 So we are live thanks Trisha. I think we need to promote John Sawyer He's on his way excellent That was John giving me a quick call John you may still be on mute. It's not showing mute, but we can't hear you Sometimes there we go Yeah, I just took the ear buds out. So we're good to go. This is what happens when you change things up, John I know you're not in the office All right, let's go ahead and call the roll and get started Chair Rogers I'm here Member Schwedhelm. Yeah member Sawyer here Let the order reflect that all subcommittee members are present All right, and thank you everybody who's participating today We are doing this via zoom which means you'll have options to participate by hitting the raise hand feature during our items Without getting too far into it. I'll go ahead start with public comment for today This is public comment for non agenda items if there's something you'd like to bring up That's within the committee's jurisdiction, but it's not on today's agenda Go ahead hit the raise hand feature on your zoom and madam recording secretary. I don't see any hands Did we have any pre-recorded voicemails or emails? All right We have a couple of minutes, excuse me. We have special meeting minutes from June 24th Council members did either of you have any amendments to those minutes? Okay, we'll see if there's any public comment on the minutes to see if there's any changes before adoption Excuse me. I think I said the wrong date. It's October 12th. So I just want to make sure I'm really clear with folks Yes, October 12th. Yep seeing no no amendments to those minutes. We'll go ahead and bring it back Let's show those adopted as presented unless there's objection from council members Sing them we'll go on to item 4.1 So our briefing for our fiscal year Quarterly budget review now Alan. This is your item. This is my item. Thank you mayor members of the subcommittee Hello, I'll wait for this slide. We can just move over to the next slide So this is our our first quarterly budget review we had Last year we part of our commitment To the council and to the subcommittee it was to provide more routine and Reporting out to the committee of our budget performance beginning with this first quarter review Well, we have started working on new procedures Actually last fiscal year we engaged the firm to help us review our fiscal policies and our methods for forecasting The goal is to come up with a workable model that can be used in-house as opposed to sending data out to a consultant and And part of The modeling and the measuring of our of our budget performance is to focus on recurring Operating revenues and expenditures and providing a simplified look on what we can afford on an ongoing basis So in in addition what what we're trying to do with this is to increase transparency and Dismission making especially at the policy level and to maintain and increase executive management's discretion over most effective use of limited resources so basically providing more of management reporting as opposed to the The type of reporting that we've done in the past And to be consistent and timely in that reporting So that's why we've set this up on a quarterly basis to be able to move forward and to facilitate greater accuracy when developing future budgets so Really looking at trend analysis and other factors That go into developing our budgets going forward and I should mention that this review we can go on to the next page This update is largely centered on the general fund In future ones we can adjust the presentation to include more funds or Specific areas we want to look at You know I should point out that you know, this is our first Report we do we do expect this to be evolving over time. There's going to be some information that You may want More than others and so what we're hoping for is to get that type of direction as we as we go forward and To be able to have the most useful information for you and the council The adopted 2021-22 budget is used To forecast monthly revenues and expenditures So we establish our budget and then we look at that on a on a quarterly basis In in theory we would look at it on a month by month or quarter by quarter right now. We we kind of have things in Just divided equally in quarters going out as we develop Good trend lines for what we would expect to see on a year over year basis either by a given month or a given quarter So with that in mind each month actual revenues and expenditures are compared to those projections. So again Taking a look back making us a look forward and keeping us online as we go along variances to the projections are calculated and evaluated As to what caused those variances Those can include any unforeseen events or challenges and council priorities or updates Just general updates in our projections And again as we move forward and we get used to Doing the model and and what data we need to pull to get in there and how our Trends are going we expect That the forecast and then the reporting out and budgeting going forward will start to get More accurate and I think one other thing that we're really looking with this is to Is to be able to be a little bit more proactive in in how we are by by doing this Analysis and reporting out on a quarterly basis To you that helps keep us on top of where we are where we need to make adjustments If at a mid-year period we need to make adjustments to either our revenues or expenditures We can go ahead and do that and that just kind of keeps us more informed as we go along through the process Next slide please Alan can I interrupt? I'm sorry mayor. I'm the quick quick question of clarification. Yeah, thank you Alan you mentioned early in your presentation about You used the words what we can afford are you are you Are you speaking to what we can do with these potentially monthly or quarterly reviews of our budget? Are you talking about what we that we have a set budget and then we look at whether or not We can truly afford what we've already Determined as being part of our budget or what's the what what part is what we can afford? so We try to is where I'm going with that is the overall concept of budget affordability and it gets into You know whether we have a deficit situation on our ongoing basis, so so if you have a certain amount of revenues Say in this case 177.9 million dollars in revenues You would you would to be affordable You would want to have expenditures on an ongoing expenditures in that same area Preferably below that right so that's what we're talking about is how we can go and You know Set up a budget each year that is based on the premise that we can afford what we're what we're spending and And have that in place going on the long term. Okay. Thank you I appreciate that because I'm this is this is sounding like a Very responsible path and I just want to make sure it was clear on what you were suggesting. Thank you You're welcome So as I mentioned, this is the revenue budget for the current year And this is actually showing what our recurring operating revenues are for for this year at 177.9 So the other thing that we're trying to do in the kind of the lessons that we've learned over the past year or so is Is really focusing in on those things that are recurring as As as opposed to the one one time elements that are there so The majority of our operating revenue is recurring revenue We are able to filter out those that are dealing with grants and in that those are those are very specific Revenue amounts and they're tied to a very specific thing and and so what we're really trying to do is Is show you and the full council. What our What what pot of general fund dollars that we expect to see on an ongoing basis And then that allows you to align your your expenditures to that So with this the majority of our of our revenues come in from sales tax and property tax We have it broken down there and as in a future slide. You'll you'll see breaking down the actual categories of General fund operating revenue so next slide please and this shows us where our Expenditure budgeted for this now This is our recurring Expenditures and our transfers What you'll notice is that right away that it's that it's more than what our Revenues and and transfers in are however, what I would say is that for this budget One We do Budget for full employment. So we if there are positions that are Within the within the city We budget those full However, there is generally always some sort of vacancy amounts there and in this particular budget so what you're seeing there is is 75% of it going to salaries and benefits But there is some offset that would come from any vacancies there there We typically call that turn back We we would obviously love to have no turn back in that area that means we're fully employed and being able to Provide all the services in the city that we should it's just not really a reality So some of this we expect to come back At the end of the year Moving on to the next slide, please We'll get into the revenues and the majority of the information here are revenues They did look at the expenditures or where we are at the at the first quarter and we are spending right now Just right out about the The quarter mark, so we're we're kind of on pace there We are The sales tax or the revenues that we have here For the first quarter, you're you're really not going to see much But there are some things that I do want to point out and I'll explain all of the categories when we get into the The mid-year Look at this. I think we'll have a little bit more information to kind of parse out and Show you some trends that are going so again, it's the evolution of this report So our our property tax We won't see our first installment of property tax until the second quarter The sales tax and includes our Bradley Burns, which is our regular sales tax that we get in plus measure two which is the Where we took our two quarter set Taxes and and basically combined them into one half cent sales tax measure and our in our propellant 72, which is a Not a special tax. It's this tax that comes in but it is a Public safety based tax, but it is a general tax So, you know that for our budgeted revenues or budgeted sales tax for this year over last year, we've increased Year over year budget estimate by 8.2 million dollars, which is about 15% year over year You know as we Analyze our year-end numbers and kind of where we are with revenue You know, this would be one of the things that we really try to key in on as a potential for Changing at mid-year if possible because what we want to do is make sure that we have as Accurate as possible was revenue estimates base future projections on but we started noticing in the last year that That revenues That we thought we're going to be adversely affected by the pandemic were actually Coming in better than thought and so When we developed the budget for this fiscal year, we did bump up our sales tax to reflect that Our franchise fees Well utility users tax that those are our various I think what we have Cable and PG&E and those utility users tax are there that's its own category The other taxes just to break that out that includes Vehicle license fees and we receive that around the same time that we or we receive that when we receive our property tax So we'll get that in The next quarter our franchise fees is a mix of They're they're paid to us on different Times during the year so they come in on different schedules our PG&E franchise fees an annual Feet that we get in and we get it in April. So We won't be reporting out on that until the end of the year in that that final quarter our quarterly Cable comes in quarterly and then garbage comes in monthly So right now the bulk of the revenue that we're getting in that's franchise related is really the on the garbage side Cannabis right now is about 22% of our Of our budget estimates, so they're tracking online Business tax we the main remittance Period for business taxes in the January to March time frame. So we're not showing Hardly any revenue now. It's just the it would just be new businesses coming in and establishing And and paying that tax but the annual remittance won't come in until The third quarter and we'll probably report out on that or have reportable information on that in the fourth quarter Real property transfer tax, this is something that's Is doing very well right now For the quarter ending period We were at 36% of our revenue estimate However, in just I ran it as of the end of October and We're at about 50% of budget. So that is a combination of the value of the Or the price of the transaction the real estate transaction and a function of How many that there are so what it's telling you is that? The there are a lot of real estate transactions going on right now So that is something that we would look to try to adjust that mid-year As we get a little bit more data Compare it to last year and previous years and see what makes sense to be able to fit in a good revenue number for that As an adjustment in mid-year TOT right now is at 11% of budget, which is low, but it is higher than last year So that's a sign of things in our tourism in TOT area. That's this potentially Starting to turn around. So that's something that we'll keep a look at closely Licenses and permits those are basically our building permit fees and the approach and permits and transportation permits The revenue that's showing on there is pretty high. That's largely due to seasonal construction Activity and it is consistent with last year So again, it's something that as as the rain started and that activity goes down We'll kind of look at those trends will match them up to prior years to make sure that we're On track and we'll keep that communication going with the building department To make sure that there's nothing in the pipeline that may affect future quarter revenues coming in. So we're always having that To be as on track as possible with them charges for services are That's building another miscellaneous fees, but it also includes our recreation fees And this is another piece of good news as we Come out of the pandemic and are able to start Programming our revenue or our recreation programs The year-over-year increase in of recreation fees is about 674 thousand dollars or about a whopping 256 percent increase Basically what that's saying is that we didn't program anything The year before we didn't have the revenue coming in from it and now we're starting to see that So with that that that is going to help shore up that part of the revenue on the year going forward The intergovernmental revenue. This is just the recurring part of it, which which includes state post reimbursement county revenue The main thing that you're seeing here is Is the roseland Payment which which is posted this year and then there's also a minor amount of crime Impact mitigation fee that's coming relative to the casino down in the Cretan casino And then fines and forfeitures are your parking violations and in-pound fees things like that So alan i see that the city manager has his Uh, hand up. Let's go ahead check in with him really fast. Sure. Thank you mayor Alan, I know this is a first time effort at the quarterly briefing and uh, as i'm looking at this I'm wondering how difficult it would be to provide a prior year quarterly comparisons We we can absolutely do that. That's that's Absolutely, I I think that might be helpful to just give another data comparison point. It's kind of hard to tell with many of these whether You know just using sales tax whether 8.6 of our annual uh budget at this point in time is You know good Great or not so hot, you know, unless you have a comparison of the prior year Right Yeah, and I think the city manager read my mind. I just assumed we would be building that as we went through it Uh, wasn't sure how much effort it would be to to go back and and put together a Spreadsheet that shows that historic data, but I assumed we'd be building it We yeah, we and we have that it's just it's not in this slide It's just uh or in this slide deck. It's an oversight on our part. We'll we'll clean that up for the mid-year one Uh, so Moving on That's that is a lot of the our next slide So that that's the the basic information that we have and I have the notes on where we want to go Living forward with those parts of that and and again, we'll we'll continue to tweak in the The direction that we think that might again provide that beneficial information Uh in trend data as we go along. I'm sure that that we will um have some Charts that will also help illustrate Where we are and we're compared to where we have them And as I mentioned before You know part of of looking at Not only our forecasting and how to provide this information, but we're also looking at You know what we can do with our budgeting policy and procedures Including fund policies and and and the like so what we're doing currently and Is looking at our existing internal budget policy and And where we can improve upon that and again the consultant that came in Uh beginning last year and looked at a number of different things not only how we are reporting on the data and where we could help with that or where they could help with that but also um uh where we are in terms of our fiscal policies and uh again You know developing some kind of guiding principles and moving us forward and how we develop our budgets again focusing on the general fund But really this is applicable to all funds um And so we're currently they they wrote a report where we're going through that Trying to find out what things we already have place in place and what we Can improve upon and and add to our existing policies and we will be bringing that back to the committee In in a couple weeks Right now we're looking at you know trying to create a sustainable operating budget Focusing again, like I said on recurring operating revenues and expenditures You know looking at plans to mitigate financial risk that's out in the future providing transparency and accountability to our financial management and You know, we we are also looking and thinking that all of these things together Are ways that we can provide our preserve our credit ratings So in in addition to You know general budget development policies, we're also looking at the general fund reserve policy updating that and bringing back a You know what we were looking at prior to The 2017 fires, which was kind of a risk-based reserve model That would allow us to create a mechanism that where we when we have Surplus or or You know, we do better in a particular year to be able to move money into either You know a revenue volatility risk-based reserve or the pension stabilization reserve or any of those types of things dealing with maybe You know deferred maintenance or capital expenditures And you know, we would what we would want to do is develop policies around those to where it's very clear and transparent exactly what the formulas are based to To move those this is a lot of work that the that the committee has worked on like I said before the fires When the fires and we lost the majority of our reserves We, you know, we kind of shelved it and so this is we're bringing this back up, especially as we have As the council has Uh allowed us to place Mount of PG and e-dollars into our general fund reserves It kind of allows us the opportunity to be strategic in mitigating risk going out in the future. So these are things that we are Developing right now to bring back At least the frameworks of these if not the full drafts for For review and next slide I kind of Kind of alluded to this, but yes, we are looking on the on the 18th to bring back and discuss our fiscal year in 2021 results And Then also these general fund strategies and draft policies for discussions Then at the end of january we'll we'll we'll be our next quarterly update And uh, and so that we'll look at the the middle of the year Not only will we be able to look at where we are at that year in comparison to the prior year And years prior if if uh, if need be Um, it'll it'll allow us to have that discussion on Bringing an item to the full council to either adjust for additional revenue We'll definitely want to adjust for for additional expenditures with the passing of our of our mlu's And the the costs associated with those full adjustments and other parts And that's that's where we are right now. That's the end of this presentation and I'm available for any questions. Should you have Thanks alan tom Thanks for the presentation alan. Yeah, a couple questions just refining it. Um on slide four Who we also have the actual percentages and or dollar amounts of each of the pieces of the pie Because we have the 53 percent where sales and property tax, but I don't know Those other percentages and or dollar amounts because I think strategically be helpful information if we're going to go UUT or other revenue generating sources understanding Which areas give us the greatest capacity to increase revenue? Yep, I can add those okay, and then on Slide five the pie showed four chunks, but there was five categories listed. Does that mean There was nothing I think based on colors. There were no indirect cost expenditures The colors is kind of close. Yeah, it's extremely small So it's it's it's it's a way for thin sliver Okay, sorry. I missed that and then the the last one on Slide six you talked about the real property transfer tax and I know counsel had given direction You know months if not years ago how we're eventually most of those dollars are going towards homeless services How does that policy direction? Intersect the discussions that have been happening using some american recovery plan act dollars for homeless services What would happen with the real property? transfer tax dollars well there You would um the way that we currently do it is that we we move Uh the cash on those when they come in Uh as we budget it actually not as it comes in but we budget anticipating the cash to come in and move that over to homeless services at the beginning of the year and then true it up at the end of the year or that after fiscal year end so I think what would happen with this is that we would A if the council Always has the ability to to Um Suspend that policy if if need be if the money's going in I guess if I'm if I'm understanding your question Right now those funds would would go in they're just part of that transfer So if we're replacing it with ARPA funds you could Uh suspend the policy keep the funds in the general fund and still have the exact same amount of ARPA funds going in To take care of it. We would just swap Yeah, I I get that I'd be interested in hearing what the mayor Mr. Sawyer's opinion is on that because I know we had plenty Community discussion about the history Of the real property transfer tax and that the intent of those dollars was to go towards You know housing or homelessness and so I'm just I I think council should make a conscious decision with some of the things you're suggesting um But again, those are some lengthy discussions and again Professor john, I'd be interested in hearing what your thoughts are on that and those are the only questions I have I'll jump in on that that one issue. I think we have been very clear About our intention with those dollars um It would not hurt to have that conversation again with the council to reinforce the decision that was made Quite some time ago, but I I think that we we we had made it pretty clear now whether or not That creates A fiscal issue With our with those funds Is Potentially worthy of a discussion, but I think we had a pretty pretty clear plan laid out for how those funds were going to be used According to history So I I agree with your thought there And one of the things I was going to ask as far as the presentation coming to council Alan you When into I only have one screen in front of me so I can't go back. I think it was slide six Is that where you had the the detail on the all the percentages? If you you went into a fair amount of detail on some subcategories are those subcategories going to be articulated in the presentation to council Yeah, typically when we what we do when we present to council is we We roll up our revenues into general categories So we can What I was doing was just kind of expanding on what those general categories. What's inside of them We can show as much or as little as you'd like It gets to a a very It becomes very long Um, we have a number of of revenue Uh codes and line items that we've put into but You know, if this is too summarized I can break it out into those individual areas quite quite easily Well, I wouldn't be looking for any more detail than what you've provided to us I just I I figured that it would be best for me to go in and to just kind of verbally Go through what all of those are but I'm happy to do whatever Yeah, because I'm not looking for to get into the to get granular about it But I think that there we probably could especially with new council members It will I think it would be helpful to the conversation to have a a little more granular Um, and basically what you what you articulated to us. I think would work well And I in a couple of the couple of the subcategories Help to identify where those funds were coming from and when we're talking about Year over year as Mr. Cullen requested I think having that having those comparisons might be helpful and I will leave it to you to decide how granular you want to get And how that would be the most beneficial to council in their understanding of the of this particular presentation Yeah, I I think thanks john. I appreciate that and I I think breaking down other taxes to at least in some A a slightly more granular level That covers some of those things because by leaving it just the way it is you wash out the increases that are happening in rptt and those other ones that are that are Noteworthy, yeah, and there's some pretty good pretty good Some large numbers in there. So I think that's that's why I think it'd be important to to break it down a bit I appreciate that. Thank you very much I think I'm being kicked under the table again I Just did you have a question? I just wanted to revisit the real property transfer tax question Before we moved on I I think You all recognize that we've proposed funding some of our homeless services and the 24-hour overnight safe parking program with arpo funds Um The intent of that was not to change the council's direction on um, you know identifying a Stable and continuing resource of Money to support homeless services Um, what we are proposing is a short term exchange of funds Not changing the amounts that we're allocating to the program or the service But instead of using real property transfer tax, we would use arpo funds and if real property grew beyond that Amount then those additional resources would continue to be available for homeless services Um, and I'm not sure that was clear uh in the recommendations that we made Um, but I wanted to add add that clarification We're not trying to change the policy that was directing allocation of real property transfer tax revenues to homeless services We just have this additional funding resource available And if we can exchange it that would provide additional flexible general fund monies to address additional priorities Uh, thanks mr. Mayor could I comment? I think that was a yes. Um, I I agree with that Jeff I just with the robust community discussions we had about that funding I think some would argue put it more of it towards housing You know, there's a variety of different ways. Whatever that dollar amount is, you're right Let's use the arpo funds for homeless services, but the other part of the equation I'm sure that type of dollars some members of the community say let's put it more towards housing whatever that might look like Yeah, and and that dialogue I think would would be appropriate is okay. We now have uh Unanticipated general fund revenues and resources. What's appropriate? What's the appropriate use and expenditure for those? Is it housing? Uh, is it some other priority that we have? And we we would want to come back to the city council for that kind of direction All right, and I'm interested in having that conversation Um, tom you asked about what the expectation from council was with the with the RPTT funds We actually had a pretty clear kind of breakdown of year over year what the increase was Expected to be and I know that there are still folks in the community who ask me every single budget cycle for the proof Uh, that we are spending it the way that we had expected to to spend it I don't have any other questions for you. Alan. I just really appreciate this approach to it I think it gives this committee the ability to really get a better understanding as we move through the year how and when our Revenue comes in and what our expenditures are and Um, I know that there's a couple folks who track the turn back pretty closely and I think it's a a silver bullet And it's nice to know Sort of how we're trending in those on those conversations But that I'll see if there's any public comment If you are interested in public comment go ahead raise your hand I don't see any and madam host. Did we have any voicemails or emails? No emails were received Excellent. Thank you so much. Alan. We'll go on to our next item Hey, I will wait for the slides so this item, uh is is just a a update and Discussion this is uh come up along with our our talks about the pension obligation bonds And this is actually something again another thing that the Committee has looked at a few years ago So next slide please So what we're looking at and kind of to provide some of the background of of a section 115 trust Which is an irs approved irrevocable trust used to pay pension or other post employment benefit costs Uh, the funds accumulated in the trust May only be used to send account first The city considered establishing this type of trust, uh, we had We had some money that accumulated from the um The 2003 pension obligation bonds that were there uh, and so the idea back at the time under A few cfo's ago was to use that in order to uh fund kind of provide seed money for the trust Uh a subsequent cfo came in and thought that it would be best to just do an additional discretionary payment or adp Of that amount of purse. So and that's what we did at that time next slide So the basics of uh section 115 trust so It it operates basically as an investment account the city can access the funds at any time to send Money to calpers it presents more investing options than the city's general investment portfolio The city has control over the investing strategy and The returns contribute to the growth of the fund Although there's also it could go the other way as well just full disclosure Many cities use the trust To be a little bit more conservative than calpers But more aggressive than their general investment portfolio So in other words if calpers's rate of return is targeted at 6.8 percent But the city's investment portfolio returns about a half percent You could target the growth at like four percent as an alternative. So it allows you to Uh be a little bit more aggressive to use different strategy And and use that to grow those funds at a higher rate than you would be Through just a regular general investment portfolio next slide please So how does this kind of fit in with our pension strategy as you know, we are looking at ways to To address our pension costs You know, you've seen a couple of presentations from jan on the On issuing pobs to address the Significant part of our UAL We would this could be a companion strategy to go along with this Developing we would need to We'd be imperative that we develop a formal council policy for how we would fund the trust Just as I mentioned in the prior presentation About uh risk-based reserves if we came up with a pension stabilization, you know fund This would be it and or it could be it and we would develop those policies around that Of how much money to put in or how we would do that on an annual basis If we have significant balance in the trust we could use that to To To go against The unfunded accrual liability payments The UAL payments in the highest years of the city's payoff schedule So, you know, we get the the way CalPERS works now is we get a schedule that goes out a number of years And we're able to kind of chart where where we are we could use that To lower those peak payments Or we could use it as we've done in the past and continue to do we do make ADP payments we do so annually And we achieve a bit of savings from doing that and this would allow us to continue that process But just have it in a fund that that accumulates more money there Or we could pay it pair it with if we uh, if it is advisable to move forward with pension obligation bonds we could pair it with those And have any initial savings directed to the trust and use those savings as a stabilization to mitigate against the risk That that could happen in the initial period period of issuance that that is the riskiest Or at least one of the riskiest parts of of of that issuance to be at the very beginning part Next slide so next steps, uh, we I We would need to receive proposals in in the past when we looked at this we we had proposals from parts and from pfm And I think we were close to entering into a contract with pfm, but by that it's too late to Bring that up now. So we would just go out and reissue or request for proposals We would go and evaluate those And return to this committee with not only a recommendation on going in that direction But also a policy that would go around it for how to fund and doing doing that And if we are moving forward with this we would try to do it rather aggressively and target establishing the trust In the first part of the calendar year again kind of co-inciding that if we were Uh, if it is advantageous to do or to issue povs kind of target along those lines as well And I believe that's the end of this presentation and I'm available for any questions you can have All right, john or tom any questions I do thank you, mayor. I'm tom. Did you want to go first go ahead? Mine's quick. I don't have any questions. I full speed ahead Yeah, I feel the same way. I'm getting I'm very excited about um, the council's Hopefully the council's direction in in obligating these funds and it will be an interesting conversation as far as the The policy that we will come up with but I think having a policy is Um is much closer to fiscal responsibility than we than we Have been in the past as far as dedicated funds for our Obligations on unfunded obligations I am curious about and this is I'm sure we'll get answered by the consultants But the flexibility during the year as far as a review of our investment portfolio How are we can do we act a little bit like can we act a little bit more like the private sector when it comes to flexibility and where where we decide those funds will be Placed or are we do we have um More restriction and I know we want to be conservative. I am assuming that we would want to be conservative I'm not looking for a high level of risk, but can we review on a quarterly or or every six months? review our Portfolio and make adjustments to our investments Throughout the year or we stuck with it with one fund no, so So these funds uh because they they are uh, you know section 115 relates to the irs code that that That governs it so they are they are completely separate From our regular investment portfolio and therefore we can Be as aggressive or conservative as we want to be we currently have These trusts for our stipend funds for the different Groups that have a retiring medical stipend Um, so we have those they do meet quarterly They they and review investment strategy Some of them are a little bit more aggressive than others. It just depends on on where the we're you know the How that particular unit wants to invest those funds So it literally is we have the control over doing that We would want to work with the consultant to kind of figure out exactly how we devise a A committee to review that strategy going forward. I'm sure that those are things that we would Those are the next steps down the road to down the road to kind of figure out not only How much money would go in on an annual basis to fund it, but then you know how we decide on strategy and the other things that go along with that So that's we would use Uh some help in guiding us in that in that way to be able to help guide you I appreciate that and so conceivably we could have 50% in a certain risk category 25% in a certain risk category and another 25% So we have we do have that kind of flexibility to create a What a a model that would best serve us At least in hopes that it would best serve us And I thanks for that clarification. It's it's an important piece and probably some of the some of the more technical discussions that we'll be having Yeah, now that I don't have any questions on this It's um something that we are moving in the direction. I think of doing before the fire And then that derailed a lot of our efforts Um particularly because we didn't have any types of funding So I I appreciate you keeping up on it and bringing this back to us I'll see if there are any questions from the public I'm not seeing any hands madam host. Did we have any emails? No emails were received Okay, I'll bring it back. Um, I'm gonna give the the thumbs up on my end Let's go ahead and keep this train rolling And I see two thumbs up from john and tom as well All right Great. Thank you so much alan Uh next item on the agenda is discussion about Uh agenda for the next meeting Mr. City manager, did you have anything in mind for the next meeting? I think we were hoping to bring back the financial policies piece that alan mentioned earlier And um I think uh year end uh closing for fiscal year 2020-21 So in those in that next meeting would be on november 18th Two weeks A lot of work to do Yeah, I don't I don't feel the need to add anything else to your plate for that meeting alan It sounds like uh, it'll be time well spent uh john or tom anything to add I just does that give you enough time? Yeah, we're we're At the very least we would have very good frameworks on where we're going some of these things again We had already started So we're we're kind of re-energizing going in this. I don't want to lose momentum on them So I just want to keep going Great. Thank you You know, I've nothing to add it I just really want to send my appreciation for alan you and your team Um, because I know there's been some a lot of changes in your department But the product that you continue to present to us has been outstanding So I know you've been the voice of your department. I really appreciate it I know there's a lot of folks behind the scenes and I really appreciate all their work and all their efforts because it's very Professional and I really appreciate the efforts Thank you Okay, I've got nothing else for this meeting uh tom john jeff anything else on your ends Just thanks great job. Yeah, good job alan. Thank you to the team and we will go ahead and adjourn