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REGULAR MEETING 3:30
REPORTS
Item 3o' Affordable Housing Strateg (All Wards) The [ity's Economic and Community Development Department's
Affordable Housing and Neighborhood Vitality Unit has developed an Affordable Housing Strategy to assist in the City in
evaluating future policy changes to spur housing development, identify additional funding opportunities streamline the
research of existing sources to increase unit production, and provide tools to help spur growth and deliver development
information to housing developers.As developed,these tools will serve as foundational components of the City's future
efforts to increase financing mechanisms for housing development and pursue policies and programs to spur new
growth.
Item 3b' Proposed Charter amendments for the November 2022 General Election (AUU Wards)The Stipulated Judgment
entered into between the City of Bakersfield and the California Department of Justice (DOJ) in August 2021 requires the
Bakersfield City Council to prepare a proposed charter amendment for the November 2022 General Election "which will
seek to permit the appointment of a person from an external agency to the position of Chief of Police." 4t the February
2, 2022 City Council meeting,the City Attorney's Office indicated that a proposed amendment to the Charter concerning
the Fire Chief would also be prepared for consideration, in the event Council desires both Charter amendments (Fire and
Police) to 0u before the voters at the same time. The City Attorney will provide a PovverPuint presentation to the City
Council that outlines the current language of the City Charter regarding the selection of the Police and Fire Chiefs,as well
as proposed amendment options for Council consideration.
CLOSED SESSION
/bcrns4, Various Items (AUU Wards)
CONSENT CALENDAR-RESOLUTIONS
Item 8f. (AUU Wards) The current
combined unfunded liability as reported by the most recent actuarial report from CalPERS is over$503 million with
a current funded percentage of66Y6. Aseparate irrevocable trust account called the Pension Rate Stabilization
Program, could be used to both address the current unfunded liability and also adds budgetary flexibility. This
flexibility allows the City to draw from accumulated trust funds to offset pension expenses if required pension
contributions spike unexpectedly or if serious budgetary shortfalls occur in subsequent years. Investment options
also add flexibility where the City will have complete local control over assets, including contributions,
disbursements and the timing, amount, and risk tolerance level of investments.The only restriction is these monies
must be used for pension related expenses. In 2007the City selected the firm Public Agency Retirement Services
(PARS)to join and administer an Internal Revenue Code Section 11S Irrevocable Trust Account in an effort to comply
with accounting standards. Since it's inception, this trust has accumulated annual actuarial determined
contributions and related investment income resulting in a balance, as of December 31, 2021, of$95 million. Based
on the most recent actuarial report, the OPEB liability is just over $116 million, which means that the plan is over
75% funded in comparison to being just over 4% funded when the Section 115 Trust was established. City staff is
pleased with the service and administration of the current OPEB Trust by PARS over the past fifteen years. The fee
schedule has a tier structure based on the current portfolio balance we estimate that annual administration costs
will be in the range of$123,000 per year. Staff are recommending formation of the Plan and Trust for the City so
that deposits into the Fund can begin and approves the updated investment guidelines for the Trust. In addition,
the Adoption Agreement designates the City Manager (or his designee) as the Plan Administrator.
HEARINGS
Item 10a. Fourth Public Hearing Regarding Redistricting Ward Boundaries (AIIII Wards) Under the Bakersfield City
Charter Chapter 11.1 and pursuant to the California Elections Code, following each decennial federal census, and using
that census as a basis, the City Council is required to adjust the City Council ward boundaries so that the council wards
are nearly equal in population. The Bakersfield City Council will be hosting its fourth public hearing on the Ward
Redistricting process as an item on the City Council's regular meeting agenda. This hearing has been noticed to begin at
5:30 p.m.The presentation will be given by City staff and includes an overview of the City's ward redistricting process to
date. Staff recommends Council comment and to provide staff direction.The public hearing is an opportunity to receive
comments from the City Council and the public regarding the ward redistricting process and draft map.
Public comments regardingthe ward redistricting process can be submitted at any time outside of a public hearing setting
by any of the means available on the City's redistricting website: https://www.bakersfieldcity.us/819/Ward-Redistricting
including by e-mail, online survey, mail, phone, or appointment.
NEW BUSINESS
Item 13a. Fiscal Year 2021-22 Mid-Year Budget Recommendations (All Wards) Each year the City Council adopts a
budget, which commits finite resources to accomplish goals and objectives. The purpose of the City's Mid-Year Budget
Report is to compare revenues received and expenditures made to budgeted amounts approximately 50 percent through
the fiscal year, review available one-time funds, and consider budget adjustments and appropriations consistent with
City Council Goals. Although the general outlook related to City finances is better than expected, staff is recommending
limited adjustments to the budget that are dependent on ongoing revenues. However, staff is proposing several larger
appropriations to projects and reserves from available one-time revenues derived from Fiscal Year 2020-21 general fund
balance, Public Safety and Vital City Services Measure fund balance, and American Rescue Plan Act (ARPA) funds. Staff
from the City Manager's Office and Finance Department will provide a mid-year budget presentation as part of this
report. During the first quarter budget update provided to the City Council, staff noted available General Fund balance,
PSVS fund balance, and ARPA fund balances for the most recently completed fiscal year ending June 30, 2021. These
balances are comprised of revenues that exceeded revised projection, savings from positions that were vacant for any
part of the fiscal year, and appropriations within operating budgets that were not encumbered or expended by the end
of the fiscal year. The available General Fund balance is $29 million, the available PSVS fund balance is $20 million, and
the available ARPA fund balance is $47.2 million for the first phase of funding. The proposed Fiscal Year 2021-22 Mid-
Year Budget Adjustments and Appropriations are as follows:
GENERAL FUND: Total $36,365,000
Staff will be recommending the use of these one-time general funds to allocate to several major City Strategic
Programs and Capital Improvement Projects (CIP) being proposed - $29,365,000.
Strategic Programs- $22,965,000:
• $3 million for the next phase of Regional Public Safety Radio System Project
• $250,000 allocation for Public Safety Camera Equipment
• $250,000 allocation for Public Safety Drones Program
• $2.2 million allocation for Self-Contained Breathing Apparatus (SCBA)
• $140,000 allocation for Fire Department Safety Equipment
• $75,000 allocation for Emergency Operations Plan (EOP) Update
• $6 million for partial funding toward upgrading the City's 25 year-old Enterprise Resource Planning (ERP)
Software.
• $2 million allocation to the Section 115 Pension Trust Fund
• $4 million allocation for the COLA Market Compensation Adjustment Set-Aside
• $3 million allocation to cover FY 2022-23 Carryovers
• $500,000 allocation to the City Facilities Reserve Fund to remain on track to reach 60 days general fund
reserve status per adopted City reserve policy
• $1 million allocation for Facility Conditions Assessment/City Facility Needs
• $75,000 allocation for Grant Writing Assistance
• $250,000 allocation for a Classification & Compensation Study
• $75,000 allocation for Traffic Calming Study
• $150,000 allocation for Transformative Climate Communities (TCC) Plan Grant Application & Project
Management
Capital Improvement Projects (CIP) -$6,400,000:
• $1.4 million allocation for the Bakersfield Police Department Priority Facility Needs
• $2 million allocation for the Mesa Marin Sports Complex Project
• $500,000 allocation for the Convention Center Lobby Project
• $250,000 allocation for the Bicycle/Pedestrian Feasibility Study
• $250,000 allocation for the 28th Street Sidewalk Project
• $1 million allocation for the Downtown Infrastructure Planning Project
• $1 million allocation for the Downtown Streetscape Spruce-Up Project
Conservative projections have identified an additional $7,000,000 in ongoing revenues that we anticipate
receiving for this fiscal year. Staff recommends appropriating these revenues to fund balance, as opposed to
allocating the funds to any programs at this time, as contingency for developing the annual budget for next fiscal
year.
PUBLIC SAFETY/VITAL CITY SERVICES:Total $23,580,653
Staff will be recommending the use of these one-time funds to allocate to several major City Strategic Programs
being proposed -$20 Million.
Strategic Programs- $20 Million:
• $5 million for the next phase of Regional Public Safety Radio System Project
• $10 million for partial funding toward upgrading the City's 25 year-old Enterprise Resource Planning (ERP)
Software project.
• $2 million allocation to the Section 115 Pension Trust Fund
• $1 million allocation to the City Facilities Reserve Fund to remain on track to reach 60 days general fund
reserve status per adopted City reserve policy
• $2 million towards Economic Development Strategic Plan (EDSP) Implementation
Based on revenue trends, staff is conservatively estimating PSVS revenues will exceed current year projections by
$22 million.
Staff will be recommending the partial use of these funds to allocate to a limited number of
strategic ongoing positions, programs and services that directly correlate with City Council goals and PSVS
Measure priorities, as outlined below:
Strategic Programs- $2,000,000:
• $2 million to fund the Downtown Redevelopment Plan
Strategic Positions-$1,580,653:
• Park Ranger Program (18 Park Ranger I, 1 Park Ranger III, 1 Administrative Analyst 1): $2,399,650 annual
cost/$1,281,912 three-months cost including one-time start-up costs and purchasing 10 new PST trucks &
equipment
• Police Financial Services (Accounting Supervisor): $135,000 annual cost/$48,750three-months cost
including one-time start-up costs
• Technology Services (Division Manager X2): $296,424 annual cost/$85,706 three-months cost including
one-time start-up costs
• Clean City& Homeless Clean-up (Field Supervisor 11): $123,500 annual cost/$70,225 three-months cost
including one-time start-up costs and a new truck& equipment
• General Services Division (Administrative Analyst 1/11): $92,700 annual cost/$27,175 three-months cost
including one-time start-up costs
• Economic Development (Economic Development Manager): $147,351 annual cost/$38,838 three-
months cost including one-time start-up costs
• Economic Development (Administrative Analyst 1/11): $104,187 annual cost/$28,047 three-months cost
including one-time start-up costs
*All the positions listed above will be funded for the remaining 3 months of FY 2021-22.
The FY 2021-22 annual cost for the strategic positions outlined above is $1,580,653. Ongoing annual
salary/benefits costs for the above positions will be $3,298,812.
ARPA FUNDS:Total $36,700,000
Staff will be recommending the partial use of these one-time funds to allocate to several major City Strategic
Programs and Projects being proposed -$36.7 Million (Additional detail in Exhibit "A").
• $2 million allocation for California Violence Intervention & Prevention (CaIVIP) Program
• $5 million allocation for Affordable Housing
• $5 million allocation to the Brundage Lange Navigation Center (BLNC) Expansion Project
• $7 million allocation for Direct Staffing Costs
• $2.5 million allocation to Purchase Blighted Properties
• $500,000 allocation for Home Access Program
• $4 million allocation for Tourism Industry Program
• $1.2 million allocation to the Food Bank Project
• $4 million allocation to the Blue Zones Wellness Initiative
• $500,000 allocation for Health Care Industry Funding Program
• $2 million allocation for Workforce Development&Job Training
• $1 million allocation for Facade Improvements Program
• $1 million allocation for Economic Opportunity Area (EOA) Funding
• $1 million allocation for Business District Revitalization
Public Works Department Mid-Year Adjustments and Appropriations:
Public Works Department requests the following new positions and appropriations for consideration at FY 2021-
22 Mid-Year budget.
REFUSE &SEWER ENTERPRISE FUNDS: Grand Total $233,500
Staff will be recommending the use of these funds to allocate to several ongoing positions and services that
directly correlate with City Council goals, as outlined below, but covered in more detail in Exhibit "A".:
Strategic Positions-$233,500:
• Solid Waste Division (Compliance Inspector): Refuse Enterprise Funds $101,600 annual
cost/$64,400 three-months cost including one-time start-up costs and purchasing a new van & equipment
• General Services Division (Electrical Technician I (X2)): Sewer Enterprise Funs $183,000 annual
cost/$169,100 three-months cost including one-time start-up costs and purchasing two (2) new trucks &
equipment
*All the positions listed above will be funded for the remaining 3 months of FY 2021-22.
The FY 2021-22 annual cost for the strategic positions outlined above is $233,500.
Prepared by:Anthony Valdez, Assistant to the City Manager cc: Department Heads
City Manager's File
City Clerk's File
News Media File