BodyCity Council
MeetingRegular Meeting
Date📅 February 3, 2026

UnGovr Transcript

iHow this transcript is madeUnGovr transcribes the official recording with automated speech-to-text, separates speakers by voice, and matches voices to the seated roster. Names and attributions are AI estimates and may contain errors.Verify any quote yourself: click anywhere in the transcript and the official video jumps to that exact moment, so you can check any quote against the recording.
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0:00 – 0:058 turns

UnidentifiedUnidentified speaker 1Proposed0:00

You. you You. You. Yeah.

Pledge of Allegianceceremonial · click to expand · ≈16s recited, not transcribed
UnidentifiedUnidentified speaker 2Proposed4:08

Welcome everyone to our Goleta City Council meeting of February the 3rd, 2026. I gotta remember to keep saying that to myself. If you all rise and join me in the Pledge of Allegiance. Ready? Begin!

UnidentifiedUnidentified speaker 2Proposed4:43

Thank you.

UnidentifiedCity ClerkProposed · by role4:47

Yes, Councilmember Reyes-Martin?

UnidentifiedUnidentified speaker 2Proposed4:50

Here.

UnidentifiedCity ClerkProposed · by role4:52

Councilmember Kiriakou? Here. Councilmember Kasdan? Here. Mayor Pro Tempore Smith?

UnidentifiedUnidentified speaker 2Proposed4:58

Here

UnidentifiedCity ClerkProposed · by role4:58

and Mayor Parodi?

UnidentifiedUnidentified speaker 2Proposed4:59

Here Okay at this time I'd like to introduce our interpreters for this evening's meeting

0:05 – 0:1515 turns

UnidentifiedUnidentified speaker 3Proposed5:14

Good evening, we have interpretation into Spanish available if anybody prefers. Here we have some headsets. Thank you. Gracias.

UnidentifiedUnidentified speaker 2Proposed5:26

Okay, at this time we'll have public forum. Anybody that would like to speak to anything that's not on our agenda this evening and pertains to this jurisdiction? Do we have any speakers?

UnidentifiedCity ClerkProposed · by role5:39

Yes thank you Madam Mayor I have received two speaker slips and if any attendees on the Zoom webinar wish to speak to public forum please use the raised hand feature now will call upon you. Speaking first Robin Cederlof followed by Bill Woodbridge and you will have three minutes thank you.

UnidentifiedUnidentified speaker 2Proposed5:55

Good evening

UnidentifiedUnidentified speaker 4Proposed5:56

Good evening. It's so nice to be here in person, but I want to tell you I really appreciate the continuing of Zoom because often I can't get here and so it's nice to be able to listen in and comment if I need to. Fortunately last week or your last meeting I made a big boo-boo And I'm here today because I want to express my concern and give you some suggestions in the future about our local history. I am really concerned that the Chumash art piece went up the valley, to San Ynez. San Ynez has a fabulous museum I give them a lot of credit and whatnot, but we don't really have a place here in Goleta to talk about our local Chumash history.

And I hope in the future that we'll be able to do some things. Marriott, when they came in and put the residents in, they did a fabulous job with working with the local BBCI and creating a color scheme and putting images up and having a nice dedication on their site. I would love to see some of that happening at different places. You know, coming forward the new design for the golf course maybe there might be a way to do something there but I'm also looking at our wonderful Goleta Community Center.

Isn't there a way that one of the rooms could be dedicated to our Chumash history so that our local residents can go there and learn a little bit, maybe have some Chumash members coming in and doing some demonstrations and whatnot? Going to San Ynez is an all day event, and it's very expensive. So I'd love to see something happen here in Goleta. Thank you very much. Thank you for that.

UnidentifiedCity ClerkProposed · by role8:13

Thank you. Speaking next Bill Woodbridge

UnidentifiedUnidentified speaker 5Proposed8:19

Hi Mayor and Council. Thank you very much for hearing me. I did speak to James Kiriakou about this a week ago on Zoom, and I wanted to bring it all of your attention. The City of Santa Barbara recently passed a resolution, and it was confirmed last week, to freeze rents in that city until an ordinance creating a sustainable rent policy can be created and a program can be created in the city of Santa Barbara. It does not include houses or condos but most other rentals. They did confirm it last week.

My concern is that we have the same problem here in Goleta. Rents have been going up especially under the Tobbs properties at 10% a year for the last five That's unsustainable. I and thousands, tens of thousands of seniors in this city are on fixed income. I'm retired, no pension. My social security doesn't even cover my rent much less food, car costs, insurances everything else has to come out as savings. Well the savings are quickly dwindling And soon I will have nothing to live on.

And in the meantime, the rents go up 10% a year and my social security goes up 2.8% a year. That doesn't work especially after years and years and years of doing this. Tobes has no problem raising their rents the maximum they can on all of their properties. I lived in two of them. I live on Patterson Avenue now. My rent started at $1,800 a month Now it's $2,700 a month. My Social Security is under $2600 a month in four more months it's going to go up another $270 so the problem is a lot of seniors including me in this town are going to either have to leave town if not the county if not the state I don't want to leave here.

I can't afford to move Because to rent a similar apartment in another place in town would cost me now $3,200-$3,300 a month so I can't afford to stay there. Move out of town. So as James put it humoristically, this is going to become another Monaco, a town with nothing but wealthy people and very highly paid tech people in this town. That's all that's going to be left so I'm hoping you could copy and paste that resolution. I'm hoping we will quickly do something about this and arrive at the same resolution. Thank you.

UnidentifiedUnidentified speaker 2Proposed11:25

Thank you for your comments.

Agenda Discussionitems moved / continued / pulled — click to expand
UnidentifiedUnidentified speaker 2Proposed11:26

And as you know, we can't respond because it's not on the agenda this evening. But thank you. Appreciate that.

UnidentifiedCity ClerkProposed · by role11:33

Thank you. And Madam Mayor, we have two hands raised on Zoom. Alejandro Gonzalez, you'll have three minutes and please remember to unmute yourself.

UnidentifiedUnidentified speaker 6Proposed11:42

First of all y'all need a free bail bitch! Free bail bitch!

UnidentifiedCity ClerkProposed · by role11:55

We have one more hand raised. James Poku, would you like to continue on to James who has his hand raised?

UnidentifiedUnidentified speaker 2Proposed12:01

Yes.

UnidentifiedCity ClerkProposed · by role12:02

Okay. James please unmute yourself and you'll have three minutes. And Madam Mayor I have no more public speakers at this time

UnidentifiedUnidentified speaker 2Proposed12:18

okay thank you Okay, moving on to amendments or adjustments to our agenda.

UnidentifiedUnidentified speaker 7Proposed12:28

Thank you Madam Mayor I just noticing my screen wasn't working but soon we'll get it

UnidentifiedUnidentified speaker 2Proposed12:32

fixed.

UnidentifiedUnidentified speaker 7Proposed12:37

No amendments and I just have actually one short announcement for tonight speaking of history which was mentioned. We have our own history the City of Goleta And for those of you who track this sort of thing, it was yesterday apparently. February 2nd our anniversary of cityhood so 24 years as of yesterday just wanted to acknowledge that. It seems like just yesterday that we were celebrating the 20th although I wasn't here yet but I did get here just in time. I got here just in time to get a t-shirt and lots of paraphernalia And I still am using the 20th logo on my email signature. So, I'm being told by staff it's time to change that probably.

So, I'll wait for the 25th and then I'll... so yeah obviously 24th is exciting to remember that on one hand it seems like just yesterday probably for a lot of folks on the other hand you know it's been a long time and we're not a new city anymore but we're already thinking about the 25th that's that's a bigger deal And so we have a year looking at Kelly Hoover right now. She's smiling and nodding her head. We have a year to plan for some events for the 25th, a year from now.

And that's all I have.

UnidentifiedCity ClerkProposed · by role13:55

Seems like just yesterday they were cutting the cake in front of the community center in 2002.

UnidentifiedUnidentified speaker 7Proposed14:01

Yeah and also just since you brought up the community center, I think this has been mentioned before but if you see the little plaque on the side of the community center building it's almost 100 years old and there's quite a history associated with the community center. And so there's probably something we can do to tie in the hundredth year of the community center next year as well.

UnidentifiedUnidentified speaker 2Proposed14:23

Okay thank you.

UnidentifiedUnidentified speaker 8Proposed14:26

So for our anniversary, we wait and see if the monarch comes out and sees a shadow.

UnidentifiedUnidentified speaker 2Proposed14:36

Okay moving on

consent calendar

UnidentifiedCity ClerkProposed · by role14:40

Yes, thank you. That is item A1, approval of the City Council meeting minutes of January 20th, 2026. A2, acceptance of the November 2025 check register. A3, agreement with DUDEC for stormwater services. A4, amendment number two to agreement number 2025-046 with M&S Engineers Inc. for professional services for the 2025 arterial pavement project. And A5, agreement for Goleta's 4th of July drone show light vendor and acceptance of donation of funds for the 4th of July drone light show event above $10,000.

UnidentifiedUnidentified speaker 2Proposed15:17

OK. Council wish to pull any item from consent? I'm not seeing any. Do we have any speakers for consent?

UnidentifiedCity ClerkProposed · by role15:30

Thank you, Madam Mayor. I've not received speaker slips and if any attendees on the Zoom webinar wish to speak to this item please use the raised hand feature and I will call upon you. Madam Mayor, I'm seeing none.

UnidentifiedUnidentified speaker 2Proposed15:42

Okay looking for a motion to approve consent calendar.

UnidentifiedUnidentified speaker 9Proposed15:47

So moved.

UnidentifiedUnidentified speaker 8Proposed15:48

Second.

Roll-call vote Passed 5–0 moved. Second. Thank you
Show transcript
Thank you council members. Reyes-Martin? Aye. Council Member Kuriako? Aye. Council Member Kasdan? Aye Mayor Pro Tempore-Smith? Yes And Mayor Parodi? Aye

0:16 – 0:2212 turns

UnidentifiedUnidentified speaker 2Proposed16:04

Let me log it in there. Uh oh, not letting me. But I'm an

UnidentifiedCity ClerkProposed · by role16:09

aye. Sorry, I could start the voting procedure if you'd like for consent. I apologize.

UnidentifiedUnidentified speaker 2Proposed16:15

That's okay. We all agreed it's unanimous Okay. Presentation?

UnidentifiedCity ClerkProposed · by role16:24

Yes, that is item B1, fitness with racial business recognition.

UnidentifiedUnidentified speaker 2Proposed16:34

Who's going to come up and say a few words about this?

UnidentifiedUnidentified speaker 8Proposed16:39

Yes. It

UnidentifiedUnidentified speaker 2Proposed16:42

doesn't work because it's not turned on. What a concept!

UnidentifiedUnidentified speaker 8Proposed16:47

Oh there we go.

UnidentifiedUnidentified speaker 2Proposed16:50

We're spoiled, everything's usually turned on and waiting for us. Here we go, okay.

UnidentifiedUnidentified speaker 10Proposed16:55

Good evening, Mayor and Council. Blake Markham from the City Manager's Office here to just briefly introduce our Business Recognition Program once again. As a reminder this program was approved back in 2024 and since then we have recognized two businesses. The program is intended to highlight exceptional Goleta businesses for their notable achievements and unique contributions to the community Recognition can be based on factors such as longevity, economic development, prosperity, sustainability, resilience or other efforts that promote community enrichment.

And honorees are given a certificate at a City Council meeting like we'll be doing tonight. They're also featured in our Monarch Press and on the business recognition page of our website. We're doing this once a quarter so we have Our forum open now for any nominations and folks are encouraged to go to the business recognition page of our website and send in nominations. And self-nominations are accepted. With that, I pass it to you.

UnidentifiedUnidentified speaker 2Proposed18:04

Thank you. Will Rachel please come up to the podium? We'll take some pictures and if you'd like to say a few words, please do. But this is exciting for me because what we've done in the past is we've recognized businesses for being successful but they're leaving. We're saying goodbye and we're acknowledging their business and how long they've been here But I thought, and my colleagues agreed, we all thought that it would be really nice to have, really acknowledge and recognize the businesses that are successful and doing well and are not leaving.

So that's how this came about. And you are our third recipient. And so it's my honor to present you the City of Goleta Business Recognition Award. This certificate is proudly presented to Rachel with, oh fitness with Rachel, excuse me. For its success as a woman-owned business and dedication to enriching the lives of seniors and residents through fitness and connection. So important. Awarded on this third day of February, 2026 and signed by myself and Robert Nisset our city manager.

And thank you so much for what you do. I was just talking to a friend the other day that mentioned That she had heard about this really great place in Goleta to go and work out. And I said, where is that? And she said it's Rachel, Rachel Fitness by Rachel. And they said well they're getting a recognition. That was just a coincidence that came up. I was just like wow! So do you want to take a picture and then picture with all of us?

UnidentifiedUnidentified speaker 11Proposed21:00

Thank you so much for this recognition. Really first and foremost, thank you so much to the City of Goleta and everyone here. I was born and raised here in Goleta and it's been such an honor and a privilege to grow my business here in the place that I really do think of as home. So that's, it's just lovely. Thank you so much. I also have to say thank you to my family, to my husband and to my kid for all of your hours of unpaid labor and being voluntold to do various tasks around the studio. Thank you so much for all of that help. And being a small business owner can be fairly inconsistent in The hours that I work and a little bit chaotic with the financials. And so thank you so much for your support for all of that during those years.

I also have to say a special thank you to my mother-in-law, Janice Molloy. I would not be doing this if it were not for your encouragement and your mentorship. Thank you so much for nudging me persistently all those years ago to get into this line of work. It's really been just, it makes my heart so happy. So thank you for that. And finally, I have to say thank you, of course, to all of my clients, so many of whom are here tonight showing their support You are the secret sauce that makes Fitness with Rachel unique and special. And I obviously wouldn't be here if it weren't for all of you. I absolutely love what I do, and you're the reason I am so very happy to go to work every single day. So thank you very much.

Thank you.

0:22 – 0:318 turns

UnidentifiedUnidentified speaker 2Proposed22:53

Thank you. Do we have any speakers?

UnidentifiedCity ClerkProposed · by role22:56

Thank you, Madam Mayor. I have not received any speaker slips and if any attendees on the webinar wish to speak please use the raised hand feature and I will call upon you. Madam Mayor, I'm seeing none.

UnidentifiedUnidentified speaker 2Proposed23:07

Okay thank you for what you do.

UnidentifiedCity ClerkProposed · by role23:13

That takes us to item B2 project connect update.

UnidentifiedUnidentified speaker 2Proposed24:11

Oh, you are definitely loved. Yes, Nina. Go ahead.

UnidentifiedUnidentified speaker 1Proposed24:23

Good evening Madam Mayor and City Council. Tonight is an exciting milestone for Public Works. We're close to our two-year anniversary of starting Project Connect which is really exciting for us and we're honored that we've been able to deliver the largest project in the city's history so I think that's a great thing. Tonight we'll have our talented project manager Melissa Angeles presenting And we also have our construction management team, Unico staff here for any construction questions that may come up. So I'm going to pass it on to Melissa.

UnidentifiedUnidentified speaker 2Proposed24:57

Great thank you.

UnidentifiedUnidentified speaker 12Proposed24:59

Good evening mayor and council members tonight i'll be sharing an update on Project Connect beginning with a brief project overview followed by improvements completed to date remaining work and our public outreach efforts Project Connect is a combined transportation and infrastructure project located in Old Town Goleta. The project brings together the former Echols Street and Fowler Road extensions project, and the Hollister Avenue bridge replacement project both of which had been in development for many years and were identified as the city's highest priority transportation projects The two projects overlap along Hollister Avenue near the State Route 217 interchange.

To minimize construction-related disruptions, limit lane closures and improve overall project delivery, the city combined the projects into a single construction contract which was awarded in December 2023. Project Connect includes construction of new and improved roadway connections, intersection and interchange improvements and significant pedestrian and accessibility enhancements.

This includes new and upgraded sidewalks, curb, gutter and the reconstruction of curb ramps to meet current ADA accessibility standards. Improving pedestrian connectivity throughout the corridor. Equal Street is being constructed to provide a new connection between Kellogg Avenue and Fairview Avenue and includes it and includes a roundabout at the Equal Street and Pine Avenue intersection.

The Fowler Road project will construct sidewalk, curb gutter and drainage improvements along South Kellogg Avenue. At Hollister Avenue and State Route 217, two roundabouts will be constructed at the northbound and southbound on-ramp and off-ramp intersections to improve traffic operations and safety. Project Connect also includes a replacement of the Hollister Avenue Bridge increasing 100 year storm capacity beneath the bridge and improving the overall hydraulic performance.

San Jose Creek Channel improvements and fish passage enhancements are also included Construction began in March of 2024. To date, approximately two-thirds of the project has been completed with major roadway bridge and utility improvements substantially in place. Major milestones include completion of the Hollister Avenue Bridge, drainage improvements, realignment of Dearborn Place, sidewalk driveway curb and gutter improvements including ADA compliant curb ramp reconstruction Traffic signal upgrades, construction of the Equal Street roadway from Kellogg Avenue.

I'm sorry, Kellogg Way to Fairview Avenue. Installation of roundabout raised medians at Ward Drive and Equal Street. Construction of the Hollister Avenue Old Town interim striping project. Installation of parking lot wayfinding signs in Old Town and reconstruction of the Orange Avenue parking lot which was added as a construction change order to leverage economies of scale and reduce overall construction costs.

Remaining work includes construction of roundabouts at the Hollister Avenue intersections with the southbound and northbound State Route 217 ramps and at Equal Street and Pine Avenue. Fowler Road improvements along South Kellogg Avenue, street lighting installation, additional sidewalk curb and gutter work, final roadway surface treatments and striping, realignment of the State Route 217 on-and-off ramps at Hollister Avenue, San Jose Creek Channel improvements, and landscaping and mitigation plantings. Project completion is anticipated in spring of 2027.

Public outreach efforts have included the project groundbreaking ceremony, booths at the annual public works week and the state of the city. An ongoing project communications such as a dedicated web page email and contact channels door hangers mailed postcards site signage press and media coverage in English and Spanish video messaging and community support campaigns during construction Throughout construction, the project outreach team has actively engaged the community responding to more than 700 inquiries to date.

A dedicated email address and phone number have been set up for residents and businesses to reach the project team. The project team continues regular coordination with property owners, businesses, the school districts, the Santa Barbara South Coast Chamber of Commerce, Greater Santa Barbara Hispanic Chamber of Commerce, MTD, Caltrans, utilities The City of Santa Barbara Airport District, UCSB, Santa Barbara County Sheriff and Fire and Emergency Service providers regarding construction impacts.

A public outreach plan is in place for the next traffic pattern change on Hollister Avenue when the roundabouts will become operational. This change is anticipated to occur in the spring of this year though the schedule may change due to unforeseen construction conditions or weather impacts. Outreach for the traffic pattern change will begin approximately two weeks in advance and will include press releases, web page updates, electronic message signs, short instructional videos demonstrating how to use the roundabouts and updated maps showing the new traffic patterns. Construction updates and additional outreach information are available on the project webpage.

The total construction contract award is $62,746,460.70. In addition the City Council authorized the Public Works Director to approve contract change orders as needed in an amount not to exceed $8,801,628.33. To date $4,035,443.09. has been spent on approved change orders. The largest share of these expenditures is associated with the Hollister Avenue Interim Striping Project, reconstruction of the Orange Avenue parking lot, accelerated work at the Hollister Avenue Bridge due to utility conflicts and unforeseen site conditions.

That concludes my presentation. Staff is available to answer questions. Thank you.

0:31 – 0:4435 turns

UnidentifiedCity ClerkProposed · by role31:13

Thank you, Madam Mayor. And thank you staff for that efficient presentation just like you've been efficient with the project so far. Two-thirds completed. Congratulations. That's great. We're not quite two thirds of the years that we anticipated it would take but your two thirds done. That's great. My first question is about the roundabouts and I appreciate that you're working on a communication plan and you kind of laid out kind of the broad contours of that In terms of how the roundabouts are going to function though, are the roundabouts going to functionally perform when they're ready the way they're supposed to when the project is completed or are there going to be differences? Examples of differences might be lane striping versus maybe just some kind of simple arrows.

Will it be fresh pavement or will it be something rougher? Because you're going to do the final pavement when you do, you know, the final treatments on it. I just want to get a sense for the public of what are they going to experience when they start going through those roundabouts?

UnidentifiedUnidentified speaker 1Proposed32:20

Council Member Kiriakou, thank you for the question. So I discussed this with Melissa today and we got notice from the contractor that there will be one lane in the eastbound direction of the roundabout and that's because they still have to work on portions of the bridge. We still have to do the work underneath the bridge where the channel works so they need access there so that's why it's gonna be in one lane and then there'll be two lanes on the westbound direction Everything will be striped. We won't have the full fixtures of the curb and gutters at this point, and the pavement I'm not sure if it's gonna be patch paved or it's gonna be a new pavement but it'll definitely be two inches lower if it is a new pavement.

After the project's done and we're ready to do the final pavement we are going to do a rubber asphalt pavement.

UnidentifiedCity ClerkProposed · by role33:06

Okay. And then I guess my follow-up question then is so if one of the roundabouts, and I believe you said it was the eastern roundabout, the one that's closer to Dearborn Place and Kellogg Avenue? Or are we talking

UnidentifiedUnidentified speaker 1Proposed33:19

about Ward?

UnidentifiedCity ClerkProposed · by role33:21

Both roundabouts

UnidentifiedUnidentified speaker 1Proposed33:21

will have one lane in the east direction and two lanes in the westbound direction.

UnidentifiedCity ClerkProposed · by role33:28

So then I guess my follow-up question to that is if you're driving towards The first roundabout will be in you're approaching Kellogg. As of right now, you have cones that start to narrow before you get there and it kind of closes off the bus station. Do we anticipate those cones will stay a while longer?

UnidentifiedUnidentified speaker 1Proposed33:56

I'm not 100% sure if the cones will be there or they'll have striping, but we will have mechanisms in place that follow the California MUTCD to ensure safety. So it will be either cones or it will be striped.

UnidentifiedCity ClerkProposed · by role34:08

Okay. And then one thing that also kind of stood out for me is can you go back to the slide that had the change orders?

UnidentifiedUnidentified speaker 2Proposed34:17

Yes.

UnidentifiedCity ClerkProposed · by role34:19

You might know where I'm going with this already. So the project is two-thirds completed and it looked like change orders we had spent less than 50% of the money that we'd put into change orders. And I just wanted to make sure I understood that correctly because I know there have been a lot of concern with, you know, striping project being processed as a change order and perhaps even some concern from some because I believe the Orange Avenue parking lot striping and repaving was done as a change order.

So I'm just wondering, it looks like we're doing pretty well on change orders so far. Do you have reason to anticipate that that's going to even out by the time the project is done just because of what's left? Or do we think there's a possibility that we might actually fall under what the authority was?

UnidentifiedUnidentified speaker 1Proposed35:10

I think it's still too early to tell, especially because we're gonna be doing in creek work. So we're gonna be doing some removal so we're gonna get into material we haven't seen before these potentially could be cultural resources. So we are holding on to that change order budget as tightly as possible in the event something comes up.

UnidentifiedCity ClerkProposed · by role35:29

Okay thanks that's all I have for now.

UnidentifiedUnidentified speaker 9Proposed35:32

Council Member Reyes-Martin. I have a question about signage. So when I've been out either here and I'm thinking of other kind of locally known roundabouts like the milk bus and then the ones in Montecito but even in other parts of California, Paying more attention as a driver, that experience. And one thing I noticed is when the signage is really good it's pretty seamless as a driver to know what to do or where to be depending on where you want to go and the signage really varies. You know, I've seen some that are fairly large with diagrams that really show really clearly if you're wanting to get on a freeway on ramp for example here's where you want to go.

Has that been kind of thought through and decided on what kind of signage there will be for drivers? And do you look at kind of what some best practices are for the most effective and helpful signage for drivers?

UnidentifiedUnidentified speaker 1Proposed36:37

Councilmember Reyes-Martin, thank you for the question. What we're going to initially do is do all striping so it'll have arrows and kind Lane lines to show people how to move through the roundabout and as we go through this process, it'll be a learning curve. So if we do need to add more signage that's something we certainly can do but we will be monitoring it throughout the whole process so if there's anything that comes up it's something that we can quickly change and adapt.

UnidentifiedUnidentified speaker 9Proposed37:05

But right now there's no plan for signage other than the striping on the road?

UnidentifiedUnidentified speaker 1Proposed37:13

We're gonna be placing yield signs, but I don't recall that we have the signage of an actual diagram of a roundabout. So I can confirm that.

UnidentifiedUnidentified speaker 9Proposed37:23

Well, that will definitely be something I think to keep an eye on because I think those can be really helpful. And I'm glad that we've got some change of our money in there if we need to but that will be good and maybe there's a way to get some feedback from folks as they start to experience that on what kind of signage would be helpful. I think

UnidentifiedUnidentified speaker 1Proposed37:43

that's probably something pretty simple for us to add so we'll talk to the CM team to see if we can add that.

UnidentifiedUnidentified speaker 2Proposed37:48

All right thank you. Council Member Kasdan?

UnidentifiedUnidentified speaker 8Proposed37:52

Yeah, first I wanted to follow up on Council Member Reyes-Martin's observation about especially the roundabouts where...I guess two things. We've heard a lot of concern from the bicyclists for instance that one member of the public kept referring to them as meat grinders I believe was his term which was very evocative But the other thing, my own experience. I used to live in Washington D.C., and there were roundabouts there usually with a general on a horse in the middle of it. Roundabouts are pretty easy when it's a one-lane roundabout but when it's two lane roundabout they get a lot more challenging and you can find yourself sort Going around and around in the roundabout trying to figure out when to get over and things like that.

And I remember bringing this up when Charlie was here, and he said well that's an older design that they had or something like that. So I don't know if concentric circles are changed dramatically over time but I guess where I'm going with that is if there are certain signage or other stripings or things that'll make it Simple just to keep that in mind because my own experience, those roundabouts can get tricky for drivers.

I did have, you don't have to say anything.

UnidentifiedUnidentified speaker 1Proposed39:25

Well I was just, Council Member Caston thank you for the question. I was just gonna add that during the time where we're adding the roundabouts into the final roundabouts, we're gonna share the road signs but we're also gonna have sharrows in the pavement and once the roundabouts go full bore and we add all the multi-use paths there's going to be other means of travel for the public, for pedestrians and bicyclists

UnidentifiedUnidentified speaker 8Proposed39:50

I look forward to seeing it. The other thing, I didn't even realize we had added when we added it shows my inattentiveness I guess but the that the Orange Avenue parking lot got out of that's awesome. I mean that has been yeah because that's been kind of languishing on our CIP list for a long time. We spent a ton of money to buy the parcel and it's you know it just I mean there'd be other things ideally that we would do with that but it's great that we're fixing it up.

And one other observation I had, one other thought is that for future presentations like this then maybe we could get the folks from someone from Neighborhood Services also my thought is that part of the goal that we had with this was not just to enhance circulation and make it safer but also to make the neighborhood, I'm talking about the Lane Restriping more walkable and actually to benefit businesses that this would be a positive thing for the businesses as we develop it. And so I know in Neighborhood Services they've got business support programs and you know they're doing other things probably with walkability or maybe zoning, I don't know but it might be valuable just to also report What if they, you know here are the things we're doing to enhance the goals of the project that are not necessarily public works per se.

UnidentifiedUnidentified speaker 1Proposed41:25

Well I have some... You're

UnidentifiedUnidentified speaker 8Proposed41:25

looking dubious or skeptical. No. I'm

UnidentifiedUnidentified speaker 1Proposed41:29

sorry, I was thinking something else. Oh. I have some news to add to that. We're going to come back on April 7th to give an update to the Hollister interim striping so I think all your answers, all your questions will be answered.

UnidentifiedUnidentified speaker 8Proposed41:41

Okay.

UnidentifiedUnidentified speaker 7Proposed41:44

I guess that's it. Thank

UnidentifiedUnidentified speaker 2Proposed41:45

you.

UnidentifiedUnidentified speaker 7Proposed41:47

If I could just jump in on it, I was thinking about something else but it was related to roundabouts so maybe that's why my face looked like that. Since I got called out on it, I will tell the anecdote. So as the question came up about the signage and then the further question about whether two lanes more confusing than one, that's where my mind was going. There is a couple of roundabouts that are somewhat regular basis that are two lanes But I'm not frequent enough that I know exactly what to do every time, right? I think if you use them every day you get used to it. And so what my experience is is that you get a little confused if you should use the right lane or the left lane but if you think about it for just a second it becomes obvious.

If you're getting off at one of the earlier exits either the first or the second exit use the right lane. If you're getting off at the third exit use the left lane And what I've seen, there are signs on those double lane ones to try to help mitigate that confusion of depending on the exit you're choosing which lane should you... So anyway Public Works will look at all this. That's what I was thinking about Council Member Kastner. Okay

UnidentifiedUnidentified speaker 8Proposed43:01

well actually and as I was thinking about it also Washington might be a peculiar or not a good comparison because they have so many tourists And, you know, it might be the people as opposed to people who regularly go through it. So I don't know. Okay. Thank you for your...

UnidentifiedUnidentified speaker 2Proposed43:23

If you get confused, you just keep going around until you figure out where... That's

UnidentifiedUnidentified speaker 8Proposed43:26

what my wife would do. She'd get stuck in the middle and go round and round.

UnidentifiedUnidentified speaker 2Proposed43:31

My question is more about pedestrians and bicyclists. You know when we open up the roundabouts are we gonna be making sure that they understand Their lane, where they're supposed to be and the kids walking to school. There's a group of kids that walk to St. Raphael School.

UnidentifiedUnidentified speaker 1Proposed43:49

Mayor Prodi thank you for the question we're gonna do a full media blitz once everything is installed. We're also going to do a video in-house to show how to use the roundabouts, how pedestrians can use the roundabouts and bicyclists as well

0:44 – 0:4911 turns

UnidentifiedUnidentified speaker 2Proposed44:06

Okay. That's good if they're looking on the Internet for, I mean how else are we getting the information out? Are we doing anything else for those that may not be looking at social media? I mean there are people that aren't looking at social media.

UnidentifiedUnidentified speaker 1Proposed44:28

Currently we've been doing a lot of public engagement with our outreach team, but if there's more that we can do, we can certainly do that.

UnidentifiedUnidentified speaker 2Proposed44:42

Okay, that's good to hear because those are two groups that I have a little bit of concern about basically because the two lanes. So that always been my concern or somebody that's disabled trying to

UnidentifiedUnidentified speaker 1Proposed44:55

get... We've had a lot of public engagement with the school districts so we can easily reach out to them because we are aware that a lot of kids use that route for certain schools. So we can easily reach out to them and even go to the schools and do a demonstration.

UnidentifiedUnidentified speaker 7Proposed45:12

And just as a reminder, because I am now remembering a little over two years ago, probably three years ago. Because I think it was before Nina was here but we were having a discussion and there were some questions in that regard about the sidewalks you might recall and there was an explanation about how wide the sidewalks were. But at that time I also remember that the design of it is such that if you're a cyclist you can certainly ride through the roundabout but there's an option as a cyclist to exit Before you get to the roundabout, share the sidewalk and then get back on. And I remember that conversation from Tuna. And that's the design of the one on Los Caneros too, I believe.

UnidentifiedUnidentified speaker 2Proposed45:53

Right. Council Member Carioca?

UnidentifiedCity ClerkProposed · by role45:56

Yeah so I can actually add to that because I live right where the construction of the roundabouts is happening. One of the real benefits of the way the project was designed when it came to final design after Comments I remember from Councilmember Kasdan, the Mayor, former Councilmember Richards who are very concerned about bike and pedestrian safety is those parts of the sidewalk that are right by the roundabout have been widened. So it's share the sidewalk not just share the road. You share the sidewalk there. It's a wider sidewalk in those more impacted areas but one of the other improvements that I really appreciated about the final design is there's little pedestrian shelters with at least some of the roundabouts. So when you're trying to cross over two lanes and then two lanes, there's actually a shelter where you can stop and pause and it's a physical built structure.

It's not just signage. It is real concrete. It is real structure so I really appreciate that. I think in terms of outreach one of the suggestions I would have and I'm happy to participate is actually going and talking to St. Rayfield School, and I know from having talked to them previously they had a lot of concerns not just about the roundabouts but also about some of the development that's happening right across the street with so many housing units and what would that do to traffic in that area? So I think having the conversation directly with the school would be really helpful but then also making sure they realize that these changes are being made with safety in mind not just those pedestrian shelters, but there's also places before you really get into the meat of the roundabouts where there's crosswalks that didn't used to exist before.

When you lived in Old Town or if you're traveling around Old Town, you never used to be able to safely cross the street at Dearborn Place. That was not something that existed and now that is an actual crosswalk that exists. So I really like the way that our staff have incorporated the bridge project with The 217 circulation improvements with safety in mind to make these changes. And I think they were really being responsive to past and current council.

UnidentifiedUnidentified speaker 2Proposed48:01

Thank you, Mayor Pro Tem Smith.

UnidentifiedUnidentified speaker 13Proposed48:04

Oh yes just briefly actually to follow up on your comment. I do think in terms of out outreach you know I'm thinking back a couple years ago And city staff did a presentation about how complicated it is that we're all receiving information in so many different ways. So I do think our television outreach, KEYT and even to the extent we could use our public access channel remain important.

Options because we're just all everybody's consuming information in so many different ways You know and certainly in terms of using our own Community center to for outreach as well. So I just support those concerns

UnidentifiedUnidentified speaker 2Proposed48:56

Any more questions, do we have any speakers from the public?

UnidentifiedCity ClerkProposed · by role48:59

Thank you, Madam Mayor. I have received one speaker slip and as a reminder to those on the Zoom webinar if you wish to speak to this item please use the raised hand feature and I will call upon you. Speaking first I have Barry Remus and you'll have three minutes.

0:49 – 0:5413 turns

CommentBarry RemesProposedself-stated49:13

Good evening. It's great to see you again, Mayor Parodi and council members. My name is Barry Remes with MOVE Santa Barbara County and first want to say happy anniversary to the good land and also congratulations on Project Connect being two-thirds of the way through but yes get that change order money ready And I'll tell you why, because basically move is really pleased to see the progress on this and we also want to commend the public works team for making a decision that you did make about the efficiencies of scale by incorporating change order approach with the Hollister Old Town interim striping project.

So I think that was a job well done. We are really looking forward to the implementation of the roundabouts, not only also the extension of Equal and Fowler and the pedestrian and bike improvements there as well as ADA curb and hopefully our strong suggestion is that the public works in the design team are following PROAG guidelines so Guide a wheelchair user diagonally into the street, but have perpendicular wherever possible and then let's get to the roundabout We're really excited be able to see those multi and we want to not call them sidewalks. So we really want to call them multi-use paths as Director Brenna mentioned before because this is a shared past path that could be both for pedestrians ADA access as well as bicyclists and other wheeled users who don't opt to take the road, take the lane and ride through the roundabout.

But it's great that both options are going to exist. And we were really encouraged by the initial design for a 10 foot wide multi-use path and circumnavigating both roundabouts and we really are hoping that that's still gonna be the case. And we look forward to not only that safe access once the roundabouts are completed but we really, really are hoping that during construction we're still being mindful of allowing safe pedestrian and bicycle paths, bicyclic access, excuse me, access During the construction phase and it's not an afterthought.

Two lane roundabouts according to the new proag pedestrian right-of-way accessible guidelines now allow for and call for in a matter of fact on the milpus roundabout we're soon going to see rapid rectangular rapid flashing beacons at the crosswalks which is really something to consider because that ensures further safety for pedestrians crossing through the roundabouts. And as well, when the implementation happens we would wonder definitely with a two-lane roundabout we highly and strongly recommend the wayfinding signage that's graphic As Councilmember Reyes-Martin alluded to, it really does help guide all road users through the roundabouts. And also a phased approach that the City of Santa Barbara took with the Los Patos Roundabout is to implement stop signs in the initial phase of the roundabout just so that it gives people, all users you know a chance to be phase into the circulation element.

It may not be perfect in this location but it's something to consider.

UnidentifiedUnidentified speaker 2Proposed52:17

Thank

CommentBarry RemesProposedself-stated52:17

you.

UnidentifiedCity ClerkProposed · by role52:20

Speaking next, Ashley Martinez-Lopez. You'll have three minutes and please remember to unmute yourself. Thank you.

UnidentifiedUnidentified speaker 6Proposed52:31

First of all I'm still on the rent stuff and that little boy in the background with a white shirt near the door, bitch you need to leave. You're like 12 years old. Get your ass to bed. Fuck y'all home council.

UnidentifiedCity ClerkProposed · by role52:44

Madam Mayor, I have no public speakers.

UnidentifiedUnidentified speaker 2Proposed52:49

Okay, so this was just a presentation. Thank you, timely. One real quick question did the rain and the storm do that set us back at any or we kind of still on schedule here? It must have in some degree

UnidentifiedUnidentified speaker 1Proposed53:08

Mayor Parodi, that set us back on the roundabout schedules. We were originally going to have them installed at the end of January but because of the huge rainstorms other subs were delayed so we had to push it back.

UnidentifiedUnidentified speaker 2Proposed53:20

Okay all right thank you thank you so much for this. Councilmember Kariakou did you have a

UnidentifiedCity ClerkProposed · by role53:24

question? Yeah I just wanted not questions just want to thank staff again and just a couple closing thoughts. I'm really pleased with the progress that's being made in terms of making Old Town safer in terms of making Old Town work better Have better circulation. This is an important project, not just for Goleta and not just for Old Town but really for the region. And so I'm really proud of the work that you're doing. Your team deserves to be commended.

And I also just want to say how excited I am just how sometimes things work out when I think about the work that's being done here. We're so close to having really a new entrance into Goleta from the east And a wonderful way to welcome people into our city and to welcome people into Old Town, and to have a sense of place in terms of that welcoming kind of landmark for the first time. And at the same time that that's happening we have the potential on the western end to have restored a historic Barnstall Rio Grande gas station, welcoming people with an ode to our historic past on the west end. It just seems to be on track to potentially happen around the same time potentially.

I'm just so excited to see these things all coming together, and I just can't thank you enough.

UnidentifiedUnidentified speaker 2Proposed54:40

Thank you. Okay,

moving on to our next item.

UnidentifiedCity ClerkProposed · by role54:45

Thank you. That takes us to Item C1, authorization to advertise for bids for the Cathedral Oaks Road and Cribwell Replacement Project Phase 1 and Phase 2.

0:56 – 1:0318 turns

CommentMichael WinowiserProposedself-stated56:09

Hello and good evening, Madam Mayor and Council Members. My name is Michael Winowiser, Project Manager for the Cathedral Oaks Curb Wall project. It's my pleasure to be here back again so soon to present for you. To my right is Ms. Autumn Glazer, Assistant Public Works Director. And it's our pleasure to present this project update alongside our agenda item. Our team is excited to share how far the project has

UnidentifiedUnidentified speaker 2Proposed56:34

progressed.

CommentMichael WinowiserProposedself-stated56:37

Tonight

UnidentifiedUnidentified speaker 2Proposed56:39

I'm having a hard time holding back my excitement, but I will try. Can you feel it? Sorry.

CommentMichael WinowiserProposedself-stated56:51

Tonight, I'll be providing a brief overview and update. The Cathedral Oaks Road and curb wall project has now been split into phase one and phase two. I'll actually start with phase two since that is the portion of the project with which we're more familiar. Phase two will demolish the two failing curb walls and replace them with two soldier pile soil retaining walls.

As well as regrading the slope and a newly paved multipurpose path. I want to note, however, that to accomplish this work the portion of Cathedral Oaks Road between Winchester Circle and Calle Real will need to remain closed for the duration of construction. Which brings us back to phase one. Phase one is a pavement improvement project. Before closing the road to start phase two we'll be paving the length of Winchester Canyon Road as well as Calle Real between Cathedral Oaks and Winchester Canyon Road.

The purpose of these improvements is to offset the downside of closing the road for traffic to and from Highway 101 and West Hollister Avenue. Essentially, we're improving the expected detour route On the screen, you'll see a map identifying the project locations. Phase 1 is represented in blue and phase 2 in green. Both phases are in the late stages of design and we're anticipating taking phase one out to bid in the spring of 2026 and phase two in the summer.

Construction activities for the project are anticipated to be completed by late 2027. I'd also like to emphasize our intention to provide consistent outreach throughout both phases of construction, which was highlighted in the staff report. Our team will provide consistent webpage updates along with dedicated project email and dedicated phone line. We will be hosting a neighborhood open house to welcome questions and feedback. More details on the date and time of this open house will follow in the coming months.

Finally, as stated in our staff report we recommend the council authorize staff to advertise a notice inviting construction bids for the Cathedral Oaks Road and Kerr Wall project phase one and phase two. Thank you for your time. We'd be happy to answer any questions you may have. And I've also added the project contact information here for the viewing public.

Thank you.

UnidentifiedUnidentified speaker 2Proposed59:26

Thank you. Questions? Council? Mayor Pro Tem Smith.

UnidentifiedUnidentified speaker 13Proposed59:32

Yes thank you. And so just to clarify, because I know I had this question. The paving work that's done will be in the detour areas? Is that correct? So that will happen first?

UnidentifiedUnidentified speaker 14Proposed59:48

Councilmember Smith. Yes, that is the purpose for the paving is to prepare that for the detour

UnidentifiedUnidentified speaker 13Proposed59:55

Okay And then one question I had is you know that That area I was just thinking about Potential impacts. I guess I'm wondering about the role of Caltrans to the extent that that's also where the freeway exits And just thinking about if there is more detour traffic through there, could there be potential for... Usually there's not much backup in that area. But in any case, that just makes that intersection a little bit unusual.

UnidentifiedUnidentified speaker 14Proposed1:00:36

We do work with Caltrans regularly and we're in coordination almost daily for various reasons. So we would definitely give them a heads up that we have a detour taking place when we, we have closed Cathedral Oaks in the past so we have you know some anecdotal evidence and it didn't back up at that location but we would watch for that if we started to see that we would need to make accommodations.

Great thank you

UnidentifiedUnidentified speaker 2Proposed1:01:07

Yeah,

UnidentifiedUnidentified speaker 8Proposed1:01:08

no I was just thinking for picking up my son. I'll have to go calle real I think But I Guess I was curious with respect to the same idea so and we did the lane restriping on Cathedral Oaks most recently We had that segment that we did and so the portion therefore from from essentially the 101 area all the way up to, I forgot where our project started. Didn't have a bike lane added in the same. Some of it had it on the north side of the street.

But anyway, I guess now we're gonna see a fully contiguous or fully connected bike path as a result of this restriping going from the, you know, The 101 section all the way to the high school?

UnidentifiedUnidentified speaker 14Proposed1:02:08

The existing bike path that's currently fenced off will be reopened to the public. So it won't add bike lane or lanes in this project, so it'll just open and reconstruct the area that's been closed off for... And

UnidentifiedUnidentified speaker 8Proposed1:02:27

that's on the north side of the street. Correct. So on the south side of the street there won't be any changes because right now we've added In the past, previously in the most recent re-striping, I guess it was kind of a re-striping and a repaving. We added on the south side of the street a portion that was a bike path. And my concern has always been that if somebody's bicycling along they're unlikely to feel safe if only a portion of their path is protected or has a bike lane So we won't be adding therefore any bike paths as a result of the re-striping here on the south side of the street. We will be expecting that they go on the north side of the street and then cut over and go or something like that?

UnidentifiedUnidentified speaker 14Proposed1:03:16

I might need your...

UnidentifiedUnidentified speaker 8Proposed1:03:19

I know, that's not what

UnidentifiedUnidentified speaker 14Proposed1:03:20

this... Your map but the location for the crib wall, we will not change the striping. The striping will be as is so I think you're referring to Winchester?

UnidentifiedUnidentified speaker 8Proposed1:03:29

Yeah

1:03 – 1:1014 turns

UnidentifiedUnidentified speaker 14Proposed1:03:32

Where there's room and space, we will add striping for a bike lane. But it will not change the infrastructure or widen the streets so if there isn't room and space we won't be able to add it but yes the intent is wherever we can with the paving project we would add striping for a bike lane.

UnidentifiedUnidentified speaker 8Proposed1:03:50

Did she take away

UnidentifiedUnidentified speaker 7Proposed1:03:51

what you were going to say? Council Member Cassin, I can add to that as a heavy cyclist user of that section. I know it very well. So as Ms. Glazer said the project is not creating a new bike lane but one has been closed for over seven years due to the crib wall. That section of bike trail is a separated two-way trail so when they open that back up then it will be continuous separated from traffic all the way from the highway, all the way to the new section that we added that you're referring to. That we made it separated by putting the parked cars as a buffer so essentially almost all the way to the high school you'll have a separated section where you're protected and but on that section there will also still be what are called class 2 bikeways along the travel lanes and so someone will have a choice just like they do now, but it'll be continuous.

You can either use the protected class one or you can use the class twos which are probably six feet wide along Cathedral Oaks. I don't want to divert the

UnidentifiedUnidentified speaker 8Proposed1:05:06

conversation but just a clarification this is about the crib wall not bike paths So the class one you're referring to is on the north side. And would we be then, so in other words if we want people to go north side and then down to the south side to continue their route, then I think we just need to ensure that there's signage and stuff like that to let them know or there's a path.

I know this like a hawk kind of thing along the way or light up, so anyway. Just something to keep in mind that if we want them to switch sides of the street, we have to kind of let them know. I was curious the open house what is the purpose of the open house just to tell people about what's coming and how it's going to be closed and how long it's gonna last and so forth?

UnidentifiedUnidentified speaker 14Proposed1:06:05

Correct, yeah. It would be another mechanism to get publics, to get to the public and let them know and let them ask questions to the project team. Something we would typically do for a number of CIP projects especially when there are impacts to the detour. Yeah so we would do that ahead of... We would do it after award of construction so that we had the contractor schedule and that allows us to give more clear information on schedule.

UnidentifiedUnidentified speaker 8Proposed1:06:35

Because it's fine to do, it doesn't hurt. But a lot of what you're hoping to accomplish is kind of passive. We're not aiming to receive information from the public or anything like that. So schedules, timing, flyers and emails and all social media can deliver a lot of that?

UnidentifiedUnidentified speaker 14Proposed1:06:57

Correct. And we use all forms of communication so that we reach all users.

UnidentifiedUnidentified speaker 8Proposed1:07:03

Okay those are my questions. And it's very exciting, the curveball.

UnidentifiedUnidentified speaker 2Proposed1:07:07

It is very exciting and I so appreciate how you repaved the path up to the point where they can't go anymore but then also directed people that...I've seen people use that and they understand how it works even walkers. So thank you, I really appreciated that. And I have to tell you that I've lived down below in the canyon almost 40 years and was never a road. Winchester or Cathedral Oaks, it was extended and I can't remember what year and that was just a big open field with cattle.

And cowboys riding on horses. So we used to all walk our babies up there and look at the cows, and the cowboys. Anyway it was so people that have lived there long enough know that it will work you know to have that detour but I will add that there's a lot more people now You know, there. And a lot more people have gotten smart and they're using exit or on-ramp at Cathedral Oaks because it's less congested than Glen Annie so there is a lot more traffic. I would strongly recommend that when you're doing your outreach you definitely outreach to the schools because there's a lot of kids that bike whether it's going the other way to Elwood or going to Brandon, going to Junior High, the high school and a lot of pedestrians too. So I think the schools maybe I would recommend Junior High, Elwood and Brandon and Elwood and Dos Pueblos being aware so they could send something out on there to their parents.

UnidentifiedUnidentified speaker 14Proposed1:09:04

Well the good news is we meet with the schools, both school districts and any principals that would like to attend bi-annually so twice a year. And then they're also invited to our quarterly utility meetings. So they actually have been notified this is coming and we tell them every meeting we give them a little bit more information as we get closer. So they're definitely one of our stakeholders and important partners to make sure they're aware of this project.

UnidentifiedUnidentified speaker 2Proposed1:09:28

And I may have missed it in the report How long do you think that Phase 1 would be and then Phase 2?

UnidentifiedUnidentified speaker 14Proposed1:09:37

So, Phase 1 I believe would be a month to two months. That one is the quicker of the two. Phase 2 we are estimating right now without a contractor on board nine months to a year of a closure. Once we have a contractor on board they'll be able to give us their means and methods Wiggle room in that depending on which equipment they need and where, that we can shorten that. But for now we're being conservative and saying nine months to a year of a closure to do the full construction. And that allows them to do it faster, and allows them to use all their means and methods versus us dictating.

But we will work closely with our contractor when that time comes to come up with a plan and a lot more clear schedule on closure. That's

UnidentifiedUnidentified speaker 2Proposed1:10:31

great. All right. Thank you. Very excited it's happening. Any other questions? Do we have any public speakers?

UnidentifiedCity ClerkProposed · by role1:10:39

Yes, thank you Madam Mayor. I've received one speaker slip and if any attendees on the webinar wish to speak to this item please use the raised hand feature and I will call upon you. Speaking first Barry Remus and you'll have three minutes. Thank you

1:10 – 1:2020 turns

CommentBarry RemesProposedself-stated1:10:52

It's been such a while. Good evening again, if you'll indulge me one of the things that I forgot to mention in my previous public comment to the other item is that move Santa Barbara County our education and encouragement team just as we did with the Elwood class 1 multi-use path. We are totally prepared to engage with the schools It's really great and it's been very impressive to see public works really attacking this.

a jump on construction bidding. And while we realize that this item is purely about the notice for bids for construction, let us jump ahead and look at again while the construction work for phase two is happening and we actually employ the detour, we want to encourage public works to leverage your engineering prowess To seize any opportunities to be able to really ensure that bicyclists and pedestrian safety is paramount through the detour. Because we realize that on Cathedral Oaks you're getting a lot of, not only just the powerhouse cyclists that really just want to roar through the class two bike lanes like Mr. Nesbitt there, but in addition also as the mayor mentioned schools and children and families will be taking advantage of the detour and especially considering that Caltrans intersection is Mayor Pro Tem Smith mentioned.

We just want to really be able to make sure that intersection specifically which can, you know, be kind of tricky doesn't become more of a safety issue for pedestrians and bicyclists that are traversing through that blue zone if you will the detour area so that's something that we really want to encourage to really again we've really been impressed with Public Works abilities to be able to take opportunities as Paving and restriping occurs to be able to find those Find those opportunities to be able to make bicyclists and pedestrian access even better and not to mention ADA access as well So we're really excited to see this happen on an accelerated rate. Thank you.

not transcribed≈12s of audible speech the AI couldn’t make out▸ listen
UnidentifiedUnidentified speaker 2Proposed1:13:07

Thank you

UnidentifiedCity ClerkProposed · by role1:13:11

Speaking next Carolyn Hill, he'll have three minutes

UnidentifiedUnidentified speaker 15Proposed1:13:18

So my name is Carolyn, but I just have like a couple questions. I have a couple things to say. So I just wanted to say y'all need a free bill for real. I don't know why y'all changed his rent by $1,000.

UnidentifiedUnidentified speaker 16Proposed1:13:29

Speaker this is your sole warning speech that is irrelevant to the item and the subject matter under consideration is not permitted so if you

UnidentifiedUnidentified speaker 15Proposed1:13:36

continue... But it's irrelevant to me.

UnidentifiedUnidentified speaker 16Proposed1:13:38

If you continue

UnidentifiedUnidentified speaker 15Proposed1:13:39

with an

UnidentifiedUnidentified speaker 16Proposed1:13:40

item that's not

UnidentifiedUnidentified speaker 15Proposed1:13:42

scheduled to be heard you

UnidentifiedUnidentified speaker 16Proposed1:13:43

will be

UnidentifiedUnidentified speaker 15Proposed1:13:43

muted. Free bill!

UnidentifiedCity ClerkProposed · by role1:13:48

Madam Mayor, I have no further public speakers on this item.

UnidentifiedUnidentified speaker 8Proposed1:13:51

Thank you. Okay

UnidentifiedUnidentified speaker 2Proposed1:13:52

thank you. Okay are we going to what are we doing on this? We're just having a presentation or are we voting on something? I'm sorry.

UnidentifiedUnidentified speaker 9Proposed1:14:04

I think there's a recommendation. I'm happy to make the motion if we're ready. I move that we authorize staff to advertise a notice inviting construction bids for the Cathedral Oaks Road and crib wall project phase one and two

UnidentifiedUnidentified speaker 13Proposed1:14:18

I will second. Okay,

UnidentifiedUnidentified speaker 9Proposed1:14:20

roll call vote.

Roll-call vote Passed 5–0
Show transcript
Thank you mayor and council members please do remember to lock in your votes beginning with Councilmember Reyes-Martin. Aye. Thank you. Councilmember Kuriako? Aye. Councilmember Kasdan? Aye. Mayor Pro Tem Smith? Yes. And Mayor Parodi? Aye,
UnidentifiedUnidentified speaker 2Proposed1:14:39

ayes have it. Okay before we move on I think I'd like to take a five minute break Okay, let's bring this meeting back to order. Read the item please.

UnidentifiedCity ClerkProposed · by role1:20:20

Thank you that is item C2 five-year forecast and fiscal year 2026 to 2027 budget priority setting workshop.

1:20 – 1:521 turns

CommentLuke RiosProposedself-stated1:20:41

All right, well good evening Madam Mayor, members of the City Council and members of the public. My name is Luke Rios, City of Goleta's Finance Director and tonight's item before council is to review a preliminary review of the five-year forecast for our general fund and also review funding priorities for upcoming mid cycle budget for 26-27. So on the screen tonight is tonight's agenda. We'll be going over our budget process and timeline, which includes our current financial outlook and our general fund five-year forecast. In addition we'll be recapping on some fiscal issues, funding priorities, budget strategies, and seeking council feedback but also giving council some guidance to think about as we go through the budget development process So as a reminder on the budget overview and process, starting first this slide does give a quick overview of where we're at.

And as you know this is we do adopt it to your budget that was adopted back in June 2025. We are now approaching that second year which we call the mid cycle budget So the key takeaway here is that this is intended to be a true up, a chance to right size our estimates based on actuals of that second year. It's not typically the time for a major overhaul unless there's been significant shift in council priorities or really our financial perspective.

So we're actively updating numbers now. We'll continue to refine the budget based on feedback during the upcoming budget workshops that are scheduled starting here in February through May. And so that leads me to the budget development timeline. So this is just a snapshot of some of the items and as I mentioned earlier, kicking off February 17th will be first with the city manager's office with their annual work program.

They'll be going in front of council for preliminary review. But then as you see during the next course of the few months, series of annual budget workshops I did want to point out too on April 21st that's the tentative date for our public hearing we'll receive our annual user fee update but also consider updating our development impact fee rates some more to come but the most important date would be It would be two dates actually, May 19th the budget workshop for operating in CIP. So you'll see the final preliminary recommended budget and then final adoption scheduled for June 16th.

So purpose of the forecast just really want to make it very clear this is not a budget. It's a long-term planning tool that provides a multi-year perspective on our financial health based on a given set of assumptions we do look at three different types Financial models and I'll get into that in a little bit here. But the primary focus is really on the general fund, and we try to identify key areas that will need attention.

And we'll continue to refine estimates as soon as when new information does become available. So we've been in that process working with our tax consultants and also with our counterparts at the county as well. So budget principles, I just wanna remind the council and the public on how the city budgets here. We do have a process or we do follow this principle where we do match ongoing revenues with ongoing expenditures that helps us ensure long-term stability.

We have this one time rule, we do try and match one time revenues for that one time cost so that's like with your capital projects. We do for assumptions we do do conservative estimates to minimize risk of shortfalls, but we do acknowledge that there is a potential you know there's potential to have like kind of a best case scenario. You know, but what we do want to maintain conservative so that way we're not overextending ourselves. We try to have a buffer when we do balance the budget or recommend a budget. That's when you'll see that where revenues are slightly exceeding expenditures in previous years, we've always tried to strive about a $1 million buffer, but that's slowly been as we program out our budget and try to meet priorities it's kind of It has not exactly been at that level.

And then also we try to maintain general fund reserves at or above council adopted policy level, and then we also want to remind everyone that we do prioritize the use of special revenue funds. That's either the grants or restricted taxes so that's like gas tax, RSB-1, Measure A funds, or any other funds that are eligible for that expenditure so that way we can limit the impact on the general fund dollar.

So forecast baseline and strategic alignment. So again, this forecast is going to build on our fiscal year 25-26 adopted to your budget We assume continued funding for what was adopted for council priorities Again, we did evaluate three economic models. We have an optimistic that's high growth pessimistic It's kind of a recessionary case and then base case in base cases what we're gonna mostly focus on here That's this moderate growth reflecting our current outlook real world data And also based on status quo service levels. And so really what that means is it's what we're responsible for right now today and what we've programmed in the budget, and we're not adding new staff. We're not increasing funding levels for certain programs or projects unless it's mandatory to do so.

So you'll see a reminder of some of the major commitments we made over the course of the last year. But before we begin, just a quick update on the financial outlook. So you may recall this slide from last year. It's kind of that same message. We're really fiscally stable today but we are constrained going forward. Either future enhancements will be required or trade-offs or some type of new revenue stream if we were to add new programs or enhance any service level.

I want to really point out too, one of the main focus items and priority funding items is the train depot operations and then right sizing the splash pad maintenance. Those were some placeholders at the time so we're trying to fine tune those estimates so there will be more information coming to council on that. There's a lot of uncertainty out there. There's really challenging economic conditions for everyone, some more than others.

The City of Goleta relative to our counterparts or other cities in the area I think we're in a different position. We don't rely heavily on federal funds and we also didn't... We're not looking at having to do any type of layoffs or service level cuts. You know we do budget very conservatively but the trade-off is that we do have ongoing existing deferred maintenance. We do have some unfunded Capital projects. So if you recall, and we'll touch on that more because if you recall the main focus has been on those big six priority projects.

So then I thought it would be good to also give Council another update too on the economic outlook on what we're at, the California Construction Cost Index. So this slide actually has just been updated with the most recent data just as a few days ago. The Department of General Services from the state of California just released this January 2026. So I included that number, it was released right after preparing our packet. So in the packet it showed 2025 comparisons so this is looking at the most up-to-date numbers. So I just want to point out we are comparing to 2016 and just like that viral trend lately where everything is they're saying it's feeling like 2016 again it's definitely not the same when those numbers you can see that we jumped up 66%.

We've been up 52% since the pandemic, but however when you look at it lately we've been cost are at 3%. So it's been leveling off. You know, costs have slowed down significantly but it's remained elevated. So it's still very high when we go out to bid and it's just really a lot of uncertainty out in the market still. I do list here some of the cost drivers that can influence what you know the bids are and I do want to really emphasize that this is a look back doesn't reflect the current markets bidding environment nor does it factor in potential tariffs or economic uncertainty So as we move forward, part of our funding strategy with construction projects is really just to prioritize and focus on those must-do priority projects which were the big six over the next couple of years.

So moving on to general fund revenues. This is a snapshot that compares the history of our general fund revenues going back to fiscal year 21-22. Before I dive in on this, it's a very high level overlook of our general fund revenues. We are gonna get into some of our big four tax revenue sources here in a little bit more detail but overall we are looking stable. There's no new revenue sources assumed or significant revenue losses that's forecasted in this model here but you know, we do expect some leveling off with moderate growth here over time So that leads me to the property tax. So this is our most stable revenue source for Goleta.

It's composed of four major categories that make up this entire property tax revenue number, it assumes the 2% CPI to the real property value. That's the maximum Inflation number that's authorized by Proposition 13. The assessed values are based on a lien date as of January 1st, 2026 and then include another big portion of this revenue source is the property tax in lieu of vehicle license fees. That's the VLF we estimate based on a growth factor of 3.31% and that's the change in the net taxable value citywide. And so we do work with our consultants on these estimates And so again, it's subject to further refinement but this is kind of what we're seeing in the next five years. I do want to point also that's included in here and that we also experienced in the previous years record high documentary transfer tax.

That's when you have sales of property. We did assume back at a relative lower value amount about $150,000 as sales You know, there's less volume of sales and transactions just due to the higher interest rate environments and also low inventory. So we don't I guess forecast that higher than what we experienced in the last couple years. Sales tax, so this is the 1% Bradley Burns sales tax. This is the sales tax rate that is subject to the revenue neutrality agreement. So if you recall city received 70% of the 1%.

Eight major industry groups support this sales tax base with general consumer goods being the largest, generating about 25% of this revenue source. Now our forecast does not account for any new major retailers or any loss of major retailers but it does It does include some assumptions just based on continued growth with online sales. It does factor in the local economic environment, including information that was provided by our sales tax consultants.

But again we do see some pullback on spending. There's this increased activity with consumers spending more on experiences. So you can see that the slight growth rate but not so much there. Transaction use tax, so this was our measure B. This was the new tax that went into effect January 1st 2024. This effectively made Goleta's overall sales tax rate at 8.75. Fiscal year 24-25 was the first full fiscal year you can see that we've reached about 12.3 million still a new tax. We just recently recovered a large one chunk of back tax payment from a major retailer. We're still continuing to work with our auditors on some Some of the other large businesses in the area that we believe that we are also owed back tax. And so more information will come on that in the future, but just to put this in perspective on the long-term horizon again, just kind of moderate growth still and we're still working with our tax consultants on fine tuning those numbers but this is what we expect to see over the next five years about 12.3 million, 12.6 in the next couple years here.

Transient occupancy tax, so this is the city's largest tax revenue source. It's also the most volatile revenue source for the city. Our city's hotel tax rate is 12%. It's supported by now nine hotels and then also various short-term vacation rentals. The hotel room supply is about 1,300 rooms. I did want to point out in these numbers it does include the TOT that is generated by the short-term vacation rentals And of that amount, about 2% of the TOT revenues is accounted for or generated by short-term vacation rentals. So not a lot.

But what I did wanna say that this is kind of the most difficult to forecast. We do take in some input from Visit Santa Barbara and working with some of their staff on some of the projections but then we also do a real look at what's going on and what we see in our data. What I just wanna point out, what we've been noticing Slight decrease going on with our occupancy rates. Higher average daily rate, but occupancy rates have been decreasing. There is a hotel that I'm just aware of actually just was made aware about interestingly enough, I learned it on Instagram as doing some renovations so we saw slight dip there but we also are seeing that there's business travel, there's less business travel that's happening in the local hotel area. So something that we're paying attention to.

But again, we do expect You know, our TOT to kind of remain around that $14 million mark and something you know we'll continue to analyze. And I want to say it does not account—we don't account or assume any additional revenues from major upcoming major events let's say like the World Cup. We'll smooth out the average. We'll do 12—the trailing 12 months just so that way can get a really a baseline focus of what what's reasonable and expected.

Okay, now I'm going to move on the general fund expenditures. So this is a very high level total general fund expenditures of what we can expect in the assumptions we did assume about a 3-4% salary and benefit growth operating maintenance it varied range between 2-5% just depending on what it was so again we did assume status quo service levels so no changes to staffing levels and then we actually included additional slides here just talking about our of our staff, our personnel count in the next few slides. I'll get there in a little bit.

We don't include any unfunded priorities and programs including the backlog, the deferred maintenance is not factored in that's with your pavement maintenance, the concrete maintenance program. The affordable housing, the contribution, the tree maintenance program. So there's you know if you recall in previous budgets workshops we did have information about some of the backlog and so we'll continue to have that discussion at future budget workshops but again what we're seeing though is that if you just look at the growth rates of what we're projecting You know, expenditures will you know it's anticipated to exceed revenue about fiscal year 2029. There's actually a chart that shows that but the major cost drivers I would say we do have a very large contract with our sheriff's office and there is a fixed kind of growth factor that is also subject to change depending on their DSSU with their union but right now we assume a 5.7% over the long run so personnel summary so this This slide here just highlights going back to fiscal year 18-19.

I showed that number because I wanted to show where we were pre-pandemic levels, and then I remember we all had that conversation where we just had so much to do and get caught up and needed additional staff to address workload capacity issues but also you've got to recall we did take on the library fiscal year 18-'19 for Goleta 19-20. We assumed the direct management of built in Solvang Library We also formed the General Services Department in fiscal year 22-23 and just saw a lot of activity there. And then we also assumed direct management of the Goleta Community Center later that fiscal year. You can see the growth over time here where we're at, and I want to mention it does not include city council commission members or hourly part-time staff so this is your full-time equivalent And I guess one key thing I should mention too, what's kind of different when you compare us to other cities is that when you look at salary and benefits relative to other cities because we're a contract city.

Salary and benefits is about 35% of the general fund budget So personnel summary by department. So this just kind of gives another snapshot, but it kinda more in-depth look on the growth of departments. What's circled here or highlighted here in the blue is just kinda the net new full time equivalents over a five year period so that's the cumulative growth rate. So we just kinda show that down by department and then on the bottom there's just that annual change overall.

Okay now moving onto This next slide, which consolidates the revenues and expenditure projections. And really what I wanted to highlight here is that you can see by the third year fiscal year 2029, the expenditure line is crossing the green line so expenditures will be exceeding revenues or it's anticipated to by fiscal year 28-29. So there'd be any increases or additional program expansions that have additional costs We're going to need to have an offsetting reduction or some type of new revenue source to support that. So I think key forecast findings, takeaways from this are revenues are going to be growing modestly supported by our transaction use tax. We have stable property tax. Expenditure though is rising faster than revenues just again based on the current assumptions we're likely to exceed revenues in fiscal year 2029.

That takes me to this next slide, the general fund balance and reserves. And so we actually added additional slides to kind of highlight or showcase how this functions. It was mentioned in a previous quarterly report that we were able to set aside one-time funds of 7.1 million And so that's what I circled here in blue, and that's what makes up that number. So that number will stay in there one time until it's appropriated. And so one of the things that we wanted to get in front of council is hey you remember we did talk about the big six projects? We were able to find that one-time fund balance You know, getting council consensus and let's go ahead and program that out in the upcoming budget so that way it's appropriated.

And so that's where the big six CIP and I do have a slide on the big six again as a recap but also $1 million set aside for the Shelby Agreement is also factored into that 7.1 million. I did want to point out too though the unassigned fund balance is projected to enter negative territory by fiscal year 2029 and so that's something we're you know again watching closely So that leads me to this next slide. So this is what it would look like if we appropriate that one times 7.1 million.

So again, like I said it's a one-time fund and so then it drops your that other reserve fund balance down to the 3.9 million. So those other reserve categories that's what you're building maintenance capital equipment the compensated leave risk management your litigation defense is all lumped up in there and then that yellow line or that yellow bar is our contingency reserve And then there's a table I included here so you can kind of see it more detailed on the data of what it kind of looks like on the unassigned fund balance. So when that unassigned fund balance goes negative, what that really means is we're just going to be taking from our contingency reserve just to balance the budget.

Okay, so that leads me to this next slide is kind of getting more into the contingency reserve and so I summarized the policy that we have in place right now and just wanted Kind of highlight here, so we do have a policy that was adopted I want to say back in 2012 maybe about there. So it's the 33% of operating expenditures or essentially four months It's intended uses for immediate funding for disasters and emergencies It helps with operational continuity. It shows the city from services tax delays economic downturns provides liquidity on delay grant reimbursements There is a provision in there that allows us to use up to one-third available for capital or revenue enhancing projects, along with the repayment plan.

And I want to just kind of mention that there has been a couple times that we've actually borrowed from the Contingency reserve we did a formal borrowing back in 2019 of 10 million when we purchased the City Hall building and there was about a 1.5 million dollar Borrowing in 2024, and that was actually temporary for six months And we were able to replenish that and I was related to the train depot But I did want to mention that's kind of not necessarily always transparent here only it really only shows up In our quarterly financial reviews and also when we do our audits We do a temporary borrowing as well with the other funds, and so it's really a liquidity issue that we have with grant funds. And I took a look at how large that's grown over time but on the average annually every five years it's been about 6.1 million that's technically doing an indirect borrowing from our general fund contingency reserve.

So that's when you have these large grants that you're awarded and you're still waiting for reimbursement. And so I did want to point out there is a project that we do have out there Actually, I think we've talked about it maybe the last City Council meeting but it's related to the Reconnecting Communities Pilot Program Project RCP grant. So that's another multi-million dollar grant that hasn't been fully signed or finalized yet. My understanding though is that we can spend but until it's signed we won't get reimbursed but it's likely as soon as we start charging against it we would need some type of the contingency reserve or some type of extra liquidity to help backfill that until we are reimbursed And so I just wanted to point that out there.

That's probably our biggest risk factor, just being a smaller city we don't, as a contract city we don't have utilities or enterprise funds that we can draw from like other larger cities that have or full service cities. Okay, priority CIP projects the big six. So this is just a recap of the project so that includes what you guys received an update on Project Connect and then also with the Cathedral Oaks crib wall repair but again Goleta Valley Library so that was actually just funded recently when we just did that appropriation and then the San Jose Creek fish passage modification project and so that's where it's another must-do project and so we do have that funds set aside And then again, there was that additional million. That was a set aside for the Shelby Agreement and so we do have that right now temporarily set aside until we know the final numbers on that.

So potential unknowns in fiscal issues that are under review. So we just wanted to list here what some of the things that you know were facing you know again elevated economic uncertainty state budget unfunded mandates potential litigation impacts on you know still a little bit unclear on the regional event impacts that are coming up in the long run Thank you.

At the same time, if you guys recall we did have those one-time library DIF funds and there was always a comment that's always made at one point in time. Those DIF funds will run out and it would need to be subsidized, you know, a continued contribution from the general fund will need to offset it. We also have the future sheriff contract costs that's going to be subject to either renegotiation or extending the contract in regards to that 5.78 rate The future animal services contract, future labor negotiations is coming up. And then really just understanding the impacts of deferred maintenance if we continue to you know defer major whether it's facilities or road infrastructure and then also understanding the long-term operation and maintenance for new infrastructure and that's what we're actually going to get into here in a little bit about funding priorities Before that I want to remind everyone major financial commitment so again with our current contract we see annual increases on public safety about 700-800 annually.

You recall we did issue bonds and the 1.1 million from the general fund is going towards those bonds for the project proceeds And then sales tax revenue bonds measure A, so about half of measure A 1.4 million is going towards the debt service that's related to funding San Jose Creek multi-purpose path and so that does eat into funds that could have been available for other transportation projects. So I just wanted a remind of Council and the public of those commitments we've made.

So funding priority areas, so really the way this is designed I just really wanted so there was no surprises coming up this budget cycle but making sure everyone's aware you know our main focus is funding ensuring the Goleta train depot operation maintenance and correct you know truing up the operating budget. And then also same with splash pad, and I did want to point out to them another area that was on our radar here is the heritage Ridge Park project CIP and that's something we're going to be truing up the CIP numbers it's going to match the Quimby funds that was put in. But in that there was also a series of other Agreements that were made on funding source or funding mechanisms that the city would commit to Including establishing some type of trust fund of like 250,000 with a match There was also a commitment of 150,000 related I believe to some store and drain infrastructure And so we're still kind of going through it making sure we capture all that We talked a little bit about the big six, so that's where we want to make sure council is on board.

We're going to move forward setting aside and make sure we have enough funds there. Then again if there's additional one-time monies available after that, the thought process is here getting consensus or feedback on going towards pavement maintenance and the concrete program and also the tree maintenance program. But also if you recall, we did have preliminary discussions And it was mentioned with City Council last year, but then further discussed the framework with the Finance Committee this past December on the funding a facilities capital and building maintenance reserve. And so that's currently under review. The same with our pension and other post-employment benefits liability. That's also under review.

And then we'll get to another slide, but I just want to point out that there was when we adopted the budget last in order to make it work or balance. We did a temporary deferment of 250,000 from the general fund to the housing and lieu fund. It was discussed though if there was additional revenues or confirming if you know, if we're not able to restore it, you know, I just wanna make sure, you know council's aware of that, that we're gonna recommending continued deferment of that 250,000 from the general fund to the housing and lieu fund.

So with all that said, I know it's a really tight budget but there are budget balancing strategies, short term solutions that we did that are currently in process. Well, we do have the diff nexus study update that's coming to City Council here pretty soon. We have the updated cost allocation plan and comprehensive user fee study that's in finance's work program. And so what that will really do is just really inform our updated cost recovery rate, and then we've been undergoing some tax audits specifically on cannabis business tax I should have an update for Council here in May about the results of that audit.

The next is we're going to start with our TOT audit and then pursuing back tax on the short-term rental operators, so that's in process. Expenditure reduction, so some of that we just talked about, the temporary general fund contribution Midterm long-term solution so invest in economic development efforts and so I put that on here because there is that economic development strategic plan and in discussions with the Economic Development team or staff team. There is some ways to kind of recapture some development activity one time revenues And so we're looking to that that really has a deal with large construction projects valued over five million And so the way that works is it just really depends on how they're purchasing or buying their materials.

Essentially you can work out an agreement where the tax that's generated from those projects doesn't go to the county pool, it goes directly to Goleta and so we're going to look at that but again that's one-time revenues We have a fee study update in process looking at the solid waste fees, street lighting and stormwater. And so that just kicked off with the Public Works team I just want to say last week and so more to come on that in the months.

And then again there's also, you know we could also evaluate potential revenue enhancement options to the general fund. Evaluate special financing districts so that's just put on here just as some ideas here in the long term and I did want to mention though we are continuing to pursue major grants. So that's still another budget balancing strategy but so again further updates though will be provided at the upcoming budget workshop in May.

Budget strategy, so I did touch on a little bit about that. So part of it though we do wanna start setting aside funds for our facilities and building maintenance. So we'll actually have a more detailed discussion of that when we go through the budget workshop in May and then also the funding policy for section 115 trust pension retiree healthcare costs. We'll have an update on that. I wanna say next city council meeting when we do take our audit report there will be updated information on our pension liability and OPEB liability as well And then I guess I want to also comment too, just so that way if things were to get worse. If there was a significant economic downturn you know there are cost reduction strategies that we've identified that was identified actually during the pandemic We have a three-tiered approach, and it's kind of like winding things down and then also relying on the contingency reserve but before recommending any significant cost reduction or job cuts or anything like that.

So there is an approach that we do have. But we're not recommending any of that. We're not seeing that in the data right now, but I just want to let Council know we do have something like that available. So key takeaways, general fund is spending really cannot outpace revenues in the long run. We are going to be focusing on those big six projects. We should start funding, you know, reserves for our maintenance and liabilities now. I will just again discuss that further.

Any new program project service level increases should require an offsetting reduction otherwise we'll, you know, we'll just head towards a deficit sooner than later but again without permanent reductions in the long run or revenue enhancements maintaining current service levels anticipated to be a challenge in fiscal year 2029 Okay, so to wrap up. We've outlined five questions here and most of these questions are actually things to think about as we go through the budget process.

It's not necessarily looking for feedback but there is two major items here. We're looking for council feedback or consensus so we can build up the draft budget accordingly. And then for the others again, you know, looking for any early flags you may wanna plant now But with that, you know we can take questions or if you know council wants to weigh in on any of these

1:52 – 2:0926 turns

UnidentifiedUnidentified speaker 8Proposed1:52:48

Thank You

UnidentifiedUnidentified speaker 2Proposed1:52:51

Councilmember Kasten

UnidentifiedUnidentified speaker 8Proposed1:52:52

thank you So first I was curious with the big six so how much in that in their schedule is either A, in the short run constraining and we have deadlines we have to hit and we don't have flexibility in terms of stretching anything or anything like that. And conversely at what point is it going to be done and any money that was we were taking from the general fund or other sources that are flexible would be freed up and now you know we can use it for other things?

CommentLuke RiosProposedself-stated1:53:35

Yeah, that's a great question. So I can't speak specifically on those timelines but from a finance and bond perspective we have a three-year timeline to spend those bond proceeds so everything needs to be complete by three years

UnidentifiedUnidentified speaker 8Proposed1:53:48

Okay. So based on the bond, they are all going to be done in three years?

CommentLuke RiosProposedself-stated1:53:53

Essentially. Yeah, Cathedral Oaks Crib Wall should be. In the event there isn't because if there's delays, there is a way to reimburse from other transportation projects like Project Connect to get funds back but the bond proceeds do have to be spent. But all

UnidentifiedUnidentified speaker 8Proposed1:54:08

of those aren't part of the bond are they?

CommentLuke RiosProposedself-stated1:54:11

No so not all of them let me go back to that slide I didn't think Yeah, so project connect is part of the bonds. The San Jose Creek multipurpose path, the Cathedral Oaks crib wall repair and the San Jose Creek passage modification project is not. So then you got the Goleta Train Depot. It's actually, Goleta Train Depot was actually eligible for the bonds if needed. So we could technically, if there was like I guess a delay in construction schedule or something was pushed out You know, that's an eligible project. But it's anticipated to be complete I believe this year because we are talking about the operating and maintenance budget and that's what our main focus actually in this current budget cycle.

UnidentifiedUnidentified speaker 8Proposed1:54:59

Looking at this, I would think if we need revenue, we can make the fish passage a toll road or something and charge them as they come. It would be if we...I don't know how much If any sort of either general fund or other funds that are coming from specific fund sources that now will be freed up as a result in the next three years, that sort of information it would be interesting to know. You know how because you're identifying 2029 I think, 2028-2029 is this nadir of funding and how those two line up Could you also, since you're here, go to the construction inflation?

Yeah. And I was curious. So 52% it's increased since the pandemic. Can you recall offhand what the change in cost has been to achieve our pavement condition index target from, let's say, I don't know 2020-2022? You choose a recent year to now and how much that is, what inflation that has been

CommentLuke RiosProposedself-stated1:56:26

You know, so that's a good question but I don't have that exact number. But if... But I do know that our measure B the way we designed it and why we went for the full 1% was to generate that additional revenue from the general fund. So at the time it was, I wanna say about six million that was needed back then to fully fund our payment program. Then from last year's budget cycle, I wanna say it was to meet the PCI goals, it was about $18 million in total

UnidentifiedUnidentified speaker 8Proposed1:56:55

That was needed? I thought it was $18 million, but at a lower PCI target than our original one. Not our original original, but the original revised and it was something like $25 million. And I've wondered what accounts for that dramatic increase. So my recollection is that it was something that before in 2022 or thereabouts It was on the order of four and a half million, five million to hit our target. And then, you know, a scant three, four years later it was 18 million to hit even a revised target. And that's, you know, a lot more than just 50% increase and so it just kind of makes me You know, is there any solution out there? And I brought this up to public works before and they're looking at strategies. But we you know this is ridiculous if we can't even the inflation rate which is extraordinary is insignificant relative to our challenge we have with pavement The other thing, do you know now at what point, what is the cost to hit our current PCI target and how much are we putting in the budget for it?

CommentLuke RiosProposedself-stated1:58:27

Yeah, Mayor Parodi, Council Member Kazin. So we'll actually have further discussion on the pavement budget in the upcoming budget workshops but as of right now in the forecast We assume the same $6 million annual funding.

UnidentifiedUnidentified speaker 8Proposed1:58:47

Okay, so we are not coming close to hitting our target right now? You're just relying on the special funds to do it and are you relying on any general fund money?

CommentLuke RiosProposedself-stated1:58:57

Yeah, there's a little bit about I want to say a little over three million 3.4 maybe closer to four million from the general fund and then the rest is coming from a portion small portion from Measure A gas tax and then SB1 the road maintenance rehabilitation account.

UnidentifiedUnidentified speaker 8Proposed1:59:14

I mean essentially you know as you well know with each year that we postpone deferred maintenance the costs essentially are going to you know multiplicatively increase making it more and more challenging as we fall further and further behind. And I look forward to the future discussion, but not kind of referencing this is one of the big challenges we have in that the heritage Ridge Park is the upcoming challenge we're facing, but not pavement. You know, I think we're missing something important.

I just think it's something we should be reporting, we should show we have this challenge and not to sort of bury

UnidentifiedUnidentified speaker 7Proposed2:00:02

it. I was going to jump in on the question that led up to that statement Councilmember Kasdan. So the question about kind of speculation on what has led to the cost increase and again just using the rough numbers of the number that was provided to the council say six years ago or so you know with five or six million to keep up to get to this PCI and then the number you saw last year, which I think Luke is correct. I seem to recall was around 18 million. So again rough numbers but you're looking at percentage increase in construction index and that doesn't account for that increase if we assume 60% or so over that span then it shouldn't have gone up as much as it did. I'm speculating a little bit but I'll give two other possible reasons for that and we can certainly, when your Public Works Director here is at the workshop they can also speak to that question.

One I would say is the last three years of rains that we've incurred so as you know we go through rain cycles and drought cycles if we are if we go into another say five-year drought cycle the PCI just is not going to go down at the same clip that we've seen in the last three years So we've had three years in a row, maybe even more of over average rainfalls and we've seen the damages done to the streets. That's just one speculation that the last three years these numbers on PCIs they average everything out so they include drought years when the paving doesn't get worse.

And then the other piece that, and there's an article that Ms. Buolna just recently sent to me really interesting focuses on the city of Los Angeles and their paving struggles. Really interesting article I do plan to send it to the full council. I just haven't got to that yet. There's a lot in this article with similar challenges but one point it made and we've experienced the same thing in terms of on our most recent paving projects and what we include in the paving project.

Five, ten years ago cities generally, paving projects were done separately from concrete projects. You had a concrete program fix the sidewalks put in accessible ramps and you do that as much as you can and you pave and just try to get streets paved. Now through some court rulings You have to do the ramps when you pave. And so you probably saw that on some of the streets that we recently did, Berkeley is a good example. We just didn't pave the streets they replaced like I don't know how many 15 access ramps And so that's adding to the cost. That's included now in the cost of paving. Again, I'm speculating a little bit to answer your question. We used to be able to pave more streets because we just paved them. It was just asphalt. Now we're doing the ramps and all that at the same time because there's been these court rulings that you have to do that to comply with the ADA.

When you do your paving maintenance program. So just to try to answer your question, what explains it going from approximately 6 million to the 18 million that you saw last year?

UnidentifiedUnidentified speaker 8Proposed2:03:22

Yeah no that's interesting I look forward to seeing the article wondering if it was because we don't get a lot of bids is not so unlike some other types of projects as one or two bids that we are, we get one plan. But if we can ask Rory forgot his first name but our pavement guy if we're able to kind of separate how much of the ramps that you're describing versus other things.

Let's see, I had a couple of other questions. One is with the train and aren't we going to try some sort of user fee franchise fee arrangement where the concessions and all these things that we provide are going to help pay for the cost of the maintenance? Yeah that's a good question. I'd like to

CommentLuke RiosProposedself-stated2:04:13

invite our City Manager. We have a visitor.

UnidentifiedUnidentified speaker 17Proposed2:04:19

Good evening Madam Mayor and Council. There are a number of revenue tracks we could pursue, we're looking at those one of which is the concessionaire agreements. We don't know exactly how they'll be responded to in the first year or so that's a lot of build it and see if they come I think the news also about the changes in commuters may becoming not coming with Metro link being I don't know if it's discontinued, but paused. But then Amtrak saying that Pacific Surfliner may fill that void. So that's one aspect of it. The other one too is pursuing the charges for parking in that facility.

We're working with neighboring jurisdictions to see what might be a good use for the city to have that be a revenue stream to help offset O&M costs going forward. We don't want to count too many chickens before they hatch because we'd have to get authority from council. To actually charge for parking which we don't currently do, and that would be a different model going forward. So those are all discussions that are happening now.

Investments in parking, ticketing machines and that sort of thing. But from our experience and conversations with jurisdictions you know that's an initial capital outlay that those machines tend to last quite a bit but we also have to make sure they're operating and not leaving people stranded behind some sort of barrier. I think one way to explain it is we're showing more or less the worst case scenarios by showing what the expenses are and not necessarily counting any revenues before we know what a better sense of those would be. I don't

UnidentifiedUnidentified speaker 8Proposed2:06:01

know if

UnidentifiedUnidentified speaker 17Proposed2:06:02

that's a

UnidentifiedUnidentified speaker 8Proposed2:06:02

satisfactory

UnidentifiedUnidentified speaker 17Proposed2:06:03

answer.

UnidentifiedUnidentified speaker 8Proposed2:06:05

Thank you. I was just curious, you had that fee study, the various for solid waste stormwater. There's never been any opportunity have a pavement fee of similar you know that does something similar because

CommentLuke RiosProposedself-stated2:06:29

yeah no that's no law there's a good opportunity yeah there's nothing I'm aware about but it's you know something we can talk you know talk about I was gonna say like I do know with the full service cities that have utilities they're actually able to recover some The impacts to the roads by charging against their utilities and since we're a contract city, we don't necessarily have that.

UnidentifiedUnidentified speaker 8Proposed2:06:51

Oh so they have the opportunity to charge against utilities you say in order to recover those costs for the roads and we don't have that? Huh I wonder if there's some something okay because that would be helpful One last thing, and that is I handed out in this one by the door as well. This is the list from advanced planning. That is their projects that are they had table three which I didn't hand out were the ones that essentially are mandated by the state or they have some sort of obligation to do there's not choice involved And this one is the list that has the ones that essentially we discussed and we added.

And, the thing I wanted to point out is a couple of things. The primary thing is that the first one on there is something that yet has not been done. So we went through a considerable amount of discussion about how high or low each of these items should be, whether we should move up this one or move up that one. And there's no capacity in advanced planning to do any of them. The one at the very top which will become relevant in the succeeding months hasn't been initiated And so what I'd like to see is That one of the items that you look at, one way or the other is to increase the capacity of advanced planning to do some of the projects that we identify. I mean today for instance we were talking about Old Town and the Equifowler and we've got on here you know Equistreet extension rezone, the La Patera specific plan.

We've got things that we've talked about before that we think are valuable to do and they're not going to get done. There's nothing on here essentially other than the ones that are mandated, 17 and 18 which will rise to the top but the things that we've proposed or we think are helpful aren't going to get done so I would ask that one of the items that's included for us to evaluate and consider in the context of the budget is adding some additional capacity I don't know if it comes out of how you get there from current planning, from wherever.

But somehow having a long list and where none of it's going to get done that's not right. Okay those are my comments

2:09 – 2:1715 turns

UnidentifiedCity ClerkProposed · by role2:09:51

thank you.

UnidentifiedUnidentified speaker 2Proposed2:09:51

Okay, Councilmember Kariakou.

UnidentifiedCity ClerkProposed · by role2:09:53

Thank you Madam Mayor I have some questions But I guess first a statement You know and I can start with pavement I mean, I think the only thing I can say about the pavement program is you know thank goodness We've now had two years of Measure B revenue because where would our pavement be without it? The last two years how much has the city I want to say we were able to get it all in from all the different sources closer to being an eight-figure investment, but I don't remember the exact figures. Does anyone have the exact figures?

I wanted to say it was like $10 million on average the last two years.

UnidentifiedUnidentified speaker 7Proposed2:10:44

Yeah, I don't have the exact figures. But I do recall because money was rolled over that the last project was over $10 million. I just can't recall the year before. I think the year before was maybe more in the range of 7 to 8. So if you add the two together for a 2-year span, yeah something like that. We'll certainly get those numbers and we can provide those in one of the

UnidentifiedCity ClerkProposed · by role2:11:08

meetings that are coming up. Thank you. I think that would be helpful because I think You know, kind of to some of the points that have been made earlier. And I think as has been acknowledged by staff road maintenance and infrastructure maintenance generally is a concern and is a priority. And it's important that we make sure that as we're looking at the next five years that we are properly managing and looking for opportunities to increase that investment whenever practical.

My first question is about the relationship between the pavement program and how it's bid, and the California Construction Cost Index. We know from one of the earlier slides that for a period of years, the California Construction Cost Index went up so much it almost looked kind of like a hockey stick graph. It just skyrocketed and increased the cost of construction in so many ways. When we look at the cost of the pavement program Is CCI something that plays into how the bids come to us and how much it costs to do pavement year over year? Or is that really just more environmental factors?

CommentLuke RiosProposedself-stated2:12:25

Yeah, I was going to say not necessarily. This is kind of again the CCCI, this specific one that we're showing is taking the average you know two different areas Los Angeles and San Francisco being in Goleta it's more localized and so you know Public Works can speak a little bit more to that about the bidding environment also the environment impacts.

UnidentifiedCity ClerkProposed · by role2:12:47

But I think the last year or just recently I think we found a situation where we are able to actually add add some additional projects to what's going to get done because we had money left over in terms of what the bid came in, right?

UnidentifiedUnidentified speaker 7Proposed2:13:02

That's correct. And Councilmember Cariocco I would just add to your question about this index. I don't know exactly what is included in this index but I think it's probably some combination focusing on building construction and other types of heavy construction and so yes there would be a correlation between this index and one that's more specifically to paving but paving is gonna Thank

UnidentifiedCity ClerkProposed · by role2:13:26

you for that. So I guess my next question is, when we look to the five-year forecast and we think about things like sales tax and the transient, the TUT revenue, some of the major categories that impact Goleta and whether or not Goleta does well is car dealerships. And I'm just wondering, when you look to the future We've had some changes in that kind of Hollister Avenue, South Kellogg area.

There was used cars being sold right there at the corner of Hollister and Kellogg and that's not currently happening. The Nissan dealer isn't running right now. I'm not sure if that's being used for storage for Toyota or if they're sales happening on that lot But what do you see in terms of the performance of our sales tax and the performance of our Measure B tax as it relates to those factors, that industry?

CommentLuke RiosProposedself-stated2:14:33

Yes, so great question. We actually just had our recent sales tax update with our consultants and so without naming any specific businesses but that particular group, the autos and transportation, it's actually leveled out a bit meaning like I was actually expecting a decrease but you know, it's staying fairly stable but what's interesting about it on the forecast side they are anticipating lower rates And they are anticipating that there's actually a huge market of, I guess, cars that are in the 12 to 13-year-old that are going to need to get replaced here. So they are saying it does look stable from our sales tax consultants.

And then with transaction use tax, I did want to point out, it's kind of difficult You know, that's one of the major differences between those two taxes where the transaction use tax applies to those that live. We get the tax allocation if you live and register your vehicle in Goleta.

UnidentifiedUnidentified speaker 17Proposed2:15:39

Yeah, I was just going to add what's also occurred over the last several years is that there have been sales of these car dealerships and under new ownership without indicating one or the other. There have been investments and there have been increase in sales for the ones that so in a way some of the ones have performed better than they had before which may explain part of why Change hasn't been as drastic as you might think So I just wanted to share that that for a long time. I think 30 plus years They're basically the same ownership and there's been change over the last couple of years Yeah,

UnidentifiedCity ClerkProposed · by role2:16:17

it does appear There could be some redevelopment happening that might make those spaces even more attractive and might bring in more buyers

UnidentifiedUnidentified speaker 17Proposed2:16:23

And there's been one that you know combined another brand with the original brand Would it be hard to tell but you can see it? But that's those changes have also occurred during the same time period

UnidentifiedCity ClerkProposed · by role2:16:33

okay I also want to talk a little bit about gas stations. So, gas stations are another source of revenue for the city and it seems like in the last few years we've had a number of them closed particularly in Old Town. The one at Kinman and Hollister was closed for awhile now the one at Hollister and Rutherford's been closed for awhile and I know periodically you need to do environmental repairs and clean up and all those kinds of things but do we have any reason to believe that there is additional closures Remodeling or repair, remediation or other reasons why any other gas stations might go offline.

CommentLuke RiosProposedself-stated2:17:12

That's a great question, but nothing that I'm aware about. But I did want to comment though about some of the gas, some of the stuff I'm seeing in the data and also talking with our consultants. I do pay a lot of attention to our gas tax and then just what the rise of electric vehicles continue to increase and fuel efficiencies. And so there is less, I guess get the gas tax revenues Really flat, there's no growth there and it's not keeping up with the amount that's needed for our pavement program.

But also with gas prices too so that does affect some of the revenues that's being generated.

2:17 – 2:3015 turns

UnidentifiedCity ClerkProposed · by role2:17:53

And then I want to talk a little bit about hotel revenue. So we don't have a lot of hotels as a city. If you just count them up for a city our size Certainly not compared to neighboring cities. But one good thing that we do have when it comes to our hotels is we have a good diversity, diversity of price points and styles and brands. And a lot of kind of well-known loyalty brands that attract rewards members and that kind of thing.

On the higher end, we were fortunate for a long time in our city that the Miramar was closed. There was a while where San Ysidro Ranch was closed. Miramar's back open is the, I forget the name of it right now. San Ysidro Ranch is back open. Biltmore has been closed for a while but my understanding is in the next couple years they're going to be doing a partial reopen and then a full reopen.

Have we, in our projections have we taken into account additional competition coming in market from neighboring jurisdictions for the higher end markets?

CommentLuke RiosProposedself-stated2:19:01

So great question. In the base case, we do not take that into account and some of the worst kind of a case, we do make assumptions but it's something that we're keeping track of.

UnidentifiedCity ClerkProposed · by role2:19:13

Okay. And then what else do I want to ask about? Let's talk about the county for a little bit. We're a zoned library provider so we serve Bealton, Solvang, San Diego Valley, Isla Vista and of course the greater Goleta Valley area in the city And, you know, we were able to do that and serve that larger population and provide great services for our residents at the same time in part because we have a partnership with the county. And one of the ways that that manifests itself I know you mentioned earlier the DIF fees but one thing we perhaps could talk a little bit more about is what do we see as the short-term and longer term outlook for the ability of the county to continue Providing significant County general fund dollars into Local libraries via their per capita have we received any indications from the county that they're you know?

Starting to plan for a reduced per capita or a flat per capita in terms of what comes into the library system

CommentLuke RiosProposedself-stated2:20:19

So again, yeah, that's a great question. I'm actually see if our assistant city manager can answer that one so

UnidentifiedUnidentified speaker 17Proposed2:20:26

I think it was a December, the second meeting in December we signed the 25-26 fiscal year agreement between us and the county. And we actually had a modest growth in the per capita amount. I think it only went up, might have been 10 cents or so but we were actually expecting it to be either status quo or go down So since then, I know there's been more and more news about the county's fiscal position. We haven't been alerted to any changes predicted so far. We actually did and were able to secure an additional $130,000 in DIF money as part of a library project.

To Mr. Rios' point, we haven't got that indication. The most recent example has been actually a slight uptick

UnidentifiedCity ClerkProposed · by role2:21:18

Okay, so that's helpful because I know one thing the county had been concerned about for a number of years is whether or not local jurisdictions were investing in their zone libraries and Goleta really does strongly invest in the library. So I'm hoping that we can maintain that existing partnership and not see significant reductions or additional reliance on the city to make up any gaps.

And then the last thing I wanted to ask about was Affordable housing just in terms of you know thinking about there I believe it was a recommendation that we just keep status quo in terms of continuing the deferment on the affordable housing funds How much affordable housing based on our previous investments and other policy decisions deed restricted affordable housing Are we expecting to go online in the next few years?

We would have Heritage Ridge, I think that's a little over 100 units. I think it's 102 units of deed restricted. Are there any other deed restricted units coming on the horizon within the city? Shelby, okay. How many is that?

CommentLuke RiosProposedself-stated2:22:32

Yeah, let me see if anyone else might be available to answer that. Council

UnidentifiedUnidentified speaker 16Proposed2:22:36

Member Garriott. I think it's 10 or nine. Yes, I believe it is. I'm searching to be sure but I believe it's either 11 or 12 units out of 56. Okay all

UnidentifiedCity ClerkProposed · by role2:22:50

right so if we continue deferring at least we can rest assured in the knowledge that there are significant increases in affordable housing on the horizon and the city and that's based at least in part on investments that we've made and policy choices that we've made okay that's it for me for questions thank you.

UnidentifiedUnidentified speaker 2Proposed2:23:05

Councilmember Reyes-Martin?

UnidentifiedUnidentified speaker 9Proposed2:23:08

Thank you. Well, just to start I want to say how important I think this conversation is and I'm really glad that we're kind of kicking off the work plan and budget discussions with this bigger picture five-year look because then we're able to not look at the next year kind of in isolation of that And I really want to encourage us, you know as a council, this is probably the most important thing that is our responsibility which is to steward the financial health of the city.

As much as possible we should dialogue with each other and come to either a council direction or consensus on things that we want You know, staff to evaluate or tweak as we get into these next conversations. Because we're all going to have five different opinions about what we should do, what to prioritize, what's important. There is obviously going to be some overlap but I think in order to make it most productive for staff, I think it's really on us when we're here in chambers to dialogue with each other on what that direction should be.

I think some of the questions I have, even when we had our pre-agenda meetings, the deferred maintenance. And I'm so glad that at several points in your presentation you mentioned that because I think it is so important and prudent for us to really take that really seriously and think about how to plan for that especially as we have We're going to have a new train depot, we're going to have a newly redone library. We've acquired the community center. We have expanded the footprint of our ownership of this building.

I know that it's not factored into your model and I think it should be in some way. And again, that's an aye statement. It's probably not practical to have like the full here is, you know, a full deferred maintenance cost. You know that's not practical even with your own home thinking about the list of deferred projects but there should be some factoring of that and we as a council I think should be planning for that whether that's a reserve or some other mechanism for that because we're gonna have things that are gonna break, things that we have to fix and I'd rather have planned for it than everything be an emergency or an urgent kind of action. So that's my comment on deferred maintenance. And I'm glad you also touched on the maintenance and operational costs of facilities so I'm glad you're thinking about that too those become ongoing costs that we of course have to factor in And as we, you know, acquire new things or open up new things that adds to that ongoing cost.

I think Councilmember Kazan and I have been on the absolute same page about the importance of pavement. I don't think it's practical that we are going to be able to meet that 18 or I think it was even more than $18 million a year But I do think that 6 million is not enough. And it's not going to help get us to a better place. But that's a discussion for us, to identify what is an achievable target? What can we do to have some more in there? And to Mr. Ryu's slide on 24.

What is the offsetting reduction? Those are hard discussions for us to have as a council. We can task staff with bringing some options, but we have to be in alignment that that's what we want to do. And I think that has to be the discussion as we think about any new things that we want to do or new priorities We have to have that hard discussion about the offsetting reduction because what I think is a silver lining of where we are right now is we have our very capable professional staff telling us, we're in a good place right now. We've got, you know, a plan for finishing these major projects and there's some pretty serious caution ahead.

And I think that's a really, it's a good place for us to be in right now. To think ahead to the next couple of years and how we avoid finding ourselves or finding our future council finding itself with a budget deficit or some more challenging times and not having planned for that and not having anticipated and made some choices or some changes or slowed some things down, or not taken on new things just yet until we really see what a lot of this economic uncertainty plays out over the next couple years. So I'm on that note kind of glad that we're having this discussion now and we can really take the time to think through some of these important questions as staff has outlined for us.

So I guess one of the unanswered questions I had that's maybe more clarification is when you talked about the deferred maintenance not being factored in and any staffing changes not being factored in, there was a comment and I think it might have been in the staff report about unfunded priorities and programs. And I just wanted some clarification on Is that talking about anything that's unanticipated, that couldn't come up? That would be an unfunded priority or program. Or are you referring to any known unfunded programs or priorities?

CommentLuke RiosProposedself-stated2:29:34

So the unfunding priorities and programs is really referring to what we know. What exists like could be like some of the master plan documents

UnidentifiedUnidentified speaker 9Proposed2:29:43

I see, okay. So like projects that are in there that we've adopted as plans but maybe are not budgeted

CommentLuke RiosProposedself-stated2:29:52

right now? Right it's a priority to complete but there's just no funding mechanism to identify. I'll give an example like the economic development strategic plan is one and so I've been working with to identify one-time funding sources that construction use tax you know is a possible one time revenue avenue Just kind of stuff like that.

UnidentifiedUnidentified speaker 9Proposed2:30:14

Yeah, and that's really important for us to kind of reckon with that we have a lot of really great plans that we've adopted and we're excited about we know are important our community knows that are important. And so then I think the discussion for us is, what do we do knowing that? How do we make decisions about what we do? Where do we find the money and then have staff come back to us with some options. Those are tough discussions to have but I guess like in fairness to staff, like we are the ones that have to have that dialogue about how do we get there? What do we, how do we achieve some of those things I want to

2:31 – 2:362 turns

UnidentifiedUnidentified speaker 13Proposed2:31:20

A few things and just clarifying that we're sort of in the question stage right now. Okay, thank you I think I do think continuing I guess just I guess this isn't really a question. I guess in response to yeah, but you know we are a unique city in terms of like what buckets we have for funding and I understand our need maybe more than other cities to be conservative in terms of our contingency target The more I look at it, I do sometimes wonder if even some small percentages of that contingency policy could be adjusted so that a percentage is going towards maintenance or things like that. And again not large percentages but I don't know.

And I recognize that has to be a cautious discussion. You know, but it's interesting to see that major uses of dipping into it have been more kind of for the liquidity purposes or for like You know, acquisition of the City Hall. Unless I'm not hearing as much of like we had this emergency need to dip into the contingency historically. So it might be helpful to just continue to have that discussion and to maybe have more information there.

And you know, and I know at the Finance Committee, the discussion will be ongoing in terms thinking about maintenance, whether it is our, you know. And I think both in terms of our buildings and the unique aspects there is no question that owning a building as old as the community center or being responsible for Stowe House Right, as we have seen has some really unique challenges that are just different than I mean even having a building from the 70s which is still also presents challenges.

So so that's just something that comes to mind. I do think it will be important to monitor I think in the coming year, in terms of just the rental market and the actions of the City of Santa Barbara. In terms of any policy decisions that they make because it will have market impacts on City of Santa Barbara tenants if it hasn't already. So I think that's going to be something that's just important to monitor and a reality And then the other observation, too, is thinking about impacts to UC Santa Barbara and just thinking about to the extent.

Facing shortages, funding cuts. And to the extent our economics are interrelated with if there's fewer business trips for UC Santa Barbara related business that might be impacting Goleta and things like that so those were just some observations I won't go I

UnidentifiedUnidentified speaker 7Proposed2:35:32

do have just one comment. Yeah, risk of going kind of down that rabbit hole on reserves and of course reserves has been discussed at the finance committee Mr. Rios said it's in progress, and so there's going to be another item to both look at the general reserve and that policy but also the newer idea about a facility reserve. But one misconception that I just want to kind of pop a little bit on the idea is that it's not an ongoing source. It's one time.

So I'm just looking at raw numbers. I'm looking at 26, 27. The reserve is estimated at 15.7 million. That's 33%. So hypothetically let's say a policy was changed to make our policy only 25% or let's say that was $2 million. So okay, let's only have a reserve of 13.7 million. That's $2 million then you could use it. Next year, the reserve is still going to be $13.7 million but you don't get another $2 million.

2:36 – 2:4513 turns

UnidentifiedUnidentified speaker 2Proposed2:36:43

Yeah and don't we have a policy, I'm going to jump in here on our reserve that if we were to use it well first of all 33% has been the operating expenses or the amount put away for four months but if we were to use any of that don't we have a policy that we're supposed Pay it back within a certain amount, put it back into the reserve. I mean, it's not just you use it and then not refund it? Am I thinking that right?

CommentLuke RiosProposedself-stated2:37:15

Yeah, Madam Mayor, that's correct. Within a five-year replenishment plan we do have to cut or figure out a way to replenish it within five years.

UnidentifiedUnidentified speaker 2Proposed2:37:23

Yeah, yeah. That's what I thought.

UnidentifiedUnidentified speaker 17Proposed2:37:25

The only other thing I was going to add is Mr. Nisbet, when he made that point about the reserve and reducing it, it's kind of a double-edged sword as you have more expenditures you have to put more away right? And so you also have to factor that in because you're thinking like oh great well like we have more in reserve but it's also because you are spending more. So that graph and those totals I want to say they are misleading because they are what they are, but they create a false sense of we're getting more reserves, but it's only because you're spending more.

UnidentifiedUnidentified speaker 2Proposed2:37:58

In some areas jurisdictions like to put away six-month reserves. I remember there being conversation about just doing a three month reserve or two months Council members in the past have always held that in high regard, that we'd have at least four months. I think that has always been the case for a long time. I do say I want to agree with Councilmember Reyes-Martin on a deferred maintenance. I do worry about how to keep up with all our beautiful buildings and property that we own, and I think those will be some tough conversations to have.

Past council have done an excellent job with, you know, always being fiscally responsible and conservative with the funding. And I think we can do it too but it's going to be tough. We all have our wish list of things we want and so... But I really, I just, I guess I'm not asking a question. Well, I do have one question at just random but the train depot So it's the sidewalk and the bus loop and all that, is that included in the full... It says it's fully funded. Is that included or is that going to be separate?

UnidentifiedUnidentified speaker 17Proposed2:39:26

Madam Mayor so as you recall when we went to construction to bid the documents we bidded them with alternates The site-specific improvements are being done as part of the base project. We're moving forward with that. What we did extricate from it was the South La Patera improvements, including the sidewalks as you go from Hollister all the way, ensuring that they're all universal and consistent, as well as redoing the road and dealing with bike lanes and all the other stuff. That was all extricated because that wasn't part of the grant. So we've made that a separate project in Public Works to see if we can find grant funding for that type of project, because it has a good nexus for connecting transit-oriented development and transportation hubs as that.

But yeah, they are separate.

UnidentifiedUnidentified speaker 2Proposed2:40:19

Well, it kind of came up today at my MTD meeting and they were wondering if there was going to be some kind of a loop or something. There is. There will? Yes. That's already been...

UnidentifiedUnidentified speaker 17Proposed2:40:30

Yeah, we included that because that has to service the actual depot but the longer extent being from the site all the way to Hollister

UnidentifiedUnidentified speaker 2Proposed2:40:39

had

UnidentifiedUnidentified speaker 17Proposed2:40:40

to be phased out.

UnidentifiedUnidentified speaker 2Proposed2:40:42

Okay, thank you.

UnidentifiedUnidentified speaker 8Proposed2:40:55

So one of the reasons I didn't intentionally do this to set up this observation, but looking at you know the discussion that we had as far as the escalation of costs associated with pavement. You know it's going to be a challenge Thanks. I guess, you know when people look at a question ask us about or when we, when you have the discussion about revenue enhancements part of what people are going to ask us is didn't you already do this? Didn't you have a revenue enhancement measure B in the past and you said it was primarily for deferred maintenance or at least that was a large driver of what you were proposing And so how do you justify something like that if we do proceed with a revenue enhancement or consider a revenue enhancement in the future?

And presumably, we could look at the Measure B and see here's how much of that is going for various deferred maintenance purposes. But when you look at the escalation in costs associated with pavement, it's something beyond. It's something that it was not when it was the time for us to be doing, predicting how much we would need for pavement. You know, we thought 4.5 million or yeah, 4. 5 you know something like that we would need a portion of that measure B money to go in and from the general fund to augment our fees and it's there's been a change in how in the requirements so there's been a change in the need and it's really put us in a really challenging position And so it's something that we'll have to think about. We'll have to ponder, you know, what are the options that are available and so forth?

But honestly if we're talking how do we come up with $15 million or something like that a year You know, it ain't there. It's just we can push a little more money in from here and there but we're not coming up with that and we could set a new goal, a lower target but there are consequences to having a lower target in terms of the deterioration of the roads and the long-term costs so it's just an observation You know, it's something we'll have to talk about and something for the public to consider. And hopefully there's a variety of different revenue options some less egregious or onerous or something like that.

One last observation or question I think I believe I know the answer but they $11 million associated with I forgot the name of DOT Grant, that's not, was that your question? Sorry. Do you want to finish it? I can... That is A, not programmed into this because there's uncertainty and at a future date when we have certainty we can decide. I think we talked about before portion of that going to pavement, a portion of that for Big Six but could you elaborate on that money

CommentLuke RiosProposedself-stated2:44:34

Yeah, Mayor Priority, Council Member Kasdan. So that grant, that RCP grant, so that's a special revenue fund so it's not included in the forecast essentially but it's part of the overall project cost budget for the San Jose Creek multipurpose path The latest update I received on talking with Public Works is that, that grant has not yet been signed by the Federal Highway Administration.

So therefore we can't again submit for reimbursement but it's the budget is programmed it is it is program there. So we're able to spend the money now, but and still get signed agreements at a later date. So this doesn't impact our ability to get reimbursed though as long as we actually get signed agreements at some point they let me know that the Federal Highway Administration is understaffed there's a lot of new team members so things are taking a lot longer they're also in process or revising their agreements um so they've been waiting for their final language no official timeline just yet but we're continuing to follow up

2:45 – 2:5412 turns

UnidentifiedCity ClerkProposed · by role2:45:36

I can still kind of finish my thought on that one. So, you did a good job of starting us off and I guess in terms of a question but perhaps trying to be responsive to some of the provocative questions and challenges that have been put forward One way that we could look at this in terms of thinking about the future is as we find ourselves being assured enough that that money's really going to be there, we could schedule regularized conversations for when we're able to draw on that grant for the San Jose Creek multimodal path project.

To then trigger a conversation about what would be the appropriate reallocation and general fund dollars that have been kind of suspended and hanging up there. And in terms of putting down a marker and dealing with the provocative question, I would argue that we should as we look at the next five years schedule a series of conversations where we could potentially put that money towards pavement just to kind of put down a marker of where I would be thinking not putting it towards Big Six but putting it towards pavement. I think that's one way of getting there.

question for us to consider in terms of trying to be responsive to what was brought up earlier. I think we need to look at, you know, what would we like to do? What would we love to do and what do we have to do. And some people get the joke. I heard a giggle. And I think that we should be looking at our discretionary spending. What are some things that even if we have master plans focused on it What are some of the discretionary things that we perhaps didn't do 10 years ago or five years ago?

But we do them because they're very real needs in the community or, you know, important priorities for our community. But perhaps we need to pause or reconsider the amount of the investment towards fulfilling those plans over a five-year period, over a three-year period. Perhaps we staggered in over like the last three years when it looks like the number, the unfunded would start to be unassigned fund balance would start to zero out Maybe we could basically look at a plan for those last few years where it's supposed to zero out. Perhaps there is a way for us to look at two or three discretionary, not things that we are mandated as a city to do but that we like doing and their priorities Maybe we can reevaluate some of those priorities, and I don't want to necessarily name each of them right now.

But it's I think it's something that we have to look at. I do agree we have to make challenging some challenging decisions here in the near future. I think you know, I think the present is fine but I think there's blinking lights about the future. And so it's appropriate to start heating those blinking lights and having a plan for how are we going to address those blinking lights?

I think there's no bad ideas right now. Reassessing our reserves or reassessing the rate at which we reimburse the reserves if we have to dip into them, that could be part of a path. There may be some other ideas. Maybe there's one or two work plan items that are not so far along that there's a lot of sunk money in them that we could just kind of put on pause.

But yeah, I think this is a good conversation.

UnidentifiedUnidentified speaker 2Proposed2:49:13

I'd like to go to the public before we go to the public. Mr. Rosen, city attorney would you like to make a comment?

UnidentifiedUnidentified speaker 16Proposed2:49:20

Sure thank you mayor so i just wanted to make an announcement to any public commenters we may have on the line that this item is limited to the five-year forecast and fiscal year 2026-2027 budget priority setting workshops so to the extent there's comments not related to this subject matter specifically under consideration that's irrelevant speech is not permitted And it's just a warning that to the extent we have public commenters that speak on irrelevant items not related to the item, they will be

UnidentifiedCity ClerkProposed · by role2:49:49

muted.

UnidentifiedUnidentified speaker 2Proposed2:49:50

Thank you. Okay do we have any public speakers?

UnidentifiedCity ClerkProposed · by role2:49:54

Thank You Madam Mayor and council members I've not received any speaker slips if any attendees on the zoom webinar wish to speak to this item please use the raised hand feature and I will call upon you mayor and council I'm seeing none

UnidentifiedUnidentified speaker 2Proposed2:50:09

okay thank you So it looks like we have a couple, do we have any more comments from Mayor Pro Tem?

UnidentifiedUnidentified speaker 13Proposed2:50:20

Oh yes I just wanted to thank staff. I think this is a really helpful overview you know I think I don't know that this is the year but in looking at this five-year forecast it does raise the question for me of like you know Should we look at, I don't know the TOT tax at some point or in terms of starting to think about revenue enhancements and thinking about that.

I see that on the horizon. And then you know and I think it's not so much a concrete budget item for the current fiscal year but I do think sort of underpinning a lot of the activity in our city is knowing, right? We have our own developments housing developments coming online in the city. We have the county's activity right at our borders and that I think is just continuing to drive a lot of discussions.

I'm thinking in particular about fire service on the Western end so you know and I think that remains a high priority as we look at this You know, five year planning period. So I just wanted to flag that. I know at this moment there's transition and negotiations and discussions still happening but I think that's just an important in thinking about the forest through the trees looking ahead.

Thank you.

UnidentifiedUnidentified speaker 2Proposed2:51:59

Thank you. Looks like you're looking for two direct, those two questions that you want us to, number three and number four. One is the in-house and housing at lieu fee contribution and then the other one was does council support staff recommendation on overall funding priorities Sounds to me like we were all in agreement but I'll just ask Councilmember Kasdan.

UnidentifiedUnidentified speaker 8Proposed2:52:33

Yeah, I guess I'm not really clear on four because it was this is seems more of an aggregate report rather than you know where we would weigh in on Are you asking really about like the big six? I mean, because we clearly identified something with pavement for future discussion and other things. Is it really just we get it that here's the revenues and expenditures

CommentLuke RiosProposedself-stated2:52:59

Yeah, we didn't you know the approach was we didn't want to come to council with surprises of like You know because we don't have formal appropriation authority. Like that's a significant amount of money But we wanted to make it clear that when you do see the upcoming budget at the budget workshop You'll probably see that those projects fully funded The big sick well pretty much it's gonna be that San Jose Creek Fish capacity project and then So I wanted to point out we do have pavement maintenance concrete here too, so if we do identify the additional funds it will be a priority item. We'll look to fund but also really the focus though is what you're going to see new as new programs in the budget is the Coleta Train Depot operations. So it's going to be housed in general services but there's going to be multiple departments touching that budget And then also just right-sizing some of like splash pad operations and maintenance.

And then in keeping in line with the agreement we have in place with Heritage Ridge, there were some costs that were identified that we said we would come back later and so we want to make it very clear so no one's surprised by some of that but we do know we're stretched thin and so you know we're gonna continue to make some adjustments because we know there's some contracts that have to be slightly adjusted but just wanted to you know these are kind of the items big picture items but again It's something to think about too when you go through the work program process, just kind of giving a heads up of where we're at. So it's just kinda getting that general consensus but if there's anything else again there's more opportunities at the future workshops to provide ongoing feedback.

But really I'll go back to that affordable housing. I just wanna make sure everyone is clear that we're gonna continue that deferment if council's okay with that.

UnidentifiedUnidentified speaker 8Proposed2:54:39

Yeah.

2:54 – 3:0015 turns

UnidentifiedUnidentified speaker 7Proposed2:54:46

And certainly the council could make a motion, but I think it's also acceptable just to see the head nods and get concurrence. And I think we've received that.

UnidentifiedUnidentified speaker 2Proposed2:54:53

Okay. I just want to thank you Mr. Rio for an excellent presentation and did a good job of putting it all together and explaining it all. So thank you. There was a lot of work put into this. Thank you. Do we need a motion? We're not needing a motion. All right, any other comments? Okay. Then I think

UnidentifiedUnidentified speaker 13Proposed2:55:18

Mayor

UnidentifiedUnidentified speaker 2Proposed2:55:20

Pro Tem. Oh,

UnidentifiedUnidentified speaker 13Proposed2:55:21

I'm sorry, Council Comments? Yes! Yes, I have a few.

UnidentifiedUnidentified speaker 2Proposed2:55:27

Is that what we're doing now? I didn't

UnidentifiedCity ClerkProposed · by role2:55:29

realize you called that item yet.

UnidentifiedUnidentified speaker 13Proposed2:55:30

Oh I'm sorry. No, that's

UnidentifiedUnidentified speaker 2Proposed2:55:31

okay.

UnidentifiedCity ClerkProposed · by role2:55:32

I

UnidentifiedUnidentified speaker 2Proposed2:55:33

think

UnidentifiedUnidentified speaker 13Proposed2:55:33

it's next. Sorry, I thought when you said comments that's what I thought. I

UnidentifiedUnidentified speaker 2Proposed2:55:38

apologize. We're ready to move on. Okay

UnidentifiedUnidentified speaker 13Proposed2:55:54

Apologies, sorry Yes, I just wanted to report back on a few things that have happened since our last meeting So I did attend The beacon erosion meeting and I know that there was information shared from the county about the activities happening at Goleta Beach, which is under the county's jurisdiction. But just make people aware that the benefit of that project does help shore up Goleta Beach and also helps in terms of flood control. That it's maintaining the flood control And all of that material is moved to the beach and it helps protect the beach. So I know that Supervisor Capps and Public Works with the county has shared additional information that is available, but that has started and that will be ongoing for several weeks.

I attended, on January 27th, I attended the soccer match at UCSB, the US Women's Soccer Team. And just as it informs, I think everybody had a great time. It was really lots of fun. I did... I just note that I did hear some concerns about parking and The time it took for people to leave the event, somebody said it took them an hour to leave the parking structure.

So to the extent that we are involved with ongoing planning as it relates to World Cup activities I just think that'll be important even though that's not directly within our control to the extent that we're partnering with UC Santa Barbara in that effort. I think there were some lessons learned there But overall lots of fun, had a great time. On January 30th I joined several of my colleagues here in the press conference regarding ICE activities and that was really moving and it was great there were a lot of students out as well and that was really incredible.

to see our youth being active and engaged on these issues. And then just this Monday, I attended the athletic round tables luncheon with women in athletics and was really inspired. I did not play high school or college sports so I was just really impressed to be among all these incredible athletes and was very inspired. So that's my report, thank you.

UnidentifiedCity ClerkProposed · by role2:58:46

Thank you. Just two quick updates. One is on Saturday we had our first of the year coffee and community event at the Gleta Valley Library Express. It was very well attended, it was very well put together. Thank you to Kelly Hoover and her team for all their work that they did putting that event together very quickly and very effectively. I really want to thank Elizabeth Saucedo and her staff at the library for Everything they did and we had an opportunity For people to ask questions of myself in our new chief of police services There were a lot of questions about immigration In fact, it pretty much dominated the Q&A and I wanted to make sure everyone on council was aware of that People from all different walks of life and all different kinds of backgrounds really just seemed to have that on their mind On a related note.

I also attended the press conference at The county courthouse that was dealing with ICE and the importance of trying to work to de-escalate law enforcement actions that are happening federally in our community. And I was really proud to see so many community members there, and it was great to see all the junior high and high school students from Santa Barbara Junior High and Santa Barbara High, my alma mater's come marching down to make their voices heard, and it was really great.

3:00 – 3:003 turns

UnidentifiedUnidentified speaker 2Proposed3:00:12

Okay, I just wanna make everybody aware if they're still listening that we have two committee meetings coming up this week. We have the Public Safety and Emergency. I have nothing to report on it because we're doing that on Thursday 1230 to 130 here at City Hall and then we also have the Homelessness Issues Standing Committee 1232 no must be 2 o'clock 3.30 or 4 I can't remember so yeah, I just put that out there

UnidentifiedUnidentified speaker 8Proposed3:00:48

Okay

UnidentifiedUnidentified speaker 2Proposed3:00:51

any other reports no then I think this meeting is adjourned Thank You everyone