HomeMy WebLinkAboutMinutes 1987-03-18Mayor Mark N. Addiego
Vice Mayor John "Jack" Drago
Counci 1:
Ri chard A. Halley
Gus Nicolopulos
Roberta Cerri Teglia
MINUTES
City Council
City Council Conference Room
City Hal 1
March 18, 1987
O000; B
AGENDA
ADJOURNED REGULAR MEETING
CALL TO ORDER: (Cassette No. 1)
ROLL CALL:
AGENDA REVIEW
Deputy City Manager/CD&A Lewis Requested:
- A Resolution commending C. Walter
Birkelo be added to the Agenda.
ORAL COMMUNICATIONS
COMMUNITY FORUM
1. Interview of applicants for the
Planning Commission. ~9~
2. Council Goals and Objectives.
ACTION TAKEN
ADJOURNED REGULAR MEETING
6:08 p.m. Mayor Addiego presiding.
Council present:
Council absent:
AGENDA REVIEW
Drago, Haffey,
Nicolopulos, Teglia,
and Addiego.
None.
ORALCOMMUNICATIONS
No one chose to speak.
COMMUNITY FORUM
No one chose to speak.
Mayor Addiego stated that there were four
openings on the Planning Commission which
had a seven member body, and it was
important for Council to select com-
missioners after the interview process to
provide a quorum for meetings.
Council proceeded to interview the
following applicants: Raphael D. Smith,
Charles Jackson, Alan N. Zellmer, and
Albert N. Waters.
Councilman Haffey stated that he and the
Vice Mayor, as a subcommittee, had
reviewed the 1986-87 Council goals and
had formulated the 1987-88 goals and
objectives for Council consideration (a
copy of the 1987-88 Draft Council Goals
and Objectives is attached and a per-
manent part of the record of this meeting
as Exhibit A).
3/18/87
Page i
CITY ()F S()UI'tl SAN FRANCI~C()
INTER-OFFICE MEMORANDUM
O000P.4
l)ATE:March 9, 1987
~):Honorable City Council
SUBJE('I~ Goals and Objectives Sub-Committee
FR¢)M: 1986-1987 Progress and Draft for 1987-1988
The Sub-Committee has met to review the 1986-1987 goals and
objectives and to draft new goals for the 1987-1988 fiscal year.
The Council may recall that the Sub-Committee recommended to the
Council a process, for City departments to develop their goals and
objectives and for the subsequent evaluation of those goals. The
Council accepted that recommendation and staff was directed to
begin implementation of that process.
The Sub-Committee recommends a study session before the Council
begins review of the budget to discuss the progress of the 1986-
1987 goals and objectives. The Sub-Committee also submits the
attached as a draft of goals and objectives for 1987-1988.
Council will note that the goals and objectives as proposed are
not nearly as lengthy as those in previous years. There are two
primary reasons for this: 1) Much has been accomplished in
completing Council goals from previous years; 2) Revenues will be
tighter in the next year and.this limits the number and size of
projects.
While this list of goals and objectives will be shorter, the Sub-
Committee believes the Council will have greater interest in
seeing that all or most are accomplished. The Sub-Committee is
concerned that some goals are appearing for a fourth year with no
discernable progress. The Sub-Committee looks forward to
discussing this at the recommended study session.
$$/205/9/86
Exhi bi t A
3/18/87
Page l a
00002.
DRAFT
City Council Goals and Objectives
1987-1988
I. IMPLEMENTATION OF COMMUNITY DEVELOPMENT PROGRAMS
II.
ae
Implement Appropriate Aspects of the Downtown
Revitalization Strategy
B. Homeowner Association Liaison Strengthened
1. Reassign to another department
2. Develop liaison plan including regular
reports to Council on progress.
3. Creation of inter-association communication
C. Enforcement of Nuisance Abatement Ordinance
1. Citation authority for Code Enforcement Officer
2. Create a back up system for employees on leave
to provide consistent enforcement
Continued Implementation of the Airport Noise Project
1. Continue to seek additional funding
IMPROVEMENT OF INTERNAL CITY OPERATIONS
Greater Use 0'f Administrative Authority Including
Flexible Scheduling to Reduce Overtime Expenditures
1. A tighter definition of when it is appropriate
to assign personnel to overtime.
Evaluate the Potential on for Reduction and/or
Civilianization of--Allocated..Posi~i~D~ ~ough
Attrition for a Cost Savings to the City.
Review the Following Pieces of City Surplus Property
for Sale Based on Revenue Potential and the Quality of
their Development
1. Grand and Chestnut Property
2. GSA Property
3. The Fingers Property
Exhibit A
3/18/87
Page 1 b
Continued Improvement of Personnel Services and
Relations
1. Standard evaluation procedure for all non-
management employees.
2. Implement a day care program for employees
that includes only City's out-of-pocket costs.
3. Adoption of a disability retirement policy
which sets a specific % target for retirement.
4. Develop incentives for timely emergency service
response for those employees who live within the
City.
Telephone Study of City Operations and Implementation
of a Cost Savings Program
Future Budget Increases Limited Directly to Revenue
Increases
A. Elimination of the Vacancy Factor as a Method of
Covering MOU Increases
B. Ensure 50% revenues from Recreation Programs.
III. CITIZEN ORIENTED CAPIT~ IMPROVEMENTS
A. Westborough Community Center Project
1. Under construction by July 1987
2. Project complete by April 1988
B. Burl-Burl Park Expansion Project
1. Project complete by June 1988
C. Continued Improvement of the City's Entrances
Implement the Plan for Acquisition of Additional Land
for the Expansion of Orange Park
Exhibit A
3/18/87
Page 1 c
A 6 E N D A A C T ! 0 N m A K E N 0000~
Council Goals and Objectives -
Continued.
He stated that the Council had accepted
the subcommittee recommendation to for-
mulate the departments goals and objec-
tives, and the staff was implementing the
process.
He stated that through accomplishments in
the past year the 1987-88 goals were much
shorter, and later in the evening the
Council would hear that the revenues were
very tight and that would limit the
number and size of projects.
Councilman Haffey described the two
problem areas still on the list after
four years of non-accomplishment: 1)
Homeowner Association Liaison
Strengthened - which the subcommittee was
requesting be reassigned to another
department to effect; 2) Day Care
Centers for City Employees - a survey was
done, but the feeling was that more could
be done. He stated that he felt that the
homeowner association liaison should be
reassigned to Planning and Community
Development.
Mayor Addiego requested an update from
the Director of Recreation & Community
Development on what he had done to meet
the Council goals.
Director of Recreation & Community
Development Norton stated that what had
not been done was the development of
inter-association liaison program,
however, he had implemented various
things with the homeowner groups: in
January 1985 he had informed the
homeowners by letter that the program
existed, and the City was interested in
their remaining active; followed that up
with direct telephone contact; it was
found that out of a list of 30 assoc-
iations only 13 remained active with a
board of directors; staff had been active
with the Historic Old Town Homeowners
Association in programs; had forwarded a
roster of the homeowner associations to
the Chamber of Commerce; had revamped the
Beautification Subcommittee by contacting
3/18/87
Page 2
AGENDA
Council Goals and Objectives -
Continued.
(Cassette No. 2)
ACTION TAKEN
the homeowner associations for represen-
tatives in an attempt to get them active
in City government; established a Willow
Gardens Task Force, and offered
assistance to effect a homeowners asso-
ciation; that there were ten Westborough
associations established through DC&Rs
that were not active, and were managed by
an outfit in Foster City; that the
Stonegate, Westborough, Avalon and
Brentwood Associations were active; that
a newsletter had been printed for the
Oldtown Association; plus ongoing
programs; that an inter-agency on-going
communication had not been established,
nor any round tables.
Discussion followed: were the Council
goals and objectives unclear to the
staff; that the question of com-
munication with the homeowner groups
should have been addressed two or three
years ago for Council direction to be
given; that nine years ago Councilwoman
Teglia had comprised a list of assoc-
iations and current Board of Directors -
and felt that as a minimum staff should
have that type of information; that
Council recognized the need to communi-
cate with large neighborhoods through a
direct line to their homeowner associa-
tions whenever there were problems in
the area; that the Director should not
take any credit for the Oldtown Home-
owners Association; that the function
should be transferred to the Planning
Department, etc.
Vice Mayor Drago expressed concern over
the lack of a backup to the Code
Enforcement Officer to respond to
complaints on nuisance abatement, which
was as critical as a response by the
Police and Fire Departments - and an
individual should not have to wait two
weeks for a response.
He questioned whether the Code
Enforcement Officer had citation
authority.
Deputy City Manager/CD&A Lewis stated
3/18/87
Page 3
A G E N D A A C T '1' 0 N T A K E N
Council Goals and Objectives -
Continued.
that the Code Enforcement Officer did not
have citation authority, however, it was
easy enough to change the ordinance to
provide that authority.
Vice Mayor Drago stated that the City was
not using every means to curtail the use
of overtime, and suggested using flexible
scheduling. He stated that it was ridic-
ulous to have $600,000 in overtime when
overtime should only be used on an
emergency basis. He stated that it was
amounting to $5,000 - $10,000 per indivi-
dual in overtime.
Mayor Addiego directed the Deputy City
Manager/CD&A to provide the Council
with a report on all overtime by depart-
ment and position.
Councilwoman Teglia stated that at the
last budget hearings Council, as a body,
had taken a strong position on overtime,
and had made many concessions on the
matter for public safety. She stated
that the Council expected staff to come
back with substantial savings on overtime
in the next budget hearings.
Discussion followed: to evaluate the
potential for reduction and/or civiliani-
zation of allocated positions through
attrition for a cost savings to the City;
that staff should try to effect the
Council goals and objectives; that the
Police Chief in 1974 had developed a
program to best utilize civilians, which
had led to the PST program with a cost
savings; to review Grand and Chestnut,
GSA, the fingers properties for surplus
property sale based on revenue potential
and the quality of their development;
development of the fingers property
within the BCDC restrictions; that the
monies in trust in the State Lands
Commission could only be expended for
restricted land acquisition; Councilwoman
Teglia requested a report on any propo-
sals on the fingers property as soon as
possible; adoption of a disability
retirement policy which sets a specific
percentage target for retirement; Vice
3/18/87
Page 4
Council Goals and Objectives -
Continued.
Mayor Drago felt that when a person in
public safety can no longer perform he
should be given a disability retirement
as a cost savings to the City; to deve-
lop incentives for timely emergency ser-
vice response for those employees who
live within the City; that a telephone
study of City operations and implemen-
tation of a cost savings program was
under way; elimination of the vacancy
factor as a method of covering MOU
increases, etc.
Councilwoman Teglia stated that she and
the Mayor would serve on a subcommittee
on franchises and spoke of the potential
for revenue generation which should be
included in the goals and objectives as
F.C. or F3.
Councilman Haffey stated that a
discussion of the Westborough Community
Center Project would occur later in the
meeting. He stated that the projection
was: 1) to be under construction by July
1987; 2) the project was to be completed
by April 1988. He stated that the propo-
sal had been delayed from the previous
fiscal year to the current fiscal year
due to finances. He stated that the
Subcommittee had recommended plans for
financing that the Council had accepted.
He stated that the Buri Buri Expansion
Project could be effected for under
$40,000 and would increase the park by
two acres,
He stated that there was a pilot project
going on to improve the City's entrances
and the item should stay in the goals and
objectives.
Mayor Addiego questioned the caption
"Citizen Oriented Capital Improvements,"
when continued improvement of the City's
entrances was listed there.
Councilwoman Teglia stated that she was
very concerned with the revenue balances,
and would not think about any Capital
Improvement Project this year unless the
3/18/87
Page 5
^ a o ^ ^ c T o, T ^,000021
Council Goals and Objectives -
Continued.
revenues were on a secure footing.
Mayor Addie§o stated that he would also
not act on a project that would lead this
City to a financial position wherein he
was not comfortable.
Councilman Haffey stated that it was
interesting that when the City had gone
through difficult financial years in the
past, that the City had been able to have
capital improvements, i.e., the City
Hall, and the expansion of the Municipal
Services Building. He continued, and
when it came to projects that maybe are
not as viable for whatever political
reason they were delayed.
Councilwoman Teglia stated that when City
Hall was being planned it was found that
the reserves where going to be below
$1,000,000 which had worried the Council,
and the project had been done in pieces
over a period of years. She stated that
the concern had been the reserves and the
financial future of the City.
She stated that she too had favorites
that were on the list that she would love
to see developed, however, not if the
reserves fell below $1,000,000. She
stated that there was $600,000 earmarked
catasthrophic - which was well below the
$1,ooo,ooo.
Councilman Haffey stated that it was not
a matter of money, but of priorities.
Mayor Addiego stated that when the Coun-
cil had faced the financial crunch in the
past, it had had a much larger reserve,
and today because of the limited reserves
the Council had to be cautious.
Councilman Nicolopulos stated that the
Council had made a commitment to the
Westborough residents, and the
Westborough Community Center Project
should have top priority.
Councilwoman Teglia stated that she
agreed, but had problems with a construc-
3/18/87
Page 6
^ E N o ^ ^ c T 0 N T ^ K E N 000032
- 2.
Council Goals and Objectives -
Continued.
tion date of July 1987. She stated that
the council was talking about funding it
with certificates of participation and
committing the Colma Creek revenues -
which was the only real money coming in
to the City.
Mayor Addiego stated that the
catastrophic fund was only $600,000, yet
he remembered the incident on Olympic
Drive had cost the City $400,000 which
showed that it would not take much to
deplete that resource fund.
Mrs. Ann Waters, 2266 Shannon Dr., stated
that she had been working on the
Westborough Community Center Project
since 1983. She stated that the City had
made a commitment to the residents, and
she expected the City to follow through.
She stated that she had pledged to try to
raise funds for a swimming pool, but she
needed a firm commitment as to when the
project would be underway before her
efforts were taken seriously. She stated
that most foundations would not consider
funding projects not begun.
Vice Mayor Drago questioned where the
City could get the money.
Deputy City Mana§er/CD&A Lewis stated
that based on prior Council direction,
staff had solicited proposals for
underwriting the funds. He stated that
staff had received the proposals and was
currently analyzing same. He stated that
staff's plan was to present it to the
Council at the first meeting in April to
ask that an underwriter be appointed for
this issue; after which there would be a
sale of the certificates of participation.
He stated that all of the funds necessary
to build the building would be in the
City's hands by late summer - June or
July.
He stated that after discussion of the
financial condition of the City,
operating budget, anticipated revenues
and expenditures, the guidelines for
3/18/87
Page 7
A G E N O A A C T T 0 N T A K E N 000033
Council Goals and Objectives -
Continued.
1987-88, City Operating Budget, and the
Capital Improvement Budget a clearer pic-
ture would be apparent to the Council.
Mrs. Ann Waters reiterated her request
for a commitment on the project. She
stated that in order to solicit funds for
a swimming pool there must be a firm com-
mitment from the Council that ground
breaking for the building would take
place in July 1987, and the City would
pay for the building.
Councilman Haffey stated that at the end
of the meeting, after discussion of the
revenues and expenditures, if the Council
was comfortable with the financial pic-
ture, it might make a commitment to Mrs.
Waters.
Dr. Caesar Churchwell questioned the
difference between approval and a
commitment.
Mayor Addiego stated that if he had to
renege on the commitment by extending the
project six months, he would do so if he
did not feel comfortable with the finan-
cial picture.
Mr. A1 Waters stated that he was a wit-
ness to the Council commitment to the
Community Center, and he, his wife, and
others had spent considerable manhours to
further that endeavor.
He stated that there had been a
Homeowners meeting with the Park &
Recreation Department in 1985, wherein
two Councilmembers had attended and had
stated that they would help the residents
acquire the five acres currently
available for the pool. He stated that
the property was in escrow by the next
week having already been sold.
Councilwoman Teglia stated that the resi-
dents were under the impression that the
land that was sold belonged to the City -
which was not the case, as it was under
private ownership. She stated that the
City had never had an intention to
3/18/87
Page 8
^ G E , D ^ ^ c T o N T ^ K E N 0000,34
-- 2. Council Goals and Objectives -
Continued.
RECESS:
RECALL TO ORDER:
3. Establish 1987-88 Operating
Budget Procedures.
purchase the property, however, if the
residents had wanted Council to put on a
measure for a bond issue to purchase the
property - that could have been done.
Council adjourned to a recess at 8:40
p.m.
Mayor Addiego recalled the meeting to
order at 8:55 p.m., all Council present.
Deputy City Manager/CD&A Lewis discussed
both his memo of 3/16/87 and the City
Manager's memo of 3/18/87 that gave a
financial picture of the City (a copy of
each is attached as Exhibit B and C and a
permanent part of the record of this
meeting.)
He stated that there was a $600,000
reserve fund for catastrophic events,
which had increased $100,000 over the
prior year. He stated that there was a
reserve of $200,000 for working capital
for current bills, payroll and other such
items which also were designated items.
He described the undesignated category of
reserves. He stated that the financial
picture for the City was designated as
being good according to the financial
advisors. He stated that money could be
derived from other funds in the event of
a dire emergency, but that money would
have to be paid back to the fund. He
stated that there were plans for the
funds for future designated construction
in the next five years, but again the
funds could be used for a catastrophy.
Deputy City Manager/City Engineer Yee
stated that there was a $2,000,000
reserve for the sewer operating plant,
and that sewer fees had increased last
May and would again be raised for a pro-
jected capital outlay for the plant. He
stated that $2,000,000 in reserve for a
$14,000,000 plant was not significant for
new sewer lines and pipe lines out into
the bay as a major capital improvement.
3/18/87
Page 9
DATE:
T():
,~t'B.IE¢'T:
FROM:
00003
CITY ()F ~)t?l'H SAN FRANCISC'()
INTER-OFFICE MEMORANDUM E CEIVED
City Manager OFFICE OF
ESTIMATED ~D-~ AVAXLABLE ~'U~ uA~Z'~'AL-~ROJ~.CTS .... ~T¥ ...... ~'~
for FY 87/88 - FY 89/90
Deputy City Manager/CD&A
The following is an updated analysis of funds available for the
fiscal year 1987-88 Capital Budget, along with projections of
available funds for fiscal years 1987-88 through 1988-89:
ESTIMATED
BEGINNING
BALANCE
6/30/87
AMOUNT
Capital Project
Fund (200,000)~
Revenue
Sharing 100,000
General
Fund
Contribution
Land Sales
ESTIMATED ESTIMATED ESTIMATED
AMOUNT AMOUNT AMOUNT
FY 87-88 FY 88-89 FY 89-90
0 0 0
o 0 0
0 0
0 1,100,000(2)
Colma Creek
Loan Payback 0
330,000(4)
0
330,000(4)
500,000(3)
330,000(4)
Estimated
Total $ (100,000) $1,430,000 $330,000
$830,000
1. PG&E light acquisition
2. Sale of land Chestnut/Grand
3. Contingent on improved GF/Fund balance
4. Colma Creek payback total through FY 91/93, 2,269,122
For the purposes of budgeting for the FY 87-88 Capital Budget, the total
General Funds available for the 1987/88 fiscal year are as follows:
Beginning Fund Balance
Estimated Revenue 1987/88
Total FY 1987/88
$ (100,000)
1,430,000
$1,330,000
Exhibit B
3/18/87
Page 9a
$5/2o5/9/s6
The following is a three year projection of funds available :
Beginning Balance
FY 1987/88
FY 1988/89
FY 1989/90
Total FY 1987/88
to 1989/90
$ (100,000)
$1,430,000
330,000
830,000
$2,490,000
Other sources of funding for the Capital Budget:
00003(]
1. Colma Creek payback from County $2,269,122 through FY 1992/33, at
$330,000 per year/source for COP Westborough Park Building.
2. Sale of Property
Former GSA property $4,000,000
3. Various forms of borrowing -- most require 2/3 voter authorization
-- Orange Park addition possible source.
4. Tax Increase --
Two percent increase in TOT would generate approximately $350,000
per year (from 8% to 10%). Foster City is already at 10%.
Major capital projects in planning stages not in any priority order are the
following:
Project
New Corporation Yard
Orange Park Improvements
Westborough Park Center
Routine Capital Projects (400,000/yr.)
Estimated Cost
$3,800,000
1,900,000
1,500,000
1,800,000
1,200,000
Land
Improvements
$10,200,000
The difference between funds available for fiscal years 1987/88 - 1989/90
and estimated capital cost is:
Estimated Cost - $10,200,000
Estimated Funds - $ 2,490,000
($ 7,710,000)
An option available to make up the funding shortfall would be as follows:
ao
Seek voter approval for bonds for Orange Park improvements
preliminary estimate of $3.3 million
Be
Authorize COP financing for Westborough Park Center at $1.8
million using Colma Creek payback as source of funds.
Exhibit B
3/18/87
Page 9b
· '. ' 00003?
Ce
Review possibility of funding Corporation Yard with future sale of
GSA property.
?his option would allow the Council to meet our estimated Capital Project
costs with the possible exception of the Corporation Yard through FY
1989/90, while providing approximately 1.5 million over the next three years
for future Capital Projects.
We will be happy to discuss any of these items with you, at your
../M~Lk~!W i~~~co~~ence ~/_
Deputy City Manager/CD&A
ML:mgo
Exhibit B
3/1 8/87
Page 9c
' " 00003
OFFICE OF THE
CITY MANAGER
(415) 877-8500
March 18, 1987
MEMORANDUM
TO:
FROM:
SUBJECT:
The Honorable Mayor and City Council
City Manager
1. GUIDELINES FOR 1987-88 CITY OPERATING
BUDGET
2. REVIEW OF CAPITAL IMPROVEMENT PROGRAM AND
PROJECTIONS FOR FISCAL YEAR 1987-88
INTRODUCTION:
The purpose of this memorandum is to advise Council with
respect to the current status of our capital and operating
budgets and more importantly the projections for fiscal year
1987-88 and the administrative guidelines which have been
established for budget preparation.
Council is not being asked to approve new budgets at this
time. It does, however, provide the opportunity for the
legislative body to offer its comments and/or suggestions to
staff if they have some problem with or wish to add to the
guidelines.
It will be noted that both the projected operating and
capital budgets are "lean" and do not offer the opportunity
to add new programs or services. On the contrary, the
necessary fiscal restrictions could result in some minor
diminution of service levels, particularly in maintenance
areas. When the budget comes before Council for in-depth
analysis in June, we will try to identify such areas so that
decisions can be made concerning any possible change in the
allocation of our fiscal resources to meet Council goals.
Exhibit C
3/1 8/87
Page 9d
400 GRAND AVENUE -- P. O. BOX 711 -- M~I:~
O000aB
II.
OPERATING BUDGET FOR FISCAL YEAR 1987-88
Attached hereto are copies of the administrative Budget
Guidelines, projected Revenue and Expenditure Targets, and
the Budget Time Table. Deputy City Manager, Lewis, will
discuss these with you and answer questions. You will note
that we propose to meet the Council goal of a balanced
budget. In addition, the budget will account for the total
departmental salary requirements, but will then be adjusted
to reflect MOU requirements as well as projected savings for
vacancies and turnover. This will be done on a department
by department basis and will reflect actual experience.
III. CAPITAL IMPROVEMENT PROGRAM
Council is aware of the fact that the loss of Revenue
Sharing and the depletion of general and gas tax capital
fund balances has substantially reduced the City's
capability of funding major new capital projects. The
Council's previous decision to fund the Westborough
community building with revenue paybacks from Colma Creek
advances leaves only one major source of revenue for 1987-
88: the proceeds from the sale of the Chestnut and Grand
property. While the City does have a substantial equity in
the GSA property, that is not considered to be a revenue for
near term.
During our financial review of the proposed November fiscal
ballot measure, we will also explore other possible means of
increasing revenues for future capital needs of the City.
Respectfully submitted,
C. Walter Birkelo ~
City Manager
CWB:ad
Attachments
Exhibit C
3/18/87
Page 9e
· ' 000040
BOI)GET GUIDELINES
Naterials and Services
No increase over fiscal 1987 appropriations should be ~ade in the budget
worksheets. All other requests for budget increases should be submitted
in ~riting to the City ~lanager. Do not include any additional a~ounts in
your budget worksheets.
Budget asounts for the following viii be forwarded to you by approxilately
Narch 19, after they are prepared by the responsible departments.
4432 Pacific Bell / AT&T
4434 Special Phones / Circuits
4436 Comaunications o City
4443 Equil~ent Rental - City
4491 Haintenance of Occupied Space
4414 General Insurance
Personnel Costs
Attaclment A shows budget targets by division for regular full-tile salary
expenditures, by division. These are ~ross amounts, covering regular
salary, vacation and holiday pay, adjusted for COLA and vacancy /
turnover. Not included are charges for workers' compensation, health
benefits or retirement benefits. These items must be budgeted by you for
your depa~ment on an individual employee basis, based on the percentages
listed on attachment F, and are in addition to the salary targets.
Requests for changes in classification of employees, additional personnel
or reorganization should not be included in the budget worksheets.
Because of budget constraints, no new personnel will be approved for this
fiscal year. Do not include any additional personnel in your budget
worksheets.
Capital Outlay
Requests for capital outlay should be sulmitted in vriting to the City
Nanager. Do not include a~ounts in your budget worksheets.
Revenue Projections
Attachment B shows projected general fund revenues for fiscal 1988, and
should give some perspective to the budgeting process.
Budfet Tarfets
Attaclment C includes the budget targets for the depari~nts. Yhen
budgets are submitted total expenditure requests for each department
should not exceed those indicated for each department's 1987/88 target.
Any expenditure requests in excess of budget targets that are of an
extraordinary or emergency nature ~ay be sulmitted to the City Nanager in
memo for~ for special consideration at the budget submission date.
include such a~ounts in your budget worksheets.
Do not
Exhibit C
3/18/87
Page 9f
00004:1.
June 30,1986 Balance Sheet
A, ttachment E is included for you~ reference, fivin~ our financial
condition at the end of the last fiscal year.
Bvdeet Tinetable
Attachment D includes the budfet tinetable. Please do your best to stay
with the schedule. If you ~re unable to Reet the deadlines, please let
this office know as far in advance as possible.
We hope the new process is helpful to you. If we can he of any help
please call upon us.
C. Walter Birkelo
City Hanager
Exhibit C
3/18/87
Page 9g
. 00004
March 1987/88
Revenue Targets
March 1987/88 Budget Targets
86/87 87/88
Budget Targets
Property Tax 5.07
Sales,ToT, Misc. Tax 10.90
Licenses and Permits .99
Fines and Forfeitures .44
Other Agencies 2.33
Charges .93
Money and Property .66
Other Misc. .02
Gas Tax .70
Subtotal 22.05
From Sewer Fund .30
From Parking Dist. ---
Subtotal .30
GF/Grand Total 22.35
City Council .045 .045
City Clerk .126 .130
City Treasurer .008 .008
City Attorney .192 .233
City Manager .247 .264
CD&A 1.746 1.827
Non Dept. 1.306 1.100
Fire 5.267 5.453
Police 5.671 5.835
TMS 4.223 4.326
Recreation 1.718 1.754
Library 1.160 1.184
General Fund 21.715
Capital Equipment/
Major Maintenance
GF/Total
22.16
.19
22.35
Exhibit C
3/18/87
Page 9h
Atta¢~nt ~
Bt~D6ET TIHE TABLE
Budget preparation packets to departments
Department Head meeting
Submission of budgets to Finance
Return of printed budgets to depar~cments
Depa~-tment Head budget review with City Manager
Revised budgets to Finance
~lget balancing
Formal City Council review
Council adoption
March 6
~arch 9
Narch 27
April 10
April 13 to 30
~ay 1
Nay 1 to 15
June 1 to 24
June 24
oooo4a
Exhi bit C
3/18/87
Page 9i
®
Establish 1987-88 Operating
Budget Procedures - Continued.
Review of the Capital Improvement
Budget. ~/.w
Deputy City Manager/CD&A Lewis stated
that the rule of thumb, in the public
administration business, for reserves for
local government was between 21/2 - 5% of
the operating budget based on the
complexity of the City's operations.
He spoke in-depth of the incoming revenue
to the City and handed the Council a one
page document on revenues (a copy is
attached as Exhibit D and a permanent
part of the record of this meeting.)
Discussion followed: on the estimated
actual revenues; the recreational reve-
nues being under projection; that the
figures were a conservative approach; the
seasonal recreation programs; rental
revenues; sales and other revenues.
Deputy City Manager/CD&A Lewis handed out
a sheet of City expenditures (a copy is
attached as Exhibit E and a permanent
part of the record of this meeting.) He
predicted that at the end of the fiscal
year the City would end up with a
moderate surplus of a couple of hundred
thousand dollars excess of revenues over
expenditures.
Councilman Nicolopulos questioned whether
the department estimated budgets would be
more accurate than they had been in the
preceding year.
Finance Director McVey stated that sales
tax revenue was very difficult to esti-
mate because of the fluctuation of the
economy.
Discussion followed: on the personnel
costs, not filling vacancies during the
fiscal year to conserve costs, etc.
Deputy City Manager/CD&A Lewis described
the budget guidelines in Mr. Birkelo's
memo of 3/18/87: that the revenues were
anticipated to increase 5-5~4%; that there
would be no additional personnel added to
the budget; that materials and services
should not be increased over the prior
fiscal year; that a department could not
3/18/87
Page 10
Account Title
1985
Actual
)OXX Property
Taxes $ 3,990,365
Estimated
1986 1987 1988 1987
Actual Budget Budget Actual
$ 4,504,978 $ 4,782,500 $ 5,070,000 $ 4,950,000
TTL Other Taxes 9,359,979
9,867,387 10,246,100 10,902,000 10,159,000
TTL Lic.& Permits 911,258
1,408,424 967,120 992,000 1,130,000
TTL Fines 370,857
397,160 415,000 440,000 436,000
TTL Rev. Other
Agencies 1,951,629
2,161,309 2,323,984 2,332,000 2,274,000
TTL Chgs. for
Curr. Serv. 708,302
1,026,819 1,205,205 929,400 768,000
TTL Use Mny
& Prop 447,371
TL Other Revs. 18,046
446,766 273,800 662,000 510,000
25,677 22,460 20,000 16,000
TOTAL
$17,757,807 $19,838,520 $20,236,169 $21,347,400 $20,253,000
Exhibit D
3/18/87
Page 10a
0 000000000 OO
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00000000000000000000
~000000~0~000000~
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000000
000000
~0~0
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~0~0
Z
Z~
~w
--W ~ Z
~00~
00004?
Z
0 0000000000000
-- 0000000000000
0~0000~0~0 ~00000~0~00~
n~'
~n
Z
~0
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I--,-
X'-
LdO
I I
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00004S
e
Review of the Capital Improvement
Budget - Continued.
(Cassette No. 3)
5. Constitute a Board of Appeals.
exceed the established 1987-88 targets;
that there was a need to take care of
ongoing maintenance and replacement of
equipment.
Discussion followed: that Vice Mayor
Drago wanted an itemization, by depart-
ment, of expenditures in the non-
departmental budget; Councilman
Nicolopulos was concerned with having
sufficient janitors to take care of the
new facilities, i.e., Magnolia Center,
Westborough Community Building; the
budget timetable; pay-offs of vacation
and sick leave to those people retiring
was not being reflected by department;
estimated funds available for capital
projects for fiscal year 1987-88 and
1989-90; PG&E light acquisition; sale of
Chestnut and Grand this fiscal year;
annual pay-back of the Colma Creek Fund;
projection of funds available through
fiscal year 1989-90; general liability
claim reserves; trust accounts for
various programs with committed funds;
Councilman Nicolopulos suggested that the
department heads pay particular attention
to the Risk Manager's program to minimize
claims against the City; compliments from
Council to staff on the budget prepara-
tion; that the Colma Creek pay-back to
the City would amount to $2,269,000 which
would yield more than enough to cover the
certificates of deposit for the
Westborough Community Building Project;
Councilwoman Teglia recommended taking a
portion of the 1.3 million dollars for
the sale of Chestnut and Grand and
putting it into the reserves to go over
the million mark in City reserves which
would make her feel comfortable with the
Westborough Project; whether there was
someone in the City qualified to
underwrite, buy the bonds, and sell them
on the market rather than hiring an
underwriter; Councilwoman Teglia commented
to Mrs. Waters that it appeared that the
July 1987 ground breaking would happen,
etc.
Deputy City Manager/CD&A Lewis stated
3/18/87
Page 11
A U A A C o N T A K E N 00 )050
Constitute a Board of Appeals -
Continued.
that this matter had to deal with an
appeal filed by Mr. Paller of Cal-Con
Construction Co., who was building the
Embassy Suites Hotel. He stated that Mr.
Paller was appealing a decision of the
Chief Building Inspector, which Mr. Lewis
had confirmed, on whether or not Mr.
Paller should be allowed to substitute a
circulating fan in the bathroom for out-
side air ventilation.
He stated that this was the first appeal
in many years that the City Manager had
not been able to resolve. He stated that
there had been one appeal of the Fire
Department years before, but the Council
had appointed itself as the Appeals Board
and had heard the appeal.
He stated that the Council had three
options: 1) Appoint a hearing officer to
hear the appeal, such as the City Manager
or either of the two Deputy City
Managers; 2) Appoint an Appeals Board,
and there was a recommendation of three
individuals before Council: Brian
Fischer, Tom Campbell and Jim Dierkes;
3) Council appoint itself as the Appeals
Board and hear the appeal at a Council
meeting at a future date. He stated that
his personal preference was option three.
Councilwoman Teglia stated that because
the appeals were so infrequent, it might
be best for the Council to name itself as
the Body.
City Attorney Armento stated that she had
been contacted by a manufacturer of the
units that Mr. Pallet would like to
substitute, and had some very strong opi-
nions on the viability and acceptance of
this as an alternative method. She
stated that in light of that the Council
might want people more intimately
involved in building codes to deal with
this particular situation.
Councilman Halley stated that based on
that, the Council should go with an
Appeals Board.
Vice Mayor Drago stated that he agreed in
3/18/87
Page 12
-- 5. Constitute a Board of Appeals -
Continued.
CLOSED SESSION
Ge
Closed Session for the purpose of
the discussion of personnel mat-
ters, property negotiations, labor
relations and litigation.
RECALL TO ORDER:
that the Uniform Building Code was quite
specific in saying it should not be a
City employee, and he did not feel that
Council was qualified to judge the appeal.
Councilwoman Teglia stated that she was
uncomfortable in selecting Mr. Jim
Dierkes of Group 4, who was doing a lot of
work for the City and there was a member
of that firm on the Design Review Board.
He requested that someone else be
selected.
Discussion followed on the qualifications
of the three names selected.
M/S Teglia/Nicolopulos - To accept Brian
Fischer, Tom Campbell as members of the
Appeals Board, and the Mayor was to
select the third member.
Carried by unanimous voice vote.
City Clerk Battaya stated that the
request to adopt a resolution commending
C. Walter Birkelo had not been noticed on
the agenda, and suggested it be put on
the 3/25/87 agenda.
Mayor Addiego stated that he would not
deal with the item at this meeting.
Councilman Nicolopulos requested that a
discussion on SB666 be placed on the
3/25/87 agenda.
CLOSED SESSION
Council adjourned to a Closed Session at
10:30 p.m., to discuss the item listed.
Mayor Addiego recalled the meeting to
order at 11:23 p.m., all Council present,
no action taken. He stated that the
Mayor had been directed to send a letter
in response to the City Attorney's letter
to the 1st Appellate Court that was
hearing the appeal of W. W. Dean vs.
S.S.F. Citizens For Our Mountain.
3/18/87
Page 13
ADJOURNMENT:
RESPECTFULLY SUBMITTED,
Barbara A. Battaya, City ~erk
City of South San Francisco
M/S Teglia/Haffey - To adjourn the
meeting to Wednesday, 3/25/87, 6:00 p.m.,
in the Municipal Services Building,
Senior Center, 33 Arroyo Drive, to inter-
view candidates for the Planning
Commission.
Carried by unanimous voice vote.
Time of adjournment 11:24 p.m.
APPROVED.
Mark tN. Addfego_, Mayor ~
City of South San Francisco
The entries of this Council meeting show the action taken by the City Council to dispose
of an item. Oral communications, arguments, and comments are recorded on tape. The tape
and documents related to the items are on file in the Office of the City Clerk and are
available for inspection, review and copying.
3/18/87
Page 14