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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.0:00 – 0:036 turns
Good morning. I'd like to call to order the meeting of June 6th, 2023. Madam Clerk, please call the roll.
Roll call, called by Clerk of the Board
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next item of business is the May 16th minutes. Is there a motion on the May 16?
Move approval.
Second. There's a motion and a second, all those in favor please say aye. Aye. Opposed? Thank you. The executive director's report.
Good morning, Chair Williams and board members. A couple of announcements this morning's and it's just recognition of some of the excellent work by our staff. This morning I'm excited to announce that the county is a 2023 National Association of Counties Achievement Award winner. NACo announced the award recipients at the end of May and the awards honors innovative effective county governmental programs and so the county received its award Really for the work of Public Works, for the Montecito Debris Basin Construction and Modification Program. And as you know after the Thomas Fire and 1-9 debris flow, the County Public Works Department implemented a long term program to build two new debris basins and modify three others. The program enhances safety, allows more sediment to reach the ocean, reduces maintenance costs, and improves fish passage, and you'll see some of that on your admin agenda so let's congratulate and thank Public Works.
The very shy person sitting in the back is a division head, so thank you Public Works. In addition this past week the county was recognized by the United Way at its 100th anniversary recognition and our chair was there to represent us, do you want to say a few words?
Sure. The partnership with the United Way has gone back many, many years. In fact it was first started I believe in the 70s over a child care initiative so it's very interesting maybe full circle that we are again partnered to expand infant care slots and they gave us the next century of service award For that partnership and for the, I think of the accomplishment of the rental assistance. It's $36 million worth of rental assistance that we distributed during COVID.
The average award was 10,000 so that do the math it means almost 3700 people were helped or 3700 individual families were helped And so, and while that was an easier time because we had ARPA funds it still was a statement of the priorities of the county that our largest chunk of money went to rental assistance. Madam Clerk are there any announcements or changes to our agenda today?
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Chair Williams and members of the board, I do have a few announcements this morning. We posted an addendum on Friday June 2nd amending today's closed session agenda. The closed session agenda was amended to add an additional public employee performance evaluation information technology. This addendum was posted online and made available to the board and the public.
Additionally, staff is requesting to trail administrative item number 18 till after departmental item number two. Administrative item number 18 is from the County Executive Office. It is to consider an amendment to the 2023 Board of Supervisors schedule meeting dates and locations to include a regular meeting on June 20th, 2023 in Santa Barbara. And we are requesting this item be trailed and heard after departmental item number two from the Public Health Department regarding an ordinance to repeal and replace Chapter 5 ambulances of the Santa Barbara County Code. Should departmental item number two be approved by your board today, the board will act on administrative item number 18 which will add a regular meeting to the board schedule on Tuesday June 20th at 9 AM.
Additionally I have a brief announcement on administrative item number 42. Administrative item number 42 is from the Social Services Department. It is regarding an agreement with Martha Ypez for contract on payroll, Kuyama Family Resource Center coordinator. Prior to the board prior to the board taking action, the department has requested that Ypez's salary information be summarized orally in accordance with government code section 54953 subdivision C3 as follows Martha Ypez is total contract compensation for the period of July 1st 2023 to June 30th, 2024 is in an amount not to exceed 95,062.
And lastly for the Board of Supervisors methods of public participation and to provide public comment on general public comment or an item on the board's agenda please see page two of the agenda. Individuals that would like to provide verbal public comment may do so via Zoom by registering in advance via the link available on page two. If you have any questions please contact the clerk at the board's office At area code 805-568-2240. Again, that's 805-568-2240 and that concludes my announcements for today.
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We have a lot of items to be pulled today so I'm going to do things little differently. I'm going to start with the ones that are just pulled for highlighting so that we can take a broad vote and those items are A23 and A33 In reverse order, A33. Why don't you start, Laura?
And Chair Williams, members of the board, administrative item number 33 is from the Public Health Department and it's to consider recommendations regarding a report from the Homeless Death Review Team.
Supervisor Kaps.
Thank you, Chair Williams. I just was hoping that our Director of Public Health might just speak to this item for a minute or so because I just believe when we are reviewing this agenda that this report is so pertinent to the work that we're trying to do as a county to tackle homelessness and the fact that deaths have increased so dramatically in the last few years that we have data for. I thought it would be helpful the context of the conversations that we're having with community members, with neighbors about how imperative this work is. Thank you Director.
Good morning Mr. Chair, Supervisors, thank you. Attached in your packet is the Homeless Death Report for the years 2019 and 2020 and as you can see in the findings we have seen an increase in those two years from the previous year of 2018 in the homeless death. Most of the majority of the cases were due to either substance abuse or alcohol, and that was the majority almost of all the causes of death followed by cardiovascular disease.
We didn't see any of the seasonal variations so there weren't any weather-related deaths i.e., hypothermia or hyperthermia And one unique thing that we also have seen is that most of the homeless or that were deceased were frequent users of the county different departments, whether it's public health or be well or the sheriff's department and all that. Which some of the findings and the recommendations that we include in the report should have better coordination. And some of the things that we are doing as the continuum of care and coordination of care, but also having a concerted effort in identifying the homeless and identifying the causes and also a database that we can all share to identify who are those frequent users? And how can we make sure And there is no public comment on this item.
Chair Williams and members of the board, we have no request to speak on this item.
Supervisor Katz.
Thank you, Dr. Hammami. I just wanted to underscore because I've received so many letters and conversations with constituents about homelessness in general but one in particular stood out to me which was from Laura Cooper and she wrote the last line of her email to me was this is literally a matter of life and death providing shelter and I just wanted to underscore that with this report and thank you for the work of this team that does this assessment and it's important information for us to have.
Thank
you. Supervisor Lavendier?
Thank you, thank you for highlighting those supervisor caps. I thought the most shocking statistic in that was that the average age of death for a homeless person was 54 years old.
So
the
distribution in the last two years shifted and became mostly between the ages of 40 and under 60. Yeah
unreal so yeah we got a lot of work to do
thank you And then I pulled a 23, this item as the final steps of the acquisition. Well go ahead and read it.
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Chair Williams and members of the Board, Administrative Item number 23 is from the General Services Department. It's to consider recommendations regarding the donation of approximately 77 acres of land in an unincorporated area of the County of Santa Barbara. APN 059-020-059, 041-042, 039 and 058, an acquisition of approximately 24 acres of land in an unincorporated area of the County of Santa Barbara.
APN 059, 020, 040, 049, 050, 051, and 052. And this is in the first district.
I only highlighted this because it is along with a theme of the fiscal priorities that we've had the last couple years We participated in this acquisition and it's also relevant to our discussion of housing because the, it is important to have recreation space for housing. And Santa Barbara continues to lead in per capita acreage of parkland to individuals thanks to some of the investments like this.
So let's go to public comment on this item.
Chair Williams and members of the board, we do have two requests to speak on A23. We are going to begin with Ken Owen to be followed by Mark Shatillo.
Good morning Chair Williams and the Board of Supervisors.
Agenda Discussionitems moved / continued / pulled, click to expand
Just here to say I'm glad to see this item on the agenda, and there's been a lot of work from a lot of people to bring us to this point and including the Board of Supervisors supporting this project to save the West Mesa of the San Marcos foothills from development so it's It's greatly appreciated over 5,000 community members came together along with a coalition of folks to save this property and it's greatly appreciated to see it here.
Thank you.
We will now go to Mark Shatillo who is our final speaker on this item.
Good morning Mr. Chair, Members of the Board, Mark Shatillo on behalf The coalition of groups that have been involved in preserving this important property, Foothills Forever, the Save San Marcos Foothills CIR and the Foothills Forever Executive Committee. We wanted to of course underscore the importance of an affirmative action today to move this process forward. It has been a long time in coming and we are eager to move this process to the point where we can convey this property to the county And ensure its permanent preservation and fulfill the intention of the over 5,000 people that have donated to make this a reality. Thanks for your support if you have any questions about this complicated transaction I'm available to offer any insight I can provide thank you
looks like you have a couple takers but I first just want to thank both of you and your Your compatriots for having the vision and the belief that this could happen. Without the belief of moving mountains, you can't move the one rock at a time so thank you for doing that. Supervisor Nelson?
Yes, thank you Chair Williams and I just wanted to... Appropriate to highlight that this was an advocacy at the board by at that time Supervisor Hart. Now it's a woman heart to make sure these funds were available for this purpose and then we got unanimous support among the board moving forward, so it's a project I'm excited to be a part of looking forward to similar investments in other parts for accounting moving forward. The one question I did have, and I'm looking forward to getting this after the fact, but it's just in accounting. I know a lot of money went into the project and how it all worked out with the financing and our portions in the states and the volunteers so my understanding is that General Services will get that to us sometime in the future.
So just wanted to highlight that. Supervisor Hartman?
I just wanted to add my thanks to all the donors, and particularly Mark Chitillo who led this and Mary Rose who helped you. It was a lot of work behind the scenes and you really called up the community and they answered so it's an extraordinary accomplishment.
Thank you for that. It was indeed a community effort. We all came together on an incredibly short timeline, it was completely unrealistic but the community responded and we were able to pull it off. Thank
you. So those were just for highlighting. We do have a number of other pulled items for separate boats A-9, 16, A22, A38 and A41. A38 being pulled by the public. So can we get a motion on the balance of the agenda and the trailing of A18 and the additional closed session item?
I will make that motion as well as the addition to A43 that the clerk write into the board of the compensation.
Thank you for catching that, Supervisor Hartman. Second. All those in favor please say aye. Aye. Opposed? Then let's go to A9.
Chair Williams and members of the Board, Administrative Item Number 9 is from the Clerk Recorder Accessory Elections Department. It is to consider recommendations regarding local ballot measure supporters' opponents printing
Good morning Chairman Williams, members of the board. Can you hear me? Joe Holland?
Yes we
can. Okay well I'm the County Clerk Recorder Assessor and Registrar of Voters for this item Michael Daly our newly appointed Chief Deputy Registrar of Voters is in the room there and Michael is available to answer any questions that you have and if you need any further inquiry of course
I guess I have a couple questions. First, you know is this just for local ballot measures not for statewide? Secondly what is the cost calculation and the staff report based off of it's $150,000 plus how many ballot measures is that sort of based off of and so how much ballot measures could cause that cost to be larger than 150,000 is what I'm wondering
Good morning Chair Williams, members of the board. Thank you for your questions so the first whether it's this is affecting local or state state measures are going to be mandated so there's no opt out to list supporters or opponents for state measures. This opt-out is specifically to local measures only, so that's that point. In terms of costs it's very difficult to estimate for the point you brought up which is the next question about ballot measures. Ballot measures will vary from election to election. Primaries tend to have maybe not as many.
Generals could have more and this isn't just the upcoming two elections that we have Next year, this is all future elections. So the cost will vary. It's very difficult to break it down by a per measure basis for many reasons. It's more that the intangible costs from doing this are really where I feel the impact is and I'm happy to address those if you have questions about that.
It really is going to be not so much about how many ballot measures, whether it's 5, 10, 20. The cost would surely increase but even if there's just a few it's going to have the potential to lengthen the ballot and add costs regardless of the volume of measures.
So you're confident that this estimate is correct even if it's only two or three ballot measures?
It's a very rough estimate. It could vary, but in discussions with staff it's going to be hundreds of thousands at the least and multiple hundreds of thousands if there is depending on how many ballot cards printing costs what just a lot of unknowns though still we really won't know till we go through a cycle to see. And
could we do it one way? and change our minds or is this a decision, a forever decision here?
I believe there is an opportunity to opt back in. You could reverse the decision down the road. I believe that's, that is an option for the board.
And could we do it the other way? Could we decide to print the supporters and detractors and then decide to opt out later Yes.
If that
cost burden was too large? Sorry,
yes Mr. Chair if you decide not to opt out now we could bring this back to the board or bring it back up at a later date. The opt-out provision is coded in one of the sections of the bill.
Supervisor Hartman?
Well, let's see. I in principle very much favor the concept behind this. I think it is important to understand who the funders are and putting that on the ballot is important. I do have a letter here from Senator Lamone and Assemblymember Bennett, the value of having the major funders of the support and opposition campaigns for a measure on the ballot is tremendous. It can dramatically help level the playing field in terms of campaign spending. We encourage you to embrace the spirit of this groundbreaking new law and keep the option to inform voters open while you gather more information.
So I'm very much in agreement with this. Sometimes democracy costs money if we would want to learn more about exactly how much, I believe we have an option to bring this forward on the D as a D item at the last meeting in June where were a number of good government issues are coming before the board so I'm either prepared to support this today or reconsider it at that date
Thank you. I had the same reaction to this measure as Supervisor Hartman did. More transparency is important in California. We have a lot of ballot propositions and even locally, and it's really hard for voters to understand Who's behind what this actually is? And I just believe, I agree with the Citizens Planning Association who wrote us, I believe yesterday and said basically that the costs of this transparency is minor compared to the benefit for voters. That's where I stand and so however that works out if we wanna take it in stages, I'm open to that but fundamentally I believe in the spirit of the disclosed law.
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Supervisor Nelson.
Yes, thank you Chair Williams. I admittedly was ignorant to what was going on with this. I had to do my research yesterday and try to figure out the story behind how we got into this law at the state level. And at first glance, I'm always supportive of more transparency and communication to the public. The one thing that does give me pause though when I look at this is the example that I think it's called the Clean Campaigns movement here in California is that a lot of the listed supporters and opposers, it becomes very partisan in some ways. You know there are these what you might call Republican groups or Democrat groups.
And I think one of the reasons why we work so well is we kind of move. We're post-partisan on this, this board and when I see partisanship being pushed more into ballot measures and you know elected officials or whatnot. I don't think we should have R's or D's next to our names that's one things I love about local government it's really our name that means something And so that's where I have some hesitation. I would love to have some additional debate on this and so I'm happy if we want to move this to our greater discussion on trying to do better governance up here, but that's where my heartburn comes from.
is I think it potentially becomes more of a team sport sometimes with this instead of actually the merits of the legislation that's being voted upon. And that's what I want to get away from on this board, and I want to get towards just better governance. And sometimes that does mean the voters have to be a little bit more educated on their selves. They can't be lazy and they have to go and do the research that's going to be in the ballot book So that they can kind of pull those things down and not necessarily take the, I would say maybe potentially easy out by just looking at who opposes this and who supports this and see if that's an organization they like or not. And I think that's also potentially to be manipulated as well. A lot of people come up with really interesting sounding organizations So those are the kind of concerns I think we should think through before we jump both feet in.
Let's move this forward right now as proposed by staff or to have a further discussion in June on it.
I pulled this item because I do think that this is a question on transparency versus practical effect on the ballot. And I think this would be a good idea as long as the state legislature is willing to discipline itself in terms of how many ballot measures it qualifies. Right now there's 26 ACAs, SCAs and bonds that they proposed some legislators have done more than one.
I do have some worry that the ballot will be so long and that this will make it even longer. But, I do have to have some faith in our legislators to call that number. I've heard the rumor that leadership wants to get down under 12 or 10 which would be good. It could be better but that would be good And I would say that we should err on the side of transparency. I would be prepared to vote to reverse this recommendation and opt in, if we are disclosing it would be an opt-in today but out of respect for Supervisor Nelson, I'm happy to put this on a later agenda if that's
better.
Supervisor Katz?
Oh, if you wanted to speak first Supervisor,
I'll wait to be called
on. Maybe you can answer this actually because from my understanding, I really appreciate what Supervisor Nelson is indicating and the fact that our Constitution makes these positions nonpartisan is extremely important. That being said not all ballot measures are and I think we don't have control over what's on the ballot absolutely but this law as I understand it includes rules to avoid political parties being listed, as well as quote-unquote newly created sham organizations from being listed. So maybe that would address your concerns we can learn more about it I'm all for understanding what we're doing up here but I agree with the spirit of your point absolutely but I do believe that the laws its written intends to address that.
Supervisor
Nelson? Well I was just gonna respond that that would be helpful for me to understand that again I was looking at this fresh yesterday It's my prep on this item and so more time would be helpful for me, but because I want to know what the details are on that. But that's I think it's important for us to understand.
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Supervisor 11 yeah thank you Mr Chair. So personally, I think there's a lot of reform that could be done on the ballot one of those is not having 26. I mean we're trying to get more people to vote and now we're making the ballot longer yes And generally when people come and ask me, do you support this measure or that measure? I tell them hey read it. If you think you could agree with it vote against it on the state ballot because they write them backwards basically almost right so you read it and you think that sounds good but it's totally against what you... It's just and you don't know if your voting yes means no and no means yes and I'm somebody that does this for a living so it's super complicated doesn't need to be and there's a lot of reform that should go on in this area Yeah, I'm ambivalent one way or the other about whether to list the supporters and opponents.
Whatever you guys want to do it. I just like to drive more people to polls and I think this probably goes against it and it costs us more money
so. Well, I would propose especially since we haven't many much other business that we cut this short and just put this on a future agenda since we still have Michael, how much time?
The next primary is March 5th but I believe it needs to be done well before that. Yes. So ideally in the next couple of months would be helpful for us and
plan. We will not leave you hanging. Okay thank you.
Supervisor Hartman? So I would move that we put this as a D item on our June 27th agenda.
All those in favor, please say aye. Aye. Opposed? Thank you. A 16. Thank you.
Chair Williams and members of the Board, Administrative Item Number 16 is from the County Executive Office. It is to approve budget revision request numbers 8847 and 8873 which require a majority vote And budget revision request numbers 4846, 8820, 8834, 8835, 8837, 8852 and 8872 that require a four-fifths vote.
Yes, thank you. Supervisor Nelson? Yes, thank you Chair Williams. I pulled this item. You know one of the most boring parts of our agenda is looking at the budget revisions and seeing if those are things that can be supported or not and for those of us that this is a profession we get to dive into these and it's important that these aren't just rubber stamps and so I had some questions about one of the expenditures that just seemed a little bit excessive and so Mr. Leckerquist is here from General Services if you could come up. I'd like to get explanation on BJE 8873, it's the budget revision request for signage, interior signage in this building.
So would you go into what that expense is? How much and what it's for?
Absolutely. Supervisor Nelson through the chair. So the project's the removal of the non-compliant signs throughout the administration building. These are non ADA compliant. So it's patching painting damaged walls from all the sign removal on all five floors Fabrication, installation of new ADA compliance signs that also contain county seal. There's about 150 of them as well as general overhead and administration of the contract.
I believe part of the question yesterday had to do with the signed contractor itself so that was a competitively bid contract and then we have them now on retainer as our signed contractor. Does that answer the question?
So part of this is paid for the repair of the take a sign off it pulls a little the drywall off but we actually just had two floors that we'd completely redone so that wasn't, we weren't doing that. So there's only half the building that the signs needed to be replaced all right?
Well we still have about 150 though throughout the
building. Well, I think it's something that's common in government is that things are just more expensive. And I think that sometimes our contractors get a little lazy with that and charge us more for things because we usually don't question it. I think 150 signs for $150,000 is excessive. And I do think that we should be pushing back on our vendors when we have something like that. I don't think that the taxpayers want us to be spending our money in that way. We're gonna go out to potentially some ballot measures as a county asking people for more money But the first thing I think the voters are going to ask us is how we spend the money that we already give them. And so this is my frustration, as I think sometimes we just you know in the interest of expediency that will accept some these bids that are totally outlandish and totally unresponsive and that nobody would do in their own household.
I mean Kirk you and I would never spend $1,000 on a sign this small. These are just like less than one foot by one foot signs in our own household. And I just don't think that that is a good use of our taxpayer dollars and that were stewards And so it may just be symbolic, but I'm going to vote against this budget revision today. And it's also just a word out there for other departments that are contracting for services and supplies that you need to get your pencil out and really make sure you think about those dollars as if they were your own.
when you approve these expenditures, so I would like to make a I'm going to vote no on that specific budget revision. If it's helpful and expediency we can go ahead and take them all at once but that is where I was landing on this one today.
Well, I definitely appreciate your looking at the details and I don't think fiscal vigilance should be symbolic so let's Ask whether it's too late to push back on this item or not. I think there are whether you think there would be some
I Actually saw it. I walked in the building. I actually think all those signs are up for most of them already so, I don't know if this is a We're just proving something that we've already done or not. It seems like it is
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So where it's it's too late to do much about it as am I I
Supervisors to the chair, I think what it's not that we spent money and are asking for the board. This is a transfer of money so it's transferred the appropriation from a project to a different project and that's why it's before your board We understand what you're saying supervisor Nelson. I think it's a fair comment. I you know anything that we do is most of we do competitively bid so that looks at the marketplace.
We can put the word out to our vendors that we're taking a closer look just for the public's awareness, you know, the signage if you look at it there's braille, it's metal. It's not just a paper sign that were hanging on the doors this is required by law and so it's trying to do the whole building in that respect which we haven't and so it since you are ADA compliant but we understand your perspective on Supervisor Hartman.
So in deference to supervisor Nelson who'd like a separate vote I would move that we approve the transfer Is
there a second? I will second, but I will also say I think it's good to Council push back sometimes in certain bidding environments and occasionally putting Some blood on the floor about matters like this shows contractors that were paying attention. So I would also join Supervisor Nelson in encouraging that. Supervisor
Labanino? No, I was just getting ready to vote. I'm assuming well question so this is this let's just go okay
I don't want to keep going we got a long day All those in favor, please say aye. Aye. Opposed? No.
I'd like to abstain. Okay. Thank
you. A22.
Supervisors, I'm sorry but because so the way we do the budget revisions some of them are required three-fifths and some call require four-fifths. And Mr. Clementi this one just required three votes? It would be three-fifths vote to approve. The other ones that are listed, they are requiring a four-fifths vote so there's several budget revisions.
So an abstention would halt the other requests that there is not any disagreement?
I believe the motion was just on that one item. And so you, I would recommend another motion for the remainder of the items and then this might be resolved.
So then can we get a motion on the balance of the revision requests in A-16? I'll make a motion to approve the balance of the A- 16. Second. All those in favor please say aye. Aye. Opposed? Okay we're going to have to keep on going a little faster. A22.
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Chair Williams, I was the one that pulled this one. I'm okay with going ahead and just making this part of the general motion at the end instead of pulling it separately?
We already did the general motion so is there a motion on A22? So moved.
Second.
All those in favor?
Aye.
Opposed? Okay A22 is passed. A38 was pulled by the public
Chair Williams and members of the board, administrative item number 38 is from the Public Works Department. It is to consider recommendations regarding the Public Works Director's report on emergency response actions from impacts of flooding and storms in continuation of emergency actions, and there is a four-fifths vote required on this item, and we are going to Zoom with Sharon Byrne. Sharon?
Thank you. I don't want to hold you up on this, I just wanted to express my gratitude to Public Works for the incredible response post the 1-9 storm. Thank you.
And that concludes public comment on this item.
Can I get a motion on 838?
Move approval.
Second.
Second.
All those in favor please say aye. Aye. Opposed? Thank you.
Chair Williams and members of the board, administrative item number 41 is from the Sheriff Coroner's Office. It is to consider recommendations regarding a third amendment to the contract law enforcement services agreements between the County of Santa Barbara and the cities of Buelton, Carpinteria, Goleta, and Solvang.
Mr. Nelson?
Yes, thank you Chair Williams. Under Sheriff Bonner is here. The question that I think a lot of people have is if we don't renew this contract will there still be law enforcement services in these contract cities while an agreement is still being worked out?
Supervisor Nelson through the chair, that is correct. We are required to provide a certain level of service irrespective of the contracts. We simply would not have a mechanism to be compensated for providing that certain level of service.
Correct. So minimal service you might see in other places in the county that exist now?
Correct. Except there would not be any other law enforcement agency that we could turn to and say you're responsible for doing this, we would be responsible for ensuring that those mandated services are being provided.
And I just thank you for that. I think that's helpful for the public to understand as we discuss and debate this whether Public safety in their community and whether an emergency response is still gonna be available, whether we approve this or not. This extension or future contracts with cities. For me as a supervisor I have a lot of heartburn about approving these contract city contracts in part because we're so understaffed. And I know that yourself and the sheriff and your hiring group, Sergeant Gottschall and others are really working hard to get additional patrol deputies But it's still a challenge and there is still a significant amount of overtime that exists. And it often comes at a detriment to other parts of the county because we're filling the services to these cities, which would be costing them considerably more than what it would if they had to stand up their own police department.
So I know that there's debate out there. I'm not in favor of the city contracts while we, until we have full staffing at the county. And I know that we'll not always have full staffing. We'll have probably some level of where we're not fully staffed in the future but with the deficits that we've had and staffing throughout the organization it to me in good conscience, I can't continue to be pushing forward these contract city contracts especially at regular time because we're making up these times with Time and a Half and other parts because we're filling these contracted positions. So I would prefer to see as we begin to negotiate with the cities that were actually based on a time and a half number while we're understaffed, so I think that that would make more sense for us as a county and might change maybe the perspective that some of the cities have on whether they're doing us a favor or we're doing theirs.
I do think it's mutual beneficial relationship and I acknowledge that but I'm generally not supportive based on our current staffing levels in the county.
So that last question begs the question, so the calculation of their cost does not include their pro rata share of the department's overtime needs?
The methodology that is in place includes full-cost recovery which includes a relief factor. That relief factor incorporates the need to backfill behind positions
That is reassuring because my heart almost stopped.
This is in one of the reasons why this is taking as long as it is, is it's quite complex and we're really working hard as a county team with the CEO's office and County Council on the Sheriff's Office really trying to put together something that achieves that full cost recovery but is also trying to meet the needs of the cities as it relates to understanding the contract and trying to create a predictable future cost for those cities.
I represent folks that are both in unincorporated and incorporated areas, but I think it's just imperative for fairness between those individuals that you do pursue full cost recovery and not agree to something that is less than that. So with that encouragement, I will support this extension. Any other comments? Is there a motion? I'll move the item.
Second.
All those in favor, please say aye. Aye. Opposed? No. 4-1. Thank you. Thank you. A53. The fun stuff.
0:42 – 0:474 turns
Chair Williams and members of the board, administrative item number 53 is sponsored by Supervisor Williams. It is to adopt a resolution proclaiming the month of June 2023 as Amateur Radio Month in Santa Barbara County and joining us in person today we have Jeff Reinhart. And if Jeff can please come to the podium I'll go ahead and read the resolution. Whereas amateur ham radio operators stand ready to serve the residents of Santa Barbara County during times of emergency Providing communications to protect life and property through the use of their skills, and the use of advanced communications technologies. And whereas the American Radio Relay League's Santa Barbara section includes Ventura, San Luis Obispo and Santa Barbara counties with a collective pool of over 7500 operators licensed by the FCC including some 1900 in Santa Barbara County.
And whereas during emergencies amateur radio volunteers are on duty providing emergency and supplemental communications to support the protection of life property and human services and shelters And whereas amateur radio operators are committed to the values of community service, continuous training, staying current with advancements in technology, providing mentorship to new operators and never charging a fee for their services. And whereas during the fourth weekend of June each year, amateur radio operators conduct a national 24-hour exercise that simulates field operations under emergency conditions This year occurring on June 24th and 25th at multiple locations within Santa Barbara County. Now, therefore be it hereby ordered and resolved that this Board of Supervisors declares June 2023 as Amateur Radio Month in Santa Barbara County honoring those who are prepared to serve the county whenever their communication skills may be necessary passed and adopted today.
Jeff, please tell us
what you do. Thank you Chair Williams and members of the Board. I come to you with both gratitude and appreciation for what you do as a former two-term City Councilman and Mayor of a little city in Agoura Hills. I have a little experience on that side of the dais and know the challenges at least some of them that you face in the many directions you're pulled But understanding those, I have since retired from that and everything else. And I'm now the public information coordinator for the Santa Barbara section of the American Radio Relay League which is the national association for amateur radio. It's a volunteer position. and a labor of love as it is for all of our volunteers. But important for you is that this is another tool in your toolbox, and that of your emergency management system for the county.
We're ready to serve not only here but across the USA. And one of the slogans that we keep in the back of our minds is that when all else fails, amateur radio's there to serve. A lot of folks take pride in the systems that they've built for communications and so on. And yes, they're hardened and all of that but as we found out in Florida and in other cases behind the hurricanes and tornadoes there are situations where all else fails as they did in Florida last year and the amateur radio operators were there to assist.
So we're a ready resource. We buy and maintain our own gear, and it's dispersed all over the place so it's no expense to the county or the emergency management system. And we keep our stuff ready to go unlike stuff that stockpiled and given in a place here or a place there. We are self-sustaining. And as was mentioned earlier, we cannot accept compensation for what we do. That's in federal law but importantly it's a labor of love for everybody who gets into it. So we're a dedicated and hopefully valued asset. We are available not only for emergencies but for things as follow-up to emergencies filling in the gaps with damage assessment, shelter operations, hospital communications and even We do appreciate your recognizing the many hams in Santa Barbara County.
Hams we say lovingly, but it's amateur radio if you go for it. One more thing though that draws a tighter affiliation between the emergency response community and ham radio operators. This is a brand new memorandum of agreement not understanding but agreement between FEMA and the American Radio Relay League, the National Association for Amateur Radio. So there is now a tighter relationship between FEMA's response to larger emergencies And using us as one of the resources that they can call upon to address those things. Again, thank you. Hopefully you could make it to one of the field days that are going to be operated in the county at the end of the month. I know the Santa Barbara Club is also very active. There's a satellite radio club up in Lompoc and many other organizations that will be doing it so thank you once again we appreciate your help and I'm ready for any questions that you might have.
Well I just sponsored this resolution because you're part of a proud tradition, not only responding to emergencies but also before that these radio were key in resistance cells in occupied Europe during World War II. So it's a proud tradition of operating under pressure a complicated equipment so you are appreciated. Thank you so much, good day. A-44.
0:47 – 0:523 turns
Chair Williams and members of the board, administrative item number 54 is sponsored by Supervisor Williams. It is to adopt a resolution of accommodation honoring Susan McKenzie of the Office of County Council as the June 2023 Employee of the Month in Santa Barbara County and joining us in person today we have Susan McKenzie and if you can please come to the podium I'll go ahead and read the resolution.
Whereas Senior Deputy Susan McKenzie exemplifies the county's organizational values of accountability, customer focus, equity and inclusion, innovation, trust and ethics. And whereas Ms. McKenzie models the transformative behaviors of a collaborative problem solving alignment with the county's vision risk taking data driven decision making and strategic thinking. And whereas Miss McKenzie has a diverse portfolio of clients, including the Santa Barbara County Association of Governments and Public Works Transportation. The Office of Emergency Services working on every disaster since the refugio oil spill, including the Thomas fire and one nine debris flow and public health working as the integral part of the county's COVID-19 response.
And despite long hours, she always maintains a positive calm and professional demeanor. And whereas before joining County Council's office in 2015 Ms. McKenzie worked for the Navy as civilian contract specialist managing multi-million dollar federal contracts. The county has benefited from her experience as we navigate complex federal contracting requirements.
And whereas Ms. McKenzie always assists her colleagues and spends time gardening, collecting and reading as many books as possible and following all things Star Trek and Star Wars. And now therefore be it hereby resolved in order that the Board of Supervisors recognizes Susan McKenzie as the employee of the month for June 2023 passed and adopted today.
Mr. Chair and members of the board, thank you for this recognition of Susan today. When I told her I'd like to recognize her as the employee of the month, her response was but there are so many others. And I said yes there are but there's you as well and you deserve it. You know Susan from her work at SPCAG and Beacon, but we wanted to recognize her today because so much of her work is actually behind the scenes.
She's our office go-to for federal contracts, emergencies, HIPAA and healthcare questions. And during emergencies whether it's Thomas Fire or COVID-19 she worked very long hours supporting the Office of Emergency Services, Public Health and the health officer. She reviewed and researched countless questions and reviewed over a hundred health officer orders.
She's always professional, calm, thorough in her research and advice. And she's so kind and compassionate with her colleagues and clients. So we're pleased to recognize Susan today as the Employee of the Month.
Good morning Chair and Supervisors. If I can just say thank you to a few individuals. First, thank you to your board for this recognition and also thank you to County Council Van Molen and our entire management team in our office. They are smart and efficient leaders and I greatly appreciate the leadership that they bring to our office. Also, thank you to my colleagues. They are brilliant And I really appreciate the time that they give me even though I know there are moments where in their juggling multiple requests and then lastly I would be remiss if I didn't thank the individuals outside of County Council's office. The staff that I work with, with SBCAG, BEACON, Planning and Development, Public Health, FHIR, OEM, they're very dedicated and they keep my work interesting and challenging and I'm grateful for that so thank you again.
0:52 – 1:0014 turns
Now is the time for members of the public to speak on items that are not on the agenda. Madam Clerk, there are a few requests to speak on general public comment today.
Chair Williams and members of the board yes we have two requests to speak on general public comment here in Santa Barbara today we're going to begin with Gordon Siki to be followed by Ed Kolaski.
Thank you Chair Williams and members of the board for this opportunity to speak to you. My name is Gordon Siki, I have been a resident of the San Marcos Trot Club since 1974. Today I would like to do a shout out for Catherine Douglas, Richard Navarro and Mario Gonzalez of Roads Maintenance of the Transportation Department. Catherine Douglas has worked in the front office of roads maintenance for 16 years. Catherine has always answered my calls on behalf of the child club efficiently and respectfully. Richard Navarro, who is currently the superintendent of Lompoc Maintenance Yard was previously the superintendent here in Santa Barbara.
On numerous occasions Rich professionally handled my requests in a friendly and effective manner. Mario Gonzalez worked for 39 years in roads maintenance, rising from a maintenance worker to become the Santa Barbara Road Maintenance Supervisor. Let me tell you what Mario Gonzalez did for us. The Trial Club was having a very serious drainage problem that Mario Gonzalez figured out and his crews remedied.
In past winters, runoff from heavy rains ran down the San Marcos Road onto our entrance road causing damages. For years I was fighting a losing battle with sandbags. My calls last year to Catherine were answered by Mario who came up the mountain and met with me and figured out what needed to be done. With his years of experience, he ascertained that a culvert up the road from us was blocked and it needed to be cleared. And a new ditch to the culvert needed to be cut.
He also had his crews shave a large boulder so the crew could dig a better ditch to move the water down the road. Lastly, he strategically placed an artful berm on San Marcos Road just above our entrance road so water could move more perfectly down the road. His savvy resolved our problem so that this year's rainfall of over 250% abnormal on San Marcos Pass caused no damage whatsoever to our entrance road.
For years I've been hiking up Painted Cave Road from the child club. Whenever I would see a road maintenance issue, I would take a picture and send it to Mario who always responded quickly and scheduled a crew to resolve the problem. Mario will be greatly missed on the mountain. I hope that his successor, Paul Espinoza, will follow in Mario's meet-the-needs of residence tradition.
In preparing for this presentation, I discovered that there has been quite a bit of turnover in roads maintenance. I hope that the level of care for the Santa Barbara Front Country that Richard Navarro and Mario Gonzalez consistently demonstrated is maintained at their high level of service. Thank you.
We will now go to our second and final speaker, Ed Pulaski. Ed?
I hope some of you people remember me. I've been here longer than most of you guys who have been here with the exception of Steve This I call in remembrance of the past, living with regret. Brief summary, nine years ago to the day we were kicked out of the Board of Architectural Review without able to say a word or to submit our project. Alex simply kicked us out as he did his, well actually I think he just left town There seems to be some injustices to what goes on.
In the day, one person had their contractor show up, introduce himself. The next meeting two weeks later he submitted his first design, his second design and his third design. You're supposed to take a two week break in between each design He got it passed immediately. I spent six years to get mine passed and that first six months we did everything that the board asked And the last thing that they had asked, at least Alex had asked was not to locate the second story solely over the garage. So that's what we did. We expanded it so it would not be solely over the garage.
We came in sat down. Architect holding their drawings. We went to present them. Alex said no. He then, our architect stood up to ask a question. They had Dylan jump up and start screaming at us side loading, side loading, side loading. And Alex goes kicks us out. We couldn't show our drawings. We couldn't do anything so I'm going to run off to our supervisor Janet Wolfe and tell her about this 11 months later. I finally got to see her and obviously she wasn't interested Nothing, zero zip. So then we appealed to the board here and she was chairman of the board which left us where we started out of here.
No they don't that's solely over the garage I guess clearly it's not. It took Peter Adam. I had an architectural drawing up here not this thing outlined And when you look at an architectural drawing, you've got to line things up. It didn't take him two seconds to say that's not solely over the garage but we got rejected because it was quote solely over the garage.
Five and a half years later with me coming down here Every week that you had a meeting three times a month and more often when you had reviews and going downstairs there Six years of my life five-and-a-half right here
Thank You Ed that
is I finally Got approval because Greg Hart said something Janet Wolfe had retired So is the same thing going on? I noticed that one of my neighbors who was here at my time, not here but downstairs.
Ed your time has expired but let me just ask you, is your neighbor experiencing what you were experiencing before? I'm
sorry, my
hearing aid died out. Is your neighbor experiencing what you are...
He's finally got approval. He started in 2018 last year he got approval He had so many things that are just totally absurd. They wanted him to put steel beams in his garage to hold the second story, so he's got these monstrous steel beams with steel poles. He's got 16-inch wood. You know, he spent hundreds of thousands of dollars doing all this garbage where you know darn well it's not required. He has four by fours against the walls for what reason? Who knows?
So how is this to happen?
Thank you, Ed. That's your time. Thank you.
And that concludes general public comment for today.
OK, let's go to departmental item number one.
1:01 – 1:119 turns
Chair Williams and members of the board, departmental item number one is from the Public Health Department. It is a hearing to consider recommendations regarding a waiver of retirement exclusion for Michael Thank you, Mr. Chair.
Michael was the Assistant Deputy Director for PCFH. He retired in March. He was very much involved in our CalAIM effort and specifically the enhanced care management We currently have three vacancies for health center administrators, and the person who took over Michael's position is very much stretched across all those three. We are asking for a waiver to bring back Michael on a contracting limited basis to manage the enhanced care management in Cal AIM effort.
Any questions from the board? Is there a motion?
Move approval.
Is there a second? I will second. All those in favor, please say aye. Aye. Opposed? No. 4-1.
Thank you.
Let's go on to departmental item number two.
Chair Williams and members of the board, departmental item number two is from the Public Health Department. It is a hearing to consider recommendations regarding an ordinance to repeal and replace chapter five ambulances of the Santa Barbara County Code.
Good morning again Mr. Chair and supervisors We're here to present the ambulance ordinance update for Chapter 5. I am joined by Nick Clay, who is our EMS agency director. We also have ACO Heitman as well in case there are more questions and Dr. Shepard who is also seated behind us can answer anything that is related to the medical aspect of this. I would like to bring to your attention a correction on page three. We apologize for this oversight, but in the definition of ambulance services it seems that we only talked about the unincorporated areas of the county. This should read as all the counties so we would like to correct it in the original ordinance So what we are asking is for the board to consider the introduction of the first reading of an ordinance repealing and replacing Chapter 5 ambulances of the Santa Barbara County Code, to enact policies and regulations for permitting and regulating the provision of a non-exclusive ambulance service within Santa Barbara County.
To read the title and waive further reading of the ordinance in full, and set a hearing on the administrative agenda of June 20th to consider recommendations as follows. Consider adoption second reading of an ordinance repealing and replacing Chapter 5 ambulances of the Santa Barbara County Code to enact policies and regulations for permitting and regulating the provision of non-exclusive ambulance services within Santa Barbara County, and determine that the proposed action does not constitute a project.
And provide other direction as appropriate if the Board sees fit. Just in terms of background, we appeared in front of the board on April 4th to explore a non-exclusive ambulance system as requested by the board. The current exclusive zone is served by one provider which is AMR whose contract will expire on March 2024 We did research several models and looked at other counties as well as other states, and we recommend that an ordinance and permitting process is the best way to establish this non-exclusive system.
So the non-exclusive ambulance environment would be based on permits. Those permits will be issued for the entire county except for the Vanderburg Space Force Base and the Chumash Indian Area. There will be also a switch in the dispatch between March 1st of 24 to May 14 where the Santa Barbara County Public Safety Center, and then after May 15th 2024 it will be the Regional Fire Communication Center.
There will be several types for provider permits. One is for emergency medical service calls, 911. These are the advanced life support and the basic life support. A permit holder would enter into agreement with the LEMSA and the dispatch centers. They have to comply with a system status plan and the standards, and they should respond to emergency medical service calls only.
If the permit holder is only for inter-facility transfer and special events standby, the special events are festivals or games or any gathering of the public. Also, the permit holder would enter into agreements with the LEMSA and the dispatch centers will comply with the system standards will respond to intra inter facility transfers and special events as requested and And they will support the 911 system when a surge capacity is needed. A surge capacity is when there is a volume of calls for emergency calls that is unprecedented.
The critical care transfer or CCT is for any case that is in a facility that is deemed, the case needs to be transferred to another facility because of critical condition and they again, the permit holder would enter into agreements with LMSA and they will provide CCT transport as requested. The permit process establishes who can provide ambulance services and at what level. Someone can have a permit for all three levels and provide that, but if someone holds only one level then they will only provide that level. The permits will be provided through an application process Providers can submit an application, and it will include an assessment of a minimum qualification as well as an additional permit criteria that is done by the permit officer.
The permit officer in this case is the LMSA director. And then the board will review the assessment of the permit officer, and the board will consider the additional permit criteria. The Board of Supervisors is the ultimate authority in approving with conditions or denying the permit applications. The permit conditions and service requirements provide a structure to the system.
Those permits that are initially submitted are good for one year with renewals for two years, and there will be a fee and cost recovery structure that will be established by the Board of Supervisors as well. The permit review process is, all providers are required to obtain a permit. As we mentioned the permit officer would do an assessment. The board is the permit decision maker. The board can deny the permit for any reason that are listed in section 510 of the ordinance. Once the permit is issued contracts will be negotiated with the permitted provider and services will be established on a set date.
The permit officer role and review is to review and assess the permits, make sure that the minimum qualifications are met as well as considering additional permit criteria. Those permits will be all brought into the Board of Supervisors and the Board of Supervisors will take everything of that assessment including the minimum qualifications as well as the additional permit criteria such as experience, qualifications, the economic viability as well as the community benefit through the innovation and integration of services. And the Board of Supervisors will be the decision maker on approving or denying or approving with conditions as mentioned.
The timeline that we are looking at is a very aggressive timeline. The permit application period is for 21 days from the second hearing and the passing of the ordinance, the permit application review is going to be 21 days and then we will look into contract negotiations while the providers are ramping up their ability and capacity And we're expecting that to be between 45 to 60 days. Our goal is to have those permit holders start their service by March 1st of 2024, which is the last day of the current AMR contract.
If you allow me Mr. Chair, before we get into the discussion I would like to share with you something that happened two days ago that I think highlights why this is very important and why we are doing this. On Sunday I was having dinner two blocks away in Santa Barbara and somebody walked in and they said there is a man lying on the floor non-responsive so the bartender and I went and there was a man that was literally in the street non responsive We called 911 and the dispatcher was very helpful. We checked the pulse, and when we turned the man I noticed that he was turning blue. That means he stopped breathing. The dispatcher very calmly instructed the bartender to put two hands together and do chest compressions, and the man started breathing again.
And within 90 seconds The Santa Barbara City Fire Department first responders were on the spot and they took it from there. So we are so sometimes focused on who is providing what, meanwhile the answer should be who is showing up and how are we serving the public? With that, we reiterate our recommendations and we open this for discussion.
1:11 – 1:2122 turns
Questions from the board? I just have one. A9 of the ordinance indicates that the officer or the committee will bring the permits to the board for decision. And I just want to make sure, is that all applications to the board? Or just the ones selected? All applications
that meet the requirements, the minimum qualifications and so all complete applications. If an application is not complete then it will not be considered.
For the new permits, it's the committee that brings it. And for the renewals, it would be the officer that brings it. Is that correct?
That is correct.
Right, Nick? And if there is a dispute over minimum qualifications, how does that handled?
Chair Williams, Tanya Heitman with the CEO's office. I do want to clarify that all applications will come to your board As your board's the only one authorized to approve, approve with conditions or deny. So even if a permit is found incomplete in some fashion it would need to come to your board in order to be denied.
Got it so even if ACME ambulance service you know or Joe's Ambulance Service some fly-by-night operation submits it we would still see it
right? That's correct
Other questions? Supervisor Kaps.
Thank you, yes I have some two questions kind of around the nature of how many different entities this affects and we received a letter from the CEOs of the hospitals. I imagine all of us did so I just wanted to ask you about the conversations with Cottage Marion Dignity Health. I believe you met with them can you relay that for us?
Yes, so some of the concern was about the inter-facility transfers and they wanted to ensure that this is still going to happen. Although we are going to issue separate permits for that one of the concerns was what if there was no one that would apply for a permit? We ensured that this is still a mandate as the county is responsible for such transfers. And we do believe that there are providers that would apply for that permit, it was just the clarification whether there will be dedicated ambulances for that IFT and what happens also after hours and we assured the hospitals and the CEOs that this is still the case as we are providing it now or as it's being provided now.
Thank you, Doctor. And this is I just want to preface this by saying thank you for all this is extremely complicated and you move quickly. You the report referenced an emergency medical care committee to be set up, I believe after March 1st of next year. I know that's in development but could you just elaborate on again? I'm just trying to get at like the different community partners that are part of this
So the EMCC has only I think few positions, four or five that are mandated. But then the rest are definitely things that we would ask the board to consider as we have representation from the providers, the hospitals, as well the community to make sure that we have a balanced EMCC especially since they are going to be a monitoring as well as an entity that is overseeing the system.
Thank you Chair Williams. That's my questions for now.
Let's go to public comment.
Chair Williams and members of the board, we have one request to speak on this item and we are going to zoom with Andy Caldwell. Andy?
Chair Williams, members of the board, Andy Caldwell representing Colab. For the record, we do not have a horse in this race County Fire Union's a member of CoLab and so is AMR. And we honestly don't care which one of them gets the contract. We do have a problem with this process, however, and we've been watching this process since the day it started. And it goes like this.
You had each of these companies go through a very, very expensive and exhaustive RFP process and you hired a consultant to facilitate that. You had people reviewing that, an independent panel that was kept at arm's length from county staff and really even your board to review that. And of course we all know the story. AMR came out on top and County Fire appealed it once lost, appealed it twice lost Then it comes to your board and all of a sudden you're bored even though you bid this have them bid this as exclusive.
You changed your mind. Now, that is your prerogative to change your mind. However, since you changed your mind, there has not been one scintilla of an independent evaluation and analysis as to whether or not this county can support two non-exclusive ambulance contract providers or more than two How in the heck did you go through all of that process for exclusive, change your mind to non-exclusive and not one bit of analysis fiscal and otherwise to determine whether or not the redundancy would actually end up with these providers having non billable hours?
Non-billable hours is the death knell of people in this business, right? Because either AMR is eating the profits or somehow fire department's eating through tax dollars. I've never seen anything like this in 32 years I've been doing this where you're issuing a contract that literally means life and death to county residents And you're not analyzing your decision that was on the fly at the very last minute after a multi-year process.
And we'd like to see the financials, we'd like to see an independent analysis because your staff at the last meeting put on one slide that virtually nobody else in the state is doing this. You're gonna be breaking ground here On the fly, with no analysis. Please respond to this and thank you.
And that concludes public comment on this item.
I am going to ask Chief Hartwig to talk about readiness for providing the service if you would. Mr.
Nelson? Yes, thank you Chair Williams. It's great that Chief Hartwig will come up because I think the statements that were just made were untrue. There has been analysis that Chief Hartwig I understand we'll probably be sharing at this point, so if you've tuned into all the meetings like we have will know what those comments are just frankly not true. There's been an extensive analysis done and that's one of the reasons and one of the pieces of information that this board is relying on as moving forward.
No one is more acutely aware of what this is a matter of life and death, and that we're concerned about the health and safety and welfare of our residents. And we're not taking that lightly. And so I'm sure as Chair Williams would like you to share could you share with us what you've learned through some of the fiscal analysis that has been done about what the potentials would be in this system?
And I want to make sure that I say look It is likely that more than one entity will apply, and anyone can apply. But if the department applies I'd want you to speak through it from that perspective if you could Chief.
Mr. Chair and Supervisor Nelson, if I could, I think that's a good observation. Everybody who applied did an extensive... And those quite frankly that didn't apply did a very extensive financial analysis. I think there's really two parts to any submission and it looks like the way that you're evaluating this process today would be very similar You would look at a deployment plan, first of all how you would distribute ambulances to meet the requirements that the county has. And then you'd look at a business plan and we had multiple consultants look at the economic viability of the system as I'm sure the other applicant did. And quite frankly probably more permit applicants will do and spend the time on so quite a bit of time on that.
The system itself, if you were to look at the state's distribution of ambulance service zones, there is about 325 of those service zones throughout the state. About two-thirds of those are exclusive and a full third of those are nonexclusive. And so the service and the application of ambulance services throughout the state is done both non-exclusively and exclusively fairly commonly.
1:21 – 1:2729 turns
Any other questions from the board?
Got a few more questions for staff,
not for
Chief Hartwig.
Sure. Mr. Nelson.
I guess this is for Ms. Heitman, so do we anticipate that the way it's structured now there would not be any impediment to the incumbent provider applying for a permit? There's nothing functionally in place that would prevent them from applying for a permit?
Supervisor Nelson through the chair, that's correct. We anticipate that the incumbent provider will apply for a permit
or
permits as there's three different
options. They would likely be eligible with their existing infrastructure to apply for those permits?
Correct we believe that they will be eligible based on their prior proposal under the RFP as well as their current service.
And the other submitter of RFP was obviously County Fire. Would you anticipate they'd be able to apply for these permits as well?
Absolutely, as both AMR and fire were responding to largely similar criteria and have already been established as viable options. Okay
thank you. And getting back to section 510 which is the denial of a permit I see a lot of those are for breach of an existing permit with us Would the board be able to take into consideration potential breaches in other contracts and other communities if we had a let's say a provider that applied for permit that might have some issues with other jurisdictions would that be information that the board will be able to use in determining whether we wanted to further a relationship with a particular provider.
I'm going to defer that question to counsel if I may
Mr. Chair and Supervisor Nelson, can you repeat the question? I want to make sure I'm looking at the right section. Well, I
was looking at Section 510 Denial of a Provider Permit And it talks about You know if they're suspended because of you know not satisfying the terms of a permit with our county If we were had information that there were issues with maybe a provider applying for a permit They were having issues with other jurisdiction would that be information that we'd be able to consider as part of a potential denial I'm just trying to figure out how much discretion we ultimately have.
Mr. Chair and Supervisor Nielsen, that section is written for suspension or revocation of a permit issued under this chapter. I believe there is another section on additional permit criteria though under Section 5.7 where the board considers the totality of the circumstances and the board has discretion in that criteria.
Thank you for pointing that out to me. I was getting a little too focused on one particular section, and I think you had given me that information in the past as well. This question is either for Public Health or Ms. Heitman. A provider from submitting a permit but only making sure that they have assets available for what may be the sweet spots of our county. Maybe just making sure that they have ambulances in Montecito or UCSB, but not in Quiama or maybe some of our communities that might be more predominantly with Medi-Cal eligible recipients. Is that something that we will see maybe in a deployment plan that would come before us? Where are we gonna be able to look at that and evaluate that because I think it's really important to this board is making sure whatever we end up with, that it's equitably distributed throughout the entire county.
So...
Chair Nelson, excuse me, Chair Williams, Chair Nelson I'm just gonna blow this one every time. Supervisor Nelson through the chair.
We are a board of equals so this is fine.
Thank you. All three permits are set up as county wide service. So if a permit an applicant provides for any of the three permit types They need to describe a deployment plan that would encompass the entire county.
Excellent, thank you.
Any other questions from the board? Is there a motion?
Or deliberations or comments?
Yes we can get comments. That was the public comment.
No no I mean deliberation from the board prior to a motion.
Yes, deliberation. Supervisor Hart.
Thank you. Well, first of all I just want to commend everybody who's worked so hard in drafting this. I know County Council and Public Health and LEMSA and especially our CEO's office it's been a Herculean task And I really appreciate it. I think we found that the exclusive system decreed by the state really hemmed us in. This board is committed to creating an integrated system of emergency care that includes dispatch, community paramedicine, co-response, community benefit programs and ambulance services And expanding the appropriate transport destinations to include not only hospitals but sobering centers, crisis stabilization units and more. All of this is to create a greater effectiveness and efficiency in our overall system. Really I think my goal is to see more in preventive care.
Ambulance transportation is just one aspect of this overall system that we're really trying to put into place and make it a better system for all our residents. So I really, again, appreciate everybody who's worked so hard on this. It's been a tremendous learning experience because this is so complex and so detailed But I am very confident in the system that has been designed and it is going to improve the kind of care that we want to see for our residents.
1:27 – 1:324 turns
I came to this subject now, uh, the last time the contract came up, I was on the city council. It must have been you guys tell me 15 years ago? And so my, and I guess I viewed it as more of the strangeness of the system. We have a system in which people sort of pay twice for the same service. They pay through their tax dollars for the fire service and public health.
And then, on the spot they also pay the private service either through their insurance rates or if they're uninsured for that. They pay on the service and I also noticed that a large proportion of the time the fire service is the first ones there and the ones that stabilize And so I think I came to this subject matter from a perspective of, there's gotta be a better way to do this. Can't we ever think about innovating in this space where maybe we don't throw everything at every incident, that we have it ordered by its severity. That we have appropriately trained folks for medical transports but obviously not have the same kind of system that we have for priority one calls.
What I've also been really impressed with is how the fire service has responded Wanting to have an improved level of safety in the system even while we are looking at efficiencies. AMR has even made improvements along the way, substantially raising their wages for their employees which I think promotes professionalization and longevity. So I think this whole process as much as it has had many turns and twists has made us all sharpen our pencils, made us all think about how to do a system better has put our staff through a tremendous amount of work to do that.
And I really appreciate that work, but I think we will be the better for it by innovating and potentially helping to innovate to the benefit of the rest of the state and constituents around the state not just our own Santa Barbara County residents. Supervisor Nelson?
Yes, thank you Chair Williams and that's what is really interesting about this subject. We all come from different directions but end up with the same understanding and goals here and that is to have a more integrated system with more resources available whether it's preventive care which Supervisor Hartman focused on. I had been along the thought process of Supervisor Williams with the duplication and service just last Friday, I was at the scene of somebody that was overdosing and was able to call 911 actually had AMR and County Fire arrive exactly at the same time. And it was great and they worked cooperatively as those people out there that think that those groups don't work well together they work great on stabilizing this gentleman and then getting him off to But it also did highlight the fact that we were sending two sets of resources to the same locations at the same time.
And I wanna have more resources available throughout our county, and I believe a permit process that involves the county being engaged in this as well is gonna end up with more resources throughout our county so that we have quicker response times. I understand especially with cardiac issues, it's not just the care which we've heard about but it's also response time and that that is essential to saving lives And so I do think we're going to get some of these efficiencies naturally through our commitment to a unified dispatch and I'm excited to see that move forward as well. You know, we've done some really innovative things within this space.
The last few years in this county and I trust that the decisions that are being made are going to end up leading to better patient success and public safety in general. So, I'm also excited to move forward a amended ambulance ordinance so whoever makes that motion will be happy to make that second. Supervisor Hartman?
Are we ready for a motion? So I would move staff recommendation A through C. We don't need D because that is further direction, so A through C.
And E. I'll second that motion.
1:32 – 1:4216 turns
Everybody clear what the motion is? Okay. All those in
favor? Mr. Chair, I just wanted to double check. I think that there is a change that was recommended and I just want to make sure the motion
is out. Unincorporated to include the entire. And
I understand that that was part of the motion.
It's good to have it on the record so they both them maker of the motion and the second or the intent is to also approve this minor change still allows us to move forward with second reading of clarifying that it is. Both incorporated and unincorporated zones. All those in favor, please say aye. Aye. Opposed? Thank you. Now we will take up A18 which is the trailed item.
Chair Williams and members of the board, administrative item number 18 is from the County Executive Office. It is to consider recommendations regarding an amendment to the 2023 Board of Supervisors schedule of meeting dates and locations to include a regular meeting on June 20th, 2023 in Santa Barbara.
I'll make a motion if there's no public comment on that.
Chair Williams and members of the board, we do not have any requests to speak on A18.
I'll make that motion to add that item or approve item A18 as recommended.
Second.
All those in favor please say aye.
Aye.
Opposed? Thank you. Departmental Item number three.
Chair Williams and members of the board, departmental item number three is from the General Services Department. It is a hearing to consider recommendations regarding the five-year capital improvement program CIP fiscal year 2023 through 2024 through fiscal year 2027 through 2028. Patrick?
Mr. Zorowski.
Good morning, Chair Williams and members of the board. I'm Patrick Zorowski, the Assistant Director of General Services in the item in front of you this morning is our annual five year capital improvement program specifically highlighting the fiscal year 23-24 program This annual effort requires the collaboration of several departments, and I'm happy to be joined today by our partners Julie Hagen representing Public Works and Jeff Lindgren of the Community Services Department Parks Division. You'll hear from them shortly as they provide an overview of their capital investments for the upcoming year and beyond.
I do want to take a moment and point out the use of the Channing Peak painting on our title page this year. That painting is titled Rhythmic Jazz, and it's on the report cover as well as our presentation this morning. This particular painting is in the county's permanent art collection has been provided through the CSD's Office of Arts and Culture. Channing Peak was part of the original initiative to establish the county's Arts Commission and in 1989, the admin building's first floor gallery was named in his honor. This is a fitting tribute to his contributions to the arts and culture of our county.
The CIP is an annual multi-year planning tool to identify and implement our short and long term capital investments. We're committed to using the renew initiatives as we move yearly through this effort, including to continue to gather and manage data that allow us to make project selection decisions. General Services continues to connect with each department on a yearly basis to conduct strategic planning discussions regarding the use of county facilities.
There are significant changes to this year's CIP document versus what has been presented in the past three years. In September 2022, we began a process improvement for the entire CIP process which includes streamlining of the document to focus on each department's overall program including more emphasis on the 23-24 program and to further align our effort with the annual budget.
This year we focused on reconfiguring the document to provide a more direct information regarding the current program while bringing more efficiencies to the overall process. This year's document is also formatted specifically to take advantage of our new digital format and next year's data collection and project submission, the presentation of the final document will be entirely digital.
An overview of this year's program sees a total of 142.47 million worth of proposed projects across all three departments. These projects include a wide variety of new facilities, infrastructure, and recreation improvements which we will review shortly. But we also want to stress that there are many current projects currently under development including many that you see on this slide in front of you. A few to highlight, of course, are the PSRN project, the MODOC multi-use path, the Santa Monica Debris Basin which you've heard about and Julie will talk about a little bit, Halama Beach, Santa Claus Lane, and many other projects currently underway.
We also want to continue our commitment to creating and implementing energy efficiency projects to our overall portfolio. With the expansion of our Energy Division under the leadership of Brandon Kaysen, our new energy manager, we are exploring multiple projects and initiatives that will reduce our carbon footprint and bring resiliency to our facilities. We'll highlight some of those projects shortly as well.
If there's one concept that I'd like to highlight today it's our commitment to collaboration Reaching across departmental lines to partner on projects, initiatives and improvements. I'm proud to note our ongoing partnership with Public Works and Parks on this CIP effort but each of us also partner with other departments to bring value to our operations. In this CIP there are significant partnerships and projects with Bewell, CSDHCD, Public Health, Sheriff, Fire and other departments across the county.
We always like to take a moment at the beginning of our presentation to celebrate our successes from this past year. In general services, we've enjoyed significant milestones in fiscal year 22-23. A few of those are the completion of the phase one roof replacement at the Santa Barbara Courthouse A new roof for the VA Elections Building in Santa Barbara, which is both of those projects are on these photos on this particular slide. Security improvements and recreation improvements to Juvenile Hall in Santa Maria and a significant tenant improvement ongoing in the Santa Maria offices of the Public Defender.
This is a small sampling of the many projects that we've accomplished this fiscal year and we look forward to bringing you the good news of our progress throughout the upcoming year. We along with our partners at County Fire are excited to bring Fire Station 27 in New Quiama to a conclusion, culminating with our ribbon cutting scheduled for this Thursday. GS has also been significantly involved as several housing projects for our unsheltered population partnering with the CEO's office CSD and Dignity Moves on the Hope Village site At our BetterAvia campus, the La Posada site on Hollister and the establishment of the Tecolote House on the Kyrielle Campus with B-Well. And then of course the development of a new commercial kitchen at the Hedges houses in Isla Vista.
Our facility maintenance division under the leadership of Scott Hosking, many of you know Scott and his staff has responded to roughly 10,000 work orders throughout this year including over 500 just from the January 2023 storms alone. Our energy division continues to seek opportunities to bring critical energy efficiency and resiliency projects to our overall inventory It's important that we continue our commitment to developing and implementing projects that bring these efficiencies to the county. This can take the form of bringing net zero energy design to our new ground-up projects, which apply to the new fire dispatch project, which is currently under construction, and to the new probation headquarters, which will go out for bid a little bit later this year.
This commitment also extends to our BetterAvia solar microgrid, which will be wrapping up in 2023, and we continue to collect utility Good morning, Chair Williams and Supervisors. Here are the transportation projects completed in 22-23. I'm going to highlight just a couple of them
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And these can be seen in the photos at the bottom of the slide. On the left is a picture of Black Oak Drive, where our Public Works Department partnered with the developer to construct an oversized under-crossing to serve the Orchid community. On the right is the Floridale Avenue Bridge. This bridge replacement implemented new design standards for seismic resiliency and ensures access to the Lompoc Valley along this highly traveled road.
The bridge was recently completed and will be open to the public this month. This project is a good example of the federal high-cost bridge project where most of the funding for this $20 million bridge came from this federal program. It has also been a very busy year for flood control, as you all know. As CEO Miyasato mentioned in her report, the county received the NACO Achievement Award for the Montecito Debris Basin Construction and Modification Program.
The basins in the photos were part of this award. The photo on the left is a Randall Road debris basin. This basin was tested during the storms this year and it performed well as we had planned by catching approximately 15,000 cubic yards of material that historically would have blocked State Highway 192 and 101 and potentially damaged structures downstream.
The photo on the right is showing the Romero Debris Basin modifications which allows more sediment to reach the ocean Reduces maintenance costs and improves passage for fish. It performed very well this last winter showing significantly less small material remaining in the basin than in previous storms We also had quite a few accomplishments on the resource recovery and waste management division this year The first project listed and in the picture on the left is our 1 million gallon recycled water distribution tank at Waller Park Your board attended the ribbon cutting for this exciting project.
Previously, the county had pumped about 80 million gallons annually from its on-site well to irrigate the landscape at the park. Going forward we will instead be using recycled water from the Laguna Sanitation District plant therefore reducing groundwater use. The photo on the right is of inside the new resource center where the recyclable materials are separated out of the waste stream. The construction of the facility is complete and commissioning is in progress, and at this point I'm gonna hand the presentation over to Jeff Lindgren from the County Services Department.
Good morning Chair Williams, supervisors. This slide indicates some of the projects that are ongoing with Community Services Department. Currently, we have $28 million in projects that are in progress. To highlight a couple of those I would start with... This is the Kachuma Lake RV area renovation project, which will upgrade about 100 RV campsites at Kachuma Lake bringing their utilities that were originally constructed in the late 1950s. Bringing those up to code and bringing those into compliance with the desires of the modern recreational vehicle camping This project will make us very competitive with other RV parks in the region, and we anticipate that it will generate Minimum of maybe $700,000 in additional revenue a year. Could be more if we see RVing continue to grow.
One other highlight of this project is that this is a collaboration with General Services Department. We are partnering with them for setting up our bidding process and construction management of this project. It's scheduled to begin construction in September and we're looking forward to getting this project going and open for the next summer's busy season.
The second project I would highlight is in the bottom right, that is the Santa Claus Lane streetscape improvement project. That includes organizing the parking along Santa Claus Lane, adding sidewalks, adding pedestrian amenities like trash cans and bicycle racks but maybe most importantly a safe crossing across the railroad tracks to the very popular beach at Santa Claus Lane.
Part of this funding is a collaboration with Public Works and SB CAG for a $5 million Clean California grant that will help fund this project. So, very proud to be partnering with both Public Works and General Services on these projects. Patrick?
Thank you. During the April 19th budget workshop we presented projects to your board that represent the culmination of our overall selection process This process includes our deferred maintenance and deferred capital programmatic approach. We have established these project categories over the last several years that allow us to focus our efforts to fund projects across multiple categories and platforms.
These categories are presented within this table and represent our efforts to bring funding to those projects that address critical facility needs. You may recall over the years we do have a program for both deferred maintenance, countywide roof repairs, energy reduction, accessibility improvements, parking lots, repairs and replacements, security improvements, flooring painting and some electrical system work. These are the meat and potatoes of the work that we do on a regular basis and are the direct result of our 18% funding that comes to us on an annual basis.
This particular table, you also saw during the board workshop on the 19th of April. These projects are essentially funded through the general fund and extend our commitment to upgrading existing facilities as well as assist in the planning and design of new facilities. I'd like to highlight the Santa Barbara Courthouse Phase 2 roof replacement is in our program this year, and then dollars to begin the design process for the B-Well complex at Kyrielle that will include a new PUF, Crisis Stabilization Unit, Mental Health Clinic and Administrative Offices. A very important first step for our Kyrielle Master Plan.
Energy efficiency HVAC projects, there are six of those that have been highlighted through this funding source. This year we have obviously funding for additional HVAC and energy efficiency projects but we're excited that we have some dollars that are highlighted specifically to address our HVAC. This is one of our areas of emphasis when it comes to energy efficiency.
We are isolated a parking lot expansion project at the Lompoc Vets Hall That's been on the decks for many years, we're excited to be able to finally move forward with that. We are finishing up our Kyrie L master plan programmatic er and then improvements at the Santa Barbara da building the admin building and better a via Building D. Our fiscal year 23-24 program brings a lot of new facility improvements across all areas of the county, but it's important to note that we have several projects that were discussing through the CIP process that are also still in development and construction.
As I mentioned earlier, the new probation department headquarters is under design and we will be going to bid later this year. This will come before the board before the end of 2023, I believe. The BetterAvia solar microgrid will be coming online late in the third quarter early fourth quarter of this year. And over the last several months, we've had several discussions regarding the Santa Barbara Main Jail. Please know that we're working diligently on bringing the design for those improvements to your board soon. The Fire Dispatch and the OEM Communication Center is also under construction. That's a very exciting project for us as well. And we've completed the design and planning work for the phase two of the courthouse roof replacement which is again included in this year's program.
Julie will provide additional presentation of the public works projects.
Chair Williams and Supervisors, these are the funded capital projects for Public Works and represents almost $100 million dollars of projects for the community to be completed in 23-24. Transportation will work on many large projects as you can see including the two shown here in the photos. The left picture shows construction on phase one of the Modoc multi-use trail.
This section is nearing completion. Once phase two is complete, it will connect via Senda to the Auburn Trail and create a regional multi-use path system across the South Coast. On your right is the Foothill Bridge construction near Kuyama. This half mile long bridge is the longest ever built by the county and ensures safe crossing during all seasons where there was once a low water crossing that would close many times during storms and required extensive maintenance.
The new bridge improves farm to market connectivity, and serves as an alternate route for State Route 166 if it were to be closed. Construction is scheduled to be completed in 23-24. This is another large project that is funded by the Federal High Cost Bridge Program. Flood control is planning multiple debris basin modifications. The photo on the left is a Santa Monica Debris Basin above Carpinteria.
This basin performed very well for both of the large 2018 and 2023 storms. The improvements are to expedite the clearing of the basin after a large storm. Currently, the space is very limited to move equipment in and out of the basin making clean-out time consuming which could be problematic if we were to have back-to-back significant storms. When this work is complete, we will have an improved access road and a new bridge that will be wide enough to handle large equipment and allow trucks to pass while bringing material out.
On the right is the Cold Springs Basin. It will be going through similar modifications as our Romero Basin and will allow more sediment to reach the ocean, reduce maintenance costs, and improve fish passage. The main project I want to highlight on this page is the sanitation plant upgrade and as shown in the picture. The Laguna County Sanitation District, which provides wastewater services to Orchid and the unincorporated Santa Maria area will be completing the $56 million plant upgrade that was originally built in 1959.
This slide covers our Resource Recovery and Waste Management Division Our Tohigas landfill and transfer stations need maintenance and capital work each year. And finally is our pavement condition index slide for transportation. Here we have a snapshot of the condition of the county's largest transportation asset, its roadways. 40% of our roads are in poor to fair condition with 145 million backlog in pavement maintenance.
Thank you for your recent investments by your board and the state, which have helped reduce the downward trend that the payment condition had been on for over a decade. And you can see that in the chart there. The picture on the left is of Constellation Road in Vandenberg Village. We used cold-in-place recycling technology to repurpose the existing road. This process of road construction is used to reduce greenhouse gas and the need for disposal of the old road since this process uses the existing road for the base.
And at this point I'm going to hand the presentation back to Jeff Lindgren.
1:55 – 2:002 turns
Thank you, Julie. A couple slides on community services. The upper table in this slide shows the work that we anticipate doing with our 18% budget for this year with some focus on storm repair from this last year. There is an opportunity for FEMA funds to backfill this in the future, but we are in the middle of our busy season and the public would like to get back to using their parks. So we'll be working on that today.
The lower table is representative of the projects recommended for funding through the CIP for community services. You'll notice that each of these are grant holds for important projects. The first one listed is the Orchid Library, there's been a $10 million acquisition grant that's been submitted and this funding would be for a match for that grant should we be successful in attaining that grant.
We also have money set aside to help match for a renewable energy project at Kachuma Lake and some improvements to expand both camping and day use access at Halama Beach through a master planning process are all indicated on that slide. Next slide, please. Slide 20 shows us our ARPA funding that's been designated for the fiscal year. The highlight of that, of course, is Dignity Moves at Bed Arabia. This is county's contribution to physical improvements for that important project and then I'll also point out Orkut Community Park sports field lighting will be an important project for us to expand the use of existing ball fields for longer hours and more playability The community there.
And then finally is General Services Public Service Radio Project on this slide. And CSD Parks Pavement Condition Index, you probably normally think of parks as grassy lawns and sandy beaches. Well, every one of those parks has a parking lot and a roadway that takes the public to those locations. You might be surprised to learn we have 400 or 4 million square feet of pavement that we have to maintain.
We are currently sitting at a PCI rating of 54, which means that significant amount of our pavement is in poor to fair condition. $28 million in pavement needs, which represents about half of CSD's total deferred maintenance costs.
General Services also maintains roughly 2.5 million square feet of parking lots and driveways, ADA ramps and sidewalks. Our current PCI rating is at about 66. 71% of our pavement is in fair to good condition. We do utilize the, like Public Works and Parks, the Street Saver database system to monitor our pavement condition index. This has been a helpful tool. We will continue to identify our candidate projects through the use of Street Saver as well as our deferred maintenance recommendations.
All three departments before you today have robust and significant capital programs that reach all areas of the county, and across all facility transportation and infrastructure and recreational sectors. Before we present the recommended actions today I want to take this opportunity to thank our partners in Public Works and CSD Parks for their continued commitment to this process. There are many staff members that work on this effort that often don't get credit for their hard work They're not here today, they're still back in their offices. We appreciate their efforts. They've really contributed to this. I also want to thank our GS team including John Green, Daniel Contreras, Diana Estorga, Scott Hosking who many of you know, Brandon Kaysen who you're getting to know, Lynn Dybel our CFO, our previous director Jeanette Pell and our new director Kirk Lagerquist.
Everybody's been very supportive I also want to express a special thank you to Sarah Gill, our management fellow in the CEO's office for her efforts. Sarah, thank you very much and we also collectively would like to thank your board for your continued support in our efforts We present to you today our recommended actions as presented in the board letter. Again, this is to receive and file the detailed five-year capital improvement plan and then the other recommendations as noted.
We are available for any questions or comments that you might have and look forward to hearing from you.
2:00 – 2:089 turns
Questions from the board? Supervisor Nelson.
Yes, thank you Chair Williams. My question is I'm struggling with is how exactly are all these projects prioritized. There's lots of different categories, a lot of different funding sources and I think you know it's one of the struggles that I have up here when I look at it you know some of these investments because these are all investments or you don't have a government function some of them have a community function safety function and so we're constantly kind of juggling 10 different lists here.
Can you shed a little bit more light on how we bring projects forward, even within our own advocacy up on the board and working with each other as colleagues? How do we see something there that's further down the list and make a case for it moving higher? Because I see some projects here that I would like to move forward in my community. I represent a lot of unincorporated communities that don't have the similar investments that have been made in other places.
I sound like a broken record up here. But trying to do that in a balanced way, it's not about just necessarily maintenance or deferred capital when there was never any initial capital investment to begin with. So trying to get that on the same playing field is a struggle for me as a supervisor. Can you give me a little bit more insight into how the thought process goes for you and the other departments as you guys rank these priorities?
Yes, Supervisor Nelson through the chair. On the general services side we have a fairly significant facility inventory. We have over 400 structures and facilities that we take care of. We work collectively with every department. We reach out to every department every year to do strategic planning on their facilities. We encourage them to nominate projects, bring forward projects to the CIP scoring analysis. We have a set of nine criteria that we score each project. Those range anywhere from meeting legal mandates to energy efficiency, to individual department priorities, to the ability to leverage outside funding. There's a whole matrix that we utilize that is sort of standard best practices really in the industry across most of our similar agencies.
So we run our facility projects through that scoring process and then those projects that score the highest, we typically bring forward. Those are normally the projects that are the most critical in nature. Some of them tie into more longer term initiatives and again some of them give us the ability to leverage additional outside funding. So, our process is very open and transparent. We provide this information to all of our departments and to everybody that we work with internally so it's a fairly extensive process that we take. We also have internal databases for such things as security projects you passed today during your A agenda the second version The second phase of our ADA transition plan, which includes I believe roughly 1800 additional projects for barrier removal.
So we compile a sizable database for ADA projects as well as our parking lots and other areas Of infrastructure that we maintain as part of general services. So it's a, it's an ongoing process. A lot of folks are involved and we hope that we make the best selections based on where we stand in any given time. So, so
further along those lines how does that balance out with because what I'm hearing from you is a lot of existing capital investment the county has already made. And there's some areas with capital deficiencies, some things where projects have been planned that are just on the wish list. That's what often the CIP has been is a lot of things on there maybe someday kind of hopefully. How do you take those future projects into consideration when you guys are making those recommendations?
Well, I think there's a balance. We strive to try to balance investment in new facilities or significant investment in new facilities. Some of that is driven by the need by individual departments. Anybody who has been through Building 3 or Building 4 on the Kyrie L campus can tell you of the acute need to build new facilities for our behavioral wellness department. Our PUF is in disrepair and we're struggling to keep it alive Some of it, as you saw when we presented the Chi-Real Master Plan, we actually sit down and do financial analysis to try to indicate that taking care of some of these aging buildings and replacing them with new is actually a cost benefit to the county long term. So there's a wide variety of issues that we tried to bring in And it's not an exact science every single year.
There are some projects where we just know inherently need to be addressed in order to prevent future issues, but we do try to let our scoring process drive that as much as we can and try to bring some level of objectivity to the selection process.
Thank
you. If I was put in a position of trying to answer Supervisor Nielsen's question, it seems to me that collectively you prioritize a lot of projects. dire safety issues, and then sort of offers you can't refuse when there's matches of significant magnitude. I mean, I think the Foothill Bridge being an example that I wouldn't feel good about that one in comparison to my colleagues if it wasn't being paid for largely elsewhere. I feel good about it for Koyama but it's an expensive project.
The other criteria that I just want to make sure is continuously put up there for your evaluation is things that reduce our ongoing cost. And that's why some of the new building plans are so important, but you know that's why weatherization, that's why HVAC replacement, that's why things like that are of such need sometimes is that our If the general fund has less, is insulated from future costs that enables us to do more projects.
So I just hope that continues to be a criteria used. Any other questions? Supervisor Kaps.
I'll just make a comment adding to this sort of list of prioritizations, which I know goes into your scoring. And I'm heartened that our sustainability team is within your department because I know that's another lens by which you're looking at these projects and I happen to be driving by Waller Park recently with Supervisor Nelson and so just to understand that recycled water is going there, I'm sure there's a whole system How you decide where recycled water is going. I mean, ideally it would be everywhere, correct? But I just wanted to give a voice to that priority of sustainability that I've seen throughout this presentation and know is a strong driving factor in the work.
Thank you.
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Is there any request to speak?
Chair Williams and members of the board we have no requests to speak on this item.
OK can I get a motion?
Move staff's
recommendation.
I'll second.
All those in favor, please say aye. Aye. Opposed? And we will take a 10 minute break for the translator and then we are going to go through some more items rapidly We will take departmental item number four, solid waste tipping fees.
2:22 – 2:289 turns
Chair Williams and members of the board, departmental item number four is from the Public Works Department. It is a hearing to consider recommendations regarding solid waste tipping fees, collection rates and parcel fees for fiscal year 2023 through 2024.
Good morning Chair Williams, members of the board. I'm Jeanette Gonzalez-Knight, Interim Deputy Director for the Department of Public Works Resource Recovery and Waste Management Division. Today we have a brief presentation on proposed solid waste fees for fiscal year 23-24. I'd like to introduce our Collection and Materials Manager Leslie Robinson Who will present today our proposed recommendations, and I also want to take the opportunity to recognize Mark Hill our senior program specialist and Gloria Alvarez our fiscal manager for their contributions to this item.
Thank You Jeanette and good morning Chair Williams and members of the board thank you for providing this time to review staff's recommendations for next year's solid waste rates The rates package that we've submitted for your review includes our proposed facility tipping fees, our new Kuyama parcel fees are franchised hauler collection rates and our resource center per 10 processing rate.
Our facility tipping fees are the rates charged to customers using our recycling and transfer stations, the Tahecus Landfill, and the Resource Center. The fees cover the cost of process municipal solid waste, recyclables, and organics at these facilities. The tipping fees are evaluated annually and adjusted to the extent needed to meet the division's debt obligations.
This coming year, the proposed franchise solid waste and recyclables tip piece will increase from $170 to $176 per tonne equating to a three-and-a-half percent increase. The Cuyama Valley parcel fees support the new Cuyama and Venticopa transfer stations, and are included as an assessment on annual property taxes. Staff recommends no change to the current rate of $77 per single family dwelling.
The next component of our rates package is our franchised hauler collection rates. These are the rates charged to residential and commercial customers in the unincorporated area by our franchised waste haulers, Marburg and Waste Management The collection rates consist of three components. The first component covers the cost for the haulers to pick up the waste, recyclables and organics from customers.
Given the differing nature of collection routes this component is the most variable. Per our franchise agreements the haulers receive an annual CPI adjustment on this portion of the rates. The CPI was 7.4% for this past year, but was capped at 5%, as stipulated in our franchise agreements. The remaining 2.4 percent will be carried over and added to next year's CPI adjustment granted that the overall increase does not exceed 5%.
The second component of the franchise collection rates is the tipping fee. After the haulers collect waste and recyclables from customers, they bring the material to a disposal or processing facility in Zones 1, 2, 3 and Zone 4 Santa Ynez Valley. The tipping fee will increase by three-and-a-half percent as these areas use the Resource Center and Tahecus Landfill to process their waste.
In Zone 4, Lompoc Valley, which uses the City of Lompoc's landfill, the tipping fee will increase by 2.4%. In Zone 5, which utilizes the City of Santa Maria's landfill, there is no change to the tipping fee this year. The City of Santa Maria is currently working on a landfill rate study and may adjust their tipping fees next year. The last component of the rates is the Solid Waste Program fee, which covers the county's cost to develop and administer a variety of solid waste management programs. Staff recommends no change to the current rate of 11%.
When the program fee, tipping fees and collection fees are combined for each zone, the overall residential and commercial rates will increase between 3 1⁄2% and 5%, depending on the service area. The last component of the rates package is a proposed increase in the per ton processing fee paid by the county to MSB Investors LLC for waste processed at the Resource Center. For the county's agreement with MSB, the processing rate will increase from $13.18 to $42.96 per ton.
In summary, staff recommends and requests that your board adopt the resolution and fee schedule for county facilities. Adopt the resolution and parcel fee schedule for the Cuyama Valley. Adopt the resolution and fee schedule for Franchise Collection Services. Approve the per ton processing rate between the county and MSB. And determine that the proposed actions are exempt from CEQA.
That concludes our presentation. We welcome any questions or comments that you may have.
Supervisor Nielsen.
Yes, thank you Chair Williams. Ms. Robinson some of these fees are contractually obligated right so can you help me delineate which ones are or are they all contractually obligated? Can you help me determine which is which I think collections is part of a contract what about the other ones?
Yes, Supervisor Nielsen through the Chair. These rates that are charged to the franchise collection customers are contractually obligated per our agreements with Waste Management and Marburg. We do have exhibit that fully documents how the rates are adjusted each year and have the CPI stipulation so those are per our contracts with the haulers
And those are capped at 5%, but they have a rollover kind of like SB Service does on retirement where, you know, CPI gets rolled over to future years have a smaller CPI number. Correct.
To kind of minimize those fluctuations to customers we were able to incorporate that cap into the new agreements that began last year.
There's some value there for the rate payers. How about the other ones? So the MSB, that's not necessarily by contract but more of just understanding the market and the need and compensating additionally there. Can you speak to that?
2:29 – 2:3612 turns
Good morning Supervisor Nelson through the chair. Yeah, in terms of MSB's processing rate it's really dependent on the number of tonnages received through the center. So we do consider... We do an analysis each year so we are seeing a little bit of a drop in tonnages but above the minimum requirements. So we are adjusting per CPI and also tonnages.
The other one was the parcel tax in Cuyama? Is that the third one that we're looking at? That was flat. Moving forward?
Yes, Supervisor Nelson through the chair we are recommending no change this year it has remained stagnant for quite a few years so we are going to be doing some analysis this coming year to make sure that that fee adequately represents the cost of service for those programs out there in the facilities.
Thank you.
Other questions from the board? Are we ready for a motion? Are there any requests to speak?
Chair Williams and members of the Board, I just wanted to note for the record that we have no requests to speak on this item.
I'll go ahead and make staff—I'm comfortable with the questions that have been answered here, and I would recommend—staff recommended actions A-3. Is there going to be a motion?
All those in favor, please say aye. Aye. Opposed? Thank you. Let's go to item D5.
Chair Williams and members of the board, departmental item number five is from the Public Works Department and Board of Directors Flood Control and Water Conservation District. It is a hearing to consider recommendations regarding the flood control benefit assessment program for fiscal year 2023 through 2024.
Go ahead and start. Okay.
Yes, please Mr.
Rubel-Cava. Good morning Chair Williams, fellow members of the board I'm Walter Rubel Cava with the Water Resources Division and today I'm here for the Santa Barbara County Flood Control and Water Conservation District to discuss the Benefit Assessment Program for fiscal year 23-24. As a reminder to the board, this was a voter approved assessment which began back in 1980. And it was in response to the nearly 60% reduction in revenues due to Proposition 13.
Fortunate for us, ordinance 3150 and the initial ballot language allowed for an assessment. The assessment to be approved with an annual up to the consumer price index adjustment which has helped preserve our funding historically for capital projects ongoing operation and maintenance and to help build our reserves for emergency response similar to what we had here in 2023. And we'll discuss that in a few more slides as well.
The proposed increase for this fiscal year is 3.65%. This next slide shows the proposed benefit assessment rates. On the left, you see the 10 zones and then the highlighted column is group C or the residential homes and the reason that that is highlighted is that serves as the basis of all other rates so rates are either factored up or factored down based on the land use and the property size.
So just to give you a general idea of a comparison to last year's rates compared to this year's rates, and we'll use a North County example and a South County example. Looking at ORCUT, last year the rates were at $5.15. This year it's raising to $5 and 34 cents if approved today, and that would be a 19 cent increase over the next year. And then on the South Coast, it would be increasing from $28.86 to $29.91 or an increase of a dollar five.
So this next slide we included just to kind of show you what the financial impact was of the 2023 storms. And to orient you on this slide, we have the 10 zones on the left-hand side and then the next column shows that June 2022 approximate balances and then a year ahead June 2023 which takes into consideration the majority of the expenditures of the 2023 storms And then you see the reduction in dollars, and then finally you see the reduction as a percentage.
Now we highlighted three different zones because those had the most impact as far as the reserves. So starting with Lompoc Valley it had a reduction of approximately 46%. The Santa Maria levee reduced by about 60% and then the South Coast reduced approximately 80%. Now we are hopeful that through the state and federal reimbursement process, we'll likely get up to 75% of those reserves back.
However, we've all experienced the audit that comes three to five years later in considering all the disasters that we've had on a state and nationwide. One, the reimbursement is slow and two they will likely try to claw back as much of that reimbursement as we can. So the reimbursement isn't the only factor it's the audit that comes three to five years later.
The other thing we wanted to point out is and we're going to use the South Coast as an example Back in June of 2022 when we were sitting on $25 million, that seemed like a pretty comfortable spot to be. But just one rain season depleted almost 82% of that reserve. So what this slide is intended to highlight is the importance of us managing not only our capital projects, not only our maintenance but our reserve balance These reserve balance need to be managed, they need to continue to be built because to have the almost complete reserve depleted in one rainy season is problematic.
The shining light here is looking at the south coast again. If it wasn't due to the outstanding work by the Office of Emergency Management Team, Cal OES and the National Guard coming in to assist us with Randall Road All that funding went directly through the state. It never came to the district. If that was applied to this reserve, we would be in the red $332,000. So we just want to take this opportunity to thank everyone involved in those efforts.
So finally, we are asking for approval of the recommended actions on the board letter and if they are approved We would return to your board on June 27th for the second reading and the final adoption. So that concludes my presentation I'm available for any questions
2:36 – 2:4314 turns
What was the actual CPI for that time period
The three, so the Flood Control District does a calculation of March to March. So that was the actual CPI between March to March. Got
it. Supervisor Hartman?
Yes, I'm not sure this is exactly the right place to raise this issue. But increasingly, I've got constituents who are concerned about an El Nino coming and creeks that are in bad shape. Some are private. Some of the jurisdiction isn't really clear. And I really don't know what to tell them because they're telling me We're going to have greater damage and greater costs because we're not working here.
And these private landowners don't have the equipment, these streams are greatly incised because of the vegetation, because of the long drought and so they really aren't capable of doing this kind of work. So what do I tell them?
It's a challenging, Supervisor Hartman through the chair. It's a challenging question that comes up often. So how we, we have a limit on our reserve that we saw in the South Coast. So our priorities are that we take care that our primary responsibilities is for those facilities that we own and operate and those are generally the basins. And then we have a patchwork of easements throughout the various zones that were also responsible for historically because we either built infrastructure or we have an obligation through the easement.
Then as opportunities exist and reserve balances exist, when the opportunity allows itself, we try to partner with communities or neighborhoods on the large regional creeks to try and help clear obstructions, to try to clear large rocks, or as we did on the San Ysidro Creek, clear some of the channels But we have limited funding resources. If we deplete all those resources, it's going to be extremely challenging from a financial standpoint to do our emergency operation responses. So the smaller tributary creeks that lead into the larger channels, those are generally privately owned. We don't have ownership. We don't have easement.
Obligations, so those do we do get a lot of calls about that but often it's on the underlying owner As the responsible party
and and if there is potential potential regional impact Can we work together? can you tell us which those are in our district so that we have an opportunity to let people know
I mean, I can name a few of them. So Supervisor Hartman through the chair, I can name a few of them so for example in the Montecito area on South Coast you have Romero Oak San Ysidro Creek
How about Alamo
Pintado saying as saying as river. But what we do is we look at if there was a breakout of this creek, what's going to be impacted? So it's not just the creek. It's if it breaks out, what does it impact if it's only impacting one individual property owner? then we have to look at the fact, are we using public dollars to benefit just one property owner or are we looking at it from a regional standpoint? So it's really a case-by-case basis.
Well I guess I'd like to have further discussions because I think it's a regional issue and so I'd like to at least have an opportunity to explore that further with you.
And we'll be glad to meet with you and to have those discussions. It is a very common question we receive.
Thank you.
Supervisor Nielsen.
Yes, thank you Chair Williams and to piggyback on Supervisor Hartman's comments. You know what I'm hearing from a lot of my constituents have similar issues about these waterways that are public and private in ownership is it's really not necessarily the maintenance as much as it's the permitting to do maintenance. And I think that's what scares the general public is, I've heard from California Fish and Wildlife you can, we'll permit it but you gotta go through our process. You know there's some of these jurisdictions like Monterey that have been going through those processes for years and were never able to get through it and then you had this devastating flooding that occurred because they weren't able to do the maintenance necessary to protect the region.
And so where I think that our time best spent as a county It's been a coordinating entity on the environmental side and working with the different agencies to get permits together, maybe even programmatically to allow potential maintenance within It's a schedule that is both protects the environment, environmental resources but at the same time protects property and jobs and recreational facilities and all these other things that were lost because of lack of maintenance.
Because I think everybody is just afraid of doing the wrong thing You know, and I think that's where we need to step in and show leadership. Not that we haven't in the past but I think it's renewed that need for us to be in that space as we go through that. So there's a significant interest from another supervisor, I'm sure that's the entire board on trying to do that. If I could speak just specifically to this item you know, I was wondering about whether we were maximizing our CPI? You know when I'm only looking at 19 cents Additional assessment, I actually was going to advocate for us to max that out. But again, thank you for being prudent with those funds. It's a lot of value for the taxpayers here. It is very small amount of money in the scheme of things for a significant amount of benefit.
You know we live on coastal California and a Mediterranean climate that is evolving and I think we need to make sure that we have investments. You know, Santa Maria Valley was a flood plain a couple hundred years ago You know urbanized, you know Montecito is a little fan that has bunch of houses on it. So there's a lot of different geology and as my predecessor Supervisor Adam used to say it's when hydrology becomes geology and you guys are in the process of trying to minimize those impacts on all of us And so we appreciate all the work you're doing I think it's money well spent and I'm happy to support The additional assessment
2:43 – 2:467 turns
Supervisor LaVenue. Thank you Mr. Chair, well I think both my colleagues have raised important aspects of kind of what we're going through and what we're moving towards and what we're hearing from constituents. I think it would rally really be helpful for all of us instead of us having all these individual meetings. We agendize something about what are we doing over the next six to nine months before the next winter storm hits? Kind of get where we are What are the resources available for people that are dealing with this? Because this is all throughout the county. I'm getting this all through Guadalupe and in between Santa Maria and Guadalupe have a lot of landowners that they want to know what's allowed, what are they allowed to do, what are the resources available?
And obviously all of us working together on this would be way more effective than I think trying to piecemeal this up so I think if we could get something on the agenda in the future In the not too distant future because winter is coming. I don't think summer's ever going to get here, so maybe it's going to be a late winter but who knows?
Supervisor Thurger, we can certainly do that and we've already had conversations with OEM and Kelly is on the line. Chief Hartwig and Public Works about getting prepared for El Nino, so that will be a good opportunity for us to inform the public and get clarity. And as you know we one of the things your board asked us to do as part of the workshops was to look at increases to the flood control benefit assessment and I think with all the changes we've talked about and what Walter just said it's important message to our residents too that the county can't do everything We can, what's under our control.
But the world has changed in the last 10 years and folks have to also look to see what they can do on their private property so I like Supervisors Nelson's suggestion about looking at how to improve communication or the actual permitting processes for us and the state.
Supervisor Hartman?
I just wanted to say thank you, Supervisor Lavinino. I think it's an excellent idea and thank you, Supervisor Nelson because I do think the permitting is really part of it and this is really complicated with state and federal law in different agencies and if there is some way that we could have a programmatic and give people a safe harbor to do work that would be really helpful.
And I can tell you that though people don't want to give up more money necessarily, at this point People have been convinced by the amount of flooding that the assessment is way too low. That we're not pooling enough money to meet the need for flood control improvements and so at least I can tell you conclusively in the first district, I think there's a real interest in raising the assessment and doing more flood control projects Can I get him?
Is there any request to speak?
Chair Williams and members of the board, I'd just like to note we have no requests to speak on this item.
Can I get a motion? I will move them moves staff recommendation all those in favor please say aye. Aye. Opposed okay. We'll do take one more item and then go to closed session
2:46 – 2:507 turns
Chair Williams and members of the board, departmental item number six is from the Public Works Department. It is a hearing to consider recommendations regarding an ordinance amending the Public Works Department subdivision map and document review fee schedule for the Surveyor Division. I
noticed there was sour looks throughout the room. We'll try to do two come on let's go we'll move it quick. The women in my life often say I'm totally oblivious, but at least I'm aware of the subtle cues from staff. Please continue.
Hello Chair Williams and Supervisors. I am Julie Hagen, Deputy Director of Finance and Administration in the Public Works Department. We are here today to update the Surveyor Fee Ordinance. We previously came to your board in July of 2021, to update the fee schedule and to propose a pilot program. One of the changes the pilot program made was to switch the record of survey fees from fixed fee to deposit based for the incorporated areas of the county.
Switching to deposit-based fees will charge the customer for only our time spent reviewing the submittals as we had hoped this change has increased the quality of the submittals Additionally, the County General Fund had been subsidizing these records of surveys in the incorporated cities. The pilot program eliminated the subsidy in the incorporated cities where filing of these records mainly benefits the local jurisdiction where the survey is conducted.
We reached out to the cities to see if they wanted to subsidize the fee in their jurisdictions and they declined. Currently, the pilot program, if not continued expires on July 1st, 2023. And at this point I'm going to hand the presentation over to our county surveyor.
Thank you Julie. These proposed amendments would reduce the record of survey deposit in the incorporated cities to 2,500 and it's based on our recent staff analysis. And it also would extend the pilot program for additional three years. The amendments will become effective in September this year and no other fees would change with this amendment. Since the introduction of the pilot program in 2021, we've noticed increase in the quality of submittals as we anticipated.
This resulted in the reduced review cost for the records to survey in the incorporated cities Last year, we hired an independent consultant to review map checking process and make recommendation.
And see if we can't just keep tightening it down so that we can minimize the fiscal impact to the private sector but at the same time delivering a better service to you know, the public as a whole with better surveys. So I'm happy to make a motion to approve this item staff recommendations A through C and then yeah, A through C
And I'm pleased to see it's working, and I'm happy to second.
A motion in a second all those in favor please say aye. Aye. Opposed? D6. D7.
2:50 – 2:564 turns
Chair Williams and members of the board, department item number seven is from the Public Works Department. It is a hearing to consider recommendations regarding a proposed fee ordinance for the issuance of permits for and related supervision of encroachments and excavations in County Road right-of-way public works transportation division.
Good morning, afternoon. Chair members of the board, Chris Nettin Public Works for this item we have Marika Rue from our fiscal team and on the zoom we have Cindy Sconce from MGT who helped put together this ordinance and we also have Eric Pearson our construction permits manager here as well
Thank you, Chris. Good afternoon Chair Williams and supervisors. The purpose of this fee study was to align with the county fee policy for full cost recovery and also to reflect the Board of Supervisors direction given in the Rhodes Fiscal Review and Long-Term Funding Options board letter that was adopted on March 14th of this year. Additionally, the last fee update for the transportation permits was in November of 2007.
This study reviewed and updated the fees to reflect inflation and changes to service structure and delivery. To perform a comprehensive fee study, Transportation hired MGT of America LLC, a consulting firm with expertise in local government fee analysis At this point, I would like to hand it over to the consultant that worked with Transportation, Sidney Sconce, to give an overview of the study and findings.
Thank you so much. Next slide. So there were four primary milestones that we looked at during the evaluation of the fees for transportation. So basically, we look at the true cost of what is costing you to actually provide the service We also looked at are the current fees in alignment with what You are doing so. Are there fees missing? Are you performing services where you don't actually have the ability to charge? We also looked at maybe simplifying the fee schedule, where their fees that are no longer relevant or varied in the amount of time that you spent on them and so therefore maybe we needed to restructure those so that they were better aligned with the services being performed.
We also looked at your current fee versus what it's actually costing you. And at that point, we then developed revenue projections based off of average volume or how many times you actually provided those services in one year. Next slide. And how do we do that? We believe in transparency. So, we do look at if it's a fixed fee on average, how much time do you spend providing that services and we attach that to the hourly rate, the fully burned hourly rate of staff to provide that service.
If it's a deposit based fee, we looked at is the deposit set appropriately and then time would actually be charged against that deposit at the staffs hourly rate. We also looked at as I mentioned, we compare the current fee to full cost. Are you over recovering or under recovering your cost to provide those services? We also again, attach that average volume to those fees.
And we annualize that to see on an annual basis is your revenue covering your cost to provide those services? And then lastly based off this information, we went ahead and made recommendations. So next slide. So what does all this mean? Right now it's no surprise since these fees have not been updated since 2007 and have not received a CPI factor in that, in all that time. That we're only recovering about 51% of what it's actually costing you as a county to provide those services.
We are recommending full cost recovery on the fees themselves with two exceptions. Less than 100% cost recovery for residential driveways and tree trimming. Purpose behind this is to encourage people to still pull those permits so that those services can be done appropriately and safely. If you were to approve the recommended fees, this would on average increase your revenue by $638,000.
Again, a lot of these fees are based off of deposits which means they will be revenue neutral and you will only charge for the actual time being spent to provide those services. And I'll turn it back over to Marika.
2:56 – 3:0215 turns
Thank you, Cindy. The adoption timeline for this is today is the first reading June 6th. The adoption is set for June 27 and the ordinance can take effect 60 days after adoption which is currently set for August 26 of 2023. Before you presented here before you and in the board letter these are our recommended actions that concludes this presentation at this time we'd like to open up for questions or comments
Supervisor
Hartman. So does this fee go to renting out right of way space for restaurants or is that a separate item?
Supervisor Hartman through the chair, that's a separate ordinance that covers those areas.
And then our fee recovery is simply to recover our costs, but there's no rent. I mean it's public property. People are using it for private use and so there's no rent that then goes back to benefit the public. I assume that there's best practices and we're doing it how everybody does it, but that question does occur to me.
Supervisor Hartman through the chair. Correct, these are not items that we would be collecting a rental fee for. It often includes things that are encroachments that include frontage improvements that the public may benefit from as well as just if we have a roadway easement for roadway operational purposes, the underlying property owner does have the ability to do things that they wanna do in the right of way through getting these encroachment permits. And then there's also things like utility companies and other agencies that have facilities within the roadway, and sort of rental fee type of thing is covered through the franchise agreements.
Supervisor Nielsen. Yes, thank you Chair Williams. So if this fee moves forward or these changes that's an additional $600 plus thousand dollars to Public Works' budget which is currently being subsidized I imagine by the general fund? Is that how what's going on currently?
Supervisor Nelson, through the chair. The amount that's not recovered is essentially subsidized by the road fund so it's part of the structural deficit issue that we brought to your board in March and so it's actually taking away funding that would otherwise be used for road maintenance and other road fund activities.
So we should see that increased by this amount in the next fiscal year? Okay. Do you know if the study looked at when they talked about cost recovery, potentially the public benefit of some of these permits? Because it doesn't always benefit just the applicant. Was that evaluated or was it evaluated whether the fee would discourage projects or maybe discourage applicants from actually applying for permits and how that might impact things moving forward?
Supervisor Nelson to the chair. There was there is some, there's some public benefit to people getting permits to put encroachments in the right of way just in a sense of making sure they're done properly and safely and we did look at that and in the free reductions that were mentioned were kind of looking at that where For something like a driveway, you need kind of a balanced approach because if you're charging somebody more for the permit than it costs them to put in the driveway they're probably not going to come get a permit. So we want to incentivize people to do that and do things properly and that's why that applied to tree trimming as well.
What is the staff hourly rate that we're using for this piece schedule?
Supervisor Nielsen through the chair. In this fee study, the weighted average hourly rate is about $150 an hour.
I'll just make my comments on so I can save them for or don't save it for deliberations. I'm not
since there's no
other lights, you can go to have a runway operations yeah okay well um you know this is where I struggle with with these fees you know so you know the benefit assessment I'm there Permit fees, there's a balance between the benefit to the applicant and the benefit to the public. I don't believe in 100% cost recovery and I think 98% is too high personally. I have this same struggle with the planning development because I think what it ends up doing economically is discouraging people from doing projects. And I know it sounds like small amounts but there's a balancing act that should take place. I do think permitting because permitting, the basic function of that comes from our police powers That we have, and that's where that comes from.
And I think that there is a public benefit with police powers and that's why we share that with potentially general fund or other revenue streams besides just putting the burden on applicant. That's my personal philosophy on these things in while I appreciate Public Works being creative in ways of trying to get as much of cost recovery possible and I do understand conforms to renew 22 goals.
I personally don't support that at that level, and so I won't be supporting these fee increases.
3:02 – 3:045 turns
Any other comments? Can I get a motion? Is there any public comment?
Chair Williams, members of the board, I'd like to note we have no requests to speak on this item.
I'll move staff recommendation.
I'll second. All those in favor please say aye. Aye. Opposed? No. Can I get a preview of closed session?
Thank you Mr. Chair, members of the board. The board has an item of anticipated litigation significant exposure to civil litigation seven cases and the claims information is listed in the agenda and the seven claims are also attached. We also have existing litigation, which is the Santa Barbara County Board of Supervisors sitting as the board of supervisors and the board of directors for the county flood control water conservation district. The case is Southern California fire cases. It's a judicial coordination proceeding including Southern California Edison versus the county it's on Los Angeles Superior Court.
We have one item of labor relations, the employee organization is SCIU Local 620 and the agency designated representatives are CEO Mia Sato and Human Resources Director Maria Elena Dirk-Rivera. And we have public employee performance evaluations for the following county departments. Agricultural Commissioner, Behavioral Wellness, Child Support Services, Community Services, Fire, General Services, Human Services, Information Technology, Planning and Development, Probation, Public Defender, Public Health, Public Works and Social Services. And the time estimate is two hours.
5:32 – 5:485 turns
We're reconvening the meeting of June 6th, County Council. Can you do the report out of closed session?
Thank you Mr. Chair and members of the board. The board met in closed session on anticipated litigation, significant exposure on seven cases with the details in the agenda. Existing litigation is what's sitting as the Board of Directors for Flood Control Water Conservation District Southern California Fire Cases Labor negotiations with SEIU and public employee performance evaluation for appointed department heads listed in the agenda, and the board took no reportable action.
Then we'll go to departmental item number eight.
Chair Williams and members of the board, departmental item number eight's from the county executive office. It is a hearing to consider recommendations regarding fiscal year 2022 through 2023 third quarter cannabis taxation compliance and enforcement report.
Thank you, good afternoon Chair Williams and members of the board. This is our quarterly Cannabis Taxation Compliance Enforcement Report. These updates are provided to summarize some of the issues that are involved with cannabis regulation in our county including land use permitting, business license activity, enforcement and tax receipts and compliance. Today we are seeking board direction on some potential changes to Chapter 50, which is our business license ordinance and other code sections as needed as well.
I'll start with a quick overview of land use permitting and licensing. Land use permitting is done by our planning and development department. And as we've reported in the past it continues and the submitted permit acreage Exceeds our acreage caps, and I'll just remind you that we have two acreage caps one in the inland area of 1,575 acres and one in the Carpinteria agricultural overlay area which is 186 acres. We have reached the cap in the Inland Area as far as Applications and permits that are approved And then in the carpentry area we have not reached the cap but the submitted applications exceed the cap so we anticipate getting there at some point Currently there are eight cannabis projects that are still on appeal, either to the Planning Commission or to your board and are being scheduled and will be processed.
Over the last quarter four of our operators that were holding 42 acres in the inland area withdrew their business license applications. And so what that means is they determined that their business I assume was no longer viable and so they came to us and said we're withdrawing our license And that takes the acreage out of the cap, and that frees it up. And we offer it to operators on our waiting list that have approved land use permits and are waiting for a spot in the cap.
A total of 99 county business licenses have been issued overall since the program started. And of that 99, 23 were issued in quarter three. And we have 57 licenses outstanding and are going through the process Moving on to enforcement, the Sheriff's Office is actively pursuing illegal activity and that's where enforcement falls really in the illegal market.
It's active and it continues to evolve and over the last quarter they completed six enforcement actions that resulted in compensating over 2600 pounds of dried product and that holds a $3.4 million street value And then bringing me to the final topic that we like to bring to you during our quarterly reports which is tax collection. In Q3, we collected $2 million in gross tax receipts and so to date for through quarter three, we've collected $4.2 million.
This is a projected negative variance from the adopted budget of $10.2 million as was reported In my staff report as well as your Q3 budget update prepared by Budget Director Clemente, the market is really affected by the oversupply of wholesale cannabis products statewide and that's on the illegal and regulated side. So in the regulated market many people got into the business quick It resulted in an oversupply of legal product, but we also know that we have, as I said, a thriving illegal market. So it's an oversupply on both sides.
We've also seen some operator attrition and voluntary following, and I'll just remind you that following is when It's an agricultural practice where you don't plant for a season or to allow your soil to rest. In this case, most of the fallowing we're seeing is due to market conditions and just not making economic decisions around what they can afford to do.
Also affecting our gross tax receipts Our retailers, they've been slow to open. As you may recall we selected six applicants to apply for business licenses for retail and of those six two have opened thus far four are still in the permitting process mostly I'm in the building department working through that process some of them are just doing tenant improvements and others have to build brand new buildings and so it's just taking longer than we anticipated and so those revenues are not as high as we had projected.
And just as a final bullet to remind you all, and we talked about this during budget workshops too, our projected revenues and the fund balance carryover from prior years of cannabis revenue specifically will be sufficient to fund the fiscal year 22-23 program costs and other allocations. And those other allocations include non-cannabis related projects and programs that the board chose to dedicate cannabis revenue to.
On tax reporting, so the total number of operations required to report are 69 and that differs in the number of licenses we've issued because some operations hold multiple licenses if they have a nursery and cultivation operation for example or a distribution and cultivation operation The total number of operations required to report is lower than that license number, but it is 69. In your report in attachment A we listed the number of operations that have not reported as 12 since that report was generated three operators have since reported post end of the quarter so we're now at nine At least seven of the nine we don't believe are currently growing. And so if and when they report, we anticipate that they would eventually report zero gross receipts.
The number of operations reporting gross receipts is 26 and the number of operators reporting and making payment because they had gross receipts above zero is 34. Our ordinance requires that operators with active state licenses file tax reports, and I included that information because it's a slight nuance. We issue a business license to operators and they absolutely report but we also have those operators that we granted our claimed legal non-conforming status which meant that they were growing prior to we adopted all of our regulations. We just have a handful of those operators left but as long as they have active state licenses They need to report and pay taxes regardless of their status with our business license.
The current ordinance has no penalties for late filing or not filing the quarterly report if an operation is reporting zero revenue, and what I mean by that is the penalties are assessed against the amount of money you owe. And so if an operator is late—so those seven operators that I mentioned that we think owe us a zero report, if it's zero revenue that they are claiming we can't assess a penalty on zero because 10% of zero is zero. And so I know that was a little bit confusing to a couple people so I wanted to clarify that the current ordinance, the penalties are assessed on the amount they owe and so if they owe zero there isn't a penalty on being late reporting zero Operators are required to submit any missing quarterly reports and pay outstanding balances as a condition of license renewal.
So our licenses are annual. And an operator must submit for renewal between 90 and 60 days before their license expires. And they go through a review process with all of our partner departments that are part of our business licensing team, and one of those departments is the treasurer tax collector. So if an operator has any missing quarterly reports or outstanding balances or both Their license will not be renewed until that is cleared up.
The Office of the Treasurer Tax Collector also sends notices of reminder and noncompliance as needed, so they send reminder notices to all non-reporters at the close of the reporting period And currently the Treasurer Tax Collector sends notices of non-compliance to operations with two or more outstanding quarterly reports. The TTC, Treasurer Tax Collector also verifies and reviews reported figures including those that report zero gross receipts and if there's a discrepancy they will follow up with the operator.
So a couple items for discussion today, I grouped them under two categories. One is changes to Chapter 50 as I mentioned which is the Business License Ordinance and 50A which is the Cannabis Tax Ordinance. We had supervisors request to strengthen the penalties and consequences related to timely tax reporting and payment so I outlined in my last slide that we have some operators that have not reported And so, and since they would, we anticipate they would report zero. What can we do to ensure that they're reporting in a timely fashion and paying if they owe?
Potentially, we could address this through Chapter 50 Ordinance Amendment. That would require revising several sections. I forgot to mention that the quarterly reports are due, and I put it here on the slide at the end of four months being January, April, July and October. So our quarters are from January to March and then an operator has a whole 30 day period of April to report and then they become delinquent.
So given that one of the things that we staff proposes or thought about is considering revising the deadline to incorporate a notice of intent that we would need to give an operator before we would deny their license and the appeal period into that 30 day period. So instead of saying, the tax is due at the end of the month After the quarter, so they have a 30-day period. Shortening that up maybe to 15 days and then the notice would go out that if they didn't pay and report by the 30-day period then this is our notice of intent to deny their license.
Then upon that they would have five days to file an appeal and we would go through a due process related to the appeal. But if they didn't pay and they didn't file, you know I don't know what argument you'd have other than showing your receipts right. So and then we also would have to look at potential changes to Chapter 50A tax on cannabis operations as allowable. And that is because Chapter 50 A was part of a ballot measure that went to the voters We can make small administrative changes, but we can't make wholesale changes to 50A without going back on the ballot if it would increase the tax in any way.
And then the second item for discussion is changes to fees. When I was here back on May 16th, we brought an item to consider a fee ordinance amendment to raise our fees that we collect for cannabis business license, initial licenses, compliance and renewal. And at that time the board directed staff to consider the California Cannabis Authority and the treasurer tax collector costs in the licensing fees. They're not currently included. The California Cannabis Authority is a membership that we have it's part of a joint powers agreement Membership dues as well as access to a data platform that allows us some insight into what the operators are reporting on every plant that they have from seed to sale. And so, the price tag for that currently is $500,000 and so we were asked to take a look at how we could pass that back to the operators.
It would require an amendment obviously to the Cannabis Fee Ordinance But I did want to bring to your attention that Assemblymember Hart proposed a bill in the assembly, to allow access to the state track and trace data. And that is still making its way through the legislative process as of last Friday it had passed out of the assembly with a vote of 80-0 so pretty impressive and we are optimistic that that is going to get into the Senate and we're hoping it's successful because if that bill passes It would eliminate the cost to counties for access to that data platform. So, that $500,000 that we're paying would go away.
We are also in case the bill doesn't pass working with the California Cannabis Authority to negotiate a lower data access fee. So we plan to return in July with a revised fee proposal pending outcome of AB 687. Finally, just summarizing our recommended actions. As I said you receive and file our third quarter cannabis report provide direction to amend chapter 50 and related code sections to strengthen penalties and consequences for failing to timely report or timely pay quarterly to cannabis taxes including potential denial of a license renewal and then provide us any direction regarding the county's cannabis program in general and our CEQA determination That concludes my presentation. Thank you.
5:48 – 5:5326 turns
Supervisor Harman?
Thank you, Chair Williams. I had a couple of questions. The first had to do with the 42 acres that are basically given back to the CAP so they will not pursue a business license. My question and I'm not sure if you're the right one to answer it but what happens to their land use permit I think their land use permit is dependent on cultivation, so that would go away eventually as well. And that's my question.
Thank you Chair Williams, Supervisor Hartman. So when they're taking off the acreage cap, I'm sorry, when they withdraw their business license they no longer have room in the cap. However, the land use entitlement is still with the land, right? And so it still remains valid. They have to effectuate that land use entitlement but I am not certain how long it remains valid. I think if they built out their security and other infrastructure they may have already met that purpose But it's this is a I can't answer with certainty for the exact amount.
It's a land use question.
Supervisors ask County Council
if they could help clarify.
Mr. Chair, members of the board, I believe that what would happen is that the land use permit would still be valid but without a business license then you're not allowed to operate and then the permit is assuming it's already vested that they've used it before And then it only, if you're not operating under a land use or conditional permit, use permit for a certain period of time then it no longer becomes valid. And I think it just depends on the type of permit.
So it's possible to vest and it runs with the land forever? I thought...
Well, it vests in that you've used it.
Right.
But then if you stop using it for a period of time, you can abandon that use. And so it just depends on the type of permit. I believe for a conditional use permit, it's a year. But
that's my recollection
too. That land use permits aren't forever if you're not using them, but I just wanted to clarify that because now we've got situations where it becomes real.
But again, you need the business. You need both to be able
to
operate.
I understand. Will there be lots of land use permits for cannabis sitting out there especially in the Santa Rita Hills where I'm very interested in getting The other question I had is the CCA, just an editorial. We were supposed to have access to this at the get-go. We didn't. This track and trace data, and therein lies a lot of our difficulties. What I'm, you can't answer this but why the state if it's so easy to give us visibility why they didn't do what they promised in the first place is a big question for me. But I guess the second more pertinent issue is does CCA do analysis? Is it just visibility and they give us raw data or do they do analysis? Would there still be a reason to hire them if we have this so-called visibility?
Thank you, Supervisor Hartman through the chair. They do in fact do analysis and so our CCA membership is coupled with access to a data platform that provides analytics that goes beyond the raw data and so we are looking at things such as we compare when an operator reports the wet weight of their harvest to the dry weight and how much went to waste into those things add up All of that is being analyzed and put into the system, and we get flags. And so we're able to have conversations with operators about those discrepancies And so there's a lot of analytics that is happening on their end.
And that is really wherein lies the real expense, right? Is the analytics.
Right. So this bill may not solve the $500,000. We would still need CCA to do analysis or we would have to develop that capacity internally?
Supervisor Hartman actually the bill requires that the DCC use the CCA to distribute the analytics and information to every jurisdiction that regulates cannabis.
Okay, so it's not merely visibility into its... Correct. So will the state be paying CCA? Is that the deal?
There is a budget appropriation ask, Supervisor Hartman yes for that ability and from cannabis revenue at the state level.
And June that's why it could pass by large numbers and still fail.
Yeah
yeah there is a budget appropriations
so it seems to me the prudent way for us to proceed is not to assume that that is going to pass but to presume that it isn't and then change
5:53 – 5:5911 turns
Supervisor Katz.
Thank you, Chair Williams and thank you for this. I just had a couple of questions sort of around the issue of... You've done a good job in the past and thank you for answering a lot of my questions previously of sort of the late payments and I think in one hearing you used the term whack-a-mole, I believe that some pay on time sometimes and some don't pay on other times. And I just want to ask our CEO because we were discussing this a little bit just how that impacts our budgeting process?
The uncertainty and sort of the sometimes, you know like 12. You had 12 that didn't report and now it's down to 9 but It seems to be a lot of Discrepancies
supervisors through the chair. Thank you for that question. So as you saw from Brittany's The ordinance is currently require them to file and pay But it doesn't say they have to file quarterly in pay with the pen. There's no penalty established in a hardened factor fast way that it has to be within that quarterly report, right? So what Brittany said is people do they do it late.
And they can incur penalties but up until the time when their license has been renewed or is going to be renewed, right? It helps us if it's actually clear and there's consequence that they have to file when we say they have to file because it helps with our budgeting in projecting what we expect for the year rather than Being surprised at the third quarter when someone pays what they should have paid for the first quarter. So it does help us to have more timely, enforceable payment and reports.
Thanks for saying that because this quarter has been pretty much on par with last quarter but I imagine in the past there's been discrepancies with this, the way that the system is
currently. You'll end up with one quarter that has a lot maybe because it was from, it's a catch-up from a previous quarter. Thank you.
I think it's fine to pursue stronger penalties to do on time, especially if we have some way of dealing with people who are just not doing a crop that quarter. We have some kind of way for people to report that and still not be penalized but I actually think our problem on this is fading Judging from the number of no reports, but or at least there's a bigger potential issue.
And I suppose we'll see in the next quarter which is that prices are on their way back up and so right now the greater danger is not that people would have not report but that the greater dangers that people would be reporting less than under-reporting And so I think that it is really important that we send the message of, we know prices are back up. There better be higher reports in the fourth quarter and if there isn't then we should be pursuing some options to ensure that everybody's paying their fair share.
Because the things are starting to turn around out there pretty dramatically from my understanding. Supervisor Lavinia?
Thank you, I just have a question about the retail and is there anything... I mean, I guess my question is in Orchid. These things were supposed to be open year-and-a-half ago or a year ago And I'm sure it's not, from what I'm understanding, it's not anything the county is doing. It's that there's been changes and I know one particular place is actually building a new building so that takes awhile. What is the status of the Orchid Dispensary? How is that moving forward?
Thank you Supervisor Labadino through the chair. I don't, unfortunately I don't have today status. I do know that they submitted to the building department in late winter so like early this year maybe around February and so I would assume they're still in the building departments review but I can get you a status update and make sure you get that.
That would be awesome. It's funny, I mean to me it could be a priority of things that generate you a bunch of revenue as opposed to somebody's pergola we were talking about but they all need to get done.
Supervisor Nielsen?
What's the status on 50A? I think there was some board direction to maybe begin a process to move towards a square footage tax. At least, I thought that's where we're heading. I know you mentioned up there on one of the slides that would be changes to the tax when you eventually go to the voters. What's the status on 50 A?
5:59 – 6:0510 turns
Supervisor Nielsen through the chair, so you're referring to the conversation we had back during the budget workshops. We have been focused on the fee ordinance amendment and then looking at revenues and so we've started to sort of explore what a square footage would be. It does require a ballot tax measure, and so we were looking at not the spring, not March 2024 but November 2024 if we wanted to bring something forward.
There are some other tax measures that are being contemplated at the county level and so it's being looked at as part of that broader effort
Supervisor for the chair, we had discussion about it and staff plans to bring back an item to your board about this is what we heard. And we've done research on the surveying and all that kind of stuff so we will bring that back but we heard the boards discussion about looking at different tax alternatives.
Can we wait for a second ring until after public comment? We got four requests to speak. Is that okay, great. Let's go to public comment.
Chair Williams and members of the board, we have four requests to speak on this item. We're going to Zoom to begin with Leo Welder to be followed by Lindsay Coakley. Leo?
Hello can you hear me?
Yes we can please
proceed. Perfect. My name is Leo Welder and I'm speaking on behalf of Good Farmers Great Neighbors, a local organization comprised of legal and licensed cannabis farmers and operators. I'm here today to share some insight about the current economics of cannabis farming and manufacturing because I believe it will have some bearing on your deliberations on how to treat licensed operators who may become delinquent in their license or tax payments to the county.
Due to the federal status of cannabis, legal California cannabis operations are unable to access traditional debt and financing like revolving lines of credit or even accept credit cards in most cases. These tools are ubiquitous in every other industry. As a result, the industry is forced to rely heavily on credit and payment terms between operators given the challenging market Conditions currently encompassing California's legal cannabis industry, many operators have been slow to pay their invoices. This doesn't mean they don't pay them it just means that at the moment it takes them longer to generate enough revenue to pay their bills.
As a result this trickles up from retailers through distributors then on to manufacturers and farmers who are at the end of the line of cash receipts and see compounded delays on receivables The DCC estimates that 40% mostly farmers and manufacturers of all licensees are experiencing cash flow issues related to late payments on invoices. That said, our folks here in Santa Barbara County continue to pay their taxes and fees to both the state and county tax regulator and collector although because of market forces they have been relatively slow in submitting payments.
We ask for your patience as the market evens out. Suspending licenses from operators that are merely behind in their tax payments only makes certain that they will have no way of making those payments in the future Further looking into the not too distant future, the state is finally addressing the illicit market which is still estimated to be double the size of the legal market in a real way by using targeted law enforcement elimination of cultivation tax and streamlining duplicative regulations for license approvals.
As these efforts materialize, the huge economic swings that we've recently, that were currently experiencing in California cannabis will lessen and the revenue stream to both the operators and the county will become more predictable and lucrative. Thank you.
We will now go to Lindsay Coakley and we will then go to Lanny Epstein here in Santa Barbara. Lindsay? Good afternoon, can you hear me? Yes, we can please proceed.
Thank you my name is Lindsay Coakley and I'm the Director of Compliance for Central Coast Agriculture We own and operate multiple farms within the county, and we've spent the last four years working to obtain our business licenses. We recently received business licenses for two of our farms in the fall of last year. The County Cannabis Tax Remittance form currently states that if taxes are not paid on time there's a 10% delinquency fee plus a 0.5% interest fee based on the base tax amount.
Additionally, you cannot renew your business license if you do not file or pay timely. Currently the process to file and pay your taxes involves sending your report which has to include both your metric transfers and a summary of those transfers at least two to three weeks ahead of time to have the tax form approved. Once the tax form is approved, an operator has to wait to receive approval before the taxes can actually be paid.
The operator then has to coordinate making payment to the county. This process timeline is already very tight being due at the end of the following month, and for that reason it allows very little flexibility for operators. I would like to request that the county consider refining the process so that the tax remittance process is easier for operators Before implementing more penalties and fines.
Additionally, it should be noted that the price of cannabis is not coming back up. In fact, the state cannabis revenues are down 25% for last year and making additional penalties like enforcing with a stick instead of a carrot is only going to harm the cannabis industry. So please consider my comments and thank you for your time.
We will now come to Santa Barbara with Lanny Epstein, to be followed by Jared Vicker who is our final speaker. Lanny?
6:05 – 6:1310 turns
Chair Williams, members of the board, thank you for your service to our community. I always like to say that when I address boards because typically people are addressing you and they just want things and as soon as the vote's over you never see them again and they never say thank you so thank you whether we always agree or not. I appreciate your service. I'd like to address the recommendation portion of the agenda item today, which includes Part B, provide direction to amend Chapter 50 and related code sections to strengthen penalties and consequences for failing to timely report or timely pay. quarterly cannabis taxes, including potential denial of license renewal.
And I think this is a common sense good government proposal. It would only pertain to cultivators operators who were earning revenue as they said it's not an intention to try to seek revenues from those who aren't generating but the original purpose of the ordinance was to raise tax revenue and If operators aren't paying taxes, that purpose is not being met.
So I think that the proposal would also help to delineate operators who are following the rules and those who are not. And I think that's also important and I believe that a amendment of the ordinance along these lines would be broadly supported by the community. So thank you for your consideration and again thank you for your service.
We will now go to Jared Ficker who is our final speaker on this item.
Hi, Jared Ficker with Exum Advisors. Chair Williams members of the board thank you for the time to be here first I wanted to start with also like the previous speaker a thank you not only for your service but in particular staff Brittany and her team Thomas and Sydney and working through business licenses have been absolutely exceptional there's a lot of work that everyone's had to work through It also should go without saying, Petra at P&D and Chuck and Brian at the Sheriff's Office. They've all been really top-notch to work with, and I think a lot of folks have gotten through those business licenses and gotten to a point now where we're looking at optimizations in this program. Some of the topics that you've talked about today are those optimizations and I'll make just a few comments.
First of all, market conditions certainly there were comments made about an oversupply in the market but I do want to make clear one of the things that we are seeing in the statewide legal cannabis market is sales are down for retailers So the demand is down. And the reason that is, is because still illicit products are typically anywhere from 30 to 60% less expensive than legal products in the marketplace.
That's affecting sales not only at the two open retail dispensaries in this county but up and down the state. We also have illicit retail too so it's not just an oversupply issue, it's actually a demand issue probably more extremely. Second, on taxes. First and foremost our clients I believe are all in current tax compliance. I don't really understand nor do members of the public have visibility on is this a problem right? I think we see sometimes people don't report but in many cases those people aren't necessarily So, you know part of it is and you guys have the information amongst yourselves and staff to understand this. Is there truly a lack of payment of tax? I don't know what that is so it's really hard to understand what are we trying to solve for if we don't know as is their pure tax avoidance or they're late reports.
What is the issue? So I think you need to dig into that a little bit. I'm more importantly consistent with what Supervisor Nelson said. You know, I do think re-looking at a square footage tax I've testified before you all in the past, I think it's a good time to look at that again both for providing certainty to the county for budgeting and also providing some clarity for the industry.
Doing gross receipts tax, and one of the previous speakers spoke to the difficulty of filing this on a quarterly basis. Oftentimes we're trying to put in reports and our operators are trying to get that stuff done like on the day that the quarter ends. And that's not how most people run businesses. You need time to close your quarter, get that information, put it forth. So we would certainly support some things that would make tax complaints easier but I'm not sure how much if it's a problem. I don't see it with our clients What I would support is, and I think most of our clients would, anything that improves tax compliance and leveling the playing field both between North and South County we absolutely support. So we would encourage you to continue to look at those issues with the recognition of some of the comments I just made.
On fees, you know, we certainly support Assemblymember Hart's bill that has passed through the House so it did get through one of the Appropriations Committees so we'll see if it gets all the way You know, I think we had some questions about the costs associated with CCA from the very beginning. And it should be noted that there was a lot of additional reporting required by operators to CCA as part of this process and so I think between the tax program and other things, we would certainly like to take a pause in trying to increase fees. Fees for cost recovery for operating the program makes sense but this is an added thing that This potentially could be looked at and done in a smarter way than spending $500,000.00 For something that we might be able to get actually the state to do Finally I wanted to comment on And and there were some comments made about the open dispensaries.
I worked on two that are open But you know, one of the things we aren't seeing the revenue jerk because
you're out of time. I'm just
gonna ask you I'll wrap up
Yeah,
and what is the status of the dispensary statement? And I have one other point and I'll tell you that and I'll be done please if you don't mind The status of the dispensaries, we have two open. They're operating. Sales are not meeting the expectations that we thought and I think it's primarily is that there's still a lot of illicit market product that is oftentimes half the cost. You know one of the things that the legal market has done is cleaned up the illicit market so people aren't perceiving buying in the illicit market as risky as it was in the past. So that remains an issue. The final point I wanted to make and there was some direction or reference in the staff presentation about other amendments to Chapter 50, and maybe this is the most important thing as you look at optimizing your program, is we continue to run into background checks issues both for retail and for cultivators.
Particularly contract ag labour. We made modifications to the ordinance previously and I'll talk briefly on the retail. The retail issue is that getting a live scan, retail workers have to be actual employees of the operator. Those live scans and you can confer with the Sheriff's Office sometimes take 60 or 90 days. That employee has moved on to another opportunity. We have a really hard time getting people approved and hired in the timeframe it takes to do those background checks. So a simple solution there, and for this is we're five years in this program I don't think we've had a lot of problems with employees or other things. This is one of the few jurisdictions that requires background checks for all employees rather than what the state requires is for owners and managers.
I think it's time we should really look at harmonizing with the state policy. And then related to contractors for ag, I think you guys are familiar with this Thank you, Mr. Chairman. In terms of certainty about their employment future and what have you, and I think there's a good opportunity. It could either be done administratively in dialogue with the Sheriff's Office or it could be done through an ordinance amendment to harmonize with state regs and that's what we'd certainly recommend so thank you for your time. Happy to answer any questions.
That concludes public comment on this
item. Supervisor Hartman?
Thank you. I guess I have a couple of questions and comments. Have we ever denied a business license?
6:13 – 6:206 turns
Supervisor Hartman through the chair, I cannot recall a denial of a business license to date and we have sent a letter that we will deny if they don't fix the problem within a certain time frame and then they were able to do that.
In terms of developing a penalty for failure to submit their report, I very much favor that because I think we need to get even if they're not turning a profit, they still need to report. We still need to know what the status of the business is and there still needs to be some consequences for that. I mean that's very common with taxes and with pollution and all kinds of things we ask companies to report on a regular basis and I don't think that's asking too much.
In terms of underreporting Supervisor Williams, I'm trying to get out what you were saying But I mean if people are under reporting and the track-and-trace is supposed to show that I Half million dollars we're paying is supposed to That's what it's for but if we find that then it seems to me there ought to be penalties for that as well
If you they if you want the answer In many cases, the county would not be able to tell. And that is because we really didn't make it easy to do processing. A lot of processing is done at other locations and so if we believe there is underreporting going on, to me it would lean itself to us looking at not at gross receipts, not at square footage but a third possible option for method of taxation.
I mean it would be possible for us to for instance require that every business be based in the county and have to submit their books to the county do a percentage of their profits. So this is far afield maybe of the subject matter, but my point being that we should try to understand if we think that's happening or not and I would argue that if If the revenue doesn't raise between Q3 and Q4, then it probably is happening.
So I think that goes to the broader issue of how we might change the ordinance for taxing, and maybe that's something you would like to coordinate with Brittany about some third model. But in terms of the business license, again, The system we have, that's what we're paying CCA to help us identify. And I think if we find that that's the case, that people are underreporting then I believe there should be severe penalties for that and potential loss of business license The other thing that I'm very concerned about, and we can give direction to staff regarding Chapter 50. So this is one of my big issues is that when we look at a land use permit, we're looking at the land. We're not looking at the operator. When we get to the business license, we can look at the operator and do they have violations that are outstanding with other agencies if not us?
Have they been referred to the DA for criminal prosecution? It seems to me that those kinds of things, we shouldn't just automatically give a business license. I would say we wouldn't give a business license, but at least we need an ordinance that maps out and makes defensible a potential denial or at least making it harder. So I would like to be walked through those things and tighten that up if that's possible.
So when we're ready, I'd like a motion. But I'm not sure if anybody else agrees with me.
I agree. I think the penalty though, the system of penalties should be something that staff works out and brings to us for approval so you know that I could support it under those circumstances. Supervisor Caps?
Yeah just to build on what Supervisor Nelson was asking about we did give direction to the staff to come back with potential different tax models but That won't take place if it does pass, which is a lot of ifs that you know take effect January 2025. So I think in the interim I've watched and done my homework last year watching this board have a lot of exasperation about the fact that we have some, a lot of good actors but some bad actors and sometimes they change as far as I understand. And we don't have eyes on nor should we on who's paying which quarter but it seems to be inconsistent at best and frustrating for people watching pay their taxes on time.
The whole point as our speaker said of this program was to generate revenue and if this action, if we tighten it up and we make it more transparent and more clear hey you got to pay your taxes on time. Maybe we'll bring in more revenue that's the goal. That's what I was intending by working with Supervisor Hartman to have this conversation is just more transparency, more fairness.
People paying on time, a better ability for our budget staff to project and pay for the things that we all care about. Libraries, parks, all the things that this program was intended to fund so I'm optimistic we can get there and I think we shouldn't wait until January 2025 to make some changes.
6:20 – 6:2820 turns
So I would take a stab at a motion.
Go ahead.
Okay so I would move A, B and D. And in terms of direction first that we would plan for CCA cost recovery that we would develop ordinance language for penalty for failure to file quarterly reports and look into Further specifying penalties for underreporting as well as and I don't know how to say this but bad actors Define what that is and how we would regard those in the business license process
Discussion
question for staff. I Don't have any problem with any of that junk but so This goes back to probably day one of non-reporters. That has always been a major thing with the public and it would be just so easy to, is there a simple form that if somebody's not growing? Is there a one pager that just says I'm not growing, I haven't grown this quarter, I don't know any taxes, there you go.
That's a great question. I don't have Treasurer Tax Collector staff here today to walk you through the form, but it's my understanding that if they're reporting zero then they're reporting zero and it would be a fairly simple transaction but they do need to file and I think there is some perception that like oh I don�t owe anything so I don�t file and so we are trying to get at that.
As part of this I would like to see If people haven't reported for maybe one or two quarter, maybe I'm optimistic. I really believe the people that aren't reporting aren't in the business or they have property because a lot of the people I talked to didn't grow right? So like the market kept them out, the weather kept them out whatever so they're not gonna have any receipts but if it's something else where people are growing and not reporting you got a serious problem and yes we do want to penalize as far as I knew Because I've heard some folks talk about the penalties are associated with it.
That there is already a penalty in the tax that is significant, that if you don't pay on time, that there's already a penalty in there.
They wait till the end though.
Okay so what you're saying is you're bringing it up? Every quarter. Tightening it every quarter. I see what you're saying okay. I don't have problem with that but It would be nice to be able to have that transparency of, and I know we're not supposed to know who did what. But isn't there a way to say Team A did not pay for the first three quarters? Said no growth, they weren't growing anything and then had something in the fourth quarter because it just seems to me that I really want to know are the people that aren't reporting not growing and the people that... Because that seems to have been an argument for two-and-a-half, three years now.
And there's a way we've got to know this And it just seems like I don't know how we get the information. So, it's either a major problem or it's not that big of a problem and we should all be able to agree on that.
Right, I fully support that Supervisor Lavagnino because you know this board before I joined last year was sort of saying well the audits will show that, the audits will show that and so far we don't have that right? Because there's all these complications and I'm with you that you know every time every quarter there's a third roughly a third that aren't even bothering Turn in the piece of paper, and that's if that's accurate. And that seems very...
That's not accurate there's nine out of 60 something
entities. I think 66 reported and 9 didn't which is now down to 7 but it still I want to know who those seven not who they are but what's the circumstance behind that? Because it would be really nice to be able to come back and go guess what six of the seven weren't growing one was a problem we find that person or moving on. Is that bone of contention with that one line every time Lights a fire under some people and dampens the expectations of others.
Is this a fair playing field? So when we say, this amount of group is not reporting that needs... I don't think that can just stand alone anymore as a reporting factor. We really need to break down into not who they are but what is that circumstance because that is kind of the crux of whether people have faith in this entire system or not.
Thank you, Supervisor Lavinio through the chair we can certainly work on that and I did mention that of the nine that did not report. We believe seven are not growing for various reasons some have withdrawn in fact but they still have state licenses so they are required to report somewhere following and and so and i could you know we could. I think that's great each of those yeah If
that's in the report from now on, it says nine did not report. Two are following. Seven or no did not grow this period but they plan on growing next period or whatever. I know that's going to be work. It's okay. Okay. At
the end of the day though, they still didn't report and so we need them to report too. So there is you
know...
But it
is important. That's also I guess to my point that this is a receding problem. This is the lowest number that we've had percentage-wise that does not report And Brittany knows what the circumstances are out of seven out of the nine. So there's two question marks out of 66 entities, that's a much better situation.
Well maybe all of us talking about it is helping. I mean honestly at the time she created the chart 12 hadn't reported now 9 haven't reported so let's send a message however we need to do it.
Before we vote, I do think we need to address one other option and I don't know if you've heard of it. Jared mentioned it. I haven't even spoken to Jared about it but I think it's a big issue. We first put pretty severe background checks requirements on the industry. We then backed off a bit because We realized that requiring live scans of a bunch of ag workers, particularly some that may not have identification and the same kind of identification that you and I have is a problem.
The ordinance is more nuanced than this, at least my take on it is a little more nuanced. My take on it with a little bit of help was more nuanced in this but the way that generally lately the Sheriff's Department seems to be interpreting it is that you need to have a farm labor contractor to do it, to use something other than a live scan And I don't want a system that forces a bunch of ag workers into farm labor contractors rather than employment by entities that will pay them better wages and benefits. And so my understanding of the ordinance, and maybe county council could opine on this is that there still is an option to have labor As long as they are moving to more than one site that is not live scanned.
Can you opine on that?
6:28 – 6:3515 turns
Mr. Chair, members of the board in section 50-11 of the county code it talks about the options for criminal history checks and there is a category for criminal history check procedures for third party laborers seasonal or temporary workers who move from premise to premise during the cultivation season and who work for four months or less So these background checks may be performed by the applicant and then available for review and inspection by the Sheriff's Department.
And I believe it says in here they may be a live scan, but doesn't have to be. It can be a different kind of background check. It just has to be provided by the applicant to the Sheriff's Department. So it's for third party laborers or seasonal or temporary workers and the standard is four months or less.
And I don't know what the rest of you feel about this, but to me that if they are interpreting it that pretty much the only option is to get your farm labor from a farm labor contractor. That's not good for workers. That's not how we should be having this. I think what I'm being told by county council is that you don't have to have it, that there's another way.
But I guess what I would be asking is, is that clear enough or do we need an ordinance change to clarify that?
If I might ask, what is the other way and how hard?
Well you could have
a third party
entity that's not a farm labor contractor.
That provides what? Could we give direction to ask them to come back with options for us because I don't understand. So could I incorporate that into my motion?
So you understand how most of...I don't know how they do it in North County but how they do it in Carpinteria is there's a setup Other company is set up that does the labor per the ordinance so that it's a third party, right? But they move them around from site to site. But they're employed year-round because we don't want people to be employed only part of the year, right? We want people to have full time wages, full time benefits and have enough to live in this crazy community. Supervisor
Wood, I'm just curious. You just defined a farm labour contractor. So, and I don't want to disparage farm labor
contractors. Sure. There's good and bad just in every industry. Essentially what the Carpinterians did because they didn't want to do things in a... These are a bunch of old and a few young Dutch farmers who have a history with their workers They want their workers to stick around, they want their workers to get benefits. So what they did is they just set up their own third party entity right? And so I think that should be okay because that way they're employed year round as opposed to seasonal which is more of the practice in going to official farm labor contractors.
I know Mr. Ficker brought up this item today, our staff is well aware of this issue and we have been working with the Sheriff's Office and it affects many operators so it is our intention to work together with the Sheriff's Office to come back with an amendment. We were working on a fall amendment and Going to be incorporated into that. If you would like to provide some direction today, that would be excellent but we this is already on our radar and we're working on it and it is complicated. And so I would if when we come back, we'd like to be able to walk you through and you know what the sheriff's office can be here as well and and we can go through the background check requirement and what it means and how it affects those operators in Carpinteria versus the North County operators and and if that's your if that's your desire
It
is already coming and we will ensure that it comes back to the board because this is a pressing issue. They have been working on it for several months but before you vote on the motion, I just want to clarify a couple of things. Supervisor Hartman, we said that we were planning to return in July with a revised proposal. Is that okay? Okay yes. The second thing was I wanted to address what Supervisor Lavanino said and When we get the report, so the report end of the quarter 30 days after that they're supposed to file their reports and tell us how much revenue.
There should be a way that we should be able to say if they filed zero is that accurate or not right? And then you kind of had a conversation and say yeah Brittany should be able to tell us that but I want to ask Brittany is there anything that you need from the treasurer tax collector in order to provide that information because I just want to make clear Someone is getting the tax reports, right? And then they have to check the database and all that work. And I just want to make sure it's not you doing that. It's their office. So is there any other direction or instruction from the board that you need today to ensure that happens in a timely manner?
Thank you. Thank you, CEO Miyasato. don't believe so. That is already happening and at the very quickly, the treasurer tax collector can look and see in the system that it appears that there are taxable transfers when someone reports zero and follow up on that right away. Now if the operator has backup and information about why you know it looked this way and that way and then you know there needs to be more follow-up that can take more time But the zero transfers, or the zero claim and the taxable transfers that's a pretty simple look up. The under-reporting that takes more time. That's more investigation into pricing and what the operators are reporting but it is happening we are looking at it. We when I say we I mean county staff the Treasurer Tax Collector's Office is looking at that
That I believe and I'll speak on behalf of the board is that when we do the quarterly reports, you report that information. Obviously you can't do it by each grower but you can say in totality of those who have zero which ones is a treasure tax collector further doing investigation or confirming? I think that would be helpful to your board.
6:35 – 6:367 turns
Great, we ready for vote? Okay.
I made the motion. She
made a motion. I don't think anybody seconded yet
but
Bob did okay then let's all those in favor please say aye. Aye. Opposed thank you.
Chair Williams, if you don't mind I have an update on the Orchid retail site. Supervisor Leven, just really quick they resubmitted plan check corrections on May 26 and the building staff is currently reviewing their resubmittal so making its way through the process thank you.
And we will adjourn to this coming Friday not this week but a week from Friday June 16th