CITY OF PACIFICA
COUNCIL AGENDA SUMMARY REPORT
4/24/2023
1 SUBJECT:
Consideration of Resolution Creating the Measure Y Citizens’ Oversight Committee RECOMMENDED ACTION:
Consider and Adopt the attached Resolution of the City Council Creating the Measure Y Citizens’ Oversight Committee.
STAFF CONTACT:
Yulia Carter, Assistant City Manager
(650) 501-6004
[email protected]
INTRODUCTION:
On June 27, 2022, the City Council unanimously placed Measure Y on the November 8, 2022 Municipal Election ballot to address community priorities identified during a Spring 2022 Community Survey:
• Maintaining 911 fire, police, and emergency medical response times • Maintaining fire protection services
• Keeping pollution and trash off local beaches
• Attracting and retaining local jobs and businesses
• Maintaining storm drains to prevent flooding
On November 8, 2022 a majority of the voters of the City of Pacifica approved the ½ Cent Measure Y Transactions and Use Tax in Ordinance No.887-C.S. This measure is projected to generate $2,600,000 annually to maintain the City of Pacifica’s vital services for the next 9 years. Measure Y funds are intended for the purpose of maintaining Pacifica’s vital services and cannot be taken by the State.
The City Council adopted a Resolution Declaring the Canvass of Returns and Results of the General Municipal Election of November 8, 2022 at their meeting held on December 15, 2022.
On January 9, 2023 the City Council approved a Resolution and Agreements with the California Department of Tax and Fee Administration (CDTFA) pursuant to Section 7270 of the Revenue and Taxation Code for the administration of the Ordinance imposing the 1/2 Cent Transactions and Use Tax prior to the new tax taking effect. The CDTFA performs all functions related to the administration and operation of the ordinance. The ½ cent Transactions and Use Tax went into effect on April 1, 2023.
Ordinance No.887-C.S. provides for a Citizens’ Oversight Committee to review the revenue and expenditure of funds from the tax imposed by Measure Y. This agenda item presents background and a recommended process for establishing a committee, and requests the City Council’s approval of a Resolution Establishing this Committee.
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April 24, 2023
BACKGROUND:
Section 3-19.15 of the Ordinance Adopting the Measure Y Transactions and Use Tax (Ordinance No. 887-C.S.) requires the City Council to adopt a resolution that establishes a Measure Y Citizens’ Oversight Committee to review the revenue and expenditure of funds from the tax imposed under this chapter. This includes establishing the Committee members’ terms and qualifications, and duties and scope of the committee. The recommended Resolution for a Measure Y Citizens’ Oversight Committee is provided as an Attachment.
Staff conducted research of cities that passed local transactions taxes. A number of cities, like Redwood City, East Palo Alto, and Daly City do not seem to have an oversight committee. Staff also reviewed similar Revenue Oversight Committees in cities around the Bay Area with particular attention to the 5 cities in San Mateo County with such committees. A summary of the 5 oversight committees in San Mateo County are shown below:
COMMITTEE TERMS AND DUTIES:
Based on research and review of the operation of these other local Citizens’ Oversight Committees, the City Manager recommends the following set of Committee Terms and Duties.
These are shown in Exhibit A of the Draft Resolution, and include:
• Membership: 3 to 5 members
• Member Terms: 4 years
• Member Qualifications: experience in accounting, investment banking, venture capital and general financial management in a public corporation, municipal government or privately held business.
• Duties: Review of the Annual Audit of Measure Y Revenues and Expenditures (to be prepared by the City’s independent auditor) and review of an Annual Committee Report on the Accuracy of the Auditor’s Measure Y findings (to be prepared by City staff). In addition, Committee members will also serve as representatives of the Committee while engaging with members of the public to provide information and education about the use of Measure Y revenues, and provide community ambassador work to facilitate and promote community education about the variety of government services, mandates and diverse community needs funded by Measure Y.
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• Conflicts: To preserve the independence of the Oversight Process, Committee members shall not have a role in determining the use of revenue raised by Measure Y. • Meetings: The Committee will meet twice a year -- Once to be briefed on the Annual Budget (mid-year) and again to review the Measure Y Audit Report and adopt an Annual Report on Measure Y revenues and expenses as described under Committee Duties. • General Terms: The Committee will follow the General Terms for other City of Pacifica Committees and Commissions including electing a Chair and Vice Chair, holding meetings subject to the provisions of the Brown Act, and following the rules in the Commission and Committee Handbook. The Committee will be disbanded when its purpose is completed unless extended by action of the City Council.
RELATION TO CITY COUNCIL GOALS AND WORK PLAN:
These items advance the Vision 2025 & Beyond Council Priority and further the City Council’s Strategic Goal of Fiscal Sustainability.
FISCAL IMPACT:
There is no fiscal impact to adoption of this resolution. Establishment of the Measure Y Oversight Committee is provided for in the Measure Y adoption by the voters. The Oversight Committee will be staffed by the City Manager’s Office and the Finance Department.
ORIGINATED BY:
City Manager's Office
ATTACHMENT LIST:
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April 24, 2023
RESOLUTION NO. _________
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PACIFICA CREATING THE MEASURE Y CITIZENS’ OVERSIGHT COMMITTEE
WHEREAS, on June 27, 2022, the City Council approved placing a one-half cent transactions and use tax for funding general city services on the General Election held on November 8, 2022; and
WHEREAS, on November 8, 2022 the voters of the City of Pacifica approved the transaction and use tax in Ordinance No.887-C.S.; and
WHEREAS, on December 15, 2022 the City Council certified the election results in Council Resolution No. 88-2022 where the voters approved Ordinance No. 887-C.S. amending the City Municipal Code and providing for a Local Transactions and Use Tax; and WHEREAS, Sec. 3-19.15 of Ordinance No. 887-C.S. requires the City Council to adopt a resolution that establishes a Measure Y Citizens’ Oversight Committee to review the revenue and expenditure of funds from the tax imposed under this chapter. The members’ terms and qualifications, and duties and scope of the committee, shall be as established by the resolution; and
WHEREAS, the City Council desires to set forth the procedures by which the Measure Y Citizens’ Oversight Committee members will be selected and appointed for the proper implementation Sec. 3-19.15 of Ordinance No. 887-C.S.; and WHEREAS, the Measure Y Citizens’ Oversight Committee duties, membership, terms, and general provisions shall be as described in Exhibit A.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pacifica does hereby authorize the creation of the Measure Y Citizens’ Oversight Committee. • • • • •
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Pacifica, California, held on the 24th day of April, 2023, by the following vote:
AYES, Councilmembers:
NOES, Councilmembers:
ABSENT, Councilmembers:
ABSTAIN, Councilmembers:
_________________________________
Tygarjas Twyrls Bigstyck, Mayor
ATTEST: APPROVED AS TO FORM:
______________________________ _________________________________ Sarah Coffey, City Clerk Michelle Kenyon, City Attorney Pacifica City Council 5
April 24, 2023
Exhibit A
Measure Y Citizens’ Oversight Committee
Purpose
The Measure Y Citizens’ Oversight Committee (“Committee”) is created to report annually to the City Council regarding the collection and expenditure of revenue from Measure Y, a one-half cent Transaction and Use Tax.
Membership
The Committee shall consist of a minimum of three and a maximum of five members.
Committee Member Terms
Appointments to the Committee are for a 4-year term unless otherwise determined by the City Council. The Council may remove at any time by majority vote any committee member.
Committee Duties
1. Review of the annual audit report prepared by the City’s independent auditor related to the prior fiscal year’s collection and expenditure of Measure Y revenue.
2. Review and discuss staff’s presentation regarding the annual revenue projections and allocation of expenditures as part of the annual budget resource planning
3. Provide community ambassador work to facilitate and promote community education about the variety of government services, mandates and diverse community needs funded by Measure Y.
Avoidance of Conflicts
To preserve the integrity and independence of the advisory process, Committee members shall not have a role in determining the use of revenue generated by Measure Y.
Committee Meetings
The Committee shall meet once to be briefed on the Annual Budget (mid-year) and again to review the Measure Y Audit Report and adopt an Annual Report on Measure Y revenues and expenses as described under Committee Duties, Item 2.
General Terms
When the specific purpose for the Committee is accomplished, the Committee will be disbanded unless extended by action of the City Council.
The Committee shall select one of its members to act as Chair and another to act as Vice Chair on an annual cycle as of date of establishment.
The Committee shall hold open meetings subject to the Brown Act and shall abide by the rules set out in the Commission and Committee Handbook as amended from time to time.