Federal college student loan rates will rise from 3.4% to 6.8% Monday if the U.S. Congress does not find a solution

Rapidly rising  college costs and student loan repayment defaults have failed to motivate a congressional solution over the past year as the July 1 end of the current rate was anticipated.   Federal student loan default rates reached an all time high in 2011, according to the U.S. Department of Education.  Defaults by borrowers in their first two years of repayment were at 9.1 percent in fiscal year 2011.

“Student Loans Rates Likely to Double Monday” from 3.4% to 6.8% despite competing proposals to avoid the increase, U.S. News & World Report predicted Thursday. Senator Elizabeth Warren introduced a bill that would set student loans at the Federal Reserve discount rate, currently 0.75% for just one year.  This is the rate banks pay to borrow funds from the federal Reserve.

A bipartisan coalition of senators offered a compromise solution Wednesday afternoon.  Under their proposal,  undergraduates would pay a loan rate 1.85 percent above the 10-year Treasury rate, while graduate students would pay 3.4 percent above the 10-year Treasury rate.  Parents of students would pay 4.4 percent above the 10-year Treasury rate for PLUS loans to cover college costs. The rates for new loans would reset every year depending on the yield on the 10-year Treasury note, but students would pay the same rate over the life of the loan.

Read SF Gate on Student Loan Rates

Read Mercury News on Student Loan Rates

The Tuesday, July 2, 2013, at 5:30 p.m. in the City Council Chambers, 120 Vista Avenue, the Public Safety Committee (PSC) Agenda reflects the high involvement and busy schedule for the Committee.

Agenda items include:

Update on Neighborhood Watch Meetings

Update on Code Red Implementation

Update on ALPR Installation/Traffic Safety Outreach Discussion

Discussion of Home and/or Private Surveillance Camera Systems

Discussion of Harvest Festival Event Planning

Discussion of  Public Safety Committee (PSC) “Draft” Status Report to City Council

The meeting is open to the public and participation is encouraged.

The Public Safety Committee was formed in March 2012 with a two-year assignment to develop recommendations for improving public safety in the City of Piedmont. Click here to read the committee’s charge.

Appointed members of the PSC are Elizabeth Smegal Andersen, John Ehrlich, Chair Michael Gardner, Sue Lin, Dana Sack, Lyman Shaffer, and Gregory Young

Council Liaison: Margaret Fujioka (C) 463-7821

According to the agenda, the Civil Service Commission has not met since September 21, 2011. At the July 3 meeting, the Commissioners, will elect a Chair for 2013-2014.

The main item on the agenda is consideration of a job description for the recently authorized position of  Supports Services Manager in the Police Department.  This position was requested by Police Chief Rikki Goede to relieve sworn officers of some paper work and allow them to spend more time in the field.

The Civil Service Commission deals with personnel issues including classification and serves as the hearing board in disputes between the city and employees. This commission meets as required.

The commissioners are:  Carolyn Collins, Jonathan Good, Lisa Lawson, Matthew Lifschiz and Kathleen Winters.

Council Liaison: Margaret Fujioka (H) 463-7821
Staff Liaison: Erick Cheung (W) 420-3045

The public is welcome to attend and participate in the meeting starting at 4:00 p.m. in the Council Chambers, 120 Vista Avenue.

The San Jose Mercury News has once again offered a searchable database of California public employee salary and benefit costs in 2012.  Individual public employees are listed by name and title with their salary, overtime, lump sum payouts, taxpayer paid medical/dental/vision plans, taxpayer paid pension plan, taxpayer paid “pickup” of employee contribution to pension plan, taxpayer paid 401k or 403b plans, other non-cash costs of employee.  The final column shows the total cost to taxpayers of that individual employee.

To use the database:

• Choose a county and city, school district or agency
• For large entities, choose the above and a department
• Search an individual public employee within a county, city or agency
• Search employees by gross compensation to learn the highest paid in an entity 

The City Council will consider proposed changes to the City Code. – 

During the past 5 years, numerous hearings and much consideration by the Recreation Commission has resulted in a recommendation to the City Council on how to effectively meet community needs for the Linda Beach Playfield.   The Commission’s recommendations call for the field to be divided into two clearly marked half-fields designated by signage. One half-field would exclude competitive games and be limited to casual use by families or children.  The other half-field would permit competitive games within its boundaries and would be limited to 12 participants at any one time.  Full length soccer games on the field would be prohibited except by advance permit.

Following the public hearing in the City Council Chambers, 120 Vista Avenue.  Monday, July 1, 2013 at 7:30 p.m., the Council will consider restrictions for Linda Beach Playfield.   The meeting will be broadcast live on KCOM-TV, Channel 27 and live streamed on the City website www.ci.piedmont.ca.us.  After the meeting recordings will be available on the City website.

Staff report

Comments may be sent to the Piedmont City Council, c/o City Clerk 120 Vista Avenue, Piedmont, CA  94611 or emailed to the City Clerk John Tulloch at jtulloch@ci.piedmont.ca.us.

For further information contact City Recreation Director Mark Delventhal at 420-3073 or City Clerk John Tulloch at 420-3041.

Police Department has a busy 9-day period June 11-20 –

Piedmont police arrested five burglary suspects in mid-June, following burglaries and car thefts on and near Highland Avenue.  A home invasion occurred on Blair Avenue at 11 am on Tuesday, June 11 while the nanny and children were in the house.  Responding police officers arrested Deandre Mur, Aaron Henderson and James Beverly, Jr. on Blair Avenue near the house.

The following week Eriberto Montano and Simone Aguiler were arrested on suspicion of burglary in connection with a recent  burglary on Scenic Avenue.  The Police Department crime report map indicates two “breaking and entering” crimes in Piedmont in adjacent blocks of Blair Avenue on Tuesday, June 11 and on Scenic Avenue at 6 p.m. on the following Wednesday, June 19.  On Thursdsay, June 20 at 5 p.m. there was a “breaking and entering” on Pala Avenue.

A third “breaking and entering” occurred on Monday, June 17, at 10:30 p.m. on San Carlos Avenue.   Cars were stolen on Magnolia Avenue on Tuesday, June 11, at 7 p.m. and on  Highland Avenue on Friday, June 14, at 2:30 p.m. A “Grand Theft” occurred on Requa Avenue at 10 p.m. on Tuesday, June 11.

Piedmonters are urged to be vigilant and report suspicious activity to the Piedmont Police Department at 420-3000 or 911.  

See Piedmont  Crime Report map

See photos of Montano and Aguiler at time of arrest

See Piedmont/Montclair police blotter

With a police force reduced by retirements and disabilities, Police Chief Rikki Goede requested and received permission from the City Council to expedite recruitment and employment of four new police officers.  They are Joe Garcia, Ray Leong, Nicole Bolden, and Andrew Vincent, who were sworn in on June 19.

Putting off your deep watering could be costly – 

EBMUD water rates will increase 9.75 percent beginning July 1, 2013, and increase again on July 1, 2014 by 9.5 percent. The East Bay Municipal Utility District (EBMUD) Board of Directors approved the rate increases immediately following their public hearing on June 11, 2013.  By the time of the decision, 167 letters opposing the rate hike were received.

The increases are necessitated by several reductions in expected revenues and ongoing maintenance expenses. Conservation of water usage by EBMUD customers, who are using 20% less water, has reduced revenues.  The decline in new developments in the District’s geographical area has led to an 80% decline in charges for new service.  Another factor contributing to the increased rates is the need to maintain EBMUD 4200 miles of water pipes, half of which are 50 years old or older.  Under the newly approved FY 2014 and FY 2015 budgets, ten miles of pipe will be replaced each year instead of the previous rate of 8 miles per year.

EBMUD Amended Proposed Budget

EBMUD General Manager’s Presentation

Piedmont’s EBMUD representative:  Katy Foulkes   kfoulkes@ebmud.com.

Reversal returned public access to records to the status quo –

Senate Bill 71 and Assembly Bill 76, if approved, possibly would have limited public access to information including details on governmental decisions, public employee compensation, benefits and pensions costs. The outcry against the bills from media and good government advocates has been significant.  Recently in Piedmont, Public Records Act requests have revealed inappropriate use of monies for surface water runoff work, private contracts, and CEQA work not provided during public hearings.

Senate Bill 71 (SB 71) was introduced in the California Senate by the Committee on Budget and Fiscal Review on January 10, 2013, and amended on June 12 and passed by the Senate on June 14.  Assembly Bill 76 (AB 76) was passed on June 14.  The Senate version was amended in the Assembly on June 12 and 19.   SB 71 now excludes the AB 76 section 3 language:

“This bill would, commencing on the effective date of this bill, make compliance with certain provisions of the CPRA, which among other things relate to the delivery of electronic data, optional for local agencies.”

Late Thursday,  June 20,  Pro Tem Darrell Steinberg and Assembly Speaker John A. Perez released the following statement:

“We agree there needs to be both an immediate fix to ensure local entities comply with the California Public Records Act and a long term solution so the California Public Records Act is not considered a reimbursable mandate. Accordingly, the Senate will take up the amended SB 71 passed by the Assembly today that removed changes in the budget regarding the California Public Records Act. As the Senate advances its proposed constitutional amendment, the Assembly will work with them throughout its process to give voters the chance to make clear that good government shouldn’t come with an extra price tag.”

Supporters of the rejected language may introduce it in the future as a cost-saving measure for local governments and agencies.

Assembly Bill 76 text

Senate Bill 71 text

State Supreme Court Denies Petition for Review of Court of Appeal Decision in Borikas et al. v. Alameda Unified School District

On Wednesday, June 12, the California Supreme Court denial of review was filed. This denial leaves in place the Court of Appeal’s decision, which reversed in part and affirmed in part the trial court ruling in favor of the Alameda Unified School District. That decision, which is now final, validated parts of the former Alameda School District parcel tax.  It also directed the trial court to declare invalid parts of the voter approved Measure H that taxed large commercial and industrial property at a different rate than smaller commercial properties. Although reversing the trial court decision that favored the school district, the Court of Appeal ordered, “Each party to bear its own costs on appeal.”

The case will now return to the original trial court to determine whether to order the School District to refund some or all or none of the tax revenues collected from Borikas et al. during the three years Measure H was in effect (2008-2011).  Alameda eliminated its flat tax before the case was heard.  It replaced Measure H with a square foot tax on all properties (Measure A), in March 2011.

Read about Court of Appeal decision.

Read about the current Alameda square foot parcel tax.