AGENDA
ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
REGULAR MEETING NOTICE
MAY 20, 2025
PUBLIC MEETING 5:00 P.M.
MEMBERS
Tyron Hampton, Chair District 1
Jessica Rivas, District 5
Steve Madison, District 6
Jason Lyon, District 7
STAFF
David Klug, Economic Development Director
Dion O’Connell, Assistant City Attorney
Betty Gao, Recording Secretary
MISSION STATEMENT
The City of Pasadena is dedicated to delivering exemplary municipal services, responsive to our entire community and consistent
with our history, culture and unique character.
In compliance with the Americans with Disabilities Act of 1990, Assistive Listening Devices are available from the City Clerk’s Office with a 24-hour advance notice.
Please call (626) 744-4124 to request use of a listening device.
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Items on the agenda may not be called in order listed.
Agendas and supporting documents are available on the Internet at https://www.cityofpasadena.net/commissions/city-council-economic-development-technology/
Materials related to an item on this Agenda submitted to the Economic Development and Technology Committee after distribution of the agenda packet will be posted online and listed as: “Supplemental Agenda Material Received after the Posting of the agenda”
PUBLIC COMMENT AT THE ECONOMIC DEVELOPMENT AND TECHNOLOGY
COMMITTEE MEETING FOR
MAY 20, 2025 AT 5:00 P.M. WILL BE ACCEPTED IN-PERSON AND BY VIDEOCONFERENCE/TELECONFERENCE.
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CITY OF PASADENA
NOTICE OF REGULAR MEETING OF THE
ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
MAY 20, 2025
PUBLIC MEETING 5:00 P.M.
PASADENA CITY HALL, COUNCIL CHAMBER
100 NORTH GARFIELD AVENUE, ROOM S249
NOTICE IS HEREBY GIVEN that the regular meeting of the Economic Development and Technology Committee, will be held on Tuesday, May 20, 2025, at 5:00 p.m., in the Council Chamber to discuss matters on the attached agenda.
_____________________
Tyron Hampton, Chair
Economic Development and
Technology Committee
I HEREBY CERTIFY that this agenda in its entirety, was posted on the Internet at https://www.cityofpasadena.net/commissions/city-council-economic-development-technology/ and on the Council Chamber Bulletin Board, Room S249, and the Bulletin Board in the rotunda area; City Hall, 100 North Garfield Avenue, this 15
th day of May 2025 by 5:30 p.m. and that copies hereof were emailed or delivered to each member of the City Council and to each local newspaper of general circulation, radio or television station requesting notice in writing, all of which recipients are identified on the distribution herein below.
Katrine Panoyan
City Manager’s Office
DISTRIBUTION:
City Council Los Angeles Times
City Manager Pasadena Journal
City Attorney Pasadena Now
Public Information Officer Pasadena Star News
Pasadena Weekly La Opinion
Pasadena Independent
REGULAR MEETING
AGENDA
ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
MAY 20, 2025
Public Meeting: 5:00 P.M.
Council Chamber, Pasadena City Hall
100 North Garfield Avenue, Room S249
PUBLIC MEETING – 5:00 P.M.
ROLL CALL
PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA
Public comment will be limited to a total of 20 minutes at the beginning of the meeting and will continue at the conclusion of the meeting, if necessary.
Please limit comments to 3 minutes each.
APPROVAL OF MINUTES
• APRIL 15, 2025 – REGULAR MEETING*
NEW BUSINESS
INFORMATION ONLY
1. BUDGET WORKSHOP-FY2026 RECOMMENDED OPERATING BUDGET
A. DEPARTMENT OF INFORMATION TECHNOLOGY (DOIT)*
B. HOUSING DEPARTMENT*
C. RENT STABILIZIATION DEPARTMENT*
ADJOURN
*Attachment
APPROVAL OF MINUTES
• APRIL 15, 2025 – REGULAR MEETING*
01 04/15/2025
CITY OF PASADENA
ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE MINUTES
APRIL 15, 2025 – 5:00 P.M.
REGULAR MEETING
OPENING Chair Hampton called the meeting of the Economic Development and Technology Committee to order at 5:13 p.m.
ROLL CALL:
Staff:
Councilmember Tyron Hampton, Chair
Vice Mayor Jessica Rivas
Councilmember Steve Madison
Councilmember Jason Lyon (Absent)
David Klug, Director of Economic Development
Dion O’Connell, Assistant City Attorney
Betty Gao, Recording Secretary
PUBLIC COMMENT Sonja Berndt and David Serri , Pasadena residents, advocated for the Committee to agendize and discuss interim housing proposals, including the motel master lease plan from Rabbi Joshua Grater, Executive Director of Friends In Deed, and to conduct a cost-benefit analysis while expanding local efforts to address homelessness.
Chair Hampton informed the public speakers that the matter will be agendized at a future Committee meeting.
Terry Lewis, Pasadena resident, expressed concerns with the funding, expenditures, and program management related to the Foothill Workforce Development Board.
APPROVAL OF MINUTES It was moved by Councilmember Madison, seconded by Vice Mayor Rivas, to approve the minutes of January 21, 2025 (Cancelled Meeting), February 18, 2025 (Cancelled Meeting) , and March 18, 2025, as submitted. ( Motion Unanimously approved) (Absent: Councilmember Lyon)
INFORMATION ONLY OLD PASADENA MANAGEMENT DISTRICT PRESENTATION
Steve Mulheim, President and CEO of Old Pasadena Management District, presented a PowerPoint presentation on the item, including providing information on Old Pasadena’s background, environment, safety, marketing, sales revenue, and Property -Based Improvement District (PBID) renewal, and responded to questions.
Councilmember Madi son expressed appreciation and commended Mr.
Mulheim for his leadership and the work of the Old Pasadena Management District.
Following discussion, on the order of the Chair, and by consensus of the Committee, the information was received and filed.
02 04/15/2025
ECONOMIC DEVELOPMENT UPDATE BY DAVID A. KLUG,
ECONOMIC DEVELOPMENT DIRECTOR
David Klug, Director of Economic Development, summarized the staff memo as part of his oral presentation, including providing information on business development, businesses support and retention, community engagement events, Eaton emergency business recovery, and responded to questions.
Vice Mayor Rivas thanked staff for their work on the well-organized and well attended North Lake Avenue community engagement event.
In response to Councilmember Madison’s inquiry on the State Surplus Land Act related to the 434-470 North Lake Avenue site, Dion O’Connell, Assistant City Attorney, stated that the City is currently under a good-faith negotiation period, and responded to questions.
Councilmember Madison spoke on the need for staff to expand the possibilities and range of projects at the 434-470 North Lake Avenue site; and voiced concerns with the acquisitions of major assets and not taking advantage of opportunities with several developers to generate a greater number of affordable housing units.
Following discussion, on the order of the Chair, and by consensus of the Committee, the information was received and filed.
Vice Mayor Rivas requested to agendize North Lake Avenue revitalization efforts at a future Committee meeting.
Councilmember Madison requested to agendize for discussion additional affordable housing opportunities in the City at a future Committee meeting.
In response to the Vice Mayor Rivas and Councilmember Madison’s request, Mr. Klug responded that the May Committee agenda will consist of budget presentations, however he will agendize both items for the June Committee meeting and responded to questions.
ADJOURNMENT:
On the order of the Chair, the meeting of the Economic Development and Technology Committee was adjourned at 6:03 p.m.
ATTEST:
____________________
Betty Gao
Recording Secretary
_________________________________
Tyron Hampton, Chair
Economic Development and Technology Committee
INFORMATION ONLY
1. BUDGET WORKSHOP-FY2026 RECOMMENDED OPERATING BUDGET
A. DEPARTMENT OF INFORMATION TECHNOLOGY (DOIT)*
B. HOUSING DEPARTMENT*
C. RENT STABILIZIATION DEPARTMENT*
A. DEPARTMENT OF INFORMATION TECHNOLOGY (DOIT)*
Department of Information Technology
FY 2026 Recommended
Operating Budget
Economic Development & Technology Committee
May 20, 2025
Department of Information Technology
FY 2025 Accomplishments
• Supported the Emergency Operations Center (EOC)
and Eaton Fire recovery efforts
• Refreshed A/V technology in the Council Chamber
• Developed multiple online and mobile applications
• Launched tech solutions for Rent Stabilization Dept
• Completed the Citywide Strategic Broadband Plan
• Received award for excellence for online payment
services rollout from Tyler Technologies
• Awarded $225,000 Cybersecurity Grant from
California State Office of Emergency Services
2 Department of Information Technology
Appropriations by Category
3 Category
FY 2023
Actuals
FY 2024
Actuals
FY 2025
Adopted
FY 2026
Recommended
%
Change
Personnel 11,889,654 14,203,401 15,406,248 16,511,912 7.2% Services & Supplies 4,256,035 4,423,733 6,608,119 7,412,986 12.2% Capital Outlay 409,525 1,620,961 0 0 0.0%
Internal Srvc Chrg 1,217,737 1,491,056 1,535,424 1,822,110 18.7% Debt Service 29,021
Operat Transfer Out 435,000 435,000 435,000 435,000 0.0% Operating Expense 4,247,476 4,293,229 1,275,000 1,090,000 -14.5% Grand Total 22,455,427 26,496,401 25,259,791 27,272,008 8.0% FTE 81.00 84.00 3.00
Department of Information Technology
Significant Changes from FY 2025 Budget
• FY 2026 total appropriation increase of 8.0%
• Personnel increase of 7.2%
> Normal update of personnel salaries and benefits
including MOU changes, medical, PERS, etc.
> Transfer 2.00 FTE positions from the Library &
Information Services Department to:
▪ Enhance support under an integrated model
▪ Approved by City Council on September 23, 2024
> One additional FTE added to support the
expanding operations of the Building
Security Management Program
4 Department of Information Technology
Significant Changes from FY 2025 Budget
• Services & Supplies increase of 12.2%
> Reflects CPI adjustments to most annual service
contracts
> Microsoft licensing 3-year renewal, including
added licensing for Teams Phone service
> Desktop Replacement Program equipment
> Cybersecurity vulnerability management service
> Insurance cost increase of 33.5%
5 Department of Information Technology
Significant Changes from FY 2025 Budget
• Internal Services increased 18.7%
> CAP Allocation increase of 20.4%
> Public Works Building & Fleet internal charges
increase of 16.2%
• Operating Expense decreased 14.5%
> Depreciation expense decreased in line with
current and forecasted capital purchases
6 Department of Information Technology
Overview of Funds
7 • Internal Service Fund with 93% of revenue derived from annual fixed service charges to customer departments
• DoIT cost allocation plan updated annually
• Majority of fund balance reserved for capital and
equipment replacement programs
• Zero-based budgeting approach
Department of Information Technology
Overview of Funds
8 • Enterprise Fund that supports management, oversight, and expansion of a 171-mile fiber optic network within
Pasadena
• 93% of revenue derived from fiber lease and
telecommunications/wireless carrier agreements
• Recently completed Strategic Broadband Plan
to provide roadmap for future broadband
service expansion efforts
Department of Information Technology
FY 2026 Priorities
• Expanding Digital Access & Inclusion
> Continue growing online services through web and
mobile applications for anytime, anywhere access
> Enhance website and application accessibility
features for all residents
• Strengthening Security & Reliability
> Implement robust cybersecurity measures to
protect critical systems and data
> Upgrade infrastructure to ensure continuity
and resiliency
9 Department of Information Technology
FY 2026 Priorities
• Data-Driven Decisions
> Invest in advanced data analytics tools and
dashboards for strategic decision-making
• Enhance Department Collaboration
> Leverage technology to streamline
communications and workflows to enhance
efficiency & reduce costs
• Explore Emerging Technologies
> Evaluate and pilot newer technologies to
streamline processes, boost productivity,
and improve service delivery
10 Department of Information Technology
FY 2026 Priorities
• Major Projects & Innovations Highlights
> Emergency Operations Center Technology Refresh:
Upgrading critical infrastructure
> Aging Telephone System Replacement: Modernizing
communication systems
> Dept Business Continuity & Disaster Recovery Planning:
Strengthening resilience strategies
> Expansion of Security Cameras & Access Controls:
Enhancing safety at key City facilities
> ADA Website Accessibility Updates: Ensuring an
inclusive digital experience for all users
11 Department of Information Technology
FY 2026 Priorities
• Major Projects & Innovations Highlights (cont'd)
> Strategic Broadband Plan: Evaluating and prioritizing initiatives for improved community connectivity
> Application & Infrastructure Modernization: Transitioning to cloud-powered solutions
> Department-Specific Projects: 50+ projects investing in new capabilities and services across numerous
departments
12 B. HOUSING DEPARTMENT*
Housing Department
FY 2026 Recommended
Operating Budget
Economic Development & Technology Committee
May 20, 2025
FY 2025 Accomplishments
Housing Production
• TAY I – 2322 E. Foothill Blvd. – 6 units for transitional age youth college students
• Inclusionary Housing – 25 affordable units
• Caltrans Homes – 17 properties acquired
Community Development
• Allocated over $4.0 million in State funding for the next round of ADU loan program
• Awarded over $300,000 to six non-profit organizations providing public services
• Funded over $1.3 million for infrastructure & public facility improvements
Housing Department
2 FY 2025 Accomplishments (cont’d)
Rental Assistance
• Provided monthly rental assistance to 1,370 extremely- and very low- income households
• Maintained SEMAP “High Performer” rating from HUD
MASH
• 26 Trainees secured full-time permanent employment
• Successfully addressed and completed 420 abandoned item service requests
Homelessness
• Awarded new HUD & State grants to provide rapid rehousing to domestic violence survivors, homelessness prevention to families, street outreach, motel vouchers, housing navigation, and disaster response • 505 formerly homeless individuals provided ongoing permanent supportive housing
Housing Department
3 Appropriations by Category
Housing Department
4 Significant Changes from FY 2025
Adopted Budget
FY 2026 Expenditures increased by $2.5M (5.4%) overall
> Personnel decreased by $49k (-1.0%)
Two limited-term positions ended due to sunsetting of grant funds which offset MOU and Pension increases
> Services & Supplies increased by $2.4M (+6.1%)
Insurance $91k
Various grant funds
» ESG RUSH $590k
» Acquisition & Affordable Housing Projects $615k
» CoC & Homeless Services $1.03M
» Rental Assistance Subsidy Costs $76k
> Internal Services Charges increased by $63k (+9.4%)
DoIT $42k
BSFMD $21k
Housing Department
5 Significant Changes from FY 2025
Adopted Budget (cont’d)
Community Development Block Grant (CDBG-CV) Program
• Federal CDBG funds are reduced due to the CDBG CARES fund sunsetting
Other Federal Entitlement Grant Programs
• Commit HOME fund for Ramona Project
• Additional ESG RUSH disaster funding
Homelessness
• Homelessness funding has increased due to the award of new federal CoC and ESG grants, State ERF and FHC grants, and Measure A Local Solutions Fund revenue.
Housing Department
6 Personnel Enhancements
Housing Department
Fund Amount Justification One-Time /
Ongoing
101 125,000$ Salaries & Benefits previously funded through CDBG grant; rising MASH costs due to inflation and economy is pricing MASH out of CDBG funded projects. The MASH model is no longer feasible for CDBG funding; therefore, the funding will be used for other projects.
Ongoing
7 Non-Personnel Enhancements
Housing Department
Fund Cost Category Amount Justification One-Time /
Ongoing
101 Services and Supplies $ 7,200 Equipment Lease previously funded through CDBG grant; rising MASH costs due to inflation and economy is pricing MASH out of CDBG funded projects. The MASH model is no longer feasible for CDBG funding; therefore, the funding will be used for other projects.
Ongoing
101 Other Contract Services $ 92,600 Other Contracts services previously funded through CDBG grant; rising MASH costs due to inflation and economy is pricing MASH out of CDBG funded projects. The MASH model is no longer feasible for CDBG funding; therefore, the funding will be used for other projects.
Ongoing
101 Insurance $ 3,400 Insurance previously funded through CDBG grant; rising MASH costs due to inflation and economy is pricing MASH out of CDBG funded projects. The MASH model is no longer feasible for CDBG funding; therefore, the funding will be used for other projects.
Ongoing
101 Other Contract Services $ 75,000 Investigation and enforcement of housing discrimination; services to be provided by the Housing Rights Center (HRC), which received GF support in FY 2021 ($75K) and has since been funded by CDBG; however, HRC will not qualify for CDBG in FY 2026 because their application did not meet the threshhold requirements.
Ongoing
$ 178,200 Total Non-Personnel Requests
8 Overview of Funds
Housing Department
Reimbursable Grant Funds
• Grant programs such as CDBG, Section 8 Rental Assistance, HOME, CoC, ESG, HOPWA, HHAP, and Measure A are on a
reimbursement basis causing fund balances to fluctuate due to timing differences.
Housing Project Funds
• Revenues derived from payments on loans originally funded with affordable housing program monies (e.g., Inclusionary, Housing Successor, HOME)
> Inclusionary Housing Trust Fund revenues are derived from in-lieu fees developers pay and compliance monitoring fees that are charged to inclusionary rental units currently in operation. 9 Overview of Funds (cont’d)
Housing Department
10 Fund
Estimated
FY 26 Beginning
Balance
Revenues Expenses
Estimated
FY 26 Ending
Balance
FY 2027
Forecast
FY 2028
Forecast
FY 2029
Forecast
219 - Comm Develop
Block Grant (CDBG) Fund 101,271$ 2,226,628$ 2,226,628$ 101,271$ 101,271$ 101,271$ 101,271$ 220 - Rental Assistance
Programs Fund 3,385,371$ 24,128,715$ 24,215,698$ 3,298,388$ 3,298,388$ 3,249,766$ 3,119,751$ 221 - HOME Investment
Partnership Fund 48,145$ 3,460,238$ 3,460,238$ 48,145$ 48,145$ 48,145$ 48,145$ 223 - Continuum of Care
(CoC) Fund 493,601$ 6,488,956$ 6,488,956$ 493,601$ 493,601$ 493,601$ 493,601$ 224 - Emergency Solutions
Grant (ESG) Fund 1,171,435$ 672,923$ 672,923$ 1,171,435$ 1,171,435$ 1,171,435$ 1,171,435$ 226 - HOPWA Fund (403)$ 298,830$ 298,830$ -$ -$ -$ -$ 237 - Housing Successor
Fund 400,276$ 118,853$ 204,258$ 314,871$ 314,871$ 313,529$ 309,675$ 238 - Other Housing Fund 2,117,890$ 7,426,415$ 7,592,563$ 1,951,742$ 1,951,742$ 2,082,355$ 2,110,532$ 239 - Inclusionary Housing
Trust Fund 1,657,470$ 121,500$ 253,697$ 1,525,273$ 1,525,273$ 1,407,136$ 1,284,055$ FY 2026 Workplan/Outlook
Housing Production
• Enter into affordable housing agreement for the Starr PSH/TAY project (52 units) at 231 N. Hill Ave. with a proposed allocation of Burbank-Glendale- Pasadena Regional Housing Trust Funds
• Amend Ramona senior housing loan agreement to include Local Housing Trust Funds and other financing to be secured by developer, including County and State sources
• Implement disposition of Caltrans SR 710 homes to generate housing funds Rental Assistance
• Apply for additional housing vouchers as available
• Continue to reconfigure/reimagine Centennial Place
Housing Department
11 FY 2026 Workplan/Outlook (cont’d)
• The ARPA funded Emergency Housing Voucher (EHV) program was expected to be funded through 2030; however, HUD informed grantees that additional funding would not be appropriated past 2026 resulting in a funding shortfall of approximately $2m annually. The program assists about 88 extremely- and very low-income households.
The Department plans to backfill a portion of the funding shortfall with County Measure A dollars.
• Protect the existing allocation of project-based and tenant-based vouchers by ensuring compliance with funding requirements and utilizing funding allocations
Community Development
• Start construction on five (5) units through the Pasadena 2nd Unit ADU Program
• Begin implementation of 5-Year (2025-2029) Consolidated Plan Housing Department
12 FY 2026 Workplan/Outlook (cont’d)
Homelessness
• Sustain existing programming created by County Measure H and prior rounds of one-time State funding
• Administer ESG RUSH disaster funding
• Complete capital improvements at Bad Weather Shelter location MASH
• Establish training opportunities with community partners • Increase MASH administrative positions throughout City Departments • Increase participation in MASH to TransDev driver pipeline
FEDERAL THREATS TO HOUSING FUNDING
• Potential federal funding cuts may impact various programs in FY 2027 > CDBG, Rental Assistance, HOME, CoC, ESG, HOPWA
Housing Department
13 C. RENT STABILIZIATION DEPARTMENT*
Rent Stabilization Department
Rent Stabilization Department
FY 2026 Recommended
Operating Budget
Economic Development & Technology Committee
May 20, 2025
Rent Stabilization Department
Mission Statement
To empower tenant and landlords, ensure
fair rental practices, and foster a thriving
rental housing community in Pasadena
through effective enforcement, education
and collaboration.
2 Rent Stabilization Department
FY 2025 Achievements
• Completed buildout and move-in for the Department office at 199 S. Los Robles, increasing team cohesion, allowing for in- person appointments, and conducting hearings
• Launched the Rental Registry, a database for 27,000+ rental units in Pasadena, to implement the provisions of City Charter Article XVIII
• Rolled out RSD’s Petitions and Hearings services to community stakeholders, allowing processes for downward and upward adjustments of rent outside of the Annual General Adjustment • Launched an Eviction Database to track evictions by Council District
• Participated in 33 City events providing outreach and education • Averaging 268 Housing Counselor interactions per month > 65% increase from FY24’s monthly average of 163 or 1,956 annual interactions in FY24
3 Rent Stabilization Department
FY 2026 Operations Outlook
• Opportunities
> Improve customer response time
> Increase visibility and provide education
> Collaborate with community-based organizations
> Leverage data for decision-making purposes
> Improve registration compliance
• Challenges
> Increasing workload without enough capability to scale Liability for mistakes to occur, insufficient responses to public inquiries or staff burnout
> Developing or procuring software for programmatic needs > Legal risks to City Charter Article XVIII
4 Rent Stabilization Department
Expense History by Category
5 Category
FY 2023
Actuals
FY 2024
Actuals
FY 2025
Adopted
FY 2026
Recommended % Change
Personnel 0 421,108 2,249,582 3,014,703 34.0%
Services & Supplies 5,060 1,054,557 1,576,327 1,030,456 -34.6% Capital Outlay 0 0 90,000 0 -100.0%
Internal Srvc Chrg 0 343,852 780,823 737,198 -5.6%
Grand Total 5,060 1,819,517 4,696,732 4,782,357 1.8%
FTE 17 17 0
Rent Stabilization Department
Cost Drivers – FY 2026 Recommended
vs FY 2025 Adopted Budget
• Personnel Increased by $765k (+34.0%)
> Filled vacancies, Salary & MOU adjustments, and benefits increase: $590k (+32.9%)
Beginning Vacancies: FY25 (17 FTEs); FY26 (5 FTEs)
> Pension increased by $157k (+34.9%)
• Services and Supplies Decreased by $546k(-34.6%)
> Mainly due to one-time purchases for buildout in FY25 > Other decreases in consultant, other contract services, outside legal services and advertising
> Offset by an increase in merchant transaction fees
• Capital Outlay Decreased by $90k (-100.0%) due to one-time improvements in FY25
• Internal Services Decreased by $44k (-5.6%) due to decrease in CAP Allocation charges
6 Rent Stabilization Department
Enhancement - Personnel
7 Rent Stabilization Department
Enhancement – Non-Personnel
8 Rent Stabilization Department
FY 2026 Work Plan
• Refining Operations
> Policies and Procedures Iteration
> Workplans by Division
• Rental Registration
> Reconcile outstanding open registrations from inaugural year > Achieve faster compliance rate in second year, 100% aim > Leverage rental registry data for policy and decision-making • Outreach and Compliance
> Outreach at more City-sponsored events and engage with community organizations
> Decrease response times to public inquiries
• Hearings and Petitions
> Develop or procure software that can scale to high caseload 9 Rent Stabilization Department
Overview of Fund
10 • Rent Stabilization Fund (Fund 689)
> Projected -$291K ending fund balance for FY 2025
> Primary revenue, Rental Housing Fee
> Balanced budget each fiscal year to meet operating
expenses
> PRHB may charge fees to adequately support the budget