 Uh, let's see here. Okay. Good morning. Welcome to our 9 a.m. session of the May 26, 2021 meeting of the city council. I have a few announcements and then we will move on to our meeting. Today's meeting is being broadcast live on community television channel 25 and streaming on the city's website city of Santa Cruz dot com all council members are. All excuse me. All council members are participating in this meeting remotely. I want to thank the public for staying home to view today's city council meeting. If you wish to comment on the 2022 fiscal year proposed budget presentations today, call in please mute your television or streaming device once we have opened up for public comment and listen through the phone. Please note there's a delay in streaming. So if you continue to listen on your television or streaming device, you may miss opportunity to speak when it is time for public comment, press star nine on your phone to raise your hand. When it is your time to speak during public comment, you will hear an announcement that you have been unmuted. The timer will be set to two minutes. You may hang up once you have comment on your item of interest. And I would like the clerk to please call the roll. Thank you, Mayor. Council member Watson. It's currently absent. Telling party Johnson. Here. Coming. Presentations is part two of the city's budget presentations. We will receive presentations from the remaining departments that we did not hear from yesterday. At the end of today's presentations, I will call for public comment on the departments who have presented today. I will now call on Bonnie Lipscomb, director of economic development to give a presentation on the economic development department. Thank you, Mayor. And good morning, Mayor and council members. The presentation about to give today is our economic development department budget. And I want to acknowledge a couple of folks also on the call. You don't see them right now, but they're available to answer questions later. And that's Kathy men and Rebecca unit also from the department and both of them have been instrumental in helping prepare the budget today and are available to answer questions. I'm going to go ahead and share my screen. Get started. Okay, so we'll go into a brief department overview talk about our achievements over the last year and then a little more detail about our budget and some of the challenges of the year ahead. This is just an overview of our team. We have four main divisions. I will and this is our team important to note here that people not shown here because they are temporary positions that they have been with us working part time temporary for a couple of years. And that's Marty Ackerman who largely works in our property management asset management division and Joe Hall and both of them are, you know, long term city employees who have since retired and are really helping with the city part time. But this is our team. We're a small team. But, you know, every person on our team contributes so much to economic development in our community and we're all in this together and we're really proud of the work that we do. Our core services is primarily in four areas and that's business development, infrastructure development and asset management, housing development and preservation and arts and culture. And just a little bit more on business development. We do support business creation, permitting and technical assistance, promotion of small businesses through a variety of programs, you know, facade improvement, signage improvement, some of the programs you'll see briefly today. Convene business leaders, here's a photo of Amanda Ratella at our new tech meetup, one of our, you know, really engaged partnerships that we have in the community. And then promoting business growth, you know, groundbreaking new businesses opening in our community, helping them sort of with financing incentives, beautification and permitting. Infrastructure development and asset management. We manage over, you know, 80 leases license agreements within the city, including our kiosk downtown, which you see here. Property development and coordination of community development projects. Center one, of course, is the tannery. Many folks in the community don't realize that we actually own the ground and some of the buildings at the tannery. It's over an eight acre campus and developed in partnership with art space on the affordable housing. But the city actually led renovation of the working studios, 28 working studios partnered with counter art center, which was a nonprofit in the renovation of the theater, which the city now owns. And the renovation of the Cron house, which houses the Arts Council Santa Cruz County and then additional infrastructure development large complex projects and redevelopment. The most recent example of that is just as far as like the work mass being approved, which, you know, over time is sort of a plan for infrastructure development and support. And for this infrastructure, obviously it's a war. And there's a lot of complications with that that you have over the years as far as the sub structure. And you really need to look at the long term asset and the life of the asset and make sure you're maintaining it and then visioning for the future. And that's really what the work master plan is all about. One of our other main areas key areas in our department is housing. And this is housing development and preservation, particularly affordable housing creation and monitoring of affordable units within the city. And then support of community development programs with some of our area partners. So housing authority community action board, you know, just to just to name a few. We'll talk a little bit more, particularly in this afternoon, CIP budget about some of our funding and for affordable housing creation, because that's really moving forward. Pretty, pretty, there's quite a lot of activity in that pretty strong focus on that right now. And of course this photo you saw yesterday is the photo rendering of the or the conceptual rendering of taxation south right at the corner of Maple Street, Paseo and Pacific Avenue. And then finally the fourth pillar of our department is the arts and culture development. And this is one area where we talk about challenges just through some of just the pandemic and, you know, overall deficit at the city. We did eliminate our permanent arts program manager position, but in trust, you know, creative, flexible and adaptable. We have absorbed this responsibility and are really leveraging, you know, with new key programs like the card program, which I'll talk about in a little bit. And our partnerships in the community with Arts Council working really collaboratively with the Arts Commission at the city to see if we can do and support more creative arts programs and cultural programs in the city. So recent examples just this year, of course, you have the Chinatown Bridge, which is an amazing collaboration with George Owl Arts Council and Kathleen Pochetti as the artist. It's really just a beautiful example in our community. And then of course the Black Lives Matter mural that happened this year and you can see just a lot of sort of responsiveness to the city. This was an unforeseeable proposal that came forward and we were really excited and interested to really respond to this proactively and help facilitate this. Obviously our Parks Department and Public Works Department were also involved in this mural. And then finally on the arts is sort of supporting working artists in our community. This is an example, you know, as a tannery, Arts Council is really taking the lead and we're really proud of our partnership with Arts Council and the funding we give to Arts Council each year that they re-grant to artists in the community. Another thing they're doing that really is near and dear to our hearts is arts and business programming and so series of sort of online programs to really help artists become entrepreneurs and how to really get their businesses going. That obviously is something that resonates strongly with us. Just looking at last year, a theme I think across all the departments, it's been a wild ride. Some of them were short term. They were really sort of in the moment reaction programs to help business needs right then and there. So examples are Jumpstart, the restart kit. It feels like years ago, but it was long ago where we mobilized to get things that couldn't be sourced at the time to all of our businesses in need. So sanitation, social distancing, signage, face mask, floor signage, you know, that was a program. And I think the key, many people will be feeling this year and seeing this year is just sort of that responsiveness and that ability to be adaptive and flexible. Obviously our micro loan resilience program where we actually used our trust fund and I'll talk about that in a minute to give over 50 loans out to the community with our partner Santa Cruz Community Credit Union who really helped us underwrite the program. And we're looking at sort of around two of that hopefully coming up later this summer early in the fall for our permanent outdoor expansion program. So there'll be more on that forthcoming. Obviously, this last summer and continuing right now until October is our temporary outdoor expansion program. We are in the process of developing the permanent outdoor expansion program and that will come before you this summer as well. And we haven't mentioned it in a while, but it's really important to talk about get virtual, you know, get virtual had over 75 businesses since they started and we partnered with them. The majority of those within the city of Santa Cruz will brick and mortar businesses get online and something in the pandemic when businesses were closed particularly early on that that was just key. And then another thing that we saw in a little more detail yesterday are our weekly blueprint Santa Cruz County wide blueprint reports to really help businesses understand how they open. What are the restrictions? What can they do? What capacity is something that we put out each week through the Economic Recovery Council both in English and Spanish. New uses this last year for the trust fund obviously as presented yesterday by our finance director Kim Krause. We did need to draw down that fund for the general fund deficit, but we were also able to use the ED fund trust fund for two programs, one of which I just mentioned get virtual. The other is the Santa Cruz Resilience microloan program that funding the trust fund, which really is for economic development opportunities initiatives was critical in us being able to provide the funding for this loan program out in the community. So I do want to mention that that's why it's there and it really helped us be responsive to the business community this last year. You know, one other thing I want to mention about get virtual is this is a collaboration with the university and they were successful in actually developing a five credit entrepreneurship get virtual program. Over a hundred UCS students were involved and we're matched with businesses as I mentioned the majority of those are in Santa Cruz helping them develop an online e-commerce platform. That's huge. It's those kind of partnerships that connection with the university and that town gown relationship and really developing that over time. So those entrepreneurs invested in Santa Cruz and hopefully stay here once they graduate and start new businesses. Things that we're working on. I've mentioned a few of those. The growth Santa Cruz revolving loan program is a partnership with the National Development Council. This is an expansion of our growth Santa Cruz existing growth Santa Cruz loan program, but it's with an expand the American Rescue Act through the economic development administration of a countywide expanded revolving loan program. So we're really excited to continue that partnership and be able to offer more funding, very flexible leverage funding into our community for businesses. We also are kicking off there being made right now. We had the holiday with downtown association for shop look shop Santa Cruz shop local dine local you're about to see some new banners that we're putting downtown midtown. And we have we're trying to do it in the commercial areas citywide where we can we have to put up some new infrastructure for that but it is a shop local dine local support local jobs campaign and we're pretty excited about it. We'll also have our city arts recovery design program. I'll talk about that in a minute. Downtown Pops. You approved that earlier this month. This is our vacant storefront activation program. We do have that request for proposals for prospective tennis out on the street now. And we're currently meeting with business, sorry, property owners on perspective program. So that's that's moving along. And then I mentioned our development permanent parklet program. One aspect of that worth mentioning is that we're actually designing a couple of templates for permanent outdoor expansion areas that and I mentioned this yesterday, but it's worth repeating again that will actually be vetted. We've proved some of the permitting will have them ready so that we can really reduce that timeline for those businesses to know that what the costs are for developing the permanent outdoor expansion program, how long it will take to get their permit and be able to move forward with some financing tools to make it financially feasible for them to invest in these spaces. And then finally, you also approved earlier this year our five year strategy and recovery is for the next, you know, year to 18 months is still sort of that first part of that five year plan is our is our big focus. So we're moving forward on that along with the alignment with the interim recovery plan that you also approved approved for the city funding that we've received this year. This is actual funding that we have in included in the budget. There's more that's not here and not budgeted yet that's going to come for before you fairly soon. We can't report on it right now, but we're pretty excited about it. But we have the 5 million state local housing trust fund that went into our affordable housing trust fund and it's funding and divided between three of our projects, the pack station station north and the library and excuse affordable housing project. We also were awarded and this one's over five years 1.2 million the state permit local housing allocation and 350,000 and state HCD location funds that we were able to put into two existing partner programs. That's with the farmers market and the housing authority. So we're pretty excited about about those programs and then housing milestones this year. We amended the inclusionary housing ordinance to bring workforce housing options to the community. You know, big part of this also was the partnership and collaboration quite a bit of outreach with Santa Cruz community with Santa Cruz schools for their proposed project and making sure that our ordinance really allows for that type of workforce housing. And that helps us retain teachers and other employees that work here live in our community. So that's a really important element. And I do want to acknowledge the housing committee that worked on that with us and the planning commission and the city council all of all of these groups and work key in being able to move this forward. And then of course we completed our housing team completed the five year consolidated plan through 2025 and which helps enable us to receive the point 2 million and CDBG the community development block grant and the cares act funding and additionally over 400,000 in home funding to the community. You know, another milestone we recently and I couldn't help but share this photo, which is of a visit with Congressman Panetta and council member and a retella who's a project manager for our library mixed use affordable housing project and just really showing how much we have going on in the downtown right now. And so that was a really fun highlight of what's to come and the different projects and just the amount of housing that's being developed and in the work in various stages of permitting and construction and plan for the downtown it really will change and help support the long term sustainability of our downtown. This is our library existing library site visioning and sort of engagement process and this is actually at our recent Midtown events Fridays, Midtown Fridays events and this is getting community feedback on what are the elements that they would like to see on the current library site going forward. You know, the city were to do a new project new projects or revision that site. What is the community vision and so that's been a great process and that will come forward to you right now. We think the second meeting of June. With sort of pulling together all the feedback that we've received from the community and the community outreach and so you'll be able to look at what ideas are out there and how the community feels about this public space and looking at it in the future. And then this last year our work master plan was approved in our EIR certified for the work and this is a major milestone. As I mentioned, this is, you know, a credible and unique resource we have in our community. And it's important that we take care of it and it's important that we really think about what does the work look like for the next 30 years? Are we planning for the maintenance of the infrastructure? Are we planning for things to change? How do we bring our community and our visitors to our work? What does that vision look like? This is all in the work master plan and it also enables us to get state and federal funding to move forward with a public plan, which is a requirement and to be successful on future grant funds. It was instrumental in a year sort of in the making. We just found out, this is in our budget yet, but it will be soon, that we were awarded a 620,000 grant EDA economic development administration grant for structural repairs. This is specifically under the Miramar, the building that we needed to demo because it was in disrepair of being able to address those pilots. So this is an example of what having an approved master plan enables us to do for the future. I'm looking forward. And then another milestone, a couple of others over this last year, we did, and this is David McCormick, who's our asset manager for the city, helped relocate the watershed compliance team. And I think one really important thing to note in this year of just, you know, after change is that we were able as a city to retain over 95% of our tenants. You know, when I mentioned those 80 plus tenants, you know, businesses going through COVID, we were able to maintain those in their tenant spaces during that period. So that is something that I definitely wanted to remark upon and feel like that's an important achievement over the last year. This is a day of our Midtown Fridays, and this is a partnership with Event Santa Cruz and with many of the Midtown businesses. So if you haven't experienced a soft launch with soft intentionally, we wanted to make sure we worked through some of the kinks, but it's something that really resonated with the businesses Midtown on the east side. And we anecdotally heard back from a number of the businesses that businesses hopping for them, you know, all day Friday, and they're really excited that we're doing this. So the site that it is, is a parking lot that we own as a city. And during the pandemic, parking has really been underutilized. So this was a great site to really activate some interest and bring folks in the community back out and re-experiencing, you know, our stores. So we're excited for that partnership. It will be continuing. We'll see if it goes to the whole summer, but definitely through May and June. And we're pretty excited, excited for this event. And City Arts, I mentioned the card program and this is the City Arts in Recovery and Design. We had 60 applications, over 60 applications received. We had almost 30 community reviewers reviewing each of these applications and recommending the top 20 to receive $1,500 stipends to be included in sort of our master book of projects, which these stipends really flush out each of these projects. That's amazing. The creativity of our artistic community, those that are invested, we had a number of different pillars. We had arts and recovery, we had restorative justice, and we had one sort of similar to our health and all policies sort of categories. And so we received proposals in each of those three areas, and then they were ranked on a variety through our panel on a variety of sort of pillars that resonated with the IRP plan and the city's policies. And goals for the community. So we'll be pretty excited to bring some of these forward to you. The Arts Commission and Arts Council is our partner. Arts Council is actually helping us implement this program and our Arts Commission has been instrumental in helping move this project along. I was referencing earlier when we talk about leveraging, even though we don't have our formal arts program manager position right now. Our responsibilities have been absorbed within our development manager position, and Kathy Menz has been leading that effort now. But it's been because of our community partnerships and those strong collaborations that have enabled us to move forward critical projects like this in the community. This is an example of a project that our Arts Commission just approved funding through our city arts budget for. And this is part of the Sea Wall Santa Cruz Festival that will be in September, September 10th through 20th. And we provided approved 25,000 in funding to help fund over 10 murals in the community. So that's the serious leveraging. And PANGSC is a foundation that internationally engaged nonprofit organizations. And they really acted the intersection of culture and environmentalism to further the conservation of our ocean and ocean stewardship. So we're excited that they're interested in Santa Cruz. This gets us national and even international recognition to have this in our community. So this is definitely something to look forward to over the summer. And here's an example of just all of the things that they do in the funding, a national international recognition that they bring with it. Turning specifically to our budget, you know, sort of what's new or what have we had to adjust to? And I would just say adjusting to this sort of post pandemic recovery, making sure that we're being responsive to community needs, that we're being adaptive and collaborative and program delivery, and that we're also focused on revenue generation, even more so than we were before resources. And I'll talk about that a little bit more in a minute. Okay, this looks interesting. I will say if you're looking at our total revenues, you can see this is very skewed. It's very skewed to our affordable housing trust fund. That's because as far as revenues, we've received that $5 million state local housing trust fund match, which overall, when you look at our total revenues coming in, it definitely tells the story. It tells the story of the funding and our focus on affordable housing creation in the community. What is not here, which would skew this in even more, is the additional $5 million in funding that we do have coming in. That's also for housing. So you'll see that if we added that further, what that would make our total revenue pie look like in this chart. Expenditures, and I'm just going to toggle back so you can look at this. So here's our total revenues, total expenditures, $4.4 million. Again, almost half of that is in our personnel. It's our people that enable us in the department to implement all of these programs and initiatives that we have. Our project support and admin is about 10%. Our overall housing and community development, and obviously that's the specific revenues for projects, but it's 27% asset development and property management for arts and culture 3, and community and business support 18%. Our budget reductions this year, we are moving forward with some cuts, and we're able to absorb these. It's important to look at because in the budget, we have an approved new position of development manager to move forward some of these major projects that I was mentioning. We're able to reduce some of our temporary staffing and professional services. We also have some savings from moving our housing division, which is the building across the street, to some available space in the annex. We've reduced our training budget and in light of sort of that COVID recovery, we're doing a lot of training online, so we believe we can absorb that this year. We have a reduced trolley year. We're waiting for the governor sort of mid-June to sort of assess, you know, what is the community's sort of support for riding a trolley and being in that sort of group transportation setting later this summer. So we have reduced that overall budget. We have a grant that's coming to a close, which had some city match to it that we budget for next year, and then we reduce some property management expenses that we could absorb. We may need to come back during the year if there were some unforeseen areas and property management for any of our projects, but as a general sort of line item, we believe we can absorb these reductions for the year ahead. I mentioned earlier revenue generation focus. We have seven grant applications in process right now in various stages already submitted, being submitted in the next few weeks, that totals over between 94 million and 117 million. And we're focusing on this, and it's important, and the first line is key, the Economic Development and Fish and the American Rescue Plan. There are so many opportunities right now, and we are poising ourselves to take advantage of those. It's a strain, and that's sort of one of the challenges for us with a staff that's as small as we are. However, we have done the groundwork to have projects that are shovel-ready that meet a lot of the goals for recovery. And we're full steam ahead. So I think that something in being able to be flexible and adaptable is being able to take advantage of these opportunities that rise. And so that's why you see so many grant applications and opportunities for us to move forward on these. So we do have seven grant applications. We have the first one is the one that you approved recently for the Tannery Dance Center. We have three with state parks, and these are also in collaboration with Parks and Rec. And that's one of our partners, the War Feast Promenade and Fishing, the Monterey Bay Access Education and Fishing River. And then we have one also for Riverwalk Revitalization. We have several grants in process for our housing program, Pact Station North, Pact Station South, two of which you approved yesterday, and our infrastructure and infill development grant, which will be due next month, early July. So we're looking at those grants and making sure that we're well positioned to be able to be extremely competitive to receive that grant funding. Challenges, just staff that capacity, you know, as we want to and don't want to miss these opportunities. As we get these awards coming in, it's like, oh, this is great. Uh-oh. And then what? We need to make sure we have adequate staffing to be able to implement these grants. Some of them, the grant funding will allow us to either bring on some temporary help or contract out for it, but it is something that we're going to have to be aware and make sure we're balancing. We really have a staff right now, particularly through the pandemic, that was responsive. But it is at a level of a long term. So it's just something that we have to track and be aware of. And I know we're not unique across the city. Every department has been giving their all, but it is something that we have to manage, particularly as we're getting some of these grant awards coming back. We have received three additional grant awards that weren't included in a budget numbers I mentioned earlier, and that totals over $7 million. So that's something that we'll have to come back and adjust when the budget is adopted to make sure we're including that grant fund. And then I just mentioned the grant pending applications. And so with that, that concludes our department presentation. And Kathy and Rebecca and I are happy to answer questions that you may have. Thank you, Bonnie. That's all I can say as well. Amazing work that you guys are doing and really want to thank you for all your work during the pandemic, especially many and many of our businesses are here today because of all your work and all your department's work and helping them succeed. I see that Council Member Cummings has his hand up and also Council Member Calantari-Johnson. Thank you for the presentation, Bonnie, for the work that everybody's been doing and economic development, especially during the pandemic. And it's just really great to see how many businesses were able to survive during what really was a difficult time for everyone in the community, especially businesses. I'm curious about the Midtown Friday. Just curious, was that every other... I didn't catch like how frequently that's occurring. And so is that once a month or is it every other Friday? The plan is every Friday. And it's a partnership with Event Santa Cruz. So we have Matthew Swinerton who is taking lead in booking all the individual vendors and coordinating with the Midtown businesses as well. David McCormack, our asset property and property manager, is sort of coordinating the behind-the-scenes details, making sure it's really smooth on the city side as far as permitting and all of those logistics. Great. And then follow-up with that is, does the Economic Development Department play any role on the first Fridays? And I was just curious if that's coming back anytime. We've been involved in the past through that, through some of our granting and re-granting through our support of the Arts Council. So that's really typically for a lot of those types of programs. Sometimes we do get unsolicited proposals or we'll supplement if there's a gap. But the majority of our arts program funding does go through into the Arts Council for that. Although it looks like Rebecca just popped in, so I don't know if she wants to add to that. No, sorry. Turn my video on by accident. Okay, okay. And then just one final follow-up, too. I was just curious, because I know that we've moved forward with the kind of downtown, the program around filling small businesses, or like, sorry, vacant storefronts. And I was just curious how that's coming along and if there's any update on that program. Yeah, now is Q, Rebecca, because as I mentioned earlier, we have put out the RFP for businesses. We had, I think it was over 35 close to 40 perspective interested businesses. And now we have a number of applications in process. So Rebecca can give you actually the staff of where that is. With the property owners, we have right now, active engagement with at least five that are interested in us using their spaces. We're hoping through the end of this month to get that up to at least eight to ten. We'd really like to hit the ground running with leases. We have the lease ready and the sub-license agreement ready to go with the sub-tenants. So I really hit the ground running on July 1st. So that's what we're hoping to kick that off. And I'll turn it over to Rebecca for the number of businesses application. Yeah, thank you. Good morning, Council. We have about five applications in progress right now from prospective businesses. As Bonnie mentioned, we did receive over 40 inquiries into the program. So definitely a lot of interest around this, the RFP process. We try to make it as streamlined as possible, but it does take some time. So I imagine that businesses are still working through that. And we initially set the deadline first by giving sort of the extent of that application. We're going to send it to June 4th and we're going to have a question and answer series and sort of an information session with the Downtown Association on June 1st as part of their Downtown Recovery Subcommittee meeting. So we'll be advertising that and getting the word out. But some interesting responses so far and excited to see what all the proposals that come in next week. Great. Yeah, I ran into someone who was mentioning that it would be cool to have some of those empty spaces as potential art galleries for local artists. So I thought that was a good suggestion. But it's great to hear that that's moving along well. And those are all my comments. Thanks. And next, Council Member Calentari-Jones. Thank you so much for that presentation. You're getting me so excited with all the grants talk. So great to hear that we've secured so many grants and that there's some more coming. Would you be able to share with all of the grants that are coming and that we have the art and the budget, how does that look in terms of the expenditures and revenues? I mean, just a glimpse of that. Where do we land? And then I'll just ask my second, could you expand a little bit on the reductions for property management? What specifically are those and what do they look like? Thank you. Yeah, I'll start with the property management one first. So we had a budgeted quite a bit of funding over the last year. So part of that reduction was related to some one-time funding we had for the Del Mar reduction. So the majority of that over 20,000 of that was specifically to that project. So we made it through that. That was an aging infrastructure, that historic theater. It needed quite a bit of work from electrical to plumbing that needed to be addressed to bring that up to code. And so that was a series of sort of one-time expenditures. So we were able to sort of look at the overall property management budget and say, okay, those were unique to this project. In the past, we've had sort of catastrophic roof failure issues with the Del Mar. So we've had past one-time expenditures as well or one-time and 20 years expenditures. So we've made it through a series of those over the last five years and we're not anticipating major expenses related to the Del Mar for the next few years. So that's how we were able to absorb that. I think from the grant side, obviously, we're pursuing these grants, but we're pursuing them for projects, specific projects. So a lot of them, I would say on the housing grants, they're sort of that last or second-to-last funding that we need to close the gap on the projects. For example, as we get that ASIC, we get $30 million for that's the Affordable Housing Sustainable Communities Grant for Pack Station North. We have funding additionally in the Affordable Housing Trust Fund for that project. We're using some of that funding on some of the initial conceptual design, some of that going forward, which enables us to be project-ready to apply for these ASIC grants. So part of that is looking at sort of the lead to sustainability elements that are key for some of this funding down the road. And so we're making some of those initial investments now for elements we know we want in the project anyway to secure and be more competitive for those grants. A couple of the other ones, again, the warped one coming in for that infrastructure, those were things we were going to have to do regardless. So getting a $620,000 for the war to deal with piling, that's money that we, you know, that's on the unfunded CIP list. So getting that money in is critical for government. I haven't done an exact sort of comparison of funding to, you know, revenue to expenditures. So that is something we can look at a little more closely. It does cross over different fiscal years. So definitely on the CIP side, something that we can look at a little more closely. Well, thank you, Bonnie. Are there any other questions from council members at this time? And just to remind the public, we'll take public questions at the end of the presentation today. I'm not seeing any other hands up. So Bonnie, again, thank you. Great to see you and all your folks. Thank you so much for everything that you're doing. Your work is impactful to all parts of our community. So we really, really appreciate your department. And thank you for giving us the update. Even in the crazy year we had, you guys are still moving. Folks, great. Thank you. And again, I just want to acknowledge our team and our partners across departments in the city. It's like we all really are working together. And this year has demonstrated that more than any other. So thank you. Thank you. Okay. Next up I will call on me butler depart deputy city manager, director of planning development and homelessness response to give a presentation on the planning department budget. Welcome, Lee. Good morning, mayor and council members. I am going to share my screen here today. I am going to go through our fiscal year 22 budget for the planning and community development department. And then I'll jump into a department overview and I'll talk to you briefly about our past year achievements and some of the things that we have coming up. 80% the largest expense in services and supply outsourced work over the past few years because we have received over $900,000 in that point. But if you have questions about that at the end, I'm happy to answer those questions for you and to raise that because the question came up yesterday. That was important. And I want to talk to you about the holdover balances for consultant services. So as you all know, a construction project, a big construction project, but even small construction projects often span multiple fiscal or four fiscal years even in coordination with $145,000. And that comes to anticipating revenue. What we do is we talk to the development community and we say, hey, particularly for the big projects, when do you expect that you're going to be moving forward on this? When are you going to be breaking ground? Large projects that are in the pipeline and, you know, we're optimistic they will move forward. But in coordination with that exercise and with finance, we're in revenue, but there are unknowns there. You know, the price of lumber is really high right now. And so what we do, the mission statement for our department is to enhance the quality, safety, and civic pride for our community use and development guidance through responsive risk public service. And we do a lot in our department, but we call that a few of the things that we do right here on the slide. And the up top on the right, we partner with the community to create long range planning documents. We review private development, ensure that those are implementing the plans that we develop. So our general plan and our specific plans that how and where we grow. Those are documents that we work on and then that we adhere to when we're reviewing projects and presenting them to decision makers like yourselves. And when we review them to make sure that they will be safe, that they will be green and that they will be healthy. We've got a green building program that exceeds the state's green building standards. And not only do we do this evaluation during the plan review and the building construction processes where we're out there. But we also help to ensure that buildings are maintained in a healthy and safe manner throughout their life cycle. And that's through our activities like encode compliance and rental inspection where they are going out and making sure that our housing stock. And then of course we want to deliver service and efficient and effective manner. And that promotes our goals of housing by getting those projects moving through the process quickly. And we are always striving to have a high quality built environment. And these essential services really relate back to the re-envision Santa Cruz recovery plan by facilitating investments in the community. Both in terms of private development supporting new existing businesses and in terms of infrastructure improvements that are often associated with that new development. And these since of course help promote our physical sustainability. So many of the pillars, the three main pillars of our re-envision Santa Cruz plan are all supported in our department. In fact it's just talking with our department and highlighting to them how much we do in our department that directly relates to that recovery plan. So these are the folks that you see screen here. Plus we have some additional temporary and part-time staff that's included in the personnel cost, the 80% of our budget. You can see myself and Eric, our assistant director, off on the left there he oversees code compliance, he oversees advanced planning, John Gervisoni oversees building and safety, and Sarah de Leon is our administrative division. Issued over 1,500 building permits. Our main city line had over 15,000 calls come in. So that's just the main department line. Issued building permits, those 1,500 building permits issued are valued at over $43 million. And I will note that that $43 million does not include the Pacific Front Moral Project. That project in and of itself is $60 million. So in terms of the valuation. Just a quick aside, the council will recall when we brought our housing element numbers, our annual rena numbers to you this year, they were relatively lower than prior years in terms of total number of units. And that's because we hadn't had a large project. And that covers the calendar year of 2020. And this is the fiscal year. But there's overlap there. And we hadn't had a large project come through. We will, in this coming year, have that large Pacific Front Moral. And that will both substantially increase this building permit valuation, but it will also be reflected in the numbers that we have changing at times with people not in the office. And we were making a lot of systems changes with older technology that has limited capabilities. And so, for example, we, some of our digital processes have relied on sending PDFs back and forth, you know, not the most ideal or efficient way to work through things. Our IT director, Ken, yesterday, speak to how one of their priorities as well. And that will help with smoothing some of these challenges. I'll talk to you a little bit about that, a little more about that in a couple of years. And then, of course, inspections and virtual inspections, you know, we have made that transition and there are still challenges associated with it. There's a water heater strap, but how tight is that strap? You know, is there a smell of gas? Things that are hard to tell over a phone. And then, of course, you know, face-to-face versus email working through those challenges is something we've all been dealing with. And, you know, we've been, we've transitioned to virtual meetings both, you know, internally and also with the community, with community meetings and with hearings, both in planning commission and at our zoning administrator. And we've worked to enhance our online services and COVID has actually helped push us and accelerate that. And, of course, we're all dealing with the remote work. Moving to some of the achievements that we've had over the last year, we approved over 200 units in 100% affordable projects. And another 94 units in a 100% affordable project are under consideration in June of 21. This is just the 100% affordable project. So we also have, in the next bullet down, approved 398 multi-family housing units, including a 175-unit mixed-use project between Front and Riverwalk, that Front Riverfront project that will really serve as a catalyst for redevelopment adjacent to the river there in our downtown and, you know, directly aligns with our re-envisioned Santa Cruz plan. But projects like this, the 175 units on Front, the Front Riverfront project had another 20 de-districted affordable units and other de-districted units were included in the 398. So that's on top of the two to 300 units that we have in 100% affordable housing. So we're making a lot of progress in getting affordable units, as well as mixed-in income projects. And hope to see many of those come to fruition as you see in our expected revenues. We did receive over $600,000 in grants at the last year, and that included funding for the downtown plan expansion and the housing element. And then we also, I will note here, there was another $300,000 that we received two years ago, and we've been working through the implementation of that with our, or the development of the objective standards and made a lot of progress on that over the last fiscal year and look forward to completing that in this coming fiscal year in collaboration with the community. And then, of course, we just recently had the council adopt some additional fees, some new fees and some revised and updated fees, both in co-compliance and also in childcare and public safety impact fees. So that's contributing to our ongoing fiscal sustainability right in line with our recovery plan. Finally, I want to leave you with a thing that I'm really excited and proud of our team for, which is business process optimization that we've been working on in coordination with a whole range of folks. So we're really looking at how we can evaluate what we're doing and how we do it better, particularly as we begin to leverage this with new technology. So we have customers and we've said what's going well, what's not going well. We have mapped out our processes between our building division, our challenging. Where are the parts that are difficult for our customer or that are hard to communicate between departments and divisions? And we've worked with different departments and divisions to get this roadmap and we are looking at revising a number of our processes and we're doing this in advance of our permit tracking system upgrade so that when we transition to our new permit tracking system, we're not just doing the old thing. We are looking at how can we do this better and how can we leverage this new technology to the greatest extent that we can so that the place is where we can make a difference. The implementation of these for fiscal year 22. So as we're our blue theme, digital plan review software, we've been using that for some time now but COVID accelerated us in doing that so as we fully implement that and as we implement our new permit tracking system this effort that we've gone through in the last four months or so is really going to pay dividends and so I'm excited about the implementation of those process improvements. And with that I am available for any questions that you may have. Thank you so much for all your work. I will look to see if there are questions from council members this time. I'm not. I see Justin. I have a question and I'm not sure when the best time to bring it up is but I know that the city managers section there's discussion around restruct department and having deputy city manager and then the elimination of the planning director so that's why there's I don't know where to bring this up but you know the consideration of the elimination of the planning director I'm just curious you know like how does that kind of impact the planning department if we don't have a planning director in the review of that so you'll get a presentation on that shortly. I just wasn't sure when to bring it up because it doesn't have any impact planning. In a few minutes clarification on that. I'm wondering so you spoke about the UCSC advocate the LRDP advocate that it's been funded out of the advanced planning budget. I wasn't clear if it's actually in the budget again or if we at some point we're going to need to if we want to actually continue that position at it is that I'm just trying to understand where we're at. I appreciate you requesting that clarity because I didn't provide a lot of detail in the presentation expecting that we would have some questions particularly after it was raised yesterday so I will try to provide some clarity here for you I would say yes if you want to position or that consultant I should say then you I would request direction to do so that is the AP consultant budget comes out of the general funds and we have as I noted in the presentation we received a lot of grant funds and our team has basically their capacity is tied up in implementing those grants and what that means is we haven't had to have additional expenditures that we typically would with consultants you know typically we would be doing that work and we would be paying consultants for it out of our general fund consultant budget grants and so now we're using that grant funding so if the council wants to fund that for another year and there is a I can pull that up and I can share it if you want to get into the details of that or okay I'll just say give us that direction if you if you want that and if you'd like more information about that I'm happy to get in more details with you now or at a later time thanks I think we can do that offline so we can keep moving but thank you so much appreciate it the affordable housing units that you mentioned in the report so you mentioned there was 200 that have been approved and I'm assuming some other ones those are some of the ones that we had done through that new process that were sort of ministerial so that Jesse Street Marsh excuse me the Jesse Street project the housing matters project is that those projects are there thanks for asking that question so that includes the over 200 includes the Coral Street the permanent supportive housing at the back of the housing matters Coral Street property and then so that's 120 units and then I believe it's 85 units for Pacific Station South that was a coastal permit that we approved for that and so the council actually authorized more than that we didn't count those as technical approvals and then I mentioned the 94 units or 96 roundabouts that were coming up in June that is the coastal permit that we are considering at a zoning administrator hearing for the Metro Pacific Station North project and so there are lots of other affordable housing projects in the works at various stages including some that council has more or less approved and we just have to go through a ministerial process but we didn't necessarily want to count chickens yet because some of those projects still have to get funding that the Cedar Street project for example applied for some grants and if they don't get those grants their competitive grants if they don't get those then we might not see that project I was a little bit conservative in how we were we were presenting that but thanks because that does highlight that there are a lot more things going on besides just what we've done there and I think that the approach that the council took to maximize the opportunities under AV 2162 for affordable housing and supportive affordable housing can help push projects forward by expediting them and some of the uncertainty up front for applicants and so thanks for calling that out I was just curious because I knew with the Cedar Street it is hard to name the number I had to speak at the affordable housing event last week and I was sort of going between your site and economic development and it is a little bit about the health and housing matters slash Coral Street so that's two 205 units and those two I know that the I believe that the housing matters Coral Street I believe they just received a $6 million grant or something I mean they just received significant funding for that and then of course to the fixation that even though sometimes it feels like affordable housing is not actually happening it really is happening and we are these projects are getting funding and we are moving forward and I know so it's and I guess my last question is on the rena on the rena goals we are going to get new numbers so is that is there a process that is going to be around I also know we have to update our housing element and is that program to start this fiscal year or would that be starting next fiscal year that's a good question because it's right on the borderline but we have a grant we are expecting to get so and bag is telling us right now through the Association of Honorary very area governments telling us right now that June next year so essentially in a year and a month we are going to be getting our new rena targets and so that will really kick start our timeline and we will have 18 months from that point to have a new certified housing element and so because it's right there at June we probably won't start it this coming fiscal year but we may we might get the ball rolling in terms of getting our RFQ or excuse me RFP together for that so that we are ready and poised to hit the ground running but probably won't kick that off because those rena targets are going to in part dictate what we are doing as part of the overall housing element update do we have enough capacity right okay got it and do you see the housing element which your plan required by state law we can't get grants unless we have one do you see that between that and the housing blueprint that was such a great process so much community input whole year I'm just curious maybe if you could just comment on now you've got this required state housing element a lot of hundreds of housing to development but getting sort of a little bit of a perfect story alright I would say a few things one we got that I really appreciate all the work that the council members and the community put into the housing blueprint blueprint process and that not only did that win statewide awards for the work that we did but that is still being used we're still using that because there was so much good information in there and so many great ideas I mean we took the we prioritized the first set but even some of those you know we've got a lot of the top priorities checked off now but like even some of the lower top priorities we're still working on and many of those ideas can be directly into action items that we have as part of our housing element and you know even some of the state mandates are consistent with some of the things that the council has talked about recently so when we update our housing element we will need to talk about ways in which we can promote affordability for ADUs for example and that's been an interest of this council as well and so we'll be looking at the past documents that we have and mining suggestions and ideas from that we'll also be looking at the bay area because there one year ahead of us we'll be mining ideas from there and you know we'll have a consultant who will likely you know has experience in working in some of these other areas you know southern California was even a year before that so we'll have lots of work to build on and so I think that's it there but I want to build on I want to add on to one thing based on your prior comment about things in the works and acknowledge the great work that our team has done in getting the inspections and the project at 350 Ocean moving along that is we're going to be looking at the maintenance of affordable housing and that is expected I haven't mentioned it because you know we haven't completed it work has happened this past year to get that to where it is right now and really over over many years leading back to the planning entitlements and we're expecting occupancy of that and opening that up to to 60 plus so right around the corner so another you know these projects take years in the making and we've got a lot in the pipeline but that was coming up really soon in terms of people being able to move and which is always a great thing right yeah it just seems like for you know for the public today to understand all the foundational work and then also currently all the efforts with real I feel like very real progress baby I'm you know but I feel really a lot of progress a lot of commitment from the city from as a government but also with local affordable housing developers obviously the state is doing a ton with regards to affordable housing and also the mandate from the outside love them or hate them their their reality right now just for the community to really understand forecast that housing will become a major discussion for you know council next year and moving into future years which is exciting and timely because we have to figure out how to do it together because we we we have that but obviously we also have you know a lot of design concerns and other things but I just look at the objective standards I look at the housing element you know you look at all these pieces a lot of a lot of cities don't have all of those things lining up at once you know over a couple of years and so I think that there will be a lot of clarity and hopefully a lot of engagement by our community in queuing some of these things up so it's good to hear I just kind of want to hear the timing so thank you council member coming did you have a question with regards to the affordable housing and units that are coming online I'm just curious just so the how do people sign up to be on the list to potentially qualify for that housing I mean is it through section eight or do they just apply you know once the housing becomes available they'll advertise and you have to meet a certain threshold it's just I think a lot of people are unclear that you know we're asking for affordable housing but then once the affordable housing is built how do people actually access it if needed so it does vary sometimes it can be through the housing authority with specific project based vouchers and other times it can be separate from housing already I'm wondering I don't want to put Bonnie on the spot here but I see she's on the line and I don't know about 350 ocean and how they are they are broken down in terms of I believe they do have some project based vouchers but it looks like she maybe she knows I'm here but I wasn't listening that I apologize so council member coming to ask how folks know about upcoming about how to sign up projects and I mentioned project based vouchers which I believe 350 ocean does have some project based vouchers that people could get on the list through them is that correct so there's a number of ways generally when there are and actually council member Brunner and vice mayor Brunner she can weigh in from the house there are multiple ways of making sure the general community and some of the general public aware of some of these we definitely put it on our housing page and our website whenever these opportunities come up because generally they do have wait lists and they fill up quickly but the housing authority site is another great site and resource for those as well and then if you know the project name which many folks don't if you know the project name they often will have a sign up on their site and also have a website for how to sign up and submit an application and in some instances get on a wait list but I'm going to defer to vice mayor Brunner who may want to talk specifically about that housing authority go ahead vice mayor thank you Bonnie I did want to add on it depends on each sometimes it is an individual site application and which Bonnie mentioned there will be oftentimes a big banner on the outside of the building with the web URL to inquire or a phone number to call and inquire if it is through the housing authority the housing authority website URL has a link and I believe it's called find rental housing and so if there are project-based vouchers usually will be listed through that link on the housing authority website and anybody who's already on the housing authority list will be have access to that information so a lot of different ways you know the city website has also listed in the past the links and information so yeah that's what I know and I would just add with that our housing manager just texted me and reminded me that we always reach out to some of our partners as well to make sure that they're posting on their website and doing outreach so for example the ocean our team reached out to Edgar to make sure to get the word out for when projects come online that's just something that we do with every new project that comes on board and then as vice mayor Brunner mentioned so for projects that the city has funding in we're really proactive about those as well because we do get a lot of inquiries that come into the city so I have a note in my calendar is opening tomorrow yes there is a grand opening event so for council members who would like to see a brand new affordable housing development it's opening tomorrow at 11 a.m. 11 to 12 o'clock those are ribbing cutting it is tomorrow yes thank you voluntary Johnson thanks I just wanted to add for individuals who are unhoused there are case managers and outreach workers that work with the county and nonprofits and they do coordinated entry smart path assessment and that smart path assessment is the mechanism to get folks linked into affordable housing and those are also connected obviously to housing authority and know of all of the lists of the housing units that are coming into place so that's specifically for those who are unhoused is the smart path assessment thank you well thank you Lee we appreciate it I'm sure we'll have more questions so line items next next month and finalizing the budget appreciate your presentation so thank you thank your whole department for their work we'll do thank you all next up is Laura Schmidt she will be presenting the city manager's office budget and she is our assistant city manager welcome Laura thank you excuse me thank you mayor and by center and council members going to share my screen are you all able to see that we are yep thank you all righty so I'll be coming the city council and city manager's office budget and then after our Q&A next up into the queue will be Tony Condate to do the city attorney's office the sections that I'll be covering with you today are our services and who delivers them the achievements for this upcoming fiscal year that's ending in just the year 21 and then our budget for fiscal year 22 you think of the city manager's office what are the various service categories that we function in and the first one is our city clerk's office and then the second one is administration and council support and administration covers all the various and sundry human resources and departmental guidance and oversight that you would imagine and then all of the support that we do for the council members we have also major service area of strategy and that is the city strategy that we work to support the council with any given fiscal and calendar year and then as well as implementing that and picking the strategy and actually implementing it with our department and then the other major section that we do is program and project management there are a lot of ongoing programs that we support such as the climate action and sustainability policies and then any ad hoc projects that come out up in any given fiscal year you look at the breakdown of what are how those services go into our different areas and our work groups within the clerk's division they help and facilitate the gathering and disbursement of community information they are our main help desk as far as the community when they call into the main number they either help answer the questions or route them to the appropriate department they do all the records management for the city as well as the election coordination and then agenda and meeting administration the main one that they help administer and facilitate is the council but they also support any of our advisory bodies and any other of our commissions and committees that need assistance they are the main support mechanism for that on the city administration side that's our other major branch and for city and council administrative services we do administration and council support and then we also support citywide communications on the program and project management side I have categorized a general bucket so those are ones that any ad hoc requests that come in and any sort of things that are not climate action and sustainability and health and all policies or homelessness would fall into our general category of programs and projects so on the programs and project side are any of the work that arise in the city manager's office one of the things that sometimes people wonder when does the city manager's office get involved generally if the initiative or the request is citywide it cannot be seated in any one specific department it's multi-department or it just involves all departments it will be within the city manager's office sometimes it's not necessarily citywide but let's say it involves a third of the city departments and not one of them has the primary driving of it then sometimes that will also come to us additionally when something is interagency actively with the county or some of our other regional partners that will often also dictate that it comes to the city manager's office then sometimes it's also just council direction and assignment or other factors that come into play when something arrives in the city manager's office services to give you an idea about that programs and projects this is not necessarily a list of accomplishments or examples of what happens in the general bucket and then some of the subject matter specific ones so we administer contracts including the core and other social services grants that the city handles and disperses funds for to our regional partners we coordinate the independent police auditor and the legislative program we also have standing committees that we staff on behalf of others the climate action tax force, the commission for the prevention of violence against women, our community programs committee and our public safety committee the HAWC committees arise and they're city citywide or multi-departmental oftentimes the city manager's office will staff those we are helping with the revenue council and HAWC committee as well as the council and HAWC green economy committee and then on an ongoing basis we staff multiple joint powers authority and that includes our animal services, our public libraries and our Santa Cruz county regional 9-1-1 examples of general projects that are come into play recently that you might recall on the strategy front is our re-envisioned Santa Cruz our interim recovery plan, the California voters' rights act housing matters hygiene bay and then grants management integration and improvements on the climate action sustainability you just recently received a report from Dr. Tiffany Weiswest, we're finished in 2020 and then we have just launched an RFP selected a partner to help develop climate action 2030 helping out policies and we were brought into that process and the year one report and then we're also working to facilitate the two five-year work plan and then another example would be the West Cliff Drive adaptation and management plan this is a subject specific one on the homelessness response working with regional partners and developing those relationships and aligning our strategy and our plans with our other regional partners we just had the county in the special study session here last week so we were able to understand what their strategy and plans are we've been working a lot with COVID-19 response helping with the encampment coordination and then the facilitation and drafts of the ordinance as well as in the future the actual implementation that helps us be able to roll out the ordinance Moving on to our achievement for this fiscal year on the clerk side the staff developed the Brown Act training for our city commission members along with our city attorney's office and hosted a training on that for commission members as well as staff we've administered 27 regular and special council meetings so far and then had 98% compliance for our statements of economic interest otherwise known formally as the form 700 and then we've also managed 232 records of requests for fiscal year 21 Groovy Tuesday this is you guys so whether I don't know how it feels compared to what the data says but the data says for fiscal year 20 to 21 your average hours of regular and special meetings is lower so but just for regular meetings alone you about the same as fiscal year 20 if you guys are feeling like a yo-yo this is why so the fiscal year to date through April 11th when I grabbed these statistics these are your council meetings in hours so your longest council meeting and I believe it's the longest meeting since I've been in last two years of doing this job was 15 hours and 42 minutes that includes your breaks and lunches and dinner show a lot is this one right here their achievements on the city council and administrative services side we've managed thousands of emails to and the city in triage it out to other departments we've hosted about five citywide employee communication meetings and will probably we're at the run rate of having about seven of them by the end of the year and then with council we've developed and implemented the city's recovery strategy re-envisioned Santa Cruz and then we're also we've also the comprehensive citywide communications plan on the program and project management side we've re-engineered a couple of core functions of independent police auditor we have a new one in place now and then the legislative program as well we've made some really great progress on key climate sustainability and equity projects and then we're in the locating work on a potential city revenue ballot measure and have just finished pulling in our working to come bring more information back to council in June we've also started and implemented pilot programs with street bending and then we will by the end of this fiscal year have an integrated citywide grant writing services pilot completed and on to fiscal year twenty-two and what we're looking to achieve in fiscal year twenty-two aligned to our re-envisioned Santa Cruz and the fiscal sustainability side of it will have finished the grants pilot from fiscal year twenty-one and then rolled that out with the citywide grant roadmap some central coordination to improve the way that we communicate in an integrated way and targeted specific grants for the city to go after and hopefully successfully be awarded will have hopefully a successful revenue ballot measure around November twenty-one and kind of depends upon the state election process and then partnership with the department for ongoing corrective structural fiscal changes excuse me on the downtown and business revitalization core focus area will be doing ongoing strategic communications to support the outreach for the critical business and housing projects and we also will participate and coordinate the workforce development and other green economy projects in conjunction with the other departments on the infrastructure and I also put in here services equity well-being and sustainability will do various supportive services for the unhoused community will talk about that in more detail in the next few slides and then further adoption and rollout of health and all policies as well as the development of climate action twenty-thirty city care and city manager's office city council budget is pretty much status quo at around four hundred ninety-three thousand dollars it's broken out seventy percent thirty percent seventy percent to personnel and thirty percent to services and supplies as far as highlights of the city council budget wise the holiday lunch which we defunded last is back and then we also have ongoing funding for open streets that includes neighbor city-wide block party and then for tenant sanctuary and tenant legal services organization I just repeated we just repeated the fiscal year twenty-one funding for thirty thousand dollars the city manager's office budget is at around six point two seven million dollars this side of the pie is the city manager's core functions and the services that I spoke about earlier the manager's office composes about thirty three percent of all the different activities underneath the city manager's office the commission for the prevention I went against women their budget held steady as the same as last year there are about one percent police auditors say the same as well also about one percent city clerks within city manager's office is about sixteen climate action three percent membership induced three percent and then the rest of these are the streams that go to partner recipients so they represent about forty five percent of our overall budget and those activities are broken out into community programs and services this funds things like the mental health liaison the downtown outreach workers the downtown street teams and then the collection of results and evidence based investments those are core investments where we work and operate under the umbrella of the county core program and we are holding steady with the current core recipient list and have funded all of that and I'll highlight this and I think in the next slide as well but within core last year we did not fund a forty five thousand dollar certified process and I also held that steady so that did not is not funded currently and would be sent to consider animal shelter and services is also here and that's our joint powers authority with the county and other local agencies like Scott's Valley Watson capital and the county and we buy into that to receive our animal shelter and services through that JPA and that's funded at eleven percent highlights in our city manager's office budget we did reduce the temporary budget and this was prior to the ordinance and the impact of the various items that we were going to need to execute as it related to the ordinance so we might this might not have been a good idea in hindsight but at the point in time when we submitted the budget we did reduce temporary budget staffing the animal shelter contribution that's the eleven percent from the previous that is currently holding steady and that contribution is to be determined but the initial conversations at that board level are that we will be reduced because other agencies are also struggling with covid economic impact struggling right now on the core side I had mentioned our set aside was unfunded last year and that was repeated so currently the core all the core recipients the standard recipients have stayed the same but the set aside process where we have an application to go through that is not currently funded in this budget on the personnel side the net savings we have a net savings around fifty two thousand in one time and that is because we are recommending to temporarily freeze clerks administrative assistant to position that was vacated through a retirement in the past fiscal year and we're recommending to keep it open and we're doing that so that we can fill the city manager's homelessness response position and then also combine and share the planning and community development and homelessness response director so that would be Lee Butler our current planning and community development director taking on homelessness response as part of his and and that being funded as a deputy city manager but we would defund the planning and community development director so the funding on that budget would be decreased it would move to the city manager's office and there would be a net fifteen thousand dollar annual increase at a deputy city manager combined position on the on that personnel side why did we go the route of asking to fund the homelessness and recommending to fund the homelessness response manager position and do the deputy city manager combined job it is it is that this ad hoc and programmatic work when we create an ongoing program and as you know with the unhoused community and our need to deliver assistance and services to them it is a ever at this point and we felt that it warranted this homelessness response support structure so between the various shelters at the armory and potentially river street and anywhere else we might bring them up the point in time situation our ongoing citywide operational coordination and our integration with county and our service providers operating passively things like the shuttle and then when you add on top of that the need to support the camping services and standards ordinance with daytime storage minimum one hundred and fifty sleeping spots and then the possible additional managed services. All that draws us to this is a substantial and significant homelessness response program and how do we go about executing to this policy and in order to be able to support and execute that successfully when we look at the work in this area from the high level down to the operational details the way we're doing our ability to execute to this is in the planning and community development and homelessness response position that person would focus on policy strategic planning and measurement and then as we transition from that strategic and programming level we move over into the project and process level and that's the request to hire the homelessness response manager position which has been vacant for a year and we're going to make it a year as of July so we need that resource to be able to execute the process and project and then on the financial administration and procedural and other documentation we have a temporary resource to do that analytical and then basically management analyst work so that's the that's the suite of the skill sets going from the two procedure and then we're going to have a meeting to be able to have in order to support all of the different services that we wanted to deliver to our unhoused community. When you translate that into an organization what does that look like in the city manager's office the city administration and city clerk side so we talked about our service areas and the city clerk or deputy city clerk administrative assistant to we have a part time administrative assistant that we share with parks and recreation and this is our frozen administrative assistant to four and a half FTEs to cover all of the processes in those areas. Over here on the city administration we have city council and administrative services we have an assistant city manager me a communications program and project needs not just for the city manager but for all departments as they request and then we have an executive assistant to the city manager and the city manager himself management side we have assistant to the city manager and that person does the program and project management within the city this is the general bucket and then they also do administration and planning and community development director with the homelessness response director into one position that deputy city manager position we would work approximately 25% of his administrative assistant assistant to the city manager and that person also does administration and council support. Within the homelessness response vertical what we're looking at is about 35% of his hours on homelessness response and city manager's office duties and then the rest of it would be filled 75% development. Right now that percentage is heavily skewed to the city manager's office and he's obviously working more than one FTE is probably working more like 1.4 to 1.5 FTE considering his work. So we're asking to fill the program and project manager in the homelessness response manager position and then we have a part-time homelessness analyst temp that does the procedural and operational implementation work. So within the homelessness response we would have approximately 1.75 FTE's working in this space. As far as what those are planning next we would implement the services and programming associated with the camping ordinance. We would develop a city consolidated homelessness response plan especially since we received the information with the homelessness response information from the county and then based upon past and recent work we would develop the homelessness response plan for the city. We also want to develop a program funding and staffing model and the 1.75 FTE that we've got right there right now is a starting point and then we also need to do a comprehensive budget in this space and we just have not had the resources at the time to be able to do that and then we need to in the midst of all that needs. I wanted to highlight a couple of service modifications in fiscal year 22 with the frozen administrative assistant 2 in the clerk's office. Part of the main duties of that is the reception function. So we would continue to have modified reception hours given our reduced staffing in the clerk's office and right now we are currently open 8 to 12 and 1 to 3 Monday through Friday's of the paid period and then the other service modification and I believe this was asked might have been yesterday during information technology conversation of the hybrid meetings in the foreseeable future we would imagine once we go back to council chambers we would still offer and support a hybrid model for meetings with the council and possibly with our other advisory bodies. Thank you. Thank you. Thank you. Thank you for the city managers and clerk's office. What questions do you have? Thanks so much Laura. I will look to see if we have any questions. This is time. Council Member Brown. Thank you. Thank you mayor. Thank you. Thank you. Thank you. Thank you. The events in a graph form what our work looks like the time we spend. I'm wondering if you could explain I have two questions related to the changing positions and one to a current position that is temporary. I was just learned that we have right now. And so I'm just wondering, given that this person has filled that role for quite some time and is seen as quite valuable to, in particular, homelessness, I'm just wondering how that, where that fits in your thinking, if there's any thinking about making that a permanent position, it seems like it kind of is already. And then my second question is, how is the proposal for shifting, the eliminating the planning director position and moving that work over to the city manager's budget, essentially, how is this different than the proposal we got back in at midterm and is it different, I guess? And if so, how? Okay. Thank you, Council Member. Regarding the temporary position and the person who has been assisting us in the homelessness response space there, we do have an overabundance of needs in this area. Whether or not we turn that into a permanent position and come back to Council at some point to request that, needs to be part of that staffing, budgeting and homelessness response plan. So I think given formal direction and development of homelessness response plan that is specific to the city, but leverages our historical work in this space, as well as what the county is looking to achieve, that recommendation would come out of that process. Regarding the planning director position and how is this different from the last recommendation, it is different in the sense of I believe there was confusion at the last conversation that we had that we were keeping the planning and community development position frozen and then creating an additional FTE in the city manager's office. So that was the case, but I don't think we did a very good job of communicating that. So this is the clarification that we are trying to leverage an existing city resources for a huge need for us to be able to have executive policy and strategy of our support of the unhoused community. And in order to do that, we're leveraging an existing department heads and all of the knowledge he brings of the community and the housing environment in supply. That funding is moving from the planning and community development department over to the city manager's office. That director position is unfunded at that point and we cannot fill up frozen, it is unfunded. So that's the clarification. And I think the other very important data points as of right now are what I showed in the circle diagram, the comprehensive list of services, projects, and operational work we have been directed by council to execute to in the unhoused space and to helping these persons in our community who desperately need it. And we're trying to organizationally respond with this work chart and the staffing structure to say this is how we feel that we can best respond to what policy you've established and the direction that you've given us. We'll go do this. This is how we think it's best to do this. And then also requesting to unfreeze the homelessness response manager position. Thank you. If I may, just one quick follow-up question. So as I understand it, you're suggesting that some of the decision-making around staffing and workload and workflow will be determined through the build-out of a homelessness response plan. And I'm just wondering that that is not the case for what I understand the other positions. So unfreezing the homeless resource manager and moving the planning director into the deputy city motion, those are being decided before the whole, the overall plan. So I guess I'm just trying to figure out how that temp position is different than the other two or how you're thinking about that as we move forward. The work that we have right now, we can do to quickly respond is we already have a homelessness response manager position created that council approved in November of 2019. It's been vacant since the incumbent resigned last July. So that one, the lead time to be able to fill that position. And we know as of right now, the amount of work that needs to be done in this space, we know that our existing planning and community development director is trying to fill both jobs right now and it's untenable. So it's a very easy mathematical exercise to be able to say we need to fill the homelessness response manager, it targets these job responsibilities in the program and project management execution space on the homeless on the temp position. That has always been a, it's been an up and down. It's been a fluid position and we have staffed it with somebody who appreciates that validity and whether or not we, an additional FTE in the city manager's office. A lot of that work, if we have the homelessness response manager, the homelessness response manager can work fungibly across the spectrum. And we did not want to come at this point without the fuller plan to the council to request a full-time equivalent. Okay, I'll stop there. I guess I'm still wondering how the, I'm thinking about this also from the perspective of our workforce and the work that people do and the compensation they get for it. And it's a pretty important job that I'm doing at the moment. So I guess I just, I'm feeling like I'd like to be supportive of the whole suite of workers and folks who are involved in this homelessness response programming. So I hear your response. I'm still a little, I'm a little concerned. I guess that's for another conversation. Council member Cummings then vice mayor Bruner, council member Colin Tari Johnson and then council member Walkins. And we will take a break after this item and then hoping to have two more departments present and then hopefully we'll have a lunch break at 12.15 just so everybody kind of knows the schedule ahead. Great, thank you mayor. I'm just curious, because I have some concerns and just been heard hearing from some folks in the community around, you know the way this is structured and so I'm just curious if there's been, because it sounds like, you know we have this homelessness response to manage a position that hasn't been filled and as a result of planning directors and pick up a lot of that slack. But I'm wondering, you know, what, if any efforts have been made to try to fill that position because it sounds like, you know we were able to fill that position that the almost the planning director could continue in his role and this person could, you know, pick up is, you know, we've already allocated funding to and has been unfilled. And, you know, especially since yesterday we, you know, the city manager salary I think a lot of people have been concerned about, you know, adding positions and administrative bloat. And so I'm just wondering, you know maybe like if any work has been done thus far to try to fill that position and if, you know, maybe that could be a first step rather than creating a deputy city manager and I don't wanna go into the, should we do one or the other but just, you know, really focus on if there's been any work to fill that almost as response manager position. We have not tried to fill the position because it is frozen right now. We don't have the authorization to fill it. So it is frozen through fiscal year 21. So part of this budget process is we put it on the list of our budget recommendations to fill the position. As far as filling that position and not doing the deputy city manager move what we've learned in the process of the recruiting of the first homelessness response manager and that person's tenure here having that person work the full spectrum of policy and strategy intergovernmental relationship and intergovernmental policy development as well as the program management and the project management and then operations the spectrum and the scope of that responsibility was too broad to find giving candidate and it was too much work for anyone giving candidate to endeavor to achieve on a day to day basis. So that is how we ended up bringing Lee into play to be able to help because he is an existing department head who knows our community partners has existing relationship and is also used to working because of planning and community development work in the policy and strategy or agency space. So that's the key role that that type of skillset plays in conjunction with the homelessness response manager at the program and project level and operations. And I saw more team our city manager jumped on I didn't know if you wanted to add something. Yes, thank you just a little bit, a little bit. I think one of the major things to just keep in mind is that what we are looking to endeavor and to move into is it's a really significant change to operationalize the way we're going to respond to homelessness and to set up the 150 sites in addition to the storage as well as the implementation of the new regulations is a huge task and that requires really a dedicated function. We're now operationalizing and creating a new function essentially and that requires appropriate staffing at the various levels. We need the homelessness, we need the ability for a level enough for someone that can work at the policy level with the county or regional partners, states, gods, as well as individuals that are beginning working at the programmatic level as Laura mentioned. And so the idea here is to do it in this cost as effective way as we can with respect to the temp position. Again, just to highlight that person has not wanted to work full-time and so we are respecting that person's been highly effective and so without a respect for her, we have a structure that works for her, but the need is there, no doubt. And so we're happy that it's not a budget saving strategy necessarily. But again, I just want to emphasize that the key thing here is that we're moving to a different model here where we want to change the way we respond to homelessness and that just requires the various levels of resources and staffing to be able to do that. Thank you, Martine. Next up I have Council Member, excuse me, Vice Mayor Bruner. Oh, you're muted. Some of my question was also asked. The homelessness response manager, there was a slide, a type of homeless response needs for the city. And so I see the overall migration to address that where we don't have a department that addresses this huge need in the city. And so really this homeless response manager position will be crucial. And so you were saying there was a, I think with that slide, $15,000 net increase with the city position and the homeless response director position. Is that correct? Was that the amount? There we go. And what is the amount of homelessness response manager position? It is around $33,000 a year and low. I have to double check my number. But it is, as far as the general fund goes, it's an allocated position across multiple funds. So the general fund impact of it is not the full dollar amount equivalent of that position. Okay. Regarding the temp position, I think what's really important here is to show the value of each work position and that we're investing appropriately in positions and not just at high administrative positions. And that we show that in some way and like Martin Bernal just mentioned that the current temp position appreciates the fluidity and want, and so I think showcasing that or addressing that in some way will be important in as we start to have these conversations of the higher paid positions, I think everybody and our constituents, we wanna make sure that all positions are valued compensated appropriately and not on the low end of any spectrum. So when we tend to focus on one position or a couple of positions, it's important to also bring in the whole team and to show that they are valued in some way. So I hope that we can do that and I hope that this homelessness response manager as we unfreeze that position that it's also looked at as they are compensated appropriately and that any of the work teams involved in this particular area are valued and it's shown through their web benefits, permanent position, compensation, et cetera, because it takes a team as we see across all departments. And so I just wanna emphasize that. I hope that we will see that going forward. Yeah, I very much appreciate your comments and the perspective that you and the other council members are bringing. The interesting conundrum for us is to communicate how much we value that position. One of the reasons why it is, how this stayed the way it is, is because of the value that we put on that specific member. And I didn't think, I didn't personally want to air that employees wishes in a council meeting as far as why we left the position as it stands today. Yeah, no, and I think it's important to understand each of those roles in those positions. And I think, like you broke it down with the policy part of it could be this one section and then homeless response manager is really focused on the process, the project, the operations, the program and project level rather than the whole thing. It's a lot. The whole thing is a lot as we've seen. And, you know, just really, yeah, I'm happy that we're investing in this moving forward. So I just wanna make sure it's equitable and fair and, you know, effective. So thank you. Thank you. Mayor, I think you're muted. I have council member walk-ins and then council member, I'm sorry, council member, callantary Johnson is next. Then council member walk-ins. Council member, can I have you up again? I might take a break if it's 11, 15 so that we can at least take a little bio break since you had several questions. So council member callantary Johnson, please. Thank you. Some of my questions and the sentiments in my comments have been made by my colleagues, but I did wanna just also express concern about the temp position. It seems that if we were able to, this position fulfills a lot of the needs for our homelessness response. And if we were able to create fluidity in a way that creates security, can we look at part-time FTE so that this individual could get benefits and have some more security in that position while still retaining the fluidity that the individual would like in their position. So that's something for us to think about. And in terms of the deputy manager position, first of all, let me just pause and say thank you. And I appreciate that we are being thoughtful about really creating a structure where we can respond effectively and efficiently to what we desire as a city in homelessness response. I should have brought it out with that. I really appreciate that we're looking at really building the infrastructure and building the staffing to support the work. So in terms of the deputy city manager position, I really would like to understand and learn more. And it seems like a pretty significant shift and with bringing on a new city manager in the coming months, we may want to think about waiting until the new city manager comes on to make such a significant structure shift. So those are some of my thoughts and comments. Thank you. Thank you, council member. Council member Watkins. Thank you, mayor. And yeah, just to sort of echo my colleague's comments, I appreciate all the presentations. I appreciate the intention behind the proposals as well as the recognition of balancing program and people. And that's really true for any organization. And I guess I'll kind of limit my questions or sort of specify them. I have really essentially two questions because the majority has already been asked. One is in regards to the breathing of the city clerk position, how I interpret, I think within the presentation is some of that savings is gonna go to offset the homeless response effort. Is that accurate? Yes, we didn't necessarily want to open and unfreeze all positions given the ongoing structural deficits that we have. And is that gonna be, I mean, kind of given a visual of the organizational kind of approach, does that impact that division significantly by not filling that position essentially by freezing that position, what's the impact for that? The impact is the modification of the reception hours rather than opening up reception to being full time after the COVID restrictions are lifted, we would continue to have the modified reception hours. That is the major impact. Okay, it's the reception support. Okay, I just wanted to get clarity on that. And then my other question was in regards to the tenant sanctuary proposed funding. What has been the outcome of those dollars or I know there was the set aside kind of historically looking back on how that came about. There was sort of that as an immediate need to support individuals at that time. And then as time has gone on, we've also had the core funding, the set aside funding. So I wonder how that can eventually streamline into that process essentially as a safety net service that we as a city support. And what has been sort of the, what has been the reporting or the outcomes and what's the interest in having that as a proposed line item for this year as well? I think if the council wishes to, instead of directly funding tenant sanctuary, and if I'm hearing you correctly, the possible duration could be that it is another applicant in a set aside process that that could definitely be a process option to pursue. The actual outcomes, they submit a report to the city manager's office. I can't remember how often that is if it's every six and then that is distributed from the city manager's office or principal management analyst out to the city council members. And in it, they give a reporting of the essential clients that they service during that particular period. Okay, I don't know if I've seen that recently. So if there is that, I mean, I'd be interested in looking at that. And then I think the last question I have is in regards to the homelessness funding. I think certainly that is a huge impact to the city and it's been funded one way or another, whether it's been intentional or reactive, I'd say, personally having observed it over the past several years. So having some strategy around moving forward with intention, I think also looking at setting aside some or finding a way to identify some dollars for the impact in the count of round metrics of success or proxy metrics of success for what those dollars are going towards. And then the other is really being aware of the funding potentially coming from the state in regards to supporting cities with this issue and how that could potentially be a source of revenue to support any kind of administrative costs associated with that. Thank you. Thank you. Mayor, if I can go back to potentially addressing Council Member Calantari Johnson's comment about the deputy city manager. Yes, this could be an option for the city council to wait on a decision on that. But the other consideration to keep paramount in your mind is you've already given direction to this city manager to execute. And in order for us to be able to execute where our recommendation and our request is to take a look at this organizational structure. And for us to be able to implement effectively. The items on the to-do list and a lot of the great comments that you all have in previous council meetings of, you know, what's the budget approach? What's the funding model? What are the resources that we need? We have these historical reports. How is that information being integrated into it? In order for us to be able to address those items and work effectively on it, this is why we're requesting what we're requesting to be able to spearhead that and to get that moving to be able to bring you the output and the results that you're asking us. We could postpone it, but the further we postpone it, the further and more difficult it becomes for us to be able to execute in this space. And as you know, the need is far outstripping our capacity right now and a delay of three to six months. It also puts us in tactically the winter. So we have a timing issue here as well. So I just wanted to, obviously, this is something of deep consideration for you all. And we very much appreciate the comments, but I wanted to clarify some of that. Martin, Bernard. Yeah, I just wanted to, with respect to the temporary issue, I just want to be clear that our practice as a city is to, if we have individuals that start off temporarily and for some reason that work converts into an ongoing type of work, our practice and our preference is to convert that. And it's the right thing to do to make it into a full-time equivalent position. That is our practice. Now, sometimes that doesn't happen for a variety of reasons. At times it's because the individual has, is it interested necessarily, how that may change? And or the work is being evaluated because maybe the individual wants to work part-time, but it's going to be a full-time position or those kinds of factors. But again, we do not purposely keep up a temporary, in order to simply save money. That is not really the consideration. In fact, it's doing the right thing, which is if a person, if a job is there and it's going to be an ongoing job, we will convert it to temp. That is our practice. We've done that multiple times across the city over many years. And that'll continue to be a practice. I just want to be clear about that. We don't, I don't want the insinuation that somehow we're trying to somehow not be fair or treat an employee equitably because that is simply not the case. Thank you, Martine. I'm going to chew myself in here real quick. I believe councilor Cummings and Brown had spoken, so I just want to try to catch this and then we'll take a break. I'm happy to have you two, I'll have the two additional council members make comments as well and then we'll take a break. So I think I'm a little bit of the odd duck out this morning. I think I've heard some support. I feel that we have to put the structure in place. So I am supportive of the staff, the staff structure that's been proposed, filling the homeless response manager position and the deputy city manager position. I've talked over the last many months about how they're structuring their homeless response and so many cities are facing this right now. All cities are basically structuring response teams and response departments because unfortunately the state continues to just hand all of these issues to local cities primarily and counties. And so I think that there is some models that are starting to gin up and I do think that Laura's figure she showed where there is this kind of separation between sort of policy and operational that is complimentary and incredibly important because you do have to have someone that's several steps ahead and really understanding and watching where things are pivoting at the state level through legislation, funding opportunities, all of that. Obviously tracking with the county, I think we've seen some good results not exactly every result we wanna see. I'm not gonna say that everything is great with the county but I think we've got better communication. There's some opportunities where we did get commitment to put additional shelter outside of the city through a combination of working with several of the supervisors. So I think that the structure as we have it is working to some extent. I do acknowledge that the response manager position is critical and it's the part of the puzzle that really does need to be thought out. I'd like to see as operationalize that because we do with the new ordinance have a lot of operational concerns and operational facilities that we need to stand up and start to put forth. The RFQ I think has been a really successful process. We are moving forward with helping people and providing for people who need immediate need, need immediate health in our community. That is what we're doing. And I think there is a programmatic, a fairly strong programmatic outline for this. And I think we have a mid-year budget adjustment in January every year. We are learning how to put together an apartment that's never existed in most city governments. I think we can overthink this and I think we should put together the system that we need in place with this budget adoption in June. And obviously we can revisit this when the new CM comes in. I'm sure this will be one of the first things we're gonna wanna look at is operationally, what does this look like? How do we work towards that? There's also the unknown about the funds coming from the state. So whether those land here, what are those for? What does that look like? How do we operationalize those? But I think putting in place a structure with adopting the budget in June makes a lot of sense to me because I really think we are ready and we've had success and we've had support. Let's do this work now. We're gonna learn a lot in the next six months. It's not gonna be perfect, but I think we have to operationalize this department. So I would be supportive of the outline that Laura put together today. And I'll go ahead and call on council member, coming to think what's next and then council member Brown. Yeah, the question I was going back to some of the numbers that we had seen earlier and I just wanted to get some clarification. My understanding is this deputy city manager position, they would continue doing planning at 75% time, homelessness at 25% time, and their salary would be increased by $15,000. And is that annually or is that there'll be an annual increase, right? That's the annual. And so I guess the question I have been is that, and then there's also the support of the homeless response manager. There is a temp position that's available as well. And I guess the question for me then is who, you know, up that 25% time that we'd lose from the planning director's role because it seems like we're taking responsibility away from that individual. We're filling that responsibility with another role, but then we're increasing their salary. And so it's not as if the planning director has to do their job full-time and then 25% of another job. And as a result, the compensation is $15,000 more a year. We're actually alleviating some of that person's role so that we can give them more responsibility, but then we're paying them more on top of it. And so I'm just trying to figure out, you know, with that reduction in responsibility from the planning director, someone has to pick that work up, especially if we know that there's a ton of projects coming down the line and somebody's gonna need to be responsible for whatever workload the people no longer be doing. So I guess I'm trying to also juggle that in my head as to, you know, financially, how is this working out? Because it seems like the planning director will have an 100% or the deputy CD manager will have an 100% time position that would have been filled at the same level as the planning director, but now we're increasing by $15,000 a year. So as far as the responsibilities of a combined planning and community development and homelessness response director position, the salary related to that is equivalent to what we call the larger departments, such as public works and water. So the scope of responsibilities that the combined position would have is not only a specific subject matter in planning and community development, it's also the city-wide responsibilities as it relates to homelessness and the coordination across all departments. So, and I think we all know that the number, that the current person who's doing us the favor of doing this at a very small premium is the reality of it is the number of hours put in. Instead of us having to create an entire position for this, I believe the city's return on investment for that $15,000 a year is remarkable. On the organizational chart, I showed 25%, but I think I also commented is he's really at this point working probably one and a half jobs. And I don't see that abating anytime soon. What the planning and community development department on the other side of the equation is they are and they have had to rejigger responsibilities. It's a good opportunity for succession planning over there. And then the team has really stepped up to be able to help support homelessness response in the sense of their rejiggering things and planning and community development with the assistant director stepping into some areas, as the various folks in advanced planning and current planning. So the support from the other employees in our organization so that we can offer up assistance to our homeless response services has been remarkable. And then I guess the final question, maybe this was mentioned, but is there any offer pulling the part-time person into full-time? I mean, because even with what was said about the planning director working on homelessness, I would imagine that anybody who's working on that topic is really doing more probably than, they're at part-time, they're probably doing full-time. They're full-time, they're probably doing full-time and a half. And so I'm just curious, and part-time employees in our city, they don't receive benefits, they don't receive retirement. So they're not being compensated anywhere near as well as a regular employee would be. And so I'm just wondering if there's an opportunity to, or if there has been any discussion about trying to pull that individual on at full-time, especially since we have a full-time position, it's vacant. I'm not comfortable. I can assure the council that the last time we had a conversation with our incumbent that we are, we did continue to take the approach that was supportive of the incumbent. If the council wishes to direct us to establish a full-time position with the option of keeping it temporary, if that is the wishes of our incumbent, then I would be more than happy to include that in the budget. Council Member Brown. And I also don't know if Leigh Murphy had any clarifications on benefits as it relates to our part-time employees. I just wanted to clarify. I think maybe Council Member Cummings is probably referring to a temp versus part-time. But our part-time employees do get benefits, they're paraded based on the hours worked, and they are eligible for peres. But what Laura was just describing is interesting. If the incumbent doesn't want to work full-time and we want to continue to accommodate that individual, there is that what we call an underfill where you could add that as a full-time position, determine where your funding's coming from, and allow that person to what we call underfill and fill it as a temp. We can do that flexibility. Thank you, Lisa. Thank you. Council Member Brown. Thank you. I just wanted to, I actually raised my hand to respond to Council Member Watkins. Thank you for raising the questions around the tenants. Thanks for a contract. I, because I do think that this resource, they have more resource for a very little amount of money. And if you look at the reporting that they've sent, you can see how much work has been done, how many people, you get a really good sense of kind of like qualitatively and quantitatively, how many people have been served, who's been served. And those reports do come to us. I can't, mine's archived in my desktop, otherwise I'd forward it now. But I wanted, so I wanted to ask, perhaps Laura, if you have it somewhere, you could just forward that to Council Members. And, but I also think that, you know, maintaining it in the City Manager's or City Council Special Projects Budget is not necessarily the way we would wanna go in the future. Given that this year we just, we, it was just a push on the funding allocation. It seemed like it would be, it would make sense to have that, to make that decision in the context of next year's allocations and, or the process, the incoming process. And we could maybe discuss it at the Community Programs Committee. I do think it's worth thinking about how, where that overall City operations and community support, community program support. And then I just wanted to just follow up on the, we've, you know, I didn't mean to bring up, have a big debate over the one person who's a temporary part-time worker in the department. I just, I just wanted to kind of following up on Council's point about trying to find some security within that flexibility and fluidity. You know, it just seems like somebody who's making a commitment and staying on, you know, keeping, you know, is doing a great job and sticking with us that looking at, you know, benefits and how to make that position more stable even if it continues to be part-time. So, since Lisa Murphy came back on and brought that up, I just wanted to mention that too. And thank you for giving me the time to speak up again, Mayor. Great. Well, thank you, everybody. I don't see any more hands up. So I think, Laura, you've gotten- One more quick question. I'm sorry, Vice Mayor Bruner. Will we have another opportunity to maybe discuss this again? According to the budget hearing process itself, that we received today will go into any adjustments we make to the proposed budget. And then you will see the proposed budget on June 8th or the 22nd, depending on Tommy Noyes as our finance director said yesterday, they are targeted and geared up to deliver that to you all for consideration in that budget adoption process itself. You could make adjustments, and then those would go into the adopted budget. So we should expect to see some reflection in the June 8th, and we can continue there. Yes. Great. Thank you for all that information. Appreciate all that hard work. And the whole city manager's team, I know they work a lot behind the scenes. Thank you. Yeah, thank you, Laura. And I just want to acknowledge also, it is awkward a little bit where we went, personally, I feel like it's really the job of the department to manage their employees and understand their employees' objectives in their lives. And talking about an employee, in this public manner is a little bit strange to me. So I think we need to be aware that we're working at a department level, but I appreciate people's opinions and thoughts, but it is a fairly awkward situation. And I trust our department folks to assess those kinds of discussions with the employees. It feels like we're a little bit out of our lane right now. So Laura, thank you very much. I'd like to take that basically like a five minute break. We're starting to run behind now. So we will come back and next up will be Tony Condati, our city attorney to give a presentation on the city attorney's office budget. And then following that will be Chief Annie Mills, giving us a presentation on the police department budget. I did schedule in a lunch break, but we'll lose that as we probably go through the day. So just, you know, in terms of, and again, remembering that this is an iterative process, you'll have plenty of time to ask a lot of questions at department heads. I know that everyone will make themselves available to you as you learn about the budget this year, this time. So, you know, there's several steps in the process and I hope council members remember that we can, we can set up individual meetings, certainly with any department head and look at all the numbers and get into the grainy detail on a lot of things as we move forward. So we'll be back at 11.40. Thanks everyone. Members could maybe raise or turn your video please. I'd like to get rolling because we're running late. We've got four members showing. So I'll be, and I'm sure other folks are maybe just, but I'll go ahead and have you go ahead and start up. Thanks, Tony. Welcome. Thank you, Mayor Myers, members of the city council. It's a pleasure to be here this morning to talk about the city attorney budget. Our budget is somewhat in that we're not a city department although we function as a city department, but we're a private law firm. That being said, we have served continuously as the city attorney for the city of Santa Cruz for almost 60 years since 1963 when well appointed city attorney. And during that span there have been three city attorneys that have served the city. Rod until 1989. Don Beresoni until 2015. And as of April 1st of this year, this marks my beginning of my seventh year as your city attorney. I've got a slideshow here and I'm just gonna cross my fingers and hope it works. In addition to having served the past six years as your city attorney, I joined the law firm on September 13th of 1993. So this year we'll also mark my 28th year working with the city of Santa Cruz. Our office provides legal services to all of the departments that you have heard from in addition to the city council and our charge is set forth in the city. We represent and advise the city council and all city boards, commissions and departments in all matters that pertain to the respective offices. We represent and appear on behalf of the city and any city official or employee who is named in any legal action or proceeding in which the city is involved with official capacity or as a party. We attend all city council meetings and give legal advice and opinions to the council both in a meeting forum by phone or email or in writing whenever requested to do so. We do that for all other boards and commissions and the departments as well. We're charged by the charter with reviewing all bonds and all contracts made by the city and approving those as to form in writing. So all the contracts that you see in your agenda packets and the vast number of additional contracts that the council doesn't review are all reviewed by the doctrine. We prepare any and all ordinances or resolutions that are requested of us by the city council or city departments for presentation to the council. We're also charged with prosecuting on behalf of the people of the state of California all criminal cases for violations of city charter or city ordinances. We've not do criminal prosecutions under the penal code. Some cities do, but that is not a charge that were assigned by the charter. And then we perform any other legal acts or duties related to the office as required by the city council. We're required to really keep a breast of a vast store of knowledge with respect to laws that affect the city. In addition to those that you see on a regular basis involving the Brown Act and Public Records Act and conflict of interest laws and whatnot. We also advise the planning department on zoning and land use laws, all departments on real estate matters, regulatory matters like the Clean Water Act, CEQA environmental laws. We work with public works and public utility issues, construction law issues, elections law is something that is cyclical every two years, but we're very much involved in all matters pertaining to city elections, including city sponsored ballot measures. We deal with a lot of constitutional issues, First Amendment, Fourth Amendment, and recently the Eighth Amendment prohibition on cruel and unusual punishments. And we try to keep the breast of new legislation and case law that comes down and affects the city. And so we're very busy doing that. As I thought about what was really the most challenging issue or issues that we deal with over the past year, by far the biggest is the COVID emergency response was something that nobody planned for, but we worked very closely with the city manager's office and other city departments in responding to the COVID emergency, including drafting emergency eviction protections. All of the emergency executive orders 24 to date that have been issued in connection with COVID, preparing those for ratification by the city council and keeping abreast of the various regulatory actions, including governor's executive orders, CDC guidelines, all those sorts of things that have sprung from the COVID emergency. To a lesser extent, but also a very acute situation that we dealt with was the CDU lightning fire working with the fire department and city manager's office on executive orders and after the emergency price gouging ordinance that the council adopted in connection with that. Homelessness has also been a big part of the work that we've dealt with over the past year, working on preparation of an update to chapter 636 that the council has introduced and will consider at the G&A meeting. Participating on a weekly basis with camp and assessment team and trying to work with staff on responding to issues surrounding homelessness and also related litigation in the Santa Cruz homeless union matter. We're also managing 31 active litigation matters involving the city. We're not handling all of those. Several are being assigned to outside council, but we oversee outside council in 11 of those spending matters. I apologize for doing this. Attorney's budget for this year, it's slightly reduced from last year, I believe about $50,000 and well, budget, what's somewhat unique about the city attorney's office and what I think needs to be kept in mind is that the city has a budget to forecast the cost of legal services, but our workload is what dictates the actual cost of providing those services. We're charged with responding to and providing legal advice and services to the city on an as requested basis. And so we gear up or ratchet down the amount of work that we do based on the demands placed upon us by the city and hopefully the budget needs a target. We try to use city resources as efficiently as possible and the fact that we have so much institutional memory means that we don't spend a lot of time reinventing the wheel. We focus on issues that are merging and new issues that crop up and are able to rely on our store of knowledge to handle most day-to-day legal issues that come up on an efficient basis. Our bigger challenge is keeping abreast of new issues that are constantly coming up, whether it's legislation or case law, like the Martin versus Boise decision or trends in the legal profession, like trends involving the California Voting Rights Act litigation and recent trends in litigation under Proposition 218, which is statewide measure that restricts your ability to fees and charges. One trend that has held fairly steady over the past five years is that the number of hours we devote to general legal services, which are shown here in blue as the base and standard has gradually increased over the years. The litigation portion of the budget and ebbs and flows, but we also have a fairly heavy case load in this past year compared to years past. And like I said, that doesn't necessarily indicate a trend. It's really more of a circumstance that we find ourselves in at the current point in time. But we have increased our staff. We are currently employed. We currently have 18 employees in our office, including 12 married talented lawyers that and of the 12, eight are full-time equivalent or eight are full-time and we have about 10 FTE for attorneys. We also have six admitted for staff, including two full-time paralegals, a legal assistant and office manager, a file clerk and a receptionist. In 2018, I started keeping track of the general legal services that we provide by department or category as this is the percentage of time that we devote to different categories of legal services, mostly by department. You can see that 17% of our time in 2020 or this past fiscal year was serviced to the city council. And that includes not only just tasks assigned by the council, but also work in support of individual council member initiative and work that typically arises as a follow-up to council direction given at meetings. I will say that a significant portion of the time that we spend in service to the city council is right here in council meetings. So that skews the percentages to make it that the council is using more time, but and it is, but the meeting attendance is a significant portion of that. We also recently started tracking our time just responding to public records act requests. So about 15% our time is in reviewing records requests that are submitted to the city clerk, to the police department or to the planning department. And this is the total. And this represents a very small fraction of the actual number of public records requests that the city receives, most of which are dealt with on a routine basis by city staff without our involvement. These are just the ones that were asked to review for the attorney plan for which communications or other exempt documents or records. You can see that about 10% of our time otherwise is for city manager related work, 9.6% for economic development, 9% for water and about 7% each for public works planning and parks. Interestingly, we established an account to track our time on COVID-19. And you can see that it's about 7% of our time this past year was devoted to responding to the COVID-19 emergency. That fortunately is a trend that should steeply decline over the course of the next couple of months. And so hopefully realize some cost savings associated with that. I haven't created a track our time dealing with homelessness because it's kind of difficult to assign to a particular category. Some of that is working for the city council and developing ordinances and policies. Some of it is dealing with day-to-day issues involving the city manager and its encampment or homelessness response activities. Some of that is dealing with Parks and Rec in dealing with day-to-day issues that arise. And some of it, of course, would be working with the police department in its response to homelessness. I'm looking at establishing a way to more act or to irrigate out the time that we spend in responding to homelessness so that you can see that in future budgets as a category because it really is a significant amount of time that we do. This past year, the city of Berkeley commissioned the firm management partners who has done work for the city council to do an analysis of city attorney budgets. And so that report came out recently and that was interesting. But what you can see here is that the cities that Berkeley surveyed, our budget is significantly below the next lowest Richmond other cities of more or less comparable size. It's impossible to compare apples to apples when you talk about cities. I've worked for several cities, both of course in my career and the amount of legal work that they generate is not based on a per capita basis. So really it has more to do with what specific issues the cities have to confront with and Santa Cruz like Berkeley and Santa Monica has a lot of the same sorts of problems and issues that arise. We also actually work fairly closely with those cities in coordinating efforts and discussing responses to problems. And so they're resources to us as we are to them. Summary, I would like to say that it continues to be an honor and a privilege for me to serve this community and this council as our city attorney. Our office consisting of 12 lawyers and six staff love the city of Santa Cruz and we're proud of the part we play in the community and government and the women and men who make up our team are also proud of the role we play in keeping things on track from a legal perspective. And so I'm happy to answer any questions. Thanks very much, Tony. I will look for questions from council at this time. What about Boulder? The one way we can save money is have shorter meetings. Well, the council is more like a chemical formula. And so one individual and it will change the dynamic of the whole city council. And also over the years, the length of meetings tends to run on cycles. It changes about every two years. Any other questions from other members right now? And regarding any items, are you okay with them contacting you directly and just working with you on some of those specifics? Let me just say that, and I said this, we are here as a resource to the city council, right? It's very common when someone has a legal question that they'll preface it with an apology for having bothered us during the day. That's what we're here for. And so I want to encourage council members to reach out to us when you have legal questions or legal issues that you're interested in pursuing. And of course, if you have any questions about the city attorney's office or any budgetary issues, I'm more than happy to answer them for you. I have one question for you, Tony. And you might have mentioned this, but I don't believe you did. Are there any PERS employees related to the city attorney's office? I don't think the cities do that. And I believe maybe there may be a PERS package that's associated with your position, potentially a city attorney. I'm just- Yes, that's been part of our contract since the 60s is that the city attorney is authorized to enroll in CalPERS and so I've been a participant in that program, but no one else in our office. Right, right. Okay, great. Thank you for clarifying that. Okay, well, we will move on to... Tony, thank you very much. We'll go ahead and move on to the police department budget. And I will invite Chief Mills. Hi, Andy, how are you doing? I'm doing well, thank you, Mayor. We will turn it over to you now. Great, well, thank you for allowing us to come and present. We're extremely proud of the many great accomplishments this year that our staff have done and just really want to be able to present to you what has been done and what we're looking forward to next year. If I can first start off by saying that Patricia Dodge and Bernice Calante are on with me, we'll split this up because mostly Patricia carried the heavy water here. Patricia is an absolute ace in the hole. We're so grateful to have her and she's done just incredible work and then Bernice oversees the budget in the department. And again, I couldn't be out of what the two have done. She put this together. You know, this has been a pretty incredible year and an intense year for the police department. When COVID-19 first hit, everybody hunkered down their homes except for us and firing some others. They went to 12-hour shifts. We did burglary prevention. They just did a phenomenal job bucking up and making sure that our community stayed safe. And we couldn't be happier with the performance of the men and women who police the city. And then of course we went to a budget crisis and part of the budget crisis was reducing some of our workforce, unfortunately. As we get into the budget, you'll see that this most significant portion of our budget is non-discretionary and personnel. So it was about 7% that we looked at. And so we wanted having to lose some personnel and unfortunately we lost the ranger program as a result of that. Then we had another round of budget cuts and the POA was not able to come to agreement with the city so we froze and shifted and lost a bunch of other positions that we'll talk about in the budget. Shortly after that, we had the murder of George Floyd, the tragic event that truly shook our nation. As a result of that, there was a lot of civil unrest. And again, our officers stepped up. We're very compassionate how we dealt with the civil unrest and kudos and thank you to the council members who also helped us with that. I think a shining example of what Santa Cruz is in the high ideology of what it takes to run a city of this nature. We really wanna thank those who helped in overt ways but also behind the scenes. I know almost everybody was involved at some level, so thank you. After civil unrest, as you know, we had a tarry event in our area where Sergeant Gutzweiler was murdered. Our officers responded to that and it took a significant amount of energy and stress on the organization. But yet in spite of it all, this tough year that we faced, we were able to see significant crime reductions in reported crime to the city, both violent and property crime. We solved two cold homicide cases that detectives have been working on for years and we're really proud of that. And then proactively we leaned in and created policy reform that we believe will have a significant impact on justice and equity and inclusion in our city. And again, thank you to the council and the members of council who really helped with that. We've increased transparency in the neighborhood policing in addition to an overwhelming effort to really make sure that we're as best we can within the law and still being constitutional, dealing with an incredible homeless problem in our city. That unfortunately gets put on the shoulders of the police department when we know that those aren't solutions. So when it comes to the city and revisioning Santa Cruz, we really believe that we take this seriously and we do everything we can do to align with the ideas and vision of council in this area. One of the things that we can talk about is that in the next slide, is that we are very lean staffed police department compared to many other cities are sized with similar demographics and similar things going on. And so I'm gonna turn it over to Deputy Chief Oskalonte from here and then Patricia will wrap up and then we'll certainly be happy to entertain any questions that you might have concerning other questions. Bernie. All right, thanks Chief. Good afternoon, Mayor Myers and council. So as you can see, here's our organizational chart. Pretty plain and simple, no real changes from the previous year or years in the past. I will go ahead and next slide, Patricia. So this is what's kind of an idea of our budgeted positions over the last two years, including fiscal year 22, the third year. You'll see the ranger program there that the chief talked about that we lost. We were able to hire several of those rangers. Unfortunately, a couple of them, there were some other circumstances, whether it was the hiring process or the field training program that we lost a couple, but we were able to retain most of them. And you'll see that technically on paper, we have a budget of 101 law enforcement positions that does include seven unfunded positions that was approved, I believe, several years ago to allow us to get ahead of the hiring practice and get ahead of the game when we knew somebody was gonna be retiring or leaving. We had some professional staff there. Those were basically frozen positions for fiscal year 21. We had one property attendant, a records attendant, our purchasing and payroll clerk. And then we also had our crime analyst position that was removed from the fiscal year 21 budget. So that's what's on paper there, but the next slide will show kind of the reality of our challenges in 21. As the chief mentioned, we had 10 positions that were frozen, sworn positions due to the budget cuts. And that included six sergeant positions and four police officer positions. So in reality, we're budgeted for 101, seven of those are unfunded, so I put this at 94. Last year we're operating at 84. So we are hoping to bring some good people on board into the organization this coming year and get ourselves back up to closer to the 94 positions. Components to the organization, you have your operations or enforcement and that includes just patrol, neighborhood policing teams, an alcohol enforcement unit that works closely with ABC and our alcohol establishments, our emergency services unit and canine unit. Our canine unit from two canines to four, one of those additions is a dog, I don't know if it's had the pleasure of meeting that canine, but it's a great resource for us. Investigations, most of that is all the same. And again, the cold case investigator has really been a joy for us to be able to bring some justice to some families that have been waiting for a long time. So those are really, really exciting cases for us. Actions, again, Joyce Blaschke has just done a remarkable job with connecting us with our entire community and through social media, our volunteer program, I think is up over 40 people now. We had a seasonal community event, if any of you saw the Christmas event down on Church Street, where we had a lot of limitations because of COVID, but we still made it happen and that was all due to Joyce's efforts there in our volunteer program. In records, they do a lot and most of it goes unnoticed. They're behind the scenes, processing all the work, all the paperwork, all the PRAs that Tony Kandadi talked about. Most of that all falls on that staff there. I highlighted some and some of these achievements that we're proud of. One was the Rainbow Pride Patch in support of LGBTQ requests from all over the world, really, to send them samples of that, a huge success. You can't say enough about COVID-19 and the challenges around enforcement. As you probably know, the community was very split on the expectations of masks, no masks, tickets, no tickets. It was tough. It was really tough and we were kind of caught in the middle of a lot of those challenges and different perspectives or opinions changing directions with the CDC guidelines. We made some great strides with the Black community in the city of Santa Cruz and even beyond. We hosted a great event with Santa Cruz Warrior staff really coming together, working together and trying to move policing forward and learning from things that we needed to do better. So that was a great event. To touch on this, we had a lot of policy changes, gearing towards promoting social justice, equity, and knowing that we needed to reform the way we did business in a lot of, you know, as an example, we banned the predictive policing model that we were using at the time amongst a lot of other policy changes throughout the year and we continue to evaluate where we can do better. We all know all of the multiple protests that we were able to really work well with the organizers for the most part and keep things peaceful and protect the First Amendment rights, but yet also protect life and property during those events. We have the Transparency Portal on our website. We continue to add to that to increase our level of accountability and transparency. Also, we added the new police auto go, which is actually, I believe in the city manager's budget, but it was something we did not have the previous year, so we're proud to have that as a great independent review and auditor of our organization. The use of force policy has gone through many changes over just the last 12, including increased use of force training and de-escalation training, and all of that is now in our policy, required by policy, and we continue to look at ways to get better with our training to provide our staff with real-life scenario situations to try to work through some real split-second decisions and difficult situations to work through. So as mentioned before, the volunteer program, and you are not alone program, just continues to build, continues to improve. They're just such a great group of men and women. Young and old, we have all different aspects of our community in that group, and they're just so helpful to us. We're really grateful to have them, and again, Joyce leads that group, and they just add so much to our program or to our organization. The canine expansion, as I mentioned, we have four canines now, and we expanded from two to four, and they've been a great asset to us, not only in the city, but in the county. Chief mentioned the mutual aid response to the murder of Sergeant Gutzweiler. Again, very painful, and we continue to assist the sheriffs, I know they have an anniversary coming up, and we will be assisting them to allow them to remember during that day. So that'll be a tax on our resources, but we're more than happy to offer our services to the sheriff's office. CZU fired, we were there day in and day out, although most of it was up in the county, we were up there 24-7, trying to help the sheriff's office and let the firefighters do their important work. I mentioned the Santa Cops event down on Church Street. What a great event at the time, September mid COVID, families really enjoyed that event, so that was awesome. Again, our accomplishments for the calendar year, I just want to reiterate that, oftentimes our UCR data is sometimes it gets showcased in a more of a budget year, but this is a calendar year number. We had tremendous reductions in violent crime and property crime. We're seeing a slight increase in property crime now, but you do see a lot across the country of significant increases in crime, especially in violent crime right now. So we're really proud of these numbers and continue to work to lower them even if we can. So that's it for me, and I'll let the professional patrician talk about our budget. We're maintaining this upcoming fiscal year, and I say that because we did have a pretty significant decrease last fiscal year, structurally, that we're hoping to work within. Take a look at the last few years of our budget. The line in yellow is what we've been working with in the current fiscal year. This is after the structural decreases that we experienced, and based on the salary increases that happened during the current fiscal year. So the pink line, the proposed department request for 2022. So when we compare our status quo basis, we really wanna look at the orange line, which is the original adopted budget for last year with the current proposed budget in the pink line. Last year's original budget to this, we of course have some decreases in salary based on the structural cuts. But in terms of services, supplies, other charges, that's actually decreased a little bit from last year based on some kind of accounting change that we're not permitted by our side of the house. All department budget requests is just over 28 million. Census are split out, patrol is 56%. The records, and one of the reasons why that's a little bit larger than you might expect is that this is where we also budget for our SRC 9-1-1 contract. That's a huge portion of that budget in there. In terms of how we're spending our money, like some of the other departments, it's really all about personnel costs. So all together, the personnel related costs comprise 85% of our budget. Netcom 9-1-1 and other regional partners are 8%. Discretions funds for us include building maintenance, our sexual assault nurse contribution, MDIC contributions, uniforms, supplies, and vehicles. So that's a pretty tiny slice of our budget that we can work within, but not a lot of luxury is built in there. Again, we have no big increases, no big asks this year, the status quo budget, but we're also happy to answer any questions that you may have. Thank you, Patricia and Bernie and Andy for, yeah, just your year has been something that hopefully we won't have again for a long time, but so we thank you and all your teams for all the work they've done for our community this year. I will go ahead and turn it over to Councilor Jones at this point, Council Member Cummings, and then Vice Mayor Bruner. Thank you, Mayor, and thank you all for that presentation. It's kind of a more general question that relates to PD, but also some other departments. Is there a point when we might be able to consider, it seems like status quo now is we made cuts last year and we're just carrying over. And I know, for example, folks in the community would like to see the Rangers come back at some point along with many other programs, whether it's arts or things that are in other departments. And I'm just wondering if there's a point at which we may be able to consider, maybe not this year, but in the future, like what we can bring back and keeping a running list so we can kind of see where there might be priorities for bringing things back in the future. Can I answer that question? I think that really is a subject to the status of our budget and I think to be able to be in a position to do that since we're facing a structural deficits would mean if we're successful in obtaining additional revenue sources, which there is a possibility. So if revenue measure is placed on the ballot and it's successful, I think the council can be in a position to look at enhancing or to bring back services and programs. But alternatively though, you would have to reduce somewhere else to be able to bring something back, but then that's obviously at your discretion, but to be in the best position to be able to address this as well as to bring back and to enhance where needed. And consistent with the canceled goals would be really contingent on the success of a revenue measure. Thanks. Thanks, Mayor Bruner. Is where in the budget do we allocated for do we see that? Under the control budget? Okay. Work with partners like the 911, the Netcom partnership. Do they do their own training? Do we do all the other agencies contribute a certain percentage for training them? I was just curious about that. I can address that. Netcom has their own separate budget that's allocated every year and I know that the city manager sits on the executive board of Netcom and along with other elected and appointed positions. And so they have their own training budget separate and distinct from what we have. Great, thank you. And same or has a need past year so many and I've certainly been in many conversations with you about that. An area that you feel is accurately. I just want to be clear. Are you talking about the training budget for Netcom or our training budget? Your training budget. I can talk a little bit about that historically. Last year we did have a pretty significant cut to our training budget as part of our cost-saving strategy. So that was a little bit more doable because people were traveling for trainings so the cost were better. This year we are redistributing some funds back in to our training budget. Just on a statistical basis we've moved a few things around and that's one where we wanted to make it a high priority to refund. That being said, our total light on for that as a proposed budget is 70,000 for the upcoming fiscal year and we consistently spend every dime of our training budget. Just from the budget side is that we can certainly use more. That as we get a lot of new folks coming in and new social issues, legal issues, entering our door super to us and we can always use more support in that area. Just real quickly on that there's three really areas of training. One is the initial training that they get when they go to the academy. The second is in service training that the officers get every year that there are mostly state mandated trainings like use of force, first aid, things. And then when you get promoted to a position or we need to have some specialized training we send them to post schools elsewhere. All those are expensive and that doesn't leave room for the some of the enhanced training that we as a command staff really need and desire to do. Like for instance, we try to carve out money to a expert who can talk to our officers about documenting use of force and what that looks like. In the long run that helps us articulate those use of force and since better so we're bringing that person in here in the near future. We also want to be able to do training that as part of the mandate of the policy changes such as improved diversity and equity training and inclusion training for the department for the rest of the city. So those are all really important and what we do now is Bernie and I go hat and hand Patricia and say can you carve out some money for us to get this done somewhere else in the budget? And she's been a magician up to this point but certainly extra funding for those specialized trainings would be very helpful to the department. Thank you. That was it for my question. Thank you, Vice Mayor. Are there any other council members with questions for our police chief and his team? I'm not seeing any. Okay, great. Well, as I've stated before, I'm sure follow up is totally appreciated with any and all folks from the department. So we will go ahead and take a break for lunch. Why don't we, we've got one, two, three, four more presentations it looks like. So why don't we go ahead and come back at 1.15? I also, before we break, just want to take a moment of silence. I'm not sure if everybody's been reading the paper today but there were eight people killed in the city of San Jose this morning at a shooting incident at the transit authority and as a city that has a lot of folks whose lives, interaction with city of Santa Cruz and just want to take a moment to recognize the loss of those folks before we break. Thank you. And we'll see everyone back here at 1.15. Thanks everybody. Our agenda is focused entirely on presentations from each of our department's budgets and this afternoon we will be hearing from our fire chief on the fire department's budget, our public works director on the public works budget, our parks and rec budget and then our city manager will end the day with a presentation on our capital improvement program. So I also want to just thank the council members I know two days of full day meetings is a lot to ask for all of you and I just want to recognize you spending all this time and learning directly from the departments, both their achievements and their objectives for next year as well as reviewing their budgets. So thanks for putting in the time. Jason Hydrick, our fire chief is up next. Welcome Jason. Mayor, city council, Jason Hydrick, your fire chief. Thank you for having me today. I'm going to share my screen here and we'll get going. Voting division chiefs as well as Paul Horvatter, OES manager and they're going to fill in some of the blanks here. We represent about a little over 20 million out of the general fund for our expenditures. However, that's reduced through a number of different contracts that we have and represents about $16 million out of the general fund. And that's due to increased revenue, contract for services through UCSD, through Capitola for lifeguard contract services, as well as some OES reimbursement. And it's basically a status quo expenditure when you compare it to our 2020 actuals for it's a little over 1% increase from that. It's an increase from last budget year just because of the budget reductions and the 10% furlough and bargaining groups and whatnot. So it's basically a status quo budget for us going forward. Organizational chart, and what's important to look at this is that almost 85% of our budget and 85% of our personnel are very much in line with response, we're very much an operational response-based organization. The other difference that we have compared to other departments is that we are a prior operation. There's never a time, it doesn't matter if it's daytime, nighttime, holiday, we always are on duty just because of the nature of our response. And so we do have administrative functions and then we are broken into three shifts, A, B, and C. And then those are further broken down within our stations. We also have our marine safety component which is seasonal where we ramp up during the summer. However, it is a year-round presence and a year-round need. And then we have a battalion chief training that we are going to be filling here after the budget reductions that we're in underneath the last year. So really, 85% of our budget, 85% of our personnel are operationally-based, they respond and that's what we do. That is what we do. And this year's been no different. And I would say that this year is our office. This is what we do on a daily, nightly basis. And if you can look at those ladders that are perched up against that building, that's because we have people inside that building. Thank you. That is their working environment. And we're no different than anyone else in the city as far as the impacts of COVID. But we still had to show up. And COVID is spread by being in an enclosed space for a prolonged period of time with a number of people. And that describes the firehouse. And so we really had to work hard this year to make sure that we were able to maintain that response for fire, rescue, and medical while protecting our folks. And we've done a really good job, but it's been a really, within our core services is our office of emergency response or services and then prevention. If we can prevent this call from happening, that's a really good day, but we will respond to it. And so our prevention department or OAS department as well as our response folks have been working really hard. And it fits within our career pillars that we have within our department, which are our personnel, our response in our community. And they're all interconnected. Can't do our job without people. Our response is what we do for our community. And then also trying to prepare our community to prevent these things from happening. Well, I'm in 2000, we had a little over 4,000 emergency responses and you fast forward to 2020 and we had about 7,700 calls. And these are for emergency responses. These aren't for all the other services that we do. We had a little dip and the number of calls because of COVID, but they didn't go away and we're expected to eclipse that this year. So when you look back on the organizational chart that I showed you, we have not manifestly changed who we have available to respond to calls, but the number of calls that we respond to has gone up and that's going to be a growing issue as we go forward. And again, COVID has impacted all of us. And the men and women of this department have done a really good job of being resilient and moving forward with minimizing impacts to themselves as well as protecting the community, which is on a daily nightly basis. Our Marine Safety Division is comprised of a couple of different things. It's the seasonal lifeguard staff that you think of and the towers, but it's also the year round response for aquatic emergencies. And they happen in all sorts of different locations, but West Cliff is probably one of the most technically challenging water rescue places you can have. It's exposed to large swell and it's really easy to get to for a lot of people. You don't have to hike there. And so again, the men and women of that division are there on a daily nightly basis. These photos are here because they were taken during the day, but they are also doing this at night, they just don't show up in photos out well. But again, when we get back to that prevention mode, those preventative contacts, when people come to our city and they come to Main Beach and over a half a million people from last year, and I expect that number to probably double this year, those preventative contacts and educational contacts about telling people what they can do safely and for dangers that they may not be aware of, that's really a significant value to our visitors and to the people who live here. And these lifeguards on the Marine Safety Division also support the junior lifeguard program and we spoke about it yesterday as far as the value of that. The number of rescues and a lot of them last year were on the 4th of July. I'm expecting a really large beach presence this year on the 4th of July just because it's on a weekend this year. It's not mid-week and if the weather's anything like it is going to be this week and we expect to be busy, but again, those men and women will be there. I'm gonna turn it over to Paul for that on the next slide, and he's gonna respond to this year for OES. All right, thank you, Chief. Actually, hold on. I got my slides mixed up there, I'm sorry. I'm gonna talk about the state OES just a little bit. This, you know, CZU was a huge impact for our city this year, but within the state system for OES, that system that responded locally and supported our efforts over the weeks that that event was going on is the same one that we respond to statewide. We had over 45 requests for personnel or equipment from our department and some of those requests range from two days to 30 days where we had people out and working and a lot of them were in our backyard for the CZU fire. But as part of that, the city was reimbursed over 1.8 million dollars, which exceeds the personnel costs that are associated with it. I support it because it's just something that we tapped into this year as far as CZU and needing those resources to come into our community. But it's also training and experience that our personnel gain when they go out and engage in that, they bring that to their daily service response here within the city. A large-scale incident like that really changes over how to approach that problem in a systematic way and have the best positive outcome that you can. And I'll also say that the state OES responds, unfortunately, I believe, is part of our new reality as far as climate change, wildland response, disaster response. And so we're a participant in that. We're a recipient of that. And I think that that's something that we can see more of as we go forward. But that response does come with a reimbursement from the state. And I'll turn it over to Paul Horvath to talk about our internal city OES response. All right, thank you, Chief. Good afternoon, city council. Once again, my name is Paul Horvath and I want to just spend a few minutes and talk a little bit about the city's office of emergency services while the state does, the city has one as well. And what we do is we manage emergencies through our emergency operations center. Once again, the EOC is a place where we gather city emergency managers across departments as well as our community partners so that we can focus our efforts on protecting lives, property, and the environment. Our emergency operations center is at the 911 Dispatch Center where we rent space there and we have all our equipment so that we can operate effectively. Just to kind of highlight the importance of the four years within the city, numerous times for the 2017 winter storms that you all remember, where we had about 3.5 million in infrastructure damage to the city, mostly water supply lines from the water department. We've also been managing the COVID-19 emergency over the last almost a year and a half to $770,000 in FEMA reimbursement there. That's been kind of a unique EOC activation where we've done that virtually. And we also manage the CZU fire and tried to reduce the impacts that it would have on the city through conducting vegetation management throughout the wildland urban interface where the forest meets the city, as well as activating our volunteer teams to go through and knock on doors with neighbors to help them harden their homes in preparation if the fire had reached the city. Unfortunately, it didn't. So those are the things that we do in the EOC and just kind of highlighting the importance of those things. These three emergencies that I mentioned here over the last four years are the biggest emergencies in modern times outside of the Loma Prieta earthquake. So we can kind of see this trend on how important OES has been to the city in terms of protecting the city, its residents, its infrastructure, as well as our city employees. So we're looking to have all of our COVID-19 EOC planning activities. We see ourselves coming up for June 15th where we'll go back to normal operations. However, we still are in the Yellowtail tier. So we're going to continue to develop our incident action plans, which kind of outline what the city is doing and what the city is going to do in terms of COVID-19 for our employees, for visitors within the city, as well as contractors to visit the city. And we follow those guidelines closely with the CDC, CalOSHA, and local public health. Part of what we're doing, as I mentioned earlier, is we're tracking all of the costs and we're going to continue to track them for the theme of reimbursement. Most of the costs for personal protective equipment, masks, as well as appropriate signage and keeping city facilities clean as well. In addition to the OES functions, just in managing the budget for the fire department and other administrative tasks in alignment with the, in addition, as we all are doing, is helping out with the homelessness issues that encampments as it impacts the fire department and the city manager's office. So that is all I have for you today and people are allowing me to present. Thank you, Paul. So next I'm going to go to Rob Odey, who's our division chief fire marshal, and he's going to discuss some of the efforts we've made within the prevention world for trying to limit some of the impacts of what we've seen. We're going to eclipse that number of last year. We have people on the front lines who are actively putting out fire, the coordination between all the departments and reaching out to IT, having HR, the HR director serving the EOC, public works, economic development, city manager's office, city attorney's office, parks and rec. It was a really big effort for a very impactful event that was coming into our city. And like I was talking about, we went out and knocked on doors and we connected with people in our community and gave them the tools to be prepared. And that was a collaborative effort between all of our suppression folks, our admin folks. He alluded to it. We had retirees who came back knowing for the emergency operations center but also out in the field. We had our volunteers from Santa Cruz PD. We had our volunteers from CERC, serving in functions that they normally don't do. And that outreach, in my mind, really encapsulates the entirety of what we do as a department. We had the response on the suppression efforts. We had the prevention efforts. We had the education efforts. We had the coordination efforts within our EOC. And this was against the backdrop of COVID that was still occurring. And so I'm optimistic that we won't have another event like this this year. I'm hopeful for that. But I do know that we are better prepared and more resilient to minimize its impacts if they do happen. It's an ongoing effort within our department. And with that, that concludes our presentation and I'm available for questions if you have some. I am happy to have council members with questions. I've got council member Golder. Thank you guys for everything you did do this year. It was mind blowing when you took us up on what all you did to help secure the water infrastructure and keep our city safe during those horrific fires. And I have a question about the OES reimbursement. And so you mentioned that the money that you get back from the state covers the costs. Are those costs the over time? Is that what you're talking about? Yeah, so the way the system works is that when we send personnel out, there's an overtime cost for that. And in essence, the state is renting our personnel for their experience, for their ability, for their certifications, as well as for the equipment. And so that is for a big chunk of our overtime budget that is reimbursed from the state response. And there's money in addition to that, it comes back to the city. So it's above and beyond our personnel costs for what the city receives. And so that money goes back to the fire department or back to the general fund, the extra? There's a portion of it that we're, and if Kim is online where we are using some of that money for long-term capital for equipment, but it does go back into the general plan, no different from the other department that operates within the city. Thank you. Yes, it is right. I don't know if you recall, we made an adjustment at mid-year to adjust fire over time and increase the revenue to reflect the payment. Thank you so much, Chief Aduc. In regards to equipment, you just now mentioned some of it goes back into equipment, some into the general fund. And in your budget, are we looking at, I know there have been in previous conversations regarding equipment for the fire department, new truck, a new engine, is that incorporated into this budget? A portion of it is, and when we have the CIP conversation here after all the presentations, it is expected to be replaced this year. Okay. And then we're also looking at replacing a Type 1 engine. Our oldest engine, which is in reserve status right now, is a 1999 engine. If you think about the technology that's happened in the last few decades, we are due for replacing those on a regular basis. And the goal is to not have a one-time cost where we replace all of them at the same time, but we use them and cycle them through so they become frontline engines. And then when they're older, they become reserve engines. The other challenge for us, it's not just a one-for-one. If I have one engine in my fire station and it gets a flat tire, I need another engine because we have time dependent problems. And so we have to always be able to respond and that's part of response to the community that we are available, we are equipped, and the right people at the right time with the right equipment have the right outcome. Yep, thank you so much. Talk a little bit about a lot of money for sort of fire prevention and fire planning, big dollar amounts like $20 million. And then also, as council members are aware, we have a growing interest in fire-wise neighborhoods, which is a really great thing to have people really trying to plan for one of these events within their neighborhoods. And I know probably what makes sense, what looks like a lot of money is that quite hard to obtain and then distribute, especially down to sort of like a neighborhood group like that. And I'm just wondering if you could kind of maybe give a little bit of a big picture of how do we as council members and as the city sort of help these folks, these fire-wise communities that are forming, what's the best place for us to sort of support them and we also support your department if this is going to be kind of a growing, kind of a growing effort on the behalf of neighborhoods and in town, if you could just maybe a couple minutes on that, I know that I spoke, but. So I view this, it's not a singular action or it's multiple actions in its collaboration. So I view the fire neighborhood groups as being similar to a neighborhood watch for crime. Fire-wise neighborhood groups are preventative actions for those neighborhoods, what actions they can take to prepare their individual homes, their neighborhood and then that has that kind of ripple effect as far as minimizing those impacts. That's something that we started years ago. We actually had the first certified fire-wise group in Santa Cruz County was formed in the city of Santa Cruz and Prospect Heights. Abby Young called in yesterday to voice her support for the grant for the work that's being done. So that's one effort, that's the individual neighborhood, the efforts that they can take and that's really about that constant steady work to prepare themselves, to have a plan and to minimize the impact of the fire if it happens. On a larger scale, you alluded to it for the governor for funding for vegetation management or those proactive efforts. It's a huge amount of money, but it gets filtered through all the individual counties to the individual cities down to the individual neighborhoods if it's available. We are looking into that. The water director, Rosemary Menard, myself wrote a letter of support of an assembly bill coming forward that's for fire prevention, vegetation management and protecting our watershed, which is a critical, critical thing for our city. So the grant that we accepted for the work is just one action that we are taking in that. They are competitive, but I will say that the work that Chief Odie has done has mapped out all of our wildland, urban interface areas within the city, has mapped out the ongoing vegetation management that we need to do, both at linear feet and acreage. And so we were successful in getting that grant with Tiffy Wise West, Dr. West, because we had that already identified. We have the area, and so we're able to give that in a package. And so we are pursuing those grants as they come up, and we are ongoing in those efforts to minimize those impacts within the city-owned open spaces. What we need from our neighborhoods is they need to do the work on their own house and their own neighborhoods. It's not city-owned. And we are here to provide that information and guidance and you can do it just because you have a fire. It doesn't mean that you're necessarily gonna have that impact in your neighborhood, but you have to do the work and it has to be on a regular basis. So we are trying to manage our open spaces that we own that surround the city and protect your infrastructure. And we are advocating for our neighborhoods to do the same and literally their backyard. Great, thank you, that's helpful. Any other questions from Council Members on Fire in a minute? Not seeing any. Thank you, Chief. We appreciate it. Next up, we will have Mark Dettel, Director of Public Works to give a presentation on the Public Works budget. Vice Mayor, I meant for the Council. I'm gonna go ahead and share my screen and present the Public Works budget services. Then the Department of Achievements and finally the Department of FY 22 budget with overview and changes. Most diverse with mission is based on health and safety and quality of life. We have seven divisions. Our largest division is research recovery with almost 92 FTEs since we collect and process all the waste and recycling. Our second largest is waste water, almost 56 FTEs. The parking is, we broke that out as a new division this year. They're up to almost 48 FTEs. So they have a lot of facilities as you'll see and in efforts. Operations is 32 FTEs, engineering 19 FTEs and then traffic engineering in six FTEs. Sections, collections, resource recovery and waste production. The collections group provides resource recycling, green waste collections to residents and businesses, provides food waste collection, commercial kitchens. And we will be expanding that with a pilot to households as well as hopefully expanding to all households and start looking at 2022 or 2023. We'll roll that out in a small group and kind of work out the kinks before we roll it out city-wide. We also provide street sweeping and we removed nearly 800 tons of debris less. We're also piloting a mandatory parking restrictions on your sleep days. You wouldn't be able to park on your section of your street for a limited amount of time, one to two hours. So we come in and get curb swept and we'll pilot that again in a couple of areas, work out the kinks on that. But we'll start with a volunteer area and could learn from that and then roll that out. We also respond to illegal dumping, the camp cleanup support and hyperdentering needle collection and reporting. Our resource recovery group, the processing really process market and sell all of our recyclables. The facility works at the county to accept household hazardous waste. We divert construction material from the landfill and repurpose that material as we're just offering redwood from lumber that we've collected. But also we'll grind up concrete and offer a base rock. Resource recovery also manages the air space in the landfill to ensure the largest, most efficient use of the landfill cell that we developed. Historically, they used to use still material to cover the refuse and that took up a lot of valuable air space. We cover it with tarps and we'll pull that off and then we'll manage that. Only put refuse into the cell so we extend the life of the cell as long as we can. Current life of the landfill is over 50 years. And when I got here, there was 24 years of life remaining in our landfills. So we've done a great job of managing that. And we also extract the methane from the landfill to produce PAP, reduce our greenhouse gases. Under the waste reduction group, we promote the reduction of waste in each city and state goals and mandates to public interest, public information, business and school outreach, educational programs, special events. We educate about source reduction, reuse, recycling. What's wish cycling? Where you throw things in your blue can and hope to recycle, composting and pollution prevention. They also lead policy development in the city through ordinance such as restaurant to go through packaging and we provide waste reduction audits to city green and city green business, the certification program. Waste water division core services. They're also divided into three groups, collection, treatment and environmental compliance and lab. Our collections maintain over 150 miles of underground sewer pipes and 18 lift stations. We replace up to a mile of pipe every year. We clean and maintain the storm green network and provide flood control support, respond to sewer overflows and maintain leachate collection system from the resource recovery facility to take the leachate to the wastewater treatment facility to treat it. At the treatment facility, core mission includes treating wastewater through an all natural biological process, treating over 7 million gallons a day. We're a regional facility with 50% of our customers located outside the city. We also generate in excess of 70% of our energy that's used on site to digest or gas, cogen and solar saving on solar processing, saving customers over $700,000 a year. We're a key partner in the Pure Water Soquel Project to protect an important county water supply from saltwater intrusion. We use treated water inside our facilities for process water, safe, and we produce bio solids for use on non food based crops. We also educate our customers about our service through outreach and facility tours and we have to restart those soon. The third group is environmental compliance in our lavatory and we provide inspection and monitoring and guide to local businesses on discharges, safety charges to their sewer system. We'll issue discharge permits to our industrial dischargers and list liquid workers. We work to eliminate violations, but can let these citations and binds if it's required to change the behavior. The lavatory provides a wide array of analytical and technical sampling and monitoring of the wastewater treatment process and supports the city's stormwater, watershed and landfill program. We've all provided some COVID testing, sampling and testing during the COVID outbreak to kind of track the extent of the virus. The lab provides mandated monitoring of our near shore bacteria and other indicators of environmental health and we provide analytical support to other city departments in the county. We manage four parking structures, 25 parking lot and a hundred meter spaces. The parking on the Wharf also processes over 500,000 transactions per year. They manage the bike locker program, the revenue collection and parking enforcement, the citation review and collection. A parking programs group, manage the residential permit programs, the downtown permit programs, the validation program or local program, special events and warrior game parking, park cards, park mobile, EV parking and charging system. And parking maintenance, they're also responsible for the downtown cleaning, including parking, park civic avenue streetscapes, cleaning and trash removal, cleaning and maintaining public restrooms, being the parking pay machines and equipment, power washing the sidewalks and keeping the area clean, trash pickup, meter repair and graffiti removal. Parking also, that we saw of all our budgets, parking is probably the most impacted with COVID. They have a strong revenue base, but it's based on demand. And at the end of FY 20 and through FY 21, we saw heavy impacts of parking revenue. Our week over week revenue losses were 60 to 70% from on-street meters, surface lots and garages. Despite the challenges, the impact of staff levels, parking service continue to provide vital services, streets we've been bathroom cleaning, other parking down town and the parts of the city with little disruption. With indications of a strong return to economic activity this coming summer, we're projecting a return to FY 22 revenue to pre-COVID-19 levels. And this along with new revenue sources, which you approved with the beach meter increases and parking and loophies, we're anticipating a strong parking revenues. This is broken also into three groups, our streets group. All streets and traffic teams about just 11 built positions responsible for vast majority diverse array of critical and responsibilities, including sidewalk, curb, gutter, catch-facing insulation repair, replacing or repairing street lights, managing the vegetation along our sidewalk roadways, bike lanes and other areas to enhance transportation safety, vegetation, sediment, debris removal from our creeks, rivers and maintained flight control, assisting police and parts departments on a cam and debris removal, providing critical project coordination and logistical support to our city projects, repairing, replacing, installing street signs, fencing, guardrails and producing signage in-house for other city departments, painting and including street markings, curves, striping crosswalks, critical logistical supports for special events here by setting up barriers for outside dining in our downtown. The mechanical maintenance group, team of seven mechanics and one accounting assistant provide maintenance of the city's fleet, including police and refuse vehicles and heavy equipment. The administer city's fleet, including vehicle replacement process, working to replace our vehicles with electric alternatives or alternative fuel vehicles whenever possible, including a grant for an electric refuse truck and providing 24-hour fueling services. Facilities and maintenance and energy projects, very small team of four provide routine maintenance and repairs for 28 city-owned facilities. They provide 24-hour response for facility emergence, provide certain janitorial and sanitation services at our facilities, provide safety inspections of all facilities and our energy project coordinator leads city's critical energy efficiency programs, retrofitting projects as well as overseeing solar for photovoltaic operation, applies for funding, rebates, opportunities that assist with meeting city's 2030 climate action goals. We've also established a charging network for future electric vehicles at the city's corp yard. Engineering division, core services is divided into engineering, funding and capital investment program. Our engineering group designs implements capital projects, including repairs, improvements, projects of programs associated with multimodal transportation, street design, reconstruction, slope stability, utility undergrounding, sanitary sewer collection and treatment, stormwater collection, refuse recycling and facility improvements. Engineering develops project concepts. They secure grant for funding for projects. They also review and do inspection of development projects, the issue permits, such as street opening permits, utility installation, concrete work, and they can create planning environmental documents, including secret certifications, traffic in peace studies, their plans, utility and facility plans, et cetera. They develop and implement the city's stormwater, wastewater and refuse plans and programs in compliance with state and federal mandates. Funding, engineering really manages administration of utilization of key funding sources which pay for a majority of the repairs in our general plan and especially roads and storm drains and then manage also sewer and refuse facilities. Gas tax, SB1, measure need, measure age, funding pay for street improvement projects and rating the city pavement condition index. Trying to reach our goal of 70 out of a possibility of 100. Making progress, but we're not quite there yet. The measure E also provides funding for projects and programs intended to keep our rivers and beaches clean. The engineering does a neckline job of seeking grant funding for projects to supplement the city's funding. Under the capital investment program, engineering develops and implements the city's five year capital investment plan. Engineering assists other departments with implementation of their capital projects. Is that two major long-term projects engineering is working on now is the improvements to intersection highway one and nine and the Murray street bridge seismic improvement project. As you saw yesterday, the city faces a shortfall and long-term unfunded list of capital projects in excess of 300 million. A significant portion of those are transportation projects that those be discussed in the capital investment program section. There are also three groups, the engineering section, the transition planning and the education and outreach. Transportation engineering, they designed capital improvement projects for the city's parking systems. Responded citizen requests and hazard notifications to improve and maintain city's transportation system to analyze traffic patterns, issues, solutions, including traffic, the traffic signal system. They develop and implement plans for downtown parking via transportation and other parking analysis. Develop and implement citywide active transportation plan to improve pedestrian and bicycle networks. Perform, develop, review and inspect private development projects as related to transportation. Implement the coastal rail trail by leveraging local dollars, measure D as a match to state and federal grants. Under our plan section, develop an update active transportation plan and to apply for the active transportation program, ATP grants. And they've been very successful, as you've seen. They developed local roadway safety plan as you saw yesterday. Use for highway safety improvement, ACIP grants and help prioritize fundable cash. In future grant funding for transportation improvement projects identified in the ATP and elsewhere. The division currently has approximately $21 million in grant-funded projects scheduled through 2024. And they assist with the development of the climate action plan. Set goals for greenhouse gas and trip reductions and ways to improve our multimodal plan. They assisted with the development of the web-adapted plan, used for the coastal commission and the city to manage and respond to populated changing accommodations. Our education and outreach group, they create and implement several education outreach programs in support for creating safer streets and encouraging alternative transportation. Go Santa Cruz is one such program which has been very successful. This June, February has signed up over a thousand individuals distributed over 630 free transit passes for participants that accounted for 50,000 miles of non-single occupant driving. The division also utilizes a street smarts program to provide targeted education with videos. Our latest one shown in the slide here has pushed that button to activate those rapid flashing beacons. The group's also working on development of a city vision zero implementation plan and working with other agencies to restart our bike sharing program county wide. Some accomplishments and highlights from the current fiscal year. These accomplishments are organized by the major categories, re-imaging Santa Cruz recovery plan and the categories are infrastructure, fiscal stability and downtown and business revitalization. Of our notable accomplishments, the rail completed segment seven phase one of the rail trail project from California to natural bridges and received a $9.2 million grant to construct segment seven phase two which should get out in the fall. We've completed the grant funded Highway Safety Improvement Program ACIP Citywide Crossing Improvement Program with the 21 rapid flashing beacons. We initiated construction of Highway one and nine. We developed and bid out the San Lorenzo River Lagoon culver project, which will be awarded next month. Substantial completion of the ultraviolet disinfection system replacement at the wastewater treatment plant resulting in energy savings and environmental protections. We completed the solar intake expansion projects at the Corp Yard, the La Vega Golf Lodge and the landfill at the Dimeo Lane. We completed the water and river streets paving cold and place recycling and overlay projects. Completed the water street protected bike lanes and added green upgraded access ramps. Completed the ocean and water street Northwest corner intersection improvements to improve bike and pedestrian safety. Regional partnership with Pure Water Soquel and the design and facilitation of the Water East project. We completed installation of a food waste processing equipment at the recent facility allowing for expansion of our pilot program and increasing the number of businesses participating in the food waste collection program. And hopefully soon opening that up to our residential customers. We cost vehicles and equipment with alternative fuel and energy efficient models. We've applied for over $39 million in transportation and safety and infrastructure grants through traffic engineering and engineering for projects. We initiated changes to provide initiated changes to private development review fees to capture all staff costs. We've kept our public services and the public counter development review open throughout the pandemic despite reducing our general fund costs. We've accomplished low interest loan from California, from the California Infants Infrastructure and Economic Development Bank, the I-Bank for the Wastewater Treatment Facility, UV Disinfection System Replacement. And we will be looking for them for larger repairs at the Wastewater Treatment Facility when we look at the electrical system upgrade project. We implemented an in-loop fee and other charges for downtown parking deficiency program. As we phased out the parking deficiency program that put the onus for lack of parking on the businesses. We shifted it to the developer and that has been a successful program actually which we first had our first payment with the Anton Group of over $620,000 parking in loop fees that'll go towards future parking costs. We pause the approved wastewater user rate increases for one year COVID relief and completed the refuse and recycling user rate study. So you'll be seeing new refuse rates including a rate for food waste coming to council on FY22. We revised the sewer connection fee for development to reduce the cost of multi-family housing to encourage that, to reduce that barrier on multi-family. Then revitalization, set up a downtown business outdoor dining expansion areas throughout town due to COVID-19, indoor dining restrictions. We closed the block of Pacific from Cathcart to Lincoln to track and we wanted to provide that outdoor dining in a safe environment. We assisted in the commissioning of managed encampments at the National Guard Armory in spite of ongoing support for the other encampment areas. She's also assisted police department and parks department in camp logistics and debris cleanup on a weekly basis. All parking fees, downtown, daily rates, monthly permits will waive March until July 1, 2020. Parking deficiency fees and quarterly invoices were suspended beginning in March 2020 and currently still being waived to give businesses a chance to reduce their costs. We provided curb pickup, meter hoods for businesses at no cost beginning in June, 2020. And when parking fees were reinstated, we put in place a daily limit of $3.75 as a maximum daily fee to reduce the cost of parking for businesses and visitors downtown. We completed phase one of the downtown bike locker replacement program, completed bike and pedestrian crossing connections to downtown and the wharf with construction of the Pacific Avenue sidewalk infill project. We focused attention on private development review, permitting coordination and we bid award a number of large and small projects. I'd like to talk a little bit about what our expenditures look like. Basically, we're providing you a fairly status quo budget. We are a very diverse department. Our total expenditures are almost $70 million. But we have two major divisions, wastewater and refuse make up over 65% of that. And then if we combine parking, the general fund portion of parking in the district, that's all almost another 10 million. The remaining operation streets, 3.5 million fleet, which is an internal service fund about 3.7 million. And then several small divisions engineering and traffic engineering, as you can see, they're very small, facilities small and major is also a, that's a very small group of two that supports our clean water group. Revenues by fund. Again, they mirror the previous slide, refuse wastewater, both rates supported, mostly fully supported parking district. Again, is a revenue supported as well as a general fund. Most of that is parking revenue. We do bring in equipment operations, like I said, was internal service. Gas taxes come, is a state funded work. Parking is also general fund, but it's a special fund. And then measure is state as property tax based. Same thing with stormwater, stormwater overlay and then our traffic impact fee is developer based. Total revenue. Look at how our expenses and how our revenues compared against last year, amended budget to requested budget. And expenses, you can see we have a reduction of almost about 2.5 million or 3.5 million. Actually, that is all tightening, trying to reduce our costs. And some of it's a capital outlay is reduced. If we look at revenue, again, revenues down about a million dollars between the two years. A lot of that is parking revenue that is down, but we hope to see that come back. $10 million, our bottom line to the net, to the general fund is about 3.6 million. Our total expenditures are 8.6 general fund. Warf is another point set at 9.4 general fund costs, but we bring in a revenue of about 5.8 million. So our net impact to the general fund is 3.6 million. The reductions that you heard yesterday, we did cut our general fund budget by $40,000. Plus we added about $300,000 in parking, new parking revenue through the beach meters that you approved. And we upped our parking estimate another $100,000. So we think our parking revenue will be about $400,000 greater than last year. We don't think this is gonna have a great impact on our ability to operate. The local railway safety plan was completed this year with a grant. So that's a savings facility supplies, some remodel work and solar savings in their street division materials and service. A lot of this street work has been shifted to homeless cleanups. And so some of this materials have not been spent and so we think we'll be fine this year by reducing it, that's a one time. Our ride share program of 34,000 is replaced by general fund input in the Go Santa Cruz budget. Our merchant bank fees, those are credit card charges for parking reduced, less credit card charges. And then we just have some miscellaneous and supplies and just some efficiency. I'd be remiss if I didn't acknowledge the great work of our staff. You know, you heard it with Public Works Week, but I'll re-emphasize. Obviously I don't do this work. My staff does this work, they do a great job. They are out there 24-7, ensure things work and function properly. And they're the ones you call when there's something in the road or something falls down and we need to get out there and make it safe and these are the guys that are, these are the men and women that strongly support the city, the businesses, the visitors and our other city departments. And so I'm very proud to work with them and I'm here to answer any questions. Thank you, Mark. Great presentation and as usual always a humbly, it's always humbly in every presentation. It's like, wow, appreciate all the detail and I'm happy to have council members. If you have questions regarding this. Council member Cummings and then Vice-Chairman Brunner. Well, as the mayor said, it's always great to hear about this presentation. It's impressive all the work that makes things move and I think people really don't always appreciate it as much as they should. But yeah, thanks to all the hard work you all are doing and the great work that all your employees do. I did have a question. I just wanted to see if you could clarify. There's been some confusion in the community or maybe rumors popping up, but I'm wondering if you could just explain a little bit more about what's happening with recycling in particular. I think that there's, some people think that we're just putting recycling in and it's just, we're not actually recycling and I know there's been some emails floating around about recycling with UCSC and the city. And I'm just wondering if you could just highlight what's happening with recycling to provide some clarification around that. And yeah. Sure, I'm happy to do that. That's a great question. We process all the recycling that comes to us. There is no doubt that some of the material that comes to us is contaminated and we work very hard with our education group, waste reduction, to try to get people to recycle correctly. We have videos on our website. We'll go out and do site visits to we have master recycler program that will come to your facility and help you figure out what's working and what's not working if you're a business. About a year ago, UCSC made a strong push to try to recycle all of their material. And unfortunately, they combined a lot of the material together, some of the material was not recyclable for us and they unfortunately contaminated a lot of the material and we told them that we couldn't accept that material after we had invited them to come forward. We worked with them and we did work with them to get them to get the contamination out of the material. And we again started accepting their material but they're having to do some preprocessing and they decided that they're taking that material to Marina because they don't have to preprocess it. Unfortunately, it's not all recyclable. There's about a 40% waste of that and they're having that material sorted in and taken. So recycling is not wish cycling. As I kind of mentioned, it's really, there are certain things that we have to process that material. We then package it and we have to market that material and five years ago, the recycling got, the quality got fairly bad because all the materials being shipped overseas and then you send them and so quality control was kind of, was not a high priority for a lot of people and then you heard of the China SWORD where they stopped taking all that material and that shifted all the focus back on quality of material and we have to market our material to suppliers. That means contamination has to be below 5%, something on that order, have equipment that sorts that material and people that have to go in and then handpick contamination out of it. And I'm hope, we do have video tours but I don't think it's as impressive as actually being up there in that facility work and we're hoping to restart those tours. And once we do, if anybody in that you're hearing is concerned what happens that material, we have them on a tour and show them first hand what comes out of the truck, how it's processed and what happens to it and where do we market it and how it goes. It's amazing to see the volume of material that goes through the resource recovery facility that gets processed. And I mean, the metal pile is one example, the waste metal is just tremendous of that volume that within a month, you can just see the tons and tons and tons of material that comes in and gets recycled. So, yeah, that's a great question and we're happy to provide that anymore detail that you'd like on that. And so I was great to get that clarification. And then the other question I had was around the composting. I know there's some members of the community who've been reaching out again and they were interested in wanting to get engaged with the city and help the city in those efforts. And so I'm wondering what the best way we could connect them to you all or how they could help with those efforts. Yeah, I would suggest they reach out to Leslie O'Malley and if you could send me the contact information, I'm happy to get it to her. Leslie's our waste reduction coordinator. She deals with waste reduction. And we do have a compost bin program. We will do a pilot food waste collection. Right now we have a five food waste drop-off in a couple of our parks and one at City Hall that people have to sign up and get some education and we're starting that. But we're hoping to do a small pilot with food waste collection residential and learn how that works. So if these people are interested, those are the people that we wanna get engaged early on on this system and see how that works. But bicycle compost, we reached out originally when that was going on to see if we could partner with that group, with the original group and it just didn't work out but we're happy to have a conversation there. All right, thank you. Vice Mayor Bruner. My, I have two questions and one of them was on the wish cycling. Thank you for addressing that. My other question, so many parts to public works and I definitely experienced many of those parts in my daily job downtown. But there's so much more, it's amazing. And in terms of budget program, moving over to the Go Santa Cruz program, what outstanding is the Go Santa Cruz program is downtown specific? Was the rideshare program, how was that different? Yeah, that before was, was basically with funded out of general fund but we shipped that over it's parking funded map parking district funded. So that's funds Go Santa Cruz to help encourage people not to drive alone downtown and park but to use alternative transportation whether it's a free bus pass, free bike lockers, those kinds of things, anything we can do to encourage people to do alternative transportation. We're gonna need all of that with our parking as you see with the development that's coming and losing public parking. But there's some positive things. We have a new parking equipment that's coming into place that will give us some flexibility on how we redesign our parking permits downtown going away from a monthly permit maybe to a more of per use permit and maybe you can buy them in bulk so we can issue more permits as well as encourage people if I don't wanna drive my car today and I wanna ride my bike I can save some money on the parking instead of all I paid for parking it's free it doesn't matter. And then also looking at a residential parking permit so that people that live downtown can have that will allow them to park overnight and if they travel out free that space up or somebody else during the day. So those are some exciting news and parking but that's not as we get ready for the next use project we're gonna take some parking out of the system so we're gonna have to have the Go Santa Cruz program and all kinds of creative ways to reduce parking during that construction time. Yeah, thank you. I appreciate it already. Any other questions from council members? You're welcome. Thanks for the opportunity. Great work. William and he will give a presentation on the Parks and Recreation budget. All right, good afternoon, mayor and city council. Share my screen here. You were there, I'm having a bit of an issue sharing my screen, would you mind? Yeah, but it's not in presentation mode. Okay, there you go. Can you guys see it? Okay, all right, we'll run with this. All right, thank you for your patience as we get started here and appreciate the time and opportunity to present our fiscal year 2022. Budget proposal, wanted to acknowledge our principal management analyst, Lindsay Park Superintendent Travis Beck and Recreation Superintendent Rachel Kauffman are waiting in the wings for any questions or detailed discussion that we might have a little bit later. So I wanted to also just acknowledge Lindsay and Travis and Rachel's work going into this budget. They've really, they've done, they and the supervisors have really built this budget. So just wanted to highlight their work and appreciate all that they've done to build this out. As a brief agenda, we'll give a short department overview. We'll highlight a couple of accomplishments from fiscal year 2021 and then briefly go through our fiscal year 2022 budget proposal. So just to start, in terms of the mission, I always like to sort of ground this in our mission here in terms of what we do to start. So I'll just read this here. It's providing environments, experiences and programs that enrich the lives of residents and build a healthy community. So everything that we do, whether it's in parks, recreation, the work, the golf course, wherever it might be driven by this mission to serve the city of Santa Cruz, residents and visitors alike. In terms of our department overview, we have a very large and diverse scope of operations within Parks and Recreation. We share this with the council and the Parks and Recreation Commission a few weeks back at a joint session. So I won't go through this in a ton of detail, but just in overview, the Parks and Recreation department maintains and provides over 1,700 acres of parks, beaches, trails, open spaces, city trees. We provide over 169,000 square feet of facility space, including venues like Civic Auditorium, London Nelson Community Center, the Santa Cruz Wharf. And Parks and Recreation develops opportunities throughout the year for residents and visitors to play, learn, engage, and socialize. As I mentioned, maintains the wharf, the golf course, the El Abigas golf course, open spaces such as Arana Gulch and Pogadep, Harvey West Pool, West Cliff, Main and Cowl Beach, all of the city's medians, so on and so forth, just a bit of a snapshot. We host a lot of iconic programs such as Santa Cruz Junior Guards, events like the Climbing Child or Cook Off in partnership with the Beach Boardwalk. And we provide opportunities and spaces throughout the city for youth, teens, seniors, and really all community members across the city. We also partner with a number of organizations that really serve as an extension of Parks and Recreation. So we partner with the Santa Cruz Museum of Natural History, Community Bridges, Method, Nueva Vista Community Center, Market Street Senior Center, and many more. And additionally, as we experienced over this last year, calendar year 2020 and really fiscal year 2021, Parks and Recreation really serves in an essential role. Over the last year, we've served in numerous capacities through the different emergencies we face. Here at the Civic Auditorium and staff serves to provide an evacuation center during the CCU fires. Civic Auditorium, as you know, is currently home of a COVID testing site, which will continue through September. Park staff worked alongside fire department personnel and water department to clear vegetation around critical infrastructure during the fires. And the recreation team, recreation platform through the pandemic and provided essential childcare services in response to the scenario that we face through the pandemic. So Parks and Recreation, I'm not even sure I was aware how much Parks and Recreation would or could really be at the forefront of those critical services through emergencies, but in many ways, Parks and Recreation was right at the forefront with our colleagues and partners at the fire department police and so forth. As a department overview briefly, one thing I guess learned from our colleagues at Economic Development and IT and Planning is we need to get professional headshots as part of our org chart here, but here's just a brief snapshot. We've got three divisions, recreation, administration and our parks division that you can see here. Again, Lindsay Bass is our principal management analyst, Travis Beck, our park superintendent and Rachel Kauffman overseas recreation. In this next section, I'll just highlight a few of the accomplishments over the last fiscal year. So we have a graphic here and I won't go through all of this, but these are a number of our fiscal year 21 accomplishments that are included in the budget packet for city council and how they align with the different priorities and principles as set by re-envisioned Santa Cruz. So how these really line up with the mission and vision of the city council. So I just wanted to highlight a couple of these. Some of these accomplishments this year were expected or unexpected as a result of the pandemic and the fires and so forth. So a couple of the key accomplishments, the golf course, De La Viega golf course had its best year in over two decades as a result of the new golf course operations plan, but also increased play during the pandemic. The department completed a number of new plans to guide our operations into the future. So the parks master plan was adopted and approved the Worf master plan, the street tree master plan and the first recreation and leisure study that we've done for the department. Accomplish those are really set the vision for the future. We've also adapted how we provide recreation and services maximize equity and maximize accessibility for our community members. So I alluded to this a little bit earlier, but we worked with community bridges on the senior center without walls program. We launched a virtual recreation platform and distributed nearly $30,000 in scholarships for low income families over the past year. We'll talk about capital improvement. Just a little bit later this afternoon, with really all of these departments, but a quick highlight on some of these accomplishments here. Let's see, parks recreation completed renovations to the town clock. This was just a month or so ago and we'll also complete improvements to the central park playground, but new playground over central park with funding through the community development block grant program, the CDBG program. And so we'll talk about capital improvement a little bit later, but I think some of these accomplishments while we're very proud of these this year are pretty minor in comparison with some of the major needs we have across the department. So we'll talk about that just a bit later. Two of you, one moment. I will talk about the fiscal year 2022 budget. So just to kind of turn us off here, as we looked at the budget, we prioritized the guiding principles set by ReInvision Santa Cruz. We aim to ensure that we continue to provide essential services that we prioritize equity and wellbeing. Prioritize an engaged community and continue our efforts in sustainability and the green economy. Over the past year, we have seen that the demand for parks and open spaces and outdoor spaces generally has been higher than ever. As we head towards fiscal year 2022, just from a strategy standpoint, we see it as being critical to rehire for many of the positions that have been vacant over the past year that have contributed to the closure of a lot of our city parks. So in order to open those parks, make sure they're safe and accessible, really prioritizing our ability to rehire staff going into 2022. Our proposal with that said during the context of the city's structural deficit. So we wanna make sure that we are effective stewards of our budget. So you will see that some of our strategies we're budgeting on the margins and ensuring that the reduction proposals that we are putting forth are really strategic. So we wanna making reductions or proposed reductions heading into fiscal year 2022 in a way that allows us to build back better or recover and be more sustainable moving into the future. If you recall from our meeting a few weeks ago with the Parks and Recreation Commission, we have a long way to go. So currently, let's see on the next slide, I'll talk about our number of FTEs, but we have about 82 or 83 FTEs. And really the target to provide a baseline level of service for Parks and Recreation is about 101 FTEs and a consistent four to $6 million annual investment in capital improvement. So again, currently we're about 20 FTEs off of that mark and about $4 to $6 million off of the capital investment. So we've got a lot of steps we need to take to get to that point. We'll talk about that a little bit more. So last thing I'll say is that as we go into the next couple of slides here on our budget proposal, I just wanted to be sure to mention that in May the Parks and Recreation Commission approved their affirmative recommendation or support of the department budget, but one item that they specifically called out, and this was similar to our joint session that we had a few weeks ago. The commission wants the department to look at the potential to bring back a park ranger program within the city. As you know, that was cut last year through the police department budget, but that's something that our commission feels strongly that is critical for staff safety, public safety, and the success of the department moving forward. So they want us to and the council to consider that and for us as department staff to look at that in coordination with the police department in the coming years. All right, so here we go. In terms of our budget proposal for fiscal year 22, I'm looking at the table on the right-hand side of the screen here. So our proposed budget is approximately 16.3 million. Our revenue budget is almost 4.2 million. In terms of the kind of the ratio of the breakdown here, personnel, as you can see, is a little bit over 10 million. So that represents about 64% of our entire budget is built on staff costs, personnel costs. In terms of cost recovery, so the 4 million versus 16 million roughly, our total cost recovery is 28.9%, which is right on par with the, with an app. The proposed reduction that you see here, again highlighted on the right-hand side of the page, our proposed reduction is 617,171, and that really comes from a few area that we'll talk about here in the next few slides. The last thing I just wanted to call attention to is the regular staff FTE, the full-time equivalent, number on the bottom. We have 83 and three quarters currently, but through our budget reduction proposal here, we would actually reduce that to 82.5. These are vacant positions. These are not filled positions. And again, we'll talk about that in these next couple slides here. In terms of the potential reduction, the first strategy that we've taken, and let me kind of contextualize this a little bit, looking at fiscal year 21, the majority of the cuts that we made within Parks and Recreation were one-time cuts. So in part, the rationale behind putting four structural cuts for this year is due in part to the fact that most of our cuts last year were one-time. So by offering $617,000 in proposed cuts this year, although it's very painful, that really gets us on par with the percentage of budget reductions that virtually every other department across the city made over the last year in terms of it, it creates parity, a little bit of parity among other departments. Two, really what's behind this budget reduction are a few different factors. So number one, we aimed to, and this is kind of in the blue color, we aimed to budget on the margins. So we carry a fair amount of budget for a variety of things, including camp cleanups in our open spaces to holding budget to pay umpires and referees, to hanging on the budget to pay class instructors for different classes that we offer through recreation. So rather than hanging on to that budget and budget, we are what we're calling budgeting on the margins, which is letting go of that excess. And if we need it, we would then come back to the city council to request additional appropriation for funds to, for example, hire umpires or referees. But what that would mean is that we would be asking for additional funds, but with the expectation that there would be revenue to match that coming back in. The second big piece, service elimination. So this is in the orange. We've got recreation events that we are proposing to really reduce. And I'll talk about that a little bit more. Our FOPAR, Friends of Parks and Recreation Scholarship, we would cut that amount. I could talk about that as well. Community parks, we would not have staff dedicated to in-house construction work. So it would be an elimination of a vacant construction specialist position. And then the third piece, the service reductions. I'm sorry, this is actually the blue section, 46% that you see. The civic auditorium, we would scale back on operations of the civic. We would have much more limited operations of the civic. In our open space, reduced levy maintenance in-camp cleanup budget. And then in urban forestry, we would reduce our tree work in the wildland urban interface areas. And happy to discuss that more in the next slides. All right, so drilling down into detail in terms of these budget reductions. So in terms of recreation events, we support events such as Woody's on the Wharf, a low-off Polynesian festival, Japanese cultural fair. And so in our proposed reductions, we would propose making cuts to the support that we offer to these groups. This is not a judgment call on the value or the importance of these events to the community, but simply needing and facing structural deficits across the city where we think we can make cuts, but still work with our partners. So for example, Woody's on the Wharf, even in the case where we reduce budget to pay for things like tents and tables and supplies and so forth, we still wanna work with them. We hope that event runs. We wanna support it. And so we could help in terms of generating sponsorship or finding alternative ways to generate revenue to help run that event. But roughly, just as an example, Woody's on the Wharf Cost to Department, roughly about $20,000 a year to help support Woody's on the Wharf. So it's a high dollar amount, but a very important event to the community, certainly that we hope will continue to run. So let's see, on the next item, the Civic Auditorium. What we would propose on the Civic Auditorium and the way of cuts, we would reduce some temporary staff and make a number of other cuts to the Civic Auditorium. This would allow us to continue to operate and work with the Santa Cruz Symphony to allow the Symphony a home, and then also Cabrillo Festival. Beyond that, community events ranging from Santa Cruz Follies to the Roller Derby to the Martin Luther King Jr. event. All of those, we're not entirely certain that we will, well, I would say that we won't be able to support those in the way that we have historically. It's not to say that those can't run, but the way that those events will have to be dramatically scaled back. Even meeting space, the Tony Hill Room and so forth over at the Civic Auditorium, these proposed reductions would mean that for a meeting organizer wanting to set up in the Tony Hill Room, that they would take on the setup and the organization of that that our staff would not be able to do so. The Symphony would remain, Cabrillo Festival would remain beyond that. We would have very limited capacity to support other events at the Civic Auditorium. The one piece I do want to mention on the Civic is the context in recommending this particular cut. And again, this is not a judgment on the value of the Civic Auditorium, but we want to approach the Civic Auditorium moving forward. We have the golf course in developing a business model that's sustainable. So currently at the Civic, just rough numbers. The Civic costs the city about a million dollars per year to operate. And the Civic brings in roughly a half million dollars in revenue. So the city and historically has subsidized the Civic Auditorium roughly a half million dollars per year. And so part of making these reductions now, it's an opportunity for us to sort of recalibrate, develop a better business model, and then reopen or rebuild the Civic Auditorium in the coming years under a more sustainable business plan. In terms of the strategic shifts in recreation, again, some of the cuts that we are proposing here are strategic in nature so that we have the opportunity, hopefully to reorganize a bit within the department and make sure that we allocate resources to our most critical functional areas. So we want to make sure that we're providing support to our youth and teen services and programs and the sports and beaches of things like junior guards, little leagues, adult softball. Those also have a really high cost recovery in those, at least in the sports and beaches area. So again, I want to make sure that we prioritize those core areas by reorganizing. The recreation and leisure studies that I mentioned earlier also is a guiding document on how programs we offer and what their cost recovery needs to be and how we balance the services to make sure that our programs are affordable and equitable, but also sustainable as we move into the future. The budget reductions, the implications to the parks division, I mentioned that the construction space would be a position that would be eliminated. It's currently a vacant position. So small construction projects we would contract out or in some cases, projects may be left undone in the near term with that vacancy. We would have less funding in parks for temp staff across the division. And then we're not cutting, we're not proposing to cut tire camp cleanup or hazard tree work budgets, but specifically to camp cleanup, our budget has increased actually over the past couple of years to upwards of $150,000. So we put a proposed reduction and they're actually to reduce that budget down to approximately $1,000 for camp cleanup. So our hope is that the cities camping ordinance in part will lend to hopefully our ability to not have to invest as much into camp cleanups in our open spaces, but also as it relates to wild land urban interface work or camp cleanups, there is grant money available that we've successfully been able to capture to appropriate toward those needs as they arise. So a little bit of context on the on the parks implications there. Let's come back next on these budget reductions. It's not a fun conversation certainly to be proposing budget reductions here again through our budget process. But again, as I mentioned, given the majority of our fiscal year 21 reductions were one time, we're proposing again, approximately 620,000 in structural reductions in the fiscal year 2022 budget by many of those one-time cuts. But we want to do this and kind of looking at the graphic, these cuts that we're making are really in the spirit and the context of what is shown in the, I'm going to call it a sunrise here, fiscal sustainability, downtown business revitalization and infrastructure. So we want to make sure that these cuts we make are strategic and allow us to build back into the future. Presently, the number of vacant positions that we have created by the fiscal year 21 hiring freeze and early retirement mean that we have greater flexibility now to make structural reductions. And so if we delay potential reductions to a later year, 23 or 24, there's a risk that positions filled might need to be cut at worst or positions would have to remain vacant into the future. And so for example, specifically on that our parks division has had approximately eight vacant positions over the past year, which represents roughly 30% of our park maintenance division. So this is why places like Lower De La Viega Park, Laurel Park, George Washington Grove have been closed. We just haven't had the staff to maintain it. So part of what we're proposing here in terms of these reductions would allow us the opportunity we hope to rehire staff into those parks positions where community demand lies. Our community saying reopen the parks, reopen the parks. We've seen that use demand increase. And so part of these reductions really lend to an opportunity to reorganize a bit, especially within recreation, but give us the opportunity to rehire specifically within parks. So just to kind of round this out, the Parks and Recreation Department is really committed to maximizing our efficiency, diversifying our revenues and optimizing our fiscal sustainability. So we have a lot of opportunity, as we talked about here, to increase our cost recovery. But with that said, we want to make sure that our programs and services are affordable and accessible and equitable. And so we're going to continue to really aggressively pursue grants, work with FOPAR, our Parks Foundation, to develop philanthropic support and so on and so forth. But with that said, those efforts internally, that takes time and we're going to build those over the next year and two years and three years to be more efficient. But the revenue, revenue is critically important for our department as well. So as the city considers potential ballot measure, a ballot measure from the department would be extremely critical in helping us into the future and even a future bond measure. And that will kind of lead into the CIP conversation. We'll have a little bit later this afternoon, but those things are critical as we really strive toward getting the resources we need to really get to a baseline level of maintaining and operating the park system here in Santa Cruz. So with that said, thank you for your time and appreciate it. Again, Travis, Rachel and Lindy are waiting in the wings for any questions that you all might have. Thank you, Tony. Are there questions from council members at this point? Council member Brown and then council member Cummings. Thank you, Tony, for the report and to everyone in Parks and Rec for all you do. I got most of my questions answered when we met previously. So I don't have a whole bunch, but I was wondering if you could talk a little bit more about your thoughts on how the increase or rehiring in parks maintenance will kind of help address some of the need in the parks. But then you also mentioned that there's safety issues and really bringing the park rangers back, which isn't happening this year, but certainly is something that the community has said they want and you know the value and kind of we all know the value. So if you could just talk a little bit about how you see that looking here, we have clearly our parks are experiencing a lot of impact from a lot of different types of users. And I worry about the challenges of trash, dealing with trash and dealing with kind of the waste management questions as people are dispersed out into the community further as they with the new camping standards ordinance. So I guess I'm just trying to like understand how you see yourself, your department being positioned to deal with some of those challenges ongoing and potentially increasing in different areas with the additional staffing that you might be able to get. Like how many of the eight do you think you can hire back? I guess the really concrete question and then this little bit you're thinking on that. Yeah, yeah, thank you. Yeah, of those eight, we're hopeful to rehire seven of those positions. The one exception would be the construction specialist, which we included with our budget reduction submittal here before the council. So our hope is to hire the other seven. That's going to take some time certainly over the summer to get all those folks on board. So, but getting those people on board would mean that we can reopen parks and some of the parks we're going to reopen and we'll be able to kind of shift people around and reopen sooner. So for example, lower day law, we will plan to open in mid-June. But George Washington Grove, Laurel Park, we're still very limited on our ability to reopen those until we get new staff. A few different things here. So temp staff are really important, especially in the summertime. That is an area that we have proposed making some cuts in general on our temp staff. But we are also looking to increase our volunteer program and efforts. So we've started to really build out our adopt apart program. In some cases that adds a bit more work, but we're trying to really streamline that and refine it to leverage volunteers successfully and efficiently. And then we're talking in a longer term in terms of the green economy and green jobs for opportunities to work with the community, with students, with partners. For example, a downtown streets team, ideas like an apprenticeship type of program, but how do we build a workforce that can lead into park maintenance? Get extra hands to support. So that's, we don't have any concrete details on that, but we want to really help build a pipeline because the work that we do in Parks and Recreation, it is the green economy. And so I think there's a lot of opportunity to build that pipeline to get new people in over time. So that's a bit of that strategy. And I know Travis is out there somewhere. If there's any other details, I would welcome Travis to weigh in on that as well. Question. We are planning on rehiring those full-time positions. We're also coming off of the furlough. I think the piece of the question though is related to Tony's earlier comment, that really to maintain the park system at the level we would like to, even additional staff are needed. So refilling our vacant positions, coming off of the furlough, hiring temps as we are able to, will bring us back to more of that basic level of service where we are keeping up with the refuse. We're doing the safety inspections, the basic maintenance, turf care, et cetera. But to really do some of the enhancements that we would like in Parks is a project for down the road and hopefully additional staff we can bring on. Thank you. I really appreciate hearing from you and all of your thinking that's going into this. And so it sounds like things are gonna get a little better. You've all been hit so hard and so it sounds like a little bit better and there's still a lot of work to do to get you back to, or get you to off. Okay, thanks. Thank you. Tad, two step out. So I will call the next question is council member Cummings. Vice mayor, what could you all do in the presentation that was provided? And I really appreciate you pointing out, trying to address the kind of expense to revenue generation ratio at the Civic Center. And I mean, it looks like, there's an amazing job that was done with the golf course and the pandemic definitely influenced that a bit to encourage more people to get out of golfing. But I think that it does go to show though that if we can maybe figure out how to optimize use of the Civic to really have this match the revenue generated there's a real opportunity that it could cut costs in that way and to make up for that deficit. The question I had was, the discussion around cuts and kind of reorganizing to improve cost recovery. And to council member Brown's point, big part of that is focusing on getting these positions, refilling these positions for like, which is really critical to get people in the parks who really need to have maintenance and upkeep. I guess where do you kind of envision what programs would get cut and then what would be like a timeline for seeing those come forward? And kind of tied to that is whether or not there's potential for kind of public-private partnerships to help keep those programs running. Yeah, thank you, council member Cummings. I'd like to invite Rachel Kaufman, our rec superintendent to weigh in on that in terms of timing and kind of what the details might look like at a high level. What I would say is similar to what I shared in the presentation, we want to make sure to match up our staff resources where the highest need and demands are from the community in terms of our core services. And also consider that in terms of cost recovery. So anyway, I'll send it over to Rachel to kind of speak to some of our strategy behind that discussion. Sure, thank you, Tony. As far as recreational programs that we're looking at eliminating or reducing, again, that's strong events side. So it's reducing support to what is on the war of Japanese cultural fair and then eliminating some positions in, I mean, some events support entirely like the Aloha Festival. And again, we're just shifting gears to some of these core program areas where we see and have seen a heavy demand throughout COVID, which is our youth programming, the childcare was a big program and a huge demand at our summer camps. We're increasing to get requests and demands to continue to provide those services and into the future, providing more kind of childcare options for parents next summer. Trying to shore up those program areas to be able to support the need in the community. And then also seeing just a huge need in our sports programs. Beach permits have rocketed way up with people wanting to use the beach and beach volleyball. So these are areas with good cost recovery that we have high demand. So that's why we are kind of moving resources to those two areas. Hoping that the events can run, we are still going to support them in sort of non-financial direct needs like Tony mentioned, ways we support them now are things like, Alexis' party rentals, DJ costs, security, these direct financial support that we offer, but we will continue to support in numerous other ways. For example, we provide storage year round for Japanese cultural fair. We'll provide support PD, provide support to what is on the war with the parade off the war. The war staff provides support with refuse and staff and so forth and parking. There's numerous ways we as a city support that event, we'll continue to do so, but just reduction in the event services. So I hope that answers your questions on basic programs. And then with the civic, I'll just say that with events, blueprint guidance just came out on Friday. So we just continue to pivot to know what our program will even be next year. So we're digesting that right now. It just came out on Friday and what we'll be able to offer in terms of events. I will say we have the staffing that is creative and resourceful as a civic to do so. I have every confidence in our supervisor, Jessie Bond and her team that we are gonna work together to figure out what events that we can run in a alternate business model. And it really will be on an event by event basis just to see what staffing support we can provide, how we can have a different modified way of supporting events to make them happen. Thanks. And then I guess the last question is in terms of parks use and I know we've been getting some inquiries. I've been sending them over to the Parks and Rec Director but there's, for example, a group that's interested in bringing rugby to Santa Cruz and wanting to do a public-private partnership where they can use a field and hopefully they can back it up, generates some money for some revenue for the parks. I'm just wondering if that potential and could that be expanded to other groups they may wanna use fields and also that their private people were interested in kind of supporting that through financial donations. Yeah, I think that's a great question. So yes, I mean, we would welcome rugby leagues or really any virtually any interest that the community has in using our parks. It's an opportunity for recreation and to get people out especially after the pandemic. It's right at the core of our mission to provide these spaces for public engagement and use. But it's also from a number standpoint, a revenue generator for the department and helps us sustain these places. So yeah, we would definitely welcome new groups in terms of pulling out new amenities or developing new fields or assets. We're likely not in that window right now for that opportunity to build new but as far as our existing assets, fields or facilities or whatever it might be, we certainly welcome, you know, really all use. Again, a number of perspectives but it's at the core of our mission and a little bit of a kind of a riff off of that. We have a lot of uses happening in our parks on an ongoing basis that we aren't necessarily aware of or that may not be permitted. And so that's another area that we want to work with these groups, you know, not to squash them or anything but to work with them to make sure that these events are safe, you know, permitted appropriately and accessible to the broader community. In a lot of cases, we'll have, you know, big pop-up events will occur. They'll have a major impact on trash or traffic or whatever it might be. And we had no idea that was even occurring. So if we can get a hold on a lot of that activity that happens sort of, it are, that alone would help us generate revenue and would create more opportunities. I think for the broader community, you know, in a more public sort of way. Yeah, and I'm wondering, maybe we can talk offline about it, but if there's ways that we can do like, you know, outreach to different groups throughout the community to really showcase, you know, use, but if you want to throw an event, like hear the impacts that that can have and we really want to, you know, and the permits that you pay for, it really goes to help support us keeping these open spaces. And so I think like just educating the public on like, you know, here's where you, you know, when you pay for that permit, here's how your dollars are spent around maintenance and cleanup, you know, that maybe that people hit people home and they'll be more willing to, you know, not only support, you know, by just getting the permits, but even potentially donating to the parks, you know, program. Yeah, that sounds great. Yeah, I could keep going on that. But yeah, I think the partnerships are a huge opportunity that kind of connects into that philanthropic element or the grant element. So the pickleball community has offered funding to help build pickleball, or we can engage with our community and be aligned on those opportunities. It does help us start to address some of these issues that we face with capacity and limited resources. Thank you, and thank you, Vice Mayor. Thank you. Are there any other council questions? I'll cue myself in there then. I was wondering if the De La Vega Golf Course included the Disc Golf Course? In terms of revenue or? As part of your, yes, revenue, maintenance. Yes, the short answer is yes. The largely managed by our partners the De La Vega Disc Golf Club and we work with them unit as our golf course. I see, okay. I'm glad that the other questions came up because with the budget it's so much built in that it's so necessary and yet it seems like the hardest hit industry during COVID and this past year has been arts and culture events and those artists and venues are struggling to come out of probably the worst year ever. So, you know, the Aloha Festival, Japanese Cultural Fair, the Civic Auditorium that all falls into our arts and culture and any way we can, you know, direct funding to continue to support those areas are often the first to get cut. I think is very, very crucial, you know, along with the programming and childcare and sports, I get it, there's a limited pot but it's a different kind of community need to have those. It's not a, it's not the same, it's the same impact, maybe a one time event but I just want to emphasize of really limiting cuts to our amazing arts and culture programs and support and venue are civic. Yeah, if I may just respond to that. I, you know, when we had, before the stimulus came in, we had certainly a higher target in terms of our reduction number and we went through a process internally and I think that departments did in terms of what those greater reductions would mean and we were just at a very lean, a very lean moment in time in terms of Parks and Recreation. So as we went through that and even at this point where the reduction is roughly half of what we had put together a couple months ago, we're still so lean that any cuts we make are very visible and very impactful. So whether it's a cut to, you know, the community center or the civic or to events or, you know, keeping parks closed for the next year or beyond, you know, that's kind of the level where we are in terms of, you know, no with easy and, you know, other than the sort of budgeting on the margins that we talked about, there's just not, there's not a whole lot of room, you know, to make those cuts. So whatever they were, they were gonna be impactful and very visible and, you know, again credit to the team because they went through this exercise of plastic cuts. Fortunately, we've not had to put those forward, but yeah, the exercise has been certainly pretty brutal, you know, in the context of being pretty lean. Thank you. Council Member Watkins. Thank you, Vice Mayor, and thank you, Tony. And I think happy birthday. Am I right? Oh, it's the same. That's right. I love it. Thank you for being here with us on your birthday. I just had a, I don't know if this is something that's ever been done, but, you know, you see in different, you know, I'm kind of thinking about like different zoos or other types of private places where you have sponsored areas by philanthropic dollars. So it could be like the so-and-so family business or whatever it may be. And I'm wondering if that's something that a parks department has either explored or, you know, could explore in terms of having, you know, private donors help really sustain some of these really incredible assets, not only assets and events potentially and kind of drawing on some of those community resources as well. The answer, yes, absolutely. We've got a sponsorship policy and development. We have kind of an old sponsorship program, if you will, but we're updating that. And that would fit in really well in that realm. Also, this is a big goal of ours for our friends group, our Parks Foundation at FOPAR. They really, at least my hope for FOPAR is that they can pivot to not just be an agency to give out scholarships every year. I think that's an important put, but I think that the opportunity is there for them to also raise capital dollars. I have challenged them to raise a million dollars per year for capital investment. So they're starting to dial in, you know, what are those specific needs? We're working together to do that. But I think there's huge opportunity, I think, as a tourism town, but also I think there's a unique aspect about Santa Cruz where I'm not even sure how to articulate it, but there's just this love and connection to the community where people want to be involved, I think, in that type of way. So I think there's a lot of opportunity and that's something that we hope to build on heading into this new year. Thank you. Thank you so much, Tony, for all your work and you and your whole entire department. Thank you so much. Thank you. Okay, so we will move on. I will now call on Martine Bernal, city manager to give a presentation on the capital improvement program. Okay, thank you. I'm actually going to introduce the presenter for you today. So next is the capital improvement program, which is from all the various departments and we're going to have Lupita Alamos, our budget manager to do that presentation for you and then we're happy to answer any questions you may have. So without further ado, here is Lupita. Thank you. Thank you, Martine. Good afternoon, vice mayor and council members. Today we'll be ending the public hearings and discussing the capital investment program. The capital investment program stands from fiscal year 2022 to 2026. So mainly today you'll hear the projects that are created in fiscal year 22. We'll go top priority projects and then we'll turn it over for each department to present their own projects and we'll pause in between or ask to support a formal housing project. In fiscal year 22, 5.6 million to defer a lot of CIT projects in particular those, as you can see here in the charts, the majority of the list at 241.9 million and a large component of that is the active transportation plan. And if the council would like to review the list of all of those unsfunded projects, you can find them on page 230 of the budget book. We won't go into those in detail, but really demonstrating here a significant need for a capital program, whether it was grant related or some other, whether it was located in downtown or any other business sector. And we also asked about infrastructure questions about the asset or the project mandated to invest or replace. We asked about the maintenance value of the project or the asset longevity and obviously project readiness and we've heard a lot that we have set aside. Talk about our unsfunded list right after this or that's gonna be later. Most significant unfunded projects that are on this list are really those projects that have already been included in the capital improvement program for a number of years, but the funding for the next fiscal year keep getting pushed out. And so I'll go through those projects. We didn't go all the way back to the $300,000 or $300 million worth of unfunded projects that are on that much larger list. The Pogonet Creek Segmentation Removal Project, one where we have done some temporary work to reduce flooding of the Harvey West area, but we need to go in and actually create a new channel and the estimate for that work is 250,000. If we don't do the work potentially, we will exasperate the funding or flooding of Pogonet Creek towards Harvey West. We're also essentially in a code enforcement action against one of the property owners on the other side and the work that we do will affect the outcome there. The Chestnut Street storm drain and paving rehabilitation, the storm drain rehabilitation is 875,000. That's what it's estimated at. And it's based on the storm drain that has collapsed in three locations and collapsed in others as time goes on. It's luckily I think in the parking area so it doesn't get the impact loading from moving traffic or from the railroad, but it is important that we repair this as possible. The paving component is included in our paving program and that's approximately a million dollars, but we don't wanna pave the street until we can storm drain. We are looking for grant funding and we potentially have a source for some of it. We'll know more in the next two or three months. The Warfgate parking equipment replacement, 450,000 is really one that's very important. We currently generate 1.2 to 1.4 million in general fund revenue from the war for parking or at least pre-COVID, that's what it was. It's lower right now. And the equipment that's out there is no longer supported by the vendor. The vendor went out of business. They were the same vendor that were supporting the parking garages downtown that have equipment. And we've bought all the spare parts that we can from the vendor, but we're running out of spare parts. The downtown garages, they're all getting replaced. We've already placed one of them and working on the remaining two. What happens if the equipment falls apart? But we're waiting to see if we can fund this. Is that essentially we will have to spend more money using staff to collect revenue and potentially have to allow for the free use of parking. We're hoping to increase the parking rate or if in the near future, but that does require a coastal permit to do so. So I'll have more information on that again in the coming year. West Cliff Drive stabilization, that project is estimated at half a million dollars. And this is to repair the revetments that are currently or have been displaced in the last few years affecting the pathway. And so there are two locations that would be repaired with this money near David Way and Woodrow, and then also another location closer to Woodrow. And the path is impacted and you'll can see that out there with a number of barricades that we have to maintain. Ongoing, wave action, et cetera, will affect these locations and potentially will create additional damage while grants may be possible. Public work staff hasn't seen any that fit this kind of situation in a number of years. The City Hall parking lot repairs, this is to repair and reconstruct the parking lot behind Parks and Rec. That is employee parking during the day and then when City Hall is closed, it's often used for the civic or other events in the area. It is down to the base rock in a number of locations where we have pothole, tripping hazards and localized flooding. And it'd be really important to repair this if it's gonna continue to be used. Public facilities, energy savings, and maintenance. This is the bare minimum that's needed to help us patch a number together as we move forward and is a sign of deferred maintenance over many years. As I believe Mark said, we maintain about 28 buildings and this would help us with fixing leaking roofs, water lines that break, et cetera. The energy saving component, we've been successful in getting loans and grants essentially to replace HVAC systems, et cetera, that the energy savings or future cost of energy that we're saving is used to fund the project. So for instance, we just awarded a contract in the civic to replace the boiler and also at the RV West pool to replace some pumps. Those are the projects from the unfunded list that we're proposing to get funded in this initial offering, I'll call it. To more of really the bigger part of the CIP that we have the five-year plan before you includes over 100 projects at a cost of about $156 million and a third of it, which is they're funded by grants or future grants or fees. Many of the projects are multi-year efforts. I did provide to you, or at least Bonnie did, essentially two spreadsheets, very small print of all these projects, which is a summary of what's in the capital improvement program as well as a memo that explains how do you read the capital improvement program and what is a capital improvement program or a capital investment program? For a number of years, we call it capital improvement program. It's pretty hard for me to remember to change that even though it's been about three or four years. The public works part of it manages 10 CIP categories, gas tax, arterial streets and roads. The general CIP, which is funded and the general CIP citywide, which are funded through the general fund, but also through a variety of other funds, mostly grant funding, waste water, enterprise, stormwater overlay, which is an enterprise and the city clean beaches and rivers, which is enterprise, refuse as well parking, which is the downtown parking district and is funded through fees and revenues from the parking district. There are a number of funding sources that are outlined in the CIP, including gas tax, SB1, grants, traffic impact fees, general fund, measures D, H and E, waste water rates, the petition district, which pays for their share of the improvements to the waste water treatment plant, stormwater rates, refuse rates on the downtown parking district, deficiency fees or in lieu fees, parking permits and garage and meter fees. The transportation public mission discussed the CIP in March and their recommendation was that the council approve the fiscal year 2226 CIP with the comment that city council review the city hall parking lot repairs project and considered discouraging driving by making all parking lots in the city limits, paid parking lots to better align with the city climate action goals. You know, it's obviously not enough time to go through all the projects that we're doing. So what I'm providing to you is the significant ones that we're working on. We're working on a number of other smaller projects that will under the next coming year or two, but these are the larger ones that we're working on. So the Murray Street Bridge Seismic Retrofit, we're working through the right-of-way process and once that's done, we'll hopefully be able to finalize the design and get the project out to good. State Route 19 intersection improvements are under construction and there's been some activity out there recently. Downtown Interstate Way left turn lane improvements on Front Street is in the design process. Some of the new development downtown will be designing and actually constructing some of the improvements. West Cliff Drive storm damage at Chico. This is a FEMA funded storm damage project from 2017 and the design is complete. We're out getting permits for the project. The RailTrail Segment 7 phase two, I think as Mark had noted, we have recently received construction funding through the ATP program, Active Transportation Program. And we hope to be under construction in the next fiscal year. The RailTrail Segment's eight and nine, which is a center section out to 17th, which is a cooperative program with the county, Public Works and RTC. The design and environmental review effort has been initiated and there may be the chance that we can actually get a 20 plus million dollar construction grant soon for that product. Trevathan Storm Drain and Sewer. The storm drain is one that we've had difficulty funding over the years affects a number of flooding or number of garages and front yards, et cetera, but we'll be moving forward on that project this year. The City or Arterial Collector and Residential Street, we have awarded a number of projects, two projects. So you'll see more activity as the contractor mobilizes this coming month, both on the Arterial Street and some of the residential areas. Pump station modifications. This is in a wastewater pump station, the Carbonara area awarded and that construction will be starting soon. The San Lorenzo River Culver, which I'm sure you've heard a lot about will be coming to you soon to award the construct, award the contract for construction of that project. The San Lorenzo River Lighting, which is a grant funded product from Water to Highway One, the Commission, the Transportation Public Works Commission recently approved it becoming a council in June for authorization to advertise the project. Every year we do a number of the sewer system improvements where we line the collection, sewer, sanitary sewer collection system. We spend at least $600,000 a year and we usually line about miles worth of the sewer lines in the city. And we have a lot of work going on at the wastewater treatment facility, replacing major equipment, doing a big upgrade on the electrical system, which is about a $14 million project. And then we're upgrading digester and some other equipment at the plant. And then the resource recovery facility, landfill cell 3B has just been awarded this week and anticipate that the project will start construction probably in July. This, all these projects are large, the smallest one is probably a half a million going up to, like I said, $14 million. I think that concludes my part of the presentation. Do you have any questions? Great, are there any questions from council members? We have one council member coming. Thanks for that presentation. And sad we don't have all the money we would like to have to make all these improvements happen, but hopefully eventually we'll get to, I did have a question. I know that the Civic Center roof replacement has been a pretty big item. And there's, you know, cascading effects if you have, you know, a leaky roof and then what that can result in in terms of damage to, you know, building. And so I was just wondering, I didn't think I saw it on there, but I'm just wondering in terms of, I know that's been on the list for a pretty long time. So I'm just kind of curious that and kind of what's being done, you know, in the meantime, if that, you know, if we're not going to be able to replace the roof anytime soon. Yeah, so that is on the unfunded list. It's a parks facility, but Public Works operation staff is working closely with them on that whole roof replacement. Again, it is maintenance and not uncommon with many of our facilities. Tony may have more to add to that. Yeah, that's right on. Thanks, Chris. We do have it listed on the CIP priorities that are before the council. The figure is 420,000 for the Civic Roof Repair. This is, I'll talk about this a little bit more during our Parks and Rec portion, but we may have an opportunity in partnership with Public Works through an energy efficiency program to get this covered. But for now, we do have this before the council for consideration as part of the CIP top 10, top nine, if you will. And another thing that I did forget to mention is, you know, we have submitted some of these projects for stimulus funding once that, and if that happens. So hopefully that'll be another avenue that we will be able to fund some of these projects. Thank you. Thank you. Are there any other questions from council members? Thank you so much, Chris Schneider. You're welcome. Lupita, do you want to introduce the next item? Yes, next we have Parks and Recreation. Can we present it? Thank you. I don't think I've actually seen this photo. This is cool. Thank you. All right. Yeah, Lupita, thanks for just jumping right in there. Appreciate it. All right, this is one of the start in terms of our capital improvement summary by just briefly covering our capital improvement funds come from. So as far as the budget discussions over the past couple of days, really what we're talking about is of course the general fund as a source for capital improvement. This is an area where we really haven't received funds as a department in about 10 years for investment in CIP. However, we do have some other sources. And so these come up from time to time by community and the general public. So we have our park facilities tax in Quimby, which is very similar. That's basically an impact fee, $3 per square foot. That goes through our planning department or our building permit process as an impact fee that we're able to capture to appropriate toward who amenities across the park system. So we've got a little bit of funding in our park facilities tax in Quimby, as you can see in terms of annual revenues, but it is a small fraction and it's really limited in how we can spend it. It's not aimed at maintenance. It's really aimed at replacing or adding new amenities. So we're really limited to that stream. In our operations presentation, I mentioned our pursuit of grants. So that's probably our largest source of capital improvement investment through grants. And we're also trying to build out our philanthropic support. I have on here, we have an opportunity that came from a dollar amount that we received from PG&E as a result of an easement over on the east side near Frederick Street Park. So there is some funding in the city public trust fund that we are proposing for appropriation towards some of our emergency capital improvement work. I'll talk about that on a next slide here. So as I just mentioned under public works presentation, the civic roof is in desperate need of repair. The cost there is about $420,000. Again, this is on that top nine list in terms of capital needs. This is really an emergency need. We have leaks already in the civic roof. So it's become a really critical. We are looking at an opportunity to fund this through an energy efficiency program, as I mentioned. So we're hopeful to see the numbers work out on that. It's not quite on bill financing, but it's a similar kind of approach. So working with public works to hopefully do that. But for now, up for the council's consideration for capital budget appropriation. Similarly, oh, I'm sorry. Thanks. Similarly, the Harvey West ball field lighting. This is another really an emergency item. This is one of those items within parks and recreation that is never a fun item to spend money on. It's expensive, but it's a big need. The lighting at Harvey West is inefficient lighting and we worry about the structures over time. So the lighting at just at Harvey West is approximately $900,000. So we have proposed in our budget $320,000 from the general fund and then 580,000, the city public trust fund. So a combination of sources to get the Harvey West ball field lighting complete. This is another opportunity that perhaps we could fund through the energy efficiency program through SiteLogic and partnership with Public Works. But again, for now, we've kept this on the request list for funding for the city council. All right, next slide, thanks. As a five year capital improvement, our unfunded projects list totals about 12 million. Overall, our deferred maintenance or unfunded capital improvement across parks and recreation, approximately 100 million. But these are the critical or the most critical unfunded projects over the next five years total, just shy of 12 million. On this slide, we've got another, this is really the sort of aggregation, if you will, of a number of capital improvement projects will fund through primarily Quimby and park facilities tax or that we would propose funding in the upcoming fiscal year 22. And in those that are existing. So on the existing, you can see Samarons of park redesign, Harvey West pool feasibility study that we talked about with city council last budget year and new restrooms on beach street the main beach. And then a number of new projects, several of these are funded or would be funded with Quimby and or park tax, but some include CDBG funding and or capital improvement dollars such as Harvey West ball pit lighting. So just a quick summary of the overall capital improvement projects that we'll be looking at for fiscal year 22 of a breakdown of what we have proposed in terms of CIP. As you can see the Quimby breakdown, Quimby must be appropriated by geographic district. So you can see the proposed allocation by at least in two of our four geographic zones, the proposed appropriation of park, CDBG, the general fund would be the Harvey West ball field lighting and then the remainder would be the city public trust fund to cover the ball field lighting to get us to 900,000 total. And then this slide owes, you can see up at the top if we can move forward with the site logic project portfolio. This is that energy efficiency program. This is how the breakdown would be appropriated. So we would still allocate a significant chunk of part tax, CDBG and Quimby, but the city public trust would be less. However, we would and we've recommended an appropriation of 400,000 from the PG&E fund through the public trust to help us buy down the cost of the site logic energy efficiency program. So this will come back to council if we can move forward with this. This is kind of a lot of detail and it dovetails with a number of other projects and public work. So we would bring this back to the council, but the purpose of this slide is simply to show that if we can move forward with an energy efficiency program, we could reduce the impact on the general fund for the CIP request. And this is somewhat self-explanatory here. We've got again approximately $100 million in unmet needs, capital improvement unfunded or across the department. And then again, the sources of funding that we have between Quimby and part tax are limited and both in terms of use, but in terms of amount. But again, general fund is an area where we really need commitment over time, really in the ballpark of four to six million per year in a really kind of optimal situation to invest into the park system. So we have not had other than, I think, one or two emergency situations have not received general fund CIP in a decade or more. So this is a really critical aspect for Parks and Rec. And yet on this slide, just in terms of vision, we've got a lot of opportunity. And this is again, through grants, through philanthropic support, obviously part tax and Quimby to some degree, but again, the importance of general fund is just very, very high to help support the needs across Parks and Rec creations. That's it. And we just hope to work with the council in community, whether it's through sponsorships or thinking about how we can find dedicated funding over time, this could be again, a bond measure to invest in a lot of deferred maintenance across the park system. So thanks, I appreciate your time and happy to answer any questions. Thank you. Are there any council questions? We have council member Cummings and then council member Brown. Thanks for that presentation, Tony. I'm just wondering if you could elaborate a little bit on what we would need to do to move forward with an energy efficiency plan. They came up a bunch, but it wasn't clear what council could do in order to provide the staff of support for accessing those funds or applying for grants that could help towards those projects in particular. Yeah, Chris is out there still, I might lean on him, but this is a program through SiteLogic. I believe my understanding is that it could be, there could be up to, I believe, $3 million in projects. It would be covered and it's a similar to an on-bill financing program, but yeah, thanks. I think Chris is here and Chris out there. You might explain it a little bit better than I can. Well, just more in response to the question, by including this in the capital improvement program and having this discussion is the support that we need these grants to apply for these grants and to have the ability to get at this funding. SiteLogic is helping us with a number of projects and finding the funding sources in order to, or these grants and loans and over to get these projects, energy projects done. Yeah, and I was also curious, are there opportunities through like AMBAG or CCCE, because I know they do a lot of grant funding for programs as well. We do work through AMBAG and whatever, the air district and a number of sources, a lot often there for vehicle conversions or going to electric vehicles, et cetera, but we're always looking for any kind of program that can help us fund our projects. Great, thanks. If I could add just a little bit on the SiteLogic, ball field lights are really difficult to ram unless you have a bunch of other energy efficiency efforts that investment. So by doing a combination of solar, roof repair, the civic, you have to do the roof before you can do the solar. So we do that together. There's other solar that are packaged into this proposal. We can fit the ball lights in, each one of them anyway, and that's why Tony's looking at a contribution so that we can make the package pencil out with a return on investment within the time period. So it's currently at the finance department for review and hopefully, I mean, you're wasting. Thank you for that additional information, Mark. Council Member Brown. Thank you, Vice Mayor. Quick question on the Senior Center, the Market Street Senior Center Capital Funding. I know that on the Community Programs Committee and then the council did approve funding through CDBG for that project and I'm just wondering, is this in addition to that funding? Is there a bigger renovations that need to be done or is this captured already? I mean, it says unfunded and I think there was some funding for the Senior Center. So. Thanks, Council Member Brown. That's a good question. If Lindsay Bass is still out there with Parks and Rec, I would welcome her in, but generally speaking, you're right on. I think CDBG will cover a portion of it, but the costs at the Senior Center were much higher. Essentially what was the catalyst to this whole situation is we had a plumbing leak and we started to open things up to see what the issues and we thought it was a $5,000 issue and it was a six-figure issue. So I'll have Lindsay speak to this in a bit more detail. Yeah, that's correct. So the allocation from this year we'll build on, the allocation that was received last year and our request last year was for a portion of those funds and anytime you open up an old building, all sorts of surprises are there and waiting for you. And so we anticipated that we would be probably restricted in the amount that we would be able to do with that initial round of funding. And so the appropriation will be really helpful in allowing us to get to some of the ugly actual programming within the center. To your point though, and there are the amount of the appropriations that we've received that we anticipate to complete all the repairs that are necessary. If that helps. Thank you. Are there any other council member questions? We'll hand it off to you. Thank you, Vice Mayor. Okay, next on all the IP proposed projects and presenting will be Bonnie Lipscham or Ms. Ballard Director. Thank you Lupita and good afternoon Vice Mayor and members of the council. We have a few brief slides. I'll try to go through them quickly. We don't have a lot of new items on the CIP, but the focus is housing. So next slide, Mission North Project, our Packed Station South and our Library Mixed Use Affordable Housing Project. And I'll just give you a brief overview of those. So the first project is our Packed Station North Project. Specifically this is 90 to 100 units of affordable housing, retail, second floor office of approximately a little over 8,000 square feet and 1,000 square foot bike hub, about a 2,500 square foot office for Metro and the 22 buff days. Slide. Packed Station South, we have 2 million in our CIP for this project, it's 70 to 85 units of housing. And I didn't mention this earlier, but I want to now, the reason why there's such a variation on this project is because of the funding sources that we're applying for, which are the one current application we have out there that's outstanding, wanted more two, three bedroom units. So those are larger units. So if we get that funding, it means that we'll have more family affordable units in the project. So that's why there's the variation. If we don't get, we'll probably go with a larger unit count. So it's a mix. And it's a mix also sort of looking at arena numbers and what is really the need in our community. And then that has between 18 and 20,000 square feet office space and medical office space for Santa Cruz Community Health Center and D&S. And then about three or 4,000 ground floor retail space sort of oriented toward a cafe, as you see here onto the Paseo. Next slide. And then the library mix use project, we have three million, three and a half million funded out of the CIP across the funding sources that are contributing to the project. We have at least 50 units and hopefully quite a bit more. We're in the final stages of selecting both the affordable housing developer. We've received all those applications. We have five really solid applications for developers on that one. And we'll start setting up interviews for that next week. And then quickly to be followed by the master architect selection and that RFP has closed as well. So we've been really active on this project. Next project. So ongoing CIP projects that were funded from previous years crosses a number of funding categories, including our affordable housing trust fund, economic development trust fund and our former redevelopment agency bonds. And they are the infrastructure and support investments downtown infrastructure and work infrastructure and rehabilitation. Next slide. This project's just going a little deeper. What you've seen, we've completed this project. We have just some final items to close this out is the city wide way finding and signage. This project was funded with former redevelopment dollars. And we have our two new electric trolleys. Most recently, those are funded with grant funding from the air district board. And then we have some residual funding for broadband implementation. That's sort of ongoing support. And with some of the America Rescue Plan funding coming through across our jurisdictions in our county there's some interest in leveraging funding together. So it's good we have this funding here so that we can participate if there is a county wide effort around connectivity around broadband. So that's a good thing. We also have a downtown infrastructure investments prior funding commitments. So specifically for the farmers market structure it's a past council approval out of the trust fund. We have our former bond redevelopment bond funding for lower Pacific Avenue and downtown alley improvements and as well for Ocean Street and lower Pacific Avenue improvements that are associated with our two projects. And then getting towards the end we have our work infrastructure investments. And these are identified in the work master plan. And then the exciting news is that we just found out that we were awarded a grant application that we actually applied for last June which is the EDA grant to do the project which you see on the right which is desperately needed to be done placement project under the Miramar for the demo of that project. So really repair that infrastructure and get it ready for new development. An activity on the war. And so we're gonna use, we have approved by council previously some EDA trust fund money to be the match for the 620,000 grant projects that we were just awarded. And so finally just to recap funding the projects from prior years this year is all affordable housing for those three projects but in prior years we have that sort of across these three funds the affordable housing trust fund, ED trust fund and the former redevelopment agency bonds. And how that breaks down is a little under 10 million. You can see the majority of it is our affordable housing trust fund for affordable housing projects. A little over 2 million is our RDA successor agency bonds for bond funded projects. We have here the measure S 11%. So a little over a million is around a million is specifically related to the library portion of the library project and the yet spent. The city public trust fund money is specific to actually what's budgeted here is specific to funding that we received into the general fund but it was on behalf of 555 Pacific and so it was a parking contribution and so that's what this fund, this funding represents here. My brief presentation and I'm happy to answer any questions and I also have Kathy Menz available as the budget lead. Should there be any specific questions about our revenues and our expenditures? Thank you. Thank you, Bonnie and Mayor Myers has returned so I will hand it off to her. Thank you. Great. Are there thank you for covering for me Vice Mayor regarding the capital permit program she outlined not seeing any, whichever department is up next. Presenting won't be. And but does it mean having run that program for a long time where needs are not just our wants and share a little bit of the background behind this. So next slide, 2023 you can see a type one that's listed a little bit further out in 25 and then there's a note saying this project for a pumper is a listed in the priority one funding category and that's really what we're asking for. And we go to the next slide. I'll kind of explain the conundrum that we have. So what you have here is PTA 1901 which is our standard for automated fire apparatus and that kind of dictates the standard for what fire departments should do. And so this is something that we've been advocating for and putting forward for years. And I need to get a little technical here with some of these, but a type one engine is what you consider being it's going down the road. A type three is a wildland fire engine. It's smaller, more capable. It's four wheel drive. It operates in the dirt. The truck is the ladder. It's got our teller truck and that's a ladder on it. And we use that not just for firefighting but we also use it for a cliff rescue. That is what our overhead anchor point is. So people who are at the bottom of a cliff awful, which happens on a regular basis. This is the tool that we use to get them. And then a rescue is a smaller apparatus but more importantly for us, it houses our mobile air cascade. And so in some of the pictures that I showed earlier today in the budget presentation, you saw firefighters with the SCBA that self-contained breathing apparatus, those bottles. We have to fill those bottles up. That's how we do it. So our conundrum has been that for years we've had a replacement plan that we put forward in the CIP. And I'm gonna get into a little bit of detail here. In essence, putting aside a half a million dollars a year so that we can purchase a type one engine and have that frontline apparatus that goes into reserve status and then goes away after 16 years. And our conundrum is that we have, our two oldest engines are one is a 1999 and one is a 2002. So we're well outside our specs for reliability and when we get a call, breaking down and then calling an Uber is not part of our response plan. And so we have asked for this and the second part of this is we have the same issue years ago, about 10 years ago and all of our apparatus were failing. And so they bought three type one engines in 2012. So all those engines are coming due at the same time. And so what we're trying to do is space it out so that we don't have the same bottleneck but apparatus costing a lot of money all at once but then also kind of getting to the end of their service life all at the same time. So our type one engine that we're asking for is really to try and negotiate that end of service life repairs that are coming and maintaining that reliability that we have to have. And that is, I mean, this is a kind of a core base functionality for a fire department or firefighters are who do the work but they're tool box fire engine and you have to have both at the same time. And so if you look at the bottom of this you can see our replacement schedule this is something that has not changed for us. But if you look at the bottom that has our apparatus or fleet inventory you can see that we have three engines that are all the same year and then our oldest one again is a 1999 and then we have a 2012 and those are our frontline apparatus that are right now in the reserve. We are looking at spending upwards of $40 plus thousand just to maintain that usability within that reserve apparatus. So really what we're looking for within that highest that tier one funding is to also fund the type one engine and this is going forward. We have this replacement schedule that is a core function. It's not an add-on to what we need to maintain our ability to respond going forward. If you look at the mileage, you look at the hours these are well-used engines. And if you see the NFPA 1901 and talks about eight years frontline, eight years reserve that's kind of, there's a little bit of flexibility there but giving the call volume and the use for our department that's stretching it to be quite honest. And so that's really, we've got some unfunded CIP asked as well that are larger but this is just trying to maintain our core functionality not adding a station, replacing a station our lifeguard headquarters. And this is our ability to meet the public expectation of a fire department. Next, what we have as far as what we're pitching and I have Chief Young with me again who is much more familiar with the engine outs of our apparatus. Are there other questions for on their ask on the capital improvements? I'm just going to pull it one thing. Any other questions from council on this? Not seeing any hands. Okay. Well, thank you, Jason. Very clear. And next I see we have the water department. Good afternoon, Mayor and Council. This is water director Rosemary Menard. I talked to you about this yesterday in part because pretty good chunk of change in our operating budget is debt service. And so when I want to talk to you about what our operating budget looks like I want to tell you what we're purchasing with that. And so one of the big things we're purchasing is capital investments and the improvements that go through there. So could I have the next slide please? So you saw these two slides yesterday but you can see that as noted in the pie chart that Lupita showed you earlier we have an $81 million budget next year which is funded. We are moving ahead with construction on two projects the No Creek Inlet Outlet project which has a $69 million construction budget and the concrete tanks replacement projects which has a $28 million construction project. Those two projects are moving ahead and one is under construction now the next one is mobilizing for construction that's expected to start soon. We do have work going on on a number of other major area No Creek Pipeline design work looking at one of the things I heard earlier when I think there was a conversation going on earlier about some of the failures that we had when Paul Horvath was talking about the emergencies in 2017 where we were looking at No Creek Pipeline failures so there's money and therefore and some design work and environmental review work that we're looking at there that would key those projects up to move forward into construction and out years of this plan. We do have funding under FEMA or the Brackney landslide area pipeline risk reduction it's a very specific area above Felton between Felton and Lachloman where we have a landslide hazard that could pipeline out and would not be a simple two or three day fix so that the project we're finishing some work on this year and then would have that set up for construction beginning next year and the year after. Another major project that I think you heard a little bit about yesterday was the facilities improvement plan for the grant plan when the construction of the concrete tanks was finished with here in about 2024 then we'll be ready to move that project into behind it. We will be bringing the council a recommendation on a design build team to do a contract with and get first phase design underway in August we believe. So we do have a very active and I'm gonna move it to the next slide you'll see kind of how the basic purposes are by these various projects and this year is like the 81 million and then in the next year that goes to 291 million for the five year period you can see that we have a lot of infrastructure resiliency and climate adaptation there in the red bars we've got water supply augmentation in the green bars and we're looking at some opportunities for maybe accelerating some of that work based on some grant funding or some funding that would come out of some state bond measures that might get funded here in the next year or so because clearly fly vulnerability we have as we're experiencing this year continues and will continue until we move some augmentation into place and then we do have a number of other factors looking at software and other kinds of systems one of the big issues that we're looking working very hard that Ken Morgan talked to you about yesterday was cybersecurity which is a big focus of our facilities also so that's kind of a really sort of quick fairly high level overview of what our capital program is but it's a big driver for both our budget and our rates that we'll be talking with you about later in this calendar year and we've made some really good progress but we have a lot in front of us that we're really hard to tackle in the smartest and best way for thinking long term about both climate adaptation but also recognizing that these facilities have long lives and we need to be thinking ahead about how things change over time and making sure we're building in flexibility and adaptability into these facilities that are so critical to providing reliable safe drinking water for our community. Thank you for your questions. Thank you, Rosemary. I'll look to council if you have questions. I see council member Calmentary Johnson. Thank you so much, Rosemary. So you have to take a deep breath when you see all of the needs in the coming years. I heard you say that there is potential for state bond measures in the near future which is great to hear. Given that we don't know that that's gonna happen how do you foresee these impacting our... That's a great question. Thank you council member. You saw some revenue forecasts when we did the work session with the council on April 6th and we did work with the water commission in a sort of ad hoc subcommittee for scenarios and the scenario that they chose and that we brought forward to you is a sort of a 10% year over year rate increase. It's not insignificant and it's one of the reasons why when we talked about what the revenue requirements are and what their implications are for water rates we also talked about affordability issues. One good thing I think about on the affordability side of the spectrum is there does seem to be a growing interest at the state and federal level recognizing the challenges of maintaining affordability and equitable access to drinking water, public drinking water for customers. And just this last week a piece of legislation was introduced in the house. It's called HR 3293 and it's a, it would institute a ongoing federal program, a little bit like the low income housing, energy, housing and emergency program. LIFE, I don't know if I have all the right words for the, it's a program that's been ongoing for a long time that provides for supplements and a sort of a federal safety net for energy costs. And so Congress is looking at introducing or looking at this and I think there's a fairly good chance because it's not just entities such as ourselves but the clarity that's come along with some of the COVID issues recognizing that shutting people off for non-payment is not a very effective way to maintain public health and safety is looking at opportunities for creating a federal safety net for water waste water services. And so obviously we're following that legislation very carefully working with both the federal delegation and the state delegation to keep this on the radar and to be talking to folks about how important that is as a way of creating a win-win outcome for the future with respect to having reliable water systems and affordable rates rather than a lose-lose outcome which would be still fairly expensive rates but a not reliable water system that would contribute to economic uncertainty for our community if we had water system failures. Thank you, Rosemary. Any other council members with questions for water? I think I'm the end of your line here. Yeah, I think you are, you are indeed. So I will go, thank you, Rosemary, very helpful and thank you to all the departments. I'm sorry I had different presentations but I will watch it on TV. I wanna next take our station out to the public so we will turn this now to public comment and if you are interested in commenting on the fiscal year 2022 proposed budget, press star nine on your raise your hand. When it is your time to speak, you will hear an announcement that you have been unmuted. The timer will then be set to two minutes. So I am looking at our attendees today in the meeting and I'm looking to see if anyone in that attendee list would like to comment as part of public comment on the fiscal year proposed budget and I'm not seeing any hands up and so I'll go ahead and bring it back. So I just wanna again, thank Martine and the city manager's office, Kim and her crew at the budget, I mean, at finance for putting together all the materials. I wanna thank all the department heads for all the really, really great PowerPoints. I think we've all gotten a really good sense of what last year really turned out and then just really exciting work ahead for the year ahead. So it feels like we've come out of COVID and we're pretty much full charge ahead here in the city of Santa Cruz. So it's refreshing and exciting to see all the work that everyone's done this past year. I wanna also just thank all the departments for all their work during COVID including the city attorney's work and just all the leadership that really came to head during all the difficulty of COVID and the fires and everything else. So this was kind of a year, there was a time to look back and also forward. So again, thank you for everybody for all your work over the past year and we will have additional discussions. Martine, just for the public, we have the budget scheduled for June 8th, I believe right for approved. That's correct, yeah. So in the interim, if there are questions from council members, please feel free to follow up and we'll prepare the proposed budget based on your feedback that you've provided over the last couple of days. And Martine, were you able to, to council member coming yesterday? I believe that we were able to get some of the detailed budget numbers. I saw Laura's note last night. Okay, okay, great. Okay, well, we are adjourned. Everybody have a nice evening and thanks again to the council for two long days, but thanks very much for attending. Thank you. Thank you. Thank you.