Loading...
HomeMy WebLinkAboutCC Minutes 2003-06-16SRCC Minutes (Regular) 06/16/2003 Page 1 IN THE COUNCIL CHAMBER OF THE CITY OF SAN RAFAEL, MONDAY, JUNE 16, 2003 AT 8:00 P.M. Regular Meeting: San Rafael City Council Also Present: Rod Gould, City Manager Gus Guinan, Assistant City Attorney Jeanne M. Leoncini, City Clerk OPEN SESSION — COUNCIL CHAMBER — 7:45PM: Mayor Boro announced Closed Session item. CLOSED SESSION — CONFERENCE ROOM 201 — 7:45 PM: Present: Albert J. Boro, Mayor Gary O. Phillips, Vice -Mayor Barbara Heller Councilmember Cyr N. Miller, Councilmember Absent: Paul M. Cohen, Councilmember Conference with Legal Counsel — Existing Litigation — Government Code Section 54956.9(a). Case name: Tricia McCarthy vs. City of San Rafael WCAB No.: SFO 459329 No reportable action was taken. ORAL COMMUNICATIONS OF AN URGENCY NATURE: None. Councilmember Phillips moved and Councilmember Milller seconded, to approve the Consent Calendar as follows: ITEM 2. Approval of Minutes of Special Joint and Regular Meetings of Monday, May 19, 2003 and Special Meeting of Monday, June 2, 2003 (CC) 4. Resolutions Re: Election Matters — General Municipal Election November 4, 2003 (CC) — File 9-4 a) Resolution of the City Council: 1) Proposing a General Municipal Election, to be held Tuesday, November 4, 2003, including the San Rafael Elementary School District and the San Rafael High School District General Election; 2) Requesting the Board of Supervisors to Consolidate with Any Other Election Conducted on the Same Date; and 3) Requesting Election Services by the County Clerk b) Resolution Reaffirming Policy Regarding Number of Words in Candidate's Statement of Qualifications, and Providing that the Cost of Printing and Handling of Candidate's Statement of Qualifications Shall be Borne by the Candidate and Paid for at the Time Nomination Papers are Filed RECOMMENDED ACTION Minutes approved as submitted. a) RESOLUTION NO. 11332 — 1) PROPOSING A GENERAL MUNICIPAL ELECTION, INCLUDING THE SAN RAFAEL ELEMENTARY SCHOOL DISTRICT AND THE SAN RAFAEL HIGH SCHOOL DISTRICT GENERAL ELECTION, TO BE HELD ON TUESDAY, NOVEMBER 4, 2003; 2) REQUESTING THE BOARD OF SUPERVISORS TO CONSOLIDATE WITH ANY OTHER ELECTION CONDUCTED ON THE SAME DATE; 3) REQUESTING ELECTION SERVICES BY THE COUNTY CLERK b) RESOLUTION NO. 11333 — RESOLUTION REAFFIRMING POLICY REGARDING NUMBER OF WORDS IN CANDIDATE'S STATEMENT OF QUALIFICATIONS, AND PROVIDING THAT THE COST OF PRINTING AND HANDLING OF CANDIDATE'S STATEMENT OF QUALIFICATIONS SHALL BE BORNE BY THE CANDIDATE AND PAID FOR AT THE TIME NOMINATION PAPERS ARE FILED SRCC Minutes (Regular) 06/16/2003 Page 1 SRCC Minutes (Regular) 06/16/2003 Page 2 c) Resolution Requesting the Board of c) RESOLUTION NO. 11334 — Supervisors of the County of Marin to RESOLUTION REQUESTING THE Permit the County Clerk to Consolidate BOARD OF SUPERVISORS OF Precincts and Polling Places Relating to THE COUNTY OF MARIN TO the San Rafael General Municipal PERMIT THE COUNTY CLERK TO Election CONSOLIDATE PRECINCTS AND POLLING PLACES RELATING TO THE SAN RAFAEL GENERAL MUNICIPAL ELECTION 5. Approval of Appointments to the Central Marin Council approved the following Community Advisory Committee on appointments: Transportation Sales Tax Expenditure Plan (CM) Noble A. (Rocky) Birdsey — File 170 Roger A. Smith Damon Connolly Patrick Murphy Thomas Hinman Bob Sonnenberg Don Dickenson Mayor Boro 6. Summary of Legislation Affecting San Rafael Accepted report. (CM) — File 116 x 9-1 7. SECOND READING AND FINAL ADOPTION OF Approved final adoption of ORDINANCE NO. 1804 — An Ordinance of the Ordinance No. 1804. City Council of the City of San Rafael Amending the Zoning Map, Adopted by Reference in Section 14.01.020 of the Municipal Code, so as to Reclassify Certain Real Property from Planned Development (PD 1758) District to a Revised PD District (ZC 03-001) for Conversion of an Approved Light Industrial/Office Complex to a Commercial Condominium Campus Located at 4300 Redwood Highway (APN: 155-110-05 and 06) (CD) — File 10-3 x 10-5 x 10-7 x 10-8 8. Resolutions Approving Sole Source Contracts for 1) RESOLUTION NO. 11335— the new Fire Dispatch Center (FD) — RESOLUTION AUTHORIZING THE File 4-1-560 x 4-1-559 x 13-5 x 9-3-31 GRANTING OF A SOLE SOURCE CONTRACT BETWEEN THE CITY OF SAN RAFAEL AND TELECOMMUNICATION ENGINEERING ASSOCIATES 2) RESOLUTION NO. 11336 — RESOLUTION AUTHORIZING THE GRANTING OF A SOLE SOURCE CONTRACT BETWEEN THE CITY OF SAN RAFAEL AND S & J SALES 3) RESOLUTION NO. 11337 — RESOLUTION AUTHORIZING THE GRANTING OF A SOLE SOURCE CONTRACT BETWEEN THE CITY OF SAN RAFAEL AND INNOVATIVE CASEWORK, INC. 9. Resolution Declining to Directly Accept Funds RESOLUTION NO. 11338 — made Available Through the Juvenile RESOLUTION DECLINING TO Accountability Incentive Block Grant (JAIBG) DIRECTLY ACCEPT FUNDS MADE Program Administered by the Office of Criminal AVAILABLE THROUGH THE Justice Planning and Authorizing the Funds to be JUVENILE ACCOUNTABILITY Expended by the County of Marin for the Mutual INCENTIVE BLOCK GRANT (JAIBG) Benefit of Both Units of Local Government by PROGRAM ADMINISTERED BY THE Maintaining a Juvenile Drug Court (PD) — OFFICE OF CRIMINAL JUSTICE File 9-3-30 PLANNING AND AUTHORIZING THE FUNDS IN AN AMOUNT NOT TO EXCEED $14,344 TO BE EXPENDED SRCC Minutes (Regular) 06/16/2003 Page 2 10. Resolution Accepting a Proposal From Econolite Control Products for Procurement of Traffic Signal Detection Cameras in the Amount of $85,000 and Authorizing the Director of Public Works to Execute the Purchase Agreement (PW) —File 4-2-322 x 11-10 11. Resolution Accepting Proposal from Kimley-Horn for the Design of the Third and Union Traffic Signal and Intersection Improvements in an Amount not to Exceed $77,000 and Authorizing the Director of Public Works to Execute the Professional Services Agreement (PW) — File 4-10-336 x 11-10 13. Resolution Accepting a Proposal from CSW/Stuber-Stroeh for the Design of Eucalyptus Lane Drainage Improvements in an Amount not to Exceed $22,530 and Authorizing the Director of Public Works to Execute the Professional Services Agreement (PW) — File 4-10-337 x 9-3-40 x 12-9 SRCC Minutes (Regular) 06/16/2003 Page 3 BY THE COUNTY OF MARIN FOR THE MUTUAL BENEFIT OF BOTH UNITS OF LOCAL GOVERNMENT BY MAINTAINING A JUVENILE DRUG COURT RESOLUTION NO. 11339 — RESOLUTION ACCEPTING A PROPOSAL FROM ECONOLITE CONTROL PRODUCTS FOR PROCUREMENT OF TRAFFIC SIGNAL DETECTION CAMERAS IN THE AMOUNT OF $85,000.00 AND AUTHORIZING THE DIRECTOR OF PUBLIC WORKS TO EXECUTE THE PURCHASE AGREEMENT RESOLUTION NO. 11340 — RESOLUTION ACCEPTING PROPOSAL FROM KIMLEY-HORN FOR THE DESIGN OF THE THIRD AND UNION TRAFFIC SIGNAL AND INTERSECTION IMPROVEMENTS IN AN AMOUNT NOT TO EXCEED $77,000 AND AUTHORIZING THE DIRECTOR OF PUBLIC WORKS TO EXECUTE THE PROFESSIONAL SERVICES AGREEMENT RESOLUTION NO. 11341 — RESOLUTION ACCEPTING A PROPOSAL FROM CSW/STUBER- STROEH ENGINEERING GROUP, INC. FOR THE DESIGN OF EUCALYPTUS LANE STORM DRAINAGE IMPROVEMENTS AND AUTHORIZING THE DIRECTOR OF PUBLIC WORKS TO EXECUTE THE PROFESSIONAL SERVICES AGREEMENT IN AN AMOUNT NOT TO EXCEED $22,530 14. Resolution Authorizing a Pilot Program for RESOLUTION NO. 11342 — Sidewalk Activities Downtown (RA) — RESOLUTION AUTHORIZING A File 140 x (SRRA) R-181 x R-140 #8 PILOT PROGRAM FOR SIDEWALK ACTIVITIES DOWNTOWN AYES: COUNCILMEMBERS: Heller, Miller, Phillips and Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Cohen Mayor Boro noted item #14 requested that two Councilmembers serve on the committee on this pilot program and he appointed Councilmembers Heller and Miller to work with the Redevelopment Agency on this program. The following item was removed from the Consent Calendar for discussion: 3. CONSIDERATION OF COUNTY -WIDE PROGRAM FOR THE REGULATION OF TAXICAB TRANSPORTATION SERVICES (CM) — FILE 9-9 Kevin Carroll indicated he had the pleasure of serving on the San Rafael School Board some time ago and tonight was representing himself as the owner of Tiburon Taxi Company and also Belaire Taxi Company, with whom he works. The owner of Radiocab, Belaire Cab and Yellow Cab that operate in San Rafael could not be present, as he was attending the Mill Valley City Council meeting where a similar agenda item was being considered. Mr. Carroll stated the owner of Happy Cab with whom he had spoken last week before it was known this item would be on the agenda, indicated she did wish to be included. Mr. Carroll stated that the Marin County Taxi drivers and owners were attending these meetings to protest the creation of a new Countywide agency to regulate taxis. He noted the proposed SRCC Minutes (Regular) 06/16/2003 Page 3 SRCC Minutes (Regular) 06/16/2003 Page 4 agency would be paid for by new taxes on companies and drivers, and indicated they already paid taxes and fees to seven Marin County cities and Marin County itself. These new taxes would have to be passed on to Marin County taxi customers, resulting in higher fares. Mr. Carroll reported that the Marin County City Managers at a private monthly meeting discussed how to comply with the government code regarding drug and alcohol testing of taxi drivers. He indicated this could be accomplished by ordering the taxi companies to commence this testing and reporting the results to the individual cities. It would take less than one hour per month per city to verify the results of this testing and the actions taken by the taxi companies. Instead, Mr. Carroll stated the City Managers are proposing that the current Marin Street Light Acquisition Authority and $5,000 of its funds be spent to pay attorneys' fees to create a new agency, The Marin Taxi Regulating Authority. He indicated they are using the Orange County Taxi Administration Authority as a model, which has 28 pages of regulations and creates full time bureaucratic jobs. He noted that Orange County has a population of three million, while Marin has 246,000. There are 25 companies in Orange County, only 6 in Marin; 755 drivers in Orange County and less than 150 in Marin County. Mr. Carroll stated that the regulations apply to over 550 taxicabs in Orange County, while there are approximately 55 in Marin. Based on the Orange County model, Mr. Carroll reported that each driver would have to pay $200 in fees the first year to drive, for a total of approximately $9,000. Companies in the first year using Orange County's model would have to pay $37,905 in fees. Mr. Carroll requested the City Council table this item and not spend the $5,000 on attorneys' fees until the City staff could come up with the following: a) The current costs of regulating taxicabs; b) The cost of implementing the drug and alcohol policy only; c) The cost of a full model of regulating authorities (what it would cost the City); and d) The effect this would have on the rates charged to taxi customers. Mr. Carroll stated the San Rafael budget is based on staff's estimate of over a 30% drop in tourism and visitor spending. This, combined with rising vehicle and workman's compensation insurance, plus the increase in gasoline prices, has already had a severe impact on both the companies' and drivers' incomes. He urged the City Council not to add to these burdens with excessive regulatory costs. Mr. Carroll stated they are not opposed to taxi regulation, rather they are only opposed to over -regulation. Rather than placing an item on the agenda that would drastically affect their jobs, without notifying any of them, he requested that staff be directed to meet with the company owners and drivers to receive their input on any plan. City Manager Rod Gould stated he heard and understood Mr. Carroll's concerns; however, believed them to be premature. State law changed several years ago requiring more of cities and counties regarding the regulation of taxicabs, and he reported it was found amongst the eleven cities and towns in Marin County, that there is a wide disparity in the different ordinances and efforts being made by the different jurisdictions to comply with the State law. Mr. Gould stated the question before Council this evening was not to adopt an ordinance or even a program. The only policy question before Council was whether they wished to go it alone and have San Rafael devise its own program, or whether they wished to join with the other cities and towns in Marin and do it cooperatively, as is done in a number of other areas. He believed this to be more cost-efficient than each city and town going it alone. He commented that if he owned a cab company, he would much prefer to deal with one entity rather than eleven. Regarding Mr. Carroll's request that the City meet with him and other cab company owners, Mr. Gould agreed absolutely, indicating this was the plan. Should San Rafael and the other cities and towns wish to engage in this cooperative effort, the draft ordinance, policies and procedures and costs would be developed and the cities and towns would meet with the cab companies prior to a public hearing. This, he indicated, was normal procedure and they were committing to it in this case also. Mr. Gould stated that the only policy question before the City Council was whether San Rafael wished to regulate cab companies alone, or in conjunction with the other jurisdictions in Marin. Mayor Boro clarified this to be whether the City wished to explore doing it in conjunction with the other cities. He stated that the issue would be brought back to Council and based on the facts developed, Council could choose whether to go forward. Mayor Boro stated that this evening's action was to have this joint approach evaluated. Staff would return with a recommendation of the pros and cons of a joint venture throughout the County, or the City by itself, with the added requirements. He indicated that at that time, a hearing would take place and staff would be working with the taxicab companies prior to SRCC Minutes (Regular) 06/16/2003 Page 4 SRCC Minutes (Regular) 06/16/2003 Page 5 returning the issue to the City Council. Councilmember Heller believed the City was better off working through the entire County to generate one program, indicating it would be easier for each taxicab company and the drivers. Councilmember Heller moved and Councilmember Phillips seconded, to approve staff recommendation to consider a Countywide program for the regulation of taxicab transportation services. AYES: COUNCILMEMBERS: Heller, Miller, Phillips and Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Cohen The following item was also removed from the Consent Calendar for discussion: 12. RESOLUTION AUTHORIZING MATCHING FUNDS NOT TO EXCEED $100,000 FOR THE SANTA MARGARITA CREEK IMPROVEMENTS (DEL GANADO DITCH) (PW) — FILE 12-9 x 9-3-40 x 8-5 Mayor Boro congratulated Pete Martin, Greg Knell and their entire community for the great job they had done to date on this project. Pete Martin stated that a little less than two years ago they appeared before the City Council to explore the idea of a public/private partnership between the neighborhood association and the City to accomplish something that was being attempted for 50 years, i.e., decorate the ugly ditch and return it to some semblance of its former, natural state, and improve the community. He indicated that this evening they wished to announce they had a very successful campaign over eighteen months, raising over $100,000, and less expenses, they had a net amount of approximately $93,000 presently. Mr. Martin stated they were prepared to loan themselves the remainder of the funds from the Santa Margarita Neighborhood Association funds to meet their $100,000 share obligation by the end of the month. He indicated they would continue fundraising beyond that to recover that money, which was seed money to begin their next program. Mr. Martin reported that City staff had been marvelous throughout the entire process. While there were some rough spots along the way, they were true professionals and understood the process. He recognized City Manager Rod Gould, Interim Public Works Director Andy Preston, Associate Engineer Diane Decicio, Community Services Director Carlene McCart and many others, indicating it was truly a partnership. He thanked the City Council for their support. Greg Knell suggested getting on with the vote, noting they had worked a long time for this and he concurred with Mr. Martin's remarks. Councilmember Heller stated she never believed this point would be reached and it was wonderful. Councilmember Phillips stated this was truly an example of what could be done working together and he was delighted with the outcome. Councilmember Phillips moved and Councilmember Miller seconded, to adopt the resolution. RESOLUTION NO. 11343 - RESOLUTION AUTHORIZING MATCHING FUNDS NOT TO EXCEED $100,000 FOR THE SANTA MARGARITA CREEK IMPROVEMENTS (DEL GANADO DITCH) AYES: COUNCILMEMBERS: Heller, Miller, Phillips and Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Cohen Mayor Boro announced that item #16 would be heard before item #15. NEW BUSINESS: 16. RE: GOLD HILL GRADE: (CA) — FILE 2-1-82 x 13-14.1 x 9-3-16 A) CONSIDERATION OF RESOLUTION: 1) APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE A LAND PURCHASE AGREEMENT FOR CITY ACQUISITION OF 26 ACRES ON GOLD HILL GRADE FOR OPEN SPACE (APN 015-250-28; 015-250-55); 2) AUTHORIZING THE MAYOR TO EXECUTE CERTIFICATES OF ACCEPTANCE OF GRANT DEEDS FOR SAID PARCELS; AND SRCC Minutes (Regular) 06/16/2003 Page 5 SRCC Minutes (Regular) 06/16/2003 Page 6 3) AUTHORIZING THE CITY MANAGER TO EXECUTE ANY AND ALL OTHER DOCUMENTS NECESSARY TO COMPLETE SAID PURCHASE B) CONSIDERATION OF RESOLUTION: 1) APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE A MEMORANDUM OF UNDERSTANDING WITH THE MARIN COUNTY OPEN SPACE DISTRICT FOR THE PURPOSE OF GRANTING TO SAID DISTRICT A CONSERVATION EASEMENT OVER 26 ACRES ON GOLD HILL GRADE FOR PERMANENT OPEN SPACE IN EXCHANGE FOR DISTRICT CONTRIBUTION OF FUNDS TOWARD THE PURCHASE OF SAID PROPERTY; AND 2) APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE A CONSERVATION EASEMENT OVER 26 ACRES ON GOLD HILL GRADE FOR PERMANENT OPEN SPACE Assistant City Attorney Gus Guinan reported that this property consisted of a total of 26 acres covered with eucalyptus and acacia trees running up above the Dominican College campus. He indicated that the Gold Hill fire road runs through it, noting it is at the end of Gold Hill Grade and surrounded on three sides by Barbier Park. Mr. Guinan stated that in the past several years there had been attempts by previous and current owners of this property to develop residential housing on the site. In more recent years, the Save Gold Hill Committee, which included Jack Nixon, Don Dickenson, Bob Sanderson, Shirley Sanderson, Ray Taylor, Mary Coleman and Paul Keitor, had worked very hard and diligently to raise funds for the purchase of this property to preserve it in perpetuity as City open space lands. Mr. Guinan reported that the Save Gold Hill Committee had raised over $100,000 (they would identify the specific amount later this evening), and had also worked to get the assistance, both financial and moral, of the County Open Space District, also working to secure City funds. He indicated that the assemblage of these monies would pay the purchase price of $690,000 for the property. Mr. Guinan reported that the $690,000 was broken down as follows: • Marin County Open Space District would contribute a total of $95,000; • Save Gold Hill Association would contribute at least $105,000; and • The City would contribute up to a maximum of $490,000. Mr. Guinan indicated that the City's funds come from the 1972 Open Space Bond Fund. He explained that these monies cannot be used for any General Fund purpose, rather only for the acquisition of open space land. He reported that both the Marin County Open Space District and the Save Gold Hill Association would deposit their monies into the escrow account by the end of this month. Under the terms of the Purchase Agreement and the agreements reached with the Marin County Open Space District, Mr. Guinan reported that the City would give the Open Space District a permanent easement over the 26 acres to preserve it as open space, this to be done in return for their financial contribution. The City would take title to the property and manage it consistent with its open space ordinance and natural environment element of General Plan policies and other City open space plan policies, together with certain restrictions in the MOU with the County Open Space District. Mr. Guinan indicated that the escrow costs would be paid completely by the City and he learned late this afternoon that these total approximately $1,600. On a final note, Mr. Guinan reported several easements across the 26 acre parcel: • A roadway access easement that basically parallels the existing fire road; • A water pipeline easement going across the property; and perhaps most significantly • A 25 -foot roadway easement for ingress and egress purposes in favor of the Grippi family, who owns a 2 1/2 — 3 acre parcel above the 26 acres under discussion. Mr. Guinan identified these on a map as follows • The blue line outlined the two parcels comprising the 26 acres which the City would purchase to add to the City's open space lands; • The Grippi parcel which has the easement burdening the 26 acres; The Yellow line demonstrated an approximation of the current, existing fire trail, which goes in and out of the property; SRCC Minutes (Regular) 06/16/2003 Page 6 SRCC Minutes (Regular) 06/16/2003 Page 7 • The reason the second easement was created (red line) was that the easement for the Grippi parcel was conveyed by the previous owners of the two parcels that are the subject of this purchase. They had to convey the easement totally within that parcel, so at some points it parallels the fire trail and at others, the easement the Grippi's hold leaves the fire trail and stays totally within the 26 acres. Mostly, the Grippi easement parallels the fire trail until the top of the property is reached. Where the Grippi easement leaves the fire trail, if it is ever enacted upon, the Grippis have the right to carve a new road across a portion of the 26 acres. Mr. Guinan clarified the reason for his pointing this out was to ensure everyone was aware this easement had been there for some twenty years and was iron tight. It was something the City would have to deal with in the future. Mr. Guinan reported the City was ready to close. The terms of the purchase agreement had been agreed upon and the seller's attorney hoped to have his clients sign the agreement by the end of the week. Assuming there were other parcels of privately owned land adjoining the open space, Councilmember Heller inquired whether any of the landowners could purchase an easement off the one Grippi easement, should they wish to gain access into their property for any reason. Clarifying the question to be whether a landowner could approach the Grippis and purchase part of the easement, Mr. Guinan explained that the easement was conveyed by the owner of the parcel. As successor, it would be the City's decision. Don Dickenson, 327 Jewell Street stated that Jack Nixon, Chair of the Committee, would like to have been present; however, was out of the country at present. Mr. Dickenson stated it was with great pleasure that they brought this purchase proposal to the City Council. From research he had carried out he had located a 1961 plan showing a 60 - lot subdivision of the 26 acres with tiers of roads criss-crossing the hillside. He believed back in 1961 this could have been possible; however, he did not believe it was ever submitted to the City having been developed by an engineer for the then property owner. Mr. Dickenson reported that more recently, the current property owner submitted the application for the 6 -lot subdivision (6 very large homes up to 6,500 square -feet), and this was when the committee was formed, determined to keep the subdivision from happening. The application was withdrawn subsequent to considerable neighborhood opposition. Explaining events over the past year, Mr. Dickenson stated that early in 2002, they learned that City staff and the developer were discussing, what in most circumstances would have been a very good project, the use of $600,000 in public money - $500,000 from the City open space Bond Fund and $100,000 from the County Open Space District — to purchase 18 acres, or approximately 2/3rds of the property. He reported the agreement was that the lower part would be left for two houses, and at that point they had to make a very difficult decision. Mr. Dickenson stated it was not easy to decide to oppose an open space acquisition. They had considerable debate among their members, conducting an e-mail poll of the 500 people on their list and it was clear the majority wanted to fight to save the entire property. He indicated that at that point, they realized the only way they could accomplish that was to make life very difficult, particularly for the property owner, so that he would understand the path he was embarking upon was not going to be easy or inexpensive. Mr. Dickenson reported the result of that decision put them in a position of having to be at odds with City staff on a number of occasions. He recalled they probably filed the first appeal ever of a completeness decision on an application, which was a lot line adjustment. He indicated they filed a challenge to the fact that the Subdivision Committee was making a decision without holding a meeting. They subsequently appealed the decision of the Subdivision Committee to approve the two -lot subdivision, which was all part of their strategy. Mr. Dickenson indicated he realized at the time it was very frustrating to staff; however, it was essential to get to the point of convincing the property owner that he was in for a very long and expensive battle to do anything with the property, with no certainty he would ever achieve anything more than two houses. For the grief caused to staff, Mr. Dickenson apologized, and he hoped the results of their fundraising effort would help to compensate the City for what they had been put through. As Bob Sanderson would indicate, Mr. Dickenson reported they had been very successful, all of the pieces had finally come together and they very strongly urged the City Council to follow staff's recommendation to approve all the necessary paperwork to accomplish this important open space acquisition. SRCC Minutes (Regular) 06/16/2003 Page 7 SRCC Minutes (Regular) 06/16/2003 Page 8 Bob Sanderson, 11 Deer Park Avenue, San Rafael, stated he was a member of the Save Gold Hill Committee and was addressing Council this evening because Jack Nixon was in Astonia on business. Mr. Sanderson stated that the preservation of Gold Hill as open space was an accomplishment that would deliver tremendous benefit to the community; therefore, he wished to thank those who made it happen, albeit it had not yet been voted on. He believed the merits of the purchase and community support were sufficiently strong that he was confident both bodies (City of San Rafael and Board of Supervisors) would vote to approve the purchase; therefore, he would like to thank those who made it happen. Mr. Sanderson thanked: • The 1972 voters of San Rafael for passing the bond issue, which enabled this to happen; • The property owners, David Santistevan and his partner Greg Fowler, for agreeing that the true highest and best use of Gold Hill was as open space; • The City of San Rafael for recognizing an opportunity and expediting the process to complete the transaction; • The Marin County Open Space District, who were willing to support the Committee for at least a year; • The Marin Conservation League (MCL), who agreed to serve as a conduit for private contributions, which meant that all private contributions would be 100% tax deductible. Also, because MCL was waiving its usual fee for acting as a conduit, 100% of the private contributions would go towards the purchase of Gold Hill; • The supporters, of whom there were several hundred. They garnered their support in two primary tangible ways: 1) Whenever there was a public meeting, there was a big turnout of supporters who were quite vocal about expressing their opinions on Gold Hill. The most notable of these meetings was the Subdivision Committee on the lot line adjustment last summer, where more than 60 people attended at 3:00 on a Friday afternoon in August to inform the Subdivision Committee of their interest in the decision; 2) Money — Having reached agreement with the developer on a purchase price, which committed the community to contributing at least $95,000 of private funds, their supporters responded promptly and generously. 155 individuals, families and businesses contributed to date a total of $110,000 for the purchase of Gold Hill. Roughly half of these contributors are from the Dominican neighborhood, a further quarter from other neighborhoods in San Rafael and the remaining quarter from throughout the Bay Area. In particular, Mr. Sanderson stated he would like to single out the Dominican/Black Canyon Neighborhood Association, who supported them from the outset, providing venues for the public and private meetings, getting their message out to the 860 households in Dominican and they contributed to the purchase of Gold Hill. Regarding the Save Gold Hill Committee, Mr. Sanderson stated this committee conducted its campaign on donations of time, talent and expertise. They did not hire consultants, lawyers or paid fundraisers and in fact, most of what little money they spent, went to Kinkos. He thanked: • Mary Coleman and Paul "Junior" Keitor for signing up hundreds of users of the trail; • Ray Taylor for rallying support in the Dominican neighborhood and providing strategic guidance; • Shirley Sanderson, his wife, for legal services. Last summer she wrote two appeals of the lot line decision that were very thoroughly researched and quite persuasive; (Mr. Sanderson indicated his belief that the legal argument in the second appeal caused the property owner to withdraw the lot line application and got him thinking that perhaps it was best not to pursue development); • Don Dickenson, whose encyclopedic knowledge of land use practice and policy, broad network of contacts throughout the County with staff members and elected officials and doggedness in pursuing what he believed to be right was an extremely potent combination. Mr. Dickenson provided his expertise and insights intensely through the campaign to save Gold Hill and his presence at meetings with the property owners convinced them of the seriousness of the issue; • Jack Nixon, Chair, who organized and led the campaign to preserve Gold Hill as open space. He started the campaign as soon as he recognized there were plans for development, signing up hundreds of his friends and neighbors to the mailing and e- mail lists, indicating that sometime money could be needed. When "crunch time" arrived this spring, Mr. Nixon led the negotiation with David Santistevan that resulted in an agreement on the $690,000 purchase price. Subsequent to making the deal and SRCC Minutes (Regular) 06/16/2003 Page 8 SRCC Minutes (Regular) 06/16/2003 Page 9 the word going out to supporters that money was needed, Mr. Nixon's friends kept their promises, contributing promptly and generously, enabling $110,000 to be generated towards the purchase of Gold Hill. Mr. Sanderson stated this was his first personal participation in civic affairs and while there were frustrations along the way, for the most part it was pure joy. He indicated he felt very lucky to live in a City and County where public participation could make a real difference in the direction government takes. He thanked all concerned. Marin County Supervisor Susan Adams stated she was so pleased to be present this evening as the City Council considered this item, not just because it represented an opportunity to preserve a very special community asset, rather because it was exciting to her what could happen when community members worked together with the City and the County, which she viewed as a success. Having only recently become involved, Ms. Adams stated she was "blown away" by the amount of commitment, dedication and hard work the community had demonstrated. She looked forward to a positive vote this evening and to seeing the issue on the Board of Supervisors' Agenda in the near future. She congratulated the members of the community who worked so hard to make this happen. Noble "Rocky" Birdsey, 201 Belle Avenue, stated that some twenty years ago as a hiker and trail user he discovered Gold Hill. Approximately ten years ago he purchased a piece of property and one of his stipulations on moving to Marin County was that it had to be near trail access and recreation opportunities. He indicated his real estate agent did a better job than he could ever have imagined as he now resided next to Gold Hill, to which many people both in the neighborhood and from outside the Bay Area come to enjoy the recreational opportunities. He urged the City Council to vote affirmatively. Councilmember Miller stated this really wells up in the heart, souls and pocket books of the community. He indicated it was a marvelous example of what community based governance is all about, i.e., the people giving direction on the way they wish to go. He hoped that when Mr. Dickenson was writing his memoirs, he would include this so that the world could see what the City of San Rafael and Marin County were all about, the people. He expressed his thanks. Councilmember Phillips stated they had seen two examples this evening of the community coming together and working with the City, which was how it should happen. He was proud of the community and those directly involved in the process should be very pleased with the outcome. Councilmember Heller stated she had watched this process going through the "give and take" over the past few years. She toured the property and reported it was absolutely gorgeous. She was pleased there was an opportunity to bring this into open space for the benefit of the entire City. As Councilmember Cohen was in Washington D.C. on business, on his behalf Mayor Boro expressed his support for the project, indicating he was sorry he was unable to vote for it. Mayor Boro recalled that in the late 1960s or early 1970s when the City purchased what is now Harry Barbier Park. Harry Barbier being a friend, Mayor Boro recalled long discussions with him and it was great for his memory to have the Park named in his honor. He stated that was a tremendous purchase, believing the property was purchased from the Kingston Trio and Frank Sinatra for approximately $250,000. Mayor Boro stated it was great at the time, indicating that the map demonstrated how it really completed the entire project. He believed tonight's accomplishment was great. Councilmember Phillips moved and Councilmember Heller seconded, to adopt the resolution. 1) RESOLUTION NO. 11344— RESOLUTION 1) APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE A LAND PURCHASE AGREEMENT FOR CITY ACQUISITION OF 26 ACRES ON GOLD HILL GRADE FOR OPEN SPACE (APN 015-250-28, 015-250-55); 2) AUTHORIZING THE MAYOR TO EXECUTE CERTIFICATES OF ACCEPTANCE OF GRANT DEEDS FOR SAID PARCELS; AND 3) AUTHORIZING THE CITY MANAGER TO EXECUTE ANY AND ALL OTHER DOCUMENTS NECESSARY TO COMPLETE SAID PURCHASE SRCC Minutes (Regular) 06/16/2003 Page 9 SRCC Minutes (Regular) 06/16/2003 Page 10 AYES: COUNCILMEMBERS: Heller, Miller, Phillips and Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Cohen Councilmember Miller moved and Councilmember Heller seconded, to adopt the resolution. 2) RESOLUTION NO. 11345 - RESOLUTION 1) APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE A MEMORANDUM OF UNDERSTANDING WITH THE MARIN COUNTY OPEN SPACE DISTRICT FOR THE PURPOSE OF GRANTING TO SAID DISTRICT A CONSERVATION EASEMENT OVER 26 ACRES ON GOLD HILL GRADE FOR PERMANENT OPEN SPACE IN EXCHANGE FOR DISTRICT CONTRIBUTION OF FUNDS TOWARD THE PURCHASE OF SAID PROPERTY; AND 2) APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE A CONSERVATION EASEMENT OVER 26 ACRES ON GOLD HILL GRADE FOR PERMANENT OPEN SPACE AYES: NOES: ABSENT PUBLIC HEARING: COUNCILMEMBERS: Heller, Miller, Phillips and Mayor Boro COUNCILMEMBERS: None COUNCILMEMBERS: Cohen 15. BUDGET HEARING — Budget for Fiscal Year 2003/2004 (MS) — FILE 8-5 1. SUMMARY OF SAN RAFAEL CHOICES MEETINGS 2. CAPITAL PROJECTS PROGRAM — JULY 2003 TO JUNE 2005 PERIOD 3. RECOMMENDATIONS TO DATE 4. DISCUSSION OF BUDGET BALANCING OPTIONS (SERVICE CUTS / NEW REVENUES) Assistant City Manager Ken Nordhoff stated Council had a fairly extensive packet of information before them this evening and indicated he would give an overview and discuss four major sections. Mr. Nordhoff reported that for some time staff was aware of a downward economic cycle and over the past couple of months had identified a projected $2.1 million budget deficit beginning in the fiscal year 2003/2004. Recognizing also that the City had been working in two-year budget cycles, staff had been projecting out costs for fiscal year 2004/2005 and the problem gets worse, rising to a $4.3 million deficit. Indicating that the City Council held Study Sessions on May 19 and June 3, 2003, Mr. Nordhoff stated he would discuss some of the outcomes of those later. Firstly, he stated he was in concurrence with City Manager Gould who suggested that even though it would be preferable to adopt a two-year budget, given all of the uncertainties, including how hard the state would hit the City, a question only of when and how long it would last, both the City Manager and he were recommending adoption of a one-year budget. He indicated that while staff would discuss two-year types of activities, the City Council would be requested to take action in one- year cycles. Mr. Nordhoff stated that page 2 of the staff report focused on the major themes of what staff wanted to accomplish this evening, as follows: 1) Summary on the San Rafael Choices meetings and having the City Council accept that report; 2) A quick update on the City's financial condition. More specifically, discussion of a number of actions that were considered to close the budget gap for next year; 3) Update on Capital Project efforts through the CIP committee, laying out proposals for the coming two-year period; and 4) Some Services Requested for Council consideration that they might choose to include as additions to the budget. Mr. Nordhoff stated that staff anticipated bringing the budget back to the City Council on July 7, 2003 for adoption; therefore, they sought as much direction as possible to accomplish this. Regarding San Rafael Choices, Mr. Nordhoff reported that five meetings took place, designed in similar fashion to what had been done in the past. These were rotated around the community, attempting to conduct as much marketing and outreach as possible; however, unfortunately, attendance was down. He indicated that in the past, because of economic circumstances, staff had the opportunity to look at the ability to expand services or tick off SRCC Minutes (Regular) 06/16/2003 Page 10 SRCC Minutes (Regular) 06/16/2003 Page 11 projects either local communities or the City at large could be interested in. This time, however, the message was somewhat different and he believed people struggled with trying to decide what could be done with less. Mr. Nordhoff stated there was a full report in the packet and invited questions on this issue. Mayor Boro noted Mr. Nordhoff had done a great job, recognizing he had forwarded this report to everyone who attended the meetings, thereby keeping the City's promise. Councilmember Miller concurred that the sessions were difficult as it was not easy for the attendees to grasp the real choices. While the community sought everything, they also were aware of the realization that perhaps this was not possible. When the point is reached of having huge budget choices to make, he suggested again going out to the public to allow people to express their choices. Councilmember Heller inquired whether any feedback had been received as a result of the distribution of the choices update. Mr. Nordhoff stated the only indirect feedback he had received was a comment through the Mayor's office that someone had seen it, was appreciative of getting it and having a full perspective of the proceedings. He had not received any personal feedback to date. Going through the process, Councilmember Heller inquired whether the City's web pages were being kept up to date on budgeting, cuts, etc. Mr. Nordhoff stated that Lydia Romero, Assistant to the City Manager, had been assisting him in trying to keep the website up-to-date with as much information as possible. He indicated that some of tonight's information required a little retooling to have it more user friendly; however, the information was being updated on the website. Having taken two different actions this evening involving a lot of money going out to the community, Councilmember Heller inquired whether there was a way to indicate where this money was coming from, and that it did not come from the General Fund. Mr. Nordhoff stated he intended discussing in the Capital Improvement List how the funding was put together for the creek restoration. He noted it had been specified that bond money was being used for the open space acquisition; therefore, neither of the actions taken would solve this current problem. Councilmember Phillips inquired whether the $100,000 came from the General Fund. Mr. Nordhoff clarified that half was coming from gas taxes and the other half from storm water fees, for the City's match. The other half was coming from the neighborhood association and the General Fund was not being tapped for any money. Noting the only way the open space funds could be used was for the acquisition of open space, Councilmember Phillips inquired whether the $100,000 could not have been used in other ways. Mr. Nordhoff stated that gas tax or storm water funds could have been used in other ways, as they are discretionary; however, they are not General Fund monies and not part of the budget problem being faced today. In going through this very difficult process, Councilmember Phillips indicated he was very appreciative of the way Mr. Nordhoff and Mr. Gould had helped the City Council identify areas to focus their attention on and perhaps cut, in a number of cases, with the least amount of pain. He noted the public had difficulty in some cases as they were not completely aware of the scope of services provided. He indicated Mr. Nordhoff and Mr. Gould had been instrumental in assisting the City Council through the process, which he greatly appreciated. Indicating that the staff report summarized some of the major trends in Tax Revenues, Mr. Nordhoff reported that sales tax had a running six -quarter deficit and was back to levels below a few years ago, and the same held true for hotel taxes. He received some late information from staff this evening that indicated the next quarter, ending in June, would be up by approximately 1 %, albeit approximately only $40,000. Mr. Nordhoff reported that property tax and motor vehicle fees continue to remain stable sources; however, all of this was couched under the umbrella of the state $38 billion deficit. As recently as last week it was looking to "zip" local government of $1.1 billion, of which cities would pay $466 million. Should that proposal go forward, it would cost San Rafael approximately $925,000; this was not part of anything being discussed this evening, rather informational. Mr. Nordhoff reported staff built in some of the key underlying assumptions in connection with expenses, folding in all the costs of compensation for employees, as they were all under long term agreements, and making a modest adjustment of approximately 1.4% for operating expenses, a CPI index. SRCC Minutes (Regular) 06/16/2003 Page 11 SRCC Minutes (Regular) 06/16/2003 Page 12 On May 19th, the cost of insurance was discussed and Mr. Nordhoff stated the indications are that healthcare premiums and workers' compensation liability insurance are all rising, which is similar for San Rafael and other governments, as well as with the private sector. Getting to the heart of tonight's action, Mr. Nordhoff referred to Schedule I which contained a long list of items the City Council had considered over the course of a couple of meetings. He highlighted some of the actions for the coming year: • Closing the library one day per week. Although Friday was listed, there was not yet final resolution on whether this would be Friday or potentially some other day; however, a cost saving was associated with it, which also included eliminating a vacant library position; • Across the board cuts in travel, training and overtime; • Elimination of vacant positions in planning, parks, street maintenance and risk management; • Falkirk programming being pared down, as well as staffing and the hours open, particularly in the evenings; • Elimination of the DARE program in the Elementary schools; • Police Chief proposed restructuring the Investigations and Support Services units, which effectively, eliminates a currently filled position at the end of this calendar year; • Pursuant to much discussion, no further contribution of General Fund money to the remodeling of the Third Floor; such cost would solely rest with the Community Development Department, which had a couple of sources of funding; • The cost of the two engineers working on the new parking structure at Third and C Street had been assigned to the project. Funds are available in the project for this; therefore, the General Fund avoids that cost for a year; • A number of items were listed that would include either instituting new fees or implementing increases in existing fee based services. The Business Cost Study is close to completion and these would be returned to the City Council for specific action; however, estimates as to the value of these fee increases have been made. Mr. Nordhoff pointed out that an Employee Budget Workgroup consisting of approximately 20 employees from many departments spent a fair amount of time and came up with a number of ideas, and their involvement was highlighted on Schedule 1. This group created approximately $1.5 million worth of suggestions, with $2.2 million on the list for fiscal year 2003/2004; therefore their contributions had been significant. Pausing for questions, Mr. Nordhoff indicated that he and the City Manager had reviewed the list at least a couple of times and believed it codified everything staff was directed to do in terms of balancing the budget for this next fiscal year. Referring to the second column of information, because next year was being forecast, Mr. Nordhoff indicated staff would like to roll these numbers into the accounting machine to keep tabs on the deficit. The City Council would certainly have the opportunity to revisit these should it so choose. He stated that many of these were predicated on future retirements and a number of other items, and there would be other opportunities to review them; therefore, while not bound by the second column, Council should pay attention to the first column. Mr. Nordhoff confirmed for Mayor Boro that the $137,805 surplus in the first column was correct; however, was prior to discussing New Service Request items. On completion of the final budget, Mayor Boro requested staff provide a one-page summary on the workforce by department. Mr. Nordhoff indicated this was attached as Attachment E and he thanked Dennis Shives, Assistant Director, Finance, for putting this together at the last minute. He indicated that staff attempted to identify staffing patterns for the last couple of fiscal years and what they would look like in the two years of the two-year cycle. He indicated that staff reductions had been highlighted significantly and with one exception, they were all vacant positions. Mr. Nordhoff stated staff recommended the items on Schedule 1 be built into the budget and returned for the July 7th meeting. Regarding Attachments B and C, Mr. Nordhoff reported that the Capital Improvement Program Committee (CIP) meets once per month and for information, wished to give the City Council a SRCC Minutes (Regular) 06/16/2003 Page 12 SRCC Minutes (Regular) 06/16/2003 Page 13 sense of all the activities commenced in the last two-year budget cycle, listed on Attachment B. He indicated they were sorted by category and within those categories, staff had listed whether they were still active or completed. He pointed out that the list was fairly extensive; most of the work being borne by the Public Works Department with assistance from other departments, and approximately $46 million under management. Mr. Nordhoff indicated that what he found interesting about this was that in getting into leaner times, this active list would begin to shrink. He stated there was nothing to act on, it was provided for information. Turning his attention to Attachment C, Mr. Nordhoff reported this was a series of requests staff would like to put forward as part of adopting the budget: • The City continued to commit as much money from Gas Tax resources as possible and spreading it around wherever possible; therefore, staff considered committing over $800,000 per year in paving streets; • Action was taken this evening on the design work for the Third and Union Intersection. Some significant costs exist - from mitigation funds; however, staff was unsure where the remainder would come from; • Grant in the pipeline that would take care of an extensive pedestrian and bike signage program. Although informational at this point, staff believed it could come to life; • The creek improvements, while a $200,000 project, it was to be clearly understood the City was capping it at the available level of funding; therefore, should something different occur when bids are submitted, the item would be returned to Council to consider how the project could be pared down to stay within the funding level; • Some Gas Tax money is being held aside for Miscellaneous Right -Of -Way, i.e., $100,000 each year; • Appropriation of $100,000 from the General Fund for Sidewalk Replacement. Mr. Nordhoff was aware of the fact that the City Attorney's Office was evaluating shifting this responsibility to property owners and as this determination had not yet been made, the funding to continue the current level of sidewalk replacement was built into the budget; • Some Gas Tax money is set aside each year for Traffic Controller Replacement; • Traffic Camera Equipment for Miracle Mile was approved this evening; therefore, the total project cost of $120,000 was listed because some installation had to occur. Tonight's action was the actual physical purchase of the cameras; • The Crosswalk Improvement Grant was received; however, some minor modifications may be needed to the money, as the grant was slightly more than that listed in the schedule; • Community Services Director Carlene McCart had been contributing as a partner attempting to get the Skatepark up and running at the County facilities at McInnis Park. It was proposed to appropriate the City's portion of that, approximately $480,000, most of which would come from Proposition 12 or Proposition 40 reimbursements to the City; however, as it may be necessary to put the money out front, staff suggested using the Parkland Dedication sources. He indicated these were impact fees and did not come from the General Fund. Councilmember Heller questioned whether these Proposition funds were locked up at the state level. Mr. Gould stated assurances were received from the state. Councilmember Heller confirmed that should the City borrow against incoming funds, the state could not keep it. Mr. Gould reported that the County opened bids on this project last week and it was $200,000 more than the total project estimate; therefore, the County was scrambling to figure out how to trim back the project and find some additional funds. Ms. McCart had made clear to the County that the City's contribution was limited to that specified and he hoped the County could find a way to make this project a realization. Mr. Nordhoff confirmed that the City would be contributing $35,000 of Parkland fees, however, the remainder was all grant funded; • Regarding ADA efforts, for approximately ten years the City had been committing $100,000 to try to chip away fairly modestly at an extensive ADA list put forth in 1994. Staff requests that those monies go towards park areas that need restroom or similar renovations in this coming two-year period; SRCC Minutes (Regular) 06/16/2003 Page 13 SRCC Minutes (Regular) 06/16/2003 Page 14 • Community Services had been collecting key sales for tennis courts and the time was coming to resurface two courts, one each at Albert Park and Santa Margarita Park; Storm water fees tend to be divided up in three major chunks each fiscal year. Part would go into storm drain projects for replacement of storm lines; some to pump station upgrades, and Public Works requests the City continue to ensure some conditional surveys are carried out routinely to have a full assessment of infrastructure, which helps to decide where to spend the remainder of the money in terms of which pipes to fix; Adequate funding was not in place to repair buildings and with multi-million dollar assets, this is an item not currently built into the budget, rather it is looped around in the New Service Request section of the staff report. Staff would like the Council to consider setting aside what would amount to approximately three air conditioners for the San Rafael Community Center, which is about how far the money goes. Mr. Nordhoff stated staff would like to have something available should things break. Scott Clark, Facility Repair, had generated a list, included in the report, outlining his best assessment of where some of the monies could be needed. While not necessarily taking these in that order, they could be worked through at committee level to make the best use possible of those monies. Mr. Nordhoff stated these items had not been seen by the City Council before this evening; however, were the types of projects staff would like to build into the budget for the next year and schedule for the following year. Mayor Boro noted page 2 of Attachment C indicated that over two years, $600,000 would come out of the General Fund, the remainder coming from special funding sources, and he requested confirmation. Mr. Nordhoff concurred, with the exception of the column entitled Franchise Fees, which are also General Fund monies. Councilmember Miller inquired whether these were the fees dedicated for Resurfacing. Mr. Nordhoff explained that when the City Council took action to implement the Franchise Fee, it was clear they were very interested in committing this to Resurfacing; however, this could not be binding without getting into legal or other problems. Historically, however, the bulk of these monies have been allocated to street resurfacing efforts. Mr. Nordhoff stated that Attachment D summarizes Departmental New Service Requests. He indicated the City Manager evaluated the requests and these were his recommendations: • Request for a new vehicle in Code Enforcement, the bulk of such cost to be paid through a grant Community Development has received. A nominal increase (somewhere between $2,000 and $4,000) would be required in the budget to ensure maintenance and future replacement of the vehicle; • To date, six separate agencies participated with the San Quentin work crews, one of which is falling off. The City receives a lot of labor for little money through the use of this program; therefore, favored picking up the one-sixth, at a cost of $10,000; • To date, the Fire Department has been contracting for EMS Coordinator Services, and Fire Chief Marcucci believes the program would be better served by adding a position. Corte Madera is interested in partnering and this position (.60) would be paid from the EMS program; • Notification was received that the Police Department was the recipient of a three-year grant for a School Resources Officer. This would be a means of continuing in the school system, which Police Chief Cronin and his staff believe to be very valuable. The cost the grant does not cover would be paid by not filling a Crime Analyst position, due to retirement and relocation; • The item presented regarding converting fire engines to paramedic staffing is an equipment investment of approximately $120,000, and while staff believes it to be a very worthy effort; whatever is done to add cost to the paramedic program ultimately comes back in taxes. Mr. Nordhoff reported that the Measure P campaign last Fall increased the residential limit from $53 to $61 and he forecast that at least $2.00 of that would be used per year; therefore, it was necessary to be somewhat more cautious regarding adding in costs that have to be recovered. As approximately $20,000 - $25,000 would take care of one engine, should there be some monies remaining at the end of any particular year, staff would like to consider phasing it in and not having to return and make an immediate change in the tax rates. This is not recommended at this time; however, staff considers it a very important service consideration; SRCC Minutes (Regular) 06/16/2003 Page 14 SRCC Minutes (Regular) 06/16/2003 Page 15 A request was put forth for an Emergency Preparedness Budget that deals with transitioning the Emergency Preparedness responsibilities from the Fire Department to Public Works. Funds in a Disaster Preparedness Program in the Fire Department have been applied; therefore, the request for the increased amount of money was necessary for USAR training. A $28,000 grant is also included and separate work sheets (Attachments F and G) identify how the money moves around in those two years; Councilmember Miller inquired whether additional funds for this area were anticipated through Homeland Security, etc. City Manager Gould stated that according to the worksheets, staff assumes that most of the supplies and equipment needed for USAR, Emergency Preparedness and one-time costs, such as consultants to update the Emergency Plan, would be paid through grants that are part of the overall Homeland Security program. He indicated that some of those grants had been received, some were in the pipeline; however, staff was confident that most could be made of this one-time windfall from the federal level to secure these monies. The ongoing operating costs of Emergency Preparedness and USAR were the issues before Council this evening. Mayor Boro stated that monies were beginning to emanate for homeland defense and in fact, there is presently a $60 million grant nationwide for overtime on a prospective basis going forward. He was aware that Fire Chief Marcucci participates at the County level with a group that oversees these monies as they become available. He noted there was a big push and believed eventually, some success would be evident where the monies would begin to go to the so-called first defenders rather than through the State where they take their cut. As this continues, Mayor Boro believed the City would see some money and the City Manager had assured him that he and the Police and Fire Chiefs were monitoring the grants. Mr. Nordhoff continued with the New Service Requests: New State law requirements on how to regulate and smog the fleet. Public Works had studied this and believed it most cost-effective to conduct this in-house; therefore, it is proposed to purchase the necessary equipment. The Fleet Advisory Board recommends this to come from the Vehicle Replacement Fund and not be a General Fund obligation. • Facility maintenance work, at a cost of $100,000. Mr. Nordhoff explained that to take the General Fund cost of $268,000 and net it against the revenue costs of $131,000 would be approximately $136,000 of additional suggestions. Referring back to Schedule 1, he stated Council had taken action on slightly over $137,000; therefore, to build in these suggestions would still result in a balanced budget, while keeping in mind the fact that there are significant budget issues to resolve going forward. Referring to the State mandate for smog compliance, Councilmember Heller inquired whether this could be put on the list of unfunded mandates, and at some point perhaps the money would come from the State. Mr. Nordhoff explained that staff works through a process each year of attempting to codify everything that is mandated by the State for which potentially money could be obtained. A consulting firm assists with this and this could be added to the list. Councilmember Heller believed this money has been frozen presently and Mr. Nordhoff concurred. Regarding the New Service Requests, Councilmember Miller requested confirmation that $131,140 was coming in from sources other than the General Fund. Mr. Nordhoff responded affirmatively. Mr. Nordhoff stated that with Council's approval, staff would include these New Service Request items for July 7, 2003. Glena Coleman, teacher at Sun Valley School, noting the DARE program was being cut, stated that Officer Ratto was a very effective teacher and believed this program was not something to be casually cut. Reporting she has second and third grades, Ms. Coleman stated that when Officer Ratto comes in, the children relax and talk with him even though he is not necessarily addressing drugs at that point, rather common sense and safety issues for children. She indicated these are things they ordinarily do not get to discuss in the classroom and she was aware the upper grades addressed drugs more. Ms. Coleman stated she did not want to see this program removed without this comment. Police Chief Michael Cronin stated that no one would seek to minimize the importance of Officer Ratto's contact with children; however, in a tough budget year it was necessary to retreat to core competencies, of which teaching was not one. He indicated there is a great deal of mixed data available on the effectiveness of DARE programs over the long term and in light of the City's priorities, considerations and concerns about security, San Rafael had SRCC Minutes (Regular) 06/16/2003 Page 15 SRCC Minutes (Regular) 06/16/2003 Page 16 elected to focus more on traditional enforcement than teaching Chief Cronin reported that this year, the Department is doubling the number of School Resource Officers, to 2. He indicated this money cannot be used to fund the DARE program. Some interaction with students is anticipated in schools; however, this would not replace what Officer Ratto had done over the past three years. Mayor Boro stated tonight's action was to accept the recommendations which would be returned to Council on July 7, 2003 for adoption. He noted that a Special Meeting on the budget would take place on June 30, 2003 at 5:00 p.m. where options for the 2003-2004 and 2004-2005 budgets would be considered. Councilmember Miller moved and Councilmember Phillips seconded, to accept the report as presented. Councilmember Phillips noted that significant discussions had taken place around these issues to this point. AYES: COUNCILMEMBERS: Heller, Miller, Phillips and Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Cohen As mentioned by Mr. Nordhoff, City Manager Gould reiterated the indicators are that local government will suffer a significant shift of revenues on a one, two year or even permanent basis as a result of the budget discussions taking place presently in Sacramento. He indicated it was anyone's guess as to when those negotiations would be completed and when the State would actually enact a balanced budget; however, it was staff's belief that it was prudent for the City Council to act on the information and best projections available at this time. He suggested they move forward with the Budget Hearing on June 30, 2003, acting on July 7, 2003. Mr. Gould further underscored the need to be in a continuing budgeting mode for the next twelve months; therefore, he sought Council's concurrence that as Council agendas are set for the next year, to have at least one Budget Study Session per month that would allow Council to focus in deeply on functional and departmental budgets, revenue options, particular issues on which the City Council could require further discussions, especially policies or financial actions that cut across departments, to ensure they have as firm a grasp as possible of the various tradeoffs, and also to discuss public process. As Vice -Mayor Phillips had indicated, Mr. Gould stated that this evening the City Council was essentially "nodding" at reductions around the edges. Staff had tried as much as possible to avoid severe staff and service reductions; however, what is anticipated for the second of the two fiscal years and what staff expects will be added as a result of the State Budget decisions, would force much more difficult decision-making, necessitating more Council time to consider each of those choices. Mr. Gould stated staff was confident they would do this as well as possible in concert with the City Council, community and City staff. Councilmember Heller inquired whether the employees would remain involved in working with Council and staff as they produced some wonderful suggestions, were close to the issue and could see issues perhaps not apparent to Council. Mr. Gould stated that Mr. Nordhoff, and Mr. Richard Landis, who facilitated the Employee Budget Workgroup, inquired if the group would stay together and act as a sounding board, and it was intended to continue to use their expertise and solicit their thoughts as much more difficult options surface, to solve next year's and maybe even this year's budget gap, depending on when the State acts. Regarding information from Sacramento on the fact there could be some take-aways, including in the fiscal year 2003-2004, Mayor Boro inquired whether staff had been able to quantify potentially what this could mean to the City. Mr. Gould reported that the indicator being received from the City's lobbyist is that it works out to be approximately $16 per capita, or $925,000 per year, for the City of San Rafael and over $3 million for all the cities and towns in Marin. He stated he had confirmation on Friday from Senator Burton's office that indeed, this is the figure. The explanation given is that the Republicans have made this level of ongoing shifts, very much similar to the ERAF shift of the early 1990s, a quid pro quo for their acceptance of any tax increases in order to balance the State Budget for the coming year. He indicated the Democrats were being forced to look at something they otherwise would not do. SRCC Minutes (Regular) 06/16/2003 Page 16 SRCC Minutes (Regular) 06/16/2003 Page 17 Mr. Gould stated the lobbyist had also warned that Assemblymember Nation has yet to take a firm position on whether or not he would accept such an ongoing revenue shift from local government; therefore, staff was seeking time on Assemblymember Nation's agenda on Friday when he is back in the District in the hope that as many local leaders from Marin as possible would sit down with him to ascertain whether he would commit not to vote for a budget that includes an ongoing reduction of $1.1 billion of local government monies, $460 million dollars annually of city monies. Mr. Gould stated the State is indicating they would be flexible in that cities could use whatever funds they wished - reserves, General Fund, sales tax, property tax, or Redevelopment - they were indifferent to the source provided the money was forthcoming. Mr. Gould reported that cities are net donors to the State of California, meaning they generate far more revenues than are returned to cities for municipal services. This would exacerbate the situation, was bad fiscal policy; however, was very much part of the discussion. He indicated that sadly, it would be a victory should the City lose $1 million for a year or two rather than permanently, and would be a good outcome in this utmost awful of budget years. Mr. Gould stated it would be necessary for the City Council to consider mid -year budget adjustments to cope with the anticipated fallout, which would be very difficult. Mayor Boro stated it would then be necessary to have a Plan B for year One. Mr. Gould concurred and explained this had to be worked up with the City Council which was the reason for the additional study sessions. Mr. Nordhoff stated staff had not lost sight of the items already considered by the City Council in prior study sessions. COUNCILMEMBER REPORTS: 17. None. There being no further business, the City Council meeting was adjourned at 9:26 p.m. JEANNE M. LEONCINI, City Clerk APPROVED THIS DAY OF 12003 MAYOR OF THE CITY OF SAN RAFAEL SRCC Minutes (Regular) 06/16/2003 Page 17