Loading...
AddendumN o MEETING DATE: 06/02/15 ITEM NO: 8 COUNCIL AGENDA REPORT ADDENDUM DATE: MAY 29, 2015 TO: MAYOR AND TOWN COUNCIL G��j�� FROM: LES WHITE, INTERIM TOWN MANAGE SUBJECT: OPERATING AND CAPITAL BUDGETS A. CONSIDER THE TOWN OF LOS GATOS PROPOSED OPERATING AND CAPITAL BUGDET FOR FISCAL YEAR 2015/16 B. CONSIDER THE TOWN OF LOS GATOS PROPOSED CAPITAL IMPROVEMENT PROGRAM FOR FISCAL YEAR 2015 -2020 C. PROVIDE DIRECTION REGARDING ANY OF THE FOLLOWING CHANGES TO THE FISCAL YEAR 2015/16 OPEARTING AND CAPITAL BUDGET OR THE 2016 -2020 CAPITAL IMPROVEMENT PROGRAM BUDGET: 1. TRANSFER OF $100,000 IN YEAR -END GENERAL FUND SURPLUS TO THE NPDES FUND 2. TRANSFER OF $500,000 FROM THE TOWN'S VEHICLE MAINTENANCE FUND TO THE TOWN'S GENERAL LIABILITY ABAG FUND 3. INCREASE VEHICLE IMPACT FEE REVENUE IN THE GENERAL FUND APPROPRIATED RESERVE (GFAR) BY $136,000 4. ALLOCATION OF ONE -TIME ADDITIONAL FY 2014/15 YEAR END GENERAL FUND SURPLUS TO OFFSET HUMAN SERVICES GRANTS FUNDING GAP OF $31,294 5. ALLOCATION OF ADDITIONAL ONE -TIME FUNDING OF $1,000 FROM FY 2014/15 YEAR END GENERAL FUND SURPLUS TO FUND THE ART DOCENTS OF LOS GATOS 6. ALLOCATION OF ADDITIONAL ONE -TIME FUNDING OF $2,000 FROM FY 2014/15 YEAR END GENERAL FUND SURPLUS TO FUND THE NEW MUSEUMS OF LOS GATOS 7. ALLOCATION OF ADDITIONAL ONE -TIME FUNDING OF $5,600 FROM FY 2014/15 YEAR END GENERAL FUND SURPLUS TO FUND THE ARTS AND CULTURE COMMISSION 8. AUTHORIZATION TO ASSIST THE ARTS AND CULTURE COMMISSION IN DEVELOPING AN UPDATED ARTS PLAN FOR COUNCIL REVIEW AND CONSIDERATION AND FOR STAFF TO Reviewed by: N/A Assistant Town Manager N/A Town Attorney N/A Finance NAMGR\AdminW0rkFiles\2015 Council ReportsVune 2 \Town Council Budget Staff Report.Addendum.docx PAGE 2 MAYOR AND TOWN COUNCIL SUBJECT: OPERATING AND CAPITAL BUDGETS DATE: MAY 29, 2015 EXPLORE ALTERNATIVE OPTIONS FOR ONGOING REVENUE SOURCES FOR PUBLIC ART FUNDING 9. AUTHORIZATION TO ADJUST GENERAL FUND EXPENDITURES AND REVENUES BY $164,000 TO FUND AN ENTRY LEVEL OFFICER 10. ALLOCATION OF $300,000 IN FY 2014115 YEAR END GENERAL FUND SURPLUS TO FUND RESTORATION OF SERVICES AND /OR FUTURE SALARY AND BENEFIT AUGMENTATIONS REMARKS: The attached public comments were inadvertently omitted from the Staff Report received on May 28, 2015. Attachments 1 -4 (Previously received with Staff R ort on May 14 2015 : 1. FY 2015/16 Proposed Operating and Capital Budget (Previously Submitted) 2. FY 2016 -2020 Proposed Capital Improvement Program Budget (Previously Submitted) 3. Memorandum from Stephen Conway, Finance Director, dated May 14, 2015 responding to questions asked during the May 5, 2015 budget study session 4. Town of Los Gatos Donation Opportunities: FY 2015/16 List of Town Needs Attachment 5 (Previously received with Desk Item on May 19 2015) 5. Public comment received from 11:01 a.m. Thursday, May 14, 2015 through 11:00 a.m. Tuesday, May 19, 2015 Attachments 6 -7 (Previously received with Staff Report on May 28 2015) 6. New Library Project — Furniture, Fixtures and Equipment 7. Library Re- use/HVAC Project Attachment 8 received with this Staff Report: 8. Public comments received through 11:00 a.m. Friday, May 29, 2015 Laurel Prevetti From: John Shepardson <shepardsonlaw @me.com> Sent: Tuesday, May 26, 2015 11:28 AM To: Marcia Jensen; BSpector; Steven Leonardis; Marico Sayoc; Rob Rennie; Council; Les White; Laurel Prevetti; Matt Frisby; Matt Morley; Lisa Petersen; Mike Wasserman; Sam Liccardo; Carl Guardino; Barry Chang 4 Cupertino City Council; bloventhal @cityofmontesereno.org; whuff @cityofmontesereno.org; lallan @cityofmontesereno.org; manstandig @cityofmontesereno.org; bcraig @cityofmontesereno.org; sgarner @cityofmontesereno.org; hmiller @saratoga.ca.us; mcappello @saratoga.ca.us; elo @saratoga.ca.us; mlbernald @saratoga.ca.us; rkumar @saratoga.ca.us; City Council; rsinks @cupertino.org; gwong @cupertino.org; svaidhyanathan @cupertino.org; dpaul @cupertino.org; pierluigi .oliverio @sanjoseca.gov; Rick Sung; manager @cupertino.org; Debbie Bretschneider Subject: LG Town Budget Review June 2, 2015 Attachments: LG- Budget_venn- 5.pptx; MemoLGTC6215.docx ATTACHMENT 8 THIS PAGE INTENTIONALLY LEFT BLANK Innovations in service sharing have led governments to join together to explore ways to continue to deliver quality services and cut costs. Often when jurisdictions share services or join together to contract for a service, opportunities arise to take advantage of economies of scale. Service swapping can also be beneficial, as can consolidation, when the conditions are appropriate. (emphasis added) Management Partners has had success providing in -depth analysis, facilitating service sharing discussions among two or more jurisdictions, and crafting service level agreements. Once we identify opportunities, we can provide implementation planning to assure a successful transition to the new service delivery method. Our successes with this service include the projects highlighted below. Hampton Roads Partnership Hampton Roads Partnership (Commonwealth of Virgina) This project involves three large city- county governments in the Commonwealth of Virginia: Norfolk, Chesapeake and Virginia Beach. The project, jointly funded by the cities and the private sector through the Hampton Roads Partnership (a regional public - private partnership), required that every service operated by each jurisdiction be considered for a service sharing pilot project. Over 130 services were initially identified with sharing potential. After an extensive process of analysis, considering both the costs and benefits of shared operations and the degree of difficulty in implementing a shared model for each individual service, 13 specific services were selected for implementation. These included services from each major function of local government except schools, which were not a part of the project. LV -NLV NV Service Sharing Cities of Las Vegas and North Las Vegas, NV These two neighboring jurisdictions had previously explored and implemented a variety of operational changes and resulting expenditure reductions to balance their budgets, yet the economic situation required that they do more. Management Partners undertook a comprehensive review of government services to identify the most beneficial opportunities for service sharing and cost reductions. Subsequent to the initial government -wide scan, we completed in -depth analyses in seven selected service areas: workers' compensation, recreational programming, purchasing, radio maintenance, detention center support services, fire plan check /fire code enforcement and traffic operations. Estimated savings from service sharing in these areas range from $4.2 million to $5.6 million. Alameda CTC CA Agency Consolidation Alameda County Transportation Commission, CA (formerly Alameda County Congestion Management Agency and Alameda County Transportation Improvement Authority) In this multi - phased project, Management Partners initially completed a study that identified both service sharing and consolidation opportunities between the two major transportation agencies in Alameda County. The threshold analysis determined that a merger of the two agencies would produce ongoing savings of up to $1 million per year while, most importantly, continuing delivery of all mission critical responsibilities. Management Partners then completed a Merger Implementation Plan, which provided the steps and general timing for the actions needed to merge the staff and business activities of the separate agencies into a single organization under a new Joint Powers Authority. (emphasis added) Since the Town doesn't have $9M to fix the "Shatter slab" Almond Grove Streets, is the Town effectively "broke "? 2. 42% LGPD budget = bumpy roads? Summary Argument: 1. Town is "broke ". 2. Don't have $9M to fix Almond Grove streets. 3. AG streets hazardous. 4. $74M unfunded obligations? 5. Fix roads, save millions with independent review or Sheriff. 5/28/2015 1 Conceptual Design Report for Almond Grove District NICHOLS CONSULTING ENGINEERS March 2011 "The historic Almond Grove District (District)... potential tripping hazards..." (red for emphasis) 5/28/2015 K "The slabs are extensively cracked (in many cases, they have broken into four or more pieces and are therefore considered to be `shattered slabs'). This is a definition of failure for PCC pavements, and they have essentially reached the end of their service lives." 5/28/2015 9 Fo' u 5/28/2015 0 Town's May 14, 2015 Staff Report: "...the Town remains challenged with availability of limited resources to augment the Proposed FY2015/16 and future budgets. "The Town will continue to seek other funding sources for street repair and resurfacing...." p. c -6 5/28/2015 5 "Additional funding, possibly from the sale of Town properties, will have to be identified for future phases of the Almond Grove Streets Project." p. c -8 LG Traffic Mitigation Improvements Project List -- millions more in unfunded repairs? 5/28/2015 0 More Unfunded Debt (Approx. $54M ?) "...Town's employer -paid benefits... continue tc increase, with expectations that these costs will continue to increase for the foreseeable future." C -5 Solutions... 1. Third party review. 2. Switch to sheriff. 5/28/2015 0 VTA Ad Hoc Financial Recovery Committee FINANCIAL STABILITY IDEAS for CONSIDERATION March 24th, 2010 • Third Party Evaluation • Contracting Services LGPD Local Control ELEGENT SOLUTION Local Officers "understand" LG 42% of budget Tradition "Nothing should be set in stone, and its always good to review expenses and budgets." 3RO PARTY REVIEW -- Apples to Apples -- Efficiencies Pay for Report -- Survey Citizens SHERIFF Save $411,111yr Control Contract Sara & Cup —Safer Cup faster 9 -1 -1 Re -hire LG Officers Helicopter SWAT, Dogs, Dive Team Keep Chief Frisby Keep Town —Not need big project $, - which increase density & traffic 5/28/2015 E:3 COVNQL AGeHYA: S�ILE015 Snit/ 99 Memorandum N,cYycu..Jlyu .mM.ummm.4[..mm,D�m;. marem:vlsonzeao � DAre:m.yazbu n �ar�nnenm: Pm.wlr.aoMV;.:.u>w M><+imq rmllgmJ,mmi'�H[b m.mWmiw.mfmtmm; [[a wmom:.vmm.wuw N: 1)kl+E:c Wm WN.kgFnlnaklmlknwb ¢ porJe nre WnA inlwa wvwvw, gyMwjq m.w.Pm::ta impm.mmwr.mmvN:[mnm. m,::m4:�m,,m'a Fam+� wm,pma m.l l[Wes+:,.vIN,^nvlor,snpF,:v ulncuptrn mmrcm,�eua[[.+r v.�,mram.lw:m. a'ramoe ;wm[.a:m k..."m wuwj � Rl �an[RYI uJrei, MmtinmlofCVRe Wv.wN[ fwrvmPe mme J:mgnu:u4W:ivq b�lor]m Cbt' omny94: YrN; meOYR [tI�W:::�m;n9m;m�m�vunpmrymNu orrw�,m.masmss,wti..n W EazP. (s:.cm YIP,.aup.rte.� '.:pgrv::. n, m.a wvv, elm.rmuv[[unwl., erlwvms'mtpa wa:[mbYAUmn[wtM:m.n,:,.m q.imuwnez ^Ilum,,:N,w w: -... Na[I:Je .IaS[. m[mu¢� mw[emsm, mmYw.m[e.mms[m,,:y,im a)P.mmw;mm[ah.rmrmJmmwJ,._ m[n.[9..mml.w,mmi::e.,m.,u �r ml[[m,mwwumwmwJ.em[mRa rmmzs mmn:[znwr4 vmiwol4 Glit '[keWNwmJlow Wm: Aapwtpmnu(mvlepvlin lS mYenava). 5) Mdlle mma:lp Jnuk b admlN In ell w [mil a;mw,e v wss Jwa b 3pIR mJ 3 W I. flukinRWB.ItFa,N Wctlrywi &ovlfi[ov4vm88V;W Y[N w4SVOmm Drym:wm,[f 11m[v[p[:u:inn. WeheliyuhW uWm ®aill,mwuoilliMMmJwW Yu Wv[w MJqumJUUZmnWmum fa JYvtry VNmuv.ely,b w:hkm[:em[a Jmsmwnm tlm Bv[Lw Ma[M1 14EOI5Ne&Jeae[®:Ime wvnwppaof[mPoamtMT ®gmWm gp:wW m. V— Viryro:wJUpvn N:h®uJY ®[p+WOnNVy,ap�rt Rv mponxv 4mrz dViJm Jm ,vhNWYVUwv4Vl upp,mcn:enul nlnY,ie[Liµ IYpmtiwmEem:ma ®Im1A kv [ftlfe u xupe:u.. x'nils moJ enmo+�. w;=+RY avlava m Lm u �I�F[Y.i,waiewlr4mW::mw:::nm[m mYmm,S'om[v:im:zwmmrmwl..m i..u..:m,:mrm:mlw[wmYl nm: m::. ®amww[Im[[I.m[[mmi[[.ImmJ[.'ai. W [Mm 21. .0- v;m svullym wl'emrem+::rvny 44U IIV: kllc��wtllWwltleMav„Aiaimeb/LLSpgq rctlu vfeM1UmtivealmvkMf Nn We Vuw4meppoxi c.la.w Ym mm [..m.m au aw (MFIVJ>IwLOn Ymm Cw.11wgPmme &me Fe W PeHI[ WxE AB i,, MV W[m,MnN Cerry9YAa: Apv[ximv¢IyRW duom; eg,tlu CvBfuniv <I,Im uMR &[J I.pM PueleR �mem: a, M4nsfNa 6lJx;n vvCMVry1:NSUpM1OW G:nalrvl city. Canm.(in::rlbiily, (bmmc,cc(ovim CWVVCiIY.DJYCIV,IL U,IkI MU, fII V:uq Gei[imv.F mdiao. n. V Ws:: mn.c H..mw::s I;ieFImKdW^vJ.Im Alem�m. Wviw+:k. Gm,Y. LYnnm4 Mm::m.4nrymlN,MmNPUk. ntillAss.M[Mm.AbmeMlla. b'vp.Nrnrk. Pma. RmnM, cmami RNBM..Sac,m Ssnvmm(amh.SaeBCOmJiw frwlY. $ml:meWn.Sen4 9ntdmm.5mm:bS1$mwfJeriy Sxmv]truky9eW Amg9aoln me, wcbm:. Vm,w+� cwmu2 Vky M'w lioulwea pwdva lm'iwwM[1019 mDl Bwl Wp, l.'mm. 6,utlY: '[BevNW4Wn cmnwmGa® emwm] tiyuvblvuoumntlNgmo C[u[ry, Vn81Ne'1[m[Y ubNmyAew[I:.isFrvwyzul94n r c_oc F ,nn - Mmwb, er V.9.mmmomamuYO8�4WYmmvm Mp, tlmJ510v m,:1 -eMAJy Jun mmmcam+m;mpurcuRry A3011llH5 WYY.rIy[mtivsim YOryanEI[g Mnyp wM JWC4mI,J 48tlmmvep a:W mu4YE9{mcm, mf tlro,vvN Jlppuor(mlwvmmv;pumilnu,mJw. by IEpumfv..ima.;ml ^ mmcm4 ma YfM VIdaNmmrimnmtimhv'I:cW YWfwmJy. gwltlpW b,Wlm: Tdmua(VMWe YgimPVtm;vo PVYltiq'R9vIXPYa AM[mewW nub l%vw:ah AOwu h[w. aL ®[peimmu:6mek.Ihv4kelilnW WtlwF mmmivfuv Ym Ye pmdµe imve iv.ehiYa w^l m [nwFaa hNi[¢ 5/28/2015 m twme. v;�,ru.roAt�.m.;ewbmrmwl mn- mmued. aa.e�wm. —zmmg m'6pNw- ;�.�.u�.mmml e.&.vmhw Wm4<W emmcrcnme Wwnpew '.m.mMmm•mv.wue�^w J m..W.®.. xm ®b..imJe Management Partners Quoting from: http: / /www.managementpartners.com /blog/ Overcoming obstacles to shared services MAY 08 2015BY JULIE ZIMMERMAN At the Alliance for Innovation's recent Transforming Local Government conference, Virginia Beach was awarded a 2015 Innovation Award for its shared - service plan with Norfolk and Chesapeake. Too often, people weigh the cost savings and efficiency of shared services against the risk of job loss and political difficulties and conclude it's just not worth it. 5/28/2015 i[i] Laurel Prevetti From: John Shepardson <shepardsonlaw @me.com> Sent: Tuesday, May 26, 2015 11:37 AM To: Marcia Jensen; BSpector; Steven Leonardis; Marico Sayoc; Rob Rennie; Council; Les White; Laurel Prevetti; Matt Frisby; Matt Morley; Lisa Petersen; Mike Wasserman; Sam Liccardo; Carl Guardino; Barry Chang 4 Cupertino City Council; bloventhal @cityofmontesereno.org; whuff @cityofmontesereno.org; lallan @cityofmontesereno.org; manstandig @cityofmontesereno.org; bcraig @cityofmontesereno.org; sgarner @cityofmontesereno.org; hmiller @saratoga.ca.us; mcappello @saratoga.ca.us; elo @saratoga.ca.us; mlbernald @saratoga.ca.us; rkumar @saratoga.ca.us; City Council; rsinks @cupertino.org; gwong @cupertino.org; svaidhyanathan @cupertino.org; dpaul @cupertino.org; pierluigi .oliverio @sanjoseca.gov; Rick Sung; manager @cupertino.org; Debbie Bretschneider Subject: Re: LG Town Budget Review June 2, 2015 Attachments: LG- Sheriff- June22015.pptx THIS PAGE INTENTIONALLY LEFT BLANK I. QUESTIONS PRESENTED Should the Town switch from its Local Police Dept. to the Sheriff to save $4 -6M a year? Have an independent third party- review of entire budget? Pics herein from http://www.sccgov.org/sites/sheriff/Pages/sheriff.aspx SAFETY COMPARISON • SARATOGA RANKED NO. 1 SAFEST CITY IN STATE (SHERIFF) • LOS ALTOS HILLS 3RD (SHERIFF) • CUPERTINO 12TH (SHERIFF) • LOS GATOS NOT IN TOP 5/28/2015 1 LG V. CUPERTINO (RESPONSE TIMES) • LG /MS (Appx 34K) Cup (Appx 60K) • (SHERIFF RESPONDS FASTER & COSTS LESS) • Calls— Priority 1 4:30 (LG) 4:54 • Calls— Priority 2 8:27 6:33 (SD) • Calls— Priority 3 13:12 10:31 (SD) SHERIFF ROBOTICS 5/28/2015 2 SHERIFF HELICOPTER I �.21t5f I R i ip4Q8)892 ii hwilMnNNg11YYNlr � Gp%nr•91iM.'• SHERIFF SOLUTION: LG V. SARA • 1. LGPD $14.2M (41.1% OF TOWN BUDGET) • 2. SARATOGA'S (SHERIFF) $4.61VI (26.4 %) • SOURCE: Source: http: / /wwwsaratoga ca us /civicax /filebank /blobdload aspx?BlobID =8508 • 3. LG $9.6M MORE 5/28/2015 3 LG V. CUPERTINO (SHERIFF) • 1. LGPD $14.2M (34K PEOPLE) • 2. CUPERTINO $9.91VI (60K PEOPLE) • 3. $14.2 -$9.9 = LG$4.3M MORE & HALF THE PEOPLE Danville's Traffic Congestion • Quoting from http: / /www. danville .ca.gov /Services/Traffic -and- Transportation/Traffic- Concerns /Neighborhood Traffic Management Program The Town recognizes that automobile traffic poses one of the greatest threats to the quality of life of its citizens. 5/28/2015 0 Danville's Traffix Bus Program ffi M to rt'tir LG TODAY • $25M PRESENTLY UNFUNDED TOWN REPAIRS? 5/28/2015 5 LG Today • $54M Presently Unfunded Employment Obligations? *TAX CUT 5/28/2015 0 5/28/2015 NEED $ TO FIX ALMOND GROVE ALMOND GROVE 5 /2a /2015 J RH NA-STATE-MAN DATED HOUSING • BIG COMMERICAL PROJECTS = STATE - MANDATED HOUSING (619) = MORE STUDENTS & TRAFFIC. 5/28/2015 9 SARA & CUPERTINO HAPPY WITH SHERIFF • . Cupertino and Saratoga are very satisfied. • City Councils voted unanimously to re- contract with the Sheriff. MILLIONS • Potential savings of $6M dollars annually (Cost per citizen between LG & Sheriff approx $200. $200 X 30K people = $6M) Source LG Staff Report for 2/17/15 meeting at =5 &clip id= 1342 &meta id= 139438 • 20 years = $120M • 50 years = $300M. • $ for Almond Grove, garages for businesses in downtown, youth & senior services, traffic mitigation, including more buses and shuttles to reduce traffic, community center and performing arts centers, etc. 5/28/2015 10 More Sheriff Benefits • Sheriff effectively respond to terrorism • LGPD Officers re -hired by Sheriff • Chose Police Chief —Keep Frisby. • Reduce Town liability Police misconduct. • Contract for service levels we want CONCLUSION • Get most 'Bang for the buck ". Greatest good for greatest number. • Ask Sheriff to make presentation. • Conduct comp review of entire LG Budget, including Police Budget & switching to Sheriff. • Citizens email TC members & call for independent review. • Consider Town vote. s /za /zois 11 THIS PAGE INTENTIONALLY LEFT BLANK May 29, 2015 Dear Madame Mayor and Council Members The Budget and capital Improvements planning process is key to solving the "asphalt versus concrete" issue involving the Almond Grove Street Improvement project. The controversy is related to funding. Based upon my conversations with Almond Grove neighbors, the majority of those favoring asphalt do so based on the assumption that the installation of asphalt will enable the Town to spread limited construction funds to a greater number of streets. In their minds, there is no certainly that streets beyond Broadway, Bachman, and Tait will ever be improved. When you and staff consider possible funding sources and improvement timing, can you consider the following "far out" ideas. 1. Proceed from sale of old museum building at Tait/Main street. I assume that the proceeds from this sale have already been programed for other uses such as paying for the New Museum improvements at Town Hall. Could some of the proceeds be used for the street project? Better yet, would it be possible for the Town to participate in a joint venture with a local developer to develop the property into a two lot single family residential project? 2. Leverage major underground utility work with total street reconstruction. One only has to took at the concrete patchwork on Tait /Bachman to realize that major sections of the streets have been repaved following the installation of new gas lines, new water main and laterals, and new storm drains. If new underground improvements are required on other Almond Grove streets, could utility company's /sewer district funds planned for repair be leveraged with Town funds into a complete street reconstruction? Property owners seeking new construction involving a specified addition of new space must install a 1 and 1/2 inch lateral and meter. This work involves trenching the street to the main which is a significant expense. Could the Town approach residents who have the floor area potential to add additional space pay a significantly reduced cost to pre install needed lateral and meter at a reduced cost when major underground work is underway. I hope that Council can find funding sources to complete the entire street reconstruction project. Thank you for your time. Bob Cowan 222 Tait Ave RECEIVED �o _32tim i�UV�d dellveveel MAY 292015 MAYOR & TOWN COUNCIL THIS PAGE INTENTIONALLY LEFT BLANK