measure S Expenditure Policy Attachment C Mayor and Council’s Strategic Targets and Goals for 2020 through 2025 Attachment D Resolution 2018-308 establishing the City’s General Fund Reserve Policy Ward(s): All Synopsis of Previous Council Actions: July 15, 2020: The Mayor and City Council approved placement of a 1% general sales tax measure on the November 3, 2020 general election ballot. August 19, 2020: The Mayor and City Council received the Measure Z Citizens’ Oversight Committee’s report on the use of Measure Z funds for fiscal years 2016/17 through 2018/19 and the Committee’s recommendations regarding Measure S. Mayor and Council directed staff to prepare a draft Measure S expenditure policy. 1 Packet Pg. 10 Attachment A RESOLUTION NO. 2020-____ RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING THE MEASURE S CITIZENS’ OVERSIGHT COMMITTEE WHEREAS, the City Council previously established the Measure Z Citizens’ Oversight Committee by ordinance to advise the Mayor, City Council, and City Manager regarding the use of proceeds from Measure Z, the City’s local .25% sales tax measure approved by voters on November 7, 2006; and WHEREAS, on July 15, 2020, the City Council approved placement of a 1% local sales tax measure, entitled Measure S, on the November 3, 2020 ballot; and WHEREAS, if Measure S is approved by voters on November 3, 2020, Measure Z will cease and Measure S will take effect; and WHEREAS, oversight of Measure S proceeds will also be subject to oversight by a citizen committee which the Council desires to form by enactment of this resolution. BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The above recitals are true and correct and are incorporated herein by this reference. SECTION 2. The Measure S Citizens’ Oversight Committee’s advisory roles and responsibilities, serving in an advisory capacity to the Mayor, City Council, and City Manager shall be as follows: 1. As part of the City’s annual budget process, the Measure S Citizens’ Oversight Committee will review the City Manager’s proposed Measure S spending plan and verify that proposed expenditures are in accordance with: A. Measure S ballot language and the Mayor and Council’s adopted strategic goals and priorities:  Public Safety, emergency response and violence intervention services  Cleaner and safer neighborhoods  Retaining and attracting new businesses  Street, park, and library maintenance improvements  Youth, senior, and homelessness service programs 1.a Packet Pg. 11 Attachment: Attachment A - Resolution Establishing Measure S Citizens' Oversight Committee (6921 : Measure S Expenditure Policy) B. The City’s General Fund Reserve Policy adopted by Resolution No. 2018-308 on November 21, 2018. 2. Annually the committee will present to the Mayor and Council the results of their review of the proposed Measure S spending plan. 3. Upon completion of the City’s annual year-end close and independent audit, the committee will review staff’s year-end report of Measure S revenues and expenditures as well as the results of the annual audit of Measure S revenues and expenditures (to be completed by and independent Certified Public Accounting Firm). The purpose of the review is to ensure that revenues and expenditures were properly accounted for and were in accordance with the Mayor and Council’s priorities and goals as stated above in #1. 4. Annually the committee will present the findings of their review of the annual year- end report and independent audit to the Mayor and Council. SECTION 3. The existing members of the Measure Z Citizens’ Oversight Committee previously established by ordinance shall continue to serve as members of the Measure S Citizens’ Oversight Committee until they are replaced. Members of the Committee shall be appointed and serve pursuant to the provisions of Chapter 2.17 of the Municipal Code. SECTION 4. Each member of the Committee shall serve without compensation. The Committee shall meet at designated times as needed to allow for participation by its members and the public. Five members shall constitute a quorum, but a lesser number of members may adjourn from time to time. SECTION 5. This Resolution shall take effect upon the approval of Measure S by the voters on November 3, 2020. If Measure S is not approved by the voters, the existing Measure Z Citizens’ Oversight Committee will remain in effect until the expiration of Measure Z on March 31, 2022. 1.a Packet Pg. 12 Attachment: Attachment A - Resolution Establishing Measure S Citizens' Oversight Committee (6921 : Measure S Expenditure Policy) APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this ___ day of __________ 2020. John Valdivia, Mayor City of San Bernardino Attest: Genoveva Rocha, CMC, City Clerk Approved as to form: Sonia Carvalho, City Attorney 1.a Packet Pg. 13 Attachment: Attachment A - Resolution Establishing Measure S Citizens' Oversight Committee (6921 : Measure S Expenditure Policy) CERTIFICATION STATE OF CALIFORNIA) COUNTY OF SAN BERNARDINO) ss CITY OF SAN BERNARDINO) I, Genoveva Rocha, CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______ 2020 by the following vote: Council Members: AYES NAYS ABSTAIN ABSENT SANCHEZ _____ _____ _______ _______ IBARRA _____ _____ _______ _______ FIGUEROA _____ _____ _______ _______ SHORETT _____ _____ _______ _______ NICKEL _____ _____ _______ _______ RICHARD _____ _____ _______ _______ MULVIHILL _____ _____ _______ _______ WITNESS my hand and official seal of the City of San Bernardino this ___ day of ____________ 2020. Genoveva Rocha, CMC, City Clerk 1.a Packet Pg. 14 Attachment: Attachment A - Resolution Establishing Measure S Citizens' Oversight Committee (6921 : Measure S Expenditure Policy) Attachment B RESOLUTION NO.______ RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING A MEASURE “S” EXPENDITURE POLICY WHEREAS, on July 15, 2020, the City Council approved placement of a 1% local sales tax measure, entitled Measure S, on the November 3, 2020 ballot; and WHEREAS, Measure S is a general purpose transaction and use tax that may be used for all lawful purposes and general municipal services; and WHEREAS, the intent of Measure S as stated in the ballot language is to “prevent reductions to City services including public safety, 911 emergency response, gang/prostitution prevention programs, street/pothole repairs, park/library maintenance, youth after-school, senior and homelessness programs, cleaning public areas, retaining/attracting businesses, and other general services”; and WHEREAS, on January 15, 2020, the Mayor and Council adopted the following Key Strategic Targets and Goals for 2020 through 2025:  Financial Stability  Focused, Aligned Leadership and Unified Community  Improved Quality of Life  Economic Growth and Development; and WHEREAS, the Mayor and Council adopted Resolution No. 2018-308 on November 21, 2018 establishing a General Fund Reserve Policy; and WHEREAS, the Mayor and Council desire to ensure, by enactment of this resolution, that the expenditure of Measure S proceeds be used in accordance with the Measure S ballot language, the City’s adopted Key Strategic Targets and Goals, and the City’s adopted General Fund Reserve Policy. BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The above recitals are true and correct and are incorporated herein by this reference. SECTION 2. The Measure S Expenditure Guidelines shall be as follows: 1.) In order to provide for greater transparency and accountability in connection with expenditures of Measure S tax revenues, the City will establish a separate sub-fund of the General Fund to track all revenues and expenditures related to Measure S. 1.b Packet Pg. 15 Attachment: Attachment B - Resolution Establishing Measure S Expenditure Policy (6921 : Measure S Expenditure Policy) Resolution No. ___ 2.) As part of the City’s annual budget preparation process, the City Manager will bring forward to both the Measure S Citizens’ Oversight Committee and the Mayor and Council, a proposed spending plan for Measure S proceeds. The Measure S Citizens’ Oversight Committee will forward their recommendations to the Mayor and Council for consideration. 3.) Recognizing that Measure S is to prevent further reductions to City services, and in accordance with the Mayor and Council’s goal of financial stability, allocation of Measure S revenue will first be considered in the context of preserving existing levels of service and maintaining compliance with the City’s General Fund Reserve Policy adopted on November 21, 2018 (resolution 2018-308). 4.) After existing levels of City services are preserved, the remaining Measure S funds will be proposed for use in support of Mayor and City Council’s adopted strategic goals and priorities in accordance with the Measure S ballot language and recommendations of the Measure Z Citizens’ Oversight Committee:  Public Safety, emergency response and violence intervention services  Cleaner and safer neighborhoods  Retaining and attracting new businesses  Street, park, and library maintenance improvements  Youth, senior, and homelessness service programs 5.) The City Manager, as part of the annual budget process, will prepare a list of the City’s unfunded needs. The most critical needs consistent with the uses outlined in #5 above will be prioritized and included in the Measure S proposed spending plan. 6.) The cost for the annual audit of Measure S expenditures will be paid from Measure S proceeds. SECTION 3. Effective Date. This resolution shall become effective upon approval of Measure S by the voters on November 3, 2020. 1.b Packet Pg. 16 Attachment: Attachment B - Resolution Establishing Measure S Expenditure Policy (6921 : Measure S Expenditure Policy) Resolution No. ___ APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this ___ day of __________ 2020. John Valdivia, Mayor City of San Bernardino Attest: Genoveva Rocha, CMC, City Clerk Approved as to form: Sonia Carvalho, City Attorney 1.b Packet Pg. 17 Attachment: Attachment B - Resolution Establishing Measure S Expenditure Policy (6921 : Measure S Expenditure Policy) Resolution No. ___ CERTIFICATION STATE OF CALIFORNIA) COUNTY OF SAN BERNARDINO) ss CITY OF SAN BERNARDINO) I, Genoveva Rocha, CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______ 2020 by the following vote: Council Members: AYES NAYS ABSTAIN ABSENT SANCHEZ _____ _____ _______ _______ IBARRA _____ _____ _______ _______ FIGUEROA _____ _____ _______ _______ SHORETT _____ _____ _______ _______ NICKEL _____ _____ _______ _______ RICHARD _____ _____ _______ _______ MULVIHILL _____ _____ _______ _______ WITNESS my hand and official seal of the City of San Bernardino this ___ day of ____________ 2020. Genoveva Rocha, CMC, City Clerk 1.b Packet Pg. 18 Attachment: Attachment B - Resolution Establishing Measure S Expenditure Policy (6921 : Measure S Expenditure Policy) SAN BERNARDINO MAYOR AND CITY COUNCIL 2020-2025 KEY STRATEGIC TARGETS AND GOALS 1.FINANCIAL STABILITY a.Secure a long-term revenue source b.Implement, maintain, and update a fiscal accountability plan c.Create a framework for spending decisions d.Minimize risk and litigation exposure e. Create an asset management plan 2.FOCUSED, ALIGNED LEADERSHIP AND UNIFIED COMMUNITY a.Develop and implement a community engagement plan b.Build a culture that attracts, retains, and motivates the highest quality talent 3.IMPROVED QUALITY OF LIFE a.Reduce the burden of homelessness through engagement, collaboration, and alignment with other entities b.Develop a customer service initiative c.Constantly evaluate public safety service delivery models to enhance the quality of service 4.ECONOMIC GROWTH & DEVELOPMENT a.Develop a branding and marketing campaign b.Update the General Plan and Development Code c.Roll out a strategy to create a 21st century urban core 2020-2025 KEY STRATEGIC TARGETS AND GOALS Attachment C 1.c Packet Pg. 19 Attachment: Attachment C - Mayor and Council 2020-2025 Key Goals and Objectives (6921 : Measure S Expenditure Policy) CITY OF SAN BERNARDINO VISION FOR THE FUTURE WE ENVISION a world class city which capitalizes on its location, the diversity of its people and its economy to create a broad range of choices for its residents in how they live, work, and play. WE ENVISION a thriving city possessing a sustainable system of high-quality education, community health, public safety, housing, retail, recreation, arts and culture and infrastructure. WE ENVISION a vibrant economy with a skilled workforce that attracts employers who seek the unique opportunities the city has to offer and provide jobs that create citywide prosperity. WE ENVISION a model community which is governed in an open and ethical manner, where all sectors work collaboratively to reach shared goals. WE ENVISION a city that is recognized as the county’s business and government center and a home for those seeking a sense of community and the best life has to offer. VISION FOR THE FUTURE 1.c Packet Pg. 20 Attachment: Attachment C - Mayor and Council 2020-2025 Key Goals and Objectives (6921 : Measure S Expenditure Policy) CITY OF SAN BERNARDINO JOB STATEMENT The job of the City of San Bernardino is to create, maintain, and grow economic value in the community. JOB STATEMENT 1.c Packet Pg. 21 Attachment: Attachment C - Mayor and Council 2020-2025 Key Goals and Objectives (6921 : Measure S Expenditure Policy) CITY OF SAN BERNARDINO OPERATING PARADIGM The City of San Bernardino is a municipal corporation. The City Council functions as the elected Board of Directors of the corporation, the Mayor as the Chair of the Board, and the City Manager as the appointed CEO. The City needs revenue to pay for services and amenities to maintain the built environment. Income for the corporation comes directly or indirectly from anyone spending money in the City. They are investing in San Bernardino. Each of those investors has a choice whether to spend their money in the City of San Bernardino or another jurisdiction. Therefore, the City is in competition for that investment. The level of service, the amenities, the breadth of choices of lifestyle and the quality of life help to determine where investors will choose to spend their money. Every single interaction we have is an opportunity to win or lose that investment. OPERATING PARADIGM 1.c Packet Pg. 22 Attachment: Attachment C - Mayor and Council 2020-2025 Key Goals and Objectives (6921 : Measure S Expenditure Policy) Resolution No. 2018-308 RESOLUTION NO. 2018-308 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING A GENERAL FUND RESERVE POLICY WHEREAS, maintenance of sufficient budget reserves is a central component of sound financial management practices; and WHEREAS, the City of San Bernardino annually adopts an operating budget that allocates resources to City departments for the provision of services to the public; and WHEREAS, reserves are designed to set aside funding today for future liabilities, capital projects and capital purchases; assist in maintaining stable service levels in times of declining revenues and/or unanticipated operating expenditures; and facilitate the continuation of services in the event of natural disasters or fiscal emergencies; and WHEREAS, when projected revenue exceeds proposed expenditures, the surplus increases the balance of available reserves; and WHEREAS the goal of this policy is to ensure that sufficient resources exist to address anticipated needs, as well as unanticipated needs that may arise on an infrequent basis. WHEREAS, a twenty-five reserve is recommended for fiscal stability; such reserve shall be split between an Emergency Reserve (15%) and an Economic Contingency Reserve 10%); and WHEREAS, should the General Fund reserves exceed thirty percent, staff will present a plan to the Mayor and City Council to utilize excess funds consistent with its adopted Goals which could include special reserves for: capital projects, vehicle, or equipment purchases not originally planned for the current fiscal year; early repayment of outstanding debt obligations; or other expenditures of a one-time nature. BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The above recitals are true and correct and are incorporated herein by this reference. SECTION 2. The Mayor and City Council hereby adopts the "General Fund Reserve Policy," attached hereto as Exhibit "A" and incorporated herein and made a part of this Resolution. SECTION 3. Effective Date. This Resolution shall become effective immediately. APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this 21St day of November 2018. Attachment D 1.d Packet Pg. 23 Attachment: Attachment D - City General Fund Reserve Policy (6921 : Measure S Expenditure Policy) Resolution No. 2018-308 Ctccd4 R. Carey Da is, Mayor City of SaWBernardino Attest: Georgeann H na, MMC, fy Clerk Approved as to form: Gary D. Saenz, City Attorney 1.d Packet Pg. 24 Attachment: Attachment D - City General Fund Reserve Policy (6921 : Measure S Expenditure Policy) Resolution No. 2018-308 CERTIFICATION STATE OF CALIFORNIA) COUNTY OF SAN BERNARDINO) ss CITY OF SAN BERNARDINO ) I, Georgeann Hanna, MMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2018-308 adopted at a regular meeting held at the 21St day of November 2018 by the following vote: Council Members: AYES NAYS ABSTAIN ABSENT MARQUEZ BARRIOS VALDIVIA 1' SHORETT X NICKEL RICHARD ! MULVIHILL WITNESS my hand and official seal of the City of San Bernardino this 21" day of November 2018. Georgeann Hinna, MMC, Ci ' Clerk 1.d Packet Pg. 25 Attachment: Attachment D - City General Fund Reserve Policy (6921 : Measure S Expenditure Policy) Attachment 1" City of San Bernardino General Fund Reserve Policy Adopted November 21, 2018 I. PURPOSE To 1) provide a framework for the allocation of available General Fund resources to various categories of budget reserves and 2) provide guidelines under which these reserves may be utilized for operating or capital purposes with approval by the Mayor and City Council. II. BACKGROUND Maintenance of sufficient budget reserves is a central component of sound financial management practices. Reserves are designed to set aside funding today for future liabilities, capital projects and capital purchases; assist in maintaining stable service levels in times of declining revenues and/or unanticipated operating expenditures; and facilitate the continuation of services in the event of natural disasters or fiscal emergencies. The City of San Bernardino annually adopts an operating budget that allocates resources to City departments for the provision of services to the public. To determine the amount of funds available for appropriation, City management develops a revenue projection and notes the available reserve balance from the prior fiscal year. Proposed expenditures are then matched against these available resources. If proposed expenditures exceed projected revenue, utilization of available reserves may be used to meet the proposed level of spending thus decreasing the available reserve. When projected revenue exceeds proposed expenditures, the surplus increases the opening balance of available reserves if the budget is not amended to use these surplus funds. The City also has known capital needs that include facilities, equipment, vehicle, and infrastructure replacement. This policy's goal is to ensure that sufficient resources exist to address these anticipated needs, as well as unanticipated needs that may arise on an infrequent basis. 1.d Packet Pg. 26 Attachment: Attachment D - City General Fund Reserve Policy (6921 : Measure S Expenditure Policy) III. POLICY 1. General Fund Operating Reserve: It shall be the policy of the City of San Bernardino to maintain a General Fund operating reserve equal to 25% of General Fund budget appropriations. This reserve is to be further broken down as follows: A. An Emergency Reserve of 15% - This reserve account is established for the purpose of addressing any extremely unusual and infrequent occurrences, such as a major natural disaster or a major unforeseen legal settlement or judgment. Utilization of the Emergency Reserve may only occur after the declaration of an emergency by a majority of the City Council. Following the resolution of the emergency, staff must present a plan to the Mayor and City Council to return the Emergency Reserve to the 15% minimum level as quickly as is practicable given the unique circumstances and requirements of each emergency. B. An Economic Contingency Reserve of 10% - This reserve account is established for the purpose of providing a mechanism to allow for a measured and thoughtful reduction in expenditures during times of economic downturn. Utilization of the Economic Contingency Reserve requires approval by a majority of the City Council. When it is determined that the economic downturn has ended and the City's financial condition is improving, staff is required to present a plan to the Mayor and City Council to return the economic contingency reserve to the 10% minimum level over a period of no more than five years. If the General Fund operating reserve exceeds 30% of General Fund budget appropriations, staff is required to present a plan to the Mayor and City Council to utilize excess funds consistent with its adopted Goals and Objectives to a point that the balance is again consistent with the policy. Uses could include accelerating funding into the special reserves noted below in this policy; capital projects, vehicle, or equipment purchases not originally planned for the current fiscal year; early repayment of outstanding debt obligations; or other expenditures of a one-time nature. If an action of the City Council for a reason other than those described above reduces the General Fund operating reserve balance below the 25% level required by this policy, staff must include an allocation to reserves in the 1.d Packet Pg. 27 Attachment: Attachment D - City General Fund Reserve Policy (6921 : Measure S Expenditure Policy) following budget cycle sufficient to restore the reserve balance to the 25% minimum balance required by this policy. 2. General Fund Special Reserves: It shall be the policy of the City of San Bernardino to establish General Fund special reserves to provide funding for future anticipated liabilities and capital needs. These reserves shall be segregated into the following four accounts: A. Risk Management Reserve — This reserve account is established to Lund anticipated liabilities associated with general liability and workers' compensation claims against the City. Its balance will be initially determined, and thereafter adjusted, based on the balance of available reserve funds after meeting the General Fund Operating Reserve requirement and then giving consideration to both the outstanding balance of claims as well as to the anticipated timing of claim payments. B. City Facilities Reserve — This reserve account is established to fund the cost of replacing city buildings and park facilities. Its balance will be initially determined, and thereafter adjusted, based on the balance of available reserve funds after meeting the General Fund Operating Reserve requirement and then giving consideration to the facilities needs analysis maintained by the Public Works department. C. Vehicles and Equipment Reserve — This reserve account is established to fund the cost of replacing General Fund -funded city vehicles and major equipment (including technology equipment). Its balance will be initially determined, and thereafter adjusted, based on the balance of available reserve funds after meeting the General Fund Operating Reserve requirement and then giving consideration to the vehicle and equipment assessment needs analyses maintained by the Fleet division and the Information Technology department. D. Infrastructure Reserve — This reserve account is established to provide additional funding for the cost of replacing city infrastructure such as roads, sidewalks, and storm drains. These funds are to supplement dedicated non -General Fund revenue streams and competitive grants that also fund these types of projects. These funds may also provide for the match requirement on a grant when other resources are not available. No specific balance target is spelled out by this policy, but the reserve is 1.d Packet Pg. 28 Attachment: Attachment D - City General Fund Reserve Policy (6921 : Measure S Expenditure Policy) established for the receipt of funds for this purposes when directed by the Mayor and City Council. The goal for General Fund special reserves is to fund at a level sufficient to address anticipated requirements over a projected period of 30 years, subject to availability of funds and prioritization of funding between the four categories of special reserves by the Mayor and City Council. As a part of each annual budget presented to the Mayor and City Council, staff will update the balances for the four categories of special reserves and any anticipated utilization or additions to the General Fund special reserves. IV. PROCEDURES At the conclusion of each fiscal year and at each fiscal year's mid -year budget update, the General Fund reserve levels shall be reviewed by staff and detailed to the Mayor and City Council. The City Manager shall make recommendations for additions to or disbursements from the reserve funds consistent with this policy. 1.d Packet Pg. 29 Attachment: Attachment D - City General Fund Reserve Policy (6921 : Measure S Expenditure Policy)