1 BURLINGAME CITY COUNCIL
Approved Minutes
Regular City Council Meeting on June 6th, 2022
1. CALL TO ORDER
A duly noticed meeting of the Burlingame City Council was held on the above date via Zoom Webinar at 7:01 p.m.
2. PLEDGE OF ALLEGIANCE TO THE FLAG
The pledge of allegiance was led by City Attorney Guina.
3. ROLL CALL
MEMBERS PRESENT: Beach, Brownrigg, Colson, O’Brien Keighran, Ortiz MEMBERS ABSENT: None
4. REPORT OUT FROM CLOSED SESSION
There was no closed session.
5. UPCOMING EVENTS
Mayor Ortiz reviewed upcoming events in the city.
6. PRESENTATIONS
a. PROCLAMATION RECOGNIZING JUNE AS PRIDE MONTH
Mayor Ortiz read the proclamation recognizing June as Pride Month. He acknowledged that the City also raised the Progress Pride Flag on June 1, 2022 outside of City Hall.
Mayor Ortiz opened the item up for public comment.
Kristina Perez thanked the City Council for recognizing June as Pride Month. (comment submitted via [email protected]
).
2 Krystle Cansino, San Mateo County LGBTQ Commissioner, thanked the City for being great partners in recognizing Pride Month and making all feel welcomed in the community.
Mayor Ortiz closed public comment.
7. PUBLIC COMMENTS, NON-AGENDA
Kristina Perez and Krystle Cansino’s comments came under the public comment section but related to the presentation.
8. APPROVAL OF CONSENT CALENDAR
Mayor Ortiz asked the Councilmembers and the public if they wished to remove any item from the Consent Calendar.
Councilmember Colson removed item 8j from the Consent Calendar. Councilmember Brownrigg made a motion to adopt items 8a, 8b, 8c, 8d, 8e, 8f, 8g, 8h, 8i, 8k, 8l, and 8m on the Consent Calendar; seconded by Councilmember Beach. The motion passed unanimously by roll call vote, 5-0.
a. APPROVAL OF CIY COUNCIL MEETING MINUTES FOR THE MAY 11, 2022 BUDGET
STUDY SESSION
City Clerk Hassel-Shearer requested Council approve the City Council Meeting Minutes for the May 11, 2022 Study Session.
b. APPROVAL OF CITY COUNCIL MEETING MINUTES FOR THE MAY 16, 2022 CLOSED
SESSION
City Clerk Hassel-Shearer requested Council approve the City Council Meeting Minutes for the May 16, 2022 Closed Session.
c. APPROVAL OF CITY COUNCIL MEETING MINUTES FOR THE MAY 16, 2022
REGULAR MEETING
City Clerk Hassel-Shearer requested Council approve the City Council Meeting Minutes for the May 16, 2022 Regular Meeting.
d. ADOPTION OF A RESOLUTION APPROVING THE STREET RESURFACING PROJECT TO COMPLY WITH SENATE BILL NO. 1 FOR FISCAL YEAR 2022-23
DPW Murtuza requested Council adopt Resolution Number 056-2022.
3 e. ADOPTION OF A RESOLUTION ACCEPTING THE HIGHLAND AVENUE GARAGE PROJECT BY PACIFIC WEST BUILDERS, CITY PROJECT NO. 85550
DPW Murtuza requested Council adopt Resolution Number 057-2022.
f. ADOPTION OF A RESOLUTION APPROVING THE PROCUREMENT OF
REPLACEMENT SCADA SYSTEM HARDWARE FOR PUBLIC WORKS DEPARTMENT
OPERATED UTILITIES PUMP STATIONS AND WATER RESERVOIR SITES IN THE AMOUNT OF $212,705.95
DPW Murtuza requested Council adopt Resolution Number 058-2022.
g. ADOPTION OF A RESOLUTION IN SUPPORT OF REOPENING THE MACK E.
MICKELSON ARTHRITIS AND REHABILITATION CENTER THERAPY POOL FOR
COMMUNITY USE AT THE MILLS HEALTH CENTER IN SAN MATEO
City Manager Goldman requested Council adopt Resolution Number 059-2022.
While this item was adopted as part of the Consent Calendar, Vice Mayor Brownrigg and the Council made some comments after adoption.
Vice Mayor Brownrigg asked how staff plans on publishing Council’s adoption of the resolution that supports the reopening of the Mack E. Mickelson Arthritis and Rehabilitation Center Therapy Pool. City Manager Goldman stated that she would send the resolution to Lindsay Raike, who created the Change.org petition to keep the pool open.
Vice Mayor Brownrigg asked if the resolution could also be sent to San Mateo County Supervisor Dave Pine. City Manager Goldman replied in the affirmative.
Mayor Ortiz opened the item up for public comment.
Lindsay Raike thanked the Council for adopting the resolution. She added that she would work with the City Manager to ensure that the adopted resolution was sent to the appropriate individuals.
h. ADOPTION OF A RESOLUTION AMENDING THE CIVIL SERVICE RULES AND
REGULATIONS
HR Director Morrison requested Council adopt Resolution Number 060-2022.
i. ADOPTION OF A RESOLUTION APPROVING LABOR AGREEMENTS WITH THE AFSCME LOCAL 829 BURLINGAME ASSOCIATION OF MID-MANAGERS (BAMM),
ADMINISTRATIVE, AND MAINTENANCE UNITS AND AUTHORIZING THE CITY
4 MANAGER TO EXECUTE MEMORANDA OF UNDERSTANDING ON BEHALF OF THE CITY
HR Director Morrison requested Council adopt Resolution Number 061-2022.
j. ADOPTION OF A RESOLUTION APPROVING THE ALLOCATION OF FUNDING FOR COMMUNITY SERVICE ORGANIZATIONS FOR FISCAL YEAR 2022-23
Councilmember Colson asked if the City could set aside funds for a gun buy-back program or in support of a gun violence prevention program.
Vice Mayor Brownrigg concurred with Councilmember Colson.
City Manager Goldman explained that last year the City contributed $5,000 to the County’s gun buy-back program. She noted that it is within her discretion to use Council funds to do the same this year.
Mayor Ortiz opened the item up for public comment. No one spoke.
Councilmember Colson made a motion to adopt Resolution Number 062-2022 and to allocate, within the City Manager’s discretion, an additional $5,000 to $10,000 for the County’s gun buy-back program; seconded by Councilmember O’Brien Keighran. The motion passed unanimously by roll call vote, 5-0.
k. ADOPTION OF A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE
A PROFESSIONAL SERVICES AGREEMENT WITH ENVIRONMENTAL SCIENCE
ASSOCIATES (ESA) TO PERFORM ENVIRONMENTAL REVIEW SERVICES RELATED
TO THE PROPOSED DEVELOPMENT OF A NEW OFFICE/RESEARCH AND DEVELOPMENT PROJECT AT 1200-1340 OLD BAYSHORE HIGHWAY IN THE AMOUNT OF $492,030
CDD Gardiner requested Council adopt Resolution Number 063-2022.
l. APPROVAL OF REVISIONS TO THE INVESTMENT POLICY FOR FISCAL YEAR 2022- 23 Finance Director Yu-Scott requested Council approve the Investment Policy for Fiscal Year 2022-23
m. APPROVAL OF NATIONAL PARKS & RECREATION CONFERENCE OUT-OF-STATE TRAVEL
Parks and Recreation Director Glomstad requested Council approve out-of-state travel for the National Parks and Recreation Conference.
9. PUBLIC HEARINGS
5 a. PUBLIC HEARING TO RENEW THE LEVY AND COLLECTION OF ASSESSMENTS FOR
THE DOWNTOWN BURLINGAME AVENUE STREETSCAPE IMPROVEMENTS PROJECT FOR FISCAL YEAR 2022-23 (RESO 64)
DPW Murtuza explained that in 2012, the City Council initiated proceedings to form a Downtown Assessment District, with the intent to order landscape improvements and levy assessments. He noted that the assessment for FY 2022-23 is $310,156.
Mayor Ortiz opened the public hearing. No one spoke.
Councilmember Beach made a motion to adopt Resolution Number 064-2022; seconded by Vice Mayor Brownrigg. The motion passed unanimously by roll call vote, 5-0.
b. PUBLIC HEARING AND ADOPTION OF RESOLUTIONS (1) ADOPTING THE FY2022-23
OPERATING AND CAPITAL BUDGETS AND AUTHORIZING THE FINANCE DIRECTOR TO ASSIGN USES OF FUND BALANCE AMOUNTS; (2) APPROVING THE GANN APPROPRIATION LIMIT; AND (3) APPROVING A CONTRIBUTION TO THE CITY'S PENSION BENEFIT TRUST ACCOUNT WITH PARS (RESO 65, 66, 67)
Finance Director Yu-Scott discussed FY 2022-23 budget highlights:
• Economic Recovery
o Moderate revenue growth – TOT still slow to recover
o Operating deficit of $3.9 million
o Continued reliance on reserves
o Capital Investment Reserve totally earmarked
• Temporary Focus on Short Term
o Priority on quality municipal service delivery
o Reduced governmental capital spending
Finance Director Yu-Scott reviewed the changes staff made to the budget since the May 11, 2022 Budget Study Session:
• Addition of $700,000 property tax revenues
• Approximately $25,000 increase in personnel costs to account for Council’s approval at the May 16, 2022 City Council meeting of a reclassification of a Recreation Coordinator to Recreation Supervisor position
• Updated the Five-Year General Fund Forecast
Finance Director Yu-Scott summarized the FY 2022-23 Budget:
• General Fund - $67.6 million (52% of the budget)
• Capital Improvements - $21.91 million (17% of the budget) • Utilities (Water and Sewer) - $27.75 million (22% of the budget) • Other funds - $11.85 million (9% of the budget)
6 She added that the total budget for FY 2022-23 is $129.11 million.
Finance Director Yu-Scott reviewed the proposed FY 2022-23 General Fund revenues:
FY2022-23 Proposed General Fund Revenues
Property Tax $28,298,000
Sales and Use Tax $17,116,000
Transient Occupancy Tax $12,975,000
Other Tax
Franchise Tax $1,590,000
Business Tax $800,000
Real Property Transfer Tax $800,000
State HOPTR $62,000
Licenses & Permits $86,000
Fines, Forfeitures and Penalties $653,000
Use of Money & Property $200,000
Charges for Services $6,356,225
Other Revenue $32,000
State Subventions $165,000
Interest Income $1,500,000
Total General Fund Revenues $70,633,225
Finance Director Yu-Scott stated that property tax, sales and use tax, and TOT make up approximately 83% of all General Fund revenues. She explained that pre-COVID revenue was approximately $84 million a year. However, since the pandemic, the City has seen a $14 million decrease in revenues. However, she noted that property tax, sales and use tax, and TOT revenue are all expected to increase this year.
Finance Director Yu-Scott reviewed the proposed General Fund expenditures for FY 2022-23:
FY2022-23 Proposed General Fund Expenditures
General Administration $7,555,604
Public Safety
Fire +Disaster Preparedness $14,072,647
Police & Dispatch $17,902,932
Parking Enforcement $708,248
Public Works $7,791,188
Community Development $2,238,960
Leisure and Culture
Aquatics Center $474,000
Library $5,870,691
Parks and Tree Maintenance $6,288,120
Recreation $4,700,850
7 Total General Fund Expenditure $67,603,240
Finance Director Yu-Scott reviewed pension trust contributions by fund:
Fund Name
General Fund $1,250,600
Water Enterprise $101,600
Sewer Enterprise $83,700
Parking Enterprise $9,500
Solid Waste Enterprise $14,900
Landfill Fund $2,900
Building Enterprise $68,700
Facilities $27,000
Fleet/Equipment $17,500
Admin/IT $8,600
Total $1,585,000
Finance Director Yu-Scott noted that the balance in the pension trust account at the end of quarter two of 2022 was approximately $20 million.
Finance Director Yu-Scott reviewed the proposed FY 2022-23 General Fund operating budget:
General Fund Revenues $70.63 million
General Fund Expenditures ($67.60 million)
Transfers:
Support Capital Improvements ($5.19 million)
Debt Service Obligations ($3.60 million)
Cost Recovery $1.85 million
Net (Deficit) ($3.91 million)
Contribution to Pension Trust Fund ($1.25 million)
Net (Deficit) After Contribution to Trust Fund ($5.16 million)
Finance Director Yu-Scott stated that the anticipated deficit spending is projected to occur over the next few years.
Finance Director Yu-Scott reviewed the balances in the City’s reserves over the past few years:
FY 2020-21
Actual
FY 2021-22
Adopted
Budget
FY 2021-22
Revised
Budget
FY 2022-23
Proposed
Budget
Economic Stability Reserve $14,356,000 $16,098,000 $16,441,000 $16,952,000 Catastrophic Reserve $2,000,000 $2,000,000 $2,000,000 $2,000,000
8 Contingency Reserve $500,000 $500,000 $500,000 $500,000 Subtotal, Assigned Fund Balance $16,856,000 $18,598,000 $18,941,000 $19,452,000 Add: Restricted for Pension Trust Fund
(PARS)
$15,723,356 $17,575,356 $17,575,356 $18,825,956
Add: Unassigned Fund Balance $12,627,703 $7,340,809 $6,247,116 $583,976 Total, Ending Fund Balance $45,207,059 $43,514,165 $42,763,472 $38,861,932
Finance Director Yu-Scott stated that the City has approximately $21 million in Capital Reserves. She noted that those funds have been earmarked for the Broadway Grade Separation and the El Camino Utility Undergrounding Project. She explained that the Capital Improvement Program budget is $21.9 million, with $5.19 million coming from the General Fund.
Finance Director Yu-Scott stated that the General Fund contribution to the Capital Improvement Program (CIP) has dropped from $10.93 million in FY 2018-2019 to $3.16 million in FY 2021-2022. She stated that the CIP funding need will grow to almost $20 million in FY 2024-25, but that staff is trying to smooth it over the years leading up in order to balance the funding.
Finance Director Yu-Scott explained the difference between assigned and unassigned fund balance. She stated that in FY 2023-24, the General Fund balance will be down to roughly $17 million, and hopefully the City won’t need to draw on reserves. She explained that other sources could be tapped in order to give the City more funding options. She stated that the next 12 months will determine what future budgetary steps need to be taken.
Finance Director Yu-Scott thanked Finance staff member Oscar Herrera for his help on the budget, Andrew Kwoka for his help on the Community Funding program, the Finance team for all their support, all the department heads, and City Manager Lisa Goldman.
Councilmember O’Brien Keighran asked if the $15 million set aside for the Broadway Grade Separation will be enough or if more will be needed. DPW Murtuza responded that $15 million is the best estimate, but having more money is always a good thing.
Councilmember O’Brien Keighran stated that she does not want to be too conservative with this number, as this is a project the City has been working on for some time. She thought the City might want to think about further funding for this project.
Councilmember Colson asked how Burlingame was fairing on pandemic recovery compared to other cities.
City Manager Goldman replied that recovery has been mixed, and that Burlingame was one of the only cities nearby that did not layoff any full-time staff during the pandemic. She noted that cities that do not rely on economically sensitive taxes, such as TOT, are recovering better than Burlingame. She added that the City is diversifying revenue with the new developments on the Bayfront, which do not rely on the travel industry.
Mayor Ortiz asked if the extra $700,000 in property tax revenue impacts the current fiscal year or FY 2022-
23. Finance Director Yu-Scott replied that it will impact future fiscal years. She explained that expected
9 ERAF is $3.2 million, but it is conservatively stated as $2.5 million in the budget as that amount is still being decided. She added that staff are confident the City will receive the total $3.2 million, thus the extra $700,000 in revenue.
Mayor Ortiz opened the item up for public comment.
Sandra Lang asked if it was possible to further fund the Disaster Preparedness fund. Finance Director Yu- Scott explained that specific accounts can only be used for certain things.
Mayor Ortiz closed public comments.
Vice Mayor Brownrigg discussed the City’s ability to continue providing essential services to the public. He noted that staff and the Council have done a good job ensuring that the public hasn’t seen an interruption in service. He added that while constituents might be upset with the size of some of the new Bayfront buildings, these are ways to diversify revenue and ensure the City can continue to pay for its services.
Vice Mayor Brownrigg voiced concern that staff’s estimated salary and wage growth does not fully account for inflation. He added that he believed it should be revisited in the future.
Councilmember Beach concurred with Vice Mayor Brownrigg’s comments. She thanked Finance Director Yu-Scott for the presentation and thought the unassigned fund balance slide was helpful. She echoed Councilmember O’Brien Keighran’s thoughts on the Broadway Grade Separation funding. She noted that major infrastructure projects tend to go over budget, and that it would be a good idea to look into extra funding opportunities to cover potential cost overruns.
Councilmember Colson thanked senior leadership staff for investing in the employees throughout the pandemic. She voiced concern that in the future, staff won’t be able to afford to stay and work for the City.
She discussed the need to diverse the City’s revenues in order to ensure the City’s continued economic recovery.
Mayor Ortiz stated that he is optimistic about the revenue recovery but is concerned about rising costs.
Councilmember Colson made a motion to adopt Resolution 065-2022; seconded by Councilmember O’Brien Keighran. The motion passed unanimously by roll call vote, 5-0.
Councilmember O’Brien Keighran made a motion to adopt Resolution 066-2022; seconded by Councilmember Beach. The motion passed unanimously by roll call vote, 5-0.
Vice Mayor Brownrigg made a motion to adopt Resolution 067-2022; seconded by Mayor Ortiz. The motion passed unanimously by roll call vote, 5-0.
City Manager Goldman thanked Finance Director Yu-Scott for all her hard work on the budget, and thanked DPW Murtuza and Assistant DPW Morimoto for their hard work on the Capital Improvement Project report.
10 10. STAFF REPORTS
a. ADOPTION OF A RESOLUTION APPROVING CHANGES TO THE COMPENSATION
AND BENEFIT PLAN FOR THE CITY OF BURLINGAME DEPARTMENT HEAD AND
UNREPRESENTED CLASSIFICATIONS, AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE PLAN ON BEHALF OF THE CITY (RESO 68)
HR Director Morrison explained that the Department Head and Unrepresented Compensation and Benefit Plan expires at the end of 2022. She stated that the City has tried to maintain equity with salary and benefit changes among the miscellaneous groups. She noted that due to the current economic uncertainty, the City believes it is prudent to enter into a one-year agreement, ending on December 31, 2023, with a COLA increase of 2%. She stated that the estimated increase in cost is $50,600.
Mayor Ortiz opened the item up to public comment. No one spoke.
Vice Mayor Brownrigg made a motion to adopt Resolution 068-2022; seconded by Councilmember Beach.
The motion passed unanimously by roll call vote, 5-0.
b. ADOPTION OF A RESOLUTION DECLARING A WATER SHORTAGE EMERGENCY AND IMPLEMENTING LEVEL 2 OF THE CITY OF BURLINGAME WATER SHORTAGE
CONTINGENCY PLAN
DPW Murtuza stated that California is in the third consecutive year of extremely low rainfall, resulting in continued drought conditions throughout the state. He noted that over the past year, Governor Newsom has taken a number of actions to target reduction of water use within the state.
DPW Murtuza explained that pursuant to the California State Water Resources Control Board’s (“SWRCB”) Emergency Regulations, staff recommends that the City Council:
• Declare that a water shortage condition exists as required in Chapter 15.06 of the City of Burlingame Municipal Code; and
• Adopt water use demand reduction actions consistent with State regulations and Level 2 of the City of Burlingame Water Shortage Contingency Plan.
DPW Murtuza stated the SWRCB previously adopted regulations calling for all urban water suppliers to implement conservation actions under Level 2 (up to 20 percent) of their Water Shortage Contingency Plans by June 10, 2022, and submit to the Department of Water Resources supply and demand assessments by June
1. 2022. He explained that in order to implement restrictions from Level I and Level II of the Water Shortage Contingency Plan, Council must first declare a water shortage condition. He highlighted the new restrictions:
Level I
11 • Potable water shall not be used to water outdoor landscapes in a manner that causes runoff onto non-irrigated areas, walkways, or other hard surfaces. • Potable water shall not be applied in any manner to any driveway or sidewalk, except when necessary to address immediate health or safety concerns. • Restaurants and other food service operations shall serve water to customers only upon request
Level II
• Residential and commercial landscape using overhead sprinkler irrigation with potable water is prohibited between the hours of 8:00 a.m. and 6:00 p.m. and no more than two (2) days per week. Drip, bubbler, hand-watering with a shut-off nozzle, other water-efficient irrigation systems, and new landscaping installed in the plant establishment period (typically less than two years) are exempt. • Prohibit installation of single-pass cooling systems. • Prohibit vehicle washing except with the use of recycled water.
DPW Murtuza stated that staff will be monitoring the State standards and will update and implement further restrictions if directed by the State. He stated that staff will do extensive public outreach to let constituents know about the restrictions. He added that the City does not want to issue fines but can if necessary.
DPW Murtuza explained that as water consumption decreases, revenue to the City from water service charges will also decrease. He added that this will be partially offset by the reduction in the total cost of wholesale water purchased from the San Francisco Public Utilities Commission (SFPUC). He stated that the SFPUC announced a 15.9% increase in the wholesale water rates for FY 2022-23 to make up for their revenue shortfalls from reduced water consumption due to COVID-19 and consecutive years of dry conditions.
Councilmember O’Brien Keighran asked if Burlingame is currently saving about 25% in water. DPW Murtuza responded that in 2015, during the last drought, the City was able to save 25%. He did not have the current saving percentage, but noted that the Bay Area Water Supply & Conservation Agency (BAWSCA) as a whole is lower, but not at 25% savings.
Councilmember O’Brien Keighran asked DPW Murtuza if he could report back to Council what Burlingame’s currently saving percentage is. DPW Murtuza replied in the affirmative.
Councilmember O’Brien Keighran asked if the conservation guidelines could be included in the water bill.
DPW Murtuza replied in the affirmative. She added that it might be helpful to disseminate this information at the Fresh Market on Sundays.
Councilmember Colson asked if there are resources available to homeowners for converting lawns into drought-tolerant landscaping. City Manager Goldman replied that Burlingame is starting to participate in the Lawn Be Gone program from BAWSCA, which gives homeowners a rebate for replacing their lawn with drought-tolerant landscaping.
12 Councilmember Colson stated that the City should do immediate outreach to realtors and developers, and not approve plans that have a turf lawn. DPW Murtuza replied that the new regulations do not prohibit homeowners from watering their lawn during the establishment period. He noted the SWRCB regulation currently gives cities the ability to prohibit new lawns from being planted.
Councilmember Colson asked for clarification on how often a lawn can be watered under the new regulations. DPW Murtuza replied that the limit is twice a week for residential.
Mayor Ortiz opened the item up for public comment. No one spoke.
Councilmember Beach made a motion to adopt Resolution Number 069-2022; seconded by Councilmember O’Brien Keighran. The motion passed unanimously by roll call vote, 5-0.
11. COUNCIL COMMITTEE AND ACTIVITIES REPORTS AND ANNOUNCEMENTS
There were no announcements.
12. FUTURE AGENDA ITEMS
Councilmember Colson asked for a discussion regarding regulations for new turf lawns and incentive programs to convert to drought-tolerant landscaping. The Council agreed to agendize this item.
13. ACKNOWLEDGMENTS
The agendas, packets, and meeting minutes for the Planning Commission, Traffic, Safety & Parking Commission, Beautification Commission, Parks & Recreation Commission, and Library Board of Trustees are available online at www.burlingame.org
.
14. ADJOURNMENT
Mayor Ortiz adjourned the meeting at 8:28 p.m.
Respectfully submitted,
/s/
Meaghan Hassel-Shearer
City Clerk