Zoom meeting details 2021-05-25 Budget Advisory and Financial Planning Committee Agenda
Distributed presentation >2021-05-25 Budget Advisory and Financial Planning Presentation
The Piedmont City Council will consider the proposed annual budget for fiscal year 2021-2022 at three separate meetings -May 22, June 7 and June 21.
This is a special opportunity for the public to view and speak from a distance when the various department heads present their proposed budgets to the Council on Saturday, May 22, starting at 9:30 am. The budget presentations historically have not been broadcast or recorded for public viewing, but because of COVID-19 procedures anyone can access and view the critically important Council budget work session from their home or computer.
The Saturday work session will be held virtually on May 22, 2021 beginning at 9:30 a.m. Members of the public are invited to participate in this meeting. Virtual meeting details will be included in the agenda for this meeting. For Agenda and viewing links go to https://piedmont.ca.gov/UserFiles/Servers/Server_13659739/File/Government/City%20Council/Agenda/City%20Council%20Agenda%202021-05-22%20(Special).pdf
Public hearings regarding the proposed budget and the levy of the Municipal Services Tax and the Sewer Tax will be held during regularly scheduled City Council meetings on June 7 and June 21, 2021.
The public is invited to attend all of these meetings and speak to the City Council about spending priorities for the city in the coming year. Click the link to visit the Annual Budgets page > (https://piedmont.ca.gov/services___departments/finance/annual_budgets), where all sections of the proposed budget, as well as approved budgets from previous years, are available for download.
Residents with questions about the contents of the proposed budget can contact Finance Director Michael Szczech via email at mszczech@piedmont.ca.gov or by phone at (510) 420-3045.
Residents wishing to comment on the proposed budget can send an e-mail to the City Council at citycouncil@piedmont.ca.gov, send a letter via U.S. Mail to Piedmont City Council, c/o City Clerk’s Office, 120 Vista Avenue, Piedmont, 94611, or speak at appropriate times during the meetings to address budget issues.
Y = mX + b. That’s not a typo but an equation, instantly recognizable to mathematicians as the equation for linear regression. Put technically, the known value (X) times the slope (m) plus a fudge factor (b) estimates the unknown value (Y). Put simply, estimate the unknown future value from the known past values..In the figure below, X, the horizontal axis, is years (2000-2030) and Y, the vertical axis, is the annual Real Property Transfer tax revenue in dollars (millions), collected on Piedmont home sales from 2000 to 2021. The circles show the annual tax revenue and the blue line is the linear regression of that data out to the year 2030..Because linear regression is not perfect, to be safe, practitioners will take out the high and low values (outliers) and re-run the regression. The red line shows the estimated tax revenue with the two red circles removed from the regression..The 2009 data is the Great Recession when the tax revenue was $1.7M and the 2021 data is this year’s tax revenue (The COVID bubble?), likely to be $5M. The lines pretty much overlay each other and show a very consistent increase in tax revenue over 20 years, with or without the outliers.Every year, rather than rely on linear regression to estimate end of the year tax revenue, the City simply assumes revenue will be $2.8M. And every year, the city winds up with $500,000 or more to put away into reserve funds like Facility Maintenance, Equipment Replacement or Pension Stabilization.
This year is an exception– almost a $2M surplus will be collected. On a year-to-year basis, that may be ok – by staying on budget the city ends the year with a surplus that can be banked for long term needs.
But last year the City decided to project this $2.8 forward for 10 years – that’s the flat line in the figure – and claimed the city was facing a “deficit”. This reasoning was offered as justification for putting Measure TT, the proposed increase in the transfer tax, on the 2020 ballot. Measure TT failed, just in time for record transfer tax revenues.
Why this all matters is because the Budget Advisory and Financial Planning Committee (BAFPC) will soon convene and possibly consider what to do about the failure of TT.
The BAFPC reviews the revenue projections by staff and there’s chatter of a “Plan B” to raise more revenue. Perhaps with a new Mayor and chairperson there will be new thinking by the BAFPC and the committee will advise staff to adopt a more accurate forecasting approach.
For example, transfer tax receipts over the past 10 years now average $3.4M annually (not including 2021) – use that value for the flat-line projection. Better yet, perform this simple linear regression to project next year’s revenue and apportion that estimate to the three funds as needed. The BAFPC needs to get the revenue projections right before it starts considering new taxes.
Click graph below to enlarge.
Garrett Keating, Former City Council Member
AGENDA and Ways to participate in the May 19th meeting of the Housing Advisory meeting. Click below. https://piedmont.ca.gov/UserFiles/Servers/Server_13659739/File/Government/Commissions%20and%20Committees/Housing%20Advisory%20Committee/current_agenda.pdf
On May 3, 2021, the Piedmont City Council approved a proposal from Lisa Wise Consulting (LWC) for approximately $700,000 to prepare updates to the Housing Element of the Piedmont General Plan.
State requirements have challenged City officials to find sites and policies to promote the construction of 587 new houses and apartments by 2031.
The cost of the next Housing Element policy document and associated General Plan amendments is estimated at $691,000, with $172,000 earmarked for public engagement and outreach.
Planning and Building Director Kevin Jackson stated, “With approval of LWC as the lead housing consultant, the City moves forward with planning to meet the mandates set by the State of California, starting with meetings of the new Piedmont Housing Advisory Committee on May 19 and June 15, 2021. We are confident that the Piedmont community will come together to share ideas and expertise to solve the region’s housing crisis.”
The May and June Housing Advisory Committee meetings will feature results of the citywide fair housing survey and pinnable map tools, which closed for public comment mid-April. The citywide fair housing survey and pinnable map were funded through a $160,000 grant awarded to Piedmont by the State of California SB2 planning grant program.
LWC is expected to present their analysis of Piedmonters’ ideas, design preferences, and understanding of new housing laws, as well as LWC’s recommendations for guiding principles for new tools to accelerate Piedmont affordable housing production.
The Piedmont community is invited to attend. The agendas and instructions for participating in the meetings on May 19 and June 15, 2021 , which start at 5 pm, will be posted at https://piedmont.ca.gov/government/commissions___committees/housing_advisory_committee
The May and June Housing Advisory Committee meetings will be televised live on KCOM-TV, the City’s government TV station and will be available through streaming video on the City’s web site https://piedmont.ca.gov/services___departments/kcomtv/live_content_and_video_archive
For more information and project updates, please visit the City of Piedmont’s web site at https://piedmont.ca.gov/
See opinions on this proposal. https://www.piedmontcivic.org/2021/04/30/opinion-reconsider-use-of-taxpayer-funds/
https://piedmont.ca.gov/UserFiles/Servers/Server_13659739/File/Government/City%20Council/Agenda/council-current-agenda.pdf
Comments may be sent to the City Council at citycouncil@piedmont.ca.gov
Wednesday, April 28, 2021 4:00 p.m.
Click links below to participate, read reports and view the meeting –
Pension Board Agenda 2021-04-28
On Monday 19, 2021, for over two hours the City Council heard from the City staff, legal counsel, and the public, including Art Center Board members.
Inclusion, diversity, continued use as an arts venue, city scheduling and management of the building were repeatedly emphasized. Additionally, community involvement, prioritization of usage, end to subletting, risk assessments, city costs, staffing, and utilization of the space were among the many topics discussed.
More information was also requested by the Council to support their decision making. Established hours of usage by the Art Center were requested. Information available indicated only 20% of the programmable space was being utilized.
Art shows, chess, various music formats, book reviews, discussion groups, meeting spaces and classes were some of the many potential uses mentioned.
In the end, the Council did not reach a clear consensus on direction for the use of 801 Magnolia. The matter was returned to the City Administrator and City Attorney to synthesize the ideas discussed and return to the City Council with alternative plans for the public facility. City Administrator, Sara Lillevand stated she wanted the matter to expeditiously return to the City Council, for many potential facility users wanted to be scheduled.
Input can be provided to the City Council and the City Administrator at:
citycouncil@piedmont.ca.gov
slillevand@piedmont.ca.gov
PROVIDE INPUT TO THE CITY COUNCIL AT:
READ THE FULL AGENDA AND METHODS OF WATCHING AND PARTICIPATING BY CLICKING BELOW.
Piedmonters, owners of 801 Magnolia Avenue, have been awaiting invitations to observe Board meetings and receive regular financial reports from their tenant. The Piedmont Center for the Arts Board is composed of well-meaning, generous, local residents of Piedmont and Oakland who may have overlooked their obligation to keep Piedmont citizens informed in a transparent manner of the use of this important public asset.
“City staff has negotiated the lease renewal behind closed doors and there seems to be a majority on Council that couldn’t be bothered with public input on matters other than the lease. That’s too bad because over the years residents have proposed creative ideas for 801 and were Council to engage in an open conversation with its constituents it would lead to better use of the building.” Garrett Keating, Former City Council Member submitted to this website.
At its regular meeting on Monday April 19th, the City Council will consider the proposed revised lease renewal for the Piedmont Center for the Arts. Should this City building be dedicated to community use? The proposal continues to avoid the issue of whether the building should be subleased by the Art Center Board to a private business.
The City did not seek open public participation on the use and lease of 801 Magnolia. As noted by concerned citizens, the proposal was fashioned behind closed doors, continuing the practice of exclusion and special favors.
It is unknown if any Council members were involved in voicing their opinions privately to the staff in a “hub and spoke” process forbidden under California’s open meeting laws, the Brown Act.
Did the City Council willingly relinquish its responsibility in order to permit undefined Non-Arts Related Rentals?
“Non-Arts Related Rentals (15.1) The amended Lease requires PCA [Piedmont Center for the Arts] to seek the City’s prior written consent in the event it wishes to allow activities to occur at the Leased Premises other than Approved Uses (e.g., non-arts related activities), where PCA would charge user fees for the activities. The previous version of the Lease deemed any preexisting arrangement for user fees as approved, but PCA has now agreed to let go of its long-standing weekly Wednesday rental to a non-arts related user and has designated that time as part of the upfront City allotment.”
Piedmont has been seeking greater equity and inclusion in public decisions and public property use. The public has a right to participate in decisions about the use of public property. This proposal excluded open public input.
There appears to be a community desire for musical, dramatic, and artist programs to continue under the leadership of the Piedmont Center for the Arts. Yet, turning the building into partial commercial use under a stub-lease to the exclusion of public use has been highly criticized.
No publicly agendized meetings, hearings, community outreach or known research has occurred since the preemptive move in November 2020 to approve the now discarded problematic lease renewal with the Piedmont Center for the Arts group.
Many in the community have waited months for City input solicitation, but none came. Meanwhile, the “City” devised and negotiated terms of a new lease without open public input.
The City Council, if it accepts the process, will be repeating the prior practice of excluding the public and allowing pre-authorization of commercial use of the public building without public hearings or a Council adopted specific policy on non-art commercial use of the building and grounds.
On November 16, 2020, a rushed, surprise lease renewal proposal was promptly approved at a first reading in a 3-2 split vote by the then members of the City Council. Council members Rood and Cavenaugh voted “No” wanting more information, inclusion, and input prior to approving the free rental proposal and unclear policies. The new Council will determine the equity and appropriateness of the lease and sublease requirements .
Uses other than music, drama, and art programs have not been publicly discussed or considered. For example, Piedmont seniors who bear the burden of taxes for Piedmont, have sought a facility for seniors programs. 801 Magnolia has sufficient unused space to allow the Art Center group to coexist with seniors programs. Yet, the proposed lease does not provide for this expanded use.
The current non-art commercial business sublease of the property was privately granted outside of Council view and unknown to all Councilmembers. The then City Administrator collaborated privately with the commercial business and the Art Center Board to sublet space under the free Art Center lease at 801 Magnolia.
Members of the City Council when previously asked to consider and approve a Conditional Use Permit (CUP) under the free Art Center lease for a commercial use were never informed by the City Administrator (“the City”), acting as the landlord, had already approved and signed off on the commercial sublease without public consideration or Council approval.
Outreach to the community was minimal and some neighbors were not aware of the closed door arrangement for a commercial business sublet. Public use was preempted. A newspaper notification was absent.
Some City Council members not realizing the commercial use and sublease had already been granted by the City Administrator were told the City Council could only consider matters such as parking and hours of operation, not the sublets commercial use or sublease. The Council was never provided a copy of the sublease and had no opportunity by policy to examine the terms and appropriateness.
The Art Center management drew concerns from the community by providing the commercial business owner, an Art Center Committee Advisor, a below market rate commercial sublease, while excluding various public users and consuming space for business purposes. The Piedmont Recreation Department regularly referred potential public/community users of the facility to the commercial business owner, who determined if they could use the facility.
The City staff proposed agreement once more bestows upon the staff (“the City”) rather than the Council, unilateral decision authority on a policy matter – what is good or bad for Piedmont – with no policy direction from the Council or public input.
Read the staff report and lease language by clicking below:
Certain individuals were excluded, while others were allowed to provide input to the staff on the proposal. There was no investigation of community-wide priorities or a use policy draft. The rushed attempt in November 2020 to renew the faulty lease was publicly abandoned for 6 months without explanation.
The Piedmont City Council will – Consider Renewal of the Piedmont Center for the Arts Lease on Monday, April 19th. Major changes to the lease are noted by the staff as: • Addition of Rent Payment • Additional Time Designated for City Programming • Improved Early Termination Clause • Addition of an Emergency or Unforeseen Circumstance Clause • Prior Written Consent [by “the City”] for Non-Arts Related Rentals.
Provide input to the City Council at citycouncil@piedmont.ca.gov.
AGENDA > Meeting Participation and Schedule for Monday, April 19, 2021
Consideration of the lease has been placed last on the agenda.
Art Center 2021-04-09 Council to Consider Piedmont Center for the Arts Lease Renewal on April 19th
Content on the PCA website by Piedmont Civic Association is licensed under a
Creative Commons Attribution-NonCommercial-ShareAlike 3.0 United States License.
Some icons are Copyright © Yusuke Kamiyamane
