Menlo Park City Council
February 11, 2025

City of Menlo Park 701 Laurel St., Menlo Park, CA 94025 tel 650-330-6600 menlopark.gov City Council

REGULAR MEETING MINUTES
Date: 2/11/2025
Time: 6:00 p.m.

Locations: Teleconference and
City Council Chambers
751 Laurel St., Menlo Park, CA 94025
Regular Session
A. Call To Order
Vice Mayor Nash called the meeting to order at 6:03 p.m.

B. Roll Call

Present: Combs (Remote – Brown Act, arrived at 6:34 p.m.), Nash, Schmidt, Taylor, Wise

Absent: None
Staff: City Manager Justin Murphy, Assistant City Manager Stephen Stolte, City Attorney Nira Doherty, Assistant to the City Manager/ City Clerk Judi A. Herren C. Agenda Review
None.

D. Public Comment
• Will Oursler spoke in support of affordable housing on Downtown parking plazas. • Vasile Oros spoke in opposition of high density housing on Downtown parking plazas. • Collette spoke in support of transparency, planning and timing for housing sites. • Bill Kirsch spoke in support of slow street initiatives on Middle Avenue and on concerns to the traffic impacts on Partridge Avenue (Attachment).
• Mary Seaton spoke in opposition of high-density housing on Downtown parking plazas and in support of housing on the civic center site.
• Carmen Caricchio spoke in opposition of high-density housing on Downtown parking plazas.

DI. Presentations and Proclamations
E1. Certificate of Recognition – Menlo School Boys Cross Country Team Menlo Cross Country and Track and Field Assistant Director Miles Bennett-Smith made the presentation (Attachment).

E2. Proclamation: Black History Month (Attachment)
 Jenny Michel spoke in support of honoring Black History.

Vice Mayor Nash introduced the proclamation.

City of Menlo Park 701 Laurel St., Menlo Park, CA 94025 tel 650-330-6600 menlopark.gov F. Consent Calendar
F1. Consider and adopt a resolution to authorize the city manager to execute the primary grant agreement with the San Mateo County Transportation Authority for future Measures A and W funding (Staff Report #25-013-CC)
F2. Waive the second reading and adopt an ordinance to amend Chapter 12.18 of Title 12 (Buildings and Construction) of the Menlo Park Municipal Code to adopt local amendments to the 2022 California Building Standards Code
2024 (Staff Report #25-014-CC)
F3. Consider and adopt a resolution supporting the City’s application for the San Mateo County Transportation Authority Shuttle Program fiscal years 2025-26 and 2026-27 and authorize the city manager to enter into funding agreements (Staff Report #25-015-CC) ACTION: Motion and second (Taylor/ Wise), to approve the consent calendar, passed unanimously.

G. Study Session
G1. Consideration of needs analysis and potential strategies to enhance enrollment and financial sustainability at City-run preschool facilities (Staff Report #25-017-CC) Library and Community Services Director Sean Reinhart, Library and Community Services Manager Natalya Jones, Library and Community Services Supervisor Kira Storms and consultants Tricia Singleton and Katherine Carter made the presentation (Attachment).  Collette requested clarification on preschool curriculum.

The City Council received clarification on curricula offered at both city preschools, factors impacting enrollment, licensing and staffing for infant care impacts on enrollment, teacher-to-child ratios for cost benefit analysis, hours of operation, city’s role to provide child care services, neighboring city non-profit arrangements, staff input on survey and focus groups, timeline to train staff in infant care and child care services affordability.

The City Council discussed investing in children, consideration of employees returning to workplaces in person, costs and revenues and grants, recently passed local measures and funding options, demand and need for child care services compared to the capacity, increased quality of education and nutrition and collaboration with schools and teachers for cost sharing.

The City Council directed staff to proceed with the following recommendations:
 Enhance consumer awareness of city-run preschools through marketing techniques.  Create more flexible scheduling options at Menlo Children's Center (MCC).  Explore options to provide care to 2-year-olds at Belle Haven Child Development Center.  Explore options for increasing slots for 18-month-olds at MCC.  Explore partnering with schools for cost sharing.
 Prepare analyses to enhance understanding of the City’s subsidy costs to run its preschools.  Return with additional analysis and recommendations in the context of the fiscal year 2025-26 budget deliberations.

City Council Regular Meeting Minutes
February 11, 2025

City of Menlo Park 701 Laurel St., Menlo Park, CA 94025 tel 650-330-6600 menlopark.gov H. Regular Business
H1. Receive and file the Annual Comprehensive Financial Report for the fiscal year ended June 30, 2024 (Staff Report #25-016-CC)

Administrative Services Director Brittany Mello made the presentation (Attachment).  Collette requested clarification on fiscal year 2024-25 budget for affordable housing projects.

The City Council received clarification on current budget for affordable housing projects, risk areas, exposures and potential subsidy areas, grant-funded projects and revenues.

ACTION: Motion and second (Schmidt/ Wise), to receive and file the Annual Comprehensive Financial Report for the fiscal year ended June 30, 2024, passed unanimously.

I. Informational Items
I1. City Council agenda topics: February – March 2025 (Staff Report #25-020-CC)

I2. Preliminary review of City-owned buildings leased to third parties (Staff Report #25-018-CC) I3. Accela Civic Platform update (Staff Report #25-019-CC) I4. Update on the City’s Five Year Street Maintenance Plan (Staff Report #25-021-CC)  Ross Silverstein spoke in support incorporating complete streets initiatives and Vision Zero implementation during street resurfacing.
 Kevin Rennie spoke in support incorporating complete streets initiatives and Vision Zero implementation during street resurfacing.

I5. Parks and Recreation Commission recommendation for the aquatics program including to temporarily suspend the minimum operating hours requirement at Belle Haven Pool (Staff Report #25-022-CC)
J. City Council Initiated Items
J1. Request by Mayor Combs for a future agenda topic (Staff Report #25-023-CC) Mayor Combs introduced the item.
 Collette requested clarification on the initial street closure and expectations.  Kevin Rennie spoke in support of retaining the partial closure of Santa Cruz Avenue.  Alex Beltramo spoke in support of reopening Santa Cruz Avenue.

The City Council discussed the strategy for closing and reopening Santa Cruz Avenue, preserving the public gathering spot, a Downtown economic study and the consideration of the topic during the City Council priority and goal setting workshop.

City Council Regular Meeting Minutes
February 11, 2025

City of Menlo Park 701 Laurel St., Menlo Park, CA 94025 tel 650-330-6600 menlopark.gov ACTION: Motion and second (Wise/ Nash), to include the consideration of the Santa Cruz Avenue closure at the City Council’s annual priority and goal setting process, passed unanimously.

K. City Manager Report
City Manager Murphy reported out on upcoming storm with heavy rain and winds and the upcoming Menlo Park Fire Protection District CERT training.

L. City Councilmember Reports
None.

M. Adjournment
Vice Mayor Nash adjourned the meeting at 9:10 p.m.

Assistant to the City Manager/ City Clerk Judi Herren
These minutes were approved at the City Council meeting March 25, 2025.

City Council Regular Meeting Minutes
February 11, 2025

City Council Regular Meeting Minutes
February 11, 2025

E1-PRESENTATION
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E2-PRESENTATION
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D-PUBLIC COMMENT

PRESCHOOL NEEDS ANALYSIS AND STRATEGIES
City Council, February 11, 2025
G1-PRESENTATION City Council Regular Meeting Minutes
February 11, 2025

Staff recommends that City Council:

1. Review the childcare needs analysis report about potential strategies to enhance enrollment and financial sustainability at City-run preschool facilities (Attachment A)

2. Provide direction to City staff on which of the potential strategies to develop for additional City Council review and potential implementation

3. Staff anticipates bringing back City Council’s identified implementation strategies for City Council review in the context of the fiscal year 2025-26 budget deliberations.

RECOMMENDATION
City Council Regular Meeting Minutes
February 11, 2025

Early Learning & Care
Final Report
City of Menlo Park + Solutionary Adivsors
City Council Regular Meeting Minutes
February 11, 2025

Erik Burmeister has 25 years of
experience in education, including as
Superintendent of Menlo Park School
District, He is a nationally recognized
expert in using human-centered design
to lead systemic change.

Tricia Singleton has 20+ years of
global youth organization senior
leadership experience focusing on
strategic planning, program design,
operations, and project management.

Solutionary AdvisorS Team
Katherine Carter is an accomplished
educational reformer and school designer with
over 25 years of experience as a teacher,
principal, and central office leader from
Preschool to 12th grade.

Marissa McGee has over 15 years of
experience in the education sector. Growing up
in the Belle Haven neighborhood and being a
Kindergarten teacher bring insight to this
project. She is the author of the children’s book,
Free the Curls.

City Council Regular Meeting Minutes
February 11, 2025

Goals & outcomes
Driving QUESTION
How might the City of Menlo Park’s
early care and learning programs
better meet the evolving needs of the community
while ensuring the financial sustainability of the programs? City Council Regular Meeting Minutes
February 11, 2025

Methodology
How did we get here?
Contextual & historical analysis
and forecasting for early care.

1. Early learning services ecosystem
review and analysis.

2. City-designed and executed early
learning and care needs survey.

3. 4.Community coalition building.

Comprehensive Analysis, Report,
and Potential Strategies

5. Preparation
Define project goals and plan
Gather initial historical/contextual data
Create survey and interview questions
Schedule interviews with stakeholders
Research & Feedback
MCC and BHCDC Staff & Families
Local Preschool Directors
Demographics, WFH, Pandemic & TK
Childcare advocates
Analysis & Recommendations
Analyze historical & contextual data
Compile survey, interview, focus group
findings
Identify critical factors for action
Develop data-driven recommendations
City Council Regular Meeting Minutes
February 11, 2025

Preschool
Landscape
What factors have changed the
preschool landscape across the
Bay Area, California, and
nationally?
City Council Regular Meeting Minutes
February 11, 2025

National, State and county context
Universal TK for 4-year olds and eventually 3-
year olds is the most significant factor
impacting preschool enrollment.

COVID-19 pandemic is still having a financial
and societal impact on preschools and
families.

Remote work is continuing to shift the
childcare needs and choices of young families.

Birth rates are declining in San Mateo County
and Menlo Park.

County wide initiatives are taking place to
support early care.

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February 11, 2025

local data
analysis
How have the broader factors
impacted preschool in Menlo Park
and adjacent communities?
City Council Regular Meeting Minutes
February 11, 2025

MENLO PARK EARLY LEARNING Findings
Common Themes
Affordability
Flexible Scheduling
Infant Care
Toddler Care
Communication of Quality
Community Needs Survey
627 respondents, 413 comments
Preschool Director Interviews
10 local schools
Center Staff & Family Focus Groups
30 people in 4 groups
Community Childcare Advocates
San Mateo County, Community Equity
Collaborative, Ravenswood ECE Collaborative
methodology
City Council Regular Meeting Minutes
February 11, 2025

potential
strategies
Based on the analysis, what are the
high-leverage strategies that the
City of Menlo Park should consider
to increase enrollment & meet the
community’s expressed needs?
City Council Regular Meeting Minutes
February 11, 2025

Sliding Scale fees for middle income
City employee and educator discounts
Cooperative care
Affordability
Sliding scale fees
Discounts for City
employees and educators
Cooperative Care
Flexible Scheduling
Schedule choice
Drop in care
Toddler and Infant Care
Open space for 2-year olds
Open space for 18-mo-olds
Add infant care

POTENTIAL STRATEGIES
based on Community needs
Communicating Quality Care
Update website
Community Events
Marketing materials
City Channel marketing
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AFFORDABILITY
Strategy BHCDC MCC Impact Effort time frame
Create sliding scale fee assistance for middle-income X X High High  Mid-term Institute discounts for city employees and educators X Low Medium Mid-term Create a “cooperative” childcare option X Medium High Long-term City Council Regular Meeting Minutes
February 11, 2025

FLEXIBLE SCHEDULING
Strategy BHCDC MCC Impact Effort time frame
Allow families to choose days/schedules  X High Medium Short-term Earlier drop off and later pick-up X X Medium High Mid-term City Council Regular Meeting Minutes
February 11, 2025

TODDLER AND INFANT CARE
Strategy BHCDC MCC Impact Effort Time Frame
Open space for 2-year-olds X X High High Mid term
Open space for 18-month-olds X X High High  Mid term
Add infant care X X High High Long term
City Council Regular Meeting Minutes
February 11, 2025

COMMUNICATING QUALITY CARE
Strategy BHCDC MCC Impact Effort time frame
Update the website X X Medium Low Short-term
Host community events X X Medium Medium Short-term
Update marketing material X X Medium Low Short-term
Utilize existing city channels to “tell the story”  X X Medium Low Short-term City Council Regular Meeting Minutes
February 11, 2025

Next Steps
How will the City of Menlo Park
measure “success” and what
continuous improvement steps will
assist the City in achieving its
goals?
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Select strategies for implementation
Determine budgetary and staffing
impact
Set goals and determine success metrics
Implement selected strategies
Review progress towards goal
Adjust as needed
What’s Next
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February 11, 2025

Staff seeks City Council direction on which potential strategies to further develop for potential implementation:

A. Create more flexible scheduling options at MCC
B. Enhance consumer awareness of City-run preschools through marketing techniques
C. Create a sliding scale that provides tuition assistance to middleincome families who do not qualify for other income-based tuition assistance
D. Institute discounts for city employees and local educators E. Create a “cooperative” childcare option for some families F. Expand to provide care to 2-year-olds at BHCDC
G. Increase slots for 18-month-olds at MCC
H. Add infant care (younger than 18 months) at MCC and/or BHCDC.

CITY COUNCIL DIRECTION SOUGHT
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THANK YOU
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FISCAL YEAR 2023-24 ANNUAL
COMPREHENSIVE FINANCIAL REPORTBrittany Mello, Administrative Services Director H1-PRESENTATION
City Council Regular Meeting Minutes February 11, 2025 Page 28 of 44  ACFR overview
 Basics of fund accounting Types of funds Revenues and expenditures Citywide financial overviewAGENDA 2 City Council Regular Meeting Minutes February 11, 2025 Page 29 of 44 WHAT IS AN ACFR?
 The Annual Comprehensive Financial Report, or ACFR, provides a complete overview of the City’s financial operations and financial position  The content and format of the ACFR follows the required principles and standards of accounting and financial reporting adopted by the Governmental Accounting Standards Board (GASB) in accordance with generally accepted accounting principles (GAAP) 3 City Council Regular Meeting Minutes February 11, 2025 Page 30 of 44 WHAT IS AN ACFR?
 City staff prepare the financial statements each fiscal year and then an independent accounting firm audits the statements– Fiscal year runs from July 1 – June 30– The City’s current auditor is the Pun Group, LLP 4 City Council Regular Meeting Minutes February 11, 2025 Page 31 of 44

WHAT IS THE DIFFERENCE
BETWEEN A BUDGET AND AUDIT?
 The annual budget is a spending plan that outlines anticipated revenues and expenses for the upcoming fiscal year
 The annual audit is a review of the actual results of the prior fiscal year’s financial activities
5 City Council Regular Meeting Minutes February 11, 2025 Page 32 of 44

ACFR OVERVIEW

1. Introductory Section (unaudited)
– Transmittal Letter

2. Financial Section
– Independent Auditor’s Report– Management’s Discussion and Analysis (unaudited)– Basic Financial Statements– Notes to the Basic Financial Statements– Required Supplementary Information (unaudited)– Supplementary Information

3. Statistical Section (unaudited)
6 City Council Regular Meeting Minutes February 11, 2025 Page 33 of 44 7 PRIOR YEAR ACFR RECEIVED GFOA AWARD
City Council Regular Meeting Minutes February 11, 2025 Page 34 of 44 INDEPENDENT AUDITORS’
REPORT
 After reviewing the City’s financial statements, the Pun Group rendered an unmodified or clean opinion that the financial statements… “present fairly, in all material respects, the respective financial position ofthe governmental activities, business-type activities, each major fund, andthe aggregate remaining fund information of the City, as of June 30, 2024,and the respective changes in financial position, and, where applicable,cash flows thereof….”  An unmodified or clean opinion is the most common and desirable opinion an auditor can render
8 City Council Regular Meeting Minutes February 11, 2025 Page 35 of 44

BASIC FINANCIAL STATEMENTS
 Government-wide Financial Statements
– Statement of Net Position– Statement of Activities
 Fund Financial Statements
– Governmental Funds– Proprietary Funds– Fiduciary Funds  Notes to the Financial Statements
9 City Council Regular Meeting Minutes February 11, 2025 Page 36 of 44

BASICS OF FUND ACCOUNTING
 Governments employ fund accounting and all funds are combined to create the City’s total budget
 Funds are separate “pots of money” set up to track resources for specific purposes  The source of money determines how it can be spent (i.e., whether it is restricted or unrestricted)
 Each fund is maintained individually with separate accounting 10 City Council Regular Meeting Minutes February 11, 2025 Page 37 of 44

FUND DESCRIPTIONS
11 Fund Types DescriptionGeneral Fund City’s primary operating fund, reserve policy, unrestricted revenue sources
Special Revenue Funds Revenues restricted to a specific purposeCapital Project Funds Revenues restricted to acquire or construct capital facilitiesEnterprise Funds Revenues from charges to users for services provides, similar to a private business
Internal Service Funds Tracks goods or services provided to other departments for reimbursement and allocates overhead and shared items
Debt Service Funds Revenues collected to pay for debt paymentsFiduciary Fund City acts as fiduciary on behalf of others City Council Regular Meeting Minutes February 11, 2025 Page 38 of 44

OVERVIEW OF REVENUES AND

EXPENDITURES
 Revenue categories
– Taxes – Property tax, sales tax, transient occupancy tax– User fees / rates – Grants  Expenditure categories
– Current
• Personnel – Wages, retirement, fringe benefits• Operating – Materials / supplies, professional services, utilities, internal service fund contributions, etc.
– Capital outlay – Equipment purchases, construction costs, depreciation and amortization – Debt service – principal and interest, fiscal charges– Transfers to other funds 12 City Council Regular Meeting Minutes February 11, 2025 Page 39 of 44

NET POSITION
 Overall indicator of the City’s financial health across all funds  Reflects the total revenues versus expenditures for the City – Includes increases in non-liquid assets and unrealized investment gains – Includes restricted revenues, such as special revenue sources  Net position as of a single point in time As of June 30, 2024, the City’s net position increased by $34.3 million to $597.3 million
13 City Council Regular Meeting Minutes February 11, 2025 Page 40 of 44

GENERAL FUND
 As the City’s primary operating fund, it is helpful to look at the health of the General Fund as well
 General Fund
– $ 76.5 million in revenues – $ 73.8 million in expenditures– $ 2.7 million increase to the fund balance  Fund Balance
– Starting fund balance: $34.6 million– Ending fund balance: $37.3 million 14 City Council Regular Meeting Minutes February 11, 2025 Page 41 of 44

FUND BALANCE OF THE

GENERAL FUND
15 Category Definition AmountNonspendable Items that are not able to be spent. Examples could include prepaid items, inventories, loans receivable, etc. $ 0.6 millionRestricted Items that are subject to external legal restrictions. Examples could include debt covenants, grantors, other-governmental laws or regulations, etc. --
Committed
Items that are constrained by governing body direction (i.e., by City Council resolution). The City Council has established three reserves that fall into this category: Emergency contingency, economic stabilization and strategic pension funding. $ 28.3 million
Assigned
Items that are intended for a specific purpose. The City Council and the City Manager are authorized to assign fund balance. Examples could include debt service, special projects, etc. $ 1.3 million
Unassigned The amount remaining that does not fall into one of the above categories. $ 7.1 million City Council Regular Meeting Minutes February 11, 2025 Page 42 of 44

ONLINE ACCESS
Visit menlopark.gov/acfr to review the
Annual Comprehensive Financial Report
for the fiscal year ended June 30, 2024
16 City Council Regular Meeting Minutes February 11, 2025 Page 43 of 44

THANK YOU
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