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LEAC 2009 FISCAL STRATEGIC PLAN COMMITTEE MINUTES 2009 City of Cupertino ® Fiscal Strategic Place Committee Minutes May 27, 2009 1. CALL TO ORDER At 2:02 p.m. Carol Atwood called the meeting to order at Cupertino City Hall, I C300 Torre Avenue, Conference Room A, Cupertino. 2. ROLL CALL Present: Carol Atwood, Kelly Kline, Roger Lee, Orrin Mahoney,Ralph Qualls, Aarti Shrivastava, Kris Wang, David Woo Absent: None 3. APPROVAL OF MINUTES Kelly Kline moved to approve the minutes of the March 30, 2009. Roger Lee seconded and motion passed unanimously. 4. ORAL COMMUNICATIONS None. 5. WRITTEN COMMUNICATIONS None. 5. OLD BUSINESS A. 2009/10 Budget Outlook Carol Atwood reported on the five year budget outlook. She noted that the departments all prepared zero based budgets which helped to balance the budget in light of the poor economy. 7. NEW BUSINESS A. 2009/1.0 Committee Recommendations(Library excess hours, sidewalk liability, UUT update and timetable, all other recommendations) The committee reviewed proposed options for permanent funding of seven day service for the library. It was noted that the Library JPA was not interested in increasing fees or adding new fees for library cards or hobs. Ralph Qualls discussed the sidewalk program funding. Carol Atwood suggested that the BMR. fees be discussed after the UUT ballot measure is ® completed. May 27, 2009 Fiscal Strategic Plan Committee Minutes Page 2 B. Budget Study Session (Incorporate Proposed Strategic Plan Recommendations in 2009/10 budget to City Count:') ➢ The committee concurred to the following recommendations: ➢ Improve retail sales tax. ➢ Reduce costs via"green"technology. ➢ Identify permanent funding of library seven day service. o Continue dialogue with SCC JPA Analyze current sidewalk policy in an effort to shift program costs ➢ Pursue November ballot measure for Utility User Tax Ordinance update. ➢ Analyze consolidation of Cupertino Sanitary District, but financial benefit is questionable. ➢ Pursue Federal Stimulus Funds. C. Review Sanitary Sewer District Consolidation Orrin Mahoney provided a brief update on the option of consolidating. The committee was not interested in pursuing unless there was significant financial ® gains to do so. S. ADJOURNMENT The meeting was adjourned at 3:05 p.m. Carol Atwood Director of Administrative Services City of Cupertino Fiscal Strategic Plan Committee Minutes March 30, 2009 1. CALL TO ORDER At 3:10 p.m. Carol Atwood called the meeting to order at Cupertino City Hall, 10300 Torre Avenue, Conference Room A, Cupertino. 2. ROLL CALL Present: Carol Atwood, Kelly Kline, Roger Lee, Orrin Mahoney, Aarti Shrivastava, Kris Wang, David Woo Absent: Gary Chao 3. APPROVAL OF MINUTES Kris Wang moved to approve the minutes of the March 3, 2009 as amended. Orrin Mahoney seconded and motion passed unanimously with Aarti Shrivastava abstaining and Gary Chao absent. 4. ORAL COMMUNICATIONS None. 5. WRITTEN COMMUNICATIONS None. 6. OLD BUSINESS A. Update on November Ballot Measures David Woo updated the committee on the status of the Utility Users Tax measure. He indicated that staff had met several times with the consultant, Lew Edwards Group, and will be doing a survey of the proposed ballot language through the Godbe Research Group. The poll will be finalized the first half of April with results framing the marketing and outreach efforts. B. Update on Revenue and Expenditure Options The committee continued to review the fiscal strategic plan implementation schedule as to proposed revenues and expenditure reductions. Direction was given as follows: • Review park dedication fees and update if necessary. • Continue with utility tax ordinance update. • Revisit Foothill/DeAnza regarding sharing of sheriff services. • Vehicle impact fee — research any possibilities to churge for oversize quarry trucks. • Pursue library funding options with Santa Clara County Library JPA. • Research impact of transferring sidewalk maintenance to residents. Bring ® a proposal to the next meeting. • Research impact of transferring mowing only to the CUSD in conjunction with school sports field maintenance. March 30, 2009 Fiscal Strategic flan Committee Minutes Page 2 C. Update on Alternatives to Entertainment Tax Carol Atwood reported that the City would not be pursuing an entertainment tax at this time. She noted that there has been increased sheriff activity at Cupertino Square and she will be analyzing this trend to see if the City can bill for excessive sheriff services, especially they can be connected to a reduction in the mall's security staff. 7. NEW BUSINESS A. Discuss Alternatives for Library Excess Hours Carol Atwood reviewed the history of the excess hour funding and noted that the City has always budgeted $125,000 towards this service, but costs to open are now $250,000. Orrin Mahoney and Kris Wang suggested that the $125,000 base be removed since it does not accomplish the goal of seven day service. They also requested that Carol contact the County Librarian to obtain its own short and long-term plan to fund excess hours. 8. ADJOURNMENT The meeting was adjourned at 4:40 p.m. Carol Atwood Director of Administrative Services City of Cupertino ® Fiscal Strategic Plan Committee Minutes March 3, 2009 1. CALL TO ORDER At 2:05 p.m. Carol Atwood called the meeting to order at Cupertino City Hall, 10300 Torre .,venue, Conference Roor►i A. Cupertino. 2. ROLL CALL Present: Carol Atwood, Gary Chao, Kelly Kline, Roger Lee, Orrin Mahoney, Kris Wang, David Woo 3. APPROVAL OF MINUTES None. First meeting of new committee. 4. ORAL COMMUNICATIONS None. 5. WRITTEN COMMUNICATIONS None. 6. OLD BUSINESS None. 7. NEW BUSINESS A. 2008/09 Budget Update Carol Atwood noted that it is estimated that the City is in a break-even situation for the 2008/09 fiscal year. B. 2009/10 Preliminary Budget Outlook The five-year projections were reviewed which show a preliminary shortfall of approximately $1.9 million for fiscal year 2009-10. Mid-management staff have been given guidelines to prepare their budgets with the goal of reducing last year requests by this amount. The committee reviewed and discussed the list of proposed budget reductions and revenue enhancements. C. Review Revenue and Expenditure Options The committee reviewed the revenue strategies currently in the fiscal strategic plan and gave support to the majority of the items. Due to time constraints, expenditure strategies were postponed to the next meeting. March 3, 2009 Fiscal Strategic Plan Committee Minutes Page 2 D. November Ballot Measures • Utility Users Tax David Woo summarized three options available in proceeding with a UUT ballot measure. They include: 1) use of consultants, 2) copy other municipal successes and meet with special interest groups, or 3) do number two and reduce the tax from 2.4% to 2.3% at a possible cost of $50,000 per year. The committee requested that David supply a parallel timeline which included the following: 1 j working with the consultant on public/voter educations and 2) meeting with the affected business representatives from the Chamber, Apple, HP, Symantec, AT&T, and Verizon Wireless. • Entertainment Tax The committee did not wish to pursue at this time. The committee preferred to investigate billing the mail and other shopping centers for excessive code enforcement and sheriff costs. 7. ADJOURNMENT The meeting was adjourned at 3:45 p.m. � Carol Atwood Director of Administrative Services