HomeMy WebLinkAboutMin - CC - 2019.05.08
May 8, 2019
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BURLINGAME CITY COUNCIL
Approved Minutes
Budget Study Session on May 8, 2019
1. CALL TO ORDER
A duly noticed meeting of the Burlingame City Council was held on the above date in the City Hall Council
Chambers at 6:30 p.m.
2. PLEDGE OF ALLEGIANCE TO THE FLAG
The pledge of allegiance was led by HR Director Sonya Morrison.
3. ROLL CALL
MEMBERS PRESENT: Beach, Brownrigg, Colson, Keighran, Ortiz
MEMBERS ABSENT: None
4. PUBLIC COMMENT
There were no public comments.
5. STAFF REPORTS
a. STUDY SESSION: FISCAL YEAR 2019-20 BUDGET
Finance Director Augustine began by reviewing the FY 2019-2020 budget highlights. She noted that the
proposed budget aligns with the Council and community priorities of sustainability, transportation, housing,
and infrastructure. Additionally, the proposed budget confirms the City’s long-term focus on identifying and
funding accrued liabilities.
Finance Director Augustine discussed the General Fund challenges :
1. Provide day-to-day operations and capital needs required to sustain high quality services
2. Advance longer -term priority initiatives, policies , and strategies
3. Fund long-term, legally-obligated liabilities
4. Provide for infrastructure ne eds
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Finance Director Augustine reviewed key takeaways of the FY 2019-20 proposed budget including:
1. Assumes continued, but slower economic growth
2. Sets aside nearly $2.6 million for Section 115 Pension Trust Fund
3. Consistent with prior years, anticipates $3 million funding of the Capital Investment Reserve
4. General Fund revenues up slightly (though up 4.9% from FY 2018 -19 adopted budget)
5. Total General Fund balance to increase $3.7 million, of which $2.2 million is restricted for
contribution to the Section 115 Pension Trust Fund
Finance Director Augustine discussed a chart that depicted General Fund revenues. She noted that revenues
are predicted to remain consistent with the current fiscal year. She explained that FY 2018-19 revenues were
bumped up 4% at mid-year. The predicted revenues for the coming fiscal year are $78.6 million, which is
$3.6 million higher than last year’s adopted budget but slightly less than the $79.1 million that was
anticipated in the five year forecast at mid-year.
Finance Director Augustine reviewed the big three revenue sources for the City that account for 85% of the
General Fund revenues: transient occupancy taxes (“TOT”), property taxes, and sales tax.
Finance Director Augustine stated that TOT revenues continue to be healthy, with average daily room rates
holding steady. She noted that the average room rate in the United States is $130 , while it is $205 in
Burlingame. She stated that this is up $10 from last year. She added that occupancy rates are holding steady
at 87%. She e xplained that the current year’s TOT projected revenues are up 3.1% since the prior year and
that the assumed growth for FY 2019-20 is .7%.
Finance Director Augustine stated that property taxes are expected to grow at a rate similar to the current
year (6.25%). She noted that this is a slight decrease from the five-year forecast for FY 2019-20. However,
she noted that the Assessor’s role continues to evolve and since the writing of the report it looks like property
taxes may have slightly increased. She stated that there is a slight decrease in the ERAF due to a one-time
bump up in the current fiscal year. She stated that for FY 2018-2019, the City’s ERA F withholdings were
$2.8 million, and the City’s excess ERAF amounted to $2.25 million. This included the one -time increase
bump up of $265,000. She noted that the current economy is supporting higher property tax revenues , and as
a result, staff predicts that the City’s excess ERAF distribution will be maintained .
Finance Director Augustine stated that there were three factors that led to an increase in the current fiscal
year’s sales tax revenues. The first factor was that autos and transportation sales increased 13% in the final
quarter of 2018. She stated that this was due to the resolution of manufacturing issues that allowed for the
delivery of backorders. She noted that this was a one -time bump up. The second factor was that CDTFA
launched new so ftware that confused people and caused late reportings. As a result of the late reportings, the
agency had to anticipate payments and has since had to make adjustments based on actual payments. The
third factor was that with the help of a consultant, the City was able to obtain a one-time use tax in the
building-related sector associated with the Burlingame Point project.
Finance Director Augustine stated that the largest source of sales tax revenue for the City is auto and
transportation, followed by the State and County pool.
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Finance Director Augustine stated that the staff report included a thorough discussion of the Wayfair case
and its impact. She explained that there are now concrete regulations from the State as to what retailers will
be required to remit in regards to sales tax from online sales. She stated that staff will wait to see how this
plays out and that it isn’t included in the FY 2019 -20 forecast as predictions widely vary.
Finance Director Augustine reviewed expenditure highlights for the FY 2019-20 proposed budget including:
1. General Fund expenditures are up 2.7% compared to current year adjusted budget
2. Increases in overall personnel expenditures (3.2%) due to salary and benefit cost increases (minimum
staffing changes)
3. Minimal non-personnel increases
Finance Director Augustine stated that proposed expenditures are $60.25 million, which is 1.5% less than
what was predicted in the five-year forecast.
Finance Director Augustine reviewed a chart of the proposed appropriations by program for the coming
fiscal year. She noted that the largest increase is in General Government , which includes the addition of an
Assistant City Attorney. Other reasons for the increase include:
1. $150,000 to fund the November 2019 election
2. $60,000 to fund a temporary position to assist with the implementation of the F inance Department’s
ERP
3. $40,000 to fund the Regional Flood and Sea Level Rise Resiliency Agency
Finance Director Augustine stated that there were some notable decreases including Police overtime and the
personnel savings in the Planning division .
Finance Director Augustine stated that the biggest increase in General Fund expenditures was benefits.
Finance Director Augustine reviewed the General Fund summary. She stated that proposed expenditures are
$60.2 million, with projected revenues at $78.6 million. The proposed debt service is $3.1 million, which
includes debt service on the anticipated bond for the new Community Center.
Councilmember Keighran stated that if SB 50 passes, it could have a huge financial impact on the Planning
division . She discussed the fact that the City would need to hire additional staff and asked that this be kept
in mind when reviewing the bud get. City Manager Goldman stated in talking with CDD Gardiner, the plan
is to contract work out as there is no room for additional bodies in Planning. She noted that there are some
big projects on the horizon, and therefore even if SB 50 doesn’t pass, the City will need to bring on
additional help .
Mayor Colson stated that even more problematic is SB 330, which requires tha t projects be reviewed in a
year.
Councilmember Ortiz asked if the budget accounts for the potential need of contracting services. CDD
Gardiner replied in the affirmative.
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Councilmember Ortiz asked if the projection is based on the current number of projects. CDD Gardiner
replied in the affirmative, stating that the current workload is exceptionally high.
Finance Director Augustine stated that there is a $3.6 million projected increase in the General Fund balance
for FY 2019-20. She noted that the Economic Stability Reserve will need to be increased by $20,000 due to
the anticipated small increase in revenues. She explained that the Economic Stability Reserve funding is
based on a percentage of revenues.
Finance Director Augustine stated that the projected unassigned fund balance for FY 2019-20 is $13.1
million. She noted that the City’s policy has bee n to keep the unassigned fund balance at $9 million, and
therefore she would be asking Council for their recommendations on the remaining $4.1 million.
Finance Director Augustine discussed the Capital Improvement Program. She stated that the proposed
General Fund CIP budget is $7.9 million.
Finance Director Augustine reviewed the City’s legally-obligated debt service. She stated that in FY 2017-
18, the net General Fund debt service was approximately $3.3 million. For FY 2019-20, the City’s net
General Fund debt service decreased to $1.1 million. She explained that FY 2017-18 marked the end of the
largest piece of the Pension Obligation Bond debt service. This decrease has helped fuel the funding of the
Section 115 Fund.
Finance Director Augustine reviewed a chart that outlined the break down of funding for the Section 115
Fund for the coming year. She noted that contributions to the Section 115 Fund are from every fund that
includes personnel costs.
Finance Director Augustine stated that the total proposed budget for FY 2019-20 is $121,112,311.
Councilmember Brownrigg discussed the growth of the City’s budget. He noted that the only real source of
revenue that grows in a meaningful way for the City is in the General Fund. He explained that revenues
from Sewer Enterprise, Building Enterprise , and the other funds don’t grow at the same pace. He stated that
this creates a depressing effect on the overall expenditures of the City. Therefore, it is important that the
City puts funds into reserves.
Finance Director Augustine reviewed the City’s annual funding for community groups. She stated that the
proposed budget for FY 2019-20 is $50,000.
Councilmember Brownrigg stated that he wanted to increase the budget for community groups to $55,000.
He added that he would like to see the City move towards setting aside 1/10th of 1% of the General Fund for
community groups. For the current fiscal year , this would equate to approximately $78,000.
Councilmember Ortiz agreed that the budget for community groups should be increased. He discussed how
the City’s funding helps to assist those affected by the housing crisis.
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Finance Director Augustine discussed the City’s unfunded needs. She explained that in FY 2013-14, the
City formally identified and prioritized necessary infrastructure projects. As a result, in FY 2017-18 a
Capital Investment Reserve policy was finalized to ensure that funds were set aside for these projects. She
noted that at the 2019 Goal Setting Session, the C ouncil identified more than 17 unfunded infrastructure
projects totaling $700 million.
Finance Director Augustine discussed the Capital Investment Reserve. She noted that the beginning balance
of the reserve in FY 2014-15 was $3 million, and by the end of FY 2019-20 is projected to be $31.8 million.
Finance Director Augustine explained that at the 2019 Goal Setting Session, the City Council identified the
following list as the City’s top infrastructure needs:
1. Broadway Grade Separation
2. City Hall Modernization and Safety Improvements
3. Development of Specific Plan for Rollins Road
4. Sea Level Rise Shoreline Protection Improvements
5. Undergrounding of Power Lines on El Camino Real
Finance Director Augustine reviewed the City’s legally obligated pension liabilities. She noted that in
FY2014-15, GASB Statement 68 was implemented , and it regulates the accounting and financial reporting
for pensions. As a result, the City’s net p osition reported in financial statements took a hit. She explained
that staff now must put $65.9 million in net pension liability on the City’s balance sheet.
Finance Director Augustine stated that the balance in the Section 115 Fund is $8.5 million.
Mayor Colson asked if the City has a dollar amount target for the Section 115 Fund in order to cut the peak
off of the contribution rate projects. Finance Director Augustine replied that it was a percentage of salaries.
Mayor Colson asked if she was correct that the City’s $65.9 million net pension liability does not include
CCFD. Finance Director Augustine replied in the affirmative.
Mayor Colson asked staff to provide Council with information on CCFD’s pension liabilities and future
payments scale. City Manager Goldman explained that the CCFD Board is discussing setting up a Section
115 Fund.
Mayor Colson asked if the City could set up a Section 115 Fund for its portion of CCFD’s pension liabilities
if the Fire Board decided not to set up a fund. City Manager Goldman replied in the affirmative.
Councilmember Ortiz stated his agreement with Mayor Colson that CCFD’s pension liabilities should be
reviewed, and a Section 115 fund should be established for CCFD.
Mayor Colson noted that the City’s outstanding pension obligation bonds are not included in the City’s net
pension liability.
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Vice Mayor Beach asked if the City would need to set up a separate Section 115 Fund for CCFD. Finance
Director Augustine stated that it could be included in the current Section 115 Fund . She noted that the
money in the Section 115 Fund can’t be shown on the balance sheet to offset the City’s pension liability
because the City still has the funds.
Councilmember Ortiz asked if the City puts funds for CCFD’s pension liabilities in its Section 115 Fund ,
could the money later be transferred out if CCFD set up their own fund. Finance Director Augustine replied
in the affirmative.
Finance Director Augustine discussed the City’s legally obligated OPEB liabilities. She explained that as a
result of GA SB Statement 75, the City is required to report OPEB liability on its balance sheet. She noted
that the City’s OPEB liability is $38.9 million.
Finance Director Augustine discussed the CalPERS decision to reduce the discount rate and the amortization
period . She stated that a result of these actions, the City’s contribution rates for both miscellaneous and
safety employees will increase over the coming years. Below is a chart that depicts the increases.
Group Current
Contribution
Rates
FY 2019-20
Contribution
Rates
In Five Years the
Contribution
Rates
In 10 Years the
Contribution
Rates
Miscellaneous 26% 29.1% 37.3% 38.5%
Safety 50.4% 56.8% 75.2% 82.7%
Mayor Colson stated that the total proposed budget for Police is $17.5 million. She asked if this number
included pension costs. Finance Director Augustine stated that this number includes the employer’s required
contribution.
Finance Director Augustine stated that when the miscellaneous contribution rate gets to 37.7% and safety
gets to 76.9%, the City will start drawing from the Section 115 Fund.
Mayor Colson opened the item up for public comment. No one spoke.
Finance Director Augustine stated that the preliminary budget leaves the City with $13.1 million in
unassigned fund balance. She noted that last year, the Council talked about keeping the unassigned fund
balance at $9 million. She explained that this would leave $4 million for the Council to appropriate.
Councilmember Brownrigg recommended adding $5,000 to the community groups fund ing.
Councilmember Brownrigg discussed the new Community Center and the need to set aside funds for that
project. He noted that funds should also be set aside for pension liabilities.
Councilmember Ortiz suggested putting $1 million towards CCFD pension liabilities and $2 million into the
Capital Investment Reserve. He noted his approval for increasing the community group funding to $55,000.
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Vice Mayor Beach stated that she leaned towards utilizing the $4 million for pension liabilities and the
Capital Investment Reserve.
Councilmember Keighran voiced her support for increasing community group funding. She noted that the
City needs to ensure that the community groups understand that the City’s funding is not guaranteed in the
future.
Councilmember Keighran discussed CCFD pension liabilities and stated that additional funds should be set
aside for CCFD in the Section 115 Fund.
Mayor Colson discussed the unknown cost of the new Community Center. She stated that the Council
needed to ensure that the Center is properly funded. She added that she wanted to better understand what
CCFD’s pension liability is before determining a course of action. She stated that CCFD’s pension liability
could be discussed at the mid -year review when Council has more information.
Finance Director Augustine stated that the Section 115 Fund is a lot more flexible than the OPEB Trust.
Mayor Colson asked if this meant that the City could draw down on the Section 115 Fund at any point.
Finance Director Augustine replied in the affirmative and added that the only rule is that the Section 115
Fund is to be utilized for pension liabilities.
Mayor Colson asked if the proposed personnel costs incapsulated current negotiations. Finance Director
Augustine replied in the affirmative.
Councilmember Keighran asked about the funding gap for the Community Center. City Manager Goldman
explained that staff and the consultants are undertaking some value engineering to ensure that the project
does not exceed $50 million. She noted that the $50 million is separate from the work that is being done on
the playground and sports court. She explained that it will be up to the Council to determine if the cost of the
Community Center goes beyond $50 million based on how strongly they feel about some of the features that
have been removed from the project.
Councilmember Keighran asked when the Council will have a better understanding of the costs of different
features. Parks and Recreation Director Glomstad stated that staff will have an update for the Council on
July 1, 2019.
Councilmember Brownrigg noted that $50 million is more than the lease revenue bond that the City expects
to get from Measure I.
Mayor Colson explained that the City is expected to obtain $30 million from the lease revenue bond. She
added that this would mean the City still has to fund $20 million of the project.
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Councilmember Brownrigg stated that this is why the Council should set aside some of the unassigned fund
balance for the Community Center.
Mayor Colson explained that the City will draw down on the lease revenue bond funds prior to utilizing the
Capital Investment Reserves. Therefore, the City has a few years before it will need to use Capital
Investment Reserves for the Community Center. However, she noted that Broadway Grade Separation is
looming right behind the new Community Center.
Mayor Colson asked City Manager Goldman for her opinion on how the unassigned funds should be utilized.
City Manager Goldman stated that although the City doesn’t know the total of the CCFD pension liability,
she felt that there was a symbolic value in setting aside some funds for this liability. She explained tha t the
City’s share of CCFD’s expenses is 42%. She suggested that Council set aside $250,000 to $500,000 for
CCFD’s pension liabilities. She stated that the Council should also put additional funds in the Capital
Investment Reserve for both the new Commun ity Center and to assist in upgrading City Hall. Lastly, she
noted that the Council needed to ensure that the City had matching funds available for Broadway Grade
Separation.
Mayor Colson suggest ed putting $500,000 into the Section 115 Fund for CCFD and $3.5 million in the
Capital Investment Reserve. She discussed the potential of matching the $500,000 at the mid-year.
Mayor Colson stated that as the City pays off the pension obligation bonds, those funds could be used for
pension liabilities. Finance Director Augustine stated that the payments would be finished in 2036.
City Manager Goldman stated that there was consensus in increasing the community funding to $55,000.
Vice Mayor Beach asked if the $500,000 for the Section 115 Fund was in addition to the $2.2 million that
the City had already allotted for pension funds. Finance Director Augustine replied in the affirmative.
Vice Mayor Beach suggested making the total payment to the Section 115 Fund an even $3 million.
Therefore, the City would allocate an additional $800,000 to the Section 115 Fund. She added that the
remaining $3.2 million should be put in the Capital Investment Reserve. She added that she wanted to see
the Community Center budget stick to $50 million because of the City’s other infrastructure needs.
Mayor Colson stated that the City had success in the past fundraising for the Library’s remodel and would be
undertaking similar efforts for the new Community Center.
Councilmember Brownrigg asked if the pension obligation bonds were refinanced. Finance Director
Augustine replied in the negative and stated that they couldn’t be refinanced.
Mayor Colson asked if the pension obligation bonds are at 6%. Finance Director Augustine replied in the
affirmative.
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Mayor Colson discussed potentially paying off the pension obligation bonds ahead of time.
Councilmember Brownrigg asked if there are prepayment penalties. Finance Director Augustine replied in
the affirmative.
The Counc il agreed on assigning $800,000 to the Section 115 Fund and approximately $3.2 million to the
Capital Investment Reserve.
b. CITY COUNCIL REVIEW OF DRAFT FY 2019 -20 CAPITAL IMPROVEMENT PROGRAM
Assistant Public Works Director Morimoto presented the proposed FY 2019-20 Capital Improvement
Program. He stated that it amounted to $8.665 million in General Fund projects.
Mr. Morimoto reviewed the proposed Mobility and Transportation Improvement Projects for FY 2019-20
including:
• Broadway Grade Separation (final design phase, local match towards $19.8 million total) - $1.5
million
• Sidewalk and ADA Improvements (General Fund $500,000, Measure I $700,000) - $1.2 million
• Traffic Signal Upgrades - $200,000
• Pedestrian Improvements - $100,000
• Residential Street Lighting Improvements - $100,000
• Traffic Calming Improvements - $100,000
• Annual Traffic and Transportation Studies - $80,000
• El Camino Real Development (Consultant Assistance) - $80,000
The total proposed budget for Mobility and Transportation Improvement Projects is $3.36 million.
Mr. Morimoto reviewed the proposed Parks and Recreation Projects for FY 2019-20, including:
• Field Renovations at Ray Park - $1.5 million
• BHS Pool Renovations - $700,000
• Ray Park Parking Lot Safety Improvements - $400,000
• BSD Synthetic Turf Replacement - $200,000
• Murray Field Synthetic Turf Replacement - $150,000
• Playground Replacement Fund - $100,000
• Central Irrigation Controller - $50,000
• El Camino Real Tree Safety - $50,000
• Mills Canyon Hazard Mitigation - $50,000
• Parks, Picnic Tables, Benches and Fountains - $50,000
• Playground Resilient Resurfacing/Treatment - $50,000
• Annual Tree Replace - $5,000
The total proposed budget for Parks and Recreation Projects is $3.305 million.
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Mr. Morimoto reviewed the proposed Building Facilities Projects for FY 2019-20, including:
• Fire Stations 34, 35 and 36 Generators - $850,000
• Building Facilities Parking Lots Resurfacing - $250,000
• ADA Improvements Program - $250,000
• Minor Building Facilities Upgrades - $100,000
• City Attorney’s Office Remodel - $50,000
The total proposed budget for Building Facilities Projects is $1.5 million. He noted that the one addition
since the mid -year is the City Attorney’s Office remodel. He explained that the remodel is to create space
for the newly created Assistant/Deputy City Attorney position.
Mayor Colson asked for an explanation of the BHS pool renovations. City Manager Goldman stated that the
City is going to pay half the cost now and the other half when the community center is completed. She
stated that the City’s total contribution is $2.7 million, and thus far the City has paid $600,000.
Mayor Colson discussed the cost of the BHS pool renovation and stated that it is an enormous per capita
investment for the community.
Councilmember Brownrigg agreed and stated that the renovations don’t include the needed upgrade to the
changing rooms.
Mr. Morimoto reviewed the proposed Police Department Projects for FY 2019-20:
• Remodeling of Jail at BPD - $500,000
Mayor Colson asked for an explanation of the remodel of the jail at BPD. Mr. Morimoto stated that the
Police Department currently has holding cells that will be remodeled to create sleeping quarters and a
lactation room.
Mr. Morimoto reviewed the proposed Parking Enterprise Fund Projects for FY 2019-20, including:
• City’s Contribution for Construction of a Parking Structure at Lot N - $1.85 million
• Smart Parking Meters for Downtown Parking Lots - $550,000
• Downtown Public Parking Lots Improvements - $250,000
The total cost of the Parking Enterprise Fund Projects is $2.65 million.
Mr. Morimoto reviewed the proposed Street Resurfacing Program for FY 2019-20 that will be funded by Gas
Tax, SB 1, Measure A, Measure I, and Measure M. The following streets are inc luded in the resurfacing
program for the upcoming fiscal year:
• Atwater Drive – Escalante to Rivera
• Albermarle Way – Ray to End
• Arguello Drive – Escalante to Toledo
• Benito Avenue – Hillside to Easton
• Castenada Drive – Trousdale to City Limit
• Coronado Way – Ray to Davis
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• Dolores Way – Mariposa to Capistrano
• Drake Avenue – Adeline to End
• Lassen Way – Davis to Ray
• Los Montes Drive – Margarita to Hillside
• Marco Polo Way – Ray to Davis
• Margarita Avenue – Skyline to Alturas
• Mills Canyon Court – End to End
• Quesada Way – Davis to Ray
The total cost of the Street Resurfacing Program is $2.35 million.
Vice Mayor Beach discussed the Bicycle Pedestrian Master Plan and the Lyon Hoag Traffic Calming Study.
She asked if projects arose from these studies, would a mid -year adjustment be necessary. Mr. Morimoto
stated that it is believed that both studies will be completed at the end of the calendar year. Thereafter, staff
will make recommendations on proposed projects at that time.
Senior Engineer Okada discussed the Water, Sewer, and Storm Drain CIP projects for FY 2019-20. Mr.
Okada stated that studies were performed to assess the conditions of the City’s water system. He noted that
the CIP master plan prioritized over $120 million of improvements. Since 2001, $43.5 million of w ork has
been completed, with an $81 million backlog of work remaining.
Mr. Okada reviewed the Water System CIP projects that were completed in FY 2018-19:
• Shoreland Subdivision Water Main Replacement Project – replaced old cast iron mains with new
PVC water mains, and the pipe size was increased to improve fire flows - $2 million
• Hillside and Skyview Reservoir Exterior Coating Project – coated the exterior of two concrete
reservoirs to extend the life of the reservoir and improve water quality by protecting the concreate
with a heavy pedestrian coating system - $200,000
• 12 Airport Boulevard Water Main Replacement Project – new 12” water main was constructed
jointly with the County of San Mateo to provide water to the new animal shelter - $300,000
• California Drive Roundabout – new hydrant and services to improve the water system under the
roundabout - $200,000
Mr. Okada and DPW Murtuza showed old water pipes from the 1920s to the Council. Mr. Okada reviewed
the proposed Water System CIP projects for FY 2019-20:
• South El Camino Real Water Main Replacement Project - $2.18 million
• Emergency Water Main Replacement - $300,000
• Sensory Control and Data Acquisition (SCADA) System Upgrades - $120,000
• Water System Valve Replacements - $100,000
• Water Meter Replacements - $100,000
• Trousdale Pump Station Repairs - $100,000
• Regional Water Supply Studies/Modeling - $50,000
• Miscellaneous Coating of Above Ground Water Mains - $50,000
The total cost of the proposed Water System CIP projects is $3 million.
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Mr. Okada noted that all of the residential water meters have been replaced and that staff is currently
working on replacing hotel and apartment building meters.
Councilmember Brownrigg asked whether it makes sense to wait on the water main replacement for El
Camino Real until Caltra ns rebuilds El Camino Real. DPW Murtuza stated that this project has been
advanced for this purpose.
Councilmember Brownrigg stated that these projects are funded by the water enterprise fund which is
distinct from the storm drain funds. Mr. Okada replied in the affirmative.
Mr. Okada next reviewed the Sewer System Capital Improvement Program. He explained that studies were
performed to assess the condition of the City’s sanitary sewer system. He noted that the CIP master plan
prioritized over $160 million of needed upgrades. He stated that $78.5 million of work has been completed
and that there is a backlog of $83 million of work that remains.
Mr. Okada reviewed the Sewer System CIP projects that were completed in FY 2018-19:
• Easton Addition and Neighborhood Sewer Rehabilitation – Phase 3 – 6,230 linear feet of new sewer
pipelines and 31 new sewer manholes - $1.75 million
• Citywide Sanitary Sewer Point Repair Project – removal of structural deficiencies and replaced
sections with new PVC pipe - $400,000
• Carolan-Rollins Easement Sanitary Sewer Main Relocation – installed approximately 730 linear feet
of new 12-inch diameter PVC sewer main in the new sanitary sewer easement - $460,000
Mr. Okada reviewed the proposed Sewer System CIP projects for FY 2019-20:
• Sanitary Sewer Main Rehabilitation - $1.5 million
• Rollins Road Gravity and Force Main Rehabilitation - $1.2 million
• WWTP upgrades - $710,000
• Sewer System Modeling and Master Plan Updates - $600,000
• Burlingame Avenue Ea st of California Utility Improvements - $500,000
• Mills Canyon Sewer Access Road Repair - $200,000
• Easton Addition Subdivision Sewer Rehabilitation - $150,000
• SCADA System Upgrades - $120,000
• Force Main Sewer Studies - $50,000
• Miscellaneous Sewer Root Foaming and Miscellaneous Sewer Repair - $50,000
The total cost of the Sewer System CIP projects is $5.08 million.
Mr. Okada explained that in 2009, voters approved a ballot measure to upgrade the City’s storm drainage
system. Since the ballot measure passed, the City has completed $26 million of projects and $28 million of
projects remain.
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Mr. Okada reviewed the Storm Drain System CIP projects that were completed in FY 2018-19:
• El Portal/Trousdale Channel Rehabilitation – removed build -up of sediment accumulated in the
channel over the years to improve drainage flow - $1.2 million
• Sanchez Lagoon Flap Gates Project – installation of flap gates prevents backwater from the Bay into
the surrounding neighbor hoods during storm events - $185,000
• Neighborhood Storm Drain Project #10 – focused on upgrading areas that had drainage issues during
the winter 2017 storm - $1.12 million
Mr. Okada reviewed the proposed Storm Drain System CIP projects for FY 2019-20:
• 1740 Rollins and 842 Cowan Stormwater Pump Station Upgrades (including $900,000 from
Millbrae) - $1.9 million
• Neighborhood Storm Drain Project #12 - $1.5 million
• Easton Drive Drainage Improvements - $500,000
• El Portal Channel Flap Gates Rehabilitation - $150,000
• FY 2019-20 Program Management - $50,000
The total cost of the Storm Drain System CIP projects is $4.1 million.
Councilmember Brownrigg stated that the City is pretty much at the end of the wet season. He noted that his
impression is that the City emerged from it with a whole lot less collateral damage than the season before.
DPW Murtuza stated that the storms were spaced out evenly, and there was enough time between storms to
handle the capacity.
Mayor Colson asked how Caltrain’s parallel station 3 project was progressing and if the City has incurred
any costs. DPW Murtuza stated that there has been no construction activity.
Mayor Colson voiced her irritation that the City was informed that this needed to be done immediately and if
it wasn’t the City would be fined, and yet no construction has occurred.
Mayor Colson opened the item up for public comment. No one spoke.
City Manager Goldman discussed the work load that staff has undertaken over the past years. She thanked
the Council for increasing the amount that the City has spent on these “bread and butter” projects.
The Council thanked staff for their hard work.
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6. ADJOURNMENT
Mayor Colson adjourned the meeting at 8:32 p.m.
Respectfully submitted,
/s/
Meaghan Hassel-Shearer
City Clerk