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HomeMy WebLinkAbout27- City Administrator CITY OF SAN BERNARDINO REQUEST FOR COUNCIL ACTION From: Shauna Clark Subject: Election -- per parcel tax to City Administrator fund police positions -- report Dept: from City Administrator. Date: June 12 , 1996 N AL Synopsis of Previous Council action: 6/3/96 -- Mayor and Council directed City Administrator to research concept, costs, and tax rates associated with ballot measure to establish special parcel tax to fund police positions). Recommended motion: That the City Attorney be directed to prepare the necessary documents for a November 1996 ballot measure on a special parcel tax for police services. The measure will fund the following: (select one of the three options in the staff report. ) Signature Contact person: Shauna Clark Phone: 5122 Supporting data attached: yes Ward: FUNDING REQUIREMENTS: Amount: $27 , 000 Source:(Acct. No.) General Fund - source to be identified (Acct. Description) Finance: Council Notes: 75-0262 AapnrIA Item Ain —) 7 STAFF REPORT On June 3 , 1996, the Mayor and Common Council took action to notify the Registrar of Voters of the city's intent to hold an election on police funding. The City Administrator was directed to research the concept, costs, and tax rates associated with a ballot measure. Said measure would establish a special parcel tax to fund the 65 sworn/non-sworn police positions added since 1990 and related costs associated with staffing. These 65 positions are currently funded by an offset through Street Lighting and Sweeping Assessment District 994 and in part by a federal COPS grant. The measure would also fund 69 additional personnel and related costs as set forth in the Police Department's five year staffing plan. Assessment Units One of first steps is to create a formula for spreading taxes to each parcel. If there are no legal barriers, I recommend that the formula currently used in Assessment District 994 be applied. Les Fogassy of Public Works has indicated that with regard to District 994, annual assessments are spread by "assessment unit" with a single family residence as the basis for one (1) assessment unit (AU) . Assessment units for other parcels are applied on the basis of their use code as designated by the County Assessor. Below is a list of the most common use codes and the AU designation for each: a) Vacant lot = .5 AU (assessment units) b) Commercial, Industrial, Retail, etc. = 4 AU per acre c) Multi-family = .73 AU's per living unit per parcel d) Mobile home parks = . 63 AU's per mobile home per parcel e) Condo or PUD's = .9 AU's per parcel. f) Single family home = 1 AU San Bernardino's total number of assessment units varies from year to year due to changes in land uses, land divisions and transfers from private to public ownership. Presently the city has 67, 043 assessment units. Tax rates The next step is to determine the tax per parcel. This begins with creating a budget for positions and related costs to be funded. The Police Department's five year plan adds 69 positions above current staffing levels. Their goal is to achieve 33% proactive patrol time. In order to maintain current staffing levels, 65 sworn/non-sworn positions must also be funded. The Finance Department calculated all personnel costs. The Police Department supplied information on related costs such as vehicles, training, equipment and supplies. Finance has created the attached spread sheets to list all costs over a five year period. At my request, Finance prepared an estimate of total costs for bringing the 69 additional positions on in the first year of the new tax. Option 1, below, tells you what that tax rate would be. Option 1 Retention of current 65, addition of 69 and related cost. Full implementation in Year 1 Tax Rates FY97/98 FY 98/99 FY 99/2K FY 2K/01 FY 01/02 a) Vacant lot 68.51 68.47 73.01 77.66 80.89 b) Commercial (based on 1/4 acre) 137.03 136.95 146.02 155.33 161.78 c) Multi-family (per unit) 100.03 99.97 106.59 113.39 118.10 d) Mobile home (per unit) 86.33 86.28 91.99 97.86 101.92 e) Condo or PUD (per unit) 123.32 123.25 131.42 139.79 145.60 f) Single family 137.03 136.95 146.02 155.33 161.78 Total Assessment: 9,186,614 9,181,250 9,789,643 10,413,493 10,846,378 Option 2 Retention of current 65, five-year phase-in of additional 69 and related cost Tax Rates FY97/98 FY 98/99 FY 99/21K FY 2K/01 FY 01/02 a) Vacant lot 39.32 50.21 62.31 73.61 78.95 b) Commercial (based on 1/4 acre) 78.64 100.42 124.62 147.23 157.90 c) Multi-family (per unit) 57.41 73.31 90.97 107.48 115.27 d) Mobile home (per unit) 49.54 63.27 78.51 92.75 99.48 e) Condo or PUD (per unit) 70.78 90.38 112.16 132.51 142.11 f) Single family 78.64 100.42 124.62 147.23 157.90 Total Assessment: 5,272,206 6,732,707 8,354,679 9,870,631 10,586,301 Impact of eliminating AD 994 Assessment District 994 was created to fund several programs in order to release general fund money for additional police and to upgrade street lighting and street sweeping service levels. The district was expanded in 1994 to cover annexed territory and to divert general funds used for traffic signal maintenance to Police for use as a match for an additional 17 sworn positions. The expansion also funded a new program, graffiti removal, which previously had been funded by EDA. The assessment district brings in $4,446, 202 in annual revenue to fund the following: Street lighting $2 , 084 , 000 Street sweeping $1, 188,700 Traffic signals $ 797 , 900 Graffiti removal $ 345, 602 District admin. $ 30, 000 9 Of the above, $3 , 567, 280 is diverted to the Police Department. The difference: $878, 922 pays for graffiti removal and part of the upgrade in sweeping from once per month to twice per month. Elimination of AD 994 would require the city to identify alternative funding for continuation of the graffiti program and the upgraded street sweeping. There is a way to eliminate Assessment District No. 994 with a parcel tax while providing for the graffiti abatement and some extra sweeping. This could be accomplished by funding the non- personnel costs associated with the 65 positions through the parcel tax. Currently, the assessment district and the grant do not pick up the full costs of the 65 positions. Many related costs (overtime, vehicle maintenance, gasoline, training, supplies, etc. ) are paid by the general fund because no other funding source was identified when the positions were added. I know of nothing that would prohibit shifting those costs to the parcel tax; they are police-related and currently in the department's budget. This would allow for a shift back of $559,500 in the first year and would at least cover the graffiti abatement. My recommendation is that the parcel tax be structured to pay for the 65 current positions, for all related costs associated with those positions, and for the phase-in, over a five year period, of 69 additional positions and all costs associated with those positions. Option 3 (City Administrator's Recommendation) Retention of current 65, pick up related cost; five-year phase-in of anticipated 69 and related cost. Tax Rates FY97/98 FY 98/99 FY 99/2K FY 2K/01 FY 01/02 a) Vacant lot 43.49 56.83 69.33 79.43 84.92 b) Commercial (based on 1/4 acre) 86.98 113.66 138.66 158.87 169.84 c) Multi-family (per unit) 63.50 82.97 101.22 115.97 123.98 d) Mobile home (per unit) 54.80 71.61 87.36 100.09 107.00 e) Condo or PUD (per unit) 78.29 102.30 124.80 142.98 152.85 f) Single family 86.98 113.66 138.66 158.87 169.84 Total Assessment: 5,831,706 7,620,207 9,296,379 10,650,931 11,386,301 3 Mitigating Downside Risk There is the additional concern that the need to achieve a super- majority will make any tax measure very difficult, resulting in the layoff of the 65 sworn and non-sworn police positions hired since 1990. To prevent this, I recommend that the ballot language be worded in a way that would automatically eliminate Assessment District No. 994 only upon passage of the new measure. Put simply, Assessment District 994 could be eliminated in only two ways: 1. approval by the voters of the parcel tax or 2 . a decision by the Council not to extend the district past its June, 1997, sunset. Election Costs and Information According to Rachel Clark, City Clerk, the charge from the County for placing this measure on the November ballot is approximately $27, 000. Additional staff costs will be incurred by the City Attorney and City Clerk but cannot be measured at this time. Within certain guidelines, the city can provide information about police services to the public. It is recommended that Mayor Minor appoint a committee of at least one Councilmember, the City Attorney and the Chief of Police to develop a city-wide strategy for disseminating information about the measure. I would like to reiterate that prior to applying the assessment engineering formula from the Street Lighting/Sweeping District to the special election, the concept must be reviewed and approved by the City Attorney. Required Council Action Motion: Instruct the City Attorney to prepare the necessary documents for a November 1996 ballot measure on a special parcel tax for police services. The measure will fund the following: (select one of the three options above) 4 SHEET 1 ASSESSMENT DISTRICT 994 CURRENT POSITIONS I i i POSITION # TITLE POSS 1997/98 1998/99 1999/2000 2000/01 02 01102 TOTAL P1 20 1,488,293 1,567,988 1,610,538 1,654,555 1,698,555 8,019,929 P3 3 289,700 303,369 309,830 316,400 325,000 1544,299 PRCI 11 355,034 355,034 355,034 365,685 375,000 1,805,787 CSRIII 1 52,090 52,090 52,090 53,652 55,400 265,322 CSRII 12 472,759 472,759 472,759 486,942 492,945 2,398,164 TYPE CLERK II 1 29,211 29,211 29,211 30,087 31,675 149,395 ADDED P1 17 1,207,337 1,332,789 1,368,957 1,406,372 1,456,332 6,771,787 BENEFIT PKG 424,3591 1 424,359 1 424,3591 1 424,359 424,359 2,121,795 TOTAL 65 4,318,783 1 4,537,599 4,622,778 4,738,052 4,859,266 23,076,478; I i 5 YEAR PLAN WITH ALL HIRED IN 1997/98 I POSITION # TITLE POS 1997/98. 1998/99 1999/2000 2000/01 2001/02 T TA P1 42 2,492,214 2,697,990 2,991,584 3,315,111 3,569,312 15,066,211 P2 8 648,689 685,137 723,177 744,392 766,258 2,918,964 P3 4 368,596 386,266 404,493 413,107 421,867 1,625,733 PRCI 4 108,824 114,428 120,032 126,038 132,976 493,474 PRC I I 1 32,338 33,963 35,650 35,650 36,720 141,983 CSRI 5 154,142 161,843 169,932 178,446 188,301 698,522 CSRII 1 35,728 37,524 39,397 39,397 40,578 79,975 TRANS 4 42,400 42,400 42,400 42,400 42,400 169,600 9 X8132° �.! ". , OTHER COSTS 1 984,900 484,100 640,200 780,900 788,700 3,678,800 TOT . :,.. � „ __. 69 . 4;867,8 ._ ;64 ,651 5,166,866 s .._. .5�6s,44t. .,.. ,.. . 9 417 ; j I SHEET 2 ASSESSMENT DISTRICT 9941 CURRENT POSITIONS POSITION # TITLE POS 1997/98 1 / 9 1999/2000 2000/01 2001/02 T TAL P1 20 1,488,293 1,567,988 1,610,538 1,654,555 1,698,555 8,019,929 P3 3 289,700 303,369 309,830 316,400 325,000 1,544,299 PRCI _ 11 355,034 355,034 355,034 365,685 375,000 1,805,787 CSRIII 1 52,090 52,090 52,090 53,652 55,400 265,322 CSRII 12 472,759 472,759 472,759 486,942 492,945 2,398,164 TYPE CLERK II 1 29,211 29,211 29,211 30,087 31,675 149,395 ADDED P1 17 1,207,337 1,332,789 1,368,957 1,406,372 1,456,332 6,771,787 BENEFIT PKG 424,359 424,359 424,359 424,359 424,359 2,121,795 TOTAL 65 4,318,7$3 4,537,599 4,622,778 4,738,052 4,859,266 23,076,47$: I ' 5 YEAR PLAN WITH VARIABLE HIRE DATES POSITION # # # # # TITLE PSIS 1997798 POS 1998/99 POS 1999/2000 POS 2000/01 POS 200-1M/ T TA' P1 11 652,723 22 1,394,585 32 2,186,649 42 3,026,451 42 3,312,856 10,573,264 P2 2 171,284 4 361,582 6 558,258 8 767,456 1,858,580 P3 1 96,567 2 202,597 3 309,830 4 421,867 1,030,861 PRCI 1 27,206 2 55,813 3 85,782 4 120,811 289,612 PRCI I 1 32,338 1 33,963 11 35,650 1 36,720 138,671 CSRI 1 30,828 2 63,197 41 128,012 51 170,199 392,236 CSRII 11 35,728 1 38,650 74,378 TRANS 1 10,600 2 21,200 31 31,800 41 42,400 106,000 OTHER COSTS 300,700 431,700 806,900 921,068 816,076 3,276,444 I 3:2 01 ..635`f',S 7, 0�0.GGT . �s4iL I I I I I � I SHEET 3 ASSESSMENT DISTRICT 994 CURRENT POSITIONS AND OPERATION COSTS POSITION # TITLE POS 1997/98 1998/99 1999/2000 2000/01 2001/02 TOTAL P1 20 1,488,293 1,567,988 1,610,538 1,654,555 1,698,555 8,019,929 P3 3 289,700 303,369 309,830 316,400 325,000 1,544,299 PRCI 11 355,034 355,034 355,034 365,685 375,000 1,805,787 CSRIII 1 52,090 52,090 52,090 53,652 55,400 265,322 CSRII 12 472,759 472,759 472,759 486,942 492,945 2,398,164 TYPE CLERK II 1 29,211 29,211 29,211 30,087 31,675 149,395 ADDED P1 17 1,207,337 1,332,789 1,368,957 1,406,372 1,456,332 6,771,787 BENEFIT PKG 424,359 424,359 424,359 424,359 424,359 2,121,795 SUBT.UTAL 65 4,318;783; 4,537:599 4,622;778 4.738.0621, 4,859,266' 2'3,076,48 OTHER COSTS 559,500 887,500 941,700 780,300 800,000 3,969,000 TOTAL..,,..'..:' 65 '4,878,283' 5,425;099 5„ ,. 515181,35 wj .445 5 YEAR PLAN WITH VARIABLE HIRE DATES POSITION # # # # # TITLE 1997/98 PQ5; 1998/99 PPOS 1999/2000 PQ� 2 / 1 PQSti 2001/02 TOTAL P1 11 652,723 22 1,394,585 32 2,186,649 42 3,026,451 42 3,312,856 10,573,264 P2 2 171,284 4 361,582 6 558,258 8 767,456 1,858,580 P3 1 96,567 2 202,597 3 309,830 4 421,867 1,030,861 PRCI 1 27,206 2 55,813 3 85,782 4 120,811 289,612 PRCI I 1 32,338 1 33,963 1 35,650 1 36,720 138,671 CSRI 1' 30,828 2 63,197 4 128,012 5 170,199 392,236 CSRII 1 1 35,728 1 38,650 74,378 TRANS 11 10,600 2 21,200 3 31,800 411 42,400 106,000 SUBTQTAL x ffi x 1 ° X852 723 29� t 763085 2025,t1E1�� OTHER COSTS 300,700 I 431,700 806,900 921,068 816,076 3,276,444 I C}TAE�` t .;: 953,423'`' 29 2;195tt08 45 A 731,9Qf i 'Option 1" Tax Rates FY97/98 FY 98/99 FY 99/2K FY 2K/01 FY 01/02 a) Vacant lot 68.51 68.47 73.01 77.66 80.89 b) Commercial (based on 1/4 acre) 137.03 136.95 146.02 155.33 161.78 c) Multi-family (per unit) 100.03 99.97 106.59 113.39 118.10 d) Mobile home (per unit) 86.33 86.28 91.99 97.86 101.92 e) Condo or PUD (per unit) 123.32 123.25 131.42 139.79 145.60 D Single family 137.03 136.95 146.02 155.33 161.78 Total Assessment: 9,186,614 9,181,250 9,789,643 10,413,493 10,846,378 ....._.. . ......... ........ ........ _ _ ........ ......... .. _ ....... ........................ ......... ...... _.......... ............. ......... ........ ......... ... _... ..._. _..... ............. ........ ........ ......... .... ... ...... ...... ........ ........ ........ ..................... _ ..._....... .............. .......... ...... _... ........ ...... _ _ ............ .............. .... ..__....._... ........... _ _ _ . Option 2 Tax Rates FY97/98 FY 98/99 FY 99/2K FY 2K/01 FY 01/02 a) Vacant lot 39.32 50.21 62.31 73.61 78.95 b) Commercial (based on 1/4 acre) 78.64 100.42 124.62 147.23 157.90 c) Multi-family (per unit) 57.41 73.31 90.97 107.48 115.27 d) Mobile home (per unit) 49.54 63.27 78.51 92.75 99.48 e) Condo or PUD (per unit) 70.78 90.38 112.16 132.51 142.11 f) Single family 78.64 100.42 124.62 147.23 157.90 Total Assessment: 5,272,206 6,732,707 8,354,679 9,870,631 10,586,301 Option 3 Tax Rates FY97/98 FY 98/99 FY 99/2K FY 2K/01 FY 01/02 a) Vacant lot 43.49 56.83 69.33 79.43 84.92 b) Commercial (based on 1/4 acre) 86.98 113.66 138.66 158.87 169.84 c) Multi-family (per unit) 63.50 82.97 101.22 115.97 123.98 d) Mobile home (per unit) 54.80 71.61 87.36 100.09 107.00 e) Condo or PUD (per unit) 78.29 102.30 124.80 142.98 152.85 f) Single family 86.98 113.66 138.66 158.87 169.84 Total Assessment: 5,831,706 7,620,207 9,296,379 10,650,931 11,386,301 CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: Councilman Jerry M. Devlin, Fifth Ward Subject: Assessment District Election Issue . Council Office Date: May 10, 1996 Synopsis of Previous Council Action: July 1994 - Mayor & Council continued and increased Assessment District 994. Recommended Motion: To discuss and take possible action to place an item on the November 1996 ballot that would request an advisory vote of the public supporting a $9 increase to the current assessment for Assessment District #994 . Si nature Contact Person: Councilman Jerry Devlin Phone: 5278 Supporting Data Attached: Yes Ward: FUNDING REQUIREMENTS: Amount: Source: (Acct.No.) (Acct. Description) Finance: C' A Notes: (vi�4 S-a0- �� # y3 r-lolice Ad Hoc Committee recommended, on May 7, 1996, that this item go to the full 1 on May 20, 1996. AGEN %/ C I T Y O F S A N B E R N A R D I N 0 INTEROFFICE MEMORANDUM TO: Ad Hoc Committee Members FROM: Jer lin, Ad Hoc Committee Chairman SUBJECT: Assessment District 994 - Proposed Ballot Question Advisory DATE: May 6, 1996 COPIES : In 1990 the City adopted an Assessment District for Street Lighting and Street Sweeping in order to raise funds to increase Police Department staffing by 48 positions. In 1994 the Assessment District was increased to provide matching funds in order to take advantage of a Federal grant for an additional 17 police officers. The current assessment does not exceed $65 per year for each single family home. Both the grant funding and the Assessment District expire in June of 1997. The Council can extend and/or increase the Assessment District by a 5/7ths vote in June of 1997 . However, before considering this increase, I believe the Council should place the measure on the ballot to receive an indication from the voters if they would support an increase in the assessment fee of approximately $9 per parcel in order to retain nine positions which will otherwise be lost when grant funding expires in June of 1997 . The Police Department currently has a total of 286 sworn officer positions. Industry standards (POST Standards) dictate that maximum effectiveness of police resources is achieved at the point wherein each officer on patrol can dedicate 33% of their time to proactive patrol . Currently calls for service limit proactive patrol time of less than 18% per officer. A comprehensive computer analysis performed by the Police Department indicates that in order to meet industry standards of 33% proactive patrol time, the City must add positions to patrol. The loss of nine positions would increase the current deficiency. A plan is being developed to fund the "phase in" hiring of additional officers . But our current number of officers and current level of funding must be maintained in order to be eligible to receive funding consideration. This funding opportunity has a very narrow window of opportunity which will expire before the November election. While it is necessary to maintain the current police positions and level of funding, the Mayor and Council, in July of 1994, committed to an election on the Assessment District issue. It is suggested that the Council seek guidance from the public through an advisory vote in November. The following (or similar) language is suggested: "Would you support an increase in the current assessment, (District #994) which funds police personnel, by no more than $9 per parcel, in order to retain nine police officer positions which will lose grant funding in June 1997. 11 (yes or no) The Citywide survey conducted recently by the Police Strategic Plan Task Force indicates that a majority of those responding were willing to pay more in order to increase the number of Police officers in the community. Before the City expends the resources to do the engineering, surveys and etc. , it might be prudent to ask our citizenry if they would support such a Police Assessment District . The following (or similar) language is suggested: Would you support increases in the current Assessment District #994 to fund an increase in the number of police officers to allow for a 33$ Proactive Patrol? (yes or no) AND/OR Would you support an ad valorem tax measure to fund additional police positions if placed on the ballot for approval? (yes or no) I ask that we consider these proposals and others which might soon be proposed. I believe that we will need to meet again soon in order to formulate recommendations to the entire Council .