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HomeMy WebLinkAbout3-31-21 REOC Agenda PacketCity of San Luis Obispo, Agenda, Planning Commission Agenda REVENUE ENHANCEMENT OVERSIGHT COMMISSION Wednesday, March 31, 2021 Based on the threat of COVID-19 as reflected in the Proclamations of Emergency issued by both the Governor of the State of California, the San Luis Obispo County Emergency Services Director and the City Council of the City of San Luis Obispo as well as the Governor’s Executive Order N-29-20 issued on March 17, 2020, relating to the convening of public meetings in response to the COVID-19 pandemic, the City of San Luis Obispo will be holding all public meetings via teleconference. There will be no physical location for the Public to view the meeting. Below are instructions on how to view the meeting remotely and how to leave public comment. Additionally, members of the Revenue Enhancement Oversight Commissioners are allowed to attend the meeting via teleconference and to participate in the meeting to the same extent as if they were present. Using the most rapid means of communication available at this time, members of the public are encouraged to participate in Commission meetings in the following ways: 1. Remote Viewing - Members of the public who wish to watch the meeting can view: • View the Webinar (recommended for the best viewing quality): Registration URL: ➢ https://slocity-org.zoom.us/j/92289781248?pwd=WEtYUW90ekdTRmRHamFscnJDNEI4QT09 ➢ Webinar ID: 922 8978 1248 Join by Phone: ➢ Phone Number 1 669 900 6833 Webinar ID: 922 8978 1248 Passcode: 271317 ➢ Note: The City is switching to Zoom Webinar for City Council Meetings. All attendees will enter the meeting muted. An Attendee tutorial is available on YouTube; please test your audio settings. 2. Public Comment - The REOC will still be accepting public comment. Public comment can be submitted in the following ways: • Mail or Email Public Comment ➢ Received by 3:00 PM on the day of meeting - Can be submitted via email to advisorybodies@slocity.org or U.S. Mail to City Clerk at 990 Palm St. San Luis Obispo, CA 93401. All emails will be sent to Commissioners and saved as agenda correspondence however we cannot guarantee emails received after 3:00 PM on the day of the meeting we be sent out to Commission or uploaded to the website prior to the meeting starting. • Verbal Public Comment ➢ In Advance of the Meeting - Call (805) 781-7164; state and spell your name, the agenda item number you are calling about and leave your comment. The verbal comments must be limited to 3 minutes. All voicemails will be forwarded to the Commissioners and saved as Agenda Correspondence. Voicemails will not be played during the meeting. ➢ During the meeting – Joining the webinar (instructions above). Once public comment for the item you would like to speak on is called, please raise your virtual hand, your name will be called, and your mic will be unmuted. Contact the office of the City Clerk at cityclerk@slocity.org for more information. All Comments/Correspondence received will be saved as part of the record for the meeting. Revenue Enhancement Oversight Commission Agenda for March 31, 2021 Page 2 Wednesday, March 31, 2021 5:30 p.m. REGULAR MEETING Teleconference CALL TO ORDER Chairperson Jeannette McClure ROLL CALL : Commissioners Christopher Ellwood, Matt Quaglino, Tony Skapinsky, and Vice-Chair Jim Hamari PUBLIC COMMENT: At this time, people may address the Commission about items not on the agenda. Persons wishing to speak should come forward and state their name and address. Comments are limited to three minutes per person. Items raised at this time are generally referred to staff and, if action by the Commission is necessary, may be scheduled for a future meeting. CONSIDERATION OF MINUTES 1. Draft Minutes of the Revenue Enhancement Oversight Commission of February 18, 2021 BUSINESS ITEMS 2. FY 2019-20 Annual Community Report and Citizen Oversight Meeting. Recommendation: Review and take public testimony on the FY 2019-20 Local Revenue Measure Annual Community Report. (Greg Hermann) 3. Proposed 2021-23 Local Revenue Measure Expenditures Recommendation: As part of 2021-23 Financial Plan adoption, recommend to the City Council the use of Local Revenue Measure funds for the capital and operating expenditures as referenced in the report. (Greg Hermann). COMMENT AND DISCUSSION 4. Staff Updates 5. Commission Communications Revenue Enhancement Oversight Commission Agenda for March 31, 2021 Page 3 ADJOURNMENT The next Regular Meeting of the Revenue Enhancement Oversight Commission is scheduled for the Fall, 2021. The City of San Luis Obispo wishes to make all of its public meetings accessible to the public. Upon request, this agenda will be made available in appropriate alternative formats to persons with disabilities. Any person with a disability who requires a modification or accommodation in order to participate in a meeting should direct such request to the City Clerk’s Office at (805) 781-7100 at least 48 hours before the meeting, if possible. Telecommunications Device for the Deaf (805) 781-7107. Meeting audio recordings can be found at the following web address: http://opengov.slocity.org/weblink/1/fol/61028/Row1.aspx DRAFT Minutes – Revenue Enhancement Oversight Commission Meeting of February 18, 2021 Page 1 Minutes - DRAFT REVENUE ENHANCEMENT OVERSIGHT COMMISSION Thursday, February 18, 2021 Regular Meeting of the Revenue Enhancement Oversight Commission CALL TO ORDER A Regular Meeting of the San Luis Obispo Revenue Enhancement Oversight Commission was called to order on Thursday, February 18, 2021 at 5:30 p.m., by Chair McClure, via teleconference. ROLL CALL Present: Commissioners Christopher Ellwood, Matt Quaglino, Tony Skapinsky, Vice-Chair Jim Hamari and Chair McClure Absent: None Staff: Greg Hermann Deputy City Manager and Ryan Betz Assistant to the City Manager and Teresa Purrington, City Clerk. PUBLIC COMMENT ITEMS NOT ON THE AGENDA None. --End of Public Comment-- APPROVAL OF MINUTES 1. Consideration of Minutes of the Regular Revenue Enhancement Oversight Commission Meeting of December 17, 2020. ACTION: UPON MOTION BY COMMISSIONER SKAPINSKY SECONDED BY COMMISSIONER ELLWOOD, CARRIED 5-0, the Revenue Enhancement Oversight Commission approved the Minutes of the Regular Revenue Enhancement Oversight Commission Meeting of December 17, 2020, as presented. BUSINESS ITEMS 2. Long-Term Community Service and Investment Priorities for the Local Revenue Measure Derek Johnson, City Manager and Greg Hermann, Deputy City Manager provided a PowerPoint presentation and responded to Commissioner inquiries. DRAFT Minutes – Revenue Enhancement Oversight Commission Meeting of February 18, 2021, Page 2 Public Comment None --End of Public Comment-- ACTION: UPON MOTION BY COMMITTEE MEMBER SKAPINSKI, SECONDED BY COMMISSIONER QUAGLINO, CARRIED 5-0-0 to recommend to the City Council the Long-term Community Services and Investment Priorities for the Local Revenue Measure as part of the 2021-23 Financial Plan: Strategic Budget Direction on April 20, 2021, with change to the language for Improvement to the Street Maintenance as indicated. 3. Annual Audit Review Brigitte Elke, Finance Director and Debbie Malicoat, Accounting Manager provided a PowerPoint presentation and responded to Commissioner inquiries. Public Comment None --End of Public Comment-- ACTION: No action taken. 4. Draft 2019-20 Annual Community Report Review Ryan Betz, Assistant to the City Manager provided a PowerPoint presentation and responded to Commissioner inquiries. Public Comment None --End of Public Comment-- ACTION: UPON MOTION BY COMMITTEE MEMBER QUAGLINO, SECONDED BY VICE CHAIR HAMARI, CARRIED 5-0-0 to incorporate the changes discussed at the meeting. COMMENT AND DISCUSSION 5. Staff Updates Greg Hermann, Deputy City Manager provided staff updates. 6. Commission Communications DRAFT Minutes – Revenue Enhancement Oversight Commission Meeting of February 18, 2021, Page 3 ADJOURNMENT The meeting was adjourned at 7:37 p.m. The next Regular Revenue Enhancement Oversight Commission meeting is scheduled for March 31, 2021 at 5:30 p.m.,via teleconference. APPROVED BY THE REVENUE ENHANCEMENT OVERSIGHT COMMISSION: XX/XX/2021 Revenue Enhancement Oversight Commission March 10, 2016 Revenue Enhancement Oversight Commission Agenda Report Meeting Date: 3/31/21 Item Number: 2 FROM: Greg Hermann, Deputy City Manager Prepared By: Victoria Tonikian, Acting Assistant to the City Manager SUBJECT: FY 2019-20 LOCAL REVENUE MEASURE YEAR ANNUAL COMMUNITY REPORT/ANNUAL CITIZEN OVERSIGHT MEETING RECOMMENDATION 1. Review and take public testimony on the FY 2019-20 Local Revenue Measure Annual Community Report. DISCUSSION Background Chapter 3.15 of the Municipal Code (the Essential Services Transactions [Sales] and Use Tax) includes specific citizen oversight and fiscal accountability provisions for the Local Revenue Measure. These provisions require an Annual Community Report: Annual Community Report. A written report shall be reviewed at a public hearing by the Revenue Enhancement Oversight Commission, and a summary will be provided annually to every household in the community detailing how much revenue is being generated by the measure and how funds are being spent (MC 3.15.040.E). Annual Citizen Oversight Meeting. The REOC shall hold an annual essential services measure community forum for the purpose of taking input from residents and community members on preferences for the use of the revenues generated by the essential services tax. Chapter 3.15 of the Municipal Code (the Essential Services Transactions [Sales] and Use Tax) includes specific citizen oversight and fiscal accountability provisions for the Local Revenue Measure. These provisions require both an Annual Community Report and an Annual Citizen Oversight Meeting. Annual Community Report The FY 2019-20 Annual Community Report and Annual Report in Brief highlights the revenue and uses of the Local Revenue Measure for the fiscal year covering the time from July 2019 to June 2020 – during the coronavirus (COVID-19) pandemic and the continuous social and economic impacts on the community. The impacts of this ongoing situation will be reflected in the current fiscal year (July 2020 – June 2021) and for years to come. Due to the economic impacts, City revenues, including the Local Revenue Measure, are projected to be significantly lower in the current year (FY 2020-21). Both of these reports were developed based on feedback from the Revenue Enhancement Oversight Commission (REOC) as well as meetings with an ad-hoc subcommittee that was tasked with providing detailed recommendations. The Annual Community FY 2019-20 Local Revenue Measure Annual Community Report Page 2 Report in Brief (Attachment 1) was included in the City’s utility bills in March. The full Annual Community Report (Attachment 2) is available at www.slocity.org/budget and is featured on the homepage of the City’s website. The Annual Community Report highlights information from the Local Revenue Measure Summary Schedule which lists audited expenditures for operating and capital project costs as well as project completion updates. Local Revenue Measure Uses Expenditures are broken into the following categories: 1) Open Space Preservation, 2) Bicycle and Pedestrain Improvements, 3) Traffic Congestion Relief/Safety Improvements, 4) Public Safety, 5) Neighborhood Street Paving, 6) Code Enforcement, 7) Flood Protection, 8) Parks and Recreation/Senior Programs and Facilities, and 9) Other Vital Services and Capital Projects. Actual operating expenditures for FY 2019-2020 were approximately $2.2M (32%), and capital expenditures approximately $4.8M (68%), totaling approximately $7M. 1. Operating Uses ($2.2M) 100 percent of budgeted Local Revenue Measure operating program funds were expended in FY 2019-20. The largest use of Local Revenue Measure funding for operating costs was for FY 2019-20 Local Revenue Measure Annual Community Report Page 3 preservation of essential services, specifically for public safety. Examples of these costs were salaries for four Downtown Patrol Officers and one Sergeant. Other operating expenditures included positions in creek and flood protection, code enforcement and open space protection. 2. Capital Uses ($4.8M) 68 percent of available Local Revenue Measure capital project funds were expended in FY 2019- 20. Available funds are a combination of what was budgeted in FY 2019-20 and what was carried over from past fiscal years. This is typical of capital improvement projects that usually span over multiple years. Project phases don’t always align with fiscal years, and project schedules are subject to variables that cause delays. Budgeted funds for capital projects carry over year to year until the project is completed. The total amount of local revenue measure carryover for capital projects currently underway in FY 2020-21 is approximately $3.8M. 7% 9% 5% 27% 8% 13% 28% 3% 2019-20 Operating Use ($2.2M) Open Space Preservation Bicycle and Pedestrian Improvements Traffic Congestion Relief & Safety Improvements Public Safety Neighborhood Street Paving Code Enforcement Flood Protection Parks & Recreation/Senior Programs and Facilities FY 2019-20 Local Revenue Measure Annual Community Report Page 4 Specific details on which capital projects are carrying a balance are included in Attachment 2. Any funding remaining once projects are completed will be transferred into a Local Revenue Measure Completed Projects account. This funding could be used for other approved Local Revenue Measure projects that end up costing more than what was budgeted (subject to City Manager approval), or be reprogrammed to other capital projects that meet Local Revenue Measure priorities subject to REOC and City Council approval. The largest capital expenditures funded by the local revenue measure in FY 2019-20 were for Neighborhood Street Paving, specifically for the South Broad Street Improvements project and the surrounding neighborhoods. As the main route to the San Luis Obispo County Airport, surrounding neighborhoods, shopping and the Damon Garcia Sports Fields, South Broad Street is used by pedestrians, bicyclists and vehicles. The project included the removal of failing asphalt pavement and replacement with a new asphalt section to meet the demands for a variety of modes of transportation use. The project also included the construction of six new curb ramps and substantial roadway striping changes to improve bicycle safety. Other projects included a conservation easement for the Miossi Brothers La Cuesta Ranch open space, storm drain system replacements at Bullock Lane, and upgrades at the Sinsheimer Pool. 3% 14% 1% 22% 35% 0% 1% 21% 3% 2019-20 Capital Use ($4.8M) Open Space Preservation Bicycle and Pedestrian Improvements Traffic Congestion Relief & Safety Improvements Public Safety Neighborhood Street Paving Code Enforcement Flood Protection Parks & Recreation/Senior Programs and Facilities Other Vital Services & Capital Projects FY 2019-20 Local Revenue Measure Annual Community Report Page 5 Local Revenue Measure Revenues Audited revenues from the local half-percent sales tax totaled $7.7M in FY 2019-20, representing a 1% decrease from the adopted budget and an overall 8% decrease from the FY 2018-19 actuals, primarily due to the economic impacts of the COVID-19 pandemic. The adopted revenue budget for FY 20-21 is $7,957,000. The Local Revenue Measure has generated over $87.1M to protect and maintain essential services and facilities since its original adoption in 2006. FY 2019-20 Budgeted Revenues $7,313,000 FY 2019-20 Year End Revenues (Actuals) $7,728,870 Difference (+/-) $415,870 An updated forecast, including the projected reveue from the passage of Measure G-20 by the voters this past November, will in presented to the REOC in preparation of the preliminary 2021- 23 Finanical Plan scheduled to be presented to the City Council on April 20, 2021. The City Council is scheduled to review and adopt the 21-23 Financial Plan in June, 2021. CONCLUSION Though the goal for uses of the the Local Revenue Measure is a split of 70% for capital expenditures and 30% for operating, audited uses were 68% in capital expenditures and 32% in operating. This was primarily due to the delay in several large capital projects during the COVID- 19 pandemic while the City focused on delivering essential services to protect the health and safety of the community. Remaining balances in capital expenditures have been rolled forward to the current budget and will remain assigned to the projects until they are complete. A list of all of the projects budgeted in FY 2019-20 is included in Attachement 2. ATTACHMENTS 1. FY 2019-20 Annual Community Report in Brief 2. FY 2019-20 Local Revenue Measure Annual Community Report Open Space Local Revenue Measure funding was used for preliminary steps toward securing a conservation easement for the Miossi Brothers La Cuesta Ranch. The Miossi Open Space is expected to formally open to the public in Spring 2021 featuring new trails, overlook benches, an informational kiosk and other standard trailhead amenities. Public Safety The Local Revenue Measure funded patrol officers and a Sergeant, including the Downtown Bicycle Officers. Downtown patrol has been instrumental in being a visual deterrent and enforcement option in the downtown core to keep residents, businesses and visitors safe. Flood Protection The Bullock Lane storm drain replaced a corrugated metal pipe culvert crossing at Bullock Lane. In addition to a new culvert pipe, the project included installation of a concrete headwall and rock slope protection features to guard against major storm events. SPENDING HIGHLIGHTS 12%BICYCLE AND PEDESTRIAN IMPROVEMENTS $871,000 4%OPEN SPACE PRESERVATION $270,000 10%FLOOD PROTECTION $670,000 WHAT IS THE LOCAL REVENUE MEASURE? ANNUAL COMMUNITY REPORT IN BRIEF Fiscal Year 2019–20 (JULY 2019 - JUNE 2020) 24%PUBLIC SAFETY $1.7 million 27%NEIGHBORHOOD STREET PAVING (INCLUDES IMPROVEMENTS TO BIKE LANES) $1.9 million 15%PARKS AND RECREATION/ SENIOR PROGRAMS AND FACILITIES $1 million 2%TRAFFIC CONGESTION RELIEF/SAFETY IMPROVEMENTS $160,000 4%CODE ENFORCEMENT $310,000 2%OTHER VITAL SERVICES AND CAPITAL PROJECTS $133,000 2019–20 Local Revenue Measure funds were used on the following Council-adopted priorities: HOW WAS YOUR 1/2 PERCENT SALES TAX SPENT? The Local Revenue Measure – also known as Measure G – is a one-half percent local sales tax approved by City voters in November 2006. It protects and maintains essential services and facilities, such as open space preservation, bike lanes and sidewalks, public safety, neighborhood street paving and code enforcement, flood protection, senior programs, and other vital services and capital improvement projects. These community spending priorities help guide the Citizens’ Revenue Enhancement Oversight Commission (REOC) when making recommendations to the Council about Local Revenue Measure uses. The Council uses the REOC’s input, and additional public feedback, to prioritize use of the Local Revenue Measure funding as part of the City’s two- year financial planning process. This report in brief highlights the revenue and uses of the Local Revenue Measure for the time frame beginning July 2019 and ending June 2020. Due to the economic impacts of the COVID -19 pandemic, Local Revenue Measure revenues were lower than originally projected. To offset the loss in revenues, the City reduced and deferred non-essential services and non-critical infrastructure projects while prioritizing essential City services such as public safety and emergency response. The REOC will continue its oversight role on the use of the Local Revenue Measure to support accountability and public engagement efforts. The Local Revenue Measure continues to be a vital resource to deliver the community’s highest priorities and support San Luis Obispo’s economic stability, recovery and resiliency. Community members can learn more about the Local Revenue Measure by attending the virtual REOC meeting on March 31st at 5:30 p.m. or by visiting www.slocity.org/ localrevenue. Local one-half-percent sales tax revenue totaled $7.7 million in 2019–20, which added approximately 13 percent to the general fund. The Local Revenue Measure has generated more than $87.1 million since its original adoption in November 2006. REVENUES CITY OF SAN LUIS OBISPO // For a complete list of 2019–20 Local Revenue Measure uses, view the full report at slocity.org/localrevenue $7.7M South Broad Street Improvements As the main route to the San Luis Obispo County Airport, surrounding neighborhoods, shopping and the Damon Garcia Sports Fields, South Broad Street is used by pedestrians, bicyclists and vehicles. The project included the removal of failing asphalt pavement and replacement with a new asphalt section to meet the demands for a variety of modes of transportation using South Broad Street. The project also included the construction of six new curb ramps and substantial roadway striping changes to improve bicycle safety. For every $1 of revenue generated by the Local Revenue Measure, approximately 70¢ is paid by visitors and 30¢ is paid by City residents. (This information was based on 2019 data and may change in the current and future fiscal years due to the impacts of the COVID-19 pandemic on our community.) PROJECT HIGHLIGHT Operating Uses ($2.2M) // 32% – Funds positions that provide services Examples of these costs include funding for positions such as police officers, open space rangers and flood control staff. Capital Uses ($4.8M) // 68% – Funds construction and investment in equipment Examples of capital expenditures were the South Broad Street Improvements, a conservation easement for the Miossi Brothers La Cuesta Ranch, and the Islay Hill Park Playground. Islay Hill Park The Local Revenue Measure funded the replacement of the playground equipment and pathways at Islay Hill Park. The project also included new shade structures over the play areas, picnic tables and a hydration station. Bicycle Improvements Specific bicycle improvements included the installation of buffered bike lanes as well as the narrowing of vehicle travel lanes to increase bike lane widths. LOCAL REVENUE MEASURE ANNUAL COMMUNITY REPORT Fiscal Year 2019–20 CITY OF SAN LUIS OBISPO HOW DID WE SPEND REVENUES? PAGE 6 Read about how Local Revenue Measure funds were spent in 2019-2020. SOUTH BROAD STREET IMPROVEMENTS PAGE 8 Learn about our project that included asphalt replacement, new curb ramps, striping and bicycle safety improvements. 1 PROJECT SPOTLIGHT Islay Hill Park The Local Revenue Measure funded the replacement of the playground equipment and pathways at Islay Hill Park. The project also included new shade structures over the play areas, picnic tables and a hydration station. 2 This report highlights the revenue and uses of the Local Revenue Measure for the time frame beginning July 2019 and ending June 2020. Due to the economic impacts of the COVID-19 pandemic, Local Revenue Measure revenues were lower than originally projected. To offset the loss in revenues, the City reduced and deferred non-essential services and non-critical infrastructure projects while prioritizing essential City services such as public safety and emergency response. The Revenue Enhancement Oversight Commission (REOC) will continue its oversight role on the use of the Local Revenue Measure to support accountability and public engagement efforts. The Local Revenue Measure continues to be a vital resource to deliver the community’s highest priorities and support San Luis Obispo’s economic stability, recovery and resiliency. Community members can learn more about the Local Revenue Measure by visiting www.slocity.org/localrevenue. ANNUAL COMMUNITY REPORT: COVID-19 IMPACTS Local Revenue Measure funding was used for preliminary steps toward securing a conservation easement for the Miossi Brothers La Cuesta Ranch, which is the next phase of the project following the acquisition of the 266-acre Miossi Open Space in 2018-19. 3 The Local Revenue Measure – also known as Measure G – is a one- half percent local sales tax approved by City voters in November 2006. It protects and maintains essential services and facilities, such as open space preservation, bike lanes and sidewalks, public safety, neighborhood street paving and code enforcement, flood protection, senior programs, and other vital services and capital improvement projects. These community spending priorities help guide the Citizens’ Revenue Enhancement Oversight Commission (REOC) when making recommendations to the Council about Local Revenue Measure uses. The Council uses the REOC’s input, and additional public feedback, to prioritize use of the Local Revenue Measure funding as part of the City’s two-year financial planning process. The Local Revenue Measure (Measure G-20) was renewed and extended at a one and one half-percent rate in November 2020. WHAT IS THE LOCAL REVENUE MEASURE? The Local Revenue Measure funded patrol officers and a Sergeant, including the Downtown Bicycle Officers. Downtown patrol has been instrumental in being a visual deterrent and enforcement option in the downtown core to keep residents, businesses and visitors safe. This image was taken following all health and safety guidelines to reduce the spread of COVID-19. 4 “To protect and maintain essential services and facilities – such as open space preservation; bike lanes and sidewalks; public safety; neighborhood street paving and code enforcement; flood protection; senior programs; and other vital services and capital improvement projects – shall the City’s Municipal Code be amended to extend the current one-half percent local sales tax for eight years, with independent annual audits, public goal setting and budgeting, and a Citizens’ Oversight Commission?” LOCAL REVENUE BALLOT MEASURE (MEASURE G) Sinsheimer Pool Upgrades: The project consisted of the removal and replacement of the therapy pool’s plaster interior and other minor improvements to current public pool standards. New tiling, depth markers, stainless steel grabrail steps, underwater lights and an ADA compliant lift were also added. 5 Local one-half percent sales tax revenue totaled $7.7 million in 2019-20, which added approximately 13 percent to the general fund. The Local Revenue Measure has generated more than $87.1 million since its original adoption in November 2006. REVENUES Open Space Rangers: The Local Revenue Measure funded two Ranger positions. The Rangers helped maintain over 4,000 acres of open space and 55 miles of trails. They also led open space hikes with community members. 0 $2M $4M $6M $8M $10M FISCAL YEAR (July 1-June 30) 2019–20 $7.7M $6.5M $6.8M $7.1M $7.2M $7.4M $7.5M $8.4M 2012–13 2013–14 2014–15 2015–16 2016–17 2017–18 2018–19 0 $2M $4M $6M $8M $10M FISCAL YEAR (July 1-June 30) 2019–20 $7.7M $6.5M $6.8M $7.1M $7.2M $7.4M $7.5M $8.4M 2012–13 2013–14 2014–15 2015–16 2016–17 2017–18 2018–19 24% PUBLIC SAFETY $1.7 million 6USES 2019–20 2019-20 Local Revenue Measure funds were used on the following Council-adopted priorities: 15% PARKS AND RECREATION/ SENIOR PROGRAMS AND FACILITIES $1 million 4% OPEN SPACE PRESERVATION $270,000 10% FLOOD PROTECTION $670,000 12% BICYCLE AND PEDESTRIAN IMPROVEMENTS $871,000 2% TRAFFIC CONGESTION RELIEF/SAFETY IMPROVEMENTS $160,000 4% CODE ENFORCEMENT $310,000 2% OTHER VITAL SERVICES AND CAPITAL PROJECTS $133,000 27% NEIGHBORHOOD STREET PAVING (INCLUDES IMPROVEMENTS TO BIKE LANES) $1.9 million Bob Jones Trail Sealing Project: As part of the 2020 Roadway Sealing Project, a section of the Trail received a slurry seal and new striping 7USES 2019-20 For every $1 of revenue generated by the Local Revenue Measure, approximately 70¢ is paid by visitors and 30¢ is paid by City residents (This information was based on 2019 data and may change in the current and future fiscal years due to the impacts of the COVID-19 pandemic on our community.) Operating Uses ($2.2M) // 32% Capital Uses ($4.8M) // 68% To fund positions that provide services Examples of these costs include funding for positions such as police officers, open space rangers and flood control staff. To fund construction and investment in equipment Examples of capital expenditures were the South Broad Street Improvements, a conservation easement for the Miossi Brothers La Cuesta Ranch, and the Islay Hill Park Playground. Local Revenue Measure uses fall into two categories: operating programs and capital programs. Bullock Lane storm drain: The project replaced a corrugated metal pipe culvert (CMP) crossing at Bullock Lane. The CMP culvert was at risk of imminent failure due to pipe corrosion. In addition to a new culvert pipe, the project included installation of a concrete headwall and rock slope protection features to guard against major storm events. 8PROJECT SPOTLIGHT As the main route to the San Luis Obispo County Airport, surrounding neighborhoods, shopping and the Damon Garcia Sports Fields, South Broad Street is used by pedestrians, bicyclists and vehicles. The project included the removal of failing asphalt pavement and replacement with a new asphalt section to meet the demands for a variety of modes of transportation using South Broad Street. The project also included the construction of six new curb ramps and substantial roadway striping changes to improve bicycle safety. South Broad Street Improvements Specific bicycle improvements included the installation of buffered bike lanes as well as the narrowing of vehicle travel lanes to increase bike lane widths. 9 The Local Revenue Measure is a critical revenue source for community investment and economic recovery due to the impacts of COVID-19. The City is committed to completing projects that maintain infrastructure and support the delivery of essential services to residents and businesses. PLANNED LOCAL REVENUE MEASURE USES 2020 ROADWAY SEALING (IMPROVEMENTS TO 82 ROADS SPANNING 19 MILES) COMPLETED OCTOBER 2020 PAVEMENT AND PEDESTRIAN SAFETY IMPROVEMENTS ON HIGUERA STREET MAY 2021 PEDESESTRIAN CROSSING IMPROVEMENTS SUMMER 2021 MIOSSI OPEN SPACE OPENS TO THE PUBLIC SPRING 2021 RAILROAD SAFETY TRAIL (TAFT TO PEPPER STREETS) SUMMER 2021 MARSH ST BRIDGE COMPLETED JANUARY 2021 Public Safety Radio Tower: The project consisted of the removal and replacement of the existing radio shelter, antenna poles and generator to power the facility in case of an emergency or loss of power. A new 100’ radio tower was built to boost signal reception for public safety personnel responding to calls for service. 10 OPERATING PROGRAMS CAPITAL PROJECTS PROJECT TITLE 2019–20 (BUDGET) 2019–20 (ACTUAL) 2019–20 (BUDGET & CARRYOVER*) 2019–20 (ACTUAL) Urban Forest Maintenance 175,797 35,663 Laguna Lake Dredging and Sediment Management Project Implementation 19,977 14,316 Open Space - Annual Asset Maintenance Account 59,993 17,709 Open Space Acquisition 68,189 55,342 Ranger Services (Ranger Staffing: FTE= 2) 146,474 146,474 Subtotal 146,474 146,474 323,956 123,030 New Street Lights 76,101 26,079 Bicycle Facility Improvements 16,403 16,359 Railroad Safety Trail: Taft Street to Pepper Street 230,261 83,623 Sidewalk Replacement 169,707 142,836 Downtown Renewal 286,096 280,801 Active Transportation Plan 100,146 75,114 Anholm Neighborhood Greenway Plan - Phase 1 46,045 45,672 Transportation Planning and Engineering (Engineer, Active Transportation Manager: FTE=1.6) 200,678 200,678 Subtotal 200,678 200,678 924,759 670,484 OPEN SPACE PRESERVATION BICYCLE AND PEDESTRIAN IMPROVEMENTS CITY OF SAN LUIS OBISPO // LOCAL REVENUE MEASURE SUMMARY // FOR THE FISCAL YEAR ENDED JUNE 30, 2020 11CITY OF SAN LUIS OBISPO // LOCAL REVENUE MEASURE SUMMARY // FOR THE FISCAL YEAR ENDED JUNE 30, 2020 OPERATING PROGRAMS CAPITAL PROJECTS Transportation Safety & Operations Improvement 9,196 9,196 Traffic Safety Report Implementation 32,587 4,118 Neighborhood Traffic Improvements 94,094 37,079 Signal and Light Maintenance (Technician: FTE=1) 109,598 109,598 Subtotal 109,598 109,598 135,877 50,393 TRAFFIC CONGESTION RELIEF / SAFETY IMPROVEMENTS OPERATING PROGRAMS CAPITAL PROJECTS PROJECT TITLE 2019–20 (BUDGET) 2019–20 (ACTUAL) 2019–20 (BUDGET & CARRYOVER*) 2019–20 (ACTUAL) The Signal & Streetlight Technician operates and maintains traffic signals and streetlights on City streets to ensure safe and efficient traffic flow through intersections and provide well-lit streets and neighborhoods. 12CITY OF SAN LUIS OBISPO // LOCAL REVENUE MEASURE SUMMARY // FOR THE FISCAL YEAR ENDED JUNE 30, 2020 IT Public Safety Replacements & Improvements 442,287 116,087 Handheld and Vehicle Radio Replacement 203,000 City Firewall Replacement 154,863 154,856 Facility Parking Lot Maintenance 120,000 21,051 Police Station Replacement Study 160,310 47,022 Fire Station 4 Emergency Backup Generator 100,877 76,681 Emergency Dispatch Center DataAire Replacement 136,563 136,563 Community Safety Emergency Response Communication Equipment 516,855 237,059 Public Safety Surveillance Camera 3,435 3,435 Police Patrol Vehicle Replacements (5) 263,000 253,704 Police Station Building Maintenance and Improvements 17,500 9,310 Fire Stations Building Maintenance 101,100 12,390 Patrol Services (Officers, Sergeant: FTE = 4) 613,991 613,991 Subtotal 613,991 613,991 2,219,790 1,068,159 OPERATING PROGRAMS CAPITAL PROJECTS PROJECT TITLE 2019–20 (BUDGET) 2019–20 (ACTUAL) 2019–20 (BUDGET & CARRYOVER*) 2019–20 (ACTUAL) PUBLIC SAFETY The Local Revenue Measure is used to replace aging vehicles and equipment, including five Police patrol vehicles. South Broad Street Improvements 1,229,562 1,229,562 Street Reconstruction and Resurfacing - Annual Asset Maintenance Account 430,438 96,677 Marsh Street Bridge Replacement 725,089 357,964 Streets and Sidewalk Maintenance (Maintenance Worker, Project Engineer: FTE = 2) 178,017 178,017 Subtotal 178,017 178,017 2,385,089 1,684,203 13CITY OF SAN LUIS OBISPO // LOCAL REVENUE MEASURE SUMMARY // FOR THE FISCAL YEAR ENDED JUNE 30, 2020 OPERATING PROGRAMS CAPITAL PROJECTS PROJECT TITLE 2019–20 (BUDGET) 2019–20 (ACTUAL) 2019–20 (BUDGET & CARRYOVER*) 2019–20 (ACTUAL) NEIGHBORHOOD STREET PAVING INCLUDES IMPROVEMENTS TO BIKE LANES CODE ENFORCEMENT Mission Plaza Railing Upgrades 19,836 19,836 (Code Enforcement Officers, Code Enforcement Techncian: FTE = 3) 289,863 289,863 Subtotal 289,863 289,863 19,836 19,836 The Local Revenue Measure funded two Code Enforcement Officer and one Code Enforcement Technician positions focused on promoting health and safety in neighborhoods and increasing awareness of City policies. Code enforcement staff investigate potential building code and land use violations and patrol for violations of property maintenance standards. Storm Drain System Replacement 332,367 32,999 Creek and Flood Protection (Collection System Personnel: FTE = 6) 636,534 636,534 Subtotal 636,534 636,534 332,367 32,999 14CITY OF SAN LUIS OBISPO // LOCAL REVENUE MEASURE SUMMARY // FOR THE FISCAL YEAR ENDED JUNE 30, 2020 OPERATING PROGRAMS CAPITAL PROJECTS PROJECT TITLE 2019–20 (BUDGET) 2019–20 (ACTUAL) 2019–20 (BUDGET & CARRYOVER*) 2019–20 (ACTUAL) FLOOD PROTECTION PARKS AND RECREATION / SENIOR PROGRAMS AND FACILITIES Meadow Park Pedestrian Bridges and Pathways 263,187 239,867 Laguna Lake Golf Course Annual Maintenance 10,000 10,000 Parks Major Maintenance & Repairs 398,626 13,817 Mission Plaza Restroom Replacements and Enhancements 101,486 17,294 Swim Center Co-generation Plant 85,000 1,500 Islay Hill Park Playground Equipment Replacement 518,058 435,563 Swim Center Re-plaster Therapy Pool 121,170 121,170 Swim Center Building Maintenance and Equipment Replacement 18,978 13,557 Jack House Building Maintenance 57,500 12,750 City County Library Major Maintenance 110,420 110,356 Parks and Landscape Maintenance (Maintenance Worker: FTE = 1) 62,834 62,834 Subtotal 62,834 62,834 1,684,425 975,875 15 City Facilities HVAC Replacements 99,005 66,779 Multisite Energy Management 32,600 7,770 Fleet Replacements - Annual Asset Maintenance 127,359 5,425 Facilities Annual Asset Maintenance Account 232,371 49,557 Undesignated Capital 3,455 3,455 Subtotal 494,790 132,986 TOTAL LOCAL REVENUE MEASURE USES 2,237,989 2,237,989 8,520,889 4,757,963 CITY OF SAN LUIS OBISPO // LOCAL REVENUE MEASURE SUMMARY // FOR THE FISCAL YEAR ENDED JUNE 30, 2020 OPERATING PROGRAMS CAPITAL PROJECTS PROJECT TITLE 2019–20 (BUDGET) 2019–20 (ACTUAL) 2019–20 (BUDGET & CARRYOVER*) 2019–20 (ACTUAL) OTHER VITAL SERVICES AND CAPITAL PROJECTS *Budget & Carryover includes unspent funds for planned, but not yet completed projects. Funds will remain committed to those projects until completed. The project replaced a section of sidewalk in front of the businesses at 858 Higuera with new mission style sidewalk and underground structural supports due to the businesses’ basement underlying the sidewalk. 16 Open Space Preservation, Bicycle and Pedestrian Improvements, Traffic Congestion Relief/Safety Improvements, Public Safety, Neighborhood Street Paving, Code Enforcement, Flood Protection, Parks and Recreation/Senior Programs and Facilities, other Vital Services and Capital Projects. PRIORITIES SET BY THE CITY COUNCIL FOR FY 2019–20 INCLUDE: CITY OF SAN LUIS OBISPO For more information, please visit: www.slocity.org/budget Design: AMF Media Group Photography: Kelly Donohue Photography Owen Main Photography City of San Luis Obispo CITIZENS’ REVENUE ENHANCEMENT OVERSIGHT COMMISSION Volunteer Residents Serve on the Commission The Revenue Enhancement Oversight Commission (REOC) reviews, reports, and makes recommendations directly to the City Council regarding the revenue and expenditures of the City’s general purpose, half-percent sales tax. The REOC consists of five members, who must be residents and registered voters of the City. Matt Quaglino Commissioner Jeannette McClure Chair Tony Skapinsky Commissioner Jim Hamari Vice Chair Christopher Ellwood Commissioner Revenue Enhancement Oversight Commission Agenda Report Meeting Date: 3/31/21 Item Number: 3 DATE: March 31, 2021 FROM: Greg Hermann, Deputy City Manager Prepared By: Victoria Tonikian, Acting Assistant to the City Manager SUBJECT: PROPOSED 2021-23 LOCAL REVENUE MEASURE EXPENDITURES ENC: 1. Proposed 2021-23 Local Revenue Measure Expenditures 2. Responses from 21-23 Community Forum Local Revenue Measure Priority Ranking Exercise RECOMMENDATION In preparation for the 2021-23 Financial Plan adoption, recommend to the City Council the proposed use of Local Revenue Measure funds for the capital and operating expenditures as referenced in the report as consistent with approved priorities of the Local Revenue Measure. DISCUSSION Background The City’s 2021-23 financial planning process is well underway. One aspect of the financial planning process is recommending how to allocate General Fund revenues from the Local Revenue Measure. As a General Purposes Tax, the City’s Local Revenue Measure (G-20) expenditures are categorized as General Fund capital improvement project costs or operating costs. Capital Improvement Projects (CIP) fall into three categories; annual asset maintenance, asset replacement and new assets valued at over $25,000. General fund operating expenses are for staffing and programs that provide services and/or support capital project implementation. Role of the Commission The role of the Revenue Enhancement Oversight Commission (REOC) in this process is detailed in section 2.14.040 (E) of the City of San Luis Obispo Municipal Code which states: “E. Budget Recommendations. The REOC shall meet for the purpose of making recommendations to the city council regarding the uses of revenue generated by the essential services measure. The REOC shall take into consideration the input provided by residents and community members during the annual citizen oversight meeting, the purpose of the essential services measure, the major city goals established by the city council, and the amount of revenue available from past fiscal years and projected to be available during the next fiscal year, in making its budget recommendations to the council.” City of San Luis Obispo, Title, Subtitle Proposed 2021-23 Local Revenue Measure Expenditures Page 2 Community Input There has been significant community engagement leading up to the development of the 2021-23 Financial Plan. Prior to the bi-annual Community Forum, over 1,285 individual responses (or 64.3 hours of public comment) were received for the Community Priority survey. Additionally, over 150 members of the community attended the virtual Community Forum on January 14, 2021 (which also served as the Annual Citizen Oversight Meeting). Lastly, over 634 individual responses (or 31.7 hours of public comment) were completed proceeding the Community Forum. Responses from 21-23 Community Forum Local Revenue Measure Priority Ranking Exercise have been included as Attachment 2. Spending Priorities Based on community input used to create the ballot language for Measure G-20, the REOC at the February 18, 2021 meeting approved the following ten spending priorities that were used to create the recommend projects and services to be included in the 2021-23 Financial Plan: 1. Protect Financial Stability 2. Community Safety and Emergency Preparedness 3. Creek and Flood Protection 4. Address Homelessness 5. Safe and Clean Public Areas 6. Economic Development and Business Retention 7. Youth/Senior Services and Recreation Facilities 8. Street Maintenance and Transportation (includes bicycle and pedestrian improvements) 9. Open Space/Natural Areas Preservation and Maintenance 10. Other Services and Projects Major City Goals for 2021-23 Based on extensive community input, on February 16, 2021, the City Council adopted the following Major City Goals for the 2021-23 Financial Plan: Economic Recovery, Resiliency and Fiscal Sustainability In collaboration with local partners, continue to support economic recovery for all from the COVID-19 pandemic and support a thriving local economy by supporting local businesses, arts and culture, downtown vitality, practicing fiscal responsibility, paying down unfunded pension liabilities, and investing in critical infrastructure. Diversity, Equity, and Inclusion (DEI) In response to our commitment to making San Luis Obispo a more welcoming and inclusive city for all, continue to develop programs and policies to support diversity, equity, and inclusion (DEI) initiatives and advance the recommendations of the DEI Task Force. Housing and Homelessness In order to expand housing options for all, continue to facilitate the production of housing, including the necessary supporting infrastructure, with an emphasis on affordable and workforce housing. Collaborate with local non-profit partners, and the county, the state and federal City of San Luis Obispo, Title, Subtitle Proposed 2021-23 Local Revenue Measure Expenditures Page 3 government to discover and implement comprehensive and effective strategies to reduce chronic homelessness. Climate Action, Open Space and Sustainable Transportation To proactively address the climate crisis, continue to update and implement the Climate Action Plan for carbon neutrality, including preservation and enhancement of open space and urban forest, alternative and sustainable transportation, and planning and implementation for resilience. Revenue The current revenue projections for the Local Revenue Measure for the 2021-23 Financial Plan are as follows: 2021-23 LRM Revenue Projections FY 2021-22 $24,279,000 FY 2022-23 $25,202,000 Total $49,481,000 These projections reflect the passage of Measure G-20 by the voters in November 2020. These forecasted revenue amounts will change over time and updates will be provided to the REOC and City Council accordingly. These revenue amounts are based on the latest forecast from HDL which the City contracts with to analyze regional and local trends and translate these into revenue forecasts. The “tripling” of revenues from the previously approved measure means that the LRM is the City’s largest revenue stream. It also means that the capital improvement projects which can occur going forward may be much larger in budget, scale, and impact than the past. Balance of Capital Versus Operating Costs Previous input from the community and REOC has been to prioritize Local Revenue Measure funds for CIP. In recent years, expenditures have been split approximately 70% capital and 30% operating costs. Operating program costs frequently follow and/or support the implementation of CIP projects; for instance, the construction of a new park will require staff to maintain it. In addition, operating programs deliver essential services that align with Local Revenue Measure priorities. Given this interrelationship, it would not be sustainable to allocate all Local Revenue Measure dollars solely to CIP projects without related operating program support to implement the projects nor would this approach address some of the expectations from the public for services. In the 2021-23 Financial Plan, expenditures are proposed to be budgeted at 75% capital and 25% operating costs, with an expectation of a range in future years of approximately 85% capital and 15% operating costs. The reason for the increased operating allocation during the 2021-23 Financial Plan is two-fold. First, there is an increase of one-time funding that will help provide immediate economic recovery resources and other operating resources needed to help the local economy recovery from the City of San Luis Obispo, Title, Subtitle Proposed 2021-23 Local Revenue Measure Expenditures Page 4 COVID-19 pandemic and other emergent priorities. Second, it allows the City time to ramp-up the operating resources necessary to deliver on the ambitious Capital Improvement Plan. The balance of CIP and operating costs for the 2021-23 Financial Plan are listed below: CIP Expenditure Percentage Operating Expenditure Percentage FY 2021-22 73.6% 25.9% FY 2022-23 74.5% 24.9% American Rescue Plan – Federal Stimulus Funding On March 6, 2021, the Federal Government released a second stimulus bill known as the American Rescue Plan, providing $1.9 trillion in funding. In a historic move, the bill includes direct payments to 19,000 municipalities in the nation and San Luis Obispo will receive $8.93 million to counter-act the far-reaching effects of the pandemic on the community’s well-being. For a jurisdiction such as the City, funding will come through the State which has 60 days to release the first half with the second 50% being distributed a year later. Jurisdictions have until December 31, 2024 to spend the funding. The restrictions on the use of funds are few, but it clearly denotes that it cannot be used to fund pension obligations. Staff recommends using the funding pursuant to following: “For the provision of government services to the extent of the reduction in revenue of such State, territory, or Tribal government due to the COVID–19 public health emergency relative to revenues collected in the most recent full fiscal year of the State, territory, or Tribal government prior to the emergency.” Considering the City’s revenue in sales tax, transient occupancy tax, and Parks & Recreation fees in 2018-19, $4.4 million in revenue was lost in 2019-20 and a further loss of $4.5 million is expected in 2020-21. The funding will therefore assist in reinstating frozen positions, provide funding for homelessness and housing, and invest in capital projects that had to be defunded due to the revenue shortfall. It will therefore allow the City to remove Fiscal Health Contingency Plan restrictions earlier than otherwise possible. Lastly, as of the writing of this report the City was working to complete project materials for Federal “Earmarked” Funds for regionally beneficial capital improvement projects which may result in other funding opportunities for the City. Recommended Projects and Services As highlighted above, at the February 18, 2021 REOC meeting, the REOC approved 10 long-term Community Services and Investment priorities. Projects and Services were evaluated using both these priorities and the Major City Goals established by the City Council to align funding for projects and services with revenue projections and recently approved ARP funding. Each project and service were reviewed by the CIP Committee and the Financial Plan Steering Committee comprised of department heads and staff from multiple City departments. The identified projects and services were then reviewed for final recommendations by the City Manager. City of San Luis Obispo, Title, Subtitle Proposed 2021-23 Local Revenue Measure Expenditures Page 5 The following discusses proposed Local Revenue Measure capital and operating expenditures for each fiscal year in more detail. FY 2021-22 Local Revenue Measure Uses The following chart illustrates the breakdown of proposed FY 2021-22 Local Revenue Measure Uses by spending priority: A detailed list of the projects and services funded through the Local Revenue Measure in FY 2021-2022 is included in Attachment 1, but specific highlights include: funding for Police Officers and Firefighters, contributions to expand capacity at the 40 Prado Homeless Services Center, creation of pilot Mobile Crisis Unit to address calls for service related to mental health, an additional social worker to work in coordination with the Police Department’s Community Action Team, additional funding for business support programs and other economic development activities, an additional Ranger Maintenance Worker, funding for open space fuel reduction, funding for future open space acquisition, replacement of the 911 system, permanent Downtown zig-zag lighting and Downtown public art installations, playground equipment replacement at several parks, Railroad Safety Trail fencing, Laguna Lake dredging, pedestrian and bicycle pathway maintenance, implementation of Phase II of the Anholm Neighborhood Greenway Plan and street reconstruction and resurfacing Downtown including bicycle and pedestrian improvements. FY 2022-23 Local Revenue Measure Uses 1% 14% 7% 3% 4% 8% 14% 35% 8% 6% 2021-22 LRM Uses ($24.1 M) Protect Financial Stability Community Safety and Emergency Preparedness Creek and Flood Protection Address Homelessness Safe and Clean Public Areas Economic Development and Business Retention Youth/Senior Services and Recreation Facilities Street Maintenance and Transportation (includes bicycle and pedestrian improvements) Open Space/Natural Areas Preservation and Maintenance Other Services and Projects City of San Luis Obispo, Title, Subtitle Proposed 2021-23 Local Revenue Measure Expenditures Page 6 The following chart illustrates the breakdown of proposed FY 2022-23 Local Revenue Measure Uses by spending priority: A detailed list of the projects and services funded through the Local Revenue Measure in FY 2022-23 is included in Attachment 1, but specific highlights include: replacement of critical equipment for the Fire Department, a new Fire Training/Safety Captain, additional resources to remove trash and debris from parks, open space and creeks, support for holiday lighting and activation Downtown, support for arts and culture based businesses and non-profits, supplies and equipment for recreation facilities and programs, replacement of storm drain infrastructure, safety lighting for the Bob Jones trail, funding for restroom replacement and kiosk café in Mission Plaza, traffic congestion relief and safety improvements projects, replacement of playground equipment at Mitchell Park, funding for Prado Road bridge and widening, traffic signal and striping maintenance, street and sidewalk maintenance services, public safety vehicle replacements, and electric vehicle charging stations at various City facilities. 2021-2023 LRM Capital and Operating Uses The following charts illustrate the proposed LRM uses over the two-year financial plan by spending priorities for both the CIP and operating expenses. 1% 12% 6% 3% 12% 3% 9% 41% 4% 9% 2022-23 LRM Uses ($25 M) Protect Financial Stability Community Safety and Emergency Preparedness Creek and Flood Protection Address Homelessness Safe and Clean Public Areas Economic Development and Business Retention Youth/Senior Services and Recreation Facilities Street Maintenance and Transportation (includes bicycle and pedestrian improvements) Open Space/Natural Areas Preservation and Maintenance Other Services and Projects City of San Luis Obispo, Title, Subtitle Proposed 2021-23 Local Revenue Measure Expenditures Page 7 0% 10% 4%0% 9% 3% 14% 46% 5% 9% 2021-2023 LRM Capital Uses ($36.6 M) Protect Financial Stability Community Safety and Emergency Preparedness Creek and Flood Protection Address Homelessness Safe and Clean Public Areas Economic Development and Business Retention Youth/Senior Services and Recreation Facilities Street Maintenance and Transportation (includes bicycle and pedestrian improvements) Open Space/Natural Areas Preservation and Maintenance Other Services and Projects 5% 23% 10% 11%4% 14% 5% 16% 8%4% 2021-2023 LRM Operating Uses ($12.5 M) Protect Financial Stability Community Safety and Emergency Preparedness Creek and Flood Protection Address Homelessness Safe and Clean Public Areas Economic Development and Business Retention Youth/Senior Services and Recreation Facilities Street Maintenance and Transportation (includes bicycle and pedestrian improvements) Open Space/Natural Areas Preservation and Maintenance Other Services and Projects City of San Luis Obispo, Title, Subtitle Proposed 2021-23 Local Revenue Measure Expenditures Page 8 Next Steps The REOC serves an important advisory and oversight role to the City Council and community by reviewing and making recommendations on the use of Local Revenue Measure funds and expenditures and providing a publicly distributed annual community report. The REOC’s input, along with community feedback at public meetings and through surveys informs the City Council how the community would like the City Council to prioritize the use of Local Revenue Measure funding. The City Council will discuss the recommendations from the REOC and the 2021-23 Financial Plan at their April 20, 2021 Strategic Budget Direction focused meeting. Attachments 1. Proposed 2021-23 Local Revenue Measure Expenditures 2. Responses from 21-23 Community Forum Local Revenue Measure Priority Ranking Exercise 2021-222022-232021-222022-23Protect Financial Stability1 Fire Policy Research Software (Lexipol)11,169 9,369 E2 Fire Injury Reduction Program18,000 18,000 E3 Application Systems Specialist (1 FTE)105,312 110,384 E4 Financial Specialist - Accounting (1 FTE)73,882 77,281 E5 Accounting Assistant (1 FTE)68,004 71,106 E6 Half-Time Technology Project Manager (.5 FTE)52,444 54,669 Subtotal328,811 340,809 - - Community Safety and Emergency Preparedness7 General Plan - Safety Element Environmental Review25,000 - C8 Police Records Reporting Software15,400 - D9 Emergency Response Live - Fire Training Improvements20,045 17,570 10Fire Intern Program22,691 23,257 -- D11 Fire Recruitment Academy Support and Supplies29,000 - D12 Fire Emergency Operations Center Training (Emergency Management Services)30,000 30,000 13Police - Public Safety Equipment Replacement and Supplies12,600 70,881 14Fire Equipment Replacement (PPE, AED, etc.)177,499 15Fire Inspection Management Software (Mobile Eyes)12,200 12,200 16Fire Technical Rescue Team Expansion17,850 9,150 C17 Open Space and Creeks Hazardous Tree Removals20,000 20,000 C18 Fire Training/Safety Captain191,276 191,276 19Community Safety and Emergency Preparedness (Firefighters, 2; Downtown Police Patrol Officers, 3, Downtown Sergeant, 1): FTE 6936,747 1,003,483 E20Initial Design Study - Police Station Replacement100,000 300,000 21Police - Information Technology (Storage Area Network (SAN), Computer Aided Dispatch Hardware, Security Cameras, Interview Recording System)446,000 316,000 22Police Evidence Storage Bldg. and Police Range - Roof Replacement5,000 47,200 23Fire Station #1 Administration Bldg. Roof Replacement270,000 -24 Fire Station #1 Roof Access Ladders50,000 -25 Fire Station # 2 Parking Lot Maintenance45,000 -26 Fire Station #3 & #4 Remodel Space Study and Design25,000 75,000 27Fire Station #4 Exterior Paint-27,500 28Fire Hydrant Replacement40,000 40,000 29Facility Roll Up Door Replacements - Various Locations17,000 15,000 Project TitleOperating ProgramsCapital Improvement PlanMCG2021-23 Local Revenue Measure ExpendituresThe following uses of local sales tax revenue are consistent with Council goals and objectives, the spending priorities of voter-approved Local Revenue Measure (Measure G-20), and the recommendations of the Citizens' Revenue Enhancement Oversight Commission (REOC). The categories listed were developed and approved by the REOC.#MCG Key: E: Economic Recovery, Resiliency and Fiscal Sustainability; D: Diversity, Equity, and Inclusion (DEI); H: Housing and Homelessness; C: Climate Action, Open Space and Sustainable Transportation. *Light gray shaded projects are one-time funded. 2021-222022-232021-222022-23Project TitleOperating ProgramsCapital Improvement PlanMCG#30Police - Fleet Replacement (Patrol Hybrid SUV, 2/YR; Motorcycles; SNAP SUV, 1; Investigations SUV, 1)220,000 235,000 31Fire - Fleet Replacement (1/2 ton truck, 1; Heavy Duty Truck, 1; Heavy Duty Truck w/ Utility Bed, 1; Compact Truck, 1; Open Space Rescue Truck, 1)275,000 465,000 32Radio Handhelds & Mobiles (Police and Fire)116,758 - 33Uninterruptible Power Supplies 42,465 - 34VMware Infrastructure Upgrade110,250 -35 Pipe Inspection Software & Licenses23,500 -36 911 Phone System Replacement250,000 -Subtotal1,332,809 1,555,316 2,035,973 1,520,700 Creek and Flood Protection 37 Creek and Flood Protection ( Wastewater Collection Operators and Supervisor, Environmental Compliance Inspectors, Stormwater Management, Environmental Programs Manager): FTE 6 632,567 659,031 C38Storm Drainage Infrastructure Replacement (multiple locations)850,000 500,000 C39 Woodbridge Groundwater Runoff Diversion10,000 175,000 C40 Creek Trash Capture 50,000 50,000 C41 Pismo/Johnson/San Luis Creek Bank Stabilization50,000 - CSubtotal632,567 659,031 960,000 725,000 Address Homelessness 42Homelessness Strategic Plan35,000 - H43Expansion of 40 Prado Homeless Services Center Bed Capacity 63,826 63,826 H44Housing and Homelessness Contract Services Support117,000 117,000 H45Mobile Crisis Unit (Paramedic and Social Worker Pilot Program)300,000 300,000 H46CAT Team Social Worker125,188 116,188 H47Parks and Open Space Environmental Clean-Up Resources65,000 70,000 HSubtotal706,014 667,014 - - Safe and Clean Public Areas48 Increased Trash and Recycling Services in Public Spaces125,000 125,000 E49Additional Landscape Maintenance Contract Services55,000 65,000 E50Safe and Clean Public Areas (Parks Maint. Specialist): FTE 178,271 82,650 E51Bob Jones Trail and Railroad Safety Trail Solar Lighting100,000 1,350,000 C52Mission Plaza Concept Plan Implementation (Phase 1 - Restroom Replacement and Kiosk Café)- 1,035,000 E53 Mission Plaza Railing replacement80,000 - E54Downtown Safety Enhancement (street bollards)400,000 - E55Curb Ramps and Sidewalks Replacement (various locations)50,000 150,000 56Sidewalk Replacement and Installation (includes street trees)100,000 100,000 57Street and Pathway Lighting (various locations)75,000 75,000 Subtotal258,271 272,650 805,000 2,710,000 Economic Development and Business Retention 58 Arts, Culture and Community Partner Support50,000 25,000 E59 Business Promotions and Communication Support80,000 EMCG Key: E: Economic Recovery, Resiliency and Fiscal Sustainability; D: Diversity, Equity, and Inclusion (DEI); H: Housing and Homelessness; C: Climate Action, Open Space and Sustainable Transportation. *Light gray shaded projects are one-time funded. 2021-22 2022-23 2021-22 2022-23Project TitleOperating ProgramsCapital Improvement PlanMCG#60 Open SLO - Downtown Dining Temporary Staffing 13,688 27,375 - - E61 Economic Development Program Support 50,000 25,000 E62 Economic Development Data Tracking and Reporting 30,000 30,000 E63 New Economic Development Strategic Plan - 100,000 E64 Support for Underserved/Underrepresented Community Businesses- 150,000 D65 TBD Business Retention/Recovery Programs 500,000 250,000 E66 Zoning Regulations Update for Downtown Uses and Flexible Outdoor Spaces Citywide 125,000 - E67 Holiday Activation Support in Downtown for Lighting and Other Features 150,000 150,000 E68 Downtown Zig-Zag Lighting250,000 - E69 Downtown Public Art Installations200,000 - E70 Additional Banner Arms, Bench Arm Rests, Signs100,000 25,000 E71 Downtown Renewal (Open SLO: Supplemental funding for Curbside Parklets)200,000 - E72 Annual Public Art Maintenance and Projects (Utility Box Beautification, Small Public Art Projects, Maintenance) 92,500 92,500 ESubtotal998,688 757,375 842,500 117,500 Youth/Senior Services and Recreation Facilities 73 One-Time Aquatics Supplemental Staff due to COVID-19 Protocols62,000 - 74SLO Swim Center Minor Capital Maintenance and Operating Costs (Electricity conversation for solar)55,000 55,000 75 Swim Center Supplies (pool chemicals, etc.)25,000 25,000 76 Youth Services Staffing Resources (Equivalent to 1.5 FTEs)93,227 132,045 - - 77 Youth/Senior Services and Recreation Facilities (Parks Maint. Specialist): FTE 1 72,932 77,425 78 Parks and Recreation Master Plan Implementation200,000 200,000 79 DeVaul Ranch Playground Equipment Replacement60,000 - 80 Vista Lago Mini Park Playground Equipment Replacement50,000 - 81 Mitchell Park Playground Equipment Replacement- 100,000 82 Cheng Park Revitalization300,000 - D83 Meadow Park Pathways Refurbishment250,000 - 84 Orcutt Area - Linear Park Planning and Construction- 815,000 85 North Broad Street Neighborhood Park Construction175,000 - 86 Mission Plaza Arbor Refurbishment15,000 70,000 87 Jack House Arbor refurbishment- 7,500 88 Meadow Park Exercise/Par Course Equipment Replacement- 20,000 89 Parks Play Area Surfacing30,000 30,000 90 Santa Rosa Park Barbecue Replacements- 7,500 91 Poinsettia Creek Walk Pathway Refurbishment200,000 - MCG Key: E: Economic Recovery, Resiliency and Fiscal Sustainability; D: Diversity, Equity, and Inclusion (DEI); H: Housing and Homelessness; C: Climate Action, Open Space and Sustainable Transportation. *Light gray shaded projects are one-time funded. 2021-222022-232021-222022-23Project TitleOperating ProgramsCapital Improvement PlanMCG#92 Laguna Lake Golf Course Maintenance20,000 20,000 93Sinsheimer Park Hardscape Replacement135,000 - 94Concrete Bench & Table Replacement Various Locations15,000 15,000 95Hydration Stations Various Parks and Facilities15,000 15,000 C96 Railroad Safety Trail Fencing350,000 - 97Parking Lot Maintenance - (Meadow Park; Ludwick Community Center; Islay Park; Laguna Lake Park; Santa Rosa Park; French Park; City Facilities)130,000 205,000 98Ludwick Community Center - Roof and Solar Replacement- 40,000 C99 Swim Center Furnaces Replacement- 40,000 100Ludwick and Senior Center - Exterior Paint and Shell Rehabilitation- 30,000 101Water Stations and Supply Lines25,000 25,000 102Sinsheimer Stadium Irrigation and Drainage Replacement650,000 - 103Irrigation Mainline Leak Repair15,000 15,000 104Parks Major Maintenance - ADA Transition Plan Implementation 20,000 20,000 D105 Park Maintenance - Fleet Replacement: (Mower, 1; Tractor, 1; Trailers, 4;) 75,000 108,000 106Parks and Recreation - Fleet Replacement: (Golf Mower, 1; Golf Trailer, 1; P&R Trailer, 1; Minivan, 1; Dump Trailer, 1; Masticator, 1)139,000 103,000 107Swim Center - Pool Automatic Vacuum- 18,000 108Swim Center Olympic Pool Thermal Blankets5,000 - 109Swim Center Bath House Ceiling5,000 - 110Swim Center Therapy Pool Boiler85,000 - 111Swim Center Pool Water Chemical Regulator50,000 - 112Jack House Windows Walk Railing100,000 - Subtotal308,159 289,470 3,114,000 1,904,000 Street Maintenance and Transportation (includes bicycle and pedestrian improvements) 113 Accessibility and Process Improvement Support Services 34,000 12,000 114Mobility as a Service Study25,000 - C115 One-Time Streetlight and Signal Electrical Costs60,000 - 116Supplemental Street and Parklet Sweeping 250,000 250,000 E117 Transportation Interns30,350 31,071 C118 Additional Street Operator for Maintenance of Streets and Right of Way78,312 119Increased Asphalt and Concrete Budget60,000 60,000 MCG Key: E: Economic Recovery, Resiliency and Fiscal Sustainability; D: Diversity, Equity, and Inclusion (DEI); H: Housing and Homelessness; C: Climate Action, Open Space and Sustainable Transportation. *Light gray shaded projects are one-time funded. 2021-222022-232021-222022-23Project TitleOperating ProgramsCapital Improvement PlanMCG#120 Increased Budget for Signals and Street Light Equipment and Electricity25,000 25,000 121 Street Maintenance and Transportation (Engineering, Streets Maintenance, Active Transportation) FTE 4.60 532,105 557,962 122Prado Road Interchange (YR 1 PA/ED Phase & YR 2 Design Phase)500,000 1,910,000 123 California & Taft Roundabout Construction300,000 2,720,000 124 Pavement Management (Downtown areas)2,404,647 2,425,000 125 Active Transportation Plan Implementation205,000 305,000 C126 21-22 Sealing Project Complete Street Components200,000 200,000 127Concrete Street - Monterey - CA to Santa Rosa-800,000 128Prado Road Bridge & Road Widening 427,780 146,573 129 Streets Maintenance - Fleet Replacement (F550 with Hooklift, 1; F550 with Utility Bed and Crane, 1; Axle Kneeling Trailer, 1; Asphalt Zipper,1) 390,000 -130 Buchon-Santa Rosa Intersection Improvements-250,000 131Madonna Inn Frontage Bike Pathway (Madonna to Fernandez)150,000 132Neighborhood Traffic Improvements75,000 75,000 133Bridge Maintenance -100,000 134Railroad Safety Trail from Cal Poly to Taft Street-50,000 135Engineering Pickup, 2; 3 Yr. Temp66,000 -136 Transportation Safety & Operations 30,000 30,000 137Traffic Signs & Striping Maintenance25,000 25,000 138Pedestrian and Bicycle Pathway Inventory and Pavement Condition Index Study20,000 -139 Anholm Neighborhood Greenway Plan Implementation - Phase II2,450,000 -140 South Street Median Landscaping240,000 -141 Avila Ranch - Buckley Extension Class I Bike Lane120,000 -142 Transportation Monitoring & Modeling Update70,000 Subtotal1,016,455 1,014,345 7,453,427 9,256,573 Open Space/Natural Areas Preservation and Maintenance143ECOSLO partnership - SLO Stewards, Tree Planting & Maint., Green Business, Creek Clean Up20,000 20,000 C144 Fuel Reduction Crew Tools and PPE4,500 C145 Sustainability & Natural Resources Analyst62,753 62,753 -- C146 Sustainability & Natural Resources Intern/ Urban Forest Master Plan Intern-13,613 -- C147 Fuel Reduction Crew (4000 Supplemental Staff Hours)60,140 61,589 C148 Open Space Vegetation Management and Fuel Reduction20,000 20,000 C149 New Ranger Maintenance Worker (1 FTE)70,854 74,105 C150 Ranger Services Staffing Resources (Equivalent to 2 FTEs)84,561 92,421 C151Open Space/Natural Areas Preservation and Maintenance (2 FTE Ranger Maintenance Workers ) 169,599 159,196 C152 Laguna Lake Dredging and Sediment Management Project Implementation840,000 - C153 Open Space Acquisition250,000 250,000 C154 Open Space Maintenance60,000 80,000 C155 Open Space Fencing25,000 25,000 C156 Urban Forest Maintenance175,000 175,000 CMCG Key: E: Economic Recovery, Resiliency and Fiscal Sustainability; D: Diversity, Equity, and Inclusion (DEI); H: Housing and Homelessness; C: Climate Action, Open Space and Sustainable Transportation. *Light gray shaded projects are one-time funded. 2021-222022-232021-222022-23Project TitleOperating ProgramsCapital Improvement PlanMCG#157 Urban Forest Master Plan140,000 - CSubtotal492,407 503,677 1,490,000 530,000 Other Services and Projects158 CIP Interns5,000 5,900 159Contract Heavy Equipment Mechanic85,220 89,065 160Fleet Intern20,991 18,398 161City Fleet Vehicle Repairs20,000 20,000 162Increased Contract Funds for Specialized Mechanic Services50,000 50,000 163 Funding for Increased Cost of Facilities Maintenance Materials and Supplies 30,000 30,000 164 Electric Vehicle Charing Stations (Various City Facilities, Including Parks and Rec and Corp Yard) 100,000 100,000 C165City Hall Landing Repair60,000 - 166Council Hearing Room Modification and Functionality Improvements- 130,000 167Information Technology Room Heat Pump Replacements20,000 - 168Energy Management Controls Upgrade75,000 50,000 169Citywide Wireless System Replacement- 70,641 170City Storage Area Network (SAN)- 178,136 171Major Facility Maintenance - ADA Transition Plan Implementation10,500 10,500 172Fleet Maintenance Stationary Generator (200kw)100,000 - 173Facilities Maintenance 3/4 ton Pickup with Utility Bed- 60,000 174Capital Projects Engineering Staff500,000 1,000,000 175 Roundabout Public Art Installations300,000 400,000 ESubtotal211,211 213,363 1,165,500 1,999,277 Total6,285,392 6,273,051 17,866,400 18,763,050 MCG Key: E: Economic Recovery, Resiliency and Fiscal Sustainability; D: Diversity, Equity, and Inclusion (DEI); H: Housing and Homelessness; C: Climate Action, Open Space and Sustainable Transportation. *Light gray shaded projects are one-time funded. Attachment 2 Chart 3 - Topic: Local Revenue Measure (G-20) Increase funding for the Fire Department 562 Dredge Laguna Lake 346 Addressing homelessness 325 Protect and maintain natural areas and open space 211 Maintaining open space/natural areas 195 Keeping public areas clean/safe 189 Build additional bike paths and complete the Bob Jones Trail 186 Implement Tier 1 of the Active Transportation Plan and additional bicycle facilities 185 Maintaining fire/community safety 161 Protecting the City's financial stability 150 Keep the parklets and bike lane changes in the Downtown 147 Address mental health issues, increase the number of detox beds and capacity at 40 Prado 134 Support economic recovery, small business support efforts and worker co-ops 132 Retaining local businesses 127 Prioritize Fiscal responsibility 96 Protecting creeks from pollution 96 Increase availability of health and medical services 89 Additional funding for local Black, Indigenous, and People of Color (BIPOC) organizations and groups 86 Additional programs, services, facilities and housing for the homeless 85 Increase the supply of affordable housing and transportation projects to reduce the need for cars 84 Maintaining streets 84 Maintain City infrastructure 79 Maintain and improve the City's urban forest 78 Consider Water Resources/Shortage 75 Support non-profits and organizations that provide social services 72 Health emergency/disaster preparedness 70 Additional dog parks 69 Support tiny home villages on underutilized plots and storefronts in the downtown 63 Build a new police station -62 Secure affordable water resources -60 Additional City staff focused on addressing homelessness -59 Maintain City parks and add benches, play areas and community gardens -53 Enforce No Styrofoam -49 Disaster preparedness for another pandemic/climate crisis -45 Prioritize building out and completing existing plans rather than new studies -45 Enforce Zero Waste in all Businesses -42 Improve City infrastructure -40 Additional child care services -39 Maintaining youth/senior services • 30 Maintain and increase the access/use of the City's creeks • 29 Re-pave Monterey Street • 28 Maintain the City's budget reserve, current level of safety and transit services • 27 No more dog parks; enforce leash laws • 25 Build affordable housing on Orcutt • 21 Build a multicultural center • 20