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HomeMy WebLinkAbout09-12-2023 MCC SpecialCity of San Bernardino 201 North E Street San Bernardino, CA 92401 http://www.sbcity.org Minutes 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, MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE HOUSING AUTHORITY, AND MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE SAN BERNARDINO JOINT POWERS FINANCING AUTHORITY MONDAY, SEPTEMBER 12, 2023 5:30 PM The Special Meeting of the Mayor and City Council of the City of San Bernardino was called to order at 5:35 pm by Mayor Helen Tran on Tuesday, September 12, 2023, at Feldheym Central Library, San Bernardino, CA. CALL TO ORDER Attendee Name Title Status Arrived Theodore Sanchez Council Member, Ward 1 Present Sandra Ibarra Council Member, Ward 2 Present Juan Figueroa Mayor Pro-Tem, Ward 3 Present Fred Shorett Council Member, Ward 4 Present Ben Reynoso Council Member, Ward 5 Present Kimberly Calvin Council Member, Ward 6 Present Damon L Alexander Council Member, Ward 7 Present Helen Tran Mayor Present Charles E. McNeely Interim City Manager Present Sonia Carvalho City Attorney Present Genoveva Rocha City Clerk Present Telicia Lopez Chief Deputy City Clerk Present Mayor Helen Tran Council Members Theodore Sanchez Sandra Ibarra Juan Figueroa Fred Shorett Ben Reynoso Kimberly Calvin Damon L. Alexander Special Meeting Minutes September 12, 2023 Mayor and City Council of the City of San Bernardino Page 2 INVOCATION AND PLEDGE OF ALLEGIANCE Dr. Joshua Beckley led the invocation and Council Member Sandra Ibarra led the Pledge of Allegiance to the flag. PUBLIC COMMENTS FOR ITEMS LISTED ON THE AGENDA The following speakers expressed support for the Strategic Initiative Plan and urged Council approval, citing its potential to provide long-term vision, stability, economic growth, and community investment. They also highlighted the importance of downtown revitalization, public safety, support for local businesses, accountability, and community collaboration. CONSENT CALENDAR 1.Agreement with Southern California Edison (SCE) for Charge Ready Program. (Wards 1 & 3) Recommendation: It is recommended that the Mayor and City Council of the City of San Bernardino, California, authorizes the City Manager and staff to negotiate, finalize, and execute the draft SCE Charge Ready Charging Infrastructure and Rebate Participation Agreements, plans, amendments, and program required documents. RESULT: APPROVED STAFF RECOMMENDATION [6-1] MOVER: Fred Shorett, Council Member, Ward 4 SECONDER: Damon Alexander, Council Member, Ward 7 AYES: Sanchez, Ibarra, Shorett, Reynoso, Calvin, Alexander NOES: Juan Figueroa DISCUSSION 2.Discussion of Debt Issuance Options for the City of San Bernardino Recommendation: Receive and file a report on the options for debt issuance. Special Meeting Minutes September 12, 2023 Mayor and City Council of the City of San Bernardino Page 3 3.Establish the Economic Development Advisory Ad Hoc Sub-Committee (Wards 1 & 3) Recommendation: 1.Adopt Resolution No. 2023-146 of the Mayor and City Council of the City of San Bernardino, California, establishing the Economic Development Advisory Ad Hoc Sub Committee. 2.Mayor to appoint three (3) Councilmembers to the sub-committee. There was a motion by Mayor Pro-Tem Shorett to continue items No. 2 and No. 3 to the meeting of November 1, 2023. RESULT: CONTINUED ITEMS NO. 2 AND NO. 3 TO THE MEETING OF NOVEMBER 1, 2023 [4-3] MOVER: Fred Shorett, Council Member, Ward 4 SECONDER: Damon Alexander, Council Member, Ward 7 AYES: Sanchez, Ibarra, Figueroa, Shorett NOES: Ben Reynoso, Kimberly Calvin, Damon Alexander 4.Strategic Initiatives (All Wards) Recommendation: It is recommended that the Mayor and City Council of the City of San Bernardino,California: 1.Adopt Resolution No. 2023-144: a.Approving and authorizing the Agency Director of Administrative Services to amend the City of San Bernardino’s FY 2023/24 Operating Budget totaling $5,705,188 with $3,435,188 in General Fund Strategic Reserve appropriations, $1,700,000 in General Fund Capital Contingency Reserve appropriations, and $570,000 in Cultural Development Fund appropriations; and b.Approving the creation of the Economic Development Department; and c.Directing staff to prepare and bring back a revised City salary schedule to include any new positions that are budgeted. 2.Approve the Proposed Strategic Initiatives for Future Years to be considered as part of the FY 2024/25 & FY 2025/26 Biennial Budget process and prioritize the Strategic Initiatives for funding. 3.Direct staff to bring back Strategic Initiatives that require further Council review and approval. A motion to take individual action on the Strategic Initiatives was made and approved. The details of the Strategic Initiatives were provided in the staff recommendations within the staff report and the PowerPoint. To review and act on the Special Meeting Minutes September 12, 2023 Mayor and City Council of the City of San Bernardino Page 4 recommendations, the City Council reviewed slides 32 through 44 of the PowerPoint. Staff were directed to bring back Resolution No. 2023-144 at a future meeting, due to the significant changes made. Staff will bring the resolution back at a future meeting. RESULT: SEPARATE THE INITIATIVES INTO THE 13 SLIDES TO REVIEW AND TAKE ACTION ON THE STAFF RECOMMENDATION [5-2] MOVER: Theodore Sanchez, Council Member, Ward 1 SECONDER: Fred Shorett, Council Member, Ward 4 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso NOES: Kimberly Calvin, Damon Alexander RESULT: APPROVED THE QUALITY OF LIFE MINI-LOADER, BIOHAZARD AGREEMENT, WEED ABATEMENT AGREEMENT, HAZARD PAY FOR TWO CREWS TO BEGIN IN FY 23/24 AND A CITY-WIDE SECURITY CONTRACT. THE FUNDING SOURCE WILL BE THE GENERAL FUND. [7-0] MOVER: Damon Alexander, Council Member, Ward 7 SECONDER: Theodore Sanchez, Council Member, Ward 1 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: APPROVED THE QUALITY-OF-LIFE POLICE DEPARTMENT TEAM AND PARK RANGER PROGRAM FOR FY 23/24 AND COMMITTED FUNDING TO HOMELESSNESS SERVICES AND SUSTAINABILITY IN 26/27. APPROVED THE RECCOMENDATION FOR ADDITIONAL RULES FOR RESTRICTION AROUND SENSITIVE USES AND AN ORDINANCE PROHIBITING STORAGE OF PERSONAL PROPERTY IN PUBLIC AREAS. [7-0] MOVER: Ben Reynoso, Council Member, Ward 5 SECONDER: Kimberly Calvin, Council Member, Ward 6 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: APPROVED THE ONE STOP SHOP DESIGN AND CONSTRUCTION WITH THE ADDITION OF AN OMBUDSPERSON AND A BILINGUAL SENIOR CUSTOMER SERVICE REPRESENTATIVE. [ 7-0] MOVER: Theodore Sanchez, Council Member, Ward 1 SECONDER: Ben Reynoso, Council Member, Ward 5 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander Special Meeting Minutes September 12, 2023 Mayor and City Council of the City of San Bernardino Page 5 RESULT: APPROVED INFRASTRUCTURE RECOMMENDATION FOR THE CITY HALL SPACE STUDY, BRIDGE MANAGEMENT MASTER PLAN, ADA MASTER PLAN PHASE 1 AND PRIORITIZING THE ADA MASTER PLAN FUTURE PHASES, STORM DRAIN PLAN, AND FACILITY BUILDING MANAGEMENT PLAN. [ 7-0] MOVER: Kimberly Calvin, Council Member, Ward 6 SECONDER: Ben Reynoso, Council Member, Ward 5 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: APPROVED CONTRACTS FOR FEDERAL AND STATE ADVOCACY SERVICES AND A LEGISLATIVE & GOVERNMENTAL AFFAIRS MANAGER. COUNCIL DIRECTED STAFF TO IDENTIFY A LIST OF POTENTAIL PROJECTS FOR THE UPCOMING STATE AND FEDERAL FUNDING CYCLES. UPDATE THE LEGISLATIVE PLATFORM TO EXPAND THE HOMELESSNESS PLATFORM AND INCLUDE ANIMAL SERVICES. [7-0] MOVER: Kimberly Calvin, Council Member, Ward 6 SECONDER: Ben Reynoso, Council Member, Ward 5 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: APPROVED STAFF RECOMMENDATION TO ESTABLISH OPERATION PLANS AND ROADMAPS THAT INCLUDE COMMUNITY STAKEHOLDER PARTNERSHIPS TO IMPLEMENT A NEW ECONOMIC DEVELOPMENT PLAN TO REVITALIZE THE DOWNTOWN [ 7-0] MOVER: Ben Reynoso, Council Member, Ward 5 SECONDER: Kimberly Calvin, Council Member, Ward 6 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: APPROVED STAFFING IN ECONOMIC DEVELOPMENT DEPARTMENT TO INCLUDE A DIRECTOR OF ECONOMIC DEVELOPMENT, THREE ECONOMIC DEVELOPMENT MANAGERS AND AN ADMINISTRATIVE ASSISTANT. [5-2] MOVER: Kimberly Calvin, Council Member, Ward 6 SECONDER: Ben Reynoso, Council Member, Ward 5 AYES: Ibarra, Figueroa, Reynoso, Calvin, Alexander NOES: Theodore Sanchez, Fred Shorett Special Meeting Minutes September 12, 2023 Mayor and City Council of the City of San Bernardino Page 6 RESULT: APPROVED ADDITIONAL STAFFING IN ANIMAL SERVIES TO INCLUDE A DEPUTY DIRECTOR OF ANIMAL SERVICES, REGISTERED VETERINARY TECHNICIAN, AND A VETERINARY ASSISTANT. [ 7-0] MOVER: Ben Reynoso, Council Member, Ward 5 SECONDER: Kimberly Calvin, Council Member, Ward 6 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: MOTION TO APPROVE THE ADDITION OF AN ASSISTANT CITY MANAGER IN THE CITY MANAGERS OFFICE FAILED [ 3-4] MOVER: Damon Alexander, Council Member, Ward 7 SECONDER: Kimberly Calvin, Council Member, Ward 6 AYES: Reynoso, Calvin, Alexander NOES: Theodore Sanchez, Sandra Ibarra, Juan Figueroa, Fred Shorett RESULT: APPROVED THE ADDITION OF ONE HOUSING DIVISION MANAGER, ONE PRINCIPAL ACCOUNTANT, AND ONE MANAGEMENT ANALYST II [ 7-0] MOVER: Ben Reynoso, Council Member, Ward 5 SECONDER: Damon Alexander, Council Member, Ward 7 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: APPROVED STAFFING OF DEPUTY DIRECTOR OF PARKS AND RECREATION [ 7-0] MOVER: Damon Alexander, Council Member, Ward 7 SECONDER: Theodore Sanchez, Council Member, Ward 1 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander RESULT: APPROVED STAFFING RECLASSIFICATION OF THE CITY PLANNER, AND ADDED A SENIOR PLANNER, ASSOCIATE PLANNER, PLANNING AIDE, AND ADMINISTRATIVE ASSISTANT TO THE PLANNING DIVISION [ 7-0] MOVER: Ben Reynoso, Council Member, Ward 5 SECONDER: Kimberly Calvin, Council Member, Ward 6 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander Special Meeting Minutes September 12, 2023 Mayor and City Council of the City of San Bernardino Page 7 RESULT: APPROVED ADDITIONAL PUBLIC WORKS STAFF OF THREE ENGINEERING PROJECT MANAGERS AND A LAND DEVELOPMENT ENGINEER. APPROVED THE RETITLING OF DEPARTMENTS AND AGENCY DIRECTORS [ 7-0] MOVER: Damon Alexander, Council Member, Ward 7 SECONDER: Kimberly Calvin, Council Member, Ward 6 AYES: Sanchez, Ibarra, Figueroa, Shorett, Reynoso, Calvin, Alexander ADJOURNMENT The Special meeting of the Mayor and City Council was adjourned on Monday, September 12, 2023, at 10:05 p.m. The next joint Special meeting - Workshop 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 4, 2023, at the Feldheym Central Library located at 555 West 6th Street, San Bernardino, California 92401. Closed Session will begin at 5:30 p.m. Open Session will begin at 7:00 p.m. By:___________________________ Telicia Lopez, CMC Mayor and City Council Strategic Initiatives September 12, 2023 1 City Manager’s Opening Remarks Charles McNeely 2 Position Control Economic Forecast Bottom Line: Funding Strategic Initiatives Overview June 30 Workshop Recap Growth Over Time & Staff Structure Market Position 3 June 30 Workshop Recap Agenda Topics Quality of Life Initiatives Development Services One Stop Shop Project Infrastructure Master Plan & City Hall Building Legislative Affairs Program Economic Development Bottom Line: Fiscal ImpactOn Friday, June 30, 2023, the Mayor and City Council held an informational workshop where no formal action was taken. 4 Economic Forecast Presented by: Barbara Whitehorn 5 Inflation, CPI and Employment Inflation •Inflation slowing down •July Inflation: 3.2% •Slightly higher than June's 2.97% •July 2022 inflation: 8.5% Consumer Price Index (matches inflation) •July 2023 year-over-year: 3.2% •Down from peak 9.1% in June 2022 Employment and Wage Growth •1.6 jobs for every 1 unemployed person •Hourly earnings increased 4.4% year-over-year •May hit 6% this year The Fed has a goal of 2.0% inflation 6 Economics and Forecast Sales Tax – State and Local •Growth is anticipated to slow in FY 2023/24 •Statewide growth: 0.5% •City of San Bernardino growth: 4-5% •Main Drivers: •Slowdown in auto sales (-3.3%) •Energy prices coming down (-6.4%) Property Tax •The City receives a portion of Property Tax in lieu of VLF Fees annually (73.2%) •$21,349,222 in FY 2023 Growth is slowing, but sales tax receipts are still increasing The City has an option to exercise the reopener clause this year. 7 Economics and Forecast Property Tax •Property Tax is generally a stable revenue •Growth can be unpredictable •The number of home and other sales in dropped 15% from calendar year 2021 to 2022 •Residential home sales prices increased on average 13.5% in calendar year 2022 •Prices dropped in the first quarter of calendar year 2023 by 6.6% 8 Economics and Forecast The Bottom Line •Strong Labor Market •1.6 jobs for every 1 unemployed person •Slowing Inflation •Continued Sales Tax Growth •Slow but Steady Property Tax Growth 9 Position Control Presented by: Genevieve Valdez & Suzie Soren 10 Recruitment & Retention Position Control – Internal control of full-time positions •826 FTEs •119 Vacancies Turnover Rate – Ability to retain employees •Healthy/Average - 10% •San Bernardino - 17% Vacancy Rate – Ability to recruit employees •Healthy/Average - 6.8% •San Bernardino - 15% The Bottom Line: High turnover and high vacancy equates to reduced service delivery. 11 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% Turnover (Retention) Vacancy (Recruitment) Recruitment & Retention 12 San Bernardino Industry Average The Bottom Line: Turnover and vacancy rates decrease efficiency, impair outcomes, and increase regulatory challenges. Turnover & Vacancy Rates Comparison Costs of Turnover & Vacancy Costs of Turnover Productivity loss from turnover is equal to approximately 1.5 - 2.0x of the employee’s salary. Costs of Vacancy Recruitment and onboarding costs for new employees averages 75% of the employee’s salary. The Bottom Line: It takes 1-2 years for a new employee to reach 100% productivity. Turnover and vacancy reduces service levels and contributes to higher costs. 13 Impacts of Turnover & Vacancy Consequences •Reduced Workforce Capacity •Increased Workload •Reduced Productivity •Operations & Services Suffer •Lack of Strategic Workforce Planning The Bottom Line: Diminished services to the community and failure to meet strategic goals. 14 Growth Over Time & Staff Structure Presented by: William Lampi 15 What We Evaluated •8 Different Cities from 2015 to Current o Population Growth o Budgets o Total Employees o Organizational Structure ▪City-Wide ▪Department Level ▪Division Level Growth Over Time Colton Corona Fontana Moreno Valley Ontario Pomona Rancho Cucamonga Riverside 16 Growth Over Time 17 The Bottom Line: Growing cities have growing needs. To meet the needs of its residents, the City needs to increase its capacity to deliver services. *Excludes Fire and Utilities Population Growth vs City Employee Growth 8 City Average San Bernardino 3% 10% 1% 19% 0% 5% 10% 15% 20% Population FTE 48 31 34 37 20 25 30 35 40 45 50 2008 2013 2018 2024 Employees Per 10,000 Residents 42 35 29 18 The Bottom Line: The City has less employees per resident than historic levels. The City cannot provide the same level of service to its residents than it did historically. YEAR FTEs 2008 991 2010 879 2013 667 2015 763 2018 746 2020 651 2024 826 Full-Time Equivalent Positions Over Time *Excludes Fire and Utilities FY FY FY FY 19 The Bottom Line: The City has less maintenance workers, engineers, code officers, and planners than in 2008. 8.4 4.2 3.6 1.7 6.1 3.0 0.0 2.0 4.0 6.0 8.0 10.0 Public Works Community & Economic Development Employees Per 10,000 Residents 2008 2015 2024 *Accounts for changes in department organization and excludes utilities Total FTEs PW CED 174 87 77 37 136 68 Full-Time Equivalent Positions Over Time FY 20 25 30 35 40 FY 2015 FY 2024 Impact of Turnover & Vacancy on Service Delivery 6 employees per 10,000 *Excludes Fire and Utilities 20 12 employees per 10,000 Increased Service Gap From Turnover & Vacancy The Bottom Line: High turnover and vacancy rates compromises service delivery. 8 City Average San Bernardino Employees Per 10,000 Residents Staff Structure – City Wide 8 City Average *Excludes Public Safety and Utilities 21 City Manager Assistant City Managers Directors & Deputy Directors Division Managers Administrative Supervisors Maintenance & Facility Supervisors Accountants & Analysts Engineers & Planners Project Managers & Specialists Administrative Assistants & Technicians Customer Service Representatives Maintenance Workers & Operators Executives Management & Supervisory Professional & Paraprofessional Front Line & Administrative Support The Bottom Line: A strong and robust employment structure allows for improved recruitment, retention, and service delivery. Staff Structure – City Wide San Bernardino Executives Management & Supervisory Professional & Paraprofessional Front Line & Administrative Support 22 The Bottom Line: Gaps in the City’s structure impairs strategic outcomes and causes regulatory compliance challenges. Higher level employees work out of class to fill professional & paraprofessional gaps. Executives and managers are unable to focus on developing and implementing strategic outcomes. Unfilled gaps create oversight challenges for projects, programs, and grants. *Excludes Public Safety and Utilities Staff Structure – Division Level Maintenance & Operations Planning Division Executives Management & Supervisory Professional & Paraprofessional Front Line & Administrative Support 8 City Average 1% 9% 5% 85% 23 The Bottom Line: Different departments and divisions have different staffing structure needs. 3% 7% 67% 23% 0 2 4 6 8 10 12 Staff Structure – Division Level Planning Division Fontana 8 City Average San Bernardino 24 The Bottom Line: Lack of front line & support staff requires planners to fill in coverage gaps at the front counter. This results in slower turnaround times for plan reviews and higher workloads. Professional Staff Front Line & Support Staff Parks & Recreation 0 1 2 3 Staff Structure – Department Level 25 8 City Average San Bernardino The Bottom Line: Leadership is stretched between developing strategic outcomes and overseeing multiple responsibilities. Executives (Director & Deputy Director) Market Position Presented by: Suzie Soren 26 Surveyed Cities • Colton • Pomona • Corona • Moreno Valley • Fontana • Rancho Cucamonga • Ontario • Riverside Market Analysis Why These Cities •Compensation Philosophy •Recruitment/Retention •Employees leaving to these agencies 27 San Bernardino Colton Riverside Moreno Valley Fontana Rancho Cucamonga Ontario Corona Pomona Market Analysis Benefits •Health Insurance •CalPERS •Employer Paid Member Contribution •Supplemental Retirement •Leave Accruals •Work Schedule 28 Over the last 3 years there has been a 37% decrease in clicks (views) and 45% decrease in applications received for job postings. Application Statistics 1,878 1,307 1,192 2020 2021 2022 29 96 63 52 2020 2021 2022 Number of Clicks on City Jobs Openings Number of Applications per Job Posting The Bottom Line: There is an intentional decision among job seekers not to apply to the City. Fewer “clicks” and applications reduces the pool of high-quality applicants. Market Comparison In San Bernardino, it is perceived that employees experience: •Lower Wages •No Vacation Leave Available in First Year •Lower Vacation Accruals •Lower Leave Accrual Caps •Higher Employee Contributions to CalPERS •Higher Cost of Benefits •Working in a city with a negative reputation •Higher workloads and burnout •Instability The Bottom Line: Harder to Recruit and Harder to Retain Employees. Results in Diminished Services to the Community and Failure to meet Strategic Goals. 30 Bottom Line: Funding Strategic Initiatives Presented by: Barbara Whitehorn 31 Staff Recommendations - Quality of Life Staff recommends consideration and approval of the following: •Turf-Friendly Mini-Loader w/Power Washer One Time $170,000 CD •Biohazard Cleanup Agreement Ongoing $250,000 CD •Weed Abatement & Brush Clearing Agreement Ongoing $150,000 CD •Hazard Pay at $200/week for 2 crews FY 23/24 $93,600 SR •FY 23/24 based on 9/1/23 effective date •Ongoing Full-Year Cost: $124,800 •City-wide Security Contract Ongoing $1,256,000 SR •Already Budgeted: $924,500 Bottom Line Expanding the City’s Quality of Life tools and services improves the City’s appearance, cleanliness, safety, and attractiveness for its residents, businesses, and the development community. 32 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $1,349,600 $1,380,800 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $570,000 $400,000 Total $1,919,600 $1,780,800 (FSI) Future Strategic Initiatives $4,081,386 $1,919,600 Staff Recommendations - Quality of Life Staff recommends prioritizing the following as part of the budget process •Quality of Life Police Department Team Ongoing $1,575,486 FSI •Park Ranger Program Ongoing $505,900 FSI •Homelessness Services Sustainability Ongoing $2,000,000 FSI •Beginning FY 2026/27 Staff recommends for Council to provide direction on the following: •Additional rules for restrictions around sensitive uses/areas •An ordinance prohibiting the storage of personal property in public areas Bottom Line Expanding the City’s Quality of Life tools and services improves the City’s appearance, cleanliness, safety, and attractiveness for its residents, businesses, and the development community. 33 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $1,349,600 $1,380,800 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $570,000 $400,000 Total $1,919,600 $1,780,800 (FSI) Future Strategic Initiatives $4,081,386 $4,081,386 Staff Recommendations – One Stop Shop Staff recommends consideration and approval of the following: •Design and Construction One Time $400,000 CC •Already Budgeted: $400,000 •Ombudsperson Salary & Benefits FY 23/24 $69,061 SR •Ongoing Full-Year Estimate: $138,122 •Bilingual Senior Customer Service Rep. FY 23/24 $47,994 SR •Ongoing Full-Year Estimate: $95,987 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Bottom Line Establishing the One-Stop Shop reduces wait times, improves the plan check process, and enhances the customer experience, making the City’s permitting process friendlier to developers, businesses, and residents alike. 34 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $ 117,055 $ 234,109 (CC) Capital Contingency $ 400,000 $ 0 (CD) Cultural Development $ 0 $ 0 Total $ 517,055 $ 234,109 (FSI) Future Strategic Initiatives $ 0 $517,055 Staff Recommendations – Infrastructure Staff recommends consideration and approval of the following: •City Hall Engineering and Space Study One Time $300,000 CC •Bridge Management Master Plan One Time $500,000 CC •ADA Master Plan, Phase I One Time $500,000 CC Staff recommends prioritizing the following as part of the budget process •ADA Master Plan, Future Phases One Time $1,500,000 FSI •Storm Drain Master Plan One Time $1,000,000 FSI •Facility / Building Management Plan One Time $1,000,000 FSI Bottom Line Establishing Master Plans enables the City to wholistically evaluate its infrastructure needs, allowing for proactive improvements in the prioritization, development, and delivery of capital projects. 35 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $ 0 $ 0 (CC) Capital Contingency $ 1,300,000 $ 0 (CD) Cultural Development $ 0 $ 0 Total $ 1,300,000 $ 0 (FSI) Future Strategic Initiatives $ 3,500,000 $1,300,000 $3,500,000 Staff Recommendations – Legislative Affairs Staff recommends consideration and approval of the following: •Federal Advocacy Contract Ongoing $125,000 SR •State Advocacy Contract Ongoing $125,000 SR •Legislative & Governmental Affairs Manager FY 23/24 $86,937 SR •Ongoing Full-Year Estimate: $173,873 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Staff recommends for Council to provide direction on the following: •Identifying a list of potential projects for upcoming state and federal funding cycles. •Updating the Legislative Platform to expand the homelessness platform and include Animal Services, funding equities, fentanyl and other illegal drugs, and tribal sovereignty. Bottom Line Establishing a Legislative Affairs position and approving advocacy contracts improves the City’s ability to secure state and federal funding and ensures that the Mayor and Council has full visibility over impactful legislation. 36 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $ 336,937 $ 423,873 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 Total $ 336,937 $ 423,873 (FSI) Future Strategic Initiatives $ 0 $336,937 Staff Recommendations – Economic Development Staff recommends Council provide direction on the following: •Investment Playbook/Nerve Center Operator •Investment Playbook Fiscal Agent •Evaluate the Feasibility of Economic Development Initiatives •Implementing a Downtown Economic Impact Study •Property and Business Improvement District Formation •Pedestrian Activation at Court Street •Special Event Programming •Revolving Loan Program •Retaining a brokerage firm to market city-owned properties​ •Establishing a Downtown University Campus •Implementing an Economic Development Action Plan​ •Expanding Chamber and Association Partnerships •Rebranding Bottom Line Establishing operational plans and roadmaps that include community and stakeholder partnerships will allow the City to implement a new Economic Development Plan for the revitalization of Downtown. 37 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve None at this time None at this time (CC) Capital Contingency None at this time None at this time (CD) Cultural Development None at this time None at this time Total None at this time None at this time (FSI) Future Strategic Initiatives $ 0 Staff Recommendations – Strategic Staffing Staff recommends consideration and approval of the following: •Economic Development Department Staffing •Director of Economic Development FY 23/24 $140,188 SR •Ongoing Full-Year Estimate: $280,376 •Three Economic Development Managers FY 23/24 $279,327 SR •Ongoing Full-Year Estimate: $558,654 •Administrative Assistant FY 23/24 $40,275 SR •Ongoing Full-Year Estimate: $80,549 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Bottom Line Providing a greater focus and commitment to Economic Development by establishing and staffing the Economic Development Department accelerates Downtown revitalization efforts and allows the City to attract new businesses with greater marketing and outreach initiatives, retain existing business with better services, and establish special event programs, leading to long-term revenue growth and economic prosperity. 38 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $459,790 $919,579 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 Econ Dev Subtotal $459,790 $919,579 (FSI) Future Strategic Initiatives $ 0 $459,790 Staff Recommendations – Strategic Staffing Staff recommends consideration and approval of the following: •Animal Services Staffing •Deputy Director of Animal Services FY 23/24 $102,001 SR •Ongoing Full-Year Estimate: $204,001 •Registered Veterinary Technician FY 23/24 $40,630 SR •Ongoing Full-Year Estimate: $81,259 •Veterinary Assistant FY 23/24 $33,277 SR •Ongoing Full-Year Estimate: $66,554 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Bottom Line Enhancing the veterinary staff and leadership of Animal Services improves the department’s service levels, provides for better care and well-being of animals, and enables the department to bring forward more programs and initiatives for the benefit of the City. 39 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $175,908 $351,814 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 Animal Services Subtotal $175,908 $351,814 (FSI) Future Strategic Initiatives $ 0 $175,908 Staff Recommendations – Strategic Staffing Staff recommends consideration and approval of the following: •City Manager’s Office Staffing •Assistant City Manager FY 23/24 $148,588 SR •Ongoing Full-Year Estimate: $297,175 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Bottom Line Strengthening the structure, capacity, and span of control of the City Manager’s Office enables the City to accelerate the implementation of Council’s strategic goals and priorities, as well as providing improved focus and direction on enhancing City-wide operations, high-priority projects, and resolving highly sensitive matters. 40 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $148,588 $297,175 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 City Manager Ofc Subtotal $148,588 $297,175 (FSI) Future Strategic Initiatives $ 0 $148,588 Staff Recommendations – Strategic Staffing Staff recommends consideration and approval of the following: •Housing and Homelessness Staffing •Housing Division Manager FY 23/24 $93,511 SR •Ongoing Full-Year Estimate: $187,022 •Principal Accountant FY 23/24 $73,534 SR •Ongoing Full-Year Estimate: $147,067 •Management Analyst II FY 23/24 $59,974 SR •Ongoing Full-Year Estimate: $119,948 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Bottom Line Improving the Housing Division’s project planning, management, and oversight capacity leads to increases in the City’s housing inventory and allow for more rigorous monitoring and compliance practices. 41 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $227,019 $454,037 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 Housing Subtotal $227,019 $454,037 (FSI) Future Strategic Initiatives $ 0 $227,019 Staff Recommendations – Strategic Staffing Staff recommends consideration and approval of the following: •Parks, Recreation and Community Services Staffing •Deputy Director of Parks FY 23/24 $102,001 SR •Ongoing Full-Year Estimate: $204,001 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Bottom Line Enhancing Park’s leadership structure improves oversight over the department’s operating budget, grant programs, and CIP projects, allowing for new and expanded efforts in revitalizing the City’s parks and programs. 42 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $102,001 $204,001 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 Parks Subtotal $102,001 $204,001 (FSI) Future Strategic Initiatives $ 0 $102,001 Staff Recommendations – Strategic Staffing Staff recommends consideration and approval of the following: •Planning Division Staffing •The City Planner (Reclassification) FY 23/24 ($51,758) SR •Ongoing Full-Year Estimate: ($103,516) •Senior Planner FY 23/24 $73,221 SR •Ongoing Full-Year Estimate: $146,441 •Associate Planner FY 23/24 $63,412 SR •Ongoing Full-Year Estimate: $126,823 •Planning Aide FY 23/24 $49,913 SR •Ongoing Full-Year Estimate: $99,826 •Administrative Assistant FY 23/24 $40,275 SR •Ongoing Full-Year Estimate: $80,549 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Bottom Line Expanding the Planning Division improves the City’s responsiveness to developers and reduces the review times for projects, making the City more friendly and attractive for economic development. 43 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $175,063 $350,123 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 Planning Subtotal $175,063 $350,123 (FSI) Future Strategic Initiatives $ 0 $175,063 Staff Recommendations – Strategic Staffing Staff recommends consideration and approval of the following: •Public Works Staffing •Three Engineering Project Managers FY 23/24 $257,420 SR •Ongoing Full-Year Estimate: $514,839 •Land Developer Engineer FY 23/24 $85,807 SR •Ongoing Full-Year Estimate: $171,613 Note: FY 23/24 staff costs are based on 6 months of employment (1/1/24 start date) Staff recommends for Council to provide direction on the following: •Retitling the Departments •Retitling the Agency Directors Bottom Line Working towards a more robust Engineering staffing structure improves CIP project management capacity, reduces the CIP project workload from 47 projects per manager to 24 (which is closer to the industry average of 7-10 projects per manager), and accelerates CIP project delivery, allowing the City to better meet the needs of the community. 44 FUNDING SOURCE FY 23/24 ONGOING (SR) Strategic Reserve $343,227 $686,452 (CC) Capital Contingency $ 0 $ 0 (CD) Cultural Development $ 0 $ 0 Public Works Subtotal $343,227 $686,452 (FSI) Future Strategic Initiatives $ 0 $343,227 $4,081,386$1,780,800$1,919,600 Costing Overview 45 FY 2023/24 Ongoing Costs Future Considerations Quality of Life One Stop Shop Infrastructure Legislative Affairs Economic Development Strategic Staffing $0$234,109$517,055 $3,500,000$0$1,300,000 $0$423,873$336,937 $0$0$0 $0$3,263,181$1,631,596 $7,581,386$5,701,963$5,705,188 St r a t e g i c R e s e r v e - On g o i n g C o s t s •Strategic Reserve: $3,539,363 •Total Proposed (FY 2023/24): $3,435,188 •Remaining (FY 2023/24): $104,175 •Est. Ongoing (future years): $5,301,963 Ca p i t a l R e s e r v e - On e - Ti m e C o s t s •Capital Reserve: $6,000,000 •Total Proposed (FY 2023/24): $1,700,000 •Remaining (FY 2023/24): $4,300,000 •Est. Ongoing (future years): N/A (one-time) Cu l t u r a l D e v e l o p m e n t •Cultural Dev. Fund Balance: $4,374,552 •Total Proposed (FY 2023/24): $570,000 •Remaining (FY 2023/24): $3,804,552 •Est. Ongoing (future years): $400,000 Summary of Funding Sources 46 Staff Recommendation 1.Adopt Resolution 2023-144: a.Amending the FY 2023/24 Operating Budget totaling $5,705,188 with: •$3,435,188 in General Fund Strategic Reserve total appropriations •$1,700,000 in General Fund Capital Contingency Reserve total appropriations •$570,000 in Cultural Development Fund total appropriations b.Approving the creation of the Economic Development Department c.Directing staff to prepare and bring back a revised City salary schedule to include new positions 2.Approve the Proposed Strategic Initiatives for Future Years to be considered as part of the FY 2024/25 & FY 2025/26 Biennial Budget process and prioritize the Strategic Initiatives for funding 3.Direct staff to bring back Strategic Initiatives requiring further Council review and approval 47 City Manager’s Closing Remarks Charles McNeely 48 Questions? 49