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® CITY COUNCIL
AGENDA ❑ COMMUNITY DEVELOPMENT COMMISSION
REPORT ❑ SUCCESSOR AGENCY
❑ BUENA SANITATION DISTRICT
❑ JOINT POWERS FINANCING AUTHORITY
Department: City Clerk Item No: D2
Prepared by: Kathy Valdez, City Clerk Meeting Date: October 11, 2022 Approved by: Patrick Johnson, City Manager Agenda Location: Discussion SUBJECT: SPENDING PLAN FOR EXCESS CANNABIS REVENUES
RECOMMENDATION: Discuss allocating excess cannabis revenues and provide direction to staff.
CORRELATION TO CITY COUNCIL GOALS: (1) Public Safety, (2) Fiscal Responsibility, (3) A Cleaner Vista, and (4) Parks and Recreation.
PRIOR ACTION: On June 14, 2022, adopted City Council Resolution No. 2022-100, Buena Sanitation District Resolution No. 2022-15, and Community Development Commission Resolution No. 2022-5, approving the Fiscal Years 2021/22 and 2022/23 Operating Budget (Vote: 5-0).
On September 28, 2021, adopting City Council Resolution No. 2021-168, amending the Operating Budget for Fiscal Years 2021/22 and 2022/23 (Vote: 3-2, Contreras and Melendez opposed).
STATEMENT ON THE SUBJECT: On April 13, 2021, the City Council received a report on the draft Operating Budget for Fiscal Years (FY) 2021/22 and 2022/23 and, by consensus, agreed that cannabis revenues reflected in the General Fund should be capped at $4 million and that any revenue in excess of that amount should be used to fund special projects. City Council Members identified potential special projects and directed staff to research and provide information on each for further discussion. Through a series of meetings held in August and September 2021, the following items were approved for funding:
Cannabis decoy and enforcement operations 20,000 Youth cannabis prevention and early intervention 100,000 Scholarship program 140,000
Increase lighting in neighborhoods 270,000
Park restroom maintenance 31,000
One Sheriff's deputy 275,000
Two Park Rangers 277,000
TOTAL $ 1,113,000
The total amount of cannabis revenues collected in FY 2021/22 was $6,809,095. On June 14, 2022, as part of the Fiscal Years 2021/22 and 2022/23 Operating Budget Mid-Cycle Update, the City Council approved the appropriation of$466,396 of excess cannabis funds for the on-going expenditures associated with two Park Ranger positions ($205,470), a Sheriff's Deputy ($229,926), and park restroom ACTION: Discussed allocating excess cannabis revenues and provided direction to staff.
Vote: No vote
Clerk/Se etary
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MEETING DATE: October 11, 2022 PAGE 2
SUBJECT: SPENDING PLAN FOR EXCESS CANNABIS REVENUES
maintenance ($31,000) for FY 2022/23. The remaining balance of$2,342,699 is available to allocate for additional special projects in FY 2022/23.
Current Protects
The following provides a summary of each of the projects, the original amount allocated, status of the project, proposed changes (if applicable), and recommended funding level for FY 2022/23.
Cannabis Decoy and Enforcement Operations: A total of$20,000 was allocated for cannabis decoy operations, to include both storefront and delivery. These funds may be used for larger decoy operations or targeted investigations based on complaints or intelligence. This is in addition to quarterly operations which were included in the City's Justice Assistance Grant (JAG) application approved by the City Council on August 10, 2021. The average cost for a larger decoy operation is about $3,500 and the estimated cost for a targeted enforcement check is $1,000. The Sheriff's Department has been working with their legal team, special investigations, and the Department of Cannabis Control to develop protocols for decoy and enforcement operations. There have not been any operations to date, however; the Sheriff's Department anticipates conducting operations this fall. Staff recommends utilizing the $20,000 from FY 2021/22 in FY 2022/23.
Youth Prevention and Early Intervention Programs: A total of$100,000 was allocated for youth prevention and early intervention programs focused on cannabis. The intent was to issue a Request for Proposals (RFP) for two $50,000 programs, one focusing on prevention and one focusing on early intervention, or one $100,000 program covering both topics. An RFP has not yet been released. Staff recommends allocating an additional $100,000 for Youth Prevention and Early Intervention Programs.
Two separate RFPs would be issued, one for prevention services and one for intervention services, each for$100,000. The anticipated time frame to issue the RFPs is January/February 2023.
Scholarship Program for Non-Profits: A total of$140,000 was allocated for a grant program to enable non-profit organizations to provide scholarships for low-income youth to participate in their sports leagues and other extra-curricular activities. Non-profit organizations could apply for up to $10,000 to cover enrollment fees and related costs for Vista youth. Only one organization completed the application and implementation of the grant at the time of this writing. Staff met with two other organizations that plan to apply for the grant and had multiple conversations and sent multiple emails to known programs in the City.
Staff believes that the organizations that are led by volunteers, which is a majority of the sports leagues, do not have the manpower to apply for and manage the scholarship program.
Staff recommends changing the program to facilitate the application for scholarship funds from qualifying individuals and expanding the eligible providers to any Vista organization (non-profit or for profit), including the City's own programs. This will allow low-income individuals to apply directly to the City for a wider range of extra-curricular activities. The administration of the program will require a part-time (estimated at 25 percent time) position dedicated to this program. Staff recommends allocating $109,699 for this program, $25,000 for the position and $84,699 for scholarships, as well as utilizing remaining funds from FY 2021/22.
Increase Lighting in Neighborhoods: A total of$270,000 was allocated for increased lighting in neighborhoods. The City recently issued an RFP for lighting assessment services and staff is presenting an item to award the contract at this meeting. About half of the funding ($125,000) is being used in conjunction with other available funds for the lighting assessment services contract. Depending on the current infrastructure at each location, the cost for the equipment and labor to install or upgrade a streetlight can range from about $6,000 to $30,000. A total of$1.08 million has been appropriated for this project and additional funds have been requested from Congressman Levin. To help ensure adequate funding is available, staff recommends allocating $500,000 for this project for FY 2022/23, as well as utilizing the remaining funds from FY 2021/22.
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MEETING DATE: October 11, 2022 PAGE 3
SUBJECT: SPENDING PLAN FOR EXCESS CANNABIS REVENUES
Addition of a Sheriff's Deputy: A total of$275,000 was allocated for the addition of a special purpose deputy, a deputy sheriff assigned to the Community Oriented Policing and Problem-Solving Team (COPPS). The COPPS Team is responsible for a variety of issues including, but not limited to, graffiti, homelessness, alcohol, tobacco, cannabis, abatement, human trafficking, and special details. The position was filled in November 2021. A total of$242,658 was expended in FY 2021/22. As part of the Fiscal Years 2021/22 and 2022/23 Operating Budget Mid-Cycle Update, $229,926 was appropriated for this position for FY 2022/23.
Park Rangers: A total of$277,000 was allocated to hire two park rangers. Park Rangers provide "eyes" on the City's parks as well as visibility to visitors, providing an opportunity to proactively address problems or concerns and engage with community members. The positions were filled in April and May of 2022. A total of$105,229 was expended in FY 2021/22. As part of the Fiscal Years 2021/22 and 2022/23 Operating Budget Mid-Cycle Update, $205,470 was appropriated for these positions for FY 2022/23.
Park Restroom Maintenance: A total of$31,000 was allocated to increase the frequency of restroom cleaning at City's parks. An amendment was made to the current contract in November 2021 for two teams, in two vehicles, to check, clean, and restock restrooms throughout the day. A total of$22,860 was spent in FY 2021/2022. As part of the Fiscal Years 2021/22 and 2022/23 Operating Budget Mid-Cycle Update, $31,000 was appropriated for this program for FY 2022/23.
Summary of funding recommendations for current projects:
2021/22 Reallocation 2022/23 Allocation
Cannabis decoy and enforcement operations $20,000 0 Youth cannabis prevention and early intervention $100,000 $100,000 Scholarship program $130,000 $109,699
Increase lighting in neighborhoods $145,000 $500,000 Park restroom maintenance 0 $31,000*
One Sheriff's deputy 0 $229,962*
Two Park Rangers 0 $205,470*
TOTAL $ 395,000 $ 709,699
*Appropriated on June 14, 2022, not included in the total Proposed New Projects
Staff is recommending funding for the following projects based on feedback received from City Council Members at various City Council meetings and/or individual conversations with the City Manager.
Social Equity Study: On August 9, 2022, the City Council directed staff to explore hiring a consultant (through an RFP process) to conduct a social equity study related to cannabis and potentially other issues.
Staff is in the process of collecting information for the City Council's review; however, based on preliminary research staff recommends allocating a total of$100,000 for the RFP to ensure funding is available when the item is brought back for City Council consideration.
Postal Way Service Club Sign: To highlight service clubs in the City, staff recommends installing a new and updated monument sign at the corner of Postal Way to display the logos of each club. The estimated cost is $40,000.
Playground Resurfacing: Staff has identified playgrounds at the following six parks that are in need of resurfacing: Brengle Terrace, Wildwood, Sports Park, Breeze Hill, South Buena Vista, and Shadowridge Park. The cost to resurface the City's playgrounds range from an estimated $90,000 to $150,000, depending on the size. Staff recommends allocating $693,000 for this project. 10/11/2022 D2 3 of 5
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SUBJECT: SPENDING PLAN FOR EXCESS CANNABIS REVENUES
Park Improvements: Public Works staff has identified a variety of park improvement projects at parks throughout the City, including landscaping (planting, mulch, footpaths), amenities (picnic table and trash can replacement), and field/court improvements (regrading, reseeding, netting, court resurfacing). Staff recommends allocating $550,000 for these projects.
Safe Parking: On June 28, 2022, City Council reviewed the Safe Parking Program RFP and directed staff to proceed with releasing the RFP. The RFP identifies the availability of up to $250,000 in funding. The City received a grant from the County of San Diego in the amount of$65,000 for one time facility improvements needed to implement the program. In lieu of using funds from the City's Housing Fund for operational costs, staff recommends allocating $250,000 in cannabis funds for the program for FY 2022/23.
Summary of funding recommendations for new projects:
2022/23 Allocation
Social Equity Stud $100,000
Pala Vista Park Monument Sin $40,000
Playground Resurfacing $693,000
Park Improvements $550,000
Safe Parking Program $250,000
TOTAL $ 1,633,000
FISCAL IMPACT: There is no direct fiscal impact associated with discussing the projects to be funded with FY 2021/22 excess cannabis revenue (Year End Fund Balance). Staff will bring an Operating Budget Adjustment to the City Council for approval once the final allocation amounts by project have been approved. There is $2,342,699 available in FY 2021/22 cannabis tax revenue (Year End Fund Balance).
EXHIBITS:
1. Prior Actions
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EXHIBIT 2
PRIOR ACTIONS
On June 14, 2022, adopted City Council Resolution No. 2022-100, Buena Sanitation District Resolution No. 2022-15, and Community Development Commission Resolution No. 2022-5, amending the Operating Budget for Fiscal Years 2021/22 and 2022/23 (Vote: 5-0).
On September 28, 2021, adopting City Council Resolution No. 2021-168, amending the Operating Budget for Fiscal Years 2021/22 and 2022/23 (Vote: 3-2, Contreras and Melendez opposed).
On September 14, 2021, adopted City Council Resolution No. 2021-140, amending the Operating Budget for Fiscal Years 2021/22 and 2022/23, with the revised appropriation of the $275,000 allocated for one Sheriff's Deputy to the Lighting Landscape and Maintenance line item (Vote: 3-0, Ritter and Green absent).
On September 9, 2021, adopted City Council Resolution No. 2021-140, amending the Operating Budget for Fiscal Years 2021/22 and 2022/23, with the revised appropriation of the $275,000 allocated for one Sheriff's Deputy to the Lighting Landscape and Maintenance line item (Vote: 3-0, Ritter and Green absent).
On August 24, 2021, discussed priorities for allocating excess cannabis revenues and approved funding for the following: 1) cannabis decoy and enforcement operations, 2) youth cannabis prevention and early intervention, 3) youth scholarships, 4) increased lighting in neighborhoods, 5) increased park restroom maintenance and 6) addition of one Sheriff's deputy and two Park Directors/Enforcers (Vote: Items 1-5: 5-0, Item 6: 3-2, Contreras and Melendez opposed).
On June 8, 2021, adopted City Council Resolution No. 2021-89, Buena Sanitation District Resolution No. 2021-10, and Community Development Commission Resolution No. 2021-1, approving the Fiscal Years 2021/22 and 2022/23 Operating Budget; City Council Resolution No. 2021-90, amending the City-Wide Classification and Compensation Index and repealing the provisions of any resolutions in conflict herewith; and City Council Resolution No. 2021-91, approving revisions to the Recreation & Community Services Facility rental and Program Fees (Vote: 5-0).
On May 25, 2021, received the draft Fiscal Years 2021/22 and 2022/23 Draft Operating Budget and provided direction to staff(Vote: Consensus).
On April 13, 2021, received a report on the Operating Budget preparation for Fiscal Years 2021/22 and 2022/23 and provided direction to staff (No Vote).
EXHIBIT 1
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CITY OF VISTA C A L I F 0 R N I A
D2 : Spending Plan for
Excess Cannabis Revenues
City Council Meeting
October 11, 2022
CITY OF VISTA
Spending Plan for Excess Cannabis Revenues
• By consensus, the City Council agreed that cannabis revenues reflected in the General
Fund for FY 2021-22 and FY 2022-23 should
be capped at $4 million and that any
revenue in excess of that amount should be
used to fund special projects
CITY OF VISTA
Spending Plan for Excess Cannabis Revenues
• The total amount of cannabis revenues
collected in FY 2021/22 was $6,809,095 .
• $466,396 was appropriated during the Budget Mid-Cycle Update
• $2, 342,699 is available to allocate for special projects in FY 2022/23 .
CITY OF VISTA
C A l I f 0 R 4 1 A
Spending Plan for Excess Cannabis Revenues
Current Projects recommended for fundin
ly
annabis decoy and enforcement operations
outh cannabis prevention and early intervention of off Scholarship program I • see
Increase lighting in neighborhoods of off lTark
ne Sheriff's deputy ' - •
wo Park Rangers
Restroom Maintenance '
TOTAL RECOMMENDED l • • • •
CITY OF VISTA
CITY OF VISTA
L A l I F 0 R N I A
Spending Plan for Excess Cannabis Revenues
Proposed New Projects
Social Equity Study
Postal Way Service Club Sign I off
Playground Resurfacing • • off
Park Improvements I off
Safe Parking Program
TOTA
CITY OF VISTA
CITY OF VISTA
C A l I f 0 R 4 1 A
Spending Plan for Excess Cannabis Revenues
1. Youth cannabis prevention and early intervention is see
2. Scholarship program s • ego
3. Increase lighting in neighborhoods so see
4. Social Equity Study of off
S. Postal Way Service Club Sign
6. Playground Resurfacing • •
7. Park Improvements I off
8. Safe Parking Program I off
TOTA • • •
CITY OF VISTA
CITY OF VISTA
Spending Plan for Excess Cannabis Revenues
Next step :
• Operating Budget Adjustment item will be brought to City Council for adoption
CITY OF VISTA C A L I F 0 R N I A
D2 : Spending Plan for
Excess Cannabis Revenues
City Council Meeting
October 11, 2022