HomeMy WebLinkAboutStudy Session Budget Review Workshop and Responses to City C CITY OF HUNTINGTON BEACH
INTERDEPARTMENTAL COMMUNICATION ZZ
Huntington Beach O 2
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TO: Honorable Mayor and City Council Sri �
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VIA: Ray Silver, City Administrator CZ)
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FROM: Clay Martin, Director of Administrative Services "ENO _ �c
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SUBJECT: Response to City Council Budget Questions
DATE: August 27, 2001
At the August 13, 2001 Budget Study Session the City Council asked a variety of
questions regarding the City's budget overall and the various departmental budgets.
The following memorandum responds to your direct and indirect budget questions. If
you have any other questions, comments or would like further follow-up on a question,
please feel free to call me at extension 5236.
Public Comment Questions
1. Explain the City's current efforts to improve the City's sales tax base.
In 1995, the City Council adopted an Economic Development Strategy that has
guided the City for the last six years. In fiscal year 1999/00 the City experienced
a 15% growth in sales tax revenue in large part based on the City Council
strategy. To help answer any questions the Council may have regarding the
Economic Development Department's current emphasis the department's Status
Report (attachment #1) has been updated.
2. What services or programs were cut to pay the debt service of the Central
Park Sports Complex?
No services or programs have been cut to pay the debt service on the Central
Park Sports Complex. The City Council will consider revenue enhancements to
pay debt service and ongoing maintenance of the Sports Complex.
Administrative Services
3. Redefine PowerPoint slides regarding State and Federal Income Tax
include monetary amounts.
The League of California Cities developed a PowerPoint presentation entitled,
"You pay fees and taxes to government but ... How much goes to cities? How
do they spend it? A look at California city finance from the view of the taxpayer."
(attachment #2). This presentation is the basis for the State and Federal Income
08/22/01
project will generate up to $150,000 remainder of the nearly _52-acre site
in additional sales tax revenue from will be developed with commercial
Home Depot. In addition, sales tax and residential uses.
will be generated by new retailers at
the former Home Depot site. * Peninsula Market Place: A new
neighborhood shopping center has
* Expo Design Center: The former been completed at the southwest
Home Depot store at Edinger and corner of Garfield at Goldenwest.
Goldenwest has been remodeled into Developed by PLC Land Company,
an 88,000-sf Expo Design Center. this 9.5-acre site is anchored by
This new concept home Ralph's and Long's Drug Store with
improvement store sells high-end other retail and service providers
.turnkey home remodeling products designed to meet the needs of the
and services. It is anticipated that greater Huntington Seacliff
more than $400,000 annually in sales community.
tax revenue will be generated from
the site. * Auto Dealers: Nissan recently
opened a dealership at the former
* Duke's/Pier Plaza: Duke's Surf City Beach Motors site. Mazda relocated
has been completed on the former from this site to be an added point at
Maxwell's site. Duke's is the Huntington Beach Lincoln/Mercury.
centerpiece of the Pier Plaza project, A Kia dealership is proposed for the
and will serve as a catalyst for other former Ganahl Lumber site.
downtown development. A second
restaurant, Chimayo's on the Beach Ddowntown
owntown Development: Other
opened February 1999, on the sand development projects
in the lower level of the new have an ability to increase retail sales tax
building. and transient occupancy tax through
primarily visitor-serving uses. A number
* Huntington Beach Mall: Majority of projects are moving ahead.
ownership of this 58-acre regional
site changed hands in late 1999, with * Third Block West: Mixed-use
Ezralow Retail Properties becoming project with 40,000-sf of retail/
the new owner. Ezralow plans for a commercial, plus housing, is
new center with an entertainment complete with much of the retail and
and retail focus. office space occupied and tenant
improvements underway for the
* Seacliff Shopping Center: Shea other space. All of the 42 residential
Properties is nearing completion on units have been sold and occupied.
the redevelopment of the Seacliff
Shopping Center into a new * Waterfront Project: The existing
community shopping center of Waterfront Hilton Hotel is the City's
approximately 260,000 sf. The new largest generator of transient
Center is anchored by Albertson's/ occupancy tax. The 519-room Hyatt
Sav-On/Orchard Supply/Staples on Regency Huntington Beach Resort &
approximately 28 acres. The Spa; and Conference Center is now
2
08/22/01
under construction; up to 230 * Air Tech: A supplier of components
residential units will start in 2002, used in the manufacture of composite
and a 300-room third hotel is materials for the aerospace industry
planned as a future phase. opened a 120,000-sf facility housing
125 employees.
* Blocks 104 & 105: A Disposition
and Development Agreement has * Extended Stay America Hotel:
been approved for the redevelopment Completed December 1998, this 104-
of the two-block area bounded by room hotel specializes in the business
Main, Pacific Coast Highway, Sixth and other longer-term traveler with
Street and Walnut. CIM is proposing weekly room rates generally between
a visitor-serving project with retail, $3004419. The City has seen its
restaurants, entertainment and transient occupancy (bed) tax increase
hospitality uses. by over $130,000 annually due to this
newest hotel addition.
* Main/Walnut: The former Standard
Market building has been replaced * Cambro: A manufacturer of
with a new 9,000-sf, two-story, retail institutional food service equipment,
building. Cambro was the first business to
locate in this area. With 50
* 31-Acre Site: Makar Properties owns employees and over 215,000 sf of
this key downtown property. This warehouse in the Business Park,
unique 31-acre parcel fronting on Cambro also has its main
PCH between First and Huntington manufacturing facility on Clay Ave.
streets is well suited for an exciting in Huntington Beach.
regional visitor-serving oriented
project and residential uses. The * Konica: A second largest Japanese
initial concept . plan includes electronics company has completed
restaurants, entertainment, retail, construction at the McDonnell Centre
hospitality and residential on the site. Business Park. Relocated from
Compton, this facility is Konica's
regional headquarters consisting of
approximately 280,000 sf, with 90
McDonnell Center Business Park: employees.
The tenants of the park include the
following: * DIX Metals: A Tustin-based
company built a 101,000-sf building
* Sharp Electronics: Its Western as its new headquarters. With over
Regional Headquarters occupy a new, 125 employees, DIX manufactures
$30 million, 535,000-sf building. specialized metal components for the
aerospace industry.
* Dynamic Cooking System: DCS
manufactures high-end professional * C & D Aerospace: One of the top
ovens and barbecues, and employs five employers in Huntington Beach
over 600 in 2 buildings, which total has recently occupied a 150,000-sf
about 302,000 sf on 14.3 acres of land. building to house its 430 employees.
3
08/22/01
The new facility is a combination of Sares-Regis has recently completed two
office and manufacturing, and will be additional new industrial buildings of
the local headquarters for C & D 152,000 square feet and 81,000 square
Aerospace. feet on the 28-acre site. Quiksilver has
moved its corporate headquarters from
* Skylab Corporate Center: Master Costa Mesa to the new 81,000-sf
Development Corporation (MDC) the building. The 152,000-sf building is
developer of DCS's buildings has divided in two; 76,000 square feet has
built this two-building area within the been leased to Quiksilver and the
McDonnell Centre Business Park. remaining 76,000 square feet has been
The first building, 53,666 sf, is the leased to Creative Teaching Press (CTS)
home of Pacific Shoe Corporation, from Cypress. CTS has added an
and the other 46,000 sf building is additional 8,000-sf of office space to its
occupied by Morgan Metals. building that also serves as its
headquarters.
Sares Regis has also purchased the
remainder off the site, which along
with the former UPS portion, used to
comprise the approximately 45-acre
Weiser Lock manufacturing building.
Tenants in this facility include Gibo-
Kadama, manufacturer of chairs and
indoor skating rinks in 100,000 sf,
Quiksilver, with 100,000 sf for
storage; a 26,000 sf office with BSH
as the main tenant; and a new spec
120,000 sf industrial building, 50% of
which is occupied by Purcell-Murray,
at the corner of Graham and
McFadden.
West County Commerce Center:
The 425,000 sf former UPS
facility is owned by the Sares-Regis
Group, who performed a $3 million
renovation to bring the building up to
modern class A standards. The northern
most portion of 223,000 sf is leased to
Quiksilver for its West Coast
distribution center. The middle portion
of 101,000-sf is leased to Midwest Air
Technologies from Chicago. The
southern most portion of 101,000-sf is
leased to Bond Technologies, which
consolidated their operations and moved
from Anaheim.
4
ATTACHMENT #2
You pay fees and taxes to government
but . . . How much
goes to citnies
. ,
How do they _ >
spend it ? - 109416,00,10
-
An look at California city finance
from the view of the taxpayer
For further information contact:
Michael Coleman
mcoleman@dcn.davis.ca.us
tel:530-758-3952 W
League of California Cities
Property
How much toyour city?goes
County
city 15%
16%
State /
Schools
Special 58%
D i stri cts
11%
SOURCE: Calif State Board of Equalization, «
2 Coleman Advisory Services League of California Cities ' "
City Council Actions
• August 13, 2001 (continued)
• Approved Fee Increases
. Increase General Fund revenue $350,000
• August 20, 2001
• Adopted Sewer Service Charge
. Established new Sewer Fund with $6.3 million in revenue
($5.6 million from sewer service charge)
. Established new Financial Policy directing that $700,000 in
General Fund revenue be transferred to Sewer Fund each
fiscal year
. Transfer $600,000 in General Fund revenue to the Capital
Projects Fund for infrastructure each fiscal year
City Council Study Session -
August 27, 2001 36
Conclusion
• Balanced , two-year budget
• Executes reductions in projects,
programs , and services
• Maintains infrastructure commitment
• Future consideration for alternative
revenue enhancements and
expenditure reductions
City Council Study Session -
August 27, 2001 37
Budget Process
Timeline
City Council Study Session #1 August 13, 2001 v/
City Council Study Session #2 August 27, 2001
Public Hearing September 4, 2001
City Council Study Session #3 September 10, 2001
Public Hearing/Adoption September 17, 2001
City Council amv Session .
August2], 2001 38
HCITY OF HUNTINGTON BEACH
eA E3 INTER-DEPARTMENT COMMUNICATION -
HUNTINGTON BEACH
TO: Honorable Mayor and City Council o a
VIA: Ray Silveraupefintendent,
City Administrator a ;
FROM: Bill Fowle Recreation & Human Services �c�y
DATE: August 24, 2001 -<C�,r.
C13or-�-
r-nSUBJECT: IMPACT TO BUDGET WITH LOSS OF CDBG FUNDING
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Because of the decision to adopt the CPAB revised recommendation for funding to public
service programs rather than the staff recommendation, there are two programs under my
division that will be adversely affected. Those are Project Self-Sufficiency (PS-S) and the
Senior Outreach Program. It is my understanding that the reductions will not be replaced from
the general fund, so this memo will address the impacts of those loss of funds.
In the PS-S Program, the impact to losing monies from the General Fund (approximately
$20,000)would be as follows:
1. Elimination of the Office Specialist/Case Manager who is the recurrent assistant to the
director of the program. This would amount to approximately$15,000. With a 100
parent client base, this would dramatically impact the ability of the director to adequately
service the participants in the program. With a loss of supervision over the single
mothers, they will suffer in the accomplishment of their goals.
2. The other$5,000 would come from operating funds with the impact being the elimination
of funds for training classes, computer supplies, mileage reimbursement, etc.
In the Senior Outreach Program, the impact to losing the money from the General Fund
(approximately$21,000)for the Senior Outreach Program would be as follows:
1. A full time dispatcher for the transportation program would be cut back from working 40
hours per week to 30 hours per week. There would be a reduction in number of seniors
served with trips to doctor appointments, etc. (approximately$10,000).
2. A Social Worker Assistant(1,000 hour position)would be eliminated. This would result
in a reduction of in-home visits to isolated seniors with physical and emotional needs
(approximately$11,000).
If you have any questions concerning the above, please feel free to contact me at
536-5496.
BF:dwb
c: Ron Hagan, Director of Community Services
Susan Edwards, Human Services Coordinator
Betsy Comi, Human Services Coordinator
FROM PHONE NO. P01
M-Uc.l`s'LU
CITY CLERK
CITY OF
HUNTINGTON BEACH, CA
XAVW FAX JULIEN HOUCHEN 1001 AUG 24 P �hi3No. (714) 374-1557
ONTIM OF THE CITY COUNCIL August 24, 2001
204* MAIN STREET
WMINOTON BEACH, CA 92648
Ras CLOSING OF THE HUNTINGTON BEACH BRANCH LIBRARIES
We take a negative position about the closing of the branch
libraries. A few of our reasons for not wanting the Banning
Bramab .closed follow:
*! rs are senior citizens on a fixed income, who use the
inning Library at least once a week.
** It is less than a mile from our home and we are able to
v"k to that location while the drive to the Central
Library is over 10 miles round trip.
** irder Elementary and many Edison High School pupils would
lose their nearby reference source for papers and projects.
** Traffic in and around the Central Library would increase,
as would exhaust emissions.
In camelusion, we feel it is 'penny wise and pound foolish' to
close the Branch Libraries.
Bob Bacon
Lyn Moon
-22-01 01 : 52P Carey 714 378 9066 P .02
Shirley Carey CITY CLERK
CITY OF
Nursing Consultant
Hurl I 1hL) BEACH, CA
Community Health Educator 2001
Auuust 20,2001 AUG 23 A 152
i Mayor Pam Julien-Houchen and
`4embers.Huntington Beach City Council
,r1-_::ntington Beach
im Beach, CA 92648
Dear Mayor and Council Members,
Regarding: HB D.A.R.E. Program
According to the budget proposal the Huntington Beach D.A.R.E.Program is at risk! I understand that the City
Council is facing difficult choices and many challenges in setting budget priorities. However, I respectfully request that you
reconsider and allow the community and parent's time to consider alternative funding sources for this valuable program. If
eliminated,the program will probably not be restored and our Huntington Beach children will suffer the consequences.
Drugs are a reality in this community! Drugs are available to kids of all ages,all socio-economic levels and cultures.
k ds,the cops,the principals and youth leaders!
As a nurse and parent 1 recognized that no program is 100%effective but key findings from the data compiled by the
E:B City School District indicate that D.A.R.E. is effective. The key findings from the California Health Kids 1999 and 2001
surveys and the DARE evaluations reveal:
• The great majority of students believe that frequent use of cigarettes,alcohol and marijuana is harmful.
• percentage of students who have ever used alcohol at least once in their life decreased from 58%to 28%and those who have
ever used cigarettes has decreased by 7%over two years.
D.A.R.E.officers taught them refusal skills and how to say"No"to friends.
Helping youth understand the dangers of drugs and ways to resist peer pressure is critical to their health. Many will
er expose their bodies and brains to the dangers of huffing,smoking, ingestion or injection of drugs and that's great! Others will
b-cause of their adolescent risk taking behaviors or peer pressure! If that initial exposure to drugs can be postponed even two years.
vtars or more because of drug prevention education the outcomes for these youth will be significantly improved. The earlier
' :-:i +_-;,-criment the greater the likelihood of permanent brain changes,addiction and possibly death. The death of a Huntington
middle school youth last year from "huffing" is a tragic example of what can happen in your neighborhood.
The D.A.R.E. program impacted the lives of 13,700 students and their families in 30 public and private schools last
=ear.The four-trained D.A.R.E.officers made visitations contacting nearly 9800 kindergarten through fourth grade students. Officers
engaeed 2200 fifth graders and almost 4000 middle school students in classroom presentations that included factual presentation of
approved curriculum,active dialogue and role playing scenarios. Listening to the student's D.A.R.E.essays indicates that the
program changed attitudes and behaviors.
As a community leader involved in three organizations that are advocates for children, I commit to work with the
City,the HB Police Department,The PRIDE Foundation,and three school districts to look for sources of revenue to
supplement this valuable program.
In conclusion,please remove the D.A.R.E. Program from the budget cut list and fund the$290,000 cost from the
�-:ereral fund or other source of revenue. I respectfully request that the Council provide community leaders a year to identify
. ..,-nue stream to support the D.A.R.E. Program, including grants and private donations. The community was not given time
tl-is year to identify funding sources and complete the application process.
Sincerely,
S!-irley Carey,Nursing Consultant
Nlember of,The PRIDE Foundation
Me;nber of,HB City School District Board of Trustees
:ember of, HB Children's Needs Task Force
21 142 Brookhurst Street, Huntington Beach,CA 92646• Phone: 714-968-7287• Fax: 714-378-9066
Aug-22-01 01 : 52P Carey 714 378 9066 P.01
Facsimile Cover Sheet
H �
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To: Mayor and Members "-
HB City Council
aoor'
� <
m m,
D a '�Q_
Phone: 536-5553 _
Fax: 536-5233 N
N D
From: SHIRLEY CAREY
Company:
Huntington Beach, CA 92646
Phone: 714-968-7287
Fax: 714-378-9066
Date: August 21, 2001
Pages including this
cover page:
Comments:
Dear Cathy,
Please get a cop letter to the Mayor,each City Council Member, the City Manager and Police
Chief. 491tt //mac,. `,�
Thanks, 6/ `
Shirley
City of Huntington Beach
INTER-DEPARTMENT COMMMUNICATION
HUNTINGTON BEACH
TO: RAY SILVER, City Administrator
FROM: CLAY MARTIN, Director of Administrative Services
SUBJECT: ALTERNATIVE EXPENDITURE REDUCTIONS IN THE GENERAL FUND
DATE: August 8, 2001
The following is a list of possible alternative budget reductions for consideration during
the budget process. The list appears in alphabetical order by department, but is not in
any priority order.
Administration — Reduce HBTV3 $ 250,253
Effect Significantly` reduce In-house television productions
Outsource maintenance services
Community Services — Close Nature Center 106,000
Effect Eliminate 200 elementary 'school tours and no
enforcement of park ordinances Maintenance no longer
provided by volunteers.
Community Services — Close Clubhouses 57,000
Effect. Loss of $120,000 'in revenue.' Revenue exceeds the
cost of the program.
Community Services — Reduce Cultural Services Administration 242,886
-
Effect: Allied Arts Board and Historic,Resources Board. Close
v; Newland House Museum. Eliminate "Concerts in the Park "
Reorganize or close Art Center.
Community Services — Reduce Special Events — Pier Plaza 148,062
Effect: Activlty. requests, permitting and coordination would
have to be done within other departments
Community Services — Reduce Specific Events — Other 150,000
Departments.
Effect Activity requests, permitting and coordination.would
have to be done within other departments.
RECEIVED FROM � ' S
AND MADE A PART OF THE RECO T TH�F
Final Alternative Expenditure Memo COUNCIL MEETING OF � D/ 8/8/01 3:25 PM
OFFICE OF THE CITY CLERK �y
�.,�� CONNIE BROCKWAY,CITY CLERK `/ '�
BUDGET ALTERNATIES IN THE GENERAL FUND
Library — Reduce Sunday hours at the Central Library 105,000
Effect: Loss of $33,500 in revenue. Negative patron reaction
due to the popularity of Sunday operating hours
Library — Close Main Street Branch Library 59,000
Overall Effect: Loss of$72,193 in revenue. Elimination of
children's programs, computer.labs,.homework assistance and
reader's advisory services in outlying branch areas will increase
service level demands for the Central Library. The elimination of
four Library Assistants would result in a library staff reorganization
Library — Close Banning Branch Library $ 55,000
Effect.` See above.
Library —Close Helen Murphy Branch Library 61,000
._
Effect: See above.
Library — Close Oakview Branch Library 55,000
Effect:;See above.
Non-Departmental — Provide Supplement Retirement through PERS 2,000,000
"Superfund"
Effect Subject to.negotiation with labor groups ; Will reduce the
longevity of superfund/surplus status with PERS.
Police Department— Reduce Special events Overtime 390,000
Effect Requires special event .sponsor to pay for Police
overtime (e.g. Fourth of July Parade).
Police Department— Reduce Scientific Investigation Lab Staffing 179,297
Effect Firearm analyses will be sent to County DNA Program
will be jeopardized: Toxicology would be outsourcedi.
Total Alternative Reductions. $ 3,858,498
If you have any questions regarding the budget alternatives please feel free to call me at
extension 5236.
cc: William Workman, Assistant City Administrator
Dan T. Villella, Finance Officer
Final Alternative Expenditure Memo -2- 8/8/01 3:25 PM
O�J .
CITY OF HUNTINGTON BEACH
-- Interdepartmental Memo
To: ay illy r ity�Ainjstrator
From: is and arnarector of Communications & J
Special Projects
P
Date: July 23, 2001
Subject: Potential Budget Reducttons Effecting HBTV3 and the Resulting
Impacts
In response to your request for the development of an alternative budget plan for HBTV-3 I have
prepared the following information. Under the proposed FY 2001/03 City Budget Document the
HBTV-3 budget is recommended at an amount of$572,833 for FY 2001/2002 and $535,029 for
FY 2002/2003. You have requested me to prepare a plan that would reduce HBTV-3's budget
by $250,000. If the City Council approves the $250,000 budget reduction it would leave a
HBTV-3 budget of$322,833 for FY2001/2002 and a budget of$275,029 for FY2002/2003. Such
a reduction would represent a 44% decrease in HBTV-3 budget.
Summary of Proposed Reductions to HBTV-3 FY 2001/2003 Budget
To accomplish the requested $250,000 reduction in the HBTV-3 budget the follow action would
be necessary.
PERSONNEL SERVICES $172,448 reduction
OPERATING EXPENSES $ 22,600 reduction
NON-OPERATING EXPENSES $ 35,000 reduction
CAPITAL OUTLAY EXPENSES $ 20,205 reduction
Total $250,253 reductions
Eliminate the $89,000 overhead charges from the HBTV-3 budget. HBTV-3 is the only
general fund supported program that is charged a portion of its overhead costs. The elimination
of this charge has no financial impact on the HBTV-3 budget. Without this charge the HBTV-3
will be treated like all other general fund supported operations of the city and its budget will
reflect its true cost.
Discussion of the Impact of Reducing HBTV-3 FY 2001/2003 Budget by
$250,000
Personnel Services
The following positions in HBTV-3 would be eliminated from the Budget
✓ One (1)Video Engineer/Supervisor- $78,694 reduction
✓ One (1) Information Specialist H- $68,754 reduction
Potential Budget Reducitons Effecting HBTV3 and the Resulting Impacts 7/23/2001Page 2,
✓ Part-time Personnel (e.g. camera operators, audio
technicians,production assistants, lighting technicians, etc.) -
$25,000 reduction
Operating Expenses
The HBTV-3 operating expenses recommended to be eliminated from the HBTV-3 budget if the
$250,00 budget reduction is adopted by the City Council includes:
✓ (Business Unit 63025) Audiovisual supplies — Reduce the amount of tape
stock HBTV-3 purchases for both VHS tape stock and BETA SP broadcast
quality tape stock. A$2,500 reduction.
✓ (Business Unit 63100) Office Supplies — Reduce the purchase of general
office supplies. A$1,500 reduction.
✓ (Business Unit 68550) Training—Money to be expended on staff training. A
$2,000 reduction.
✓ (Business Unit 68620) Conferences — Money that would be expended to
attend conferences in which cable related laws and issues are discussed so staff
can keep current with the changing face of technology. A$1,600 reduction.
✓ (Business Unit 69365) Other Professional Services—These monies are used to
pay for program series such as "The Human Condition, the Constitution, etc. as
well as talent used for various television shows produced by HBTV-3. A $5,000
reduction.
✓ (Business Unit 69450) Other Contract Services — Under this operating
expense account HBTV-3 pays for such items as our Professional music library
usage rights with OGM and Non-Stop, equipment maintenance agreements for
the"Chyron, Avid, and Memex. A$6,000 reduction.
✓ (Business Unit 70200) Equipment Rentals — From time to time HBTV-3 will
rent equipment to support television productions to enhance the entertainment
value of the program. A$4,000 reduction.
Non-Operating Expenses
Non-Operating expenses that are being recommended for reduction include the elimination of
equipment that had been previously budgeted in fiscal year 2000/2001. Actions under this
deduction will entail the cancellation of a lease-purchase agreement and the return of the
equipment to the supplier. The City has not physically received the equipment that is being
recommended for elimination under this category. The leasing company will immediately be
contacted and informed of the potential for the cancellation of the equipment.
✓ (Business Unit 88010) Debt Service Expense—In FY2000/2001 City Council
authorized HBTV-3 to lease purchase a television server. This equipment was
going to be used to begin to move HBTV-3 toward the digital world where tape
stock would not be needed. The amount of the lease purchase is $35,000 per
year for (5) years. Canceling the order would reduce the city's expenses by
approximately $35,000 per year.
Potential Budget Reducitons Effecting HBTV3 and the Resulting Impacts 7/23/2001Page 3
✓ (Business Unit 88205) General Fund Transfers Out) —All funds allocated by
the City Council to HBTV-3 are in fact General Fund dollars. Establishing a
separate Cable Fund is left over from a previous Administration and should be
deleted. The Cable Fund gives the appearance that HBTV-3 is an Enterprise
Fund when in fact it is neither more nor less than General Fund dollars allocated .
by City Council policy and action. The fact that $89,000 is shown as being
transferred back to the City's General Fund is confusing at best and artificially.
increases the HBTV-3. HBTV-3 is not an enterprise fund, but rather a General
Fund Business Unit. This $89,000 is presumably to pay for HBTV-3 overhead
(e.g. Space, lights, support services, etc.). HBTV-3 is the only function in the
city that is funded by the General Fund and is expected to pay a portion of its
overhead cost back to the General Fund. It is recommended that the $89,000
accounting procedure simply be deleted from the HBTV-3 budget so the true cost
of HBTV-3 is reflected by its budget. If this were done, the true FY2001/2003
HBTV-3 budget would be further reduced by the $89,000 to $233,833 for
FY2001/2002 and$186,029 for FY 2002/2003.
Capital Expenditures
The following Capital Expenditures would be deleted from the HBTV-3 budget for both
FY2001/2002 and FY2002/2003.
REDUCTIQNS FOR REDUCTIONS FOR
ITEM DESCRIPTION F/Y 2001/2002 F/Y200212003_
1. ESE— 102 Master Clock $1,545
2. 2 each Sony Field Color $2,712
Monitors
3. 1 each Portable mini jib $6,874
4. 5 each fixed focus scoop $2,750 $2,750
lights for the studio
5. 1 each of Beta cam Eng $7,050
.Support System
6. 5 each color monitors $4,288
7. Lighting Kit $1,860
8. Sony 3-Chip $24,410
Studio/remote truck camera
package(lease)
Total Reduction $20,205 $34,034
Figure 1 —Summary of Proposed Capital Expenditure reductions for FY 2001/2003
Potential Budget Reducitons Effecting HBTV3 and the Resulting Impacts 7/23/200 1 Page 4'
What do the Reductions Mean for HBTV-3?
1)-Television Productions that would Continue with remaining HBTV-3 Budget
A $250,000 reduction of the HBTV-3 budget will significantly reduce the television stations
ability to produce in-house television productions. However, the following programs would
continue to be produced by HBTV-3 with the funds that remain. Other than the full time staff
needed to oversee productions much of HBTV-3 ability to produce television programs is driven
by the amount of funds available for part-time support. As indicated above the budget reduction
proposal is to reduce the part-time staff by $25,000, leaving $20,000 to pay for Part-Time staff.
Programs that are recommended for continued production by HBTV-3 include:
✓ City Council Meetings
✓ Planning Commission Meetings
✓ Goldenwave—one show per month(as long as sponsorship continues)
✓ HDTV Community Bulletin Board
✓ Inside City Hall — Produce one show every other month and review the
possibility of producing one show per month depending upon part-time
staff availability.
✓ HB Report (only if staffing levels would allow. Would need to discuss
with remaining staff. May not be possible given limited staff)
✓ Cable casting information during community emergencies and
documenting the emergency (e.g. rain storms, floods, earthquakes,
rolling electrical blackouts,road closures, etc.)
✓ 2002 Candidate Statements
✓ 2002 League of Women Voter Candidate for City Council Forum
✓ 2002 Election night coverage on HBTV-3
✓ Special Events—Produce only Special Events in which the full cost of the
event would be bome by the sponsor. The event would need to be co-
sponsored by the City of Huntington Beach. Sponsorship dollars
would need to be paid up front and placed into a separate account. This will
allow HBTV-3 time and materials to be charged against that account.
✓ Provide support to Police Department Training Classes
Potential Budget Reducitons Effecting HBTV3 and the Resulting Impacts 7/23/2001Page 5
Figure 2.—Estimated Allocation of FY 2001/2003 HBTV-3 Part-Time hours based upon a
budgeted amount of$20,000 @ $11.00 per hour.
Description of Program Number of Programs Allocation of Available Part-
Produced Time Hours
1. City Council Meetings 26 meetings 390 hours per year
2. Planning Commission Meetings 24 meetings 144 hours per year
3. Goldenwave Program 12 programs 96 hours per year
4. Election 2002—Candidates 20 tapings 20 hours per year
Statements
5. Election 2002.—League of 1 program 8 hours per year
Women Voters Candidates Forum
6. 2002 Election Night Coverage 1 program 72 hours per year
Description of Program Number of Programs Allocation of Available Part-
Produced Time Hours
7. Inside City Hall 12 programs 180 hours per year
8. HB Report 12 programs 474 hours per year
9. Police Training 4 programs 10 hours per year
10. HTV-3 Scheduling/Library '/z day Twice per Week 416 hours per year
11. Cable Cast Emergency Unknown Unknown
Information
12. Special Events Unknown Unknown at this time.
However,number of hours
available subject amount of
sponsorship dollars
Total Part-Time 1818 hours per year
Hours
2)—Television productions recommended to be discontinued until additional
funds become available
To try and put the requested $250,000 reduction in perspective the following television
productions are being recommended for discontinuance by HDTV-3. Additional dollars would
be needed in order for these programs to be produced and air on HBTV-3. These dollars could
come from additional appropriations by the City Council, or community sponsors of HBTV-3. It
is recommended that the following programs not be produced by HBTV-3 unless additional
funds become available:
✓ Your City,Your Issues
✓ The Mayors Report
✓ July 4 Parade
✓ Public Works Open House
✓ Point/Counter Point(New show)
✓ Electronic Soapbox
✓ Rebroadcast of KOCE-TV Real Orange Programs
Potential Budget Reducitons Effecting HBTV3 and the Resulting Impacts 7/23/2001Page 6
✓ CERT Graduations
✓ Made in Huntington Beach(New show)
✓ Youth in Government Day
✓ Trivia Challenge
✓ Pier Plaza Concerts
✓ Youth Sporting Events
✓ Special programs requested by City Departments (Building Better
Beaches, CPR Fire Med Program, etc.)
✓ Police Appreciation Day
✓ Fire fest
✓ Every 15 minutes
✓ Library Concerts
✓ Project Self-Sufficiency Annual Awards Program
✓ Economic Outlook Conference
✓ HB Chamber of Commerce Public Safety Awards Luncheon
✓ Holiday Musical Programs
3)-Maintaining HBTV-3Is Equipment
HBTV-3 has been fortunate to have a full time engineer to maintain the several millions of
dollars worth of television equipment that the city has invested in over the years. Without this
key position it will be necessary to contract for maintenance services. The cost for such service
is not known at this time. It is anticipated that over time, an outside contractor will cost a great
deal more, not only in terms of dollars but also in terms of response time. As the HBTV-3
equipment ages and becomes obsolete, maintenance costs will rise. After the $250,000 reduction
there will continue to be $30,000 per year set aside for maintenance for the HBTV-3 equipment
for FY 2001/2003.
Impact on HBTV-3 Permanent Classifications & Bumping Rights
The two permanent employees who are currently in the positions being recommended for
elimination under this proposed budget are represented by the Municipal Employee Association
(MEA) and may have the ability to bump from the eliminated positions into other city positions
that are also represented by the MEA within the city's classification system. Newer city
employees may currently occupy positions with lesser seniority. I expect the Administrative
Services Department to examine all vacant positions to determine if the two incumbents could
qualify to hold any vacant positions or under existing bumping right rules are eligible to move
into positions held by other city employees with less seniority. Because the two employee are
long term employees and have contributed a great deal to the city over the years, I also expect
the city's Personnel Division to develop and implement a professional and fair plan that treats
these employees with the respect and dignity they deserve and does everything within its powers
to retain them within the workforce. I will make myself available to work with Administrative
Potential Budget Reducitons Effecting H13TV3 and the Resulting Impacts 7/23/2001Page 7
Services and the Personnel Division to ensure that these employees are provided every
opportunity to continue their employment with the City, if they so desire, and if the opportunity
presents itself.
Conclusion
Obviously, reducing HBTV-3's budget by $250,000 is a significant amount, representing a 44%
reduction. Given the budgetary predicament the City finds itself it is understandable that you
and the City Council are faced with many difficult budget decisions. However, H13TV-3 does
provide a valuable service to local residents and provides them an opportunity to better
understand their city government. A $250,000 reduction in the HBTV-3 budget would truly
represent a significant loss to the community.
CC: Bill Workman, Assistant City Administrator
Clay Martin,Director of Administrative Services
CITY OF HUNTINGTON BEACH
Lea" INTER-DEPARTMENT COMMUNICATION
HUNTINCTON BEACH
To Clay Martin, Director, Administrative Services
From Ron Hagan; Director, Community Services
Date August 8, 2001
Subject Alternative Budget Cuts (Revised) . ..
Following are my comments concerning alternative budget cuts:
1. Close Nature Center - This would require the layoff of one full-time park
ranger and four recurrents. Volunteers who are supervised by the rangers
currently maintain the 25-acre Shipley Nature Center. If the rangers were
eliminated, the cost to maintain the center would fall on Public Works. If the
center were actually closed to the public, gated and locked,'.over 200 ele-
mentary school tours per year would be affected. In addition, the rangers
enforce park ordinances, rent the picnic shelter, handle special use permits
for the park and amphitheater, and enforce parking. They-also respond to
mistreatment of wildlife, restroom and lake problems, etc. Elimination of the
rangers at the Nature Center would certainly increase vandalism and affect
public safety in Central Park.
2. Close Clubhouses - While the total cost of clubhouses is $57,002, the rentals
take in $120,000 yearly. If the program were eliminated, there wouldn't be
a saving of $57,002, but a loss of $63,000 to the General Fund. I would rec-
ommend this be eliminated from the list.
3. Reduce Cultural Services Administration - This would impact two full-time
and six recurrent employees. Without this oversight, we would have to
transfer or disband the Allied Arts Board and Historic Resources Board; cutoff
liaison and assistance to the Newland House Historical Society; close the
Newland House Museum; cutoff liaison and assistance to the Community
Concert Band; eliminate the concerts in the park program;'transfer or elimi-
nate film permitting;and, close and/or reorganize the Huntington Beach Art
Center as administration of the.center is performed by the .Cultural Services
Administration staff.
4. Reduce Special Events-Pier Plaza - While the program costs $148,002, the
Income from sponsorships and permit fees amounts to $150000 yearly. If
we eliminated the Special Events Operation, these costs would be transferred
to Marine Safety or the Police Department to handle the activity requests,
permitting, coordination, etc. In addition to not saving money by cutting this
program, we would, in essence, be increasing costs to other departments.
Again, I would recommend this not be on the list.
5. Specific Events — Other Deuartments - There' would be no reduction savings
in the General Fund as this account is used. to collect fees from promoters to
then pay the assigned costs for events by Police, Fire, Public Works, Building,
Planning, and Community Services. All expenses in this account are offset by.
direct revenue charged to event operators.---.-Without this account, the de-
partments would have to absorb the cost of events or the city would have to
prohibit use of beaches and parks for events;
RH:cr
cc: Ray Silver; William Workman
Cit� of Huntington Beach
• library • administration •
To: Clay Martin,Administrative Services Director
From: Ron Hayden,Library Services Director
Date: 8/7/01
Subject: FY01-03 Library General Fund Budget Reductions-Alternates
I. Eliminate Sunday Operating Hours
Budget Lost Revised FTE Reductions Classifications Reduced
Program Amount Revenue Reductions Perm Pt. time Perm. Part time
Sunday Budget $105,000 $105,000 0 8.00 0 Librarians,Cirks.
Fines ($8,500) Pages, Maint.
Media ($17,500)
Nonresid. cards ($7,500)
Lost Revenue 33 500
Total Revised Sunday Reductions $71,500
Impacts
• Because Sunday operation is popular with patrons, there could be negative public reaction.
II. Close Library Branches
Budget *Lost Revised FTE Reductions Classifications Reduced
Program Amount Revenue Reductions Perm Pt. time Perm. Part time
Banning $55,000 ($3,600) $51,400 1 0.25 Library Asst. Libr. Asst.
Helen Murphy $61,000 ($5,200) $55,800 1 0.25 Library Asst. Libr. Asst.
Main St. $59,000 ($18,818) $40,182 1 0.25 Library Asst. Libr. Asst.
Oak View $55,000 44 575 10 425 1 0.25 Library Asst. Libr. Asst.
Total $230,000 ($72,193) $157,807 4 1
Total Revised Branch Reductions $157,807 - 4 Perm. Library Assistants / 1 Part time
'Lost revenue from fines, fees, donations, grants and space rentals
Impacts to residents in the branch areas
• Eliminate 144,713 annual book circulation -16,800 story time attendance - 9,750 volunteer hrs.
• Eliminate 29,690 readers advisories— 9,700 children attendance for homework assistance
• Eliminate four Library Assistants resulting in staff reorganization and "bumping" logistics
• Negative citizen reaction
• Increase demand for Central Library Services
Fyl Ureductions3
WoHUNr[NGTON BEACH PUBLIC LIBRARY S Y S T E M
r s
CITY OF HUNTINGTON BEACH
INTER-DEPARTMENT COMMUNICATION
HUNTINGTON BEACH
TO: E. MCERLAIN, CAPTAIN
Investigation Division
FROM: E. SCHWECKE, CHIEF CRIMINALI
Scientific Investigation Unit
DATE: July 12, 2001
SUBJECT., PERSONNEL REDUCTION
A request was made for a possible planned reduction in Scientific In vestigation Unit
personnel. The reduced amount was set at$160,000. Below are listed the proposed
reductions with effects
Eliminate the following listed positions:
Compensation Including Benefits
,Supervising Criminalist $106,239.00
•Criminalist(part time temporary) $29,580.00*
•Latent Fingerprint Specialist
(permanent part time) $43,478.00
$179,297.00
In general, the scenario will result in reductions of service by our laboratory. First,
the reduction of Supervising Criminalist J. Thompson (21 year employee) will result in
him bumping back to the senior criminalist level. That bump will result in Senior
Criminalist R. Flores being laid off alter 10 years of service. Additionally, prior to the
lay off of Flores, S. Nakama who is in a temporary criminalist position will be laid off
according to the Personnel Rules Nakama has been with the City for 16 years
Page 2
Personnel Reduction
These changes and reductions will delete toxicology and firearms services Also,
these changes will have some effect on our quality assurance program which is the
responsibility of the supervising criminalist. With this move, our DNA program would
also be in jeopardy since Thompson is to be the "Technical Lead"in the program, but
the changes would necessitate his use to analyze solid dose drugs(narcotics) which is
another function of Flores
The loss of Flores will result in the following firearms analyses being sent to the
county lab.
-Firearms bullet and cartridge case comparisons
-Function testing of weapons
Searches of bullets and cartridge
cases through the automated database
Projectile identification indIcating a possible weapon
Shooting distance and trajectory analyses
Identification of assault weapons
Serial number restoration
Nakama's responsibility has been the screening and confirmation of drugs in blood
and urine samples for DUI s and crimes of violence where drugs are suspected as a
contributing factor. These samples could be sent to the county's crime laboratory or
outsourced to a private laboratory for analysis Either way, the results would not be
as forthcoming as with our own service resulting in problems with the needs of these
results in an expedient manner for court
A secondary effect of these changes would be the need to transfer items of evidence
to the county sheriff's laboratory. With the reduction of personnel in the Scientific
Investigation Unit, this function would fall to the Property Unit. This change would
necessitate the addition of personnel to that Unit to fulfill this function.
Obviously, with these moves we would be seriously reducing our resources for
emergency call-outs on major crime scenes With this possibility,'we may have to
resort to the use of county laboratory personnel for this function.
It should be noted that there are hidden losses Those losses are the years of
invested training that we have paid as well as the expertise that will be gone.
Page 3
Personnel Reduction
In this scenario, we would also eliminate the services of permanent part time Latent
Fingerprint Specialist K. Klemens This change would reduce the Identification Section
from 2 % to 2 employees In doing this, we would develop backlogs in the
Identification Section. Depending on the length of time that would occur for this
casework, cuts in service would have to be entertained. Reductions in service in this
area may mean searching cases through the automated databases only by request.
Another step could be the reduction of work by crime type. An example may be that
no work would be done on attempted stolen or recovered vehicle cases
On July 5, 2001, I contacted the Orange County Sheriffs Laboratory Director Frank
Fitzpatrick to discuss the situation and their possible future involvement. He stated
that they would absorb our casework, but that it would wait in line with-all other
casework they receive. He also stated that we could receive special priority status for
our casework by paying for an "Enhanced Service Plan"which would allow them to
hire additional personnel to increase service for us
In summary, these proposed reductions will result in the loss of the following services.-
-firearms bullet and cartridge case comparison
-function testing of weapons
searches for bullets and cartridge cases through the automated database
projectile identification indicating a possible weapon
shooting distance and trajectory analyses
-identification of assault weapons
serial number restoration
-toxicology(drugs in blood and urine)
DNA (indeterminable effect with change/loss of the technical lead person)
-lessened response to crime scenes from criminalists and latent fingerprint
specialists
-reduction in latent fingerprint cases searched automatically through the state
wide databases
indeterminable effect on quality assurance program
-reduction in service on latent fingerprint cases
*Includes$2400.00 for on call subpeonas
City of Huntington Beach
CHILDREN'S NEEDS TASK FORCE
August 27, 2001
AN A
OF
ORNOF
Mayor Pam Julien Houchen WM WCOWAY,Crry aM
Members of the City Council —
City of Huntington Beach
2000 Main Street
Huntington Beach, CA 92648
Dear Mayor and Members of the City Council,
The members of the Children's Needs Task Force unanimously agree that the
Huntington Beach DJLR.E Program is a valuable program that last year impacted
the lives of 13,700 children and their families in thirty public and private schools.
The Children's Needs Task Force recognizes that most Council members do not
need to be convinced of the value of the D.A.R.E Program. However it is important
to emphasize that it has a positive impact on thousands of children and their families.
Elimination of the program will leave a large void in the anti-drug and anti-violence
preventive effort that has played an important role in making HB one of the safest
cities in the nation and making us a "Kid Friendly City".
In the Declaration of Policy About Children and Young Adults signed on April 16,
2001, the Council unanimously voted to ensure the youth of Huntington Beach
access to anti-drug and anti-violence education programs. In an effort to honor that
commitment the Children's Needs Task Force respectfully requests that that Council
extend the D.A.R.E. program for nine months to allow members of the community
to form a new task force and consider options for delivering anti-drug anti-violence
programs to HB children. The request for funding outside of the HBPD budget
acknowledges that public safety is the cities prime responsibility.
The new task force is intended tobe broad based and focused on collaborative
effort and shared responsibilities. The participants will include administrators,
principals, and parent leaders from K-12 public and private schools. Student
representatives from Club live and Five Alive will be contacted. Representatives from
the Huntington Beach Police Department, HB Community Service Department,
Children's Needs Task Force, The PRIDE Foundation, Project PATH, HB CASA,
interested members of the HB Collaborative, MADD, community and corporate leaders
Community Services Department•2000 Main Street,Huntington Beach,CA 92647•(714)536-5486 /�/
/�/
will also be contacted. The meeting notice is being prepared, with the first meeting
scheduled for September 1011, recognizing that interest and participation will increase
after school gets started.
The focus of the task force during the 9-month extension of D.AILE. will include:
1. Assessment of anti-drug and anti-violence programs currently in place including
D.A.R.E curriculum developed by D.A.R.E America.
2. Analysis of options, including continuing programs as currently presented or
restructuring the format. Right-sizing the program to the need and current
circumstances is important.
3. Develop collaborative relationships with individuals and organizations and who
have vested interest in anti-drug and anti-violence prevention programs.
4. Identify options for funding including grants, corporate sponsors, and
partnerships.
S. Develop and implement an action plan and create appropriate organizational
structure to ensure positive outcomes.
Thank you for your thoughtful consideration of the CNTF's request to fund the
D.A.R.E. Program for an additional nine months. We recognize the challenges you
are facing as you establish your budget priorities but feel that the community
should be provided the opportunity to evaluate the overall program and secure
alternative funding sources if possible.
Sincerely,
Shirley C ey, Ch ' person
Children's Needs Task Force
c: Ray Silver, City Administrator
Ron Hagan, Director of Community Services
Ron Lowenberg, Police Chief
Children's Needs Task Force Members
Bill Fowler, Staff Liaison
Community Services Department•2000 Main Street,Huntington Beach,CA 92647•(714) 536-5486
s R
�� CITY OF HUNTINGTON BEACH
�, INTER-DEPARTMENT COMMUNICATION
HUNTINCTON BEACH
T_
IV C
C
C
TO: RAY SILVER -i
City Administrator
.:.-... ISTF�
l V D `Z-�7
FROM: RONALD E. LOWENBERG
Chief of Police N'
W
Cr D
SUBJECT: COST DIFFERENTIAL FOR PERSONNEL REASSIGNMENTS
DATE: June 26, 2001
In an effort to reduce the Police Department's budget during FY01/02 and
FY02/03, a number of reassignments were made. Fourteen officers and one
sergeant position within various specialty assignments in the police department
were reallocated. These positions were from the following assignments:
• Two officers from the Regional Narcotics Suppression Task Force
• One officer from the Orange County Clandestine Lab Task Force
• Three officers and one sergeant from the Directed Enforcement Team
Four officers from the D.A.R.E Unit
• Four officers from the Traffic Bureau
These changes were implemented earlier this month in order to reduce the
overtime needs during our summer deployment period. The reassignment of the
Sergeant and fourteen Police Officers to the Patrol Bureau will significantly
reduce the overtime needs during the summer, due to the deployment of the
Summer Beach/Downtown Foot Detail and the replacement requirements for
vacations.
If the reassigned officers were returned to their original assignments, a net
increase in overtime costs would be probable in each of their units. With the
officers in their previous assignments, work product on specialized tasks would
increase, thereby increasing costs for court appearances, case follow-up
investigations, and other related issues. Additionally, these officers would not be
available to increase the staffing in patrol thus, requiring the use of overtime
NICE- ldv
funds to replace the Summer Beach/Downtown Foot Detail and vacancies
created by vacations, sicktime, etc.
POSITION Overtime Overtime Total
Cost Reduction
(12 months) (15 months)
Regional Narcotics Task Force $34,968 $102,530 $137,498
(2 officers)
OC Clandestine Lab Task Force $17,484 $51,265 $68,749
(1 officer)
Directed Enforcement Task Force $20,000 $222,773 $242,773
(3 officers, 1 Sergeant)
DARE $18,920 $205,060 $223,980
(4 officers)
Traffic Bureau $40,972 $205,060 $246,032
(4 officers)
Total $132,344 $786,688 $919,032
The reassignment of 14 Officers and 1 Sergeant will offset overtime in the
current fiscal year and subsequent fiscal years. The reassignment will allow for
supplemental staffing in patrol. Previously, patrol has been staffed at minimum
levels. Supplemental staffing in patrol will create a net reduction in overtime for
several reasons, they are;
Fill in for vacations
Fill in for sick call-ins
Fill in for vacancies
Decrease in after shift overtime due to the decrease in the number of
reports/calls per officer.
Decrease in mandatory holdover from previous shifts due to major incident(s)
Additional personnel to address specific issues/special details
These costs do not reflect the salary changes per the new POA —MOU. The
current fiscal year's cost increase by 10% and the costs in 2001/2002 total would
be increased by approximately 14%.
REL/jwa
xc: Clay Martin
L
CITY OF HUNTINGTON BEACH
Q
9
HUN?WGiOYBEaCN INTER-DEPARTMENT COMMUNICATION
TO: Ray Silver, City Administrator
FROM: E. McErlain, Captain, Investigation Division Commander �' � o
Acting Chief of Police c
DATE: August 24, 2001
SUBJECT: Requirements for Teaching D.A.R.E. D n aNy
• o =
The D.A.R.E. program is overseen by D.A.R.E. America, a non-profit corporation4hat(Bnsures
standards in curriculum and officer training. They are also responsible for keeping the
curriculum up to date based on published scientific research. In order to maintain high
standards, D.A.R.E. America has developed and implemented national policies. These policies
cover jurisdiction of regional training centers and other administrative issues as well as D.A.R.E.
officer selection standards and standards for conduct by D.A.R.E. officers. Agencies that utilize
their officers to teach the D.A.R.E. curriculum are obligated to adhere to all D.A.R.E. policies.
According to D.A.R.E. policy 90-03, the minimum standards for selection as a D.A.R.E. officer
are as follows:
"A D.A.R.E. officer must be a full time, uniformed police officer, meeting the.
minimum training standards for peace officer status in their state of residence,
and who has completed a minimum of two years as an officer with full police
powers. Additionally, the D.A.R.E. officer candidate's police agency shall have a
memorandum of understanding with their school district(s) to teach D.A.R.E. after
completion of the candidate's training."
Sergeant Janet Perez has spoken directly with L.A.P.D. Sergeant Palmer at the D.A.R.E.
Western Regional Training Center regarding this issue. Sergeant Palmer stated that exceptions
to the above policy are granted on a case by case basis and must be submitted in writing to the
regional D.A.R.E. office. He said that a few law enforcement agencies have applied for a waiver
and have been granted the ability to utilize retired officers as D.A.R.E. instructors, both on a
part-time and full time basis.
The requirements for being granted a waiver to utilize retired officers is subjective; and,
according to D.A.R.E. policy, "[D.A.R.E.] will grant waivers only when special or unusual
circumstances warrant deviation from the D.A:R.E. Regional Training Center Advisory Board
Policy and Procedures Manual". D.A.R.E. is also concerned with how long an officer has been
retired, and what type of commitment they will be willing to make to the program. In all cases,
prospective D.A.R.E. officers must always complete the two week D.A.R.E. Officer Training
course before they can teach the D.A.R.E. curriculum. Sergeant Palmer also stated that to his
knowledge, reserve officers have never been granted waivers to teach D.A.R.E., and under no
circumstances will non-sworn personnel be given waivers.
�COON
C
Tax slides that were presented at the Budget Study Session on Monday, August
13, 2001.
Based on the League's presentation the following determinations can be made.
The State of California is estimating $44.8 billion in personal income tax revenue
in Fiscal Year 01/02. California cities will receive approximately 3% ($1.34
billion) of the State's personal income tax revenue according the League. To
maintain the Vehicle License Fee backfill the State must designate $1.2 billion to
meet its promise. Therefore all that is left for California's 476 cities is $140
million. The City is estimating total revenues from the State of California, not
including Vehicle License Fees, of $5 million for all funds. This revenue may or
may not be attributable to State Personal Income Tax.
The City is expecting $10 million in Vehicle License Fee revenue from the State
of California in Fiscal Year 01/02. Starting July 1, 2001 the Vehicle License Fee
was reduced an additional 32.5% for a total reduction of 67.5%, the State's
backfill has been increased equally. In Fiscal Year 01/02 the State will be
backfilling the City $6.8 million. Neither the California Construction, nor any
legislation currently in the State Legislator protects or requires the Vehicle
License Fee backfill.
The Federal Government is expecting $1,079 billion in personal income tax
revenue in Fiscal Year 01/02. All cities in the United States will receive less than
3% ($32 billion) of the Federal Government's personal income tax revenue. That
means that $32 billion is to be divided between the nation's 18,000 cities. The
City is estimating total revenues from the Federal Government at $2.8 million for
all funds. This revenue may or may not be attributable to Federal Personal
Income Tax.
4. Convert income tax paid per household to income tax paid per resident
The City of Huntington Beach contracts with Claritas' to provide detailed
demographic information to the City. Claritas estimates that the City's 2001 per
capita income to be $35,303 per year. The Federal Income Tax chart shows that
a person with an annual income of $35,303 would pay $5,690.31 in federal
income tax or $474.19 per month. That same person would pay $1,315.56 in
California State Income Tax or $109.88 per month. These are straight and simple
formulas based solely on current Federal and State income tax tables, with no
deductions or write-offs.
Therefore the per capita federal and state income tax paid by a Huntington
Beach resident is $7,005.87 per year or $583.82 per month.
' Claritas is a marketing information resources company dedicated to helping companies engaged in
consumer and business-to-business marketing.
2
5. Define the change of full and part-time personnel reductions in the budget.
In fiscal year 01/02 the City is eliminating 9 positions form the Budget the
eliminations are occurring in the following departments: Fire Department
elimination of one Administrative Secretary, one Fire Prevention Specialist, three
Fire Engineers; Planning Department elimination of one Assistant Planner
position; and Police Department elimination of one Senior Crime Analyst, one
Crime Analyst and one Office Assistant II positions.
6. Show department percentages of restricted and nonrestricted funds.
Unrestricted Funds Restricted Funds
Department (General Fund) (Other Funds)
Administration 78% 22%
Administrative Services 22% 78%
Building and Safety 72% 28%
City Attorney 75% 25%
City Clerk 100% 0%
City Council 100% 0%
City Treasurer 94% 6%
Community Services 64% 36%
Economic Development 9% 91%
Fire/Information Systems 74% 26%
Library Services 78% 22%
Nondepartmental 40% 60%
Planning 94% 6%
Police 92% 8%
Public Works 23% 77%
TOTAL 48% 52%
7. Review what the City's flexibility is regarding Franchise Fees.
The City collects utility franchises in six areas: natural gas, electricity, cable
television, transfer station, refuses, and pipeline. The Cable Television franchise
agreement will be renegotiated in 2005. The Gas Company's franchise
agreement with the City will be renegotiate in 2007. All other franchise
agreement are either permanent or are long term agreements.
8. List other cities with 501(c)3 foundations (e.g. La Palma's Community
Foundation).
Staff contacted the City of La Palma regarding their community foundation and
questioned what other cities have them. La Palma staff provided the following
list of cities with community foundations: Costa Mesa, Irvine, Cypress,
Long Beach, Santa Monica, Corona, and Coronado. All of these foundations
have to do with community services activities.
3
9. Explain current subsidy to the Huntington Beach Convention and Visitors
Bureau.
The City of Huntington Beach will provide an allocation to the Huntington Beach
Convention and Visitors Bureau (HBCVB) in the amount of $200,000 in FY
2001/2002 and FY 2002/2003. The City's subsidy to the HBCVB amounts to
two-thirds of its total budget of$300,000 (attachment#3).
Community Services
10. Define the following statement . for slide 71 of the PowerPoint
Presentation, "Streamlined the process for encouraging community
groups to support City activities."
The Community Services Department is currently overseeing a nexus study
regarding Quimby Act funding and other possible impact fees to offset costs of
park, recreation, cultural, and human services activities. One of the possible
recommendations will be the formation of a 501(c)3 community foundation to
support Community Services programs.
11. How much revenue would be generated by allowing overnight camping at
Percy Park?
To determine revenue potential at Percy Park a variety of studies would have to
be completed including entitlement and design processes. If Council were
desirous of the concept Community Services staff would under go the studies
and return with a cost and revenue analysis.
12. Add alternative revenue regarding Central Park Sport Complex to revenue
enhancement memorandum.
The Community Services Department has prepared a memorandum
(attachment #4) regarding revenue enhancement opportunities for the Sports
Complex. The memorandum states that initiating commercial recreation
concessions will generate $200,000 to $500,000, initiating a parking fee will
generate $200,000, and initiating naming rights will generate $100,000 to
$150,000. The total additional revenue, if all three enhancements were
initiated, will be $500,000 to $850,000.
Public Works
13. How much savings is there by moving to bi-weekly mowing of parks and
reduced tree trimming?
The Public Works Department has prepared a memorandum (attachment #5)
regarding service reductions. The memorandum states that by eliminating all
contract services (reducing service levels) in park and tree maintenance the
4
City would save $550,000 annually. This represents a significant impact to the
quality of service.
Library Services
14. Review saving from alternative library closures, besides closing Central
Library on Sundays.
Closing the Central Library on Sundays would save the City $71,500 annually,
but the Sunday closures would create a lot of negative public relations as
Sundays are a very popular day to visit the Central Library. Per Council's
request to look at alternative closures to Sunday closures the Library Services
Department prepared a memorandum (attachment#6) regarding alternatives to
Sunday closures.
Alternative A Summary
Reduce Thursday evening hours, as Thursday evenings are the least busy
evening of the week. Thursday evening closures would save the City $73,200
annually. Impact of Thursday evening closures are: reduced service levels
(37,650 visitors to the library on Thursday evenings); loss of General Fund
revenue; deferred maintenance; and meet and confer issues.
Alternative B Summary
Eliminate 2 Full Time positions and reduce book budget. Alternative B results
in a savings to the City of $73,500 annually. Impact of Alternative B would be:
reduced service levels; dated book stock; loss of General Fund revenue; and
meet and confer issues.
15. Better explain effect of closing branch libraries on City revenue.
If the City closed the branch libraries the General Fund would loss $72,200 in
General Fund revenue. The total operating costs of the branch libraries is
$229,800. The total General Fund savings for closing the branch libraries is
$157,600. The impact of closing branch libraries would be far reaching,
including: greatly reduced service level; a loss of access to 144,700 books; a
loss of 29,700 hours of volunteerism; very negative public relations; increased
demand for Central Library services; and meet and confer issues.
Attachments
cc: Department Heads
Dan Villella, Finance Officer
John Roulette, Senior Budget Analyst
Jim Lewis, Senior Budget Analyst
William McReynolds, Senior Administrative Analyst
5
(6) August 27, 2001 - Council/Agency Agenda - Page 6 I N
C. (City Council) Study Session Budget Review Workshop and Discussion of
Responses to City Council Budget Questions for Fiscal Years 2001 to 2003
Proposed Budget (320.20)
Communication from the Director of Administrative Services dated August 27, 2001 and
titled Response to City Council Budget Questions and a PowerPoint presentation titled G)IA
Proposed Budget 2001103 Fiscal are included in the agenda packet. PnDh
Attachments included with the Communication are:
1. Communication from the Economic Development Department titled Huntington
Beach Economic Development Status Report.
2. PowerPoint presentation titled You.Pay Fees and Taxes to Government but. . .
How Much Goes to Cities? How Do They Spend It?
3. Communication from the Economic Development Director dated June 27, 2001,
Subject: Conference and Visitors Bureau Budget Request: 200112002.
4. Communication from the Community Services Director dated August 9, 2001,
Subject: Alternative Revenue Options for Huntington Central Park Sports
Complex.
5. Communication from the Public Works Director dated August 9, 2001, Subject:
Service Reductions.
6. Communication from the Library Services Director dated August 20, 2001,
Subject: City Council Budget Questions FY01102:Library Services Questions 12
& 13.
"*Communication from Shirley Carey, Huntington Beach Community Clinic, dated
August 20, 2001 in support of the DARE Program is included in the agenda packet.
"Communication from Mr. and Mrs. Bob Bacon, dated August 24, 2001 in opposition to
the proposed closure of the library branches is included in the agenda packet.
(1) Straw vote Motion to charge full market value rental fee for
all users of space at the library[FAILED 2-5 (Green,
Boardman, Julien Houchen, Garofalo, Dettloff No)]
(2) Straw vote - Motion that Council consider not changing
"Dwight's" beach concession to a restaurant on the beach
[FAILED 3-4 (Julien Houchen, Garofalo, Dettloff, Bauer No)]
(3) Straw vote - Motion to reduce City Council expense
allowance account for total of$14,406.40[FAILED 2-5 (Green,
Julien Houchen, Garofalo, Dettloff, Bauer)]
(4) Straw vote - Motion to add Visitors & Convention Bureau to
list of Alternative Budget Reductions [Approved 4-3 (Green,
Julien Houchen, Dettloff No)]
(Continued on Next Page)
(7) August 27, 2001 - Council/Agency Agenda - Page 7
(5) Council requested City Administrator to return with
information on types of Visitors & Convention Bureaus and
types of bed tax charges and allocations in effect in other
cities.
(6) Straw vote - Motion to direct staff to come back with
Proposal for D.A.R.E. Program equal to revenue proposal by
Police Department defined at $135,000 for the first year
contingent upon staff finding other revenue enhancements
[Approved 7-0]
(7) Straw vote - Motion to approve Fire Department's revenue
enhancements as proposed and to return to Council with
proposal on how to direct the revenue[Approved 6-1
(Garofalo No)]
(8) Straw vote - Motion to institute fees recommended by the
Community Services Department with exceptions including
youth sports complex, Percy Park, and Dwight's Concession
[FAILED 3-4 Boardman, Cook, Julien Houchen, Garofalo No)]
[The Community Services Department items will be
addressed separately at future budget meetings.]
ATTACHMENT # 1
08/22/01
HUNTINGTON BEACH
ECONOMIC DEVELOPMENT STATUS REPORT
Csty Council Initiatives: In 1991, the etail Development: In July of 1996,
City Council formed a Council Rthe City Council adopted a
subcommittee to focus more attention on resolution which encourages the timely
economic development. The Economic development of the City's few remaining
Development Committee (EDC) focuses key retail development sites. This action
on current projects and initiatives, has been well received by the
meeting on the first Tuesday of each development community, and has
month. spurred retail tenant interest.
Economic Development Strategy: * Crest View/Rancho View sites:
The City Council adopted the City's Working with the Ocean View
first Economic Development Strategy in School District, the City is
October of 1995. An update will be promoting retail development of
prepared during 2001. these two closed school sites. Amel
Retail Group has been selected by
Edinger Corridor Study: A strategic the School District to develop the
assessment of the City's key Crest View site and a Wal*Mart is
retailing corridor was approved by the now under construction on the site.
City Council in November of 1995. For the Rancho View site, the School
District has selected Lowe's to
Long-Term Opportunities and develop a new home improvement/
Constraints Analysis: Adopted by garden center. Each former school
the City Council in December of 1995, site has the potential to generate
this analysis identified international more than $350,000 in sales tax
trade and investment, "high-tech" revenue to the City annually, plus
industrial and entertainment retail as key hundreds of thousands of dollars in
future sectors for expanding the City's lease revenues to the School District.
economic base.
* New Home Depot: The new Home
Economic Development Element: Depot store, which opened in 1998 at
In May of 1996, the City Council the Southeast corner of Goldenwest
adopted a comprehensive update of the and Warner, was a cooperative
City's General Plan. For the first time, project of the City, School District,
this update included an Economic and Home Depot. Built on a surplus
Development Element. This Element portion of the Ocean View High
reinforces the importance of economic School, the City Council approved a
development and requires the revenue sharing agreement with the
consideration of economic impact as part High School District, which resulted
of City planning efforts. Huntington in the construction and the shared
Beach is one of few California cities that use of ten-lighted tennis courts and
have such an Element. the sharing of increased sales tax
revenue with the District. This
1
Sales
For each taxable dollar you spend, you pay sales tax to
City
1 cent
State
-13% General
Fund
5 '/2
cents
Transit/
Special
SOURCE: Calif State
(varies) Board of Equalization
Proposition
172 '/2 cent County-wide
Transprtn '
3 League of California Cities
'/4 cent
Vehicle License & Registration Fees :
How much oes toyourcity?
g
Cities
Cities 12 % Car Tax
Counties 27 0 (VLF ) * 12%
Calif Hwy Patrol 18 % ..
__ --- -=-_
_= - - --- _Stato DMV 130 - _ -
misc fees State Highways s 150 -
-
-=
-=
_............
to state
State A = : = =-
Agencies 30 -
g -
n i s III
61 %
State General Fund 120 Co2u7 /t o
-
T - - _Total D F 1 -
a MV Fees 0 0 0 _ -
*After 67.5% VLF cut effective January 2001
SOURCE: Calif State Controller, DMV, Coleman Advisory Services
4 League of California Cities � '' '
State
ncome Tax :
How much toyour city9
goes
Cities
-3% State
(includes $1 .2 Programs
billion backfill
for state's cut = - -- -----
of city VLF (including:
revenues)
SCIIOOIS,
prisons,
health&welfare)
State assistance to
cities consists mainly 97%
of replacement funds
for the Car Tax cut
es
SOURCE: Governors Budget Summary, Coleman Advisory Services 5 League of California Citi
Federal
Tax :
How much your oes tocity?
g
other
federal
programs
32% national
Cities defense
o _ 34%
< 3 /o
interest
lr
on debt
31 %
SOURCE: Federal Budget, Center on Policy
Priorities, Coleman Advisory Services
g League of California Cities . ''�"�
California even ues
Other Special
Taxes 3% Debt Service
1%
Utility User Taxes
Service Charges 4%
(water, sewer, Sales & Use Taxes
refuse, etc.) 10%
42%
Not Property Taxes
Restricted
� 7%
37% Other General
- Taxes 8%
Other General
Fees for Service & - Revenues 4%
Other Restricted Intergovernmental
° °
Lic&Permits/Fines Assessments 1% 4 /°
etc. - restricted Intergovernmental -
2% restricted 9% ��
7 League of California Cities ' ""�
Source: League of Calif Cities, State Controller
California en i n
Parks,Rec reation Libraries Other
1% °
& Culture 7% 4 /°
Planning & City Council &
Development Management 8%
9%
I
5 Police
18%
Public Utilities
& Enterprises
37% Fire &
EMS 7%
Streets,Drains
Source: State Controller & Lighting 9% Ti
8 League of CAforrihi Cities ' ' "
DiscretionaryRevenues and Spending
Typical Full Service City
100% VLF Libraries
U) 90% Parks
Property
80% Tax
70% Fi re
60% Sales
v 50% Tax
40%
•� Pol ice
30% Other
4) 20% General
2 Revenues
Q 10%
Other
0%
Revenues Expenditures
Source: League of Calif Cities, State Controllerc �
g League of California Cities
DiscretionaryRevenues and Spending
Typical Low Property Tax (non-full service) City
N 100%
90% VLF Parks&Rec*
•�- 0 lm!jiIIIII f:li°IIIIIIIIIIIII@Illllllp.I IIIIII IIIIII
80/o Property Tax I! II�IIII ;IIIIIIII!II Illlj!IIII II'
°
III !j�iljji IIII II !III ILI;
�
70/o
O
•- 60% IIII Police
4-1 Sales
I�I :!I'1�9� Illlri QPdI�... �I IIII it,.
i
L 50% Tax
c.� III L!'
•— 40%
� Illlllllil Ilii'i�ll �il� IIIlllll::
p 30%
4-9 Oth er
C 20% Other
4) General
L 10% Revenues
FL 0%
Revenues Expenditu res
*Less than 25% of these cities are responsible for library
services. Less than 35% are responsible for fire services.
10 Source: League of Calif Cities, State Controllerc League of California Cities ' " "
The Value of City S
♦ . The average city resident pays $42.39/month for city
services (not including fee-funded public utilities such as water,
sewer, flood control and garbage collection provided by many cities)
♦ $42.39 pays for one ♦ Or. . . $42.39 pays for all of these:
of these: • 24 hour police and fire protection
• One month of cable • Well-groomed parks and trees
service • Safety lighting for streets
• One or two hardback • Community events
books • Community economic development
• One month at the gym . Paved and maintained city streets
• Three compact disks • Community library system
• Dinner for two • A well-planned, zoned community
• Movie and snacks for . Professional management of a
a family of four citizen's tax investment in the
communityM_ u
1 ea ;ue of California Cities '"'"
ATTACHMENT #3
CITY OF HUNTINGTON BEACH
ECONOMIC DEVELOPMENT
TO: Ray Silver, City Administrator
FROM: David Biggs, Director of Economic Development
DATE: June 27, 2001
SUBJECT: Conference and Visitors Bureau Budget Request: 2001/2002
The attached request for next year's funding for the C&VB was delivered to me
yesterday. This request for $300,000 would be an increase of$30,000 over the
current year budget, and is an increase of$100,000 over the amount included in
my 2001-02 budget request for them.
Recently, the City's funding of the Bureau is as follows:
■ 1995-1999: $190,000 /year
■ 1999-2000: $200,000
■ 2000-2001: $270,000
The $10,000 increase for 99-00 was earmarked to support regional tourism and
the film commission. The $80,000 increase for 2000-01 (over the historical base
of$190,000) was "for a one-time special `Media 2000-2001 Huntington Beach'
campaign to market the City nationally in time for the opening of the new Hilton
Pacific Grand Resort and other new visitor serving commercial developments."
In submitting our budget request for 2001-02, especially in light of the 5%
reduction, we went back to the 1999-2000 level, which itself is a slight increase
over the longer term average. We believe the Bureau does an excellent job of
leveraging the City's money through partnering efforts, but these funds are
general fund revenue and cutbacks were viewed as being necessary.
If you wish to amend the level of funding for the Conference and Visitors Bureau
to grant the request for any amount more that the $200,000 currently in the
proposed 2001-02 budget, I will make the necessary modifications. If not, I will
send a letter to the Bureau indicating that we will be recommending funding at
the $200,000 level.
Attachment—June 19, 2001 C&VB letter
.,,iIF:•'.:'•�if2ii 3,r:�vhi; ,igetu�0?_.�)�>;,
Ku�tl� toy Beach
Southern Califorrzias
Coastal Plays 1-0111-7d
June 19, 2001
Attn: David Biggs, Director
Economic Development
City of Huntington Beach
2000 Main Street, Box 190
Huntington Beach, CA 92648
Dear David:
Enclosed is our request for $300,000 for fiscal year budget 2001-2002 for The
Huntington Beach Conference and Visitors Bureau. Now is the time to enhance our
marketing of Huntington Beach. We are finally under construction with the new
conference center and hotel, projected to open in October of 2002. We need to conduct
advance marketing, ourselves, for the center and fill the 519 rooms as well as the other
1200 rooms. We cannot wait until the center opens. Most conferences book their
meetings three years in advance.
I am requesting an additional $30,000 to be partnered with the Hyatt Regency Grand
Coast Resort and The Hilton Waterfront Beach Resort to advertise the greatest new
conference center on the California coast. The Huntington Beach Conference and
Visitors Bureau will work closely with both of the sales directors of the hotels to sell
"Destination Huntington Beach." Total advertising dollars to be partnered are close to
$90,000. We will need to partner those dollars into $250,000 plus, to be anywhere near
effective in our campaign.
Your Bureau is the economic generator for tax dollars, directly related to the visitor
industry, and any increase in occupancies will increase the transient occupancy tax
revenue and the City's sales tax revenue. Visitors are spenders: they shop, they eat,
and they fill our rooms. Spending in downtown has increased dramatically over the past
few years, and that is only the beginning. With a strong marketing and promotional
plan, we will continue to move upward.
When all four of the downtown projects are completed, The Waterfront, Pacific City,
CIM, and South Beach Improvements, we will be a complete destination that will fuel
the future economic direction of our City.
417 Main Street • Huntinuton Beach,California 92648-5 1 3 1 • 714-969-3492 • FAX 714-969-5592 • 1-800-SAY-OCEAN
www.hhvisit.crnn • Email hh%-isit@ix.netcom.com
The 2001 - 2004 Marketing Plan is attached. Like a calendar of events, additions and
refinements need to be looked at frequently. As goals and objectives are accomplished,
new ones need to be added for a working plan to be meaningful.
Also included is our PowerPoint plan that was presented to the Council in March of
2001 and the new rack brochure that will be printed in multiple languages. Be sure to
visit our web site at www.hbvisit.com for all the latest information on events.
Advertising responses change weekly as we receive labels from the publications we
have placed advertisements in. These are listed on a separate enclosed sheet.
If you have any questions, please call me.
i
Sincerely,
Diane Baker John ilbert
President, CEO Chairman
Enclosure
HUNTINGTON BEACH CONFERENCE AND VISITORS BUREAU
OPERATING BUDGET
FISCAL YEAR
2001-2002
Accounting / Payroll Service/Audit $ 3,500.00
Advertising 90,000.00
Auto 2,400.00
Exhibit/ Seminar/ Registration Fees 3,000.00
Familiarization 1,000.00
Fixtures /Furniture/ Computer 3,400.00
Health Insurance 3,000.00
Liability Insurance 2,650.00
Manager's Expense 1,800.00
Office Supplies 1,800.00
Payroll Taxes 13,950.00
Postage 7,000.00
Printing/ Photo/Promo 2,000.00
Rent/ Electricity/Janitorial 24,000.00
Salaries 129,000.00
Subscriptions/ Dues 3,500.00
Telephone 5,000.00
Travel Expenses 3,000.00
TOTAL $300,000.00
VISITORS GUIDES REQUEST 10/01/2000 -06/27/2001
This Is for the winter period. Numbers are heavier in the summer months
• Official State Visitors Guide - California. 830
New Guide came out in late February, and requests
come.in at.the end of each month.
• SouthWest Spirit. (in-flight magazine for SouthWest Airline) 795
One time buy in March issue.
• America West In-flight magazine. 591
• Visitor Guide requests from web site. 798
• Visitor Guide requests from telephone, email, letters. 673
• 50 per week average walk-ins.
• Distribution delivered by request (2/01-6/01) 40,000
3D Instruments 300 HB Beer Company 100
M Motor Inn 900 Huntington Beach Mall 900
AAA southern California 3,200 Huntington Central Park Equestrian 100
Aloha Grill 100 Huntington Suites 300
Amigos de Boise Chica 100 Huntington Surf&Sport 100
Art Center 100 Huntington Surf Inn 300
Avila's El Ranchito 100 Hurricane's Bar&Grill 100
Beach Comfort Motel 300 Ibiza 100
Beach.lnn 300 Inka Grill 100
Best Western Regency Inn 300 John Wayne Airport Info.counters 2600
BJ's Restaurant 100 Kathy May's Restaurant 100
Boise Chica Conservancy 300 Ufeguard Headquarters 900
C.West Mail Manager 5000 Loehmann's Five Points Plaza 500
Cafd Plaka 100 Longboard Restaurant 100
Catalina Passenger Services 100 Main Street Eyewear 100
Central Ubrary 300 Mangia Mangia 300
Chamber of Commar6v 1200 Ocean Yew Motel 300
Champagne French Bakery Cafg 100 Old World German Restaurant 100
Chimayo(Culinary Adventures) 100 Pacific View Motet 300
City Hall 1000 Perq's 100
City of HB Eoo. Development 300 Pier Realty 100
Colonial Inn Youth Hostel 300 Princess Motel 300
Color Me Mine 100 Quality Inn 300
Comfort Sultes 300 Rocky Mountain Choc. 1000
Crabby Kenny's 100 Roy's of Newport Beach 100
Duke's 100 Ruby Palace 100
Edelweiss Inn 300 Ruby's Diner 100
Extended Stay America 300 Silk Thai Cuisine 100
Gallagher's Pub 100 Sugar Shack Caf6 100
Golden West College 1200 Sun N'Sands Motel 300
HBCVB 6000 Surf Museum 1300
Hilton Waterfront 4100 TX Burgers 100
Ho Sum Bistro 100 The Chicken Company 100
Hotel Huntington Beach 300
Howard Johnson Express Inn 1100
Hits to website Home Page 07/03/2000 -06/06/2001 20,209
66/05/2001 09:28 7143741603 CITY TREASURER HB PACE 02
City of Huntington Beach
10% Transient Occupancy Tax Revenue Report
Reflecting Hotel/Motel Payments Thru May 2001
Transient Occupancy Tax Revenue Reflecting April Occupancies
,
CURRENT MONTH -APRIL 2001 YEAR TO DATE -(Oct. 2000 -April 2001)
LyQt Year This Year Change %Change Last Year 1 r Chanae III Chamie
$193,548 197,671 $4128 2.1% 1210,572 .$1,295,970 $85,398 7.1%
Monthly TOT Comparison to Prior Years
10 Curnint Year
ux::oc .....• ................................................. $2=000
-f}•-Annual Totals
9 Prior Year
°•01 YearAwrag* .............. ......... 1'r-Year-to-0ate $2312,112
$2.000.000
,a7 ,sss
61=000 .......... . ........... .......MNS.070
�+oc.ovo
$1,373,249
;v.1cC
bt,000,000Ilk
srol,le<
so
,c
139Y64 19" 199W 195619) 1941,se ,99�'?9 1399iDC ?:.1S�J:
1993194 1994195 1"5416 199619 1947f9$ 1998129 1999100 1
October $116,460 $116.457 $129,806 $160,785 $152,191 $169.769 S180,858 3207.263
Nvvembar $92,245 591,919 $113,580 $111,817 $137,645 $132,274 $151,574 3166,E
December $85.557 $98.234 3101,554 $112,145 $128,202 .$121.023 5136,510 $156.742
January $95,039 S96,080 $112,205 $126.170 $140,026 $145.26C S148,120 $173.57C
February $89,364 $111,935 S121,357 $141.571 $149.271 $181,999 $178,364 $184.154
March $112.600 $130,836 $138,455 $169.041 $165,625 $188,447 $221,601 $210,114
April $109,919' $121.513 . 3138,021 $158,334 $171.392 $102,109 $193,543 $197,671
May $110.225 $128.073 S134.819 $156.460 $1.73.766 $174.691 $195,660
June $120,696 .$143,310 $167,120 $168.541 $176,945 $205,531 5221,108
July $162,595 $168,649 $177.136 $202,983 $215,278 $252,78e $275,552
August $159.054 $177,690 $195,069 $214.476 $223,08' $231.193 S258.,W
September $119,495 $139,922 $151,884 $163,540 $182,896 $175,176 $210,632
Totals: $1.3�„73.?49 S1.§22,§2a I $1.074.86 2$ .016,517 S2j-St 11,216-M
G:v�,akuoxocv��s00o,.rJc
2000-2001 HBCVB BOARD OF DIRECTORS
06/01/2001
EXECUTIVE BOARD
2001 John Gilbert, HrlwWawfivwBaaahPasw 21100 Pacific Coast Hwy.,H.B., 92648 960-7873
Chairman Hotel FAX 960-2642 John's FAX 845-8402
2002 Steve Daniel, Ro&yA1mnt*i Chxo1atFacmry 200 Main Street,H.B., 92648 _ 969-0795
Vice Chairman pager 246-0381 FAX 969-8382
2003 Pat Rogers, H.B.Mall 7777 Edinger Avenue,H.B.,92647 897-2533 x3
Past Chairwoman FAX 894-7686
2003 Margie Bunten, Golden West College 15744 Golden West Street,H.B., 92647 895-8315
Treasurer FAX 895-8929
Diane Baker, Huntington Beach CVB 417 Main Street,H.B., 92648 969-3492
President(non-voting) FAX 969-5592
BOARD OF DIRECTORS
2001 Michael Ali Zack s Too Concession 19105C Beach Crest Lane,H.B., 92646 962-2207
(W)536-2696 FAX 960-5258
2002 Brett Barnes Duke's HB 317 Pacific Coast Hwy,H.B.,92648 374-6446
FAX 374-6546
2001 Cindy Crater CulinaryAdwentums 567 San Nicolas Dr,Ste.410,NB,92660 (949)718-4631 xW
FAX (949)718-4640
2001 Dale Dunn H.B.ChamberofCommerce 17302 Almelo Lane,H.B,92647 846-4982
FAX 846-4292
2002 John Given CIMGrm p 6922H*wvodBlvd.,Sk,900,Hdly"oA 90028 (323)860-4900
FAX (323)860-4901
2003 Paul Makarechian Makar ProWi ties P.O.Box 7150,NB,92658 (949)622-8400 x183
Clark Wardle Alternate FAX (949)6224404
2003 Kevin Patel Howard Johnson EVrem Inn&Suites 17251 Beach Blvd H.B,92647 375-0250
FAX 375-0251
2001 Merritt Sher Terranomics 546 A Magnolia Ave.,Larkspur, 94939(415)538-1400*813
FAX(415)945-0992
NbumenSloanda<res,Alt. Loefvwns5PW,&Pkna 18593 Main Street,H.B.,92648 841-0036
FAX 843-5776
2002 Dean Torrence Jan&Dean 18932 Gregory Lane,H.B.,92646 968-7878
FAX same#
Huntington Beach _
Conference and Visitors Bureau
2001 - 2004 MARKETING PLAN
w
. HU�t111�t0I1 �eaC�
Conference and Visitor's Bureau
MISSION STATEMENT
The mission of the Huntington Beach Conference and Visitors
Bureau is to create, develop, promote and maintain a strong
visitors and conference industry in a manner that will benefit
Huntington Beach economically, environmentally, culturally
and socially.
The Huntington Beach Conference and Visitors Bureau
represents the community in the solicitation of all categories
of visitors to the Southern California area: The leisure
travelers, the tour groups and the conference/meetings
groups. The marketing plan is a working document to be
followed by staff and committees, but shall be flexible to the
changing perceptions of the community.
GOALS
• Distinguish Huntington Beach as a year
round resort destination .
• Increase meeting group and conference
business to Huntington Beach during the
shoulder season, October - May.
• Increase national and international
awareness among wholesale operators,
receptive tour operators and groups and
meeting business.
• Partner with and work cooperatively with
the CVB's of Orange County, Anaheim,
Costa Mesa and Newport Beach to
increase convention groups overflow
business and expand advertising and
media opportunities.
• Piggyback on Orange County Consortium
placements for regional exposure .
PRIMARY TARGET MARKETS
• Meeting groups, business associations and corporate
groups that come from Sacramento to New York.
• Travel and leisure tourists from major feeder markets
including a 60-mile radius and the Arizona cities of
Phoenix/Scottsdale and Tucson.
SECONDARY MARKETS
• The other 10 western states with an emphasis on
the Texas market.
• International travelers from Mexico, Brazil, Pacific
Rim and Canada.
== MARKETING STRATEGY
;• _ F The overall strategy for achieving
41
the following objectives is to increase
._ awareness through cooperative
Y - marketing efforts that utilize collateral
materials, print advertising, public relations
and personalized attendance at trade shows.
OBJECTIVES
The following objectives of the HBCVB are intended to image
Huntington Beach as a Coastal Resort Destination.
• The Huntington Beach Visitors Guide
Distribute 75,000 of the 44-page color magazine to local
hotels/motels, AAA, John Wayne Airport, Chamber of Commerce,
City Hall, downtown kiosk and to the inquiries from written
requests, 800# telephone requests, walk-ins, advertising
fulfillment and our web site requests.
• Downtown Guide
Distribute "134 Reasons to Visit Downtown" which lists
businesses by category and telephone number.
• City Calendar of Events
Maintain the citywide Calendar
RT s' of Events, which can be
SIA
OP
obtained in different formats
including the Monthly Major
Events, Ongoing Events and a
complete daily listing organized
r. a
by month. The Calendar is -
updated every two weeks. The
Ai CVB encourages visitors and
locals to look on our web site,
r
www.hbvisit.com for latest
information concerning events
and things to do.
• Restaurant Guide
The HBCVB provides a Banquet Guide for group dining.
Category dining lists are updated once a year. We have
established the Huntington Beach Restaurant Association, which
is now a stand-alone group.
• Hotel/Motel Association
This association meets monthly to encourage sense of excellence
and bring educational speakers relevant to the hospitality
business. The HBCVB keeps the group informed about
upcoming events.
• Database
Maintain and develop a database through inquiries received from
individuals and groups. These include both domestic and
international markets.
• Partnerships
Partnerships are the key to making our dollars go further. The
goal is to double or triple our advertising dollars through
cooperative Marketing Partners.
• Electronic Marketing
Continue to evaluate the CVB website to insure ease of navigation
and downloading time, effective and simple communication of
the who, what, when, where and why on the Home page and
relevance of website links.
ADVERTISING
The 2001 advertising campaign focus is on the beach and "Surf City"
which offers 81/2 miles of enjoyment as "Southern California's
Coastal Playground". We advertise incredible weather year round,
great dining, a village atmosphere, a safe city, and a place you-
must visit and/or stay. Huntington Beach is centrally located in
Orange County to all the major attractions.
Advertising Placement in 2000/2001
The HBCVB placed a full-page advertisement in HUNTINGTON
DIS CALLED SURF CITY.
the California Visitors Guide, which has a COVER WHY IT'S
circulation of 500,000 to 750,000. For this li
advertisement we partnered with the Hilton
W k
Waterfront Beach Resort Du e s and The
Crossings. Our cost was $12,000 (the cost of the 4. _
page was $24,000). Through the efforts of they
HBCVB Public Relations Committee, Huntington '
Beach was featured in eight other areas in the
book. Inquiries resulting from this -==
advertisement have included requests from both '
national and international sources. The HBCVBy
sends the Visitors Guide out to those requesting
information at the bulk rate of 37c. - 41c. per
magazine versus $1.18 for first class.
The HBCVB co-opted with Orange County Consortium on multiple
buys in Arizona, Fresno and San Jose newspapers as well as the
"America West in-flight magazine and "Spirit" the Southwest
Airlines magazine. We co-opted with Newport and Costa Mesa on
an infomercial to run on America West flights. The infomercial was
filmed at the Pier with Dean Torrence performing voiceover while
the surf music of "California Girl" played. All the above totaled
$21,000, which is a 49% saving due to our partnerships.
In 2002 we will begin to advertise the new conference center and all
the amenities of The Hyatt Regency Grand Coast Resort
destination. Conference business is the answer to October - May
traffic; we want those groups here in Huntington Beach. The
average attendee spends $850.00 per conference stay.
COMMUNITY RELATIONS
• The HBCVB will continue to keep the City informed of
our programs through bureau minutes, web site,
calendar of events, and attendance reporting at City
meetings. _
• We will continue to work closely with Economic
Development Department, Chamber of Commerce, and
Huntington Beach Organizations to establish an
understanding of the value of the hospitality visitor
industry to the Huntington Beach economy.
• The HBCVB will continue to develop partnerships for
transportation, like Roadways International, the new
Anaheim to Surf City Shuttle, which runs from June to
September. Loehmann's 5 Points Plaza is our partner
in this project. ,
MEMBERSHIP
• Travel Industry Association (TIA)
The TIA is a nationwide organization focusing
on bringing international visitors to the United
States. They are the sponsors of an International Trade Show
called "Pow Wow", which is held once a year in U.S. Pow Wow
gathers suppliers and tour operators together to do business and
there are approximately 6,000 in attendance representing 56
Countries. The event is a four-day show that is held in various
locations throughout the country.
• California Travel Industry Association (CALTIA)
The CVB works directly with the California Office of Tourism to
serve as the private sector organization to the public sector.
Their mission is to strengthen the California economy through
the tourism industry. Once a year they host the California
Governors Conference on Tourism. At that time they unveil the
current marketing program, present research and provide
educational seminars over a two-day period.
• Orange County Tourism Association Representatives from
the 33 cities of Orange County including Bureaus, hotels,
restaurants, transportation, shopping centers, airports, the arts
and theme parks. The local voice of regional promotion to
identify Orange County, branding the image of "Orange County
Perfectly California." The group plans and develops partners for
advertising. Each year this group sponsors a "Service of
Excellence" banquet, with recognition given to frontline
employees in seven categories. Between 500 and 800
nominations are received each year and those nominated
receive a Certificate of Excellence for their customer service
program.
• Western Assn. of Convention and Visitors Bureaus
(WACVB) As the name implies this organization is made up of
Bureaus from the Western States who gather twice a year for
educational seminars. Peers exchange ideas and offer solutions
to problems. Current trends are presented as well as legislature
updates pertinent to each of the State groups attending the
conference.
f
• National Tourism Association (NTA) This organization is
the domestic version of TIA (Pow Wow) Tour operators and
brokers meet suppliers once a year to focus on group business
in the United States.
• Orange County Transportation Authority The OCTA is a
citizens' advisory organization appointed by Supervisor Jim Silva
to represent the Tourism Industry on the Citizens' Advisory
Board. Meetings are held once a month.
TRADE SHOWS
The CVB attends numerous Trade Shows in order to speak
directly to customers, listen, help, distribute brochures and
sell Huntington Beach. These include:
• National Tour Assn.(NTA) Nov.9-14, Houston, TX
• California Travel Mart (CTM) Feb. 2002 San Jose, CA
• California Conference on Tourism. March 2002
• TIA Pow Wow. May 25-29, 2002 New Orleans, LA
FAM TOURS
The HBCVB will continue to participate with State of California
and Orange County cities in organized familiarization tours.
Primarily these tours are aimed at business writers, travel
writers, tour operators and meeting planners. The HBCVB
showcases our local facilities and provides the royal treatment.
t
OBJECTIVES ! -���
The HBCVB will work to
increase hotel/motel
F
occupancy in the off y
season-October through
May, and off days-
Sunday through
Thursday.
The new Conference Center will be the nucleus for drawing the
destination groups to Huntington Beach. With a new ballroom
that will at least double and possibly triple the capacity of the
Hilton Waterfront we are opening the doors to numerous
organizations that we could not service in the past..
With the Hyatt Regency Grand Resort, the facilities planned for
Pacific City and the Marriott Suites located in the CIM project,
we will be doubling our room capacity which now stands at a
mere 1200. Of that number, only 300 are considered first
class rooms. In the next three years the HBCVB will be
concentrating our marketing on the downtown beach
destination to bring the high dollar visitor and conference
attendees to Huntington Beach.
ATTACHMENT #4
f
fl CITY OF HUNTINGTON BEACH
INTER-DEPARTMENT COMMUNICATION
HUNTINGTON BEACH
To Ray Silver, City Administrator
From Ron Hagan, Director, Community Services
Date August 9, 2001
Subject Alternative Revenue Options for Huntington Central Park
Sports Complex
During discussion of the lease revenue bonds for the Huntington Central
Park Sports Complex, Council was presented with three optional revenue-
generating possibilities:
1. Five-acre commercial recreational sports complex, i.e., roller hockey,
skate park, or New Games center;
2. Charge for parking at the sports complex; and/or
3. Annual naming rights and exclusivity of sponsorship contract.
None of these revenue alternatives can be implemented prior to summer
2003, which would be after the completion of the sports complex. However,
the General Fund impact of the maintenance cost of the complex won't start
until then either. If Council were desirous of pursuing one or more of the
above options, they could give staff direction now. Entitlements, public
vote, contract negotiations, fee resolutions, etc. could then be processed
during the next eighteen months so that there is no delay between the time
when the city begins incurring General Fund costs and receives revenue.
Following is a brief description of the revenue options and projected income:
1. Commercial recreation concession - There are actually several alter-
natives to this option. The city could lease the five acres to a devel-
oper/operator such as the Gretsky Roller Hockey Center in Irvine;
Van.'s Skate Park at the City Block in Orange; or the Sports Chalet's
New Games Extreme Sports Center in Sacramento. The city could also
contract with National Community Sports Foundation, Inc. for the in-
stallation of portable roller hockey facilities, indoor soccer, tennis or
basketball sports club programs. Since these programs were included
in the original public vote, and if there is no land lease or permanent
structures, another public vote may not be needed. I am currently re-
questing a City Attorney opinion on this issue.
In this type of proposal in either a permanent or temporary commer-
cial sports complex, the minimum estimated net revenue is $200,000
annually with a probable income of over $500,000. The master plan of
Huntington Central Park has been designated for such a concession
and the development of the sports complex will provide all of the utili-
ties, grading, landscaping, etc. needed to operate it. The city could
operate the facilities, which would then not be subject to a public vote;
however, commercial recreation facilities are not in the city's exper-
tise, and projected revenue would be greater if we contracted it out.
Attached is a proposal from National Community Sports Foundation,
Inc. for an inline roller hockey concession in Huntington Central Park
showing the revenue possibilities.
2. Charge for parking - We could charge 25(:;r- per auto ($200,000 yearly)
or 50¢ per auto ($400,000 yearly). Charging for parking would be
very sensitive and we would need extensive public input if we were to
move in this direction.
3. Commercial naming rights - If the city were to give exclusivity of
sponsorship and onsite signage, both on the fields and at entryways,
the naming rights consultant indicates that a naming rights contract
could generate $100,000 to $150,000 annually. It may need to be
sweetened with other benefits such as access to Pier Plaza during
events for product couponing and sampling, access to city promotions,
and the opportunity to participate in city events. Staff feels that a
comprehensive naming rights package could be accomplished with a
company whose image is compatible with Huntington Beach, one that
the majority of the community would accept without feeling that the
city has "sold out".
In summary, the revenue options could produce between $500,000 and
$1,000,000 in additional revenue to offset the sports complex maintenance
impact to the General Fund. While Council does not have to decide immedi-
ately, staff would like direction within the next six to nine months so that
these revenue options could be implemented before the city begins to be
impacted by the maintenance costs.
RH:cr
cc: Jim B. Engle
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Quik-Span
PLAY ALL YEAR UNDER A
CLEAR-SPAN STRUCTURE
Serve 'em up! Easy Assembly
With a pre-engineered Quik-Span system, winter They are designed to erect quickly, and safely.
weather, rain and storms won't stop the fun. These Even the largest court or swimming pool enclosure
unique structures will withstand the desert heat, and can be erected from the ground, without special
mountain blizzards. Insulating liners and HVAC keep the tools or equipment.
temperature inside comfortable.
When the weather is mild, remove the sidewalls and Customized to Your Specifications
let the breezes and sunlight in. Replace the solid The fabric covering is a white architectural vinyl-
panels with mesh fabric panels to keep the bugs out coated polyester, either opaque or translucent, or a
and the balls in. The mesh panels are available for combination of opaque and transparent panels. Cus-
sidewalls, or to cover the entire structure. With tom colors are also available, upon request. For add-
a full mesh cover, you can let the sunshine in, and itional climate control, insulating panels are available,
transform your facility from indoor to outdoor. as well as electrical systems for HVAC and lighting.
Wherever your facility is located, Quik-Span can
deliver an enclosure pre-engineered to your specifica- Technical Information
tions, complete and ready to erect. Quik-Span sports Quik-Span Sports Facilities are a part of the
enclosures can accommodate a pro shop, locker Quik-Span line of pre-engineered structures. These
room, and observation decks. consist of aluminum frames supporting a vinyl-coated
polyester fabric, to create a modular, relocatable
Modular Design tensioned fabric structure. Quik-Span systems require
These structures unite sturdy aluminum frames no foundations. However, for permanent installation,
with modern super-strong fabric panels to create they may be anchored to concrete piers. The frame
extremely rigid enclosures. Quik-Span systems are structures are clear span, with no supporting beams
available up to 200 feet wide and up to 60 feet at the or columns.
peak. And since the structures are constructed in The fabric panels can be either opaque or translu-
modular sections, they can be built to any length. cent, or a combination of the two fabrics. The stan-
They are also easy to expand, or relocate. dard architectural fabric has a life span of 10 to 12
years. An optional fabric is available to increase the
Strong & Durable life span to 20 years.
The modular sections are available with bay spacing
All Quik-Span systems conform to stringent_national of 10 feet, 15 feet and 20 feet. The frame sections
building codes (ASCE, BOCA, UBC, SBCC). Anchored are connected with purlins and cross-braces. The
as recommended, they will stand up to wind and snow components of the frames are interchangeable, and
loads required by codes. assemble with a single size bolt.
National Community
Sports Foundation, Inc.
Dave CoRie>r
PROJECT Phone 604-789-%55 cell
503-375-2046 office
DE4 VAENT Email ncsfoundation@aol com
5/97
A GUMM SUN 7 Y
NATIONAL PARTNERSHIP
' RSHIP
COMMUNIT . SUSUOME SUCUTIHAUS
SPORTS OUNDAT.. INLINE HO,CKEY PAVILION
www.ncsfoundation.org
FREESPANI ENGINEERING AN AFFORDABLE ' ?
GROUND ZERO FLOORING COMMUNITY INLINE HOCKEY - -�
ACADEMY ENGINEERING IS FIELDMOUSE TO SERVE -
BEST SPORTS LIGHT{NG KIDS a FAMILIES IN
COMBUSTION ENGINEERING
SOUTHERN CALIFORNIA fly
PROGRAMS AND OPERATIONS AT
nt
E 'I ' � I ' `I -; THE SUNDOME SPORTHAUS:
PROJECT GOALS&OBJECTIVES: You would finally have a hockey dedicated facility
that would be available to serve community inline
• To provide an affordable solution for FUNDING AND INSTALLATION PLAN: hockey sports programs, leagues,camps,
installing Inline hockey and sports tournaments, training,concessions,etc.
facilities that will serve the community The National Community Sports Foundation
using a public/private approach. will engineer, design and install a turn key Annual cost for operator to manage facility:
• Minimize the capital and debt community hockey pavilion as long as the $75,000-$120,000 per year
requirements and maximize floor time for following ingredients are available: (excluding facility financing)
the local hockey community. 'L There is an acceptable installation site on
• Allow a qualified licensed operator to a school campus,park and recreation land or Projected Support Revenue from Operations:
be financially self sufficient and revenue some other donated a suitably zoned,parcel
$275,000-$390,000 per year US
positive in an extremely short amount of of land.This could also be a leased site.No
time,in order to sustain the project for liens are required en the land for financing. Our Funding commitment for a typical installation:
years to come. Minimal silm.112 acre or a footprint of at least $275,000-$295,000(over 3-5 year term)
120'x 20fP
SUNDOME SPORTHAUS NOCKEII PAVILION 2. There is a licensed operator or
manager available who will provide 4.
clubhouse/office management and operational expertise to
offer leagues,training,camps and other
related activities at the facility. -
90'
3. The facility will pav for Usefi �a over y .�-•-,
❑ the first 4 years of operation through zu ;
operational revenue,running leagues and
offering training rental time. }Y"
200'
blodiilar For our nonprofit community projects,a strong
Sundome Community Sporthaus-Features "corporate partner"signboard and sponsorship
Ground Zero hockey floor-200'x 90' program could also be launched to financially
34' high(almost four stories) support the project and to help with paying off
Efficient Radiant Gas Heating facility, funding programs and community
Pendent Sports Lighting - -- - `" x outreaches and other improvements.
Attached Modular Clubhouse(optional) Goal: $85,000 revenue per year for 4 years.
Glass and Plexi Dasher Board System DAVE COLLIER
COMMUNITY DEVELOPMENT DIRECTOR HELPING COMMUNITIES HELP THEMSELVES
604-789-5855(cell) 503 375 2046(office)
4676 COMMERCIAL SE SALEM,OREGON 97302
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HUNTINGTON BEACH
ROLLER HOCKEY CENTER
s :
,. July 2001
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This business plan is confidential and intended for internal use only. The contents
are not to be used for reproduction or distributed to the public or press.
.u:
4 HUNTINGTON BEACH
ROLLER HOCKEY CENTER
BUSINESS PLAN
THE FACILITY
The proposed building for the twin roller hockey facility will be utilizing
state-of-the-art construction technology. The facility itself will be
erected using a pre-designed and pre-assembled aluminum frame. The
structure will then be sheathed in a tension fabric surface with optional
brick exterior.
National Community Sports Foundation wilt be providing the materials
and design plans for the proposed facility. The NCSF building will provide
u;
significant advantages over conventional structures in the following
j ways:
Savings on Cost of Construction
S
The lightweight nature of the NCSF structure eliminates the need
for deep foundation points for watts. A 100x200 facility can be
erected in 3-5 days using minimal manpower and can be deemed
semi-permanent. The use of tension fabric allows for an
affordable alternative to conventional concrete tilt-up or steel
buildings.
r
Low Maintenance and Multi-Purpose
The entire building is designed to be corrosion free and low in
maintenance. The fabric tension surface is completely weather
tight and its unique ceiling system allows for a large clear-span
area so that it is more suitable for a multi-purpose building. A
100' building will be 337' high allowing basketball and volleyball
to be played in the same facility.
UNIQUE FLOORING SYSTEM
NCSF intends to use a performance enhanced flooring system to
the HBRHC (Huntington Beach Roller Hockey Center). The
a=:
product, Ground Zero, consists of a highly durable inter-locking
floor tile that permits enhanced acceleration, added wheel grip,
and frictionless puck movement. The tiles can be quickly and
easily removed and replaced if damage occurs and can be used for
alternate sports such as basketball, volleyball, lacrosse etc. It is
widely known that roller hockey enthusiast will insist upon and
pay extra to skate on rink floors equipped with these types of
flooring systems.
PRODUCTS AND SERVICES PROVIDED BY HB ROLLER
HOCKEY CENTER
HBRHC will provide customers with all amenities and services
expected from a one-stop recreation facility for rotler hockey or
in-line skating facility. This list includes:
` Two Dry-Floor Surfaces
HBRHC will have two regulation sized dry-floor surfaces
manufactured by Ground Zero Flooring. These surfaces are
suggested to be 185x85, which meets requirements for local and
international roller hockey tournaments, and organized league
games.
These surfaces have been designed for over 15 different sports
including in-line skating, basketball, volleyball, lacrosse, ball
hockey, and various racquet sports. Ground Zero Floors are
particularly well suited for in-line skating and similar floors are
being used for NCAA volleyball. Ground Zero Floors are inter-
locking tiles that allow for the floor to be portable if necessary.
Each square foot of the Ground Zero surface has the exact same
physical properties and smooth surface finish. in addition, the
design allows for shock absorption to reduce potential for serious
injury and equipment wear. Therefore, Ground Zero Flooring
offers a smooth, safe surface for in-line skaters of all abilities.
Pro Shop
The suggestion by NCSF to HBRHC is to use a company called
HockeyGiant, which is based in Anaheim California, to become a
one-stop store for all in-line skating needs. HBRHC management
will operate the shop with support from HockeyGiant.
HockeyGiant is an internet/retail company that offers small
operation shops such as a pro shop to acquire the latest
equipment through their buying power. Normally it is hard to get
all the current lines from bigger companies such as Mission,
Easton, Bauer, CCM, etc. without buying a large quantity of stock.
Partnering with HockeyGiant will allow HBRHC to have all the
current lines in a small 500 square foot pro shop. The cost for set
up will be considerably less than standard pro shops. Cost for a
turn-key HockeyGiant pro shop would be $30,000.00 while
traditionally it could cost upwards of $150,000.00.
Concession
HBRHC will operate a concession with the basic necessities for the
publics needs. It is the suggestion of NCSF that the pro shop,
concession, and reception/enrollment desk be constructed in a
way that they are all accessible for a single operator to run.
c_ During evening when adults are playing it would be good to keep
all amenities open with little staff requirements.
League Games
Based upon NCSF management experience, league games
generate considerably more revenue than facility rentals;
therefore, HBRHC primary focus will be league games.
' Management will organize leagues and schedule games based
upon the same techniques that have been successful in other
facilities.
Seasons will run in three-month increments. Registration occurs
three weeks prior to the commencement of each season. Players
will register in either the Youth League, Adult League, Club
League or other leagues that may be developed due to alternate
interests. These leagues are described in the flowing paragraphs:
Youth League
Youth League participants sign up on teams organized by
management and pay $119.00 registration fee. (There may be an
additional membership fee added to cover cost of insurance and
special bonuses that a member would receive) After playing one
season, players will pay a reduced rate of $114.00 for all
subsequent seasons. Family members of current players will also
pay a reduced rate of $114.00.
The Youth League is divided into teams by age. Each age group
then plays on the same day each week to provide a consistent
schedule for parents. The age categories and schedules are as
follows:
Category Title Age Group* Game Day
Tyke 8 U Monday
Atom 10U Tuesday
PeeWee 12U Wednesday
Bantam 14U Thursday
Junior 17U Friday
* Age is determined as age on or before December 31
The league will consist of 1 evaluation session, 10 league games, 2
practices and play-offs. In addition to the registration fee players
will be asked to buy a home and away jersey that will be provided
}'> by HBRHC at a nominal fee of $40.00. This jersey will be used
from season to season.
Participation in the sport requires players to wear in-line skates
with adequate wheels and a hockey stick. For the safety of all
participants HBRHC will require that all players wear an approved
helmet with facemask, elbow pads, gloves, shin pads, and a
�.r protective cup.
Adult League
The Adult League tends to organize their own teams. As a result,
registration fees will be based upon a team rate rather than an
individual rate. Each team will pay $1495.00 and be permitted a
maximum of 12 skaters and 1 goalie per game.
Adult League consists 15 games and play-offs. Games will be two
25-minute halves with a 5-minute warm-up. There will be two
referees per game and one scorekeeper.
All adult teams are required to supply their own matching jerseys
with numbers (not tape) on the back. There must be a,minimum
of five players present for a team to qualify for a game. The same
requirements for equipment will apply for the Adult League as in
the Youth League. (exception will be facemask)
Club League
The Club League will be an advanced Youth League that runs like
the Adult League. This will be a team registration and they will be
responsible to have their own jerseys and coach. Club League will
consist of an 8 game season with play-offs. Registration will be
$795.00 per team. Games will be played on weekends.
Facility Rentals
All time not programmed for league play will be available for
rental or practice time. Rental rates will be $90.00 per hour and
may be adjusted by HBRHC management for peak and non peak
times.
Groups that may be interested in these rental times include the
following:
r
• National and International Tournaments
J
• Coaching clinics
• Seniors events
• Trade shows
• Conventions
t
Physically handicapped participants
• Basketball programs/Volleyball
• Lacrosse
` • Fitness classes
• Police/Firefighters
Camps and Clinics
Training camps and clinics wilt be offered several times
throughout the year for all levels of players. Professionals and
local senior players will lead these camps and clinics.
Drop-In Hockey
Public drop-ins wilt be important to the facility and its customers
for the following reasons:
• to introduce new customers to a high quality and
professionally equipped facility with the view that they
become a long term user.
• To allow league participants to come in and practice outside
of regular league games.
• To allow league players to test out new equipment prior to
league play.
i
Drop-in hockey will be based at $5 per person. At this price it will
encourage novice and new players to use the facility in non peak
hours.
Advertising Boards
HBRHC will allocate rental space for community based business to
advertise in the facility for a fee of $600 per year per add. This
could be space either on the board system or on the walls of the
facility. This revenue could be turned into a full time job for an
outside sales person on a commission basis considering the plan is
i to build two roller and two soccer facilities. Revenue could be
shared for example at $200 for the sales person and $400 for the
facility. Each facility could easily accommodate 40 board signs
giving the sales person 160 board signs to sell at a yearly income
of $32000.00 and the facility $64000.00 in additional revenue.
Optional Revenue
Video games
Rental lockers for equipment
Shooting gallery (coin operated shooter tutor)
Public Skate
r
j -.j
Huntington Beach Roller Hockey Center
Cash Flow Projection
Year 1
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTAL
INCOMING
Rink 1 Youth League 26180 27489 28917 30345 112931
Rink 2 Youth League 26180 27489 28917 30345 112931
Rink 1 Adult League 34385 35880 37375 38870 146510
Rink 2 Adult League 34385 35880 37375 38870 146510
Rink I Drop-In 800 800 800 840 840 840 880 880 880 925 925 925 10335
Rink 2 Drop-in 800 800 800 840 840 840 880 880 880 925 925 925 10335
Club League 7155 7950 8745 9540 33390
Camps and Clinics 3120 3276 3432 3588 3744 3900 21060
Tournaments 7774 8372 16148
Facility Rentals 2880 2880 2880 3240 3240 3240 3600 3600 3600 3960 3960 3960 41040
Jersey sales 17600 880 960 960 20400
Concession 3000 3000 3000 3000 3000 3000 3000 3000 3000 3000 3000 3000 360M
Pro Shop 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 24000
Advertising 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
TOTAL 159685 10680 13M 154462 14552 11120 157437 11560 15304 160940 15910 20382 745988
(Optional)
Public Skate 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 30720
(OPTIONAL)
TOTAL 162245 13240 16516 157022 17112 13680 159997 14120 17864 163500 18470 22942 776708
EXPENSES
Lease Cost 14000 14000 14000 14000 14000 14000 14000 14000 14000 14000 14000 14000 168000
Advertising 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 24000
Insurance 10000 10000
Jersey 12750 12750
Janitorial 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 18000
Accounting 1200 1200 1260 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
Management 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 69996
Referees 7200 7200 7200 7560 7560 7560 7938 7938 7938 8335 8335 8335 93099
Employees 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 57600
Maintenance 300 300 300 300 300 300 300 300 300 300 300 300 3600
Floor Replacement 630 630 630 630 630 630 630 630 630 630 630 630 7560
Fabric Replacement 490 490 490 490 490 490 490 490 490 490 490 490 5880
Supplies 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 18000
Concession Supplies 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
Pro Shop Supplies 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 12000
Telephone 500 500 500 500 500 500 500 500 500 500 500 500 6000
Utilities 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 19200
TOTAL 66503 43753 43753 44113 44113 44113 44491 44491 44491 44888 44888 44888 554485
07
Huntington Beach Roller Hockey Center
Cash Flow Projection
Year 2
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTAL
INCOMING
Rink I Youth League 31892 33558 35224 37009 137683
Rink 2 Youth League 31892 33558 35224 37009 137683
Rink 1 Adult League 40365 41860 43355 44850 170430
Rink 2 Adult League 40365 41860 43355 44850 170430
Rink I Drop-In 975 975 975 1025 1025 1025 1075 1075 1075 1125 1125 1125 12600
Rink 2 Drop-In 975 975 975 1025 1025 1025 1075 1075 1075 1125 1125 1125 12600
Club League 10335 11130 11925 12720 46110
Camps and Clinics 4095 4290 4485 4680 4875 5070 27495
Tournaments 8970 9568 18538
Facility Rentals 2880 2880 2880 3240 3240 3240 3600 3600 3600 3960 3980 3960 41040
Jersey sales 960 960 960 960 3840
Concession 3000 3000 3000 3000 3000 3000 3000 3000 3000 3000 3000 3000 36000
Pro Shop 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 24000
Advertising 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
TOTAL 170934 11030 15320 183386 15975 11490 186673 11950 16825 189808 17480 21978 852649
(Optional)
Public Skate 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 30720
(OPTIONAL)
TOTAL 173494 13590 17880 185946 18535 14050 189233 14510 19385 192368 20040 24538 883569
EXPENSES
Lease Cost 14000 14000 14000 14000 14000 14000 14000 14000 14000 14000 14000 14000 168000
Advertising 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 24000
Insurance 10000 10000
Jersey 2800 2800
Janitorial 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 18000
Accounting 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
Management 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 69996
Referees 8752 8752 8752 9190 9190 9190 9650 9650 9650 10132 10132 10132 113172
Employees 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 57600
Maintenance 300 300 300 300 300 300 300 300 300 300 300 300 3600
Floor Replacement 630 630 630 630 630 630 630 630 630 630 630 630 7560
Fabric Replacement 490 490 490 490 490 490 490 490 490 490 490 490 5880
Supplies 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 18000
Concession Supplies 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
Pro Shop Supplies 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 12000
Telephone 500 500 500 500 500 500 500 500 500 500 500 500 6000
Utilities 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 19200
TOTAL 58105 45305 45305 45743 45743 45743 46203 46203 46203 46685 46685 46685 564608
1—Y
Huntington Beach Roller Hockey Center
Cash Flow Projection
Year 3
JAN FES MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTAL
INCOMING
Rink 1 Youth League 38913 40817 42840 44982 167552
Rink 2 Youth League 38913 40817 42840 44982 167552
Rink 1 Adult League 46345 47840 49335 50830 194350
Rink 2 Adult League 46345 47840 49335 50830 194350
Rink I Drop-In 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
Rink 2 Drop-in 1200 1200 1200 1200 1200 1200 1200 1200 120D 1200 1200 1200 14400
Club League 12720 12720 12720 12720 50880
Camps and Clinics 5070 5070 5070 5070 5070 5070 30420
Tournaments 10166 10764 209M
Facility Rentals 4356 4356 4356 4790 4790 4790 4790 4780 4790 4790 4790 4790 56178
Jersey sales 960 960 ON 960 3640
Concession 3000 3000 3000 3000 3000 3000 3000 30W 3000 3000 3000 3000 36000
Pro Shop 2000 2000 2000 2000 2000 2D00 2000 2000 20W 2000 2000 2000 24000
Advertising 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 12DO 1200 14400
TOTAL 202222 12956 18026 214550 18460 13390 216490 13390 18460 218694 18460 24154 989252
(Optional)
Public Skate 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 2560 30720
(OPTIONAL)
TOTAL 204782 15516 20586 217110 21020 15950 219050 15950 21020 221254 21020 26714 1019972
EXPENSES
Lease Cost 14000 14000 14000 14000 14000 14000 14000 14000 14000 14000 140DO 14000 168000
Advertising 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 24000
Insurance 10000 10000
Jersey 28N 2800
Janitorial 1500 1500 1500 1500 1500 1500 1500 1500 15w 1500 1500 1500 18000
Accounting 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
Management 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 5833 699W
Referees 10640 10640 10640 11180 11180 11180 11740 11740 11740 12330 12330 12330 137670
Employees 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 57600
Maintenance 300 300 300 300 300 300 300 300 300 300 300 300 3600
Floor Replacement 630 630 630 630 630 630 630 630 630 630 630 630 7560
Fabric Replacement 490 490 490 490 490 490 490 490 490 490 490 490 5880
Supplies 1500 1500 1500 1500 1500 1500 1500 1500 150D 15w 15D0 1500 18000
Concession Supplies 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200 14400
Pro Shop Supplies 1000 1000 1000 1000 1000 1000 10DO low 1000 1000 1000 1000 120W
Telephone Soo 500 500 Soo 500 Soo 500 500 sw 500 500 SIX) 6000
Utilities 1600 1600 1600 1600 1600 1600 1600 1800 16w 1600 1600 1600 19200
TOTAL 59993 47193 47193 47733 47733 47733 48293 48293 48293 46883 48883 48883 589106
FINACIAL PROJECTIONS
L4. REVENUE NET INCOME
�- , YEAR 1 $ 745988 $ 191503
YEAR 2 $ 852849 $ 288241
YEAR 3 $ 989252 $ 400146
*Note this does not include optional revenue
The projections for years 1-3 have been calculated at 50% capacity with a 5%
growth increase per season. At the end of 3 years HBRHC will be at 80-85%
capacity according to this structure. NCSF feels that HBRHC would reach full
capacity much sooner than this.
After year 5 $168000 per year will be added to the net income as the
equipment lease financing will be completed.
ATTACHMENT #5
CITY OF HUNTINGTON BEACH
INTERDEPARTMENTAL COMMUNICATION
TO: Ray Silver, City Administrator
FROM: Robert F. Beardsley, Director of Public Works
1
DATE: August 9, 2001
SUBJECT: SERVICE REDUCTIONS
The Public Works Department has completed the analysis you requested that
explores the possibility of adjusting the current landscape maintenance and
tree-trimming services in an effort to realize budget savings. To minimize the
impact on existing staffing, the Department has analyzed the elimination of all
contractual services for landscape maintenance and tree trimming. This
strategy would be a preferred scenario based on the Park, Tree and Landscape
Division's history of competitive service and cost delivery.
It is estimated that the net savings would be approximately $550,000 annually.
The savings breaks down to $358,000 in park maintenance and $192,000 in tree
maintenance. To realize savings, all contractual services would be necessarily
adjusted since all work would be absorbed by current staff.
Currently, a combination of contractual personnel and City forces provides
weekly maintenance to landscaped areas. The Department would propose to
continue the weekly maintenance of the following locations:
Greer Park & Green Acres
Murdy Park
Marina Park
Civic Center
Edison Park
Chris Carr Park
Medians on Golden West
Medians on Main Street
Central Park at the Library
Central Park at Alice's Restaurant
Weekly maintenance of these areas is recommended based on the volume of
activity at the park sites and the potential of increased runoff along the turfed
medians. The balance of all park and landscaped areas would be extended to
a fourteen-day maintenance schedule.
MEMO to Silver re PTL Service Reductions.doc
Ray Silver
8/9/01
Page two
The current tree trimming cycle is an average of 30 months depending on
species. The elimination of contractual service would result in a cycle of 48
months, It is estimated that current Public Works staff would need to adjust the
urban forest to a 48-month trimming schedule.
With these service level reductions, there would be huge challenges to us in
meeting the service the community has come to expect. Existing customer
response would be slowed and irrigation problems will not be addressed in a
timely manner. There would also be challenges in the timely application of
fertilizers and pesticides. The adjustment of the trimming cycles would create
new challenges in the sweeping program and create the potential for
additional reactive limb failure response.
RFB:PE:jm
c: William Workman, Deputy City Administrator
Paul Emery, Deputy Director of Public Works
John Van Oeffelen, Park, Tree & Landscape Operations Manager
James Jones, Maintenance Operations Manager
ATTACHMENT #6
HBC11"y of itlunt' n - ton Beach
• library • administration •
To: Clay Martin, Director of Administrative Services
From: Ron Hayden, Library Services Director
Date: 8/20/01
Subject: City Council Budget Questions FY01/02: Library Services Questions 12 & 13
The following is in response to your 8/15 memo requesting answers to City Council questions.
CITY COUNCIL QUESTION:
12. Review savings from alternative library closures, besides closing Central Library on Sundays.
Eliminate Sunday hours results in a net savings of$71,500 — reduces 8 part time employees
Budget Lost FTE Reductions Classifications Reduced
Program Amount Revenue Pt. time Part time
Sunday Budget $105,000 8.00 Librarians,Clrks.
Fines ($8,500) Pages, Maint.
Media ($17,500)
Nonresid. cards ($7,500)
Lost Revenue ($33,500)
Sunday Closing Savings 71 500
Impacts
• Because Sunday operation is popular with patrons, there could be negative public reaction.
• Loss of revenue from the Friends of the Library Books Sales and Gift Shop
• Various service related impacts listed within Options A and B
LIBRARY RESPONSE
Reduce Thursday Evening hours by 4 - Library open 9:00 am — 5:00 pm.
Thursday is less busy than other evenings. Annually there are 37,650 patrons and 47,059 book
circulations during this period.
OPTION A: ELIMINATE 2 FTE PERMANENT AND 1 3/ FTE TEMPORARY POSITIONS
PPERSONNEL REDUCTIONS BUDGET AMOUNTS
1 Senior Clerk (Children's, Reception or Technical Processing) $44,000
1 Custodian $36,500
1/2 Recurrent Librarian - Children's and Reference $ 9,314
3/4 Children's Page $ 5,000
1/2 Adult Page $ 3,425
Total Personnel Reductions $98,239
60- HUNTINGTON BEACH PUBLIC LIBRARY S Y S T E M
LOST REVENUE
Media ($17,500)
Non Resident Fees ($ 2,600)
Fines ($ 4,900)
OPTION A TOTAL YEARLY REDUCTIONS $73,239
IMPACTS:
• Employees meet and confer issues: rescheduling and reduction of shift pay differentials
• Necessitate staff reorganization and "bumping" logistics due to eliminating staff
• Working parents, their children and students would have reduced night hours
• Loss of revenue from the Friends of the Library Books Sales and Gift Shop
• Reduced time for ILL's, reserves, overdues and claims returned if clerk reduced in reception
• Reduced time for Librarians for collection development and storytime planning
• Increase in time needed to compile statistical reports and ordering of supplies.
• One less backup storyteller to cover 18 weekly storytimes if clerk reduction is in childrens
• If clerk reduction is in Technical Processing, patrons would wait longer to get new books
• Reduced substitute clerks and recurrent librarians for public service desk coverage
• Reduction in computer lab hours and less computer training for patrons and staff
• Timelines of books being reshelved will be reduced
• Eliminate or attempt to reschedule Family Evening Storytime
• Maintenance of building reduced due to loss of custodian
•. Room rentals and revenue affected due to loss of custodian for room set up
• Potential safety hazard if custodian is not available to respond for maintenance / clean up
OPTION B: ELIMINATE 2 FTE PERMANENT POSITIONS AND REDUCE BOOK BUDGET
PERSONNEL/ BOOK BUDGET REDUCTIONS BUDGET REDUCTION AMOUNT
1 Senior Clerk (Children's, Reception or Technical $44,000
Processing
1 Custodian $36,500
Reduce Children's Book Budget $ 9,000
Reduce Adult Book Budget $ 9,000
$98,500
LOST REVENUE
Media ($17,500)
Non Resident Fees ($ 2,600)
Fines ($4,900)
OPTION B TOTAL YEARLY REDUCTIONS $73,500
OPTION B IMPACTS:
• Previous 5% GF Reduction resulted in a $109,852 book budget cut. Additional cut of$18,000
in book budget will significantly reduce book selection and the collection will become
outdated. Children's circulation has increased by 25%. Book budget cuts will prevent ordering
of multiple copies and award winning books to meet the needs of young children and students
• Same as Option A
600 HUNTINGTON BEACH PUBLIC LIBRARY S Y S T E M
QUESTION:
13. Better explain effect of closing branch libraries on City revenue.
Loss of Revenue: If the branch libraries were closed, the following revenue would not be
collected:
Subtotal Total
Main Street Branch: $18,808
Book Sales $ 4,764
Coastline tape rental 900
Fines and Fees 5,344
Space Rental 7,800
Banning Branch: $3,600
Fines and Fees 3,600
Helen Murphy Branch: $5,200
Fines and Fees 5,200
Oak View Branch: $44,575
Donations/Grants Children's Bureau 43,900
Fines and Fees
Grand Total Branch Revenue Loss $72,183
The financial impact on closing the library branches is as follows:
General Fund Budget FY01/02
Helen Murphy Branch $61,058
Oak View Branch 54,696
Banning Branch 55,073
Main Street Branch 58,927
Total Branch Budgets $229,754
Less $72,183 revenue ( $72,183)
Net Branch Closing Savings 157 571
Personnel Reductions from Closing the Branches:
• 4 Permanent Library Assistants + 1 Temporary Library Assistant
Impacts to residents in the branch areas
• Eliminate 144,713 annual book circulation;16,800 storytime attendance; 9,750 volunteer hrs.
• Eliminate 29,690 readers advisories — 9,700 children attendance for homework assistance
• Eliminate four Library Assistants resulting in staff reorganization and "bumping" logistics
• Negative citizen reaction
• Increase demand for Central Library Services
Fy0102budgetquestions
CO-
HUNTINGTON BEACH PUBLIC LIBRARY S Y S T E M
Proposed Budget
� 2001 /03 Fiscal Years
WORKSHOP
City Council sway Session
Pugust27, 2001 1
Overview Summary
• Budget Summary
• Responses to City Council Questions
• Taxpayer Value
• City Council Actions
City Council Study Session
August 27, 2001 2
Budget
Av
-P aim
17.
x-
AR
City Council Study Session -
August 27, 2001 3
Expendi' ture u e
FY 00/01 FY 01 /02 Percent FY 02/03 Percent
Revised Budgeted Change Budgeted Change
(in thousands) (in thousands) (in thousands)
Total City 3371013 2771684 17.6% 2671451 3.7%
Expenditures a IG
General Fund 136,778 131 ,827* 3.6% 138,400 5%
Component a a
*Additional $1.61 million expenditure not noted for increase to General Fund Reserve
City Council Study Session -
August 27, 2001 4
General Fund
Reductions Summary
• Administration 4� $ 168 , 357
• Administrative Services $283 , 568
• Non-Departmental $21100 1 000
• City Attorney $ 12 51218
• City Clerk $46,000
• City Treasurer $ 116,205
• Building & Safety $ 135,900
City council Study Session
August 27, 2001 5
General Fund
Reductions Summary
• Community Services $433 , 507
• Fire $427 , 916
• Library Services' $ 1887547
• Planning $ 1261737
• Police $ 1 ,802 , 198
• Public Works $2 ; 0887000
• TOTAL GENERAL FUND $8,042, 153
REDUCTIONS
City Council sway Session
August2], 2001 6
eneral F
Department
DEPARTMENT REVISED PROPOSED CHANGE
FY 00/01 FY 01/02
Administration (note 1 ) 116501951 211051439 4541488
Administrative Services (note 2) 41301 ,927 41351 ,422 491495
Building & Safety 217411544 2,5971322 (144,222)
City Attorney 215861597 117771601 (808,996)
City Clerk 6701858 5911531 (79,327)
City Council 2881128 260,059 (28,069)
City Treasurer 110491822 1 ,006,851 (42,971 )
Community Services 1013001514 91574,142 (726,372)
Economic Development (note 3) 271500 110171534 9901034
Fire/Information Systems 22,3321243 22,6581171 3251928
City Council Study Session -
August 27, 2001 7
eneral F
Department
DEPARTMENT REVISED PROPOSED CHANGE
FY 00/01 FY 01/02
Library Services 4,2331031 4,0441084 (188,947)
Non-Departmental (note 4) 191259,775 20,085,627 8251852
Planning 314601471 219241660 (535,811 )
Police 39,0651031 3917541464 6891433
Public Works 2418091975 2016881341 (4,121 ,634)
TOTAL 1 136,778,367 1 1331437,248 (31341 ,119)
City Council Study Session -
August 27, 2001 8
eneral F
Department
Note 1 . Administration increased due to transfers from Nondepartmental including
departmental audits ($50,000), legislative advocacy ($140,000), optical imaging contract
($100,000), microfilming contract ($80,000), and the Blanchard contract ($100,000). In
addition, employee service awards were transferred from Administrative Services.
a Note 2. Administrative Services increased due to transfers from Nondepartmental
including the annual City audit ($45,000), Property and Sales audits ($40,000), Section
125 administration ($20,000), Training and Schools ($70,000).
a Note 3. Economic Development increased due to transfers from Nondepartmental
including the ACS agreement ($200,000), TEAM Petroleum agreement ($90,000),
Visitors & Convention Bureau ($200,000), and HB Union High School District agreement
($95,000). In addition, Business Development was transferred from the Redevelopment
Agency.
a Note 4. Nondepartmental budget increased to cover raising energy and fuel cost.
City Council Study Session -
August 27, 2001 9
esponses
to CImtY
Council
. ,:-_.:-- �.� - _,�,. .- �.� ,. -<.,.--.:;. a��-�: �& �- --:"^ :-,:...'r-,,,,""" -, _ , . .� u. ,;, - 1e� ^r "�z� a---�C� �° �-",w.►' �
-
=y
City Council Study Session -
August 27, 2001 10
Federal Income Tax
• The Federal Government is expecting
$1,079 billion in personal income tax
revenue in Fiscal Year 01 /02 .
• All cities in the United States will receive
less than 3% ($32 billion) of the Federal
Government's personal income tax
revenue.
City Council Study Session -
August 27, 2001 11
Federal Income Tax
That means that $32 billion is to be
divided between the nation 's 18 , 000
cities .
The City is estimating total revenues
from the Federal Government at $2. 8
million for all funds.
$ 1 . 6 million is CDBG grants.
City Council Study Session -
August 27, 2001 12
State Income Tax
0 The State of California is estimating $44.8
billion in personal income tax revenue in
Fiscal Year 01 /02 .
0 California cities will receive approximately 3%
($ 1 . 34 billion) of the State's personal income
tax revenue according the League.
0 To maintain the VLF backfill the State must
designate $ 1 .2 billion to meet its promise.
City Council Study Session -
August 27, 2001 13
State Income Tax
0 Therefore all that is left for California's 476
cities is $ 140 million .
0 The City is estimating total revenues from the
State of California not including VLF revenue
of $5 million for all funds.
0 $3 .6 million is State Library revenue to the
General Fund
City Council Study Session -
August 27, 2001 14
Personal income Tax
Per Capita
Claritas° the City's demographic
statistics provider estimates that City's
2001 per capita income to be $35., 303
per year.
The Federal Income Tax .on an annual
income of $35, 303 would be $5,690.31
or $474. 19 per month .
City Council Study Session -
August 27, 2001 15
Personal Income Tax
Per Capita
The California State Income Tax on an
annual income of $35 , 303 would be
$1., 315,. 56 or $109.88 per month.
The per capita federal and state income
tax paid by a Huntington Beach resident
is $7, 005,w87 per year or $583, 82 per
month.
City Council Study Session -
August 27, 2001 16
. Full and Part-Time
Personnel Reductions
In FY 01 /02 the City is eliminating 9
positions
• Fire Department elimination of one
Administrative Secretary, one Fire
Prevention Specialist, three Fire Engineers
• Planning Department elimination of one
Assistant Planner position
• Police Department elimination of one Senior
Crime Analyst, one Crime Analyst and one
Office Assistant II positions.
City Council Study Session -
August 27, 2001 17
Departmental
Unrestr'lctedvs . Restr'icte
Department Unrestricted Funds Restricted Funds
(General Fund) (Other Funds)
Administration 78% 22%
Administrative Services 22% 78%
Building and Safety 72% 28%
City Attorney 75% 25%
City Clerk 100% 0%
City Council 100% 0%
City Treasurer 94% 6%
Community Services 64% 36%
Economic Development 9% 91%
Fire/Information Systems 74% 26%
Library Services 78% 22%
City Council Study Session -
August 27, 2001 18
Departmental
Unrestrl' ctedvs . Restrmicted
Department Unrestricted Funds Restricted Funds
(General Fund) (Other Funds)
Nondepartmental 40% 60%
Planning 94% 6%
Police 92% 8%
Public Works 23% 77%
TOTAL 48% 52%
City Council Study Session -
August 27, 2001 19
What are the Ci' tyls Options
Regarding Franchise Fees?
• The City has franchises with the
following utilities :
• Gas • Transfer Station
• Electricity • Refuse
• Cable TV • Pipeline
• The Cable franchise will expire in 2005
and the Gas franchise will expire in
2007
City Council Study Session -
August 27, 2001 20
What Other Cities
Have 501 (c) 39.
The City of La Palma identified the
following cities with 501 (c)3 Community
Foundation :
• Costa Mesa • Long Beach • Coronado
• Irvine • Santa Monica
• Cypress • Corona
All of these Community Foundations
deal with community service activities
City Council Study Session -
August 27, 2001 21
What is the City's Subsidy to the
Convention and Visitors Bureau
• In the FY 01 /02 City's allocation to the
Convention and Visitors Bureau (CVB ) is
$200 ) 000
• The CVB total budget for FY 0 1 /02 is
$300 ) 000
City Council Study Session -
August 2], 2001 22
Community Services
Streamlined Process
0 The Community Services Department is
currently overseeing a nexus study regarding
Quimby Act funding and other possible
impact fees to offset costs of park, recreation ,
cultural , and human services activities
0 One of the possible recommendations will be
the formation of a 501 (c)3 community
foundation to support Community Services
programs.
City Council Study Session -
August 27, 2001 23
Overnight Camping at
Percy Park
To determine revenue potential at Percy
Park a variety of studies would have to
be completed including entitlement and
design processes.
If Council were desirous of the concept
Community Services staff would under
go the studies and return with cost and
revenue assumes.
City Council Study Session -
August 27, 2001 24
Alternative Sport s
Complex Revenue
0 Initiating commercial recreation concessions
will generate $200,000 to $500 ,000
0 Initiating a parking fee will generate $200, 000
0 Initiating naming rights will generate
$ 100,000 to $ 150,000
0 The total additional revenue, if all three
enhancements were initiated , will be
$500 ,000 to $850,000
City Council Study Session -
August 27, 2001 25
Reductions in Park
and Tree Maintenance
The Public Works Department
estimates that by reducing service
levels in park and tree maintenance the
City would save $550 , 000 annually.
City Council Study Session -
August 27, 2001 26
Alternatives to Sunday
Central Library Closures
40 Alternative A Summary
Reduce Thursday evening hours, as
Thursday evenings are the least busy
evening of the week. Thursday evening
closures would save the City $73,200
annually. Impact of Thursday evening
closures are: reduced service levels (37,650
visitors to the library on Thursday evenings);
loss of General Fund revenue; deferred
maintenance; and meet and confer issues.
City Council Study Session -
August 27, 2001 27
Alternatives to Sunday
Central Library Closures
0 Alternative B Summary
Eliminate 2 Full Time positions and reduce
book budget. Alternative B results in a
savings to the City of $73,500 annually.
Impact of Alternative B would be: reduced
service levels; dated book stock; loss of
General Fund revenue; and meet and confer
issues.
City Council Study Session -
August 27, 2001 28
Effect of Closing
Branch Libraries
• If the City closed the branch libraries the
General Fund would loss $72 ,200 in
General Fund revenue
• The total operating costs of the branch
libraries is $229, 800
• The total General Fund savings for
closing the branch libraries is
$157y600
City Council Study Session -
August 27, 2001 29
Summary of
Threats to Revenue
Howard Jarvis v. $ 9.0 million
City of Huntington Beach
Utility Users Tax $ 11 . 0 million
Vehicle License Fee $ 6.8 million
0 TOTAL $26.8 million
0 ERAF loss continues at $7 million annual
0 National, State, and Local Economies
City Council Study Session -
August 27, 2001 30
e`
Taxpayer Value
-p
:jT
-
-+;�
a ... � _ .�.� '-tee ._ �,.� �` �� - � �,�✓„�z
,�, _. ,.,�.. �aitz »ems_� .,�.. - �e� =�_z�; s'h�}r gym; - ate^ .r�' � -. �-: �.,»..E i`� �#•.' �'�'
City Council Study Session -
August 27, 2001 31
Taxpayer Value
The total monthly cost of all services provided
by the City is $119.46 per resident
Average monthly cost to each resident for City
services including trash and water is $35- 99
. Less than basic cable for one month
A value of $83.47 per resident per month.
Total taxes and fees paid by residents toward
City services is approximately $61 million
City Council Study Session -
August 27, 2001 32
Taxpayer Value (cont. )
u.� Most of City Budget (almost $200 million)
paid by others including business, other
agencies, tourists and visitors
Average resident in Huntington Beach pays
approximately $580 per month in federal and
state income tax
City Council Study Session -
August 27, 2001 33
C 'Ity ouncel Act "ions
r _
City Council Study Session -
August 27, 2001 34
City Council Actions
• August 6 , 2001
• Authorized sale of bonds and establish
appropriate revenue and expenditure budgets
• August 13 , 2001
• Approved CDBG Budget.
• Reduce General Fund revenue $40,791
. Reduce Project Self Sufficiency budget $20,000
. Reduce Seniors Outreach budget $20,791
City Council Study Session -
August 27, 2001 35