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HomeMy WebLinkAbout06.02.2021 @630 Regular Measure W COC CANCELLEDWednesday, June 2, 2021 6:30 PM City of South San Francisco P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA TELECONFERENCE MEETING Measure W Citizens' Oversight Committee Regular Meeting Agenda CANCELLED 1 June 2, 2021Measure W Citizens' Oversight Committee Regular Meeting Agenda TELECONFERENCE MEETING NOTICE THIS MEETING WILL BE CONDUCTED PURSUANT TO THE PROVISIONS OF THE GOVERNOR’S EXECUTIVE ORDERS N-25-20 AND N-29-20 ALLOWING FOR DEVIATION OF TELECONFERENCE RULES REQUIRED BY THE BROWN ACT & PURSUANT TO THE ORDER OF THE HEALTH OFFICER OF SAN MATEO COUNTY DATED MARCH 31, 2020 AS THIS MEETING IS NECESSARY SO THAT THE CITY CAN CONDUCT NECESSARY BUSINESS AND IS PERMITTED UNDER THE ORDER AS AN ESSENTIAL GOVERNMENTAL FUNCTION. The purpose of conducting the meeting as described in this notice is to provide the safest environment for staff and the public while allowing for public participation. ZOOM LINK BELOW -NO REGISTRATION REQUIRED Join Zoom Meeting https://ssf-net.zoom.us/j/88011099208 Meeting ID: 880 1109 9208 One tap mobile +16699006833,,88011099208# US (San Jose) +12532158782,,88011099208# US (Tacoma) Dial by your location +1 669 900 6833 US (San Jose) +1 253 215 8782 US (Tacoma) +1 346 248 7799 US (Houston) +1 929 205 6099 US (New York) +1 301 715 8592 US (Washington DC) +1 312 626 6799 US (Chicago) 833 548 0276 US Toll-free 833 548 0282 US Toll-free 877 853 5257 US Toll-free 888 475 4499 US Toll-free Meeting ID: 880 1109 9208 Find your local number: https://ssf-net.zoom.us/u/kWbdnerno Page 2 City of South San Francisco Printed on 1/5/2024 2 June 2, 2021Measure W Citizens' Oversight Committee Regular Meeting Agenda Call To Order. Roll Call. Agenda Review. Public Comments. Members of the public wishing to participate are encouraged to submit public comments in writing in advance of the meeting to the Committee Secretary via e -mail to [email protected] by 1:00 p.m. on the meeting date. Emails received by the deadline will be forwarded to the Committee and read into the record by the Committee Secretary. Emails received after 1:00 p.m. will not be read during the meeting but will be entered into the record for the meeting. Approximately 300 words total can be read in three minutes. Oral Comments: Members of the public who wish to provide comment during the meeting may do so by using the “Raise Hand” feature: • To raise your hand on a PC or Mac desktop/laptop, click the button labeled "Raise Hand” at the bottom of the window on the right side of the screen. Lower your hand by clicking the same button, now labeled “Lower Hand.” • To raise your hand on a mobile device, tap “Raise Hand” at the bottom left corner of the screen. The hand icon will turn blue, and the text below it will switch to say "Lower Hand" while your hand is raised. To lower your hand, click on “Lower Hand.” • To raise your hand when participating by telephone, press *9. • To toggle mute/unmute, press *6. Once your hand is raised, please wait to be acknowledged by the City Clerk, or designee, who will call on speakers. When called upon, speakers will be unmuted. After the allotted time, speakers will be placed on mute. No more than three minutes will be allocated to read each email comment, and oral comments will also be limited to no more than three minutes. State law prevents the Committee from taking action on any matter not on the agenda; your comments may be referred to staff for follow up. MATTERS FOR CONSIDERATION Motion to approve the Minutes from the meetings of August 5, 2020 and February 3, 2021. 1. Report regarding update on the Community Civic Campus projects currently under construction. (Jake Gilchrist/Director of Capital Projects) 2. Page 3 City of South San Francisco Printed on 1/5/2024 3 June 2, 2021Measure W Citizens' Oversight Committee Regular Meeting Agenda Informational report on Measure W fund balance and expenditures for FY 2020-21. (Janet Salisbury, Finance Director) 3. Adjournment. Page 4 City of South San Francisco Printed on 1/5/2024 4 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-259 Agenda Date:9/1/2021 Version:1 Item #:1. Motion to approve the Minutes from the meetings of August 5, 2020 and February 3, 2021. City of South San Francisco Printed on 1/5/2024Page 1 of 1 powered by Legistar™5 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 1 MINUTES SPECIAL MEETING MEASURE W CITIZENS’ OVERSIGHT COMMITTEE OF THE CITY OF SOUTH SAN FRANCISCO P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, California 94083 Meeting to be held: Via TELECONFERENCE PURSUANT TO THE PROVISIONS OF THE GOVERNOR’S EXECUTIVE ORDERS N-25-20 AND N-29-20 ALLOWING FOR DEVIATION OF TELECONFERENCE RULES REQUIRED BY THE BROWN ACT & PURSUANT TO THE ORDER OF THE HEALTH OFFICER OF SAN MATEO COUNTY DATED MARCH 31, 2020 AS THIS MEETING IS NECESSARY SO THAT THE CITY CAN CONDUCT NECESSARY BUSINESS AND IS PERMITTED UNDER THE ORDER AS AN ESSENTIAL GOVERNMENTAL FUNCTION WEDNESDAY, August 5, 2020 3:30 PM Call to Order. Time: 3:33 p.m. Roll Call. PRESENT: Chair Wong, Committee Member Alcalde and Committee Member Zemke ABSENT: Committee Member Brosnan STAFF: Senior Civil Engineer Torres, Principal Engineer Ruble, Director of Capital Project Gilchrist, Finance Director Salisbury, and Assistant City Attorney Lai. Chair Wong questioned the seat of Vice Chair De Paz to which the Committee Secretary reminded the committee that Vice Chair De Paz was appointed as a Commissioner to the Housing Authority. Chair Wong then asked if there would be another member to which Committee Secretary responded with information provided by the City Clerk’s Office that there would be applicant interviews, but that they were delayed due 6 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 2 to COVID. Chair Wong confirmed with the Committee Secretary that there is a quorum with three members present. Committee Member Alcalde announced that he would be resigning in the end of December when his term expires. Chair Wong also stated that her term expires in October and questioned if she would be allowed to serve or if she would need to reapply. Committee Secretary confirmed that she would need to reapply. Agenda Review. No changes to agenda. PUBLIC COMMENTS Members of the Public were encouraged to submit remote public comments in writing by 1:30PM prior to the meeting and the Committee Members confirmed they received the two Public Comments that were emailed out prior to the meeting. Committee Secretary also confirmed that she would keep an eye on email and voice mails and should any come up they would be read into the minutes. Two public comments received prior the deadline related to items on the agenda. No general public comments. MATTERS FOR CONSIDERATION 1. Motion to approve the Minutes from the meeting of February 5, 2020 Committee Member Alcalde moved to approve the minutes. Committee Member Zemke seconded the motion. Action: Approved by roll call vote (3-0) Public Comment on Item 2-Mina Richardson, member of the public. My question for the Paving Plan Update is where is Cherry Ave at this time on the schedule? There are pot- holes and the street is uneven, with a manhole protruding causing a bump effect. It has alligator markings also. It appears other streets in Mayfair village are nicely paved with slurry seal, but mine is in need and keeps getting passed up. Please advise. Sr. Civil Engineer Torres responded, starting in 2022 we will be going into the zone of treatment. Cherry Ave is located in Zone 3 with preliminary work to begin in 2024 and is scheduled for 2024 Surface Seal at 7 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 3 this time. This is the preliminary plan and the designers and staff will be reviewing these lists in more detail. They have gone through a round of rough review, but once we get to the actual project and look at the actual costs and what is required for each street then the list will be finalized and presented. 2. Report regarding the Public Works Department’s Paving Plan update. (Angel Torres, Senior Civil Engineer) Sr. Civil Engineer Torres shared about the Pavement Management Program at the City of South San Francisco. He stated the City will be implementing a zone map for the pavement management program which mimics a system that is being utilized by other local agencies, such as Daly City who has a seven year/seven zone mapping system. He stated our City is broken up into six zones which constitute six neighborhoods which for this year, 2020, have two projects that are going out to constructions; one is a surface seal project like in the Sunshine Garden’s area, provides a treatment to the surface and gives about a 5 year extension to the road. Going forward in 2021, the project will concentrate in the Old Town Area. Sr. Civil Engineer Torres shared a 2021-2027 Preliminary Work Plan and explained that in 2028 the plan would be to return to Zone 1 and repeat the cycle. He stated that this will give full coverage to the City and the pricing of the project will be more cost effective and provide better future bids. He said that focusing on one area at a time makes in more cost effective because the contractor doesn’t need to m obilize equipment to different parts of the City and will allow for more streets to be surface sealed. Committee Member Alcalde asked where the funding comes from. Sr. Civil Engineer Torres replied that there is a combination of different sources of funding. A portion of the funding for these projects is from Measure W. Principal Engineer Ruble stated that City Council has elected to fund the Pavement Management Program at $4.5 M made up of General Fund, Measure A, SSF Measure W, San Mateo County Measure W and Road Maintenance Rehab (SB1) to combine that. Measure W is providing funding of $667,000/year for the indefinite future and was included in the City’s Capital Improvement Program. Chair Wong stated that sometime last year the work plan was presented and asked if there were any major changes to the timeline for each zone compared to the first presentation. 8 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 4 Sr. Civil Engineer Torres responded that when he came on board and changed the pavement program, one thing that changed is that the budget was increased for the pavement management program and what that allowed for was to work with a designer to bundle projects combining two single-year projects into one project. For example the current budget makes it possible to complete the previous 5 year plan from 2017/18. From there, starting in 2022 they will be moving into the new 6 year plan. Sr. Civil Engineer Torres continued by scrolling through and showing the remaining sections in more detail. Chair Wong requested information on a specific street and Sr. Civil Engineer Torres responded with the requested information Chair Wong asked if the list was available to the public. Principal Engineer Ruble stated that the work plan is posted to their website and is readily available to the public and anyone is able to look in and see when their neighborhood will receive treatment. Public Comment -Police Dispatch Update. What is the completion date for the first phase of the Civic Campus? On schedule to begin the next phase? Director of Capital Projects Gilchrist responded that Omar Galvan Construction Manager from Kitchell CEM will run through a more detailed update on construction of Phase 1, which is the police operations and 911 dispatch. He stated that generally speaking construction is going well, they broke ground about three weeks before shelter in place began. He stated that the project is about 30% of the way through construction. He mentioned that the project has only lost a couple of weeks of schedule, unrelated to COVID, due to unforeseen site conditions. He said the project is still on schedule for a September 2021 completion for Phase 1 of the Community Civic Campus. He invited the committee to join next week for the Council meeting on August 12 where there will be an in-depth presentation on the sustainability of the project with the green infrastructure element and an update on the park and playground design, as well as a series of detailed 3D visualization for the interior of the building. He stated that Phase 2, which is the Library and Parks and Recreation facility is still on schedule to bid in early September with the idea being that it would open in spring of 2023. He stated that he is impressed with SmithGroup’s design and leadership of Kitchell, Omar’s team. 9 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 5 3. Report regarding construction of Police Operations and 9-1-1 Dispatch Center. (Jacob Gilchrist, Director of Capital Projects) Omar Galvan with Kitchell, the Program Construction Manager for the Campus Project both Phase 1 and Phase 2, went through a series of slides to overview the project which included information regarding the 18 month construction duration contract award to Swinerton Builders, demolition of the existing Pet Club and prepping the site, groundbreaking, and current efforts . Committee Member Alcalde asked if equipping the building is included. He asked if it is another phase or if it is all included in the contract. Program Construction Manager Galvan responded that the coordination of FFEs (fixtures, furniture and equipment) is on the tail end of the project, typically in the last 60 -90 days and that there will be some cut over after the project is complete to get the police station online including the emergency equipment which is currently in the approved budget. Committee Member Zemke mentioned that he thought it looks great and that contractors are making really good progress every time he looks at it. Chair Wong asked if we foresee anything will cause the project to go over budget because of pandemic issues. Director of Capital Project Gilchrist responded that there is a 10% contingency that is being used for unforeseen expenses but is still within the budget. He said that in terms of the pandemic it is a big unknown but there is a healthy contingency left. He stated that the City’s cost estimators are suggesting holding back a few million. He said that the pandemic may slow construction, but that at this point there is no need for additional funding. Committee Member Alcalde stated there is not so much concern of the outgoing but of the incoming as the City’s sales tax has probably been affected by the pandemic and is eager to hear from Finance. Director of Capital Project Gilchrist mentioned that Finance may cover that in their presentation but that the team will be going over that it more detail at the Council presentation. 10 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 6 4. Informational report on Measure W fund balance and expendi ture projections for FY 2020- 21 (Janet Salisbury, Finance Director) Finance Director Salisbury shared the Measure W Fund Balance Summary which showed the revenues and expenditures. Director Salisbury stated that the current fund (cash) balance for Measure W as of August 1, 2020 is $13,391,541. Current year to date through April the City has collected $9,862,295, does not include May and June 2020. Projection right now is to end the year around $11.5M and that is substantiated by speaking with our sales tax consultant. In this year our expenditures are $407,000 which includes our first debt service payment on the Police Station and a transfer to CIP of $10M. Committee Member Alcalde asked what the transfer to CIP reflects. Director of Finance Salisbury mentioned that is a combination of the campus and the streets project and will go more in depth in the presentation. Director Salisbury continued with a Monthly Revenue Comparison (FY 2019-20 vs. FY2018-19) which showed a decrease in pre-COVID months July through February, explained by a slight softening. She also explained that an error in the 2017-18 tax years resulted in additional funds in the 2018-19 year and could affect those reportings. The comparison also showed an increase in March which could be contributed to early COVID spending at Costco but overall there is an average monthly decrease of approximately $60,000 due primarily to the acute effect of the pandemic. Director Salisbury provided preliminary FY2019-20 expenditures which included a pre-construction expenditure of $10,011,942 for a total amount of $10.5M including the streets program and debt service. Chair Wong asked if there is an estimate of the unspent fund balance which will be carried over to next year. Director Salisbury explained that Measure W is its own fund and that there is no carry over in terms of funds and it is a to be determined. Director Salisbury continued with the FY2020-21 budget and explained that the economic impact of COVID-19 is expected to stress revenue, but that the expectation is still to bring in $11.17M. Expenditures are expected to be around $3.8M. 11 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 7 Director Salisbury stated that she would email Chair Wong the actual number but that there were $17M budgeted expenditures for 19-20 so we are under budget. Chair Wong asked what the significance of Council adopting a budget is if there is always a large unspent balance that continues to roll over. She asked if with the bond issuance if the City will go back to Council to budget. Director Salisbury clarified that what she is showing is cash; that these funds are committed through contracts. Chair Wong asked if there was a snapshot of the committed amount and asked if that could be presented at the next meeting so that she can see the budget and actual comparison. Director Salisbury stated that there is no way to do that at this time as the funds have not actually been encumbered can only really see cash out the door. She stated that what finance tracks is appropriated dollars. Committee Member Alcalde asked what the reduction is hotel tax is because he is concerned that Council may look to Measure W to fund CalPERS obligation. Director Salisbury stated that there is a downfall in TOT but will not be used for holstering the pension cost and stated that the City is unbelievably financially healthy and pointed to the City’s AAA rating. Chair Wong asked to see the final auditing numbers at the next meeting. Director Salisbury stated that it would not be ready. Chair Wong requested to see the final revenue number. Director Salisbury confirmed that number will be presented at the next meeting. Chair Wong mentioned the revised meeting time is a problem. Director Salisbury stated that because of budgetary restrictions the City is moving to hold committee 12 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE SPECIAL MEETING MINUTES AUGUST 5, 2020 PAGE 8 meetings during the business day during COVID. ADJOURNMENT At 5:11 p.m., Chair Wong adjourned the meeting. Submitted by: Approved by: Amanda Parker, Administrative Assistant II City of South San Francisco Christine Wong, Chair City of South San Francisco 13 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE MEETING MINUTES February 3, 2021 PAGE 1 MINUTES MEASURE W CITIZENS’ OVERSIGHT COMMITTEE OF THE CITY OF SOUTH SAN FRANCISCO P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, California 94083 Meeting to be held at: Via TELECONFERENCE PURSUANT TO THE PROVISIONS OF THE GOVERNOR’S EXECUTIVE ORDERS N-25-20 AND N-29-20 ALLOWING FOR DEVIATION OF TELECONFERENCE RULES REQUIRED BY THE BROWN ACT & PURSUANT TO THE ORDER OF THE HEALTH OFFICER OF SAN MATEO COUNTY DATED MARCH 31, 2020 AS THIS MEETING IS NECESSARY SO THAT THE CITY CAN CONDUCT NECESSARY BUSINESS AND IS PERMITTED UNDER THE ORDER AS AN ESSENTIAL GOVERNMENTAL FUNCTION Wednesday, February 3, 2021 6:30 p.m. Call to Order. Time: 6:31 p.m. Roll Call. PRESENT: Chair Wong, Committee Member Brosnan, Committee Member Zemke STAFF: City Manager Futrell, Director of Capital Projects Gilchrist, Assistant City Attorney Lai, Principal Engineer Ruble, Finance Director Salisbury Agenda Review. No changes to agenda. PUBLIC COMMENTS No public comments. 14 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE MEETING MINUTES February 3, 2021 PAGE 2 MATTERS FOR CONSIDERATION 1. Motion to approve the Minutes from the meeting of August 5, 2020. Committee Member Brosnan stated that he was unable to view the minutes. Chair Wong moved to continue this item to the next meeting. Committee Member Brosnan seconded the motion. Action: Approved by roll call vote (3-0-0) 2. Presentation on Financing the Civic Campus and Street-Paving Program (Janet Salisbury, Director of Finance) Finance Director Salisbury presented to the Committee regarding Financing the Civic Campus & Street Paving Program, which consisted of an overview of Measure W Funds, review of Civic Campus Financing, and a presentation of an Option for Streets Paving Program. Director Salisbury went over total revenues and expenditures in terms of Measure W Funds. She restated for the record that Measure W Funds are kept separate from the General Fund and accounted for specifically and intentionally so that every dollar is tracked. Director Salisbury shared the Measure W Fund Balance Summary, which showed all of the dollars that have been received by the City since the inception of Measure W, which goes back five years and ends at June 2020 as this is the current finalized CAFR. Director Salisbury stated that the finalized CAFR is going to Council on February 10, 2021. The Director of Finance stated that through December 2020, for fiscal year 2021, the City has received $4M in total revenues and that there have been no expenditures in terms of cash. Director Salisbury presented a Monthly Revenue Comparison and shared that the City accounts for funds on an accrual basis. Director Salisbury attributed a $1M decrease from FY 2019-2020 compared to FY 2018-2019 to COVID citing that Shelter-in-Place began in March. Director Salisbury stated that the current interest rates are near historic lows and presented the pricing of Phase I, Series 2020A Bonds in February 2020. She mentioned that the expectation is for the interest rates to remain low as the City evaluates the Phase II bonds. Committee Member Brosnan questioned when the City would start paying on the Phase I Bond. Finance Director Salisbury shared that the City has started paying bond interest. She stated that the bond interest is paid on a semi-annual basis. She referred to a $407,156 transfer to Gen’l Fund (9100) as debt service payment for the interest costs. She mentioned that the bonds closed in March and that the first interest payment was made in June, on a June to December basis; every six months. 15 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE MEETING MINUTES February 3, 2021 PAGE 3 Finance Director Salisbury stated that she would send out the Official Statement for the Phase I Bonds to the Committee Members as part of the next meeting. Finance Director Salisbury stated that the Official Statement contains the debt service; what we are going to pay back and the schedule on a semi-annual basis. Committee Member Brosnan asked when the City would begin paying on principal. Director Salisbury stated that the City will being paying towards principal in December. She stated that the bonds are structured to be level debt service, meaning the debt service annually is level. She mentioned that the average annual debt service is $2.7M and that will be paid for the life of the bond. Director Salisbury stated that the bonds sunset in 2046 that will go back to pay a par amount of about $47M and change. Committee Member Brosnan requested clarification in regards to Phase II payments and asked if there would be other phases beyond Phase II. Finance Director stated that this will be discussed. Director Salisbury shared funding sources related to estimated cost in regards to Pre-Construction, Phase I:Police Station and Phase II: Library, P&R, Council (LPR). Chair Wong asked if the fundraising $4.7M target is realistic. Director Salisbury responded that it is a realistic target based on discussions with the Library Foundation who is leading the fundraising efforts on behalf of the City. Committee Member Brosnan brought up a point regarding a fundraising consultant that was hired in the end of 2019 and mentioned that the fundraising number was much higher then and seemed very unrealistic. Committee Member Brosnan asked if that consultant was still around and asked if the consultant had viable ideas. City Manager Futrell said that the initial number was $10M and that it would have been achievable before COVID. City Manager Futrell mentioned that there will be a press release soon to announce a couple of large donations and hoping that will cause a little momentum and maybe raise a little more. Committee Member Brosnan stated that earlier in the last year Council did a proclamation to transfer funds from infrastructure and asked where on the presentation that is documented. City Manager Futrell stated that in June Council changed their decision. Due to COVID and the shutdown and the economic recession, Council decided to hold that money in reserves. Finance Director Salisbury went on to present a conservative estimate of Measure W Cashflow through to 2046. Committee Member Brosnan pointed out a discrepancy on the Cashflow slide related to Monies Already Spent and Total Expenditures on the Fund Balance Summary slide. 16 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE MEETING MINUTES February 3, 2021 PAGE 4 Finance Director Salisbury explained that the Fund Balance Summary contains monies that have been budgeted and unspent, where the Cashflow accounts for monies that have left the door. She explained that budgeted is different from actuals. She stated that monies that have been approved by Council and are tied up in encumbrances, makes up the difference. The Committee discussed how to present for clarification and consistency in the future. Finance Director Salisbury presented a plan to issue additional $24M for Street Paving Program to accelerate the street improvements and noted a significant savings component. Principal Engineer Ruble presented a representation of the current six-year rehabilitation program against a two year catch up project and a 5-year future maintenance surface seal by zone rehabilitation Bond Measure Project which would cover 7% more roads in 2 years and will cost approximately $2.5M less each year. Director Salisbury discussed the option to add $24M for streets program and its affordability. She went on to present the Bond Sale Assumptions with both options (LPR Only and LPR + Streets) and impact with 1% Interest Rate Move. Director Salisbury concluded the presentation with a slide regarding Projected Cash Flow Detail through 2030. Committee Member Brosnan asked for clarification regarding a statement made earlier in the presentation regarding Phase 1 $2.7M interest-only payments. Director Salisbury clarified that the $2.7M payment is not interest only. She stated that the $2.7M is the whole principal and interest. However, the first payment was interest. Chair Wong asked for clarification on the Projected Cash Flow slide regarding the streets paving program. Director Salisbury stated that the Phase II as presented is potential debt service that has not been issued for the Library, Park & Rec building. The streets paving program is presented as an “if Council approves” that is the potential debt service based on $24M. Committee Member Brosnan asked for clarification regarding the total debt issuance, he asked for clarification if it rose from $115M to $127M. Director Salisbury confirmed that the $127M is the total issuance, but reminded that that is not the par amount rather what we actually receive in cash. Committee Member Brosnan asked if there were fees related to closing costs that would be added to $127M. Director Salisbury responded that the numbers presented are all-in and have all been accounted for. She went over cost of issuance and the underwriters discount related to how much bonds are issued. 17 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE MEETING MINUTES February 3, 2021 PAGE 5 Committee Member Brosnan asked if it was like a mortgage, where the bottom line is how much you are borrowing and how much your mortgage payment is going to be every month. Director Salisbury stated that it is like a home loan where you will see annual average debt service. She stated that she could share the Official Statement at a future meeting. Committee Member Brosnan stated that the Principal and Interest Payments seem very small in terms of the amount. Director Salisbury pointed to the interest rate as the reason for this. She reiterated that the bonds have been structured at a historically low interest rate and that the bond is structured as a lease revenue bond. There were some assumptions made early on, one being that there would be one bond not broken up as it is currently structured. The debt service was initially based on $115M upfront, but that is not what happened. The City broke up the Police Campus and LPR Building. On the down side you are paying costs twice and cited the closing cost of $300,000 that becomes $600,000, but noted that in the relative scheme of things it actually saves the City millions. She also went over the structure of the bonds, which includes pledged assets. She stated that by doing this we do not have to borrow more than we need and have further dropped that debt service number. Committee Member Brosnan confirmed that they would be two separate notes. Director Salisbury stated that they would be two separate notes, Phase I which was issued last year and will go to 2046/2047 and Phase II which will be issued in May and will sunset in the same timeframe. Committee Member Zemke stated that the discussion was very informative and said that his only question was, “when do you expect to issue the second bond” which was just answered. Director Salisbury mentioned that the presentation will go to Council on February 10th where they will decide whether to go ahead on the street paving program for the $24M. Director Salisbury stated that she would present more information when the committee meets again. A discussion related to the timing of the next meeting ensued because of staffing time and budget. Chair Wong asked when the Committee could expect the Annual Audited Financial Statement for year 2020. Director Salisbury mentioned that the Comprehensive Annual Financial Report (CAFR) has been finalized and is going to Council on Feb 10 and can be presented by the next meeting. City Manager Futrell asked what the Committee expected to see out of the CAFR. Chair Wong stated that the responsibility to review the Annual Financial Statement is listed in the job responsibilities of the position. City Manager Futrell stated that he would pull out the portions relative to Measure W. 18 MEASURE W CITIZENS’ OVERSIGHT COMMITTEE MEETING MINUTES February 3, 2021 PAGE 6 Committee Member Brosnan questioned the expectation of the group. City Manager Futrell reiterated the importance of the group and its purpose of holding Council accountable for Measure W funds. Committee Member Brosnan asked if there would be new members added. Director Salisbury stated that the City Clerk’s Office will be holding interviews. City Manager Futrell stated that we would check in with the Clerk. Director Salisbury shared that the Committee would do a reorg when new members are added and asked that the City Attorney present a refresh on authority of the Measure W COC. ADJOURNMENT At 8:01 p.m., Chair Wong adjourned the meeting. Submitted by: Approved by: Amanda Parker, Administrative Assistant II City of South San Francisco Christine Wong, Chair City of South San Francisco 19 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-365 Agenda Date:8/4/2021 Version:1 Item #:2. Report regarding update on the Community Civic Campus projects currently under construction.(Jake Gilchrist/Director of Capital Projects) Police Operations and 911 Dispatch Center Following Council’s January 2021 approval to purchase furniture and communications equipment, the team entered into purchase order agreements with several vendors in order to receive all of the necessary equipment and furnishings on schedule to open the Station in Fall 2021. Two additional green infrastructure components are currently in design and will likely be added to the scope of both Civic Campus projects. First, Council approved additional funding to include a photovoltaic panel system on the roofs of both the Police and Library/Parks and Recreation building. Second, the team is working with Parks and Recreation and Engineering to connect the irrigation systems to the planned reclaimed water system that is under construction as part of the Orange Memorial Park Storm Water Capture project. As construction continues, recently the contractor completed the installation of the perimeter fence posts and perimeter bollards, which are used to create a protective barrier and provide visual markers to enhance safety. Installation of the drywall for the interior walls and the exterior shell of the facility also continues. ·PG&E power connection ·completion of the building’s exterior shell ·installation of the mechanical, electrical and plumbing equipment ·installation of the elevators ·completion of the flow through planter, which will treat water by allowing runoff to soak through its soil matrix and filter into an underdrain system at Chestnut Street ·site work consisting of final grading and installing base rock throughout the site prior to parking area paving Library, Parks & Recreation and Community Theater/Council Chambers With major site work under way, the contractor has demolished the hillside along El Camino Real, stockpiled and tested soil for reuse and off-haul, began relocation of underground utilities and completed the temporary access road that is necessary to provide BART and San Francisco’s Public Utility Commission continuous access to their neighboring facilities. City of South San Francisco Printed on 1/5/2024Page 1 of 2 powered by Legistar™20 File #:21-365 Agenda Date:8/4/2021 Version:1 Item #:2. Over the next two months, contractors will begin work on: ·construction of the shoring bench, a support system used to protect the existing infrastructure along El Camino Real ·demolition of the old access road at the southern part of the construction site. ·excavation of the site and installation of geofoam, which is used to provide a lightweight fill below the embankment or parking lot; and ·overall site grading in anticipation of utilities (water, electrical, drainage) installation in anticipation of structural steel erection. The Director of Capital Projects reviews weekly projections and monthly summaries of construction schedule, overall project budget, and the use of construction contingency. At this time, both projects continue to track well on both schedule and budget. City of South San Francisco Printed on 1/5/2024Page 2 of 2 powered by Legistar™21 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-433 Agenda Date:8/4/2021 Version:1 Item #:3. Informational report on Measure W fund balance and expenditures for FY 2020-21.(Janet Salisbury,Finance Director) RECOMMENDATION This report is informational and requires no formal action from the Committee. BACKGROUND/DISCUSSION The voter-approved half-cent sales tax (Measure W)went into effect on April 1,2016.Since that time,the sales tax proceeds have been accounted for separately from the City’s General Fund to track the commensurate revenues and expenditures. A.MEASURE W FUND BALANCE The following is a summary of the all Measure W revenues and expenditures since inception through June 30, 2020: Table 1: Measure W Fund Balance Summary As shown above,the fund (cash)balance for Measure W as of June 30,2020 was $14,979,381.Attached to this report as Attachment 1 are pages 105-107 of the City’s Comprehensive Annual Financial Report for year ended June 30, 2020, which reflects the above fund balance. The complete financial report can be found on the City’s website: <https://www.ssf.net/departments/finance/financial-reports/comprehensive-annual-financial-reports-cafr> B.FY2020-21 REVENUES To date,the City has received approximately $8.7 million in Measure W revenues for FY 2020-21;that figure includes monthly collections through February 2021.It was our expectation,in consultation with the City’s sales tax consultant,Avenu Insights and Analytics,that revenues for FY2020-21 would be approximately $11.9 City of South San Francisco Printed on 1/5/2024Page 1 of 3 powered by Legistar™22 File #:21-433 Agenda Date:8/4/2021 Version:1 Item #:3. sales tax consultant,Avenu Insights and Analytics,that revenues for FY2020-21 would be approximately $11.9 million.However,given the current trend in actuals,the Finance Department is projecting that Measure W collections for the current fiscal year will be stronger, possibly meeting the FY 2018-19 peak of $12.6 million. The following table shows a comparison by month the Measure W sales tax collection for FY 2020-21 versus the prior year: Table 2: Monthly Revenue Comparison (FY2019-20 vs. FY2020-21)* *Data as of May 26, 2021 As shown above,sales tax revenue collections continue to be strong and relatively resilient to the impacts of the worldwide pandemic.For the first eight (8)months of this fiscal year,sales tax collections are higher by approximately $268,000 than the same period the prior year.That is notable as the first eight months of FY 2020-21 account for a period during the pandemic whereas the first eight months of FY 2019-20 were pre- COVID. C.FY2020-21 EXPENDITURES The following numbers are preliminary and subject to change based on the FY 2020-21 audit.With that said, Measure W expenditures, as of May 26, 2021, for FY2020-21 are as follows: Funds appropriated in prior years by Council but unspent have been carried over as appropriated funds to be spent in FY2020-21 as part of the ongoing capital projects. D.LEASE REVENUE BONDS, SERIES 2021A City of South San Francisco Printed on 1/5/2024Page 2 of 3 powered by Legistar™23 File #:21-433 Agenda Date:8/4/2021 Version:1 Item #:3. On May 12,2021,the Council adopted the resolution approving the execution and delivery of various bond documents that allowed for the sale of the Lease Revenue Bonds,Series 2021A (“2021A Bonds”)via the joint powers authority, City of South San Francisco Public Facilities Financing Authority. The 2021A Bonds were priced recently on May 26,2021.The following are some statistics related to the 2021A Bonds: As the Committee is aware, the 2021A Bonds is the second issuance of Lease Revenue Bonds backed by Measure W revenues. In March 2020, the City issued its first Lease Revenue Bonds, Series 2020A (“2020A Bonds”). The combined average annual debt service for both 2020A Bonds and 2021A Bonds is $8.287 million. CONCLUSION Despite the effects of COVID-19, Measure W remains healthy, with expenditures remaining well below revenue projections. City of South San Francisco Printed on 1/5/2024Page 3 of 3 powered by Legistar™24