Loading...
HomeMy WebLinkAboutAgenda Review Follow-up Alcala, Abigail From:Mendoza, Steven Sent:Friday, May 31, 2024 5:06 PM Cc:EMT - Directors Subject:Council Agenda Review Follow up Attachments:May 16 Budget Follow Up Memo to Council.docx Good Afternoon Mayor, Mayor Pro-Tem and Councilmembers (BCC), Here is our wrap up of the Agenda briefings for the City Council Meeting to be held on Tuesday June 4, 2024. Agenda Item # 8 - Informational report on this history and background of our Agreement with Bowers Museum. Council had asked for more information about art funding. Executive Director Kathryn Downs will make this part of her PowerPoint Presentation at Tuesday night’s Council Meeting. Agenda Item # 12 - Recognition of 72K in unclaimed monies. A Councilmember inquired: “What is the highest check that has gone uncashed?” The largest uncashed check was for Mr. Jeffrey Moore with a payment date of 10/29/20 for the amount of $12,086 related to Adult Cannabis payments made in December 2018. Agenda Item #16 - Mobile Computer Notebooks for Police Vehicles. A Councilmember inquired: “Why wasn’t the IT department the lead on this purchase?” The Police Department uses specialized computer equipment and software to effectively function in the field. This includes ruggedized laptops that have to operate well within a police vehicle environment as well as run the programs and use accessories unique to that profession. Further, the Police Department must abide by specific security regulations due to the nature of its work. For these reasons, the City has Information Technology specialists who focus solely on law enforcement systems. Their years of experience supporting this technology makes them experts and the best qualified for selecting the right tools for that function. In addition, the PD’s IT manager keeps CTIO Ciulla apprised of major system purchases and changes to ensure they remain in alignment with City standards. Agenda Item # 25 - Proposed contract to continue with “Invoice Cloud” for enhanced electronic billing and payment services included debit/credit processing. There was a question from a Councilmember who thought that we had arranged for payments to be accepted at 7-Eleven Convenience Stores: “Can we pay water bills at 7-Eleven convenience store.” A question also came in asking if Apple Pay, Zelle and/or Venmo are accepted as payment methods. Our Councilmembers have a very good memory. The City of Santa Ana did contract with Invoice Cloud with an option for enabling utility bill payment at places like 7- Eleven. Invoice Cloud began implementation for the City of Miami and it bombed. So Invoice Cloud pulled the service from their product menu. In other words, we were 1 never able to trigger our option. While preparing the 2nd amendment that’s on the June 4 agenda, Finance Staff asked Invoice Cloud about the service (Is it available now? Does it work?). Invoice Cloud said their attempts have been so awful that they have no plans to offer it. In regards to the option of using ApplePay, Zelle or Venmo – The contract allows for Apple Pay. Venmo is possible. Zelle is not. Agenda Item # 26 - Extensios of Aramark Contract for Inmate Meals There was a question about meals provided to the Inmates. Aramark prepares three daily meals for our jail population seven days per week. Aramark’s registered dieticians have developed a 2,800 calorie-per-day, 28-day rotating menu that meets or exceeds California Title 15, American Correctional Association (ACA), and National Commission on Correctional Healthcare (NCCHC) standards. This menu ensures that all incarcerated persons are served healthful meals that meet current Dietary Reference Intakes (DRI) and are of sufficient variety. Of the 21 weekly meals served, approximately 16 are hot, with approximately 5 chilled or partially chilled meals served as breakfast or lunch. Dinner is served as a hot meal 7 days per week. In addition to this standard menu, Aramark maintains dietician-approved menus designed to satisfy the specific needs of various medical conditions, allergies, religious observances, and dietary preferences. Besides meal preparation, Aramark manages our food service operation from start to finish, including supply acquisition and storage, preventative maintenance of kitchen equipment, and kitchen cleanliness. Agenda Item # 35 - Election Resolutions. A Councilmember inquired of the deadlines for ballot measures including Charter Amendments. The statutory deadline for a local jurisdiction to place a ballot measure on the November 5, 2024 ballot is August 9 (E-88); however, the Orange County Registrar of Voters has requested that all ballot measures be submitted no later than July 19, 2024 in order to allow full timeframes for submittal of arguments and rebuttals, public review timeframes, and any potential legal challenges to be decided upon in order to meet election material mailing deadlines. This would necessitate Council consideration of ballot measures at the July 16 meeting to meet the ROV’s request or at the July 30 special meeting or August 6 regular meeting to meet the statutory deadline, with reduced timeframes for the items mentioned above. Agenda Item # 36 - Second Reading of Water Shut Off Ordinance. Council inquired if there is any money in the budget to assist customers with Water Utility bills. The draft budget does not include any utility assistance. Kat’s Team has applied for some state funds known as California Extended Water and Waste Water Arrearage Payment Program which can assist with past due accounts. We are hoping for approval. Agenda Item # 38 - Issuance of $47M Water Bond. Council is interested in understanding the difference between us borrowing vs. Voter approved Bonds. Executive Director Downs has scheduled briefings with Councilmembers in advance of the City Council Meeting to bring each of you up to speed on this. We encourage you to accept her invitation. Agenda Item # 40 Budget Public Hearing Council is interested in getting an ARPA update to ensure funding doesn’t go unused. 2 Executive Director Kathryn Downs will incorporate this into the PowerPoint Presentation on Tuesday Night’s Council Meeting. nd A question came up about the 2nd reading of Budget Ordinance: “When can we have 2 reading of the Ordinance?” The 2nd reading may not be at a special meeting. But it may be at an adjourned rescheduled meeting. I have also reattached the May 16 Budget Follow Up Memo that we previously sent. Have a great weekend. Sincerely, Steven A. Mendoza Assistant City Manager 20 Civic Center Plaza (M25) Santa Ana, CA 92701 T: (714) 647-5246 F: (714) 647-6549 www.santa-ana.org/cda smendoza@santa-ana.org The mySantaAna mobile app puts the power of the Santa Ana city government in the palm of your hand! The free app alllows residents to quickly and easily report issues to the City, access City services, and find news and events. Download the App: Click here to report an issue directly from the City website. 3 MEMORANDUM To: City Council and Acting City Manager May 23, 2024 Date: From: Executive Director of Finance & Management Services Follow-Up for May 16 Budget Work Session Subject: During the City Council Budget Work Session on May 16, there were a number of questions and requests for additional information. Please find a summary below. We have scheduled 1:1 meetings with City Council members to answer any further questions in advance of your Budget Public Hearing on June 4. Arts Funding and Senior Programs. The proposed budget has been adjusted to remove the $240,000 funding from Santa Ana Holidays and reallocate it as follows: 1. CDA for Arts Funding $120,000. The existing CDA allocation is $200,000, so this addition will bring the total to $320,000. The proposed spending plan for the additional $120,000 follows. 2. PRCSA to expand Senior Programs $120,000. Blue Lights. PWA has provided an estimate of $50,000 each and recommends 6 locations along the Maple Street bike path. Staff has found that the $300,000 expenditure is eligible for ARPA funding and will reallocate funding as appropriate. Bowers Museum Agreement Background. The June 4 agenda includes a separate staff report with this information. Business License Fee of $24. The exhibit to the Budget Work Session staff report that included this fee was missing the word “List”. This fee is for purchase of a New Business License List. We commonly receive requests for a list of new businesses that have opened in Santa Ana. The fee is to provide a list. It has nothing to do with the business tax. Cameras for Safety & Security. PD has a June 4 agenda item to purchase 4 mobile cameras at a total cost of $98,324. These mobile units can be deployed and moved around the City. The June 4 staff report includes more detailed information. DescriptionFY 24-25 Council Member Salaries ($12,000 per Council Member) 84,000 Council Member Benefits (Retirement, Medicare, & Health Insurance) 73,140 Training & Meetings 38,500 Memberships & Subscriptions 59,800 Special Event Sponsorships & Meetings/Events ($15,000 X 7) 105,000 Holland & Knight - federal lobbyist 39,200 Townsend - state lobbyist 64,000 Contract Services contingency 32,500 Council Aides ($60,000 x 7) 420,000 Parking Validations 15,300 Auto Expenses ($500 per month, per Council Member) 42,000 Card stock and presentation folders for Council recognitions 10,000 Miscellaneous Event Supplies 10,000 Legislative Community Events Supplies 14,000 Building Maintenance Ongoing Allocation 71,530 Total FY 24-25 Budget 1,078,970 Capital Improvement Project Prior Years Allocations. For projects in the FY24- 25 CIP with prior year budget allocations, those prior year allocations will be included in the draft CIP document on your June 4 agenda. Cigarette Fee (Existing). The City has a regulatory Tobacco Retail License (SAMC Section 18-90 found here: https://library.municode.com/ca/santa_ana/codes/code_of_ordinances?nodeId=PTII THCO_CH18HESA_ARTIIITORELI). The regulatory permit is administered by the Police Department. Section 18-97 states that the fee for this permit is used exclusively to cover the cost of administration and enforcement (inspection and compliance checks, documentation of violations and prosecution of violators). City Council Proposed Budget Detail. Dog Park Estimate Details. The Third Quarter Budget Report on your June 4 agenda will include appropriation requests for an initial $4 million spending plan for the Dog Park. As additional funding is identified, additional elements of the originally envisioned project can become a Phase 2. Public Works is expected to provide a separate communication regarding the details of cost estimates. Downtown Free Parking on Sundays & Art Walk Day. The proposed FY24-25 budget includes a $1.6 million subsidy for the Parking Enterprise. That subsidy is based on free 1-hour parking, evenings and weekends. As an alternative, if the City offered free parking on Sundays and Art Walk Day instead of the free one-hour parking on evenings and weekends, the General Fund subsidy would be reduced to $0.4 million, freeing up $1.2 million to help balance future budgets. A visual summary of the options follow. DeptDescriptionDescription2FY24-25 BudgetColumn1 Trauma informed, non-law enforcement, homeless outreach CDACityNet Contract$ 1,955,923 and engagement street outreach teams. Grant Program manager and funds used to support street outreach teams, CDADedicated Staffnavigation center operating $ 1,452,010 expenses, and other homelessness related concernsGrant/GF Payment to The Illumination Carnegie Shelter Operating Foundation for year-round CDA$ 4,171,781 Expenses operation of homeless navigation center and other related expenses Grant PDHomeless Liaison Officers$ 2,103,345 GF Homeless related Public Safety PD$ 6,396,655 ResponseGF PBACode Enforcement Officers$ 470,150GF QOLT Clean-Up Contract Includes costs for Landscape West PWAHomeless Services & dedicated for homeless cleanup and City $ 1,031,130 staffStaffGF Permanent Local Housing HHAP RD4 Allocation$ 2,403,595 Allocation Support street outreach teams, CDAHHAP RD5 Allocationnavigation center operating $ 5,878,393 expenses, and other related items Grant Total$ 25,862,982 Homeless Budget Details ($25.9 million on slide 19 of the May 16 presentation). Opioid Task Force in Denver. The City Manager’s Office has the Denver Strategic Plan and will consider initiatives that can be incorporated into the Santa Ana Opioid Settlement spending plan. Parcels Not Contributing to Tax Base. The City receives property tax, sales tax, utility user tax, business license tax, and hotel visitor tax. Each parcel contributes a mix of some of these taxes to the City’s revenue base. 1. Property Tax: Property Tax is the 1% base assessment distributed to multiple taxing entities. Direct assessments are a different animal (e.g. school bond debt). There are 2 types of parcels for this Property Tax conversation. A list of parcels that do not pay the 1% Property Tax assessment is attached to this memo. a. Exempt parcels do not pay property tax (those owned by governmental agencies, public schools, affordable housing that are JPA’s formed to take market rate housing and convert it entirely to affordable housing, etc.). If a government owns a parcel outside of their jurisdiction they will pay property tax (e.g. water district with a tank outside their jurisdiction). Exempt parcels with on-site operations will still pay utility user tax and potentially sales tax (e.g. gift shop, cafe). b. Parcels with exemptions that pay a reduced amount of property tax or no property tax depending on the approved exemption. Parcels with exemptions are those owned by churches, private schools, hospitals, affordable housing not formed as a JPA, non-profits with on-site operations. These property owners must apply annually for their exemption. Those with on-site operations will still pay utility user tax and potentially sales tax (e.g. gift shop, cafe). This category also includes Mill Act properties. 2. Sales Tax: A government-owned parcel or a business-owned parcel may generate sales tax if they have taxable sales as defined by the state. Some businesses generate sales tax, and some do not (e.g. professional services office). 3. Utility User Tax: All parcels using electricity, water, or natural gas will pay this tax. 4. Business License Tax: All business operating in the City pays this tax. 5. Hotel Visitor Tax: All hotels and motels generate this tax. Police Metropolitan Division Elimination. The Budget Office is working with PD to reallocate the Metropolitan Division Funding to other PD budget programs. This change will be reflected in the updated budget document for your June 4 Public Hearing. The Police Department is expected to provide a separate communication regarding the deployment of Police Officers previously assigned to the Division, including the Met team. Sidewalk Spending. In addition to the $1 million sidewalk repair allocation in the proposed FY24-25 budget, various CIP projects include amounts for repair of adjacent sidewalks at the same time street repairs are done. Staff estimates this additional sidewalk repair work may total $940,000. When added to the $1 million allocation, the proposed FY24-25 budget includes nearly $2 million of sidewalk repair. Tobacco Tax and Alcohol Tax. City Council received a separate email from Laura Rossini on May 22. Water Tower Viewing Platform. Public Works is expected to provide a separate update for this item.