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Staff Report
City Council
Item No. 3.D
Meeting Date: March 13, 2024
From: Charles McClendon, City Manager
Title: Budget Amendment for Public Education Consulting Services City Council
RECOMMENDATION:
To authorize a budget amendment in the amount of $29,250 in FY 23-24 and $29,250 in FY 24-25 to cover the cost of a contract to provide public education consulting services.
BACKGROUND:
At their meeting on August 3, 2022, the City Council of Cathedral City voted to place a local funding measure (Measure K) for parks and recreation on the November 2022 ballot.
Had it been approved by voters, this measure would have cost property owners 15-cents per building square foot annually on single-family residential units to allow Cathedral City and the Desert Recreation District (DRD) to:
•Provide safe and clean parks, playgrounds, and recreational facilities in Cathedral City
•Maintain and improve neighborhood park safety
•Maintain safe drinking water and improve water conservation •Enhance youth drug and gang prevention programs
•Provide affordable after-school and senior programs
•Address homelessness in local parks
•Make a wide array of recreational programs available in Cathedral City •Provide funding to develop a community recreation center Because it was a single purpose tax measure, provisions in California state law imposed a super majority requirement on Measure K, meaning a two-thirds majority was needed for adoption. The measure received majority support from Cathedral City voters but did not reach the required two-thirds level for adoption:
Yes 6,980 55%
No 5,808 45%
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Total Votes 12,788
As a result of the strong community support for providing parks and recreation services and programs in Cathedral City, the City Council adopted the following action item as part of their five-year strategic plan adopted in April of 2023:
Action B-13 Develop a plan to address the need for funding for parks and recreation services through the DRD; and other resident priorities including streets, and work toward a potential funding measure in 2024 The City Manager appointed a committee of residents to review unfunded needs in the community, explore possible solutions and potentially make recommendations to the City Council.
The committee first met and began their work on October 26, 2023. They met a total of four times through their final meeting on January 11, 2024. At that final meeting, the committee discussed ideas from committee members for addressing the identified funding gaps. Discussion included the applicability and limitations of grant funding, public- private partnerships and single-purpose tax measures. Ultimately, the committee members coalesced around recommending a general purpose, half-cent sales tax (transaction and use tax) to the City Council. It was noted that a half-cent tax would raise about the same amount as the original Measure K would have raised – approximately $5 million per year. That amount of revenue could fund, in approximately equal amounts the following:
1. Annexation into the DRD and their assumption of parks maintenance responsibilities in Cathedral City.
2. Operating costs for a community recreation center.
3. Debt service costs to develop a community recreation center – most likely the adaptive reuse of an existing building.
4. An additional $1 million per year for street maintenance work per the pavement management plan.
5. The addition of a two-person medical response ambulance on each of the fire department’s three shifts (six staff total).
During the presentation of the Resident Study Committee findings in study session on January 24, 2024, staff indicated the next steps would include contracting for consulting services for public education outreach to Cathedral City residents.
DISCUSSION:
After the study session on January 24, 2024, staff contacted the Lew Edwards Group a professional consulting organization that has done work for Cathedral City over the years and most recently prepared public education materials for residents in early 2021 prior to the vote on Measure B related to short-term vacation rentals.
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Lew Edwards Group submitted a proposed scope of work and cost proposal to staff, and the City Attorney’s office prepared the attached contract in the not to exceed amount of $58,500 spread over two fiscal years. A budget amendment in both FY 23- 24 and FY 24-25 is required to fund the contract.
FISCAL IMPACT:
The cost of the contract is not to exceed $58,500. Work began in February and will continue through November 2024 unless the city decides to terminate the contract earlier.
FIVE-YEAR STRATEGIC PLAN:
The 2024 Strategic Plan approved on February 14, 2024 includes the following:
B-11 City Council to support a measure to provide funding for parks and recreation services through the DRD and other resident priorities including streets and enhanced Fire Department services.
ATTACHMENTS:
Agreement for Services - Lew Edwards Group 4819-1928-6995 v.2