Measure P Committee Meeting

Measure P Oversight Committee Meeting Minutes March 8, 2011 The Measure P Oversight Committee Meeting was called to order by Fire Chief Guintini at the hour of 6:00 p.m. at Los Banos Fire Station No. 1, 333 7th Street, Los Banos, CA. Committee Members and staff present: Hoang (Ichabod) Nguyen; Mark Bodley; Andrea Brandt; Tom Neeb; Gerry Giesel; Arlene Cardoza; Chet Guintini, Fire Chief; Gary Brizzee, Police Chief; Kim Tomas, Staff Accountant; Martha Brazil, Staff Accountant; Rosemarie Souto, Staff Accountant; Brent Kuhn, City of Los Banos Finance Staff; and Mary Lou Gilardi, Fire Department Administrative Assistant. Committee Members Absent: Alvin Marques Agenda Item I Chief Guintini had all of the members introduce themselves. Agenda Items III & IV Due to time constraints, Agenda Item IV was discussed first. Brent Kuhn discussed his staff report and the request to transfer two more police officers to be taken out of the Measure A funds for the 2011/12 Budget year. The reason this is being requested is due to the fact that benefits have increased for expenditures and decreased for revenues. He explained that the Police Department had received a Universal Cops Grant which will go away in 2013. We will need to pick up those police officers in 2013. Chief Guintini gave a brief explanation of Measure P and Measure A for the benefit of the new members. Brent went on to explain that in 2015 the General Fund will have to pick up and absorb the officers from the Measure A fund because it has a sunset clause which ends in the year 2015. Andrea Brandt requested the percentage that the General Fund expends for the Police Department. It was her understanding that 59% of the General Fund was spent on the Police Department’s budget. It was her understanding that the Measure P was never supposed to supplant the General Fund. She just wants to be certain that the Police Department still receives 59% of the General Fund to operate. Brent Kuhn indicated that the economy is not turning around as fast as we would like. He also advised that personnel will have to be let go if the committee doesn’t allow the two officers to be covered by Measure A. The goal is to utilize the funds for personnel until the economy turns around. During a lengthy discussion between Finance and the Oversight Committee, Ichabod Hoang explained how Measure A covered 7 police officers temporarily last fiscal year for 5 months to finish off the year. Then 3 of those police officers were put back into the General Fund for the current fiscal year. Police Chief Brizzee explained about the Cops Grant and how when it runs out, the City will need to cover the position out of the General Fund as our part of the obligation. Chief Guintini asked Brent to provide the Committee with a spreadsheet of the expenditures through the next four years. Brent Kuhn expressed his desire to spend down all the money in Measure A before the sunset clause takes effect in 2015. He explained that after 2015 no personnel can be paid for out of the Measure A funds. All of the personnel in that Fund will need to be paid for out of the General Fund. It’s his intention to hold on to public safety positions as long as possible. He would like to build up a reserve in the General Fund so that in 2015 when these officers all have to be transferred back, there will be enough funds to cover for a couple of years. Currently, 22% of the General Fund comes from sales tax with 20% of the General Fund coming from property taxes. Ichabod inquired, if we spend down until the sunset of Measure A, how long can we support those officers once they move back into the General Fund? Brent Kuhn indicated possibly two years. Chief Guintini once again requested that Finance provide a spreadsheet to the Oversight Committee for their review. Brent agreed that they would create something and provide it to the committee. At this point in the meeting, Brent had to leave in order to catch his flight. Andrea Brandt inquired about the overtime for Police Department. Chief Brizzee advised that the Police Department received a grant to cover for overtime so funding was increased in the overtime brackets. He explained the process of how they have to go to Finance for budget amendments when they receive grants. The request for the 2011/12 Budget is to have six police officers funded out of the Measure A funds. New committee members indicated that they want more information before voting on this action item. Kim Tomas indicated that it would take approximately 1 ½ months to get all the numbers that they are requesting, but they would put something together as soon as they can and get it out to Oversight Committee for their review. The Oversight Committee has agreed to meet again in mid-April so that finance can provide the necessary documentation for review. It was agreed upon by the committee, that they schedule another meeting on April 13th at 6 p.m. to take action on this matter. A motion to table Agenda Item #4 until the April 13, 2011 meeting was made by Arlene Cardoza, seconded by Andrea Brandt and approved by all members. Agenda Item II Kim Tomas gave a report regarding the quarterly reports. Committee Members had a few questions on the quarterly reports. Kim Tomas advised that sales tax performed better than anticipated this last year. Tom Neeb asked about Prop 172. Kim explained what Prop 172 was for. It was from the public safety sales tax passed in 1993. Tom also asked whether the sale of gasoline produces sales tax. Gasoline sales do produce sales tax for the City. Ichabod inquired how you deal with the unions if the City is building-up the general fund. How do you tell them that this is not for increases, this is for reserves. Both chiefs indicated that the unions have come a long way, and they understand the situation that the City is currently facing. A motion to approve the quarterly reports as presented was made by Tom Neeb, seconded by Mark Bodley and approved by all members. Agenda Item V Tom Neeb advised that there is a lot to grasp but he is looking forward to serving on the committee. Arlene Cardoza also commented that this is a lot to digest. Ichabod Hoang had nothing to report. Mark Bodley had nothing to report. Andrea Brandt has nothing to report. Gerry Giesel expressed his appreciation for letting him serve on this committee. Chief Guintini advised that he and Chief Brizzee are available for any of the committee members any time they may have questions. Mark Bodley asked if the committee members could receive a recap of Measure P – when it was passed and the purpose of it; Measure A – when it was passed and the purpose of it. Agenda Item VI Chief Guintini advised that we would put together the information that Mr. Bodley requested and get that out to the committee members. Chief Brizzee had no report. There being no further business, the meeting was adjourned at 7:55 p.m. Respectfully submitted, Chet Guintini Fire Chief Measure P Min110308.doc