1 BURLINGAME CITY COUNCIL
Approved Minutes
Regular City Council Meeting on July 5, 2022
1. CALL TO ORDER
A duly noticed meeting of the Burlingame City Council was held on the above date via Zoom Webinar at 7:00 p.m.
2. PLEDGE OF ALLEGIANCE TO THE FLAG
The pledge of allegiance was led by Human Resources Director Morrison.
3. ROLL CALL
MEMBERS PRESENT: Beach, Brownrigg, O’Brien Keighran, Ortiz MEMBERS ABSENT: Colson
Councilmember Colson arrived 7 minutes and 29 seconds into the meeting, during the discussion of item 8g.
4. REPORT OUT FROM CLOSED SESSION
City Attorney Guina reported that Council met on June 22 nd and July 5th in closed session. There were no
reportable actions.
5. UPCOMING EVENTS
Mayor Ortiz reviewed upcoming events in the city.
6. PRESENTATIONS
a. RETHINK WASTE TRASH-TO-ART PRESENTATION
Dayle, a winner of the Rethink Waste Trash-to-Art contest, explained her winning design. Council thanked her for art work.
2 7. PUBLIC COMMENTS, NON-AGENDA
There were no public comments.
8. APPROVAL OF CONSENT CALENDAR
Mayor Ortiz asked the Councilmembers and the public if they wished to remove any item from the Consent Calendar. Vice Mayor Brownrigg pulled items 8g and 8i.
Councilmember Brownrigg made a motion to adopt items 8a, 8b, 8c, 8d, 8e, 8f, 8h, 8j, 8k, and 8l; seconded by Councilmember O’Brien Keighran. The motion passed by roll call vote, 4-0.
Councilmember Colson arrived 7 minutes and 29 seconds into the meeting, during the discussion of item 8g.
a. APPROVAL OF CITY COUNCIL MEETING MINUTES FOR THE JUNE 20, 2022
REGULAR COUNCIL MEETING
City Clerk Hassel-Shearer requested Council approve the City Council Meeting Minutes for the June 20, 2022 Regular Council Meeting.
b. APPROVAL OF CITY COUNCIL MEETING MINUTES FOR THE JUNE 22, 2022 CITY
COUNCIL CLOSED SESSION
City Clerk Hassel-Shearer requested Council approve the City Council Meeting Minutes for the June 22, 2022 City Council Closed Meeting.
c. ADOPTION OF A RESOLUTION ACCEPTING DONATIONS FROM THE BURLINGAME
PARKS AND RECREATION FOUNDATION
Parks and Recreation Director Glomstad requested Council adopt Resolution Number 079-2022. d. ADOPTION OF A RESOLUTION AUTHORIZING THE PURCHASE OF PLAYGROUND
EQUIPMENT FOR THE ALPINE PLAYGROUND PROJECT THE AMOUNT OF $250,571.53, CITY PROJECT #86720
Parks and Recreation Director Glomstad requested Council adopt Resolution Number 080-2022.
e. ADOPTION OF RESOLUTIONS CONFIRMING THE APPOINTMENT OF THE FINANCE
DIRECTOR/TREASURER AND DESIGNATING CERTAIN EMPLOYEES AS OFFICIAL
SIGNATORIES ON CITY BANKING AND INVESTMENT ACCOUNTS
Finance Director Yu-Scott requested Council adopt Resolution Number 081-2022 and Resolution Number 082-2022.
3 f. ADOPTION OF RESOLUTIONS ACCEPTING THE COMPLETION OF NEIGHBORHOOD STORM DRAIN PROJECT NO. 12, CITY PROJECT NO. 85600, AND AMENDING A PROFESSIONAL SERVICES AGREEMENT WITH ANCHOR ENGINEERING, INC. FOR
CONSTRUCTION MANAGEMENT SERVICES RELATED TO THE PROJECT DPW Murtuza requested Council adopt Resolutions Resolution Number 083-2022 and Resolution Number 084-2022.
g. ADOPTION OF A RESOLUTION APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH CAROLLO ENGINEERS, INC. IN THE AMOUNT OF $1,499,624
FOR THE WASTEWATER TREATMENT FACILITY DIGESTER IMPROVEMENTS PROJECT, CITY PROJECT NO. 86580, AND AUTHORIZING THE CITY MANAGER TO
EXECUTE THE AGREEMENT
Vice Mayor Brownrigg asked if funds for the project are generated from the sewer rate. Additionally, he asked what role Veolia plays in the project. DPW Murtuza responded that the City leans on Veolia for their expertise. He mentioned they were very involved in putting together the Wastewater Treatment Plant Master Plan. He continued that there is money in the budget, from sewer rates, to pay for the professional services contract. He explained that the money for the construction will come from the State revolving loan.
Mayor Ortiz opened the item up for public comment. No one spoke.
Councilmember Beach made a motion to adopt Resolution Number 085-2022; seconded by Vice Mayor Brownrigg. The motion passed unanimously by roll call vote, 5-0. h. ADOPTION OF A RESOLUTION DESIGNATING THE VOTING DELEGATE AND ALTERNATE FOR THE 2022 LEAGUE OF CALIFORNIA CITIES' ANNUAL
CONFERENCE
City Clerk Hassel-Shearer requested Council adopt Resolution Number 086-2022.
i. ADOPTION OF A RESOLUTION TO CONTINUE CONDUCTING CITY COUNCIL AND
COMMISSION MEETINGS REMOTELY DUE TO HEALTH AND SAFETY CONCERNS
FOR THE PUBLIC
Vice Mayor Brownrigg asked for a progress report on the transition to hybrid meetings. City Clerk Hassel- Shearer responded that the City’s consultant, CTI, would be starting work on the Council Chambers during the summer. She added that installation should be completed by the middle of August.
Vice Mayor Brownrigg stated that he doesn’t want to be the last City to return to in-person meetings.
Mayor Ortiz disagreed with Vice Mayor Brownrigg. He explained that due to the recent spike in COVID-19 cases, he thought the Council and Commission meetings should remain remote.
4 City Manager Goldman stated that City Hall is currently in a COVID-19 outbreak. She noted that many different City facilities are currently going through COVID-19 outbreaks, and some have gone through multiple outbreaks. She explained that it will be hard to limit exposure potential during meetings.
Mayor Ortiz opened the item up for public comment. No one spoke.
Councilmember O’Brien Keighran made a motion to adopt Resolution Number 087-2022; seconded by Councilmember Colson. The motion passed by unanimously by roll call vote, 5-0.
j. ADOPTION OF A RESOLUTION APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH HOUSEKEYS, INC. FOR ADMINISTRATION OF THE CITY OF
BURLINGAME BELOW MARKET RATE HOUSING PROGRAM IN THE AMOUNT OF $96,000 OVER A ONE YEAR PERIOD AND AUTHORIZING THE CITY MANAGER TO
EXECUTE THE AGREEMENT
CDD Gardiner requested Council adopt Resolution Number 088-2022.
k. OPEN NOMINATION PERIOD TO FILL THREE VACANCIES ON THE PARKS AND
RECREATION COMMISSION
City Manager Goldman requested Council open the nomination period to fill three vacancies on the Parks and Recreation Commission.
l. OPEN NOMINATION PERIOD TO FILL TWO VACANCIES ON THE BEAUTIFICATION
COMMISSION
City Manager Goldman requested Council open the nomination period to fill two vacancies on the Beautification Commission.
9. PUBLIC HEARINGS
There were no public hearings.
5 10. STAFF REPORTS AND COMMUNICATIONS
a. ADOPTION OF AN ORDINANCE TO PLACE A REVENUE MEASURE ON THE NOVEMBER 2022 BALLOT TO INCREASE AND MODERNIZE THE BUSINESS LICENSE
TAX AND IMPOSE A GROSS RECEIPTS TAX ON CANNABIS BUSINESSES THAT OPERATE OR PROVIDE SERVICES WITHIN BURLINGAME CEQA DETERMINATION:
EXEMPT PURSUANT TO STATE CEQA GUIDELINES SECTION 15378, 15601(B)(3), AND
ADOPTION OF A RESOLUTION CALLING A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 8, 2022, SUBMITTING TO THE VOTERS A
LOCAL REVENUE TAX MEASURE
City Manager Goldman explained that there are two actions that staff is recommending Council take:
adopt the ordinance for the measure
adopt a resolution to call for the measure to be placed on the ballot
City Manager Goldman explained that like every other city across the nation, Burlingame faces economic challenges brought about by the COVID-19 pandemic. She noted that the City has done well to mitigate the economic challenges, but there is more that can be done. She stated that the City’s business license tax is outdated and was last increased in the 1990s, with a flat rate of $100.00 for every business. Therefore, the City looked at ways to modernize and inject more fairness into the business license tax ordinance.
City Manager Goldman stated that at the June 20 meeting, Council voted 4-1 to introduce an ordinance to place a measure on the ballot that would increase the annual business license tax and levy a 5% gross receipts tax on commercial cannabis activity. She reviewed the changes in the business license tax structure:
Businesses with annual gross receipts under $250,000 would pay $200.00 Businesses with annual gross receipts between $250,000 and $999,999 would pay $300.00 Businesses with annual gross receipts over $1 million would pay $750.00
City Manager Goldman reviewed the estimated revenue from the new structure:
Estimated Revenue Yield from Increase in Business License Tax Business Estimated
Gross Receipts
Estimated Number of
Business
Annual Rate Total Estimated
Projected Revenue
Small Business
(less than $250,00)
3712 $200 $742,400
Medium Business
($250,000 - $999,999
1769 $300 $530,700
Large Business
($1,000,000 and above)
355 $750 $266,250
Total $1,539.350
City Manager Goldman stated that previously Council approved allowing non-store front commercial cannabis businesses to operate in the city. She noted that one business is working on final steps, and another
6 business is working on receiving its permits. She commented that if the measure passes, then the cannabis tax could generate up to a million dollars from one business.
City Manager Goldman reviewed the proposed ballot measure question and the edits that were made based on Council feedback at the June 20 Council meeting.
City Manager Goldman stated that businesses would not face a significant clerical burden in reporting their gross receipts. She explained that businesses would have to report their gross receipts so that the City can place them in the proper category. She noted that the City does retain the right to audit a business if it is believed that the business is misreporting their gross receipts.
City Manager Goldman reviewed the next steps in the process:
July 5 – Adoption of ordinance and resolution
August 12 – Last date to file Measure with the County August 19 – Last date to file arguments for and against a Measure August 29 – Last date to file rebuttal arguments related to the Measure August 29 – Impartial Analysis due
November 8 – Election day
City Manager Goldman stated that the City’s current business license tax is estimated to raise $800,000 in FY 2022-23. She explained that if approved by voters, the business license tax measure would raise an estimated $1.5 million, resulting in an increase of approximately $700,000 per year based on the current estimation of businesses.
Mayor Ortiz opened the item up for public comment. No one spoke.
Councilmember Beach reiterated her desire for a different approach to the business license tax, but agreed that the City needs the revenue and said that she would vote in favor of the measure.
Councilmember Colson stated that she has been following other cities’ approaches to new revenue measure and recognizes how difficult it is to get one approved. She voiced her support for the measure. She noted that a gross receipts tax was not received well among the business community. She thanked City staff for all their hard work on this.
Vice Mayor Brownrigg thanked City Manager Goldman for all her hard work on the measure. He suggested that the City put together an FAQ to address the various questions about business license tax and gross receipts.
Councilmember O’Brien Keighran thanked staff for all their hard work. She stated that most businesses fall into the small business category. She appreciated the hard work done to make this a more equitable system.
She voiced her support for the measure.
7 Mayor Ortiz thanked Council for all the discussion on the measure. He noted that business license tax could be re-visited in a few years if needed.
Councilmember Colson made a motion to adopt Ordinance 2006; seconded by Vice Mayor Brownrigg. The motion passed unanimously by roll call vote 5-0.
Councilmember O’Brien Keighran made a motion to adopt Resolution Number 089-2022; seconded by Councilmember Beach. The motion passed unanimously by roll call vote, 5-0.
b. CONSIDERATIONS IN CONVERTING FROM BI-MONTHLY TO MONTHLY UTILITY
BILLING FOR WATER AND SEWER SERVICES
DPW Murtuza stated that the City uses a bi-month billing process to collect water and sewer services revenues. He explained that the City has roughly 10,000 water meters, and that staff spends 7 to 10 days a month reading the meters. He stated that for calendar years 2020 and 2021, the meter reading task has required an annual average of 440 hours of staff time. He added that staff anticipates a similar number of hours will be required in 2022 based on current trends.
DPW Murtuza stated that after the meter readings, Finance staff identifies meters/accounts with unusually high consumption, meters with unusually low consumption, or meters that the computer may have missed.
He noted that these rechecks take approximately 650 hours.
DPW Murtuza stated that if billing were to be changed to monthly, the hours would approximately double, requiring an additional 1.25 FTE in Public Works. He stated that Finance currently has 3.0 FTE and one part-time staff member dedicated to the utility billing and business license programs. He explained that Finance would require, at a minimum, an additional 1.5 FTE to address the increase in in the number of billing transactions, including bill inquiries, payment processing, and collections.
DPW Murtuza discussed other associated costs with a change to monthly billing, such as making changes to the Munis® Enterprise Resource Planning (ERP) and the following:
Tasks On-going Annual Costs (in $) On-time Cost (in $)
Bank fees 120,00
Programming changes – Munis 20,000
Programming changes - Infosend 35,000
Personnel – PW (1.25 FTE) 195,000
Personnel – Finance (1.5 FTE) 244,000
Vehicle 12,500 35,000
Tools and equipment 700 3,500
Total 608,000 58,500
DPW Murtuza stated that this would result in a significant cost increase to the rate payers and customers.
8 Vice Mayor Brownrigg thanked staff for their analysis. He stated that he would not want to spend an extra $600,000 to make the switch. He noted that he would like to see the City eventually switch to monthly billing or use smart-meter technology that tracks usage in real-time so meter-readings would not be needed.
He explained that people on a fixed income may have a hard time budgeting for a bi-monthly bill. DPW Murtuza stated that the City is in the process of seeking federal grants to allow the City to use a smart system for instantaneous water monitoring via an app.
Mayor Ortiz asked if the change to smart-meter technology requires a change to all the meters. DPW Murtuza replied in the affirmative.
Councilmember O’Brien Keighran asked about the cost of smart-meter technology. DPW Murtuza replied that the cost is between $1 million and $1.5 million.
Councilmember O’Brien Keighran asked how many meters are required to be checked by hand. DPW Murtuza responded that roughly 2,000 checks are done by hand per year.
Councilmember Colson asked if the cost to convert to monthly billing, approximately $60 per meter per year, would be passed on to the rate payers. DPW Murtuza replied in the affirmative.
Councilmember Colson voiced support for switching to smart-meters. She asked if the City allowed residents to defer payments during the pandemic. Finance Director Yu-Scott replied in the affirmative. She explained that the City works with residents who have a hard time paying their bill.
Councilmember Beach endorsed the idea of smart-meters. She added that the switch to smart-meters could free-up staff time for other much needed projects.
Mayor Ortiz commented that the water bill could use a breakdown of per-month cost. He agreed with the other Councilmembers that the money needed to switch to monthly billing would be better spent elsewhere.
Mayor Ortiz opened the item up for public comment. No one spoke.
Mayor Ortiz thanked staff for their report.
11. COUNCIL COMMITTEE AND ACTIVITIES REPORTS AND ANNOUNCEMENTS
There were no Council Committee and Activities reports.
12. FUTURE AGENDA ITEMS
There were no future agenda items.
9 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 8:00 p.m. in memory of Ruth Waters, former Executive Director of the Peninsula Art Museum.
Respectfully submitted,
/ s /
Meaghan Hassel-Shearer
City Clerk