Nov 20, 2023 Finance Committee Meeting

[00:00:02]

GOOD MORNING, EVERYONE.

[Roll Call]

AND WE HAVE AN ECHO.

AND TODAY IS MONDAY, NOVEMBER 20TH, 2023.

AND IT IS 11:04.

MADAM CLERK, CAN YOU PLEASE DO THE ROLL CALL, PLEASE? SURE. GOOD MORNING.

THIS IS CONNIE SWISHER, RECORDING SECRETARY TAKING ROLL CALL.

VOTE. DIRECTOR MERCURIO HERE.

DIRECTOR ROSARIO HERE.

AND DIRECTOR CORBETT HERE.

GREAT. AND I JUST WANT TO LET EVERYONE KNOW THAT DIRECTOR CORBETT IS JOINING US REMOTELY, AND SHE IS ILL, AND DIRECTOR CORBETT, I NEED TO ASK YOU A COUPLE OF QUESTIONS FOR THE FOR THE BROWN ACT.

ARE THERE ANY INDIVIDUALS 18 YEARS OF AGE WHO ARE, WHO ARE OR WILL BE PRESENT IN THE ROOM AT YOUR LOCATION? NO. EXCELLENT.

THANK YOU AND WELCOME.

I'M GLAD YOU COULD JOIN US REMOTELY.

THANK YOU VERY MUCH.

MY VOICE WILL NOT BE WORKING WELL, SO.

AND THEN CONNIE, CAN YOU PLEASE LET PEOPLE KNOW HOW THEY CAN PARTICIPATE IN THE MEETING TODAY? SURE WILL. THIS MEETING IS BEING HELD PURSUANT TO THE BROWN ACT.

WE ARE PROVIDING LIVE VIDEO AND AUDIO STREAMING.

MEMBERS OF THE PUBLIC WISHING TO MAKE A COMMENT CAN DO SO.

ONE OF THE FOLLOWING WAVES LIVE IN PERSON OR VIA THIS ZOOM MEETING BY SUBMITTING AN EMAIL OR LEAVING A VOICEMAIL.

ALL THIS INFORMATION IS NOTED ON THE AGENDA LOCATED AT THE PARK DISTRICT'S WEBSITE.

EBPARKS.ORG. IF THERE ARE NO OTHER QUESTIONS ABOUT THE MEETING PROCEDURES, WE CAN BEGIN.

GREAT. THANK YOU.

AND THEN FIRST ON OUR LIST IS APPROVAL OF THE MINUTES.

[Approval of Minutes]

AND I WILL ENTERTAIN A MOTION TO APPROVE.

MOVE! APPROVAL.

AND I SEE A SECOND FROM DIRECTOR CORBETT.

ALL THOSE IN FAVOR, PLEASE SAY AYE.

AYE. THANK YOU.

THE MINUTES ARE APPROVED.

AND NOW WE ARE AT ITEM NUMBER THREE.

PUBLIC COMMENTS ON ITEMS, NOT ON THE AGENDA.

I'M JUST DOUBLE CHECKING AND I HAVE NO PUBLIC COMMENTS AT THIS TIME.

SEEING NO ONE IN THE ROOM.

THANK YOU. AND NOW WE HAVE ITEM NUMBER FOUR FOR A GREEN BOND 2022 ANNUAL REPORT.

HI. GOOD MORNING, EVERYONE.

DEBORAH SPAULDING, ASSISTANT FINANCE OFFICER.

WE'RE ACTUALLY GOING TO TAKE THINGS SLIGHTLY OUT OF ORDER, IF THAT'S ALL RIGHT, AND TAKE OUR BUDGET ITEM FIRST.

[Action Items]

SO, I'M GOING TO SHARE MY SCREEN.

GIVE ME A SECOND HERE.

SO, WE'RE ON 5.A OR I BELIEVE IT'S 5.A; IS THAT RIGHT? YES. OKAY. 5.A.

ALL RIGHT.

HOW'S THAT LOOKING FOR EVERYONE? GOOD. ALL RIGHT, SO BEFORE I JUMP INTO THE PROPOSED OPERATING AND PROJECT BUDGET FOR 2024, I WANT TO THANK THE TEAM THAT PULLED THIS TOGETHER. FIRST OFF, JAYLEN BAYONA, WHO WAS HERE IN THE AUDIENCE, OUR BUDGET MANAGER.

THIS WAS HER FIRST YEAR WORKING ON THE BUDGET, AND SHE WAS SIMULTANEOUSLY SERVING AS OUR ACTING AFO.

SO, IT WAS A BIG TASK AND I REALLY APPRECIATE ALL HER WORK.

AND THEN ALSO SHANNON RICE, WHO IS NOT PRESENT TODAY, SHE STEPPED UP FROM HER EXECUTIVE ASSISTANT ROLE AND HAS BEEN OUR ACTING ADMIN ANALYST TWO FOR THE LAST SEVERAL MONTHS.

SO, SHE DID AN AMAZING JOB.

AND THEN A LOT OF THE PEOPLE HERE IN THE AUDIENCE, MANY PEOPLE WHO ARE MAYBE LISTENING IN OUR BUDGETEERS ALSO PROVIDED A LOT OF HELP TO US GETTING THEIR REQUESTS IN ON TIME AND ANSWERING ANY QUESTIONS WE HAD.

SO, THANK YOU TO THEM.

SO, I'M GOING TO BEGIN BY GIVING YOU AN OVERVIEW OF THE PARK DISTRICT'S BUDGET CYCLE.

UNLIKE MANY AGENCIES, WE HAVE A CALENDAR FISCAL YEAR.

SO, JANUARY THROUGH DECEMBER.

AND SO, DURING THE MONTHS OF THE SUMMER, WE'RE STARTING TO WORK ON OUR BUDGET.

WE'RE DEVELOPING THE REVENUE EXPECTATIONS FOR THE COMING YEAR.

AND I'LL TALK MORE ABOUT EACH OF THESE LITTLE BUBBLES IN SOME COMING SLIDES.

BUT IT REALLY STARTS DURING THE SUMMER MONTHS.

THEN WE CALCULATE KNOWN BUDGETARY NEEDS.

SO, WE'RE BUILDING WHAT WE CALL OUR BASE BUDGET, WHICH IS EVERYTHING THAT WE'RE KIND OF CARRYING FORWARD FROM THE PAST YEARS.

AT THAT SAME TIME, WE'RE COLLECTING BOARD DIVISION AND COMMUNITY INTERESTS.

AND AS YOU KNOW, WE DO THAT THROUGH STUDY SESSIONS AND SURVEYS OF THE PUBLIC AS WELL.

[00:05:02]

AND SO, THEY DO THAT BY ENTERING INTO OUR FINANCE ENTERPRISE SYSTEM.

THEY ENTER THEIR BUDGET REQUEST, AND THEN THEY HAVE AN OPPORTUNITY TO PRESENT THOSE.

THE AGM'S MEET WITH THE GENERAL MANAGER, AND THEY PRESENT THOSE TO THE GENERAL MANAGER, REALLY EXPLAINING WHY THEIR PRIORITIES ARE WHAT THEY ARE AND WHY THEY ASKED FOR CERTAIN AMOUNTS OF MONEY. SO, WE TAKE ALL THAT INFORMATION AND WE PUT IT TOGETHER INTO THE PROPOSED BUDGET.

AND THAT IS WHAT YOU ARE SEEING TODAY.

SO, THE PROPOSED BUDGET FIRST COMES TO THE FINANCE COMMITTEE IN NOVEMBER, AND THEN WE'LL GET RECOMMENDED, I HOPE, TO THE FULL BOARD FOR A PUBLIC HEARING, THE FIRST MEETING IN DECEMBER AND THEN ADOPTION AT THE SECOND MEETING IN DECEMBER, AND THEN JANUARY 1ST.

WE HAVE A NEW BUDGET, AND FOR THE FIRST SIX MONTHS, WE'RE REALLY JUST REVIEWING HOW ARE THINGS GOING, OUR REVENUES COMING IN THE WAY WE EXPECTED, OUR EXPENDITURES GOING AS WE EXPECTED, AND THEN WE START ALL OVER AGAIN.

AS WE ARE WORKING ON OUR BUDGET, WE ARE ALWAYS KEEPING IN MIND THE PARK DISTRICT'S MISSION STATEMENT, WHICH IS TO PRESERVE A RICH HERITAGE OF NATURAL AND CULTURAL RESOURCES AND PROVIDE OPEN SPACE, PARKS, TRAILS, SAFE AND HEALTHFUL RECREATION, ENVIRONMENTAL EDUCATION AND AN ENVIRONMENTAL ETHIC GUIDES THE DISTRICT IN ALL THAT WE DO.

SO NOW DIGGING A LITTLE BIT MORE INTO EACH OF THOSE BUBBLES THAT YOU SAW EARLIER.

SO, WHAT DOES IT MEAN THAT WE'RE LOOKING AT OUR REVENUE EXPECTATIONS FOR THE COMING YEAR? THE MAIN THING THAT WE ARE LOOKING AT, THE FIRST THING THAT WE'RE LOOKING AT IS PROPERTY TAXES.

SO THAT ENDS UP BEING ABOUT 90% OF OUR GENERAL FUND BUDGET.

ABOUT 80% OF THE DISTRICT'S ENTIRE BUDGET IS PROPERTY TAXES.

SO, WHAT WE HAVE FROM THE TWO COUNTIES IS THE KNOWN INCREASE FOR THE FIRST HALF OF 2024 WHAT WE DON'T HAVE IS WHAT'S GOING TO HAPPEN IN THE IN THE FOLLOWING YEAR IN THE FOLLOWING FISCAL YEAR. SO, THE SECOND HALF OF OUR FISCAL YEAR 2024.

AND SO, WE USE A FIRM BEACON ECONOMICS TO HELP US WITH THAT.

AND THEY DO A PROJECTION FOR US.

SO, TAKING THOSE TWO PIECES OF THE PUZZLE, THE PARK DISTRICT IS EXPECTING A 6% INCREASE IN PROPERTY TAXES IN 2024.

OUR NEXT BIGGEST REVENUE SOURCE.

FEES AND CHARGES.

WE GET THAT INFORMATION PRIMARILY FROM OUR OPERATIONS FOLKS.

AND IT'S IMPORTANT TO NOTE HERE THAT THIS YEAR WE ARE IMPLEMENTING A MASTER FEE SCHEDULE REVIEW AND REALLY LOOKING AT ALL OF OUR FEES.

SO, WE WERE NOT VERY AGGRESSIVE WITH OUR FEES AND CHARGES PROJECTIONS IN THIS YEAR, REALLY TRYING TO GIVE SPACE FOR THAT TO PLAY OUT.

AND THEN LASTLY, WE LOOK AT OTHER FUNDS.

SO, WE HAVE INTERNAL SERVICE FUNDS THAT HAVE REVENUE AND EXPENDITURE NEEDS.

WE HAVE ALL OF OUR SPECIAL REVENUE FUNDS THAT WE'RE PROJECTING AND THEN DEBT SERVICE FUNDS.

WHAT DO WE NEED TO HAVE AVAILABLE FOR OUR BOND OBLIGATIONS? A NEXT STEP IS BUILDING OUR BASE BUDGET.

SO THAT'S, AS I MENTIONED, EVERYTHING CARRIED FORWARD FROM THE PRIOR YEAR THAT WE KNOW WE NEED TO BUDGET FOR.

SO, ALL EXISTING EMPLOYEE COSTS AND WITH KNOWN SALARY AND BENEFIT INCREASES.

SO, FOR EXAMPLE, THIS YEAR WE HAD A 10% INCREASE IN KAISER MEDICAL PREMIUMS. SO THAT GETS BUILT INTO THAT BASE BUDGET.

WE ALSO CARRY FORWARD ANY BASE BUDGET INCREASES THAT WERE APPROVED IN PRIOR YEAR, AND WE STRIP OUT THE ONE-TIME REQUESTS FROM THE PRIOR YEAR.

WE MAKE SURE THAT WE'RE BUDGETING FOR DEBT SERVICE AND ANY OTHER OBLIGATIONS.

AND THEN WE THINK ABOUT LONG TERM COSTS.

SO, THINGS THAT MAYBE AREN'T HAPPENING IN 2024.

BUT WE KNOW WE NEED TO BE READY FOR IN FUTURE YEARS.

SO NEW DEBT ISSUANCE IS AN OBVIOUS ONE FOR SOME OF US.

WE'RE GOING TO BE MOST LIKELY ISSUING NEW DEBT FOR THE PERALTA OAKS NORTH BUILDING.

SO THAT KIND OF THING, NEW PARK OPENINGS, OTHER LONG-TERM LIABILITIES, REALLY KEEPING THAT IN MIND.

AND COLLECTING INPUT FROM THE COMMUNITY, FROM OUR BOARD AND FROM OUR AGMS. THAT HAPPENS PRIMARILY THROUGH THE BOARD STUDY SESSIONS, WHICH ARE HELD IN THE LATE SUMMER.

FIRST, THE AGMS PRESENT THEIR GOALS AND OBJECTIVES AND TALK ABOUT THEIR CHALLENGES, AND THEN THE BOARD HAS AN OPPORTUNITY TO TALK ABOUT WHAT THEIR VISION IS FOR THE PARK DISTRICT AS A WHOLE, AND THEN ALSO TALKING ABOUT THEIR NEEDS FOR THEIR PARTICULAR WARDS.

AND THEN COMMUNITY INPUT, WE GATHER IN VARIOUS WAYS.

THIS YEAR WAS VIA SURVEY.

SO, ONCE WE HAVE ALL THAT INFORMATION, THE BUDGET OFFICE PUTS TOGETHER A MEMO THAT GIVES THE DIVISIONS THE FRAMEWORK FOR WHAT THEY SHOULD BE EXPECTING.

AND SO, IN THIS YEAR, WE LET EVERYONE KNOW THAT IT WAS GOING TO BE A MORE MODERATE BUDGET YEAR.

SO, THE LAST COUPLE OF YEARS HAVE BEEN REALLY ROBUST.

WE HAD A LOT OF NEW PROPERTY TAX REVENUE WE WERE ABLE TO ALLOCATE.

AND THIS YEAR IS YEAH, WE WANTED EVERYONE TO HAVE EXPECTATIONS THAT WERE REASONABLE.

[00:10:05]

AND THEN THE STAFF ENTERED THEIR BUDGET REQUESTS.

AND THEN THAT INFORMATION GETS PRESENTED TO THE GENERAL MANAGER.

AND FROM THAT WE CREATE THE PROPOSED BUDGET.

SO, THE GENERAL MANAGER WORKS WITH THE BUDGET OFFICE TO FIGURE OUT WHAT CAN AND WHAT SHOULD BE INCLUDED IN THE PROPOSED BUDGET.

AND THEN IT'S TIME FOR THE BUDGET TEAM TO GET TOGETHER, PUT IT ALL TOGETHER INTO THESE TWO BOOKS, AND WE BRING IT TO THE FINANCE COMMITTEE FOR YOU TO REVIEW IN NOVEMBER, WHICH IS WHERE WE ARE TODAY, AND THEN IT'LL GO TO THE FULL BOARD TWICE IN DECEMBER, FIRST FOR A PUBLIC HEARING ON DECEMBER 5TH AND THEN AGAIN DECEMBER 19TH FOR ADOPTION AND THEN JANUARY 1ST.

EVERYONE HAS THEIR NEW BUDGET LOADED AND THEY'RE READY TO GO.

AS WE ARE MAKING OUR BUDGET DECISIONS, WE'RE ALWAYS KEEPING THESE PRINCIPLES IN MIND.

NUMBER ONE IS THAT WE WANT TO HAVE A FINANCIALLY SUSTAINABLE ORGANIZATION, NOT JUST FOR THE COMING YEAR, BUT FOR FOREVER.

WE'VE MADE IT THROUGH ALMOST 90 YEARS.

WE WANT TO BE HERE FOR, YOU KNOW, ANOTHER HUNDRED OR MORE.

WE WANT TO PURSUE OUR MISSION TO RESTORE, PRESERVE AND PROTECT SCENIC, NATURAL AND CULTURAL RESOURCES IN A CHANGING CLIMATE.

SO, IT'S MORE THAN JUST RESTORE, PRESERVE, PROTECT.

WE HAVE TO BE MINDFUL OF THE CHANGING ENVIRONMENT.

WE WANT TO PROTECT OUR EMPLOYEES, NOT ONLY THEIR CURRENT WELL-BEING, BUT ALSO INVESTING IN THEIR FUTURE RETIREMENT.

WE ALWAYS NEED TO ADDRESS ANY LEGAL AND REGULATORY MANDATES AS PART OF OUR BUDGET.

WE WANT TO INVEST IN PROGRAMS AND PROJECTS THAT WE WILL HELP US ACHIEVE OUR VISION.

AND THEN LASTLY, BUT NOT LEAST, PRESERVING OUR EXISTING CAPITAL INVESTMENTS.

SO, EMPHASIZING FUNDING FOR MAINTAINING WHAT WE ALREADY HAVE.

THOSE ARE OUR BUDGET BALANCING PRINCIPLES.

AND NOW GETTING INTO THE INPUT THAT WE RECEIVE FROM OUR COMMUNITY SURVEY.

SO, THIS WAS CONDUCTED BY OUR LEGISLATIVE TEAM, AND THE SURVEY RESULTS THAT THEY RECEIVED REALLY FOCUSED ON THESE TOPICS, IMPROVING EQUITABLE ACCESS TO THE PARKS.

AND SO, EMPHASIS ON THE EQUITY THERE, MAKING SURE EVERYONE IS ABLE TO VISIT OUR PARKS.

A PERCEPTION OF SAFETY IN PARKS WAS EMPHASIZED IN THE SURVEY.

AND THEN LASTLY, WE HEARD A LOT ABOUT INCREASING ACCESS TO PARKS AND TRAILS.

SO, MAKING IT POSSIBLE FOR EVERYONE TO ACCESS OUR PARKLANDS.

AND THEN HERE ARE JUST A FEW HIGHLIGHTS THAT CAME OUT OF THE BOARD STUDY SESSION.

SO, THERE WERE MANY, BUT THESE WERE AREAS WHERE WE FELT THERE WAS EVERYONE WAS ON THE SAME PAGE OF WHAT WAS IMPORTANT.

SO, MAINTAINING AND IMPROVING EXISTING INFRASTRUCTURE, PARTICULARLY IN THE FACE OF GLOBAL WARMING AND CLIMATE CHANGE, A RENEWED COMMITMENT TO TRAIL DEVELOPMENT WAS SOMETHING THAT WE HEARD ACROSS THE BOARD.

EMPHASIS ON CULTURAL AND ENVIRONMENTAL RESOURCE CONSERVATION.

CONTINUING THE PARK DISTRICT'S EFFORTS THAT WE'VE HAD FOR MANY YEARS TOWARDS FUEL SUPPRESSION AND WILDFIRE PREVENTION, AND LASTLY, EXPANDING PUBLIC ACCESS TO NATURE FOR ALL. AND SO, I'VE UNDERLINED KIND OF THE KEY WORDS HERE.

AND THEN ON THE NEXT FEW SLIDES I'M TALKING ABOUT SOME OF THE PROJECTS OR PROGRAMS THAT ARE MOVING FORWARD IN THIS YEAR THAT WE BELIEVE ARE RESPONSIVE TO THOSE TO THOSE NEEDS. SO, FOR INFRASTRUCTURE MAINTENANCE, ONE SIGNIFICANT CHANGE IS WE'VE SET UP A NEW PROJECT THAT IS INTENDED FOR EMERGENCY REPAIRS.

SO, IN THIS PAST YEAR WE HAD THE BIG WINTER STORMS THAT HAPPENED REALLY AT THE END OF 2022, BEGINNING OF 2023.

AND SO A LOT OF WORK PRIORITIES HAD TO SHIFT BECAUSE SUDDENLY THERE WERE ALL THESE REPAIRS THAT WERE NEEDED.

AND SO WE'RE SETTING ASIDE MONEY.

WE EXPECT THAT THIS IS NOT A ONE TIME OCCURRENCE.

IT'S GOING TO KEEP HAPPENING.

SO, SETTING ASIDE FUNDS SO THAT WE'RE ABLE TO BE RESPONSIVE VERY QUICKLY WHEN THAT HAPPENS.

ADDITIONALLY, SETTING ASIDE $1 MILLION FOR SWIMMING FACILITY REPAIRS, WE HAVE A FEW FACILITIES THAT WE KNOW ARE GOING TO BE NEEDING SOME WORK.

WE'RE NOT SURE WHICH ONES WILL COME FORWARD IN WHICH ORDER.

SO JUST HAVING THAT MONEY AVAILABLE SO THAT WHEN IT'S WHEN IT'S TIME TO DO THE WORK, WE HAVE THE FUNDS READY.

A PROJECT THAT CAME TO OUR ATTENTION THIS YEAR.

THAT'S THE INFRASTRUCTURE MAINTENANCE IS THE LAKE ANZA DAM THAT NEEDS $1 MILLION FOR A REPAIR.

THAT'S AT TILDEN.

300,000 IS BEING SET ASIDE FOR CULVERT REPLACEMENT DISTRICT WIDE.

IT'S SOMETHING THAT'S BEEN AGAIN, AS STORMS ARE HAPPENING, WE'RE INCREASINGLY AWARE THAT OUR CULVERTS NEED MAINTENANCE.

AND THEN OPERATIONS HAVE REQUESTED 360,000 TO REPLACE THE FLOORING AT ALL OF THEIR RESERVABLE FACILITIES, WHICH WILL MAKE THEM MORE, MORE ATTRACTIVE, MORE RENTABLE. ASK QUESTION.

YEAH. HOW WOULD YOU LIKE TO WOULD YOU LIKE US TO ASK QUESTIONS AS YOU'RE GIVING YOUR PRESENTATION? OR WOULD YOU LIKE US TO WAIT TILL THE END?

[00:15:04]

MIGHT BE. OKAY.

GOOD. OKAY.

OKAY. YEAH, BECAUSE I HAVE A QUESTION.

REGARDING THE NEW FUND FOR EMERGENCY REPAIRS.

IS THAT COMING OUT OF REVENUES THAT ARE COMING IN NEXT YEAR? OR IS IT? ARE WE TAKING IT OUT OR INITIALLY FUNDING IT OUT OF THE RESERVES? IT IS. SO, IT'S GENERAL FUND REVENUE.

OKAY. IT IS NOT COMING OUT OF RESERVES.

AND YOU KNOW IT'S.

YES. SO, WE ARE USING FUND BALANCE.

I'LL NOTE THAT A LITTLE BIT LATER.

WE ARE USING FUND BALANCE, BUT WE'RE NOT TAKING IT OUT OF OUR RESERVES.

SO, WE'RE MAINTAINING OUR RESERVES.

GREAT. AND THEN ALSO REGARDING THE $300,000 FOR A CULVERT REPLACEMENT.

AND MY QUESTION IS, IS THAT ENOUGH? YEAH. HOW MUCH? LOOKING TO MY OPERATIONS.

IT'S ALL DIFFERENT, BUT I SUSPECT THAT THAT'S NOT ALL THAT'S NEEDED.

BUT THAT WAS IT'S A START.

OKAY. YEAH, I THINK MORE TO COME ON.

A LOT OF THESE WHERE THIS IS SOMETHING THAT'S GETTING STARTED THIS YEAR.

GREAT. THANK YOU.

JOHN, DO YOU HAVE ANY QUESTIONS? DIRECTOR CORBETT. DO YOU HAVE ANY QUESTIONS? HEARING NONE. PLEASE CONTINUE.

ALL RIGHT. ALL RIGHT, I DO.

I'M SORRY. CAN YOU HEAR ME? YES, I DO.

I DO HAVE A QUESTION.

SO, ON THESE ITEMS WHERE WE HAVE, WE'RE SETTING ASIDE FUNDING IN ADVANCE, YOU KNOW, KNOWING THAT THAT'S SOMETHING THAT'S NEEDED. WOULD WE HAVE TO HAVE SOME SORT OF STATEMENT OR AN ANNOUNCEMENT OF WHAT WE WERE SPENDING MONEY ON, IF ALL OF A SUDDEN, WE HAD TO SPEND ON A PROJECT BECAUSE OF AN EMERGENCY? YES. DO YOU KNOW WHAT I MEAN BY THAT? YEAH, I KNOW WHAT YOU'RE ASKING.

SO, ANY ALLOCATION OF FUNDS ABOVE $50,000 WOULD COME TO THE BOARD FOR APPROVAL.

OKAY. SO, IT COULD BE FUNDING THAT WE HAVE APPROVED IN ADVANCE.

SO, WE HAVE IT THERE, WE HAVE IT SET ASIDE AND IT'S AVAILABLE ANDND THEN WE'LL LET.

BUT THEN WE'LL STILL BE ABLE TO LET PUBLIC KNOW WHAT SPECIFICALLY WE'RE NOW TAKING THAT MONEY WE'VE SET ASIDE IN CASE OF A NEED.

OKAY. GOT IT. YEP.

GREAT. THANK YOU. THAT'S A REALLY GOOD WAY TO DO THINGS, I THINK.

THANK YOU. SO I ACTUALLY HAVE A QUESTION ON THAT ONE.

IT'S A VERY POPULAR ITEM.

OKAY. SO, I'M ASSUMING THAT THE CULVERT REPLACEMENTS WOULD BE FEMA ELIGIBLE.

SO WE MAY BE SPENDING OUR MONEY FOR THAT, BUT IT HAS THE POTENTIAL AT LEAST TO BE REIMBURSED IN THE FUTURE, SOMETIMES THE DISTANT FUTURE. BUT IS THAT TRUE? THAT IS TRUE.

AND IN ADDITION, FEMA REQUIRES, I BELIEVE IT'S A 25% MATCH.

OKAY. AND SO, IT MAY BE THAT WE WOULD HAVE TO SET THESE FUNDS INTO THE PROJECT ANYWAY.

SO AGAIN, NOW WE HAVE IT SET ASIDE.

IT'S LOCKED UP AND IT'S READY.

SO, WHEN THE WHEN THE PROJECT IS READY THE MONEY IS AVAILABLE.

YEAH OKAY. GREAT.

THANK YOU. ALL RIGHT.

SO, THE NEXT LIST IS PROJECTS THAT ARE RELATED TO TRAIL DEVELOPMENT.

300,000 IS BEING SET ASIDE FOR THE NEW BIKE FLOW TRAIL AT WILDCAT CANYON.

370,000 IS BEING ALLOCATED TO THE SAN FRANCISCO BAY TRAIL DOOLITTLE DRIVE SECTION.

100,000 IS BEING ALLOCATED FOR PERMITTING WORK TO BEGIN.

AND IT'S AT THE MCCOSKER CREEK AREA THAT THEY'RE GOING TO BE WORKING ON PUTTING SOME NEW TRAILS IN.

$100,000 FOR THE CONTINUED WORK ON THE DEER VALLEY STAGING AREA AND TRAILS, AND THEN 50,000 TO BEGIN WORK ON THE PRESERVE MANAGEMENT PLAN AT CLAYTON RANCH. YEAH.

WE'RE BUDGETING THESE FUNDS FOR THESE TRAIL PROJECTS.

BUT THAT DOESN'T MEAN THAT THERE'S NOT GOING TO BE ANY DIS-- ANY IT'S NOT GOING TO CUT OFF FUTURE DISCOURSE AS TO THE DISPOSITION OF THOSE TRAILS.

I MEAN, AS FAR AS PUBLIC OR BOARD COMMENTS OR SO WE'RE JUST SETTING ASIDE THE MONEY.

JUST. YES. AGAIN, JUST SETTING ASIDE THE MONEY, IT'LL STILL FOLLOW ALL THE PRACTICES AND PROCESSES THAT YOU'RE USED TO.

EXCELLENT. THANK YOU.

ALL RIGHT. THE NEXT LIST IS ABOUT CULTURAL RESOURCES CONSERVATION AND ENVIRONMENTAL CONSERVATION.

[00:20:01]

AND A NEW PRINCIPAL PLANNER POSITION IS PROPOSED.

IN ADDITION, 75,000 TO ASSIST WITH TRIBAL ACCESS TO SITES AND AND ALSO TRIBAL CONSULTATION.

1.3 MILLION IS BEING ALLOCATED TOWARDS ENVIRONMENTAL RESTORATION AT COYOTE HILLS.

FOR THAT EXISTING PROJECT A 600,000 FOR VEGETATION MANAGEMENT AND MONITORING AT THE MCCOSKER PROJECT.

NOW THAT THAT PROJECT IS COMPLETE, WE NEED TO DO ONGOING VEGETATION MANAGEMENT THERE.

600,000 FOR ENVIRONMENTAL RESTORATION WORK DISTRICT WIDE.

THERE ARE MANY PROJECTS THAT ARE PROPOSED TO BE USED FOR THAT MONEY TO BE USED FOR, AND THEN 100,000 FOR MAINTAINING OUR GRAZING PONDS.

AND AGAIN, THERE'S A LONG LIST OF GRAZING PONDS THAT NEED THAT NEED TO HAVE REPAIR WORK DONE AND MAINTENANCE WORK DONE.

NEXT. NEXT LIST IS FUELS MANAGEMENT PROJECTS.

SO, THIS YEAR I HAVE A QUESTION.

OH. GO AHEAD. I'M ASSUMING, BUT IF YOU COULD HELP ME UNDERSTAND, DOES THIS FUNDING ISN'T ALSO AVAILABLE IF WE HAVE SOMETIMES, WE DON'T HAVE THE ENTIRE AREA, BUT WE ARE IN CHARGE OF TAKING CARE OF A TRAIL IN THE MIDST OF LAND THAT'S ACTUALLY SOMEONE ELSE'S LAND.

BUT WE HAVE THE PERMISSION TO DEAL WITH THE TRAIL.

GOING THROUGH THIS LAND IS THE FUNDING WE'RE TALKING ABOUT.

IS THAT USABLE FOR A TRAIL THAT'S WITHIN ANOTHER PROPERTY OWNER'S LAND? THAT IS A PRETTY SPECIFIC QUESTION.

I'M LOOKING AT LEGAL. I'M SEEING.

YES. SO, I BELIEVE THOSE FUNDS WOULD BE AVAILABLE.

YES. OKAY.

THANK YOU VERY MUCH.

ALL RIGHT. YOU'RE WELCOME.

ALL RIGHT, MOVING ON TO FUELS MANAGEMENT.

THIS YEAR, 2.4 MILLION IS ALLOCATED FOR FROM THE GENERAL FUND FOR CONTINUED FUELS MANAGEMENT WORK.

AND THAT'S IT.

SO, WE HAVE BEEN ALLOCATING AN ADDITIONAL $100,000 EVERY YEAR.

THIS YEAR WE PUT IN ANOTHER MILLION DOLLARS ON TOP OF IT WOULD HAVE BEEN NORMALLY 1.4 MILLION.

AND THAT'S TO ALLOW THEM TO COMPLETE SOME REALLY HIGH PRIORITY PROJECTS THAT THEY HAVE UNDERWAY, THAT THEY REALLY WANTED TO MAKE SURE THEY WERE ABLE TO CONTINUE THE PROGRESS THAT THEY'RE MAKING. AND THEN 670,000 FROM MEASURE F FOR THE SAFE AND HEALTHY FORESTS WORK AND FOR STEWARDSHIP WORK AS WELL. THAT'S RELATED TO FUELS MANAGEMENT.

AND THEN THE LAST HIGHLIGHTED AREA IS EXPANDING PUBLIC ACCESS.

SO WE'RE ALLOCATING $3 MILLION FOR THE TIDEWATER DAY USE AREA PROJECT AT MLK SHORELINE.

AN ADDITIONAL PROJECT AT MLK SHORELINE IS A DECK AND PICNIC AREA PROJECT.

SO, 600,000 FOR THAT.

700,000 FOR THE MCKAY AVENUE UTILITY UPGRADE PROJECT.

A PROJECT AT ANTHONY SHABBOS PUMA POINT CAMPGROUND TO REPLACE THE EXISTING RESTROOMS WITH A FLUSH RESTROOM AND SHOWERS.

AND THEN LASTLY, 500,000 FOR DESIGN AND CONSTRUCTION DRAWINGS TO GET UNDERWAY FOR THE TILDEN EEC.

ALL RIGHT, SO NOW'S A CHANCE FOR YOU TO HEAR A LITTLE BIT MORE ABOUT THE DIVISION'S PRIORITIES FOR THE COMING YEAR.

AND SO, THEY PUT FORWARD IN THE BUDGET SOME OF THE GOALS AND OBJECTIVES THAT THEY HAD IN MIND.

I PULLED OUT SOME OF THEM.

AND JUST TO HIGHLIGHT SOME OF THE WORK THAT'S GOING TO BE DONE.

SO, FOR ASD, THE DESIGN AND CONSTRUCTION DIVISION IS WORKING ON CONTRA LOMA REGIONAL RECREATION AREA IN THE PLANNING DEPARTMENT. THEY ARE GOING TO BE FORMALLY OPENING THE MCCOSKER PROPERTY IN SIBLEY, AND THE STEWARDSHIP TEAM IS WORKING ON RENEWING AND EXTENDING ROUTINE MAINTENANCE PERMITS, AND THAT'LL HELP STREAMLINE THE PROCESS FOR ROUTINE MAINTENANCE PROJECTS.

ALL RIGHT. MOVING ON TO FMS. INFORMATION SERVICES RECEIVED A LARGE ALLOCATION OF FUNDING OVER 650,000 THIS YEAR TO BEGIN IMPLEMENTATION OF THAT FIVE-YEAR STRATEGIC INFORMATION TECHNOLOGY PLAN. IN ADDITION, THEY WILL BE WORKING ON ENHANCING NETWORK CONNECTIVITY AND SECURITY FOR REMOTE PARK LOCATIONS, IN PARTICULAR IN FINANCE, ONE OF OUR MAJOR PROJECTS IS ASSISTING WITH TRANSITIONING TO OUR NEW DEFERRED COMP PLAN ADMINISTRATOR AND THEN OFFICE SERVICES THIS YEAR HAS BRAVELY OFFERED TO TAKE ON CENTRALIZED MANAGEMENT OF UTILITIES DISTRICT WIDE SO GAS, WATER, ELECTRIC AND GARBAGE.

QUESTION. QUESTION? OH, YEAH. SO, I THINK EVERYBODY ON THIS BOARD IS PRETTY GOOD WITH PARKS AND TRAILS.

[00:25:08]

SO, I DON'T UNDERSTAND ANYTHING ABOUT WHAT THAT POSSIBLY COULD EVEN BE.

SO, I WAS WONDERING IF MAYBE SOMEBODY COULD TALK ABOUT 1 OR 2 OF THE BIGGEST, MOST IMPORTANT.

LET'S JUST GO HIGH LEVEL HERE, THINGS THAT MIGHT BE ADDRESSED IN THAT PLAN.

BECAUSE $650,000.

I'M JUST THINKING ABOUT HOW MUCH TRAIL YOU COULD BUILD WITH THAT.

RIGHT? OF COURSE, I MEASURE EVERYTHING THAT WAY.

BUT ANYWAY, FORGET THAT.

YES, YES, YES. I'M JUST.

YEAH. IS THERE IS THERE ANY WAY TO AT THIS POINT IN TIME, IT'S OKAY IF THERE ISN'T.

BUT WHAT WOULD BE THE 1 OR 2 REALLY BIG THINGS THAT WOULD BE ADDRESSED IN THAT I AM WISHING OUR IS CHIEF WERE HERE, BUT SINCE HE'S NOT TO THAT I KNOW ABOUT THAT ARE THAT ARE VERY IMPORTANT FOR FINANCE.

ONE IS OUR ERP SYSTEM.

OUR ERP IS A FANCY NAME ENTERPRISE RESOURCE PLANNING.

SO, IT'S BASICALLY OUR FINANCE SYSTEM, WHICH ALSO IT'S CALLED ENTERPRISE BECAUSE IT ALSO HAS HR.

IT ALSO HAS PROJECTS.

IT ALSO HAS BUDGETING.

SO, IT'S THE WHOLE ENTERPRISE IS REALLY WITHIN THIS ONE OUR FINANCE ENTERPRISE PROGRAM, IT'S GETTING A BIT OUTDATED.

AND SO, WE HAD THIS OUTSIDE FIRM COME AND LOOK AT WHAT CAPACITY WE HAVE AND WHAT OUR LIMITATIONS ARE.

AND THEY SAID, YOU GUYS SHOULD REALLY DO AN RFP AND TAKE A LOOK AT WHAT SYSTEMS ARE OUT THERE.

SO NEXT YEAR, ONE OF ONE OF THE THINGS THAT'LL BE DONE THROUGH THIS IS STRATEGIC PLAN, IS BEGINNING THE RFP PROCESS FOR GETTING A WHOLE NEW FINANCE SYSTEM, ERP SYSTEM. SO THAT'S A BIG ONE.

AND THEN ANOTHER ONE THAT I HEAR A LOT ABOUT, AND THAT IS ALSO VERY IMPORTANT TO FINANCE IS CYBER SECURITY.

YEAH. I KNOW OUR TEAM DOES A VERY GOOD JOB AT MANAGING AND CONTROLLING WHAT'S TRYING TO GET INTO OUR SYSTEM, BUT IT'S A HUGE RISK. I MEAN, YOU HEAR ABOUT IT IN THE NEWSPAPERS EVERY DAY THAT, LIKE, VARIOUS SYSTEMS GET HACKED, THE ENTIRE FINANCE SYSTEM GOES DOWN.

THEY CAN'T, YOU KNOW, STRUGGLING TO GET PAYROLL OUT.

SO, CYBERSECURITY IS ANOTHER AREA THAT'S GOING TO BE WORKED ON IN THE COMING YEAR.

SO THOSE ARE TWO AND IS PROJECTS ARE NOTORIOUSLY EXPENSIVE.

UNFORTUNATELY. WELL, CONGRATULATIONS.

I ACTUALLY DO UNDERSTAND BOTH OF THOSE.

OKAY. GOOD, GOOD. AND THEY ARE REALLY IMPORTANT, ESPECIALLY THAT SECOND ONE.

I MEAN THAT'S LIFE AND DEATH FOR US KIND OF THING.

YEAH. OKAY. THANK YOU.

YEP. ALL RIGHT.

OUR AIR DIVISION HAS MANY IMPORTANT OBJECTIVES, SO JUST A FEW THAT I PULLED THROUGH.

THEY'RE OFFERING THEIR SUPERVISOR ACADEMY.

I WAS ABLE TO DO, I THINK, A SIMILAR TRAINING THEY DID FOR MANAGERS.

AND SO, THEY'RE NOW GOING TO BE ROLLING THIS OUT FOR SUPERVISORS IN THE COMING YEAR.

THEY'RE ALSO GOING TO BE PULLING TOGETHER AN ELECTRONIC TRAINING CATALOG THAT WILL HAVE ALL THE DETAILS ABOUT THE CLASSES THEY OFFER IN ONE CENTRALIZED PLACE, MAKING IT EASIER FOR PEOPLE TO PICK TRAININGS THAT ARE IMPORTANT FOR THEM, AND THEN COLLABORATING WITH LEGAL TO MAKE OUR CONTRACTING PROCESS, ESPECIALLY THE INSURANCE REVIEW PROCESS, A LITTLE MORE STREAMLINED.

IN THE OPERATIONS DIVISION.

HERE ARE SOME OF THEIR HIGHLIGHTED OBJECTIVES.

SO, ADDRESSING MANDATORY AND REGULATORY ITEMS THAT HAVE BEEN COMING UP IN THE PAST YEAR, THEY'RE GOING TO PRIORITIZE THOSE.

A LOT OF POSITIONS THAT WERE ADDED IN THE PRIOR YEAR'S BUDGET.

THERE WERE 40 FTE THAT WERE ADDED LAST YEAR.

SO, THEY'RE NOW ABLE TO SUPPORT THEM WITH VEHICLES AND THE EQUIPMENT THAT'S NECESSARY.

ADDING STAFFING FOR PUBLIC ACCESS AS IDENTIFIED IN THE PIPELINE.

ADDING TARGETED STAFF AND EQUIPMENT TO UNLOCK KEY SERVICE DELIVERY AND THEN CONTINUING TO RIGHT SIZE THE EQUIPMENT.

SO, IT'S SOMETHING THAT WE'VE BEEN WORKING ON FOR SEVERAL YEARS, IS MAKING SURE WE HAVE THE EQUIPMENT THAT WILL GET THE JOB DONE IN THE MOST EFFICIENT WAY AND INITIATING A RESOURCE ALLOCATION STUDY OF PARK OPERATIONS.

SO, WHAT DOES IT TAKE TO OPERATE EACH PARK? IN THE PUBLIC AFFAIRS AREA.

THE OBJECTIVES THEY HAVE, NUMBER ONE, IS THE CELEBRATION OF THE PARK DISTRICT'S 90TH ANNIVERSARY AND THE REGIONAL PARKS FOUNDATION'S 55TH ANNIVERSARY.

I KNOW THOSE ARE GOING TO BE VERY BIG CELEBRATIONS.

THEY'RE ALSO WORKING ON EXPLORING HOW TO UPDATE AND IMPROVE THE PARK DISTRICT SIGNAGE, AND IN PARTICULAR, USING MULTILINGUAL SIGNAGE FOR THAT KEY MESSAGING, MAKING SURE THAT IT'S COMING ACROSS TO ALL OUR PARK VISITORS.

AND THEN THEY'RE GOING TO CONTINUE COLLABORATION WITH ASD.

AND ONE OF THE ONE OF THE PROJECTS THEY'RE WORKING ON IS AT KELLER BEACH.

ANOTHER ONE, TILDEN EEC.

AND JUST MAKING SURE THAT THEY'RE HELPING ASD GET ALL THE COMMUNITY INPUT ON THOSE PROJECTS AS THEY MOVE FORWARD.

[00:30:03]

SO, THEY ARE CONTINUING TO FILL THEIR VACANCIES.

AND THEY'VE MADE A LOT OF PROGRESS THIS YEAR, CONTINUING THAT WORK IN THE COMING YEAR TO FILL 14 SWORN OFFICER POSITIONS AND FIVE DISPATCHER VACANCIES CONTINUING THEIR WORK ON FUEL REDUCTION TREATMENTS.

SO, 1500 ACRES IN THE EAST BAY HILLS URBAN INTERFACE AND THEN 365 ACRES AT ANTHONY CHABOT AND 35 ACRES IN TILDEN, WHERE THEY'RE REMOVING THOSE DEAD TREES AND DROUGHT STRESSED TREES.

AND THEN LASTLY, THE LIFEGUARDS HAD THIS WORK THAT THEY'VE BEEN DOING WITH ANTIOCH UNIFIED SCHOOL DISTRICT.

THEY'RE MOVING FROM PILOT TO REALLY SOLIDIFYING THIS AS A NEW PROGRAM.

SO, PARTNERING WITH ANTIOCH UNIFIED SCHOOL DISTRICT TO PROVIDE WATER SAFETY PROGRAMING.

AND NOW WE'RE GOING TO GET INTO THE NUMBERS OF THE BUDGET.

AND SO, THE 2024 BUDGET IS BALANCED, INCLUDING THE USE OF FUND BALANCE, WITH PLANNED EXPENDITURES FROM ALL FUNDS TOTALING 316 MILLION.

ON THE EXPENDITURE SIDE, WE CAN BREAK THIS DOWN IN VARIOUS WAYS.

SO FIRST WE'RE LOOKING AT IT BY FUND TYPE.

SO ABOUT TWO THIRDS OF OUR APPROPRIATIONS ARE IN THE GENERAL FUND 201 MILLION.

OUR SPECIAL REVENUE FUNDS MAKE UP 8.9 MILLION.

OUR PROJECTS FUND 32 MILLION, INTERNAL SERVICE FUNDS 34 MILLION.

AND THEN DEBT SERVICE 39.1 MILLION.

ANOTHER WAY TO LOOK AT OUR APPROPRIATIONS IS ON THE TYPE OF SPENDING THAT WE'RE DOING.

SO, A LITTLE OVER 50% OF OUR BUDGET GOES FOR PERSONNEL COSTS.

THE NEXT LARGEST PIECE IS FOR SUPPLIES AND SERVICES.

AFTER THAT, IT'S ACTUALLY DEBT SERVICE 12.4%.

THEN INTRA DISTRICT CHARGES.

SO THAT'S FOR OUR INTERNAL SERVICE FUNDS.

CAPITAL OUTLAY 4.1%.

AND THEN INTER AGENCY AGREEMENTS 0.6%.

AND NOW ONTO THE REVENUE SIDE 291.9 MILLION IN REVENUES.

AGAIN, THE VAST MAJORITY IS TAXES AND ASSESSMENT PROPERTY TAXES, PRIMARILY 45 MILLION IS FEES AND CHARGES 2.5 MILLION PROPERTY USAGE 3.6 MILLION IS MISCELLANEOUS, WHICH IS MANY THINGS.

BUT THE LARGEST PORTION, 2 MILLION, IS ACTUALLY FUNDING.

THAT'S COMING IN FROM OUR PENSION TRUST TO REIMBURSE US FOR THE UNFUNDED LIABILITY FOR OUR MISCELLANEOUS PLAN.

AND THEN LASTLY, 0.7 MILLION IS BUDGETED FOR GRANTS AND INTERAGENCY AGREEMENTS.

IN FACT, YOU'LL SEE LATER WE RECEIVE QUITE A BIT MORE GRANT FUNDING USUALLY FOR PROJECTS, BUT WE DON'T BUDGET THAT UNTIL WE HAVE A SIGNED AGREEMENT.

AND SO, WE'RE ACTUALLY BUDGETING FOR THAT AS THE GRANT AGREEMENTS COME IN DURING THE YEAR.

SO, YOU DON'T SEE THEM BEING BUDGETED HERE.

BUT THAT DOES GET BUILT INTO OUR BUDGET DURING THE YEAR.

AND THEN AGAIN LOOKING AT THAT REVENUE BY TYPE IN A IN A PIE CHART, YOU CAN SEE MORE CLEARLY HERE THAT THE LARGEST REVENUE SOURCE TAXES AND ASSESSMENTS, 15% CHARGES FOR SERVICES AND EVERYTHING ELSE IS DWARFED IN COMPARISON.

SO POINT 8% PROPERTY USAGE POINT 9% THAT MISCELLANEOUS MOSTLY THE PENSION TRUST AND POINT 2% GRANTS AND INTERAGENCY AGREEMENTS.

MOVING ON TO THE STAFFING.

WE ARE ADDING 15.25 NEW FTES THIS YEAR, AND THAT BRINGS THE PARK DISTRICT TO 978.5 FTE IN TOTAL.

IN FACT, DURING THE SUMMER, WE HAVE, I THINK, WELL OVER 1100 EMPLOYEES NOW.

BUT BECAUSE THOSE SUMMER EMPLOYEES ARE SEASONAL AND TEMPORARY, IF YOU ADD THEM ALL, ALL THOSE FRACTIONAL POSITIONS TOGETHER, IT ADDS UP TO 978 FTES, WHICH IS FULL TIME EQUIVALENT POSITIONS.

YEAH, I KNOW.

IS THERE AN OPPORTUNITY HERE TO SHOW HOW MANY OF THOSE NEW POSITIONS ARE REPRESENTED EITHER POA OR 2428? I THINK WE HAVE IN.

I THINK I DON'T HAVE A CHART ON THAT.

THE FULL LIST OF POSITIONS.

HANG ON. I FLAGGED IT IN MY BOOK.

THANK YOU. DID YOU SAY 50? B38. OH, AND IS THAT IN THE BUDGET? YEAH. B38 IS THE FULL LIST OF POSITIONS.

I DON'T I DON'T HAVE A CHART SHOWING.

OKAY. WHAT ARE REPRESENTED AND WHAT ARE NOT.

I DO HAVE A CHART SHOWING WHICH DIVISION THEY'RE BEING ADDED TO.

SO, 9.75.

SO, THE VAST MAJORITY ARE GOING TO OPERATIONS, WHICH MAKES SENSE.

THEY'RE OUR BIGGEST DIVISION. AND WE KNOW WE HAVE A LOT OF NEEDS OUT THERE.

TWO FTE ARE BEING ADDED TO ASD.

TWO FTE TO FINANCE AND MANAGEMENT SERVICES.

[00:35:01]

AND THEN TO GIVE YOU SOME ADDITIONAL CONTEXT, THIS IS A DEPICTION OF THE POSITIONS THAT HAVE BEEN ADDED FOR THE LAST TEN YEARS.

SO, YOU CAN SEE ON THE FAR RIGHT THIS YEAR WE'RE ADDING 15.25, WHICH IS WHICH IS FANTASTIC.

WHEN YOU COMPARE IT TO THE LAST TWO YEARS, YOU CAN SEE WHY WE WE REALLY WANTED THE DIVISIONS TO KNOW AT THE OUTSET, LIKE, THIS IS NOT GOING TO BE AS GOLDEN AS IT WAS THE LAST COUPLE OF YEARS WHERE WE REALLY WERE ABLE TO ADD A LOT OF NEW POSITIONS.

SO MORE MODERATE, IT'S MORE IN LINE WITH MAYBE GOING BACK TO 2014 AND 2015.

ALL RIGHT.

THAT WAS THE LAST SLIDE ON THE OPERATING BUDGET.

AND NOW I'M ABOUT TO JUMP INTO THE PROJECT AND PROGRAM BUDGET.

SO, BEFORE I BEGIN, FOR SOME REASON, IT'S NOT VERY GOOD.

OKAY. IT'S CALLED THE PROJECT AND PROGRAM BUDGET BECAUSE WE BREAK THINGS DOWN IN TWO DIFFERENT WAYS.

SO, WE IN THE FRONT OF THE BOOK, WE SHOW SOME OF OUR LARGER PROJECTS, SOME OF THE MORE SIGNIFICANT OR INTERESTING PROJECTS THEY EACH GET A SINGLE PAGE.

AND SO THOSE ARE, THOSE ARE PROJECTS WHERE IT'S BUILDING AN ASSET OR SOME MAYBE ACQUISITION PROJECT AT A SPECIFIC LOCATION WHERE WE HAVE A BUDGET OF $100,000 OR GREATER. AND THOSE ARE THEY GET THE PHOTO, YOU GET AN UPDATE ON THE PROJECT STATUS, HOW THE FUNDING IS COMING ALONG ANY EXPECTED OPERATING IMPACTS FOR WHEN THOSE PROJECTS ARE COMPLETED AND FUNDING SOURCES AND EXPENDITURES TO DATE.

AND THEN BUT THE MAJORITY OVER 300 PROJECTS GET GROUPED TOGETHER AS PROGRAMS. WE DO THAT PARTLY BECAUSE WE HAVE SO MANY PROJECTS, WE CAN'T GIVE THEM ALL A PAGE OR WOULD BE JUST LIKE A MASSIVE TOME.

BUT ALSO, IT GIVES A SENSE OF THE PARK DISTRICT'S COMMITMENT IN DIFFERENT AREAS OF WORK BY PUTTING SIMILAR PROJECTS TOGETHER.

YOU CAN SEE, OH, THIS IS ALL THAT WE'RE DOING IN HABITAT RESTORATION, OR THIS IS ALL WE'RE DOING FOR FUELS MANAGEMENT.

ANOTHER THING TO HIGHLIGHT THAT WAS STARTED LAST YEAR AND IMPLEMENTED AGAIN THIS YEAR IS CAPITAL PROJECT PRIORITIZATION.

SO, EACH PROJECT THAT IS PUT FORWARD RECEIVES A CPP SCORE.

IT'S OUT OF 135 POINTS AND IT'S SCORED BASED ON EQUITY INCREASING AND ENHANCING PUBLIC ACCESS.

WHETHER THE PROJECT ASSISTS WITH PREPARING FOR A CLIMATE CHANGE PARTNERSHIP, IS IT BEING IMPLEMENTED IN PARTNERSHIP WITH ANOTHER AGENCY? DOES IT GIVE US ANY EFFICIENCIES IN OUR OPERATION? DOES IT AID PUBLIC AND ENVIRONMENTAL HEALTH? DOES IT PROVIDE MANY DIFFERENT BENEFITS, NOT JUST ONE? DOES IT MAINTAIN AND EXTEND THE USEFUL LIFE OF AN EXISTING ASSET? AND THEN LASTLY, IS THE PROJECT READY TO GO? AND THIS FUNDING IS LIKE THE LAST PIECE THAT WILL ALLOW IT TO MOVE FORWARD.

YEAH. QUESTION. REGARDING ALAMEDA POINT WHAT MORE NEEDS TO BE DONE THERE? I THOUGHT THAT PROJECT WAS COMPLETE.

IN MY MIND, IT WAS COMPLETE.

I BELIEVE THAT IS COMPLETE.

I THINK I PULLED IT UP, I THINK I PICKED THAT ONE BECAUSE IT'S GOT A HIGH SCORE AND IT'S A PROJECT PEOPLE KIND OF KNOW ABOUT.

BUT I THINK YOU'RE RIGHT THAT IT IS COMPLETE.

SO MAYBE IT WASN'T THE BEST EXAMPLE.

AND THEN PROJECTS ARE EXEMPT FROM SCORING IF THEY NEED TO BE DONE TO FULFILL LEGAL SAFETY OR OTHER MANDATED REQUIREMENTS.

SO, THEN THEY GET AN E RATHER THAN A NUMBER SCORE.

A QUESTION THAT COMES UP OFTEN IS, YOU KNOW, WHAT ARE THE FUNDING SOURCES FOR OUR PROJECTS? SO, LOOKING AT ALL OF OUR ACTIVE PROJECTS, ABOUT 50% OF THE FUNDING COMES FROM DISTRICT SOURCES.

SO THAT'S EITHER THE GENERAL FUND OR MAJOR INFRASTRUCTURE RENOVATION FUND OR SPECIAL REVENUE FUNDS.

AND THEN THE NEXT LARGEST IS GRANT FUNDING.

SO, AS I MENTIONED, THE DISTRICT DOES RECEIVE QUITE A LOT OF FUNDING FROM GRANTS.

SO, 23%.

BUT THAT COMES SO THE BOARD IS APPROVING APPLICATIONS FOR, FOR GRANTS AT ALMOST EVERY BOARD MEETING.

AND THEN AS THOSE GRANTS ARE AWARDED, WE ALLOCATE THEM TO THE TO THE PROJECT BUDGETS.

21% IS FROM BOND FUNDS.

SO, MEASURE WW PRIMARILY ALSO MEASURE AA AND THEN PROMISSORY NOTES.

AND THEN LASTLY OTHER COULD BE SOMETHING LIKE DEVELOPER PROVIDED FUNDS.

SOMETIMES WE GET FUNDING FROM A DEVELOPER TO LIKE BUILD A STAGING AREA OR FOR EXAMPLE, FROM ANOTHER AGENCY AS A RESULT OF SOME AGREEMENT.

AND THEN JUST HERE IS A SNAPSHOT OF JUST A FEW OF OUR PROGRAM APPROPRIATIONS TO GIVE YOU A SENSE OF THAT, THAT BROAD AREA OF WORK.

SO, SETTING ASIDE 6 MILLION FOR INFRASTRUCTURE MAINTENANCE PROJECT 6 MILLION FOR LAND USE PLANNING AND DESIGN PROJECTS, 1.3 MILLION

[00:40:08]

AND THEN JUST A FEW PROJECTS THAT ARE HIGHLIGHTED HERE THAT EACH RECEIVED A SPECIAL A SINGLE PAGE IN THE BOOK.

ANTHONY CHABOT, A PROJECT TO REPLACE THE CAMPGROUND SEWER IS GETTING UNDERWAY.

IT'S GOING TO BE A MAJOR, MAJOR PROJECT.

BRIONI'S THE UPGRADE LAFAYETTE RIDGE STAGING AREA PROJECT IS MOVING FORWARD, AND IT NEEDED AN ADDITIONAL 150,000 COYOTE HILLS PROJECT.

AGAIN. IT'S UNDERWAY. IT NEEDED A $1.3 MILLION TO MOVE ON TO THE DUST BRIDGE PHASE OF THE PROJECT AT DEER VALLEY 100,000 FOR DEVELOPING PUBLIC ACCESS OUT THERE.

THE I MENTIONED THIS EARLIER.

3 MILLION FOR MLK, TIDEWATER DAY USE AREA, 100,000 FOR TRAILS.

BEGINNING THE PROCESS OF CONSTRUCTING TRAILS AT SIBLEY MCCOSKER.

IN 500,000 FOR THE TILDEN EEC.

AND THEN WE HAVE JUST A FEW SLIDES THAT LOOK AT THE SOME OF THOSE PICTURES IN MORE DETAIL.

SO, HERE'S A PICTURE OF THAT.

COYOTE HILLS IMPROVE ACCESS AND HABITAT PROJECT UNDERWAY.

AND ANOTHER PICTURE FROM ABOVE.

LOOKING DOWN AT KELLER BEACH IN THIS PROJECT IS TO IMPROVE THE ACCESS TO THAT BEACH AREA.

ANOTHER MAJOR PROJECT OUT AT CROWN BEACH DEVELOPING MCKAY AVENUE.

SO THAT'S TO SUPPORT THE PLANNED EXPANSION OF THAT WHOLE CROWN BEACH SITE BUT GOT TO DO THE UTILITY WORK FIRST.

AND THEN ANOTHER ONE THAT'S REALLY GOING TO BE HELPFUL FOR STAFF IS IMPLEMENTING A NEW SERVICE YARD OUT AT POINT PINOLE.

THEY HAVE, FROM WHAT I UNDERSTAND, NOT VERY GOOD STAFF SERVICE YARD RIGHT NOW.

SO, THIS WILL IMPROVE THINGS FOR THEM.

SO THAT'S JUST GETTING UNDERWAY.

AND THAT WAS THE LAST KIND OF MEAT AND POTATO SLIDE.

THIS IS JUST A REMINDER OF THE PROCESS.

SO TODAY YOU HEARD THE FIRST REVIEW OF THE PROPOSED BUDGET.

THE NEXT REVIEW HAPPENS AT THE PARK ADVISORY COMMITTEE, WHICH IS ON NOVEMBER 27TH AT 4 P.M.

THEN IT GOES TO THE BOARD OF DIRECTORS FOR THE FIRST TIME ON DECEMBER 5TH FOR OUR EVENING MEETING.

AND THAT'S A PUBLIC HEARING.

AND THEN SECOND TIME, THE BOARD OF DIRECTORS HERE IN DECEMBER HEARS THIS WILL BE DECEMBER 19TH.

AND THAT'S IDEALLY BUDGET ADOPTION.

SO, WE'RE ASKING THAT THE FINANCE COMMITTEE RECOMMEND THIS TO THE BOARD OF DIRECTORS.

IN DECEMBER.

BELIEVE THAT'S THE LAST SLIDE.

I'LL STOP SHARING AND HAPPY TO TAKE ANY QUESTIONS.

YEAH. IS THIS OUR OPPORTUNITY TO DELVE INTO SPECIFICS AS FAR AS THE TWO BOOKLETS THAT WERE PROVIDED? SO, THEN I'M SURE BOTH DIRECTORS ALL HAVE QUESTIONS.

I'M GOING TO START WITH DIRECTOR CORBETT, SEE IF SHE HAS ANY QUESTIONS.

REGARDING THE BUDGET AS PRESENTED.

OH, I GUESS I'M NOT SURE HOW MUCH WE DISCUSSED THIS, BUT.

HAVE SOME PROJECTS WHERE WE PUT FUNDING ASIDE, BUT WE DON'T HAVE THE SPECIFIC REQUEST FOR CERTAIN PROJECTS.

HOW WILL THAT PROCESS WORK? DO YOU KNOW WHAT I'M TALKING ABOUT? YEAH, IT'S SOMETHING NEW THAT WE'RE DOING THAT I THINK IS IT'S VERY SMART TO HAVE SOME FUNDING TO FIND IN ADVANCE, THEN TO HAVE TO GO OUT AND FIND IT AFTER THERE'S BEEN A BIG DANGEROUS SITUATION HAPPEN.

AND I GOTTA GO FIND SOME FUNDING JUST TO HAVE THAT FUNDING IN ADVANCE.

BUT HOW WILL THAT ALL WORK, THAT PROCESS? YEAH. THAT'S RIGHT. SO AS THOSE PROJECTS ARE KNOWN, THEY WILL COME TO THE BOARD IF THE ONCE IT HITS THAT $50,000 APPROPRIATION AMOUNT, NOT APPROPRIATION AMOUNT, ONCE THE CONTRACT GETS TO BE ABOVE $50,000 AND IT DOES COME TO THE BOARD OF DIRECTORS FOR APPROVAL.

SO, YOU WOULD SEE THAT AS THOSE FUNDS ARE BEING USED, YOU WOULD SEE THAT COME FORWARD.

OKAY. THANK YOU.

AND OTHER THAN THAT, I REALLY DON'T HAVE ANY OTHER QUESTIONS AT THIS POINT.

I DO APPRECIATE THE FACT THAT WE, YOU KNOW, HAD ADDITIONAL IDEAS AND WAYS TO DO THINGS OVER PAST YEARS, KNOWING THAT FROM TIME TO TIME WE'RE GOING TO HAVE SOMETHING THAT COMES UP THAT WE NEED TO TAKE CARE OF.

AND THERE'S NO DOUBT WE KNOW THAT NOW WE'RE GOING TO HAVE STORMS, AND WE HAVE PAST STORMS THAT WE'RE STILL DEALING WITH PROJECTS, AND WE'LL HAVE MORE.

[00:45:08]

THANK YOU. GREAT, GREAT.

THANK YOU. THANK YOU.

ALL RIGHT. THANK YOU, DIRECTOR MERCURIO.

SO, WHAT'S THE SCOPE OF THIS PORTION OF OUR MEETING? ARE WE GOING DOWN EVERYTHING THAT WE HAVE A QUESTION ABOUT? YOU KNOW, I MEAN. GO FOR IT.

YEAH. OKAY, SO BUCKLE UP.

ALL RIGHT. SO, I GUESS LET'S START WITH THE STAFF REPORT.

I JUST HAD A QUESTION BRIEF QUESTION ON THAT ON PAGE 18 AT THE BOTTOM LAST PARAGRAPH.

THERE'S A STATEMENT AT THE VERY END THAT TALKS ABOUT SWIMMING, SWIMMING FACILITIES AND POSSIBLE TEMPORARY CLOSURES.

COULD SOMEBODY ELABORATE ON THAT? WHY ARE WE MENTIONING THAT? WHY ARE WE TAKING THAT INTO ACCOUNT? YEAH. THE ONE THAT I KNOW OF FOR SURE IS COLD CANYON.

I'M SORRY, NOT COLD CANYON.

CONTRA LOMA. SORRY.

WHERE THE.

MY UNDERSTANDING IS, AND THIS IS FAR OUTSIDE OF MY AREA OF EXPERTISE, BUT THE LINING HAS NOT BEEN HOLDING WATER.

AND SO THEY'RE LOOKING AT WHAT IS THE BEST REPAIR.

AND IT IS NOT GOING TO BE ABLE TO OPEN IN 2024 WHILE THEY'RE WORKING ON THAT.

THAT'S THE MAIN ONE THAT I KNOW ABOUT.

I ALSO KNOW THAT THERE HAVE BEEN SWIMMING FACILITY CLOSURES IN THE PAST RELATED TO ALGAE BLOOMS. AND SO, I THINK OPERATIONS WAS BEING CONSERVATIVE.

AND I'M NOT SURE IF THIS WAS A QUESTION RELATED TO THE REVENUE THAT WE'RE RECEIVING.

YES, YES.

SO, OPERATIONS WAS CONSERVATIVE IN THEIR ESTIMATES AND THEY BROUGHT, YOU KNOW, BASED ON PRIOR YEAR ACTUALS, BROUGHT SOME OF THEIR REVENUE ESTIMATES DOWN FOR SOME OF THOSE SWIM AREAS WHERE WE HAVE NOT BEEN ABLE TO MEET OUR GOALS OR MEET OUR MEET OUR BUDGET IN THE PAST.

AND COULD YOU PULL THE MICROPHONE A LITTLE CLOSER? BECAUSE I'M I FEEL LIKE I NEED TO LEAN FORWARD, AND I DON'T THINK THAT'S GOING TO MAKE ANY DIFFERENCE.

PROBABLY NOT. IS THAT? IS THAT BETTER? NO.

IT NEEDS TO BE. CAN YOU? IS THAT BETTER? IT'S A LITTLE BETTER.

I HAVE A, THAT IS BETTER.

OKAY. YES. THANK YOU VERY MUCH I APPRECIATE THAT.

ALL RIGHT. SO, I GUESS I'M GOING TO GO PAGE BY PAGE.

ALL RIGHT, ALL RIGHT.

SO, PAGE BY PAGE ON THE OPERATING BUDGET.

LET'S SEE. OPERATING BUDGET.

SO MUCH STUFF.

SO, PAGE THREE.

IT'S THE WRONG ONE.

PAGE THREE.

OH, THIS IS JUST A COMMENT.

SOME OF THE STUFF IS JUST COMMENTS, AND SOME OF THEM ARE MEANT TO BE KIND OF FUN, I GUESS, BUT UNDER JURISDICTION, IT TELLS US, IT SAYS THAT WE HAVE WE OUR JURISDICTION IS 1745 MILES, WHICH IS 200MI² MORE THAN RHODE ISLAND.

FASCINATING. I'M JUST SAYING IT'S BIGGER THAN A STATE.

ALL RIGHT. WOW. SO, THEN NOW OVER TO PAGE SIX.

SO, THERE'S A NOTE THERE THAT SAYS THIS WILL BE UPDATED FOR THE ADOPTED BUDGET.

AT WHAT POINT DOES THAT ENTER THE ENTER THE SYSTEM OR THE DOCUMENT.

IS THAT AT THE? WHEN THE FULL BOARD OR WHEN DOES THAT BECOME PART OF THE.

YEAH. SO, THE ADOPTED BUDGET WE TRY TO GET IT OUT TO YOU IN FEBRUARY.

WE HAVE NOT ACHIEVED THAT GOAL FOR THE LAST COUPLE OF YEARS, BUT WE TRY TO GET IT OUT TO YOU IN FEBRUARY.

IT DOES NOT COME BACK TO THE FULL BOARD.

SO, YOU'LL JUST RECEIVE A PRINTED COPY, AND WE UPDATE.

THERE'RE A COUPLE TABLES THAT YOU PROBABLY SAW WHERE IT SAYS NOT UPDATED.

IN THIS CASE, THE NUMBERS AREN'T YET AVAILABLE AND SO THAT'S WHY WE HAVEN'T UPDATED THEM.

AND THAT'S ACTUALLY THE REASON FOR MOST OF PROBABLY ALL THE TABLES THAT ARE NOT UPDATED IS THAT WE DON'T HAVE THE DATA YET TO PUT IT IN.

SO IT'S IT'S WHAT WE HAD IN LAST YEAR'S ADOPTED BUDGET IS WHAT YOU'RE SEEING HERE.

DOES THAT ANSWER IT. BUT YOU KNOW, SO WHEN YOU DON'T HAVE THIS YOU CAN'T ROLL UP TOTALS THAT ARE ACCURATE.

SO AT WHAT POINT DO WE GET GET.

FOR THE FOR THE DEMOGRAPHICS.

WELL, OKAY. SO THAT'S WHAT.

THAT'S PRETTY MUCH WHAT YOU'RE RIGHT.

THAT'S. YEAH. THAT'S WHAT THIS IS.

YEAH. OKAY. ALL RIGHT.

SO, I GUESS MAYBE YOU JUST ANSWERED THIS, BUT WHEN THE FINAL DOCUMENT IS PRESENTED, THIS WILL BE UPDATED.

[00:50:08]

ALL RIGHT. ALL RIGHT.

SO. YEAH, SURE.

WHILE YOU'RE ON THAT PAGE.

SURE. LET'S DO IT THAT WAY.

I JUST HAVE A COUPLE ON PAGE FOUR UNDER FACILITIES, IT DESCRIBES 42 YOUTH CAMPING AREAS.

IS THAT A NEW TERM, AND IF SO, WHAT ARE WE CALLING YOUTH CAMPING AREAS? I WILL LOOK INTO THAT.

I BELIEVE WE ARE MIRRORING WHAT'S IN THE THAT LITTLE PARK FACTS PAMPHLET THAT OPERATIONS PUTS OUT. I BELIEVE THAT'S WHERE THIS INFORMATION COMES FROM.

YEAH, I'D LIKE TO HAVE THAT DEFINITION OF THAT.

I'LL REACH OUT TO OPS AND FIND OUT WHERE THEY'RE AT.

I'M PRETTY SURE THAT'S WHERE WE GRAB THAT TERM FROM.

OKAY. AND THEN ALSO I JUST WANTED TO NOTE ON THAT UNDER FACILITIES THAT THERE'S ONLY ONE ADULT EXERCISE LOCATION IN THE PARK DISTRICT.

I'M GOING TO BE SELFISH HERE.

I'M ADVOCATING FOR SOMETHING AT LAKE TEMESCAL.

BUT. AND THEN ALSO, THERE'S NO MENTION OF THE 55 MILES OF SHORELINE.

WE'VE IN A LOT OF OUR NARRATIVES.

WE ALWAYS PUT OUT.

WE HAVE 55 MILES OF SHORELINE, AND I SEE NOTHING HERE EXCEPT FOR THE TWO SAN FRANCISCO BAY SHORE BEACHES.

I THINK THAT SHOULD BE MENTIONED.

YEAH, WE WILL ADD THAT.

GREAT. I AGREE, I ALWAYS, ALWAYS THROW THAT OUT THERE WHEN I'M TALKING TO PEOPLE.

YEAH, IT'S SOMETHING THAT'S NOT.

PEOPLE HAVE NO IDEA THAT THAT'S THE CASE.

YOU KNOW, IT'S A GOOD ONE TO PUT OUT THERE.

YEAH, YEAH. OKAY? OKAY, BACK TO YOU. ALL RIGHT.

THANK YOU. SOUNDS LIKE A NEWS BROADCAST.

ALL RIGHT, SO A.5.

SO UP AT THE TOP IT TALKS ABOUT NEW A NEW CULTURAL RESOURCES UNIT, INCLUDING A NEW PLANNING POSITION. AND I'M WONDERING IF THAT HAS ANY EFFECT ON THE ARCHIVE.

THE DISTRICT ARCHIVE.

IS IT TOUCH THAT AT ALL, OR IS IT ONE OF THE THINGS THAT'S DONE? THAT'S NOT REALLY PART OF THAT.

SO, THEY ARE DIFFERENT DIVISIONS.

SO, THE ARCHIVES UNIT IS IN PUBLIC AFFAIRS AND THIS CULTURAL SERVICES UNIT WOULD BE IN ASD.

I IMAGINE THAT THEY WOULD INTERACT.

BUT THAT'S KIND OF SPECULATION ON MY PART.

JUST. BUT I DO THINK THAT THEY'RE OPERATING IN SIMILAR WORLDS WHERE IT WOULD BE IMPORTANT FOR THEM TO COMMUNICATE WITH EACH OTHER, BUT THEY'RE IN DIFFERENT IT'S DIFFERENT DIVISIONS. OKAY.

UNITS. AND THEN ON AA8.

JUST A JUST A COMMENT ABOUT DOWN UNDER PARK AND FACILITY MANAGEMENT AND THE FIRST BULLET.

IT USES THE TERM PIPELINE.

AND YOU KNOW, I KNOW WHAT THAT IS.

IT'S IN THE GLOSSARY, BUT IT'S NOT DEFINED BEFORE THIS POINT IN THE PRESENTATION.

SO, I THINK IT SOMEHOW OR OTHER IT NEEDS TO BE.

IF SOMEBODY'S READING, BECAUSE THIS IS THE KIND OF THING THAT THIS MAY BE ALL SOMEBODY READS.

YEAH. SO, AT SOME POINT COULD BE IN THAT BULLET.

COULD BE I DON'T, I DON'T I DON'T WANT TO PRESCRIBE ANYTHING.

BUT THAT NEEDS TO BE DEFINED.

I THINK OKAY, GOOD.

YEAH. AND LET'S SEE.

OH, JUST A GENERAL COMMENT.

SO, WE HAVE WE HAVE THE IVAN DIXON FUND, WHICH IS SUPPOSED TO FUND SUPPORT, LET'S JUST SAY SUPPORT VOLUNTEER TRAIL PROJECTS IN VARIOUS WAYS.

I DIDN'T SEE IT MENTIONED.

I SAW IT MENTIONED IN HERE, BUT IT'S NOT MENTIONED ANYWHERE IN AS ANY FUND.

MAYBE IT'S SOMETHING INFORMAL.

YOU KNOW, THAT'S NOT TECHNICALLY A FUND, BUT I THINK I DON'T KNOW, I'D LIKE TO JUST MAKE A SUGGESTION THAT IT BE IDENTIFIED A LITTLE MORE CLEARLY.

BECAUSE THERE IS SOME THERE IS SOME THOUGHT ABOUT GROWING THAT ACTIVELY AND AGGRESSIVELY GROWING THAT FUND SO THAT IN THE FUTURE IT CAN SUPPORT MORE VOLUNTEER TRAIL WORK.

I KNOW WE'RE WE HAVEN'T BEEN DOING THAT FOR A FEW YEARS FOR, YOU KNOW, OBVIOUS REASONS.

BUT I THINK IT NEEDS A LITTLE BIT MORE VISIBILITY.

YEAH, THAT'S A GREAT IDEA.

WE CAN CALL THAT OUT.

I BELIEVE IVAN DIXON IS WITHIN OUR GIFTS FUND, BUT WE COULD SAY, YOU KNOW, INCLUDING IVAN DIXON, AND WE COULD EVEN SAY SOMETHING IN THE DESCRIPTION OF THAT FUND.

[00:55:09]

IT'S ON PAGE D 11.

YEAH. IT'S THERE.

OKAY. ALL RIGHT.

SO. OH, RIGHT IN THE VOLUNTEER SECTION.

YEAH. YEAH. OKAY.

YEAH. WE COULD CALL IT OUT IN THE SPECIAL FUNDS.

IT IS NOT A SEPARATE FUND, BUT WE COULD CALL IT OUT WITHIN IN THE FUND THAT IT IS PART OF.

YEAH. OKAY. WHATEVER IT'S PART OF, BUT.

YEAH. ON B.4 JUST A COMMENT AGAIN.

YOU KNOW, YOU MENTIONED THIS EARLY IN YOUR PRESENTATION, BUT THE PRIORITIES I JUST REALLY AM HAPPY TO SEE.

IT'S JUST NICE TO SEE THE KIND OF THE PRODUCT OF ALL THE, OF ALL THE.

THINKING AND TALKING THAT WE DID ABOUT THAT AND ALL THE CONSIDERATIONS TO FINALLY SEE THEM LAID OUT, YOU KNOW, IN FIVE BULLET POINTS IS VERY HELPFUL.

AND I THINK WHEN.

YOU KNOW, WE GO AND SPEAK TO GROUPS.

I THINK THIS MIGHT BE SOMETHING.

I KNOW THIS, IT SHOULD BE SOMETHING WE SHOULD INCLUDE.

TO WHOEVER WE'RE SPEAKING TO THAT YOU KNOW? HEY, BY THE WAY, THESE ARE THE THINGS THAT WE'RE GOING TO BE FOCUSING UPON.

AND, YOU KNOW, THESE THINGS ARE BASED ON A LOT OF THAT'S BASED ON INTERACTION WITH THE COMMUNITY ANYWAY, PLUS THE BOARD, THE BOARD'S PREFERENCES AND THE BOARD'S FEELING OF WHAT THE CONSTITUENTS WANT.

SO ANYWAY, I LIKE HAVING THAT THERE.

IT'S JUST LAID OUT RIGHT THERE.

OH, OKAY.

AND THEN SO ON B9 ALL THAT HIGHLIGHTED IS SIMILAR TO WHAT YOU WERE TALKING ABOUT BEFORE ABOUT IT'S JUST NOT READY YET.

IT'S JUST NOT READY YET.

AND IT WILL BE IN THE FINAL.

YES, IT WILL BE IN THE FINAL.

ALL RIGHT. ON B18.

SO, I'M LOOKING AT CHARGES FOR JUST CHARGES FOR DISTRICT SERVICES.

PUBLIC SAFETY SERVICES.

AND I SEE THE 2024 BUDGET IS 1.2 MILLION.

BUT IN 2021 IT WAS 2.1 MILLION.

AND I'M JUST WONDERING WHY IT WENT DOWN SO MUCH.

OVER THE OVER TIME.

SO, IN THE 2021 AND 2022 YOU'RE SEEING ACTUALS.

SO, WHAT WE ACTUALLY RECEIVED HAS BEEN HIGHER THAN WHAT WE HAVE BEEN BUDGETING.

YOU CAN SEE I THINK THIS IS THE LINE THAT YOU'RE LOOKING AT.

SO, WE BUDGETED VERY CONSISTENTLY 1.26.

AND I THINK IF YOU WERE TO GO BACK, WE'VE BEEN BUDGETING CONSISTENTLY 1.26 VERY CONSERVATIVELY.

AND IN FACT, THE REVENUES THEY RECEIVE ARE COMING IN HIGHER.

SOME OF THAT IS BILLING BASED ON THEIR HELICOPTER USAGE.

SO, IF THEY ARE REQUESTED BY AN AGENCY TO DO A FLYOVER THEN THEY RECEIVE REVENUE FROM THE AGENCY.

SOME OF IT, I THINK, IS HARD TO PROJECT WHAT'S GOING TO BE NEEDED, WHAT THEY'LL BE GETTING REVENUE FROM.

AND SO, THE 1.2 IS LIKE SOLID.

THEY KNOW, LIKE THERE'S A CONTRACT WITH EAST BAY MUD TO PROVIDE CERTAIN SERVICES.

SO THAT'S KNOWN.

AND THEN BUT SOMETIMES IT COMES IN HIGHER THAN THAT.

WELL, OKAY. SO, YOU MENTIONED EAST BAY MUD.

AND THAT WAS ANOTHER ONE THAT I WAS WONDERING ABOUT IS NOWHERE IN HERE IS THAT AGENCY MENTIONED THAT I COULD FIND.

AND THEY ARE A BIG CUSTOMER OF OURS.

AND I THINK PEOPLE I THINK PEOPLE LIKE TO SEE I KNOW PEOPLE LIKE TO SEE COOPERATION BETWEEN AGENCIES BECAUSE.

THERE'S THIS PERCEPTION THAT THERE'S ALL THIS LAYERED WASTE GOING ON AND, YOU KNOW, IT'S PROBABLY UNFOUNDED, BUT THAT'S THE PERCEPTION BECAUSE IT'S NOT FOUNDED ON.

YEAH, A FIRM KNOWLEDGE OF HOW THINGS WORK BECAUSE IT'S PRETTY COMPLICATED, BUT I THINK IT'D BE WORTHWHILE TO MENTION THEM AS ONE OF OUR CUSTOMERS THAT WE OKAY, THAT WE HELPED OUT BECAUSE THEY'RE KIND OF WOVEN INTO OUR, OUR LANDS ANYWAY, YOU KNOW, IT JUST MAKES SENSE.

YEAH. AND LET'S SEE HERE.

B.47. YEAH.

AGAIN, THIS IS RELATED TO WHAT I JUST SAID.

THOSE THAT AREA CHARGES FOR SERVICES MIGHT BE THE PLACE WHERE YOU COULD MENTION THAT.

POSSIBLY AMONG THAT.

ALL RIGHT. SO NOW GOING INTO SECTION C-7.

SO, THIS IS THE FIRST TIME I'VE SEEN THIS LIST AND IT'S VERY INTERESTING.

LOOKS KIND OF SHORT.

SO, I'M KIND OF HOPING THAT BEFORE THIS PROCESS IS COMPLETE IN DECEMBER, THAT, THAT WE HAVE THE ABILITY, THE OPTIONS TO

[01:00:10]

AND ONE OF THEM THAT I WOULD LIKE THE BOARD TO CONSIDER IS SUPPORT OF THE BAY AREA BACKROADS TV SHOW, I GUESS IT'S CALLED THAT WE'VE DONE THAT IN THE PAST AND I DON'T SEE IT ON THERE ANYMORE.

AND I THINK THAT'S IMPORTANT.

BASED ON WHAT I'VE KIND OF HEARD OUT IN THE COMMUNITY.

ALSO, I THINK WHAT WOULD BE HELPFUL TO ME, AND PROBABLY THE OTHER DIRECTORS IS A LIST OF WHAT WE'VE SUPPORTED IN THE PAST, MAYBE GOING BACK FIVE YEARS TO SEE WHO WE'RE DROPPING OR WE.

MAYBE WE DON'T MEAN TO BE DROPPING THEM, BUT YOU KNOW.

I'D LIKE TO. I'D JUST LIKE TO SEE A LIST OF WHAT WE'VE BEEN DOING AND HAVE THE ABILITY TO MAYBE MAKE SOME JUDGMENTS ON THAT BECAUSE THIS IS A JUDGMENT.

THIS IS THIS IS QUALITATIVE.

I MEAN, WE KNOW IT'S, THERE IS SOME PRESCRIPTION TO IT, I GUESS.

BUT I'D LIKE TO KNOW WHAT'S NOT ON HERE THAT WE'VE DONE IN THE PAST.

OKAY. OKAY.

C.9. ALL RIGHT.

SO. OKAY.

FIRST, SOMETHING SIMPLE.

IN THE SECOND PARAGRAPH, IT TALKS ABOUT WHAT THE.

THE CLERK OF THE BOARD DOES, AND IT SAYS COORDINATES FIELD TRIPS.

AND I THINK WE TRY TO CALL THOSE SITE VISITS.

NOW. THANK YOU. YES.

YEAH. GOOD POINT.

AND THEN THERE'S NO MENTION ANYWHERE IN HERE THAT I COULD FIND ABOUT WHERE BOARD MEMBER COMPENSATION AND REIMBURSEMENT, WHERE THAT SITS IN THE BUDGET. AND I THINK THAT'S SOMETHING THAT'S INTERESTING TO FOLKS.

SO, THERE'S A SPACE RIGHT DOWN THERE BETWEEN THE LAST LINE OF TEXT AND THE TABLE.

SOMETHING COULD BE ADDED.

BUT, YOU KNOW, I DON'T EVEN I THINK I SHOULD KNOW THAT, AND I DON'T.

SO, AND I THINK OTHERS WOULD WANT TO KNOW IT.

I CAN ONLY ASSUME.

I CAN ONLY ASSUME SO IT'S A LITTLE MORE CLARIFICATION ON THAT WOULD BE GREAT.

OKAY. AND I'LL JUST THROW OUT THE WORD TRANSPARENCY AS TO WHY I'M INTERESTED IN THAT.

OKAY. SO, C.14.

I JUST I JUST THIS IS JUST A GENERAL COMMENT ABOUT THIS WHOLE SECTION.

THIS IS A WONDERFUL SECTION OF THE BUDGET.

TO ME, I'VE BEEN INVOLVED IN DOING BUDGETS FOR A LONG TIME AND MY CAREER, AND THIS GOES ABOVE AND BEYOND WHAT YOU'D EXPECT TO SEE.

YOU KNOW, WE DON'T TAKE THE TERM BUDGET LITERALLY.

WE USE IT AS AN OPPORTUNITY TO PRESENT WHO WE ARE AND WHAT WE DO AND WHY WE DO IT AND HOW WE DO IT.

ALL THOSE THINGS. AND THIS WAS SO I MEAN, I WAS ON THE PARKS ADVISORY COMMITTEE FOR 17 YEARS, SO I GOT A LOT OF EXPOSURE TO THIS OUTFIT HERE.

AND I'VE NEVER, YOU KNOW, AND I WAS SUPPOSED TO BE READING THE BUDGET WHEN I WAS ON THE FINANCE COMMITTEE AND THE IN THE PARK ADVISORY COMMITTEE, BUT MAYBE THIS WASN'T ON IT BACK THEN. THAT'S PROBABLY THE CASE.

BUT HAVING THIS HERE IS VERY HELPFUL TO UNDERSTANDING AND THEN SEEING WHAT WE'RE WHAT WE'RE PLANNING TO DO IN 2024.

AND IT HELPS US TO DO OUR JOB.

I THINK THAT THE DIRECTORS IF WE SEE SOMETHING THAT'S YOU KNOW, IT'S ON HERE, BUT GETS TO BE JULY AND THERE'S NOTHING HAPPENING, MAYBE WE CAN, LIKE, TALK TO SOMEBODY ABOUT IT, YOU KNOW? BUT THIS IS VERY, VERY HELPFUL, AND I REALLY APPRECIATED READING IT.

I WANT TO GO BACK AND READ IT AGAIN SOME MORE.

LET'S SEE. YEAH.

ALL RIGHT. OKAY.

SO THOSE ARE ALL THE THOSE ARE ALL THE COMMENTS I HAD ON THE OPERATING BUDGET.

I MEAN, DO YOU WANT TO BREAK IT DOWN THAT WAY? AND YEAH. AND THEN YOU CAN OR DO YOU WANT ME TO CONTINUE ON TO THAT CAPITAL BUDGET.

LET ME SEE. LET'S SEE.

LET'S SEE IF DIRECTOR CORBETT HAS ANY OTHER COMMENTS ON THIS SECTION.

DIRECTED CORBETT.

DO YOU HAVE ANY COMMENTS? OTHER COMMENTS YOU WANT TO MAKE? I DON'T SEE HER.

LET'S GIVE HER A SECOND.

I CAN GIVE HER. I CAN GIVE MY COMMENTS.

YEAH. QUICKLY, WHILE WE WAIT FOR DIRECTOR CORBETT.

[01:05:02]

I DON'T SEE THE DEPUTY GENERAL MANAGER.

YES. SO THAT IS WITHIN THE GENERAL MANAGER'S OFFICE.

OKAY. I THINK CAN WE PUT SOMETHING IN THERE THAT SAYS DEPUTY GENERAL? YEAH, I THINK THERE'S SOME NEEDS TO BE SOMETHING THAT MAKES IT CLEAR THAT THE DEPUTY GENERAL MANAGER LIES WITHIN THE GENERAL MANAGER'S OFFICE.

THAT WOULD BE GREAT. OKAY.

AND THEN ANOTHER THING I HAD.

OH, I KNOW. ON ATTACHMENT C ON PAGE, I THINK IT'S PAGE 24 OR YES, PAGE 24. I FIGURED IT OUT, BUT FOR THE FOR THE BENEFIT OF THE PUBLIC, THERE'S A WHOLE LIST OF WHAT OUR NEGATIVE NUMBERS ON ATTACHMENT C STARTING ON PAGE 24, AND I FIGURED OUT THERE TRANSFERS FROM.

SO, IF YOU COULD EXPLAIN THAT FOR THE GENERAL PUBLIC THAT WOULD BE GREAT.

OR IF THERE MIGHT BE A NOTE SOMEWHERE TO EXPLAIN THAT IT'S ON ATTACHMENT C, PAGE 24.

WE PROVIDED A LIST OF ALL OF THE PROJECTS AND ITS IN.

SO, IT'S ACTUALLY IN THE BUDGET BOOK AS WELL.

YEAH. AND BUT IT'S IN A LITTLE BIT LARGER FONT IN THE VERSION YOU HAVE.

I LIKE THAT. AND SO, WHAT YOU'RE SEEING IS TAKING FUNDS FROM PROJECTS.

AND IN SOME CASES, THEIR PROJECTS THAT ARE COMPLETE.

NO ADDITIONAL WORK IS NEEDED.

THEY HAD FUNDS REMAINING.

AND SO, THEY'RE BEING ALLOCATED TO A NEW PROJECT THAT NEEDS FUNDING.

AND IN SOME CASES, LIKE FOR EXAMPLE, THERE WAS SOME MONEY IN THE IN THE EXISTING SWIMMING INFRASTRUCTURE PROJECT THAT'S BEING ALLOCATED TO A PARTICULAR PROJECT.

SO THAT'S WHERE YOU'RE SEEING A NEGATIVE AMOUNT IN SOME PROJECTS.

YEAH. YEAH.

I THOUGHT THEY WERE IMPORTANT TO MENTION THAT IN PUBLIC.

AND MAYBE I SHOULD NOTE IN THE DOCUMENT STATING EXACTLY WHAT THAT IS.

IT TOOK ME A SECOND.

OKAY. YEAH, I CAN ADD THAT FOR I CAN ADD THAT DECEMBER 5TH MEETING.

GREAT. I SEE. DIRECTOR CORBETT.

DIRECTOR CORBETT. DO YOU HAVE ANY OTHER COMMENTS TO MAKE BEFORE WE MOVE ON TO CAPITAL? YOU'RE ON MUTE.

I GUESS IT SOUNDS LIKE SHE'S DONE.

OKAY, GREAT.

LET'S MOVE ON TO CAPITAL.

I'M FINE FOR NOW.

I WILL BRING UP THINGS LATER.

CAN YOU HEAR ME? YEP.

GOTCHA. THANK YOU, THANK YOU.

SO IN IN THE.

IN THE IN THE IN THE IN THE INTRODUCTION ON PAGE FOUR, THERE NEEDS TO BE A MAP CORRECTION.

BUT BECAUSE WE HAVE PERALTA OAKS NORTH LOCATED IN SAN RAMON.

SO, I THINK THAT NEEDS TO BE SHIFTED OVER WEST A LITTLE BIT AND A LITTLE BIT NORTH MAYBE UNLESS THERE'S SOMETHING GOING ON THAT I DON'T KNOW ABOUT, IT WOULD BE MORE CENTRALLY LOCATED FOR THE WHOLE DISTRICT.

IT'S LIKE A FREUDIAN SLIP, YOU KNOW? OKAY, SO THERE'S THAT.

GIVE ME A MAP AND I'LL LOOK AT IT FOR SURE.

LET'S SEE. JUST EXCUSE ME FOR GETTING WAY DOWN LIKE THIS, BUT I REMEMBER TALKING TO AN ARCHITECT A LONG TIME AGO WHEN I WAS WORKING ON A PARK PROJECT, AND THEY WERE QUICK TO CORRECT ME WHEN YOU'RE TALKING ABOUT A DRINKING FOUNTAIN IN A PARK, IT'S A DRINKING FOUNTAIN. IT'S NOT A WATER FOUNTAIN, BECAUSE A WATER FOUNTAIN IS SOMETHING THAT IS LIKE, YOU KNOW, A DIRECT DECORATIVE THING.

SO WE JUST NEED TO BE CONSISTENT ALL THROUGHOUT HERE.

THAT WHENEVER IT'S A DRINKING FOUNTAIN, IT REALLY NEEDS TO BE CALLED A DRINKING FOUNTAIN.

YOU'D BE SURPRISED HOW MANY PEOPLE COME TO CONCLUSIONS ABOUT THINGS, ESPECIALLY IF THEY IF THEY'RE AN ARCHITECT.

RIGHT? YEAH. OKAY.

AND THEN THESE ARE ALL GENERAL COMMENTS HERE AGAIN.

I JUST FEEL I KNOW THAT THIS DOCUMENT IS MUCH IMPROVED OVER THOSE EARLIEST ONES THAT I REMEMBER SEEING IN THE 1990S, YOU KNOW, BEING IN THE BUSINESS MYSELF OF PRODUCING A TEN YEAR PLAN FOR A SPECIAL DISTRICT.

YOU KNOW, I ALWAYS FELT LIKE, WELL, GOSH, OURS IS A MUCH BETTER THAN THEIRS.

BUT THEN OVER THE OVER THE YEARS NOW IT'S WAY BETTER.

IT'S PROBABLY I DON'T, I HAVEN'T LOOKED AT WHAT I USED TO DO, WHAT THEY DO NOW.

BUT THIS IS GREAT, YOU KNOW.

[01:10:02]

BUT I WAS JUST READING SOMETHING IN THE PAPER THIS MORNING.

WELL, LET'S TALK ABOUT THE 49ERS FOR A SECOND HERE.

RIGHT. THERE WAS AN ARTICLE ABOUT THAT, AND THERE WAS A QUOTE FROM COACH VINCE LOMBARDI FROM THE GREEN BAY PACKERS, AND HE SAID SOMETHING. I'M GOING TO REALLY PARAPHRASE THIS LOOSELY, BUT IT WAS IN PURSUIT OF YOU WILL NEVER ACHIEVE PERFECTION.

BUT ON THE WAY TO PERFECTION, YOU WILL ACHIEVE EXCELLENCE.

AND THAT'S WHAT I SEE. THAT'S WHAT I.

THAT'S THE WAY I LOOK AT THIS.

THIS IS NEVER GOING TO BE THE PERFECT DOCUMENT.

BUT AS WE KEEP TRYING TO MAKE IT BETTER AND BETTER, IT'S GOING TO BE GREATER AND GREATER, YOU KNOW.

SO THAT'S REALLY GOOD TO HEAR.

THANK YOU. THAT'S THE WAY I LOOK AT IT.

SO, AND ALONG THOSE LINES, LET'S THINK ABOUT PUTTING MAPS IN FOR THE PROJECT LOCATIONS.

AND I'M NOT EVEN GOING TO SAY EVERY SINGLE ONE, BUT MAYBE IT SHOULD BE FOR.

CONTINUITY. EVERY SINGLE ONE.

BUT THERE'S CERTAIN PROJECTS WHERE I HAD NO IDEA REALLY WHAT WHERE THEY ARE, AND I COULDN'T FIGURE IT OUT.

SO, THERE'S SPACE AT THE BOTTOM OF THE PAGE, NICE AND NEAT.

PUT A MAP IN THERE.

IN EACH OF THOSE PROJECTS IN THE FORMATTING THERE, THERE IS TOTAL PROJECT COST ANTICIPATED.

AND THERE'S A DOLLAR AMOUNT THERE.

BUT THEN WHEN YOU LOOK AT THE FIVE-YEAR EXPENDITURE PLAN DOWN BELOW, IT ISN'T ALWAYS REFLECTED IN THAT.

RIGHT. SO, WHEN WE SHOW THE EXPENDITURE PLAN, WE USE ONLY THE EXISTING FUNDS BECAUSE.

THAT'S WHAT'S KNOWN.

SO, THIS WAS A THIS WAS A STYLE CHOICE WE'VE MADE.

IF YOU THINK IT SHOULD BE DIFFERENT, WE COULD CHANGE THAT, BUT THAT THAT IS WHAT YOU'RE SEEING.

SO, YOU'RE ONLY SEEING US BUDGETING OUT FOR FIVE YEARS.

THE MONEY WE ALREADY HAVE, NOT THE FULL MONEY THAT WE'RE HOPING TO RECEIVE AT SOME POINT TO FINISH THE PROJECT.

I UNDERSTAND, AND I THOUGHT THAT WAS GOING TO BE THE REASON.

SO, I WILL COUNTER WITH THIS IS A PLAN.

IT'S NOT A PROMISE THAT WE'RE GOING TO DO IT.

YOU'RE GOING TO HAVE A CHANCE TO UPDATE IT NEXT YEAR AGAIN.

SO, I THINK IT WOULD BE CLEARER IF YOU KNOW THE PROJECT MANAGERS, I KNOW THEY HAVE THE ABILITY TO DO THIS, TO ESTIMATE WHEN THOSE EXPENDITURES ARE GOING TO HAPPEN AND KNOWING THAT THEY'LL HAVE A CHANCE TO UPDATE IT NEXT YEAR BECAUSE IT'S THINGS THAT ARE OUT IN THE FUTURE AND WE'RE NOT THERE YET.

BUT YOU KNOW, FOR ME AND FOR OTHER FOLKS WOULD APPRECIATE SEEING HOW THAT WHAT THE IDEA IS FOR HOW THAT MIGHT GO.

GREAT. SO AND I JUST, I JUST DON'T LIKE IT WHEN NUMBERS DON'T TIE TOGETHER LIKE, LIKE THAT.

AND YOU CAN YOU CAN HAVE THEM TIE TOGETHER BY DOING THAT.

AGAIN, IF YOU COME UP WITH A REASON NOT TO DO IT, TELL ME AND I'LL PROBABLY AGREE, YOU KNOW.

BUT LET'S SEE.

SO ANNUAL OPERATING COST IS SHOWN HERE, IN SOME CASES DOWN TO THE DOLLAR.

AND. I REALLY DON'T KNOW ANYBODY WHO CAN DO THAT.

IT'S NOT, IT'S KIND OF DISINGENUOUS TO THINK THAT WE'RE REALLY, REALLY KNOW DOWN TO THE DOLLAR.

SO, I WOULD SUGGEST THAT THOSE BE ROUNDED TO THE NEAREST THOUSAND OR NEAREST 10,000.

YES. THANK YOU. I THINK THAT CAN BE DONE WITHOUT TOO MUCH EFFORT.

OKAY. SO NOW ON TO SPECIFIC PROJECTS.

SO, ON PAGE E5.

SO, THIS IS SOMETHING THAT CAME UP A FEW TIMES.

E5 IS THE BIG RIDGE TRAIL PROJECT THAT WE'RE DOING.

AND THERE'S NO, UNDER THE PROJECT DESCRIPTION, THERE'S NO MENTION OF THE MILEAGE OF THAT TRAIL PROJECT.

SO, I THINK THAT WOULD BE HELPFUL TO INCLUDE THE, THE TRAIL MILEAGE.

AND, AND I WOULD EXTEND THAT TO EVERY, ANY PROJECT THAT HAS A LINEAR NATURE TO IT, YOU KNOW, LIKE A TRAIL OR A SEWER LINE OR ANYTHING.

I THINK IT'S USEFUL TO PROVIDE HOW LONG OF A REACH IT IS THAT YOU'RE PROVIDING IN THAT PROJECT.

GOT IT. OKAY E 35.

OH, THIS IS JUST A MATTER OF THE TEXT WASN'T UPDATED.

IT TALKS ABOUT SOMETHING IN THE FUTURE THAT'S ALREADY HAPPENED ON THE DESCRIPTION.

SO, TAKE A LOOK AT THAT FOR TENSE PROPER TENSE.

[01:15:06]

I THINK YOUR TITLE FIELD NEEDS TO BE A LITTLE LONGER.

YEAH. THAT HAPPENS SOMETIMES.

OKAY. THANK YOU.

LET'S SEE.

THIS IS A I THINK THIS NEXT ONE'S KIND OF A TECHNICAL QUESTION ON THE ACTUAL PROJECT ITSELF.

SO, THIS IS REPLACE SOLAR PANELS.

HERE AND IT HAS A ONE SENTENCE PROJECT DESCRIPTION.

I THINK IT WOULD BE USEFUL TO KNOW WHY THEY'RE BEING REPLACED.

SO MAYBE WE CAN GET A LITTLE MORE INFORMATION ON THEIR.

YEP. AND I'LL JUST I'LL JUST SAY, AS A GENERAL QUESTION THROUGHOUT THE DOCUMENT THAT IS A LITTLE BIT INCONSISTENT AS TO THE LEVEL OF DETAIL THAT'S PROVIDED.

I AGAIN, I KNOW HOW THIS WORKS.

YOU'VE GOT ALL THESE DIFFERENT PROJECT MANAGERS, AND THEY ALL HAVE THEIR OWN IDEA OF HOW THIS SHOULD BE.

BUT THERE NEEDS TO BE AN EDITOR THAT LOOKS AT IT ALL FROM A HIGHER LEVEL.

AND SO, I THINK WE NEED MORE THAN ONE SENTENCE WHEN WE HAVE THE SPACE TO PROVIDE THAT.

SO NOT JUST THIS ONE, BUT OTHER ONES IN THE FUTURE.

I THINK ONE SENTENCE IS GENERALLY NOT ENOUGH TO REALLY CONVEY WHAT WE NEED TO CONVEY.

AND, AND A LOT OF THE TIMES IT'S JUST BLOWING OUR OWN HORN FOR HOW GREAT THIS IS.

YOU KNOW, WE'RE LOSING THE OPPORTUNITY TO SAY, HERE'S WHY.

WHY WE'RE DOING IT. HEY, AREN'T WE SMART? WE'RE DOING THIS NOW TO AVOID A PROBLEM LATER OR WHATEVER IT IS, YOU KNOW TO BE A LITTLE MORE AGGRESSIVE AND DESCRIBING OUR PROJECTS BECAUSE THEY'RE GREAT PROJECTS.

YEAH. AGAIN.

ON E50 CONSTRUCT PLEASANTON RIDGE TRAILS DOESN'T GIVE THE MILEAGE THERE.

THE NEXT PAGE ON POINT ISABEL.

THERE'S NOT MUCH DESCRIPTION THERE.

YOU KNOW, I THINK IT'D BE IMPORTANT TO DESCRIBE THAT A LITTLE MORE FULLY.

ON E52.

THE NEXT PAGE AFTER THAT.

I'D LIKE. I THINK IT'S IMPORTANT TO TELL THE FOLKS THAT.

THAT PROJECT IS BEING BUILT FOR SEA LEVEL RISE.

IT DOESN'T SAY THAT THERE AGAIN, THIS IS A CHANCE FOR US TO SHOW THAT WE'RE THINKING AHEAD AND WE'RE FOLLOWING OUR OWN RULES.

BUT WE NEED TO, YOU KNOW, WE NEED TO SPELL IT OUT.

I THINK WE SHOULD SAY THAT WE'RE INCLUDING SEA LEVEL RISE IN THEIR E55 POINT SAN PABLO PENINSULA.

IT. THE.

THE ONLY CLUE AS TO WHAT THIS PROJECT IS SEEKING TO PRESERVE, WHICH IS PRETTY VAGUE.

IT REALLY DOESN'T TELL US WHAT $150,000 IS BEING USED FOR.

SO, I'D LIKE TO SEE SOMETHING A LITTLE BIT, BECAUSE I DON'T KNOW.

I REALLY DON'T KNOW WHAT THAT IS.

YOU KNOW, MAYBE I DO, AND I DON'T KNOW THAT I KNOW IT, BUT THIS DOESN'T TELL ME.

THAT'S OKAY.

E 60 RECOMMISSIONED ROUND VALLEY RESIDENTS.

I DON'T REALLY KNOW WHAT THAT IS.

WHAT IS RECOMMISSIONED? CURRENT MODULAR RESIDENCE.

SOUNDS LIKE IT MEANS IT'S GOING TO BE USED FOR SOMETHING ELSE.

BUT WHY DON'T WE JUST SAY WHAT THAT IS? AND LET'S SEE.

E62. IT GIVES THE FULL COST AS 550,000 $530,929. AND IT'S MY UNDERSTANDING THAT THAT'S NOT REALLY THE FULL COST OF THAT PROJECT.

THERE'S MORE A LOT MORE TO IT THAN THAT.

AND I DON'T KNOW WHY THAT'S SHOWN AT THAT LEVEL, BUT.

I DON'T KNOW IF YOU COULD GET BACK TO ME LATER ON THAT OR NOT, BUT I'LL CHECK INTO THAT.

BUT IT DOES SAY IT'S 0.4 MILES, SO I LIKE THAT.

OKAY. AND LET'S SEE.

OH, THE NEXT PAGE IS AN EXAMPLE OF A PROJECT THAT IF IT HAD A MAP, IT'D BE USEFUL BECAUSE IT'S NOT CLEAR TO ME EXACTLY WHERE THAT IS AND HOW IT WOULD HELP US.

SO, THAT'S JUST AN EXAMPLE.

[01:20:06]

PAGE 64.

IT'S MY UNDERSTANDING THAT THAT PROJECT IS COMPLETE.

SO WHY IS IT STILL A PROJECT? IT LOOKS LIKE THERE'S 9000 PLUS DOLLARS.

THERE. DOES ANYBODY KNOW THAT ANSWER TO THAT? I DO NOT. BUT I WILL GET BACK TO YOU.

YEAH, OKAY.

AGAIN. HERE'S ANOTHER EXAMPLE OF A LARGE PROJECT WITH A VERY SMALL DESCRIPTION.

IT DOES GIVE THE LENGTH OF THE PROJECT, BUT IT REALLY BEGS THE QUESTION, YOU KNOW, AND I ACTUALLY KNOW THE ANSWER TO THIS ONE.

IT'S 0.75 MILES, BUT IT'S $11 MILLION.

SO WHY DON'T WE DESCRIBE IN THAT IN DESCRIBE THERE WHY IT'S SO WHAT THE CHALLENGES ARE AND WHAT WE'RE GOING TO OVERCOME WHEN WE BUILD THAT IN ORDER TO PROVIDE A A GREAT TRAIL FOR EVERYBODY.

SO, WE CAN DO THAT.

I THINK THAT'D BE GREAT.

GREAT.

ON E 68.

IT'S TALKING ABOUT.

ADDITIONAL FUNDING, IT SAYS, ON FUNDING STATUS, ADDITIONAL FUNDING TO BE DETERMINED.

BUT IT DOESN'T REALLY GIVE THE PROJECT COST.

SO THOSE ARE TWO DIFFERENT THINGS PROJECT COST AND FUNDING TO BE DETERMINED.

I SUSPECT, STRONGLY SUSPECT THAT ALL THAT STUFF DESCRIBED UNDER THE DESCRIPTION, WHICH IS GREAT, IS MORE THAN $100,000.

SO, IF WE CAN FIGURE OUT A WAY TO PRESENT WHAT THE COST MIGHT BE AT THIS POINT IN TIME FOR ALL THAT, I THINK THAT WOULD BE GOOD FOR THAT PROJECT. YEAH.

LET'S SEE. ON E 71.

SNOWY WILDERNESS IMPROVEMENT OR SEASONAL IMPROVEMENTS? IT SAYS UNDER THE DESCRIPTION, PER THE NEGOTIATED SETTLEMENT WITH THE SAN FRANCISCO PUBLIC UTILITIES COMMISSION.

I DON'T KNOW WHAT THAT IS.

MAYBE WE COULD PUT A SENTENCE IN THERE ABOUT WHAT THAT IS.

IT JUST SORT OF BEGS THE QUESTION.

OKAY.

THIS IS SIMILAR TO ONE OF THE PREVIOUS ONES I HAD.

OKAY, SO THURGOOD MARSHALL REGIONAL PARK, HOME OF THE PORT CHICAGO 50.

WE'RE DOING THE INITIAL CONSTRUCTION OUT THERE SOUTH OF BAILEY ROAD.

WE'VE GOT A $10 MILLION PROJECT COST HERE.

BUT WE REALLY DON'T SAY.

WHAT IT IS THE $10 MILLION IS GOING TO BUY.

AGAIN, THIS IS SIMILAR TO WHAT I SAID EARLIER.

YOU KNOW, LET'S LET WHEN PEOPLE READ THIS DOCUMENT, THEY FIND THAT PROJECT, THEY LOOK, READ THIS, THEY CAN SEE WHAT THEY ARE GOING TO GET IN A FEW YEARS, YOU KNOW, AND THEN UNDER PERSONNEL IT SAYS 12.32 FTES.

AND I'M WONDERING IF THAT'S FOR WHEN IT'S HARD TO IMAGINE THAT THAT'S JUST FOR THE SOUTH OF BAILEY.

OR DOES THAT REFER TO THE WHOLE PARK WHEN IT'S OPEN? AND THEN IS AND THAT'S BECAUSE I THINK THE $10 MILLION IS JUST FOR THE BAILEY ROAD PORTION.

SO THAT NEEDS TO BE KIND OF SORTED OUT A LITTLE BIT.

IT'S LIKE, WHAT ARE WE TALKING ABOUT HERE ON THIS PROJECT? AND THEN ON THE NEXT PAGE.

YEAH, I'M NOT SURE. I THINK THIS ONE THE TRAIN MIGHT HAVE LEFT THE STATION ON THIS ONE, BUT THE PROJECT TITLE IS REMOVE CROSSING AT BROOK ROAD, WHEN REALLY THE MOST IMPORTANT THING TO ME IS THAT WE'RE BUILDING A BRIDGE.

SO INSTEAD OF SAYING WE'RE TAKING SOMETHING AWAY, THE CROSSING, WE SHOULD BE SAYING WE'RE BUILDING A BRIDGE, WHICH IS A CONNECTION WHICH IS HELPING THE WILDLIFE AND THE TRAIL USERS. BUT YEAH, AND IT DOES SAY THAT IN THE DESCRIPTION, BUT THE FIRST THING YOU SEE IS REMOVING A CROSSING AND IT'S LIKE, THAT'S KIND OF A RED FLAG THING TO ME.

[01:25:01]

I DON'T KNOW. E82 IS LIKE, I CAN'T RESIST MAKING A COMMENT HERE ON THIS.

JEWEL LAKE, I WENT THERE ON A HIKE WITH MY WIFE, AND IT WAS NOT MUCH OF IT LEFT, YOU KNOW, AND IT'S KIND OF FILLED IN. SO, I KEEP THINKING ABOUT MIRROR LAKE AND IN YOSEMITE, WHICH IS NATURALLY TURNING INTO A MEADOW OVER TIME.

AND EVERYBODY KNOWS IT'S GOING TO BE A MEADOW ALL, ALL YEAR.

IT'S SEASONALLY A MEADOW NOW, BUT IF YOU LOOK AT PICTURES FROM LIKE 1865, IT'S A LAKE.

YOU LOOK AT PICTURES NOW AND IT'S GOT GRASS GROWING.

AND IT'S JUST. SO, I'M WONDERING IF THAT MAYBE IT'S THE TIME HAS COME FOR JEWEL LAKE TO BECOME A MEADOW.

THAT'S JUST A COMMENT.

THERE'S I KNOW THERE'S OTHER CONSIDERATIONS THAT NEED TO BE MADE TO AND THEN MOVING ON TO THE PROGRAM'S BUDGET F2.

I HAVE A PARTICULAR BEEF WITH YELLOW STAR THISTLE FOR MANY YEARS, AND SO I'D KIND OF LIKE TO SEE THAT AS A, YOU KNOW, YOU HAVE ALL THESE PROGRAMS GOING ON THERE AND HABITAT PRESERVATION, IF WE COULD CALL THAT OUT AND GO AFTER IT.

AGAIN, I KNOW WE HAVE IN THE PAST WE'VE BURNED AND DONE ALL KINDS OF STUFF, BUT I SUSPECT THAT WE'VE WALKED KIND OF WALKED AWAY FROM THAT A LITTLE BIT, AND WE NEED TO GET BACK TO IT BECAUSE IT SPREADS.

SO, IF YOU COULD TALK TO THE FOLKS IN THAT AREA IF THEY WANT TO DO THAT AND IF THEY DO, I WILL SUPPORT IT.

OKAY. I'M NOT SAYING THEY'RE DOING NOTHING NOW.

I JUST, I JUST, YOU KNOW, IT'S NOT CALLED OUT, AND I, AND I, I THINK IT'S IMPORTANT TO A LOT OF FOLKS.

PUBLIC COM PUBLIC COMMITMENTS, G1.

SO, I JUST THINK WE GO THROUGH THIS DOCUMENT, WE COME TO THIS PAGE, IT SAYS PUBLIC COMMITMENTS, AND WE TURN THE PAGE AND THERE'S ALL THESE ALL THESE PROJECTS, BASICALLY.

SO, I THINK THIS COULD BE USE SOME EXPLANATION BEFORE WE GET INTO ALL THOSE PROJECTS AS TO WHAT THIS REALLY MEANS, I UNDERSTAND WHAT IT IS.

YEAH, BUT IT'S NOT OBVIOUS.

YEAH. SO THAT WOULD BE GOOD.

AND THEN ON THE, ON THE PAGE G THREE THERE'S A BREAK THERE.

THERE'RE SOME PROJECTS AND THERE'S A BREAK.

AND THEN THE SAME FORMATTING HAS OTHER PROJECTS.

AND I DON'T KNOW WHAT THE DIFFERENCE BETWEEN THOSE TWO ARE.

SO, YOU SEE HOW YOU GET LIKE TWO THIRDS OF THE WAY DOWN AND IT STARTS OVER AGAIN.

THE LIST STARTS OVER AGAIN, SLIGHTLY FORMATTED SLIGHTLY DIFFERENTLY.

BUT I DON'T KNOW WHAT THE DIFFERENCE BETWEEN THOSE TWO IS.

SO MAYBE SOME LINE OF EXPLANATION IN THERE WOULD BE GOOD, AND THAT'S ALL I HAVE.

OKAY. GREAT COMMENTS.

THANK YOU VERY MUCH. EXCELLENT.

YOU GET A GOLD STAR FOR DOING YOUR HOMEWORK.

DEFINITELY. TOMORROW'S HOMEWORK YET, THOUGH? ME EITHER.

COMMENTS FOR THE BOARD MEETING BE COMING IN LATE.

SO, I AGREE WITH SOME GENERAL STATEMENTS HE MADE ABOUT, YOU KNOW, IN SOME OF THE DESCRIPTIONS IN THE, THE SECTION E HAVE THE LANGUAGES UP TO DATE BECAUSE A LOT OF THOSE, A LOT OF THOSE HAVE ALREADY BEEN COMPLETED.

PARTS OF THOSE PROJECTS HAVE BEEN COMPLETED.

AND SO, IT WOULD BE HELPFUL FOR THE PUBLIC TO KNOW THAT THESE HAVE BEEN THESE MONIES HAVE BEEN SPENT, AND THIS PART IS, IS DONE, AND NOW WE'RE INTO PHASE TWO OR WHATEVER. I THINK THAT WOULD BE VERY HELPFUL.

OKAY. AND IN GENERAL, I THINK I PRETTY MUCH AGREE WITH DIRECTOR MERCURIO.

I THINK WE'LL HAVE A DISCUSSION OVER THE SPONSORSHIPS THAT WE DO.

I MEAN, THE BOARD HAS, HAS ITS OWN LIST AS WELL, BUT IN MY IN MY VIEW, I DON'T THINK WE SHOULD BE SUBSIDIZING A PRIVATE, A PRIVATE ENTERPRISE.

AND THAT'S WHAT, TO ME, BAY AREA BACKROADS IT'S A PRIVATE ENTERPRISE.

SO, BUT WE'LL HAVE THAT DISCUSSION I THINK AT THE FULL BOARD.

YES, I SEE WELL THERE IS A SPONSORSHIP POLICY.

AND I DON'T BELIEVE THAT BAY AREA BACKROADS HAS BEEN ASKING FOR ANY CONTRIBUTIONS FROM THE PARK DISTRICT.

SO, IF YOU KNOW, THAT'S ANOTHER THING IS THAT WE DON'T OFFER MANY PEOPLE HAVE TO ASK FOR IT.

[01:30:07]

OKAY. EXCELLENT.

BUT YEAH, WE'LL HAVE THAT DISCUSSION.

AND THEN AND I THINK.

I THINK YOU'LL BE ACCEPTING MORE COMMENTS AS WE GO ON.

I'M SURE YOU'LL BE GETTING IT FROM THE FROM THE REST OF THE BOARD AS WELL.

SO, IF YOU MISS SOMETHING TODAY OR OVER, OVER THE WEEKEND WHERE WE SPENT A LOT OF TIME READING, PLEASE FEEL FREE TO GIVE YOUR INPUT TO DEBORAH.

YES, PLEASE. YEAH.

OKAY. GREAT.

THIS IS A TREMENDOUS AMOUNT OF WORK, AND WE REALLY APPRECIATE SOMETHING.

THERE'S A LOT OF DETAIL HERE.

AND IT IS AND FOR ME, I THINK, YOU KNOW, THIS IS MY SEVENTH YEAR ON THE BOARD.

SO, THESE PACKETS HAVE BEEN GETTING EASIER TO READ.

AND I REALLY APPRECIATE THE FOOTNOTES.

AND THE BIGGER FONT AND SOME OF THE AND THAT'S ONE OF THE THINGS, THAT'S A BENEFIT READING THESE ON ONLINE IS WITH THE TOUCH OF THE SCREEN, I CAN MAKE IT BIGGER AS MY EYES FAIL.

BUT THIS IS A TREMENDOUS AMOUNT OF WORK, AND I REALLY APPRECIATE THE AMOUNT OF DETAIL AND GETTING THESE TO US ON TIME.

SO, WE REALLY APPRECIATE THE WORK THAT'S GONE INTO AND THEN THOUGHT THERE'S A LOT OF THOUGHT GOING INTO THIS.

SO, YES.

SO, THANK YOU SO MUCH.

ALL OF YOU THAT HAVE BEEN A PART OF THIS, EVERY DEPARTMENT.

I'M, I KNOW AS A PARK SUPERVISOR, I HAD TO PUT, PUT IN MY INPUT, TOO, BUT YEAH, IT GOES UP THE CHAIN AND IT EVERY YEAR.

THIS IS A TREMENDOUS AMOUNT, TREMENDOUS EFFORT.

SO, I APPRECIATE THE WORK.

AND THANK YOU FOR THE FORMAT, FORMATTING AND GETTING IT TO US.

AND WE'LL BE PUTTING IN OUR QUESTIONS.

SO, ALL RIGHT. GOOD.

THANK YOU FOR ALL OF YOUR FEEDBACK SO FAR.

THAT WAS VERY HELPFUL. HE GETS A I WOULD SAY I WOULD.

HELLO. YES, WE CAN HEAR YOU.

I WASN'T SURE THAT WE WERE GOING TO GO THROUGH EACH ONE OF THESE PROJECTS, BUT I WOULD JUST THROW A COUPLE TO YOU THAT I WANT TO CONTINUE HAVING INFORMATION ON.

AND ONE, OF COURSE, IS THE ROBERT CROWN MEMORIAL STATE BEACH REGIONAL SHORELINE.

YOU KNOW, THE PHOTOS THAT YOU INCLUDE WITH THESE PROJECTS ALWAYS GIVE YOU A GREAT IDEA OF WHAT NEEDS TO BE DONE.

SO, YOU KNOW, I WOULD LIKE TO HAVE SOME MORE CONVERSATION ABOUT THE ROBERT CROWN MEMORIAL STATE BEACH SITUATION ALONG THE YOU KNOW, WHERE WE HAVE THE STREET THAT GOES DOWN TO THE SHORELINE, AND WE HAVE SOME ISSUES TO DEAL WITH.

WE'VE BEEN WORKING TOWARDS IMPROVING THEM, BUT THAT'S A SPOT THAT'S GOING TO ALWAYS NEED A LITTLE MORE WORK.

AND THEN ALSO MARTIN LUTHER KING REGIONAL SHORELINE AND YOU KNOW, ADDITIONAL FUNDING THAT'S GOING TO BE NEEDED TO COMPLETE PROJECTS ALONG THE MARTIN LUTHER KING.

IT'S A GREAT YOU KNOW, NATURAL AREA THAT PROTECTS THE, YOU KNOW, THE ANIMALS IN THAT AREA AND SOME WHICH ARE VERY IMPORTANT TO TAKE CARE OF BUT CONTINUE TO DO WHAT WE NEED TO DO TO HAVE THAT SHORELINE AND THAT PARK LOOK A LOT BETTER THAN IT DOES. WE'VE HAD THE RECENT IMPROVEMENTS, BUT WE HAVE ADDITIONAL WORK TO BE DONE ALONG THE SHORELINE AREAS THERE.

AND THAT'S WHAT I WOULD ADD.

AND I'LL HAVE MORE TO TALK ABOUT LATER.

I'M SORRY. MY VOICE DOESN'T ALLOW ME TO TALK ABOUT TOO MUCH BUT THANK YOU VERY MUCH FOR EVERYTHING THAT YOU'VE INCLUDED.

THANK YOU. ALL RIGHT.

THANK YOU. GREAT.

THANK YOU. ARE THERE ANY PUBLIC COMMENTS ON THIS ITEM? I DON'T SEE ANYTHING HERE IN THE ROOM.

ANYTHING ON? NO EMAILS EITHER.

THANK YOU. EXCELLENT.

THANK YOU. WELL, THANK YOU VERY MUCH.

GREAT PRESENTATION.

I'M SURE YOU'LL BE GETTING MORE INPUT AS THE DIRECTORS OPEN THEIR PACKETS.

THANK YOU. OKAY.

WE NEED A RECOMMENDATION.

OH, YES. THAT'S RIGHT. WE GOT A VOTE.

YES. SOMETHING AS SIMPLE AS I MOVE THAT WE RECOMMEND THIS TO THE FULL BOARD.

YES. DOES THAT WORK? OKAY.

SECOND. WE HAVE A MOTION AND A SECOND.

ALL THOSE IN FAVOR SAY AYE.

AYE. MOTION IS APPROVED.

THANK YOU VERY MUCH.

ALL RIGHT. THANK YOU. THANK YOU, GUYS, FOR COMING DOWN.

GOOD STUFF. ALL RIGHT.

THE NEXT ITEM IS RELATED, AND THAT'S THE GANN LIMIT.

[01:35:02]

ONE SECOND.

YEAH. THIS SHOULD BE A PIECE OF CAKE.

ALMOST THERE. YEAH.

THANK YOU. OH, AND I NEED TO SHARE MY SCREEN.

ALL RIGHT.

SORRY FOR THE DELAY. OKAY.

SO, THE NEXT ITEM IS THE PROPOSED GAN LIMIT FOR 2024, AND THIS WILL BE QUICK.

SO, EVERY YEAR, THE STATE OF CALIFORNIA REQUIRES US PER ARTICLE 13 B OF THE STATE CONSTITUTION TO CALCULATE WHAT IS OUR APPROPRIATION LIMIT.

SO, THE MOST THAT WE ARE ALLOWED TO SPEND.

AND SO, A CALCULATION WAS, WAS COMPLETED AND THAT IS ON FILE WITH THE CLERK OF THE BOARD.

AND THIS YEAR, THE MOST THAT WE COULD SPEND IS 527.7 MILLION.

THAT'S AN INCREASE FROM LAST YEAR'S APPROPRIATION LIMIT OF 509.8 MILLION.

AND THE WAY WE CALCULATE THAT IS YOU TAKE LAST YEAR'S APPROPRIATION LIMIT, AND THEN YOU CALCULATE THE PERCENTAGE CHANGE IN PER CAPITA INCOME.

AND THE STATE POPULATION ESTIMATE IS PROVIDED BY THE STATE.

THEN YOU LOOK AT WHAT YOUR APPROPRIATIONS ARE THAT THAT FALL WITHIN THIS CATEGORY OF SUBJECT TO THE GAN LIMIT.

AND SO THOSE APPROPRIATIONS ARE 194.5 MILLION.

SO, WE ARE WELL WITHIN OUR GAN LIMIT AS WE ALWAYS ARE.

AND IT'S BECAUSE WE SPAN SUCH A HUGE AREA THAT WE HAVE A LOT OF POPULATION TO SERVE.

SO THAT CALCULATION IS ON FILE WITH THE CLERK OF THE BOARD.

AND AND IT WILL BE INCLUDED IN THE PACKET TO THE BOARD.

AND SO WE ARE REQUESTING THAT THE FINANCE COMMITTEE APPROVE THIS ITEM TO GO TO THE FULL BOARD.

ANY DISCUSSION? SO MOVED.

MOVED BY DIRECTOR CORBETT.

SECOND. SECOND.

OKAY. ALL THOSE IN FAVOR SAY AYE.

AYE AYE.

EXCELLENT. ALL RIGHT.

OKAY. NEXT UP IS THE.

OH, SORRY. YOU SHOULD BE TELLING ME WHAT'S NEXT UP.

WE'RE TAKING THINGS SLIGHTLY OUT OF ORDER FROM THE AGENDA AGAIN.

I HOPE THAT'S OKAY.

SO, WE HAVE STAFF HERE FROM PFM TO WALK US THROUGH OUR THIRD QUARTER INVESTMENT REPORT.

SO, MONIQUE SPIKE IS HERE, AND JUSTIN RESUELLO IS ALSO HERE TO WALK YOU THROUGH OUR THIRD QUARTER.

SO, I'LL DO A QUICK SUMMARY LOOKING AT ALL OF THE DISTRICT'S INVESTED FUNDS AND THEN TURN IT OVER TO MONIQUE TO GET INTO MORE DETAIL ABOUT THE FUNDS THAT THEY MANAGE, WHICH IS THE MAJORITY OF THE PORTFOLIO.

SO, THERE'S A PAGE IN THE PACKET THAT HAS A BIG TABLE WALKING THROUGH ALL OF THE DISTRICT'S FUNDS.

AND SO JUST TAKING IT FROM THE TOP OF THAT PAGE DOWN AT THE TOP WE HAVE OUR LIQUIDITY PORTFOLIO.

SO THOSE ARE THE FUNDS THAT ARE EITHER CASH OR EASILY CONVERTIBLE TO CASH.

THE BIG CHANGE IN QUARTER THREE WAS THAT OUR BANK WAS ACQUIRED BY BANK OF MONTREAL.

IT ACTUALLY HAPPENED EARLIER IN THE YEAR, BUT THE TRANSITION HAPPENED SEPTEMBER 3RD, I THINK.

SO, THERE WAS A LOT OF WORK BEHIND THE SCENES BY FINANCE STAFF.

THANK YOU TO FINANCE STAFF WORKING TO MAKE THAT TRANSITION.

AND BUT AND YOU CAN SORT OF SEE IT ACTUALLY THAT THE ACCOUNT BALANCES ARE A LITTLE BIT HIGHER IN QUARTER THREE THAN NORMAL AS WE'RE TRYING TO MANAGE THE CASH FLOW AND JUST TAKE INTO CONSIDERATION WORST CASE SCENARIOS.

AND THEN THE OTHER BIG THING YOU CAN NOTICE IN QUARTER THREE IS THAT WE'RE DRAWING DOWN ON OUR CAMP ACCOUNT.

SO, WE RECEIVED PROPERTY TAXES TWO TIMES IN THE YEAR APRIL AND DECEMBER.

AND SO, IN QUARTER THREE, WE'RE MOSTLY JUST DRAWING DOWN ON OUR FUNDS AND NOT REALLY RECEIVING MUCH INCOME DURING THAT TIME.

AND SO, THIS NEXT SECTION IS LOOKING AT OUR INVESTED PORTFOLIO.

SO, PFM WILL GET INTO MUCH MORE DETAIL ABOUT THIS.

BUT THE BIG TAKEAWAYS YOU CAN SEE HERE AT THE AT THE MACRO LEVEL, YES DECREASED HOLDINGS IN TREASURIES AND THEN INCREASED INVESTMENTS IN FEDERAL AGENCIES AND ASSET BACKED SECURITIES.

AND THEN LASTLY LOOKING AT OUR FUNDS HELD IN TRUST.

[01:40:03]

THE TWO THINGS THAT YOU CAN SEE MOST CLEARLY HERE, I THINK, ARE THAT WE DID OUR DRAW AS EXPECTED, WE DREW 2 MILLION FROM THE PENSION TRUST THIS YEAR, AS YOU SAW.

WE'LL BE DOING THAT AGAIN IN 2024.

AND THEN THE OTHER BIG CHANGE YOU CAN SEE IS THAT OUR DEBT SERVICE FUNDS DROPPED DOWN SIGNIFICANTLY BECAUSE WE MADE OUR BIG DEBT SERVICE PAYMENT IN SEPTEMBER.

SO THOSE ARE THE MAIN TAKEAWAYS.

SO, I'LL TURN IT OVER TO PFM.

AND THEN AT THE AT THE CONCLUSION OF THEIR PRESENTATION, WE WILL ASK FOR A RECOMMENDATION.

RIGHT. AND I THINK YOU'LL NEED HELP PULLING UP THE.

LET ME SEE IF I CAN HELP YOU WITH THAT.

OH, GOOD. OKAY.

GOOD AFTERNOON.

GOOD AFTERNOON. WELCOME BACK.

THANK YOU. SO, I'M GOING TO SHARE MATERIALS FOR THOSE ONLINE. LET'S GET RID OF THIS. OKAY.

OKAY. I BELIEVE EVERYBODY CAN SEE THE PDF DOCUMENT.

ALL RIGHT. I'M JUST GOING TO KEEP IT IN THIS FORMAT AS I DON'T KNOW HOW TO DO FULL VIEW.

ALL RIGHT. GOOD AFTERNOON, EVERYBODY.

THANK YOU SO MUCH FOR HAVING US HERE.

WE'RE GOING TO SPEND A COUPLE OF MOMENTS TALKING ABOUT THE INVESTMENT QUARTER.

KEEP IN MIND THIS REPORT IS FOR THE QUARTER ENDED SEPTEMBER 30TH.

AND I THINK IT'S REALLY NOTABLE HOW MUCH THINGS HAVE SHIFTED IN THE MARKET SINCE THEN.

SO, I'LL SPEAK ABOUT THE QUARTER, AND I'LL DO MY BEST TO BRING US CURRENT TO WHERE WE ARE.

SO, I'LL START WITH THE MARKET UPDATE.

NOW, ONE THING THAT'S NOTABLE IS THAT MARKET SENTIMENT AT THE END OF THE THIRD QUARTER REALLY HINGED ON A COUPLE OF THINGS.

ONE, THERE WAS A BELIEF THAT THE FEDERAL RESERVE COMMITTEE WOULD INITIATE ONE MORE RATE INCREASE BY YEAR END.

AND TWO, THAT RATES WOULD BE AT THAT HIGHER LEVEL THROUGH THE END OF THE SECOND CALENDAR QUARTER OF 2024 OR EVEN THROUGH THE THIRD CALENDAR QUARTER OF 2024.

NOW, WHY WAS THAT? THE PREVAILING SENTIMENT IN THE MARKET? WELL, ONE GROWTH WAS MUCH STRONGER THAN EXPECTED, SUPPORTED BY A RESILIENT CONSUMER.

AND WHAT I MEAN BY THAT IS THAT THE FIGURES FOR GDP THAT HAD COME OUT FOR THE FIRST AND SECOND QUARTER WERE EXCEPTIONALLY HIGH, AND CONSUMER SPENDING DID NOT APPEAR TO BE LESSENING, ABATING OR ANYTHING DESPITE HIGHER INTEREST RATES ASSOCIATED WITH CAR LOANS, HOME EQUITY LINES OF CREDIT AND OTHER CREDIT CARD RECEIVABLES, FOR EXAMPLE.

ANOTHER THING THAT LED TO THAT SENTIMENT WAS THE FACT THAT INFLATION WAS STUBBORNLY AHEAD OF THE FED'S INFLATIONARY TARGET.

NOW, WHAT'S INTERESTING IS THAT THE FED HAS AN INFLATIONARY TARGET, WHICH IS 2% ON AVERAGE.

AND BOTH THE HEADLINE NUMBER AND THE CORE NUMBERS CONTINUE TO BE ABOVE THAT TARGET.

SO THERE WAS THIS IDEA THAT THE FED STILL HAD MORE WORK TO DO.

THE OTHER THING THAT HELPED LEAD TO THAT SENTIMENT WAS THE FACT THAT THE LABOR MARKET CONTINUED TO BE EXCEPTIONALLY STRONG BEFORE THE END OF THE THIRD QUARTER.

ALL OF THE LABOR REPORTS THAT HAD COME OUT SHOWED THAT UNEMPLOYMENT WAS STILL LOW.

THE ECONOMY WAS STILL ADDING JOBS AT AN INCREDIBLE CLIP.

ALL OF THIS CONTRIBUTED TO THE IDEA THAT THE FED WOULD BE ABLE TO RAISE RATES TO COMBAT INFLATION WITHOUT HARMING THE ECONOMY.

SO TO BE ABLE TO ACHIEVE THAT SOFT LANDING THAT THEY HAD SUGGESTED.

SO WHAT ACTIVITY DID YOU HAVE WITH THE FED DURING THE THIRD CALENDAR QUARTER? WELL, THE FED DID RAISE RATES IN JULY, WHICH BROUGHT THE FED FUNDS TARGET RATE UP TO ITS CURRENT RANGE.

AND THEY DID HOLD THAT RATE STEADY AT THE SEPTEMBER MEETING.

BUT AGAIN, THEY SUGGESTED TO THE MARKET THROUGH THEIR DOT PLOT, WHICH IS ESSENTIALLY A SURVEY OF THE VOTING MEMBERS OF THE FED ON WHERE THEY BELIEVE RATES SHOULD BE. THAT DOT PLOT SUGGESTED THAT WE WOULD SEE ONE MORE RATE HIKE, AND THAT RATE HIKE WAS EXPECTED TO BE BY DECEMBER.

THAT DOT PLOT ALSO AGAIN SUGGESTED THAT RATES WOULD BE HIGHER FOR LONGER.

IT SHOWED PERHAPS WE'D SEE TWO RATE CUTS IN 2024.

THE FED PROJECTIONS ALSO SHOWED A COUPLE THINGS.

ONE, THEY INCREASED THEIR EXPECTATION FOR GDP.

THEY DOUBLED IT FROM 1% AT THE JUNE ECONOMIC PROJECTIONS TO 2.1%.

[01:45:08]

AND THEY ALSO LOWERED THEIR UNEMPLOYMENT PROJECTION FOR 23 AND 24.

AND AGAIN, THAT JUST REFLECTED THE BETTER-THAN-EXPECTED DATA THAT WAS COMING OUT OF THE MARKETS.

NOW OTHER THINGS THAT HAPPENED IN TERMS OF AN ECONOMIC SURVEY WAS INTEREST RATES REACHING THEIR HIGHEST LEVELS OVER THE PAST 16, 17 YEARS. THE TWO YEARS, FOR EXAMPLE, ENDED THE QUARTER AT 5.04%.

THERE ARE A COUPLE OF OTHER THINGS HAPPENING IN THE MARKET, OF COURSE.

US GOVERNMENT RATING WAS DOWNGRADED BY FITCH THAT HAD LITTLE IMPACT.

S&P HAD DOWNGRADED US DEBT TO AA+ MANY, MANY YEARS AGO, CITING THE SAME ISSUES THAT FITCH CITED IN THEIR REPORT. SO, THE MARKET REALLY DID NOT BLINK SINCE THE END OF THE QUARTER.

MOODY'S HAS LOWERED THEIR OUTLOOK FOR US TREASURY DEBT AND PUT THEM ON RATINGS.

WATCH NEGATIVE AGAIN, CITING THE SAME ISSUES THAT FITCH CITED, AND S&P CITED MANY YEARS AGO.

OTHER THINGS TO TALK ABOUT IS THAT WE ACTUALLY HAD SOME REDUCED DEMAND FOR LONGER TERM US TREASURY DEBT.

CHINA AND JAPAN, WHO WERE RELIABLE BUYERS OF TREASURY DEBT PULLED BACK.

SO THAT HAD SOME IMPACT ON THE LONGER END OF THE YIELD CURVE.

AND OF COURSE, AT THE END OF THE QUARTER, WE WERE ALL CONCERNED ABOUT THE FEDERAL BUDGET PROCESS.

WE NOW KNOW THAT THAT HAS BEEN RESOLVED.

SO WHERE DO WE SIT TODAY? WELL, THIS IS THE YIELD CURVE AS OF THE END OF THE QUARTER.

AGAIN, YIELDS WERE AT NEAR RECORD HIGHS ACROSS THE CURVE.

TWO YEAR ENDED THE QUARTER AT A 504.

AND THE TEN YEAR AND 30 YEAR WERE ALSO UP QUARTER OVER QUARTER.

WHAT'S NOTABLE IS THAT TODAY, MARKET SENTIMENT HAS SHIFTED DRAMATICALLY.

I TOLD YOU THAT THESE YIELDS REFLECTED A MARKET THAT THOUGHT THAT THE FED WAS GOING TO INCREASE RATES ONCE MORE.

THEY THOUGHT THAT RATES WERE GOING TO BE LONGER, HIGHER FOR LONGER.

WELL, TODAY MARKET SENTIMENT HAS COMPLETELY SHIFTED.

AND THE REASON FOR THAT IS THAT INFLATION DATA CONTINUES TO FALL SIGNIFICANTLY.

SO, WE'RE GETTING A LITTLE BIT CLOSER TO THAT EXPECTATION THAT WE WANT RATES TO FALL OR INFLATION TO FALL TO THE FED'S AVERAGE TARGET.

AND BECAUSE INFLATION DATA CONTINUES TO COME IN POSITIVE INVESTORS NOW INVESTORS NOT THE FED.

NOBODY'S MADE ANY STATEMENTS FROM THE FED OR THE GOVERNORS.

BUT INVESTORS HAVE INTERPRETED THIS DATA TO MEAN THAT THE FED IS ESSENTIALLY AT ITS TERMINAL POINT FOR INTEREST RATES.

NOW, WITH THAT, THE TWO-YEAR TREASURY HAS FALLEN FROM THAT 504 AT THE END OF THE QUARTER TO ITS CURRENT RANGE OF 4.89%.

NOW, WE ALSO SAW YIELDS ACROSS THE LONGER END OF THE CURVE AS WELL FALL.

THE TEN YEAR AND THE 30 YEAR AS WELL.

SO, MARKET SENTIMENT IS NOW THAT, AGAIN, INTEREST RATES ARE AT THEIR TERMINAL LEVELS FOR INCREASES.

AND WHAT'S NOTABLE IS THAT INTEREST RATES ARE NOT GOING TO BE HIGHER FOR LONGER.

THE MARKET IS CURRENTLY PRICING IN AS MUCH AS FOUR RATE CUTS TO THE OVERNIGHT RATE NEXT YEAR.

SO, WE'RE GOING TO CONTINUE TO WATCH MARKET DATA TO SEE IF WE HAVE ANY COMMENTARY FROM THE FED ABOUT THESE NEW EXPECTATIONS.

NOW FOR THE DISTRICT'S PORTFOLIO.

BECAUSE THIS REPORT FOCUSES ON THE THIRD QUARTER, I'LL HIGHLIGHT SOME THINGS.

IN TERMS OF OUR ACTIVITY.

SINCE INTEREST RATES WERE AT THEIR HIGHEST LEVELS, WE TOOK THAT AS A BUYING OPPORTUNITY FOR THE PORTFOLIO.

WE REALLY WANTED TO LOCK IN HIGHER YIELDING INVESTMENTS BEFORE THE FED FINISHED ITS POLICY OF RAISING RATES, BECAUSE WE KNEW THAT ONCE THEY DID, OR ONCE THE MARKET BELIEVED THEY WERE AT THE END, RATES WOULD FALL.

SO, WE WERE ABLE TO LOCK IN VERY ATTRACTIVE, HIGH YIELDING INVESTMENTS FOR THE DISTRICT'S PORTFOLIO.

THOSE PURCHASES ARE GOING TO BE ABLE TO SUSTAIN THE HIGHER EARNINGS LEVELS ON THE PORTFOLIO FOR THE NEXT 2 OR 3 YEARS WHILE WE GO THROUGH THIS LOWER RATE ENVIRONMENT.

SO, WE'RE REALLY HAPPY ABOUT THAT.

NOW I DO WANT TO TALK ABOUT RETURNS.

YOU'LL SEE IN THE PACKET LATER.

WE HAVE A TOTAL RETURN PRESENTATION FOR THE PORTFOLIO.

THE DISTRICT'S PORTFOLIO IS MANAGED AGAINST THE BENCHMARK, WHICH IS THE 1-TO-5-YEAR US TREASURY INDEX.

AND THE TOTAL RETURN PRESENTATION INCLUDES NOT ONLY THE INCOME YOU RECEIVED OVER THE REPORTING PERIOD.

AND THIS EXHIBIT IN PARTICULAR, WE SHOW ON THE LEFT THIRD QUARTER RETURNS, WHICH ARE JUST RETURNS FOR THE THREE MONTHS OF THE QUARTER AND INCLUDE INTEREST EARNED IN EACH OF THESE INDEXES FOR THAT QUARTER, AND ALSO THE PRICE CHANGE OF THE BONDS IN THE INDEX.

NOW, TO PULL OUT ANY. AN EXAMPLE FROM THE CHART ON THE LEFT, THE 1-TO-5-YEAR US TREASURY INDEX HAD A TOTAL RETURN OF 23 BASIS POINTS.

NOW, IN THAT INDEX IS ALL OF THE BONDS WHICH HAVE MATURITIES BETWEEN ONE YEAR AND FIVE YEARS, AND ALL THE US TREASURIES THAT ARE AVAILABLE IN

[01:50:08]

MOVING FORWARD TO THE LIGHT BLUE, THE AGENCY INDEX IS THE 1-TO-5-YEAR AGENCY INDEX.

IT INCLUDES ALL OF THE FEDERAL AGENCIES THAT HAVE MATURITIES BETWEEN 1 AND 5 YEARS.

AND SO, WHAT DOES THIS TELL US? THIS EXHIBIT TELLS US THAT ACROSS THE BOARD WE HAD POSITIVE RETURNS, MEANING THAT THE INCOME RECEIVED OVERCAME ANY MARKET VALUE ADJUSTMENTS OR PRICE CHANGES IN THE BONDS IN THE INDEX.

AND FURTHERMORE, THAT WE WERE COMPENSATED FOR HAVING DIVERSIFICATION IN THE PORTFOLIO.

SO, THE EAST BAY REGIONAL PARK DISTRICT'S PORTFOLIO INCLUDES A NUMBER OF DIFFERENT SECTORS.

FEDERAL AGENCIES, CORPORATE NOTES ASSET BACKED SECURITIES FEDERAL AGENCY SECURITIES, FEDERAL AGENCY, MORTGAGE-BACKED SECURITIES.

AND YOU WERE GETTING THE BENEFIT OF HAVING THAT DIVERSIFICATION IN THE PORTFOLIO.

ON THE LEFT HAND OF THIS EXHIBIT, WE SHOW THE TEN-YEAR AVERAGE RETURNS, AND THIS IS THE TEN-YEAR ANNUAL AVERAGE RETURN OF EACH OF THESE INDICES FOR THAT SAME PERIOD. NOW.

I MADE SOME MENTION OF THE ECONOMIC PROJECTIONS ALREADY IN MY EARLIER COMMENTS, BUT I DO THINK THAT IT'S VERY NOTABLE ABOUT THE FED CHANGING THEIR EXPECTATIONS FOR GROWTH AND UNEMPLOYMENT FOR THE QUARTER.

THIS EXHIBIT SHOWS THE FED'S GENERAL ECONOMIC PROJECTIONS.

AND I HIGHLIGHT IN THE TOP LEFT THE CHANGE IN REAL GDP.

AND AGAIN, IT DOUBLED FROM ABOUT 1% TO 2.1%.

AND THAT SIMPLY REFLECTS THE BETTER-THAN-EXPECTED NUMBERS WE'VE SEEN COME IN ALL YEAR FOR GDP FOR THE FIRST QUARTER AND THE SECOND QUARTER. THE FED AT THE END OF THE QUARTER PROJECTED THAT THIRD QUARTER GDP, OR ECONOMISTS PROJECTED THAT THIRD QUARTER GDP WAS GOING TO BE ABOUT 3% ON AVERAGE, AND THAT NUMBER CAME IN AT 4.9%.

SO IT'S JUST REALLY REFLECTIVE OF THE STRONG RESILIENCY OF THE CONSUMER, THE FACT THAT OUR ECONOMY KEEPS MOVING FORWARD.

UNEMPLOYMENT RATE CAME DOWN IN THE FED'S PROJECTION TO 3.8 TO END THE YEAR.

WE ARE AT 10TH OF A PERCENT HIGHER IN THE UNEMPLOYMENT RATE.

RIGHT NOW. WE'RE AT 3.9%.

BUT THIS AGAIN JUST SHOWS THAT THE FED FED'S BELIEF THAT THEIR POLICY IS NOT AS DELETERIOUS TO THE ECONOMY AS PREVIOUSLY EXPECTED.

OTHER PROJECTIONS ON THE BOTTOM INCLUDES THE FEDERAL FUNDS RATE.

AGAIN, THE MARKET NOW EXPECTS THE FED TO BE AT THEIR TERMINAL RATE RATHER THAN GOING A STEP HIGHER.

AND THE FED IS EXPECTING INFLATION TO END THE YEAR IN ABOUT 3.3%.

AND WE'RE STILL ON THE WAY BUT STILL EXPECTING TO SEE SOME MOVEMENT THERE.

I'LL MOVE FORWARD TO THE DISTRICT'S PORTFOLIO AND JUST MAKE A COUPLE OF COMMENTS THERE.

THE DISTRICT'S PORTFOLIO WAS COMPLIANT WITH INVESTMENT POLICY GUIDELINES DURING THE QUARTER.

A SNAPSHOT OF THE PORTFOLIO AS OF SEPTEMBER 30TH.

SO, IT WAS ABOUT 144.8 MILLION TOTAL IN THE SECURITIES PORTFOLIO.

AND AS MISS SPAULDING STATED IN HER COMMENTS, THIS REPORT FOCUSES ON THE SECURITIES PORTFOLIO AND EXCLUDES THE FUNDS THE DISTRICT HAS IN TRUST, AND ALSO EXCLUDES THE DISTRICT'S FUNDS THAT ARE IN LIQUIDITY VEHICLES.

A COUPLE OF THINGS TO HIGHLIGHT HERE IN THE STATISTICS IN THE TOP LEFT, THE YIELD AT COST IN THE PORTFOLIO IS A 3.37%.

THAT 3.37% REPRESENTS THE AVERAGE EARNINGS YIELD IN THE PORTFOLIO AND INCLUDES THE PURCHASES THAT WE MADE A COUPLE OF YEARS AGO, WHEN INTEREST RATES WERE NEAR ZERO, AND THE PURCHASES WE MADE DURING THE QUARTER WHEN INTEREST RATES WERE MUCH HIGHER.

WE'RE VERY HAPPY TO SEE THE GROWTH IN THIS METRIC.

THE PORTFOLIO YIELD HAS COME UP SUBSTANTIALLY AS WE WORKED TO RESTRUCTURE THE PORTFOLIO TO TAKE ADVANTAGE OF THESE MUCH HIGHER INTEREST RATES.

THE YIELD AT MARKET AT 5.02% REPRESENTS THE AVAILABLE YIELD IN THE MARKET AS OF THE END OF THE QUARTER.

YOU CAN SEE IN THE TOP RIGHT DONUT THAT THE PORTFOLIO IS WELL DIVERSIFIED AMONGST SECTORS.

I'LL TALK IN A PAGE ABOUT THE SECURITY PURCHASES WE MADE THIS PAST QUARTER.

WE ARE AT A NEUTRAL DURATION STANCE.

IF YOU TAKE A LOOK AT THE DURATION DISTRIBUTION IN THE BOTTOM RIGHT, WE SHOW THE PORTFOLIOS DURATION DISTRIBUTION, WHICH IS ANOTHER METRIC THAT BASICALLY TRACKS THE AVERAGE DURATION OR TIME OF THE CASH FLOWS IN THE PORTFOLIO AGAINST THE BENCHMARK, WHICH IS AGAIN THE 1-TO-5-YEAR US TREASURY INDEX.

AND WE'RE ESSENTIALLY AT WHAT I CALL A NEUTRAL STANDPOINT, MEANING THAT WE ARE ESSENTIALLY MATCHED TO THE BENCHMARK DURATION.

NOW, IN SOME CASES, WE MAY HAVE A LITTLE BIT MORE IN THE 0 TO 1 AREA, BUT WE BALANCE THAT OUT LATER ON IN THE PORTFOLIO TO GIVE US AN AVERAGE

[01:55:09]

AND THE PORTFOLIO IS OF EXCEPTIONALLY HIGH CREDIT QUALITY.

NOW, IN TERMS OF THE PURCHASES THIS QUARTER, WE DID A TREMENDOUS AMOUNT OF RESTRUCTURING OF THIS QUARTER.

WE ESSENTIALLY SOLD OUT OF $13.3 MILLION IN US TREASURY AND REALLOCATED THOSE FUNDS TO AGENCY COMMERCIAL MORTGAGE-BACKED SECURITIES, WHICH ARE ESSENTIALLY POOLS, FOR EXAMPLE, OF MULTIFAMILY HOUSING.

WE INVESTED IN ASSET BACKED SECURITIES, NEGOTIABLE CDS AND CORPORATE NOTES.

THE REASON THESE SECTORS WERE VERY ATTRACTIVE WAS TWOFOLD.

ONE, SPREADS WIDENED, MEANING THAT INVESTORS DURING THE QUARTER DEMANDED HIGHER INCOME FOR PURCHASING COMMERCIAL MORTGAGE-BACKED SECURITIES AND ASSET BACKED SECURITIES.

WELL, WHY IS THAT? WELL, THE AVERAGE LIFE OF THESE SECURITIES WAS EXPECTED TO EXTEND BECAUSE INVESTORS ARE DOING LESS REFINANCINGS AND MORTGAGE-BACKED SECURITIES.

AND THAT'S BECAUSE THE INTEREST RATES THAT INVESTORS WERE ABLE TO GARNER ON THOSE OR BORROWERS WERE ABLE TO GET ON, THOSE ARE EXTREMELY LOW, AND THEY'RE NOT EXPECTED TO REFINANCE IN A HIGHER YIELDING ENVIRONMENT.

WE SAW THAT AS A BUYING OPPORTUNITY.

THE YIELDS ON THESE SECURITIES ARE VERY ATTRACTIVE, AND WE'RE HAPPY TO HAVE, QUITE FRANKLY, THEM EXTEND.

IF WE'RE EARNING A YIELD OF ABOVE 5% IN THE CURRENT MARKET.

ASSET BACKED SECURITIES HAD SIMILAR STORIES.

THERE WAS SOME CONCERN IN GENERAL ABOUT CREDIT CARD RECEIVABLES, AUTO LOANS INVESTORS WORRYING ABOUT THOSE DEFAULTING. THAT REALLY APPLIED TO THE SUBPRIME MARKET.

THOSE ARE NOT THE TYPES OF ASSET-BACKED SECURITIES WE INVEST IN.

BUT BECAUSE OF THAT CHATTER AND THAT CONCERN SPREADS IN THE WHOLE SECTOR WIDENED.

SO, WE SAW THAT AS A BUYING OPPORTUNITY FOR THE HIGH-QUALITY ASSET BACKED SECURITIES WE PURCHASED.

AND SO, WE TOOK ADVANTAGE OF THAT.

CORPORATE NOTES AND NEGOTIABLE CDS ALSO BENEFITED FROM GENERAL SPREAD WIDENING IN THE AREA.

SO AGAIN, WE DECIDED IT WAS A GREAT TIME TO SHED SOME OF THOSE US TREASURIES AND REINVEST IN THE HIGH-QUALITY SECTORS THAT ARE ALLOWED BY YOUR POLICY. SO, WE THINK THAT THESE INVESTMENTS ARE GOING TO HELP CONTRIBUTE TO ATTRACTIVE YIELD IN THE FUTURE.

AND GOOD DIVERSIFICATION IN TERMS OF THE TOTAL RETURN PERFORMANCE, WE'RE PRETTY STRONG PERFORMERS.

WE HAVE GOOD OUTPERFORMANCE OF THE PORTFOLIO.

I'M GOING TO FOCUS ON THE THREE-MONTH TENURE THREE-MONTH COLUMN ON THE TABLE BELOW.

SO, WE TALKED ABOUT INTEREST EARNED IN THE PORTFOLIO AND THE INTEREST EARNED IN THE PORTFOLIO FOR THE QUARTER WAS 905,008 76.

THAT'S THE QUARTERLY INTEREST FIGURE.

NOW, THE CHANGE IN MARKET VALUE IS THE PRICE CHANGE THAT I TALKED ABOUT.

THAT'S SIMPLY THE MARKET VALUE OF YOUR BONDS FLUCTUATING AS INTEREST RATES CHANGE IN THE MARKET.

AND THAT WAS A -624,000 FOR A TOTAL DOLLAR RETURN OF $361,000 FOR THE QUARTER.

NOW THAT COMPARES FAVORABLY WITH YOUR BENCHMARK ON A GROSS BASIS.

WE'RE AHEAD OF PERFORMANCE FOR THE BENCHMARK.

ON A NET BASIS, WE'RE EVEN IF YOU LOOK AT LONGER TRAILING PERIODS, WE CONTINUE TO HAVE A REALLY GREAT PERFORMANCE VERSUS THE BENCHMARK OVER PERFORMING ON A SIGNIFICANT BASIS, BOTH GROSS AND NET OF FEES.

NOW, I DO WANT TO TALK ABOUT THE BOOK EARNINGS PRESENTATION OR THE ACCRUAL BASIS PRESENTATION.

FOR A MOMENT.

ACCRUAL BASIS TAKES OUT OF THE EQUATION, ANY OF THE UNREALIZED MARKET VALUE CHANGES, WHICH WE SAW ON THE PRIOR SLIDE AND ACTUALLY TALKS ABOUT REALIZED LOSSES IN THE PORTFOLIO.

NOW, I MENTIONED THAT WE SOLD ABOUT $13.3 MILLION OF US TREASURIES TO REINVEST IN THE MARKETS.

AND FOR THAT ACTIVITY, WE REALIZED ABOUT 704,000 OF GAINS.

NOW, WHEN YOU TAKE THAT REALIZED, SORRY, 704,000 OF LOSSES, NOW, WHEN YOU TAKE THAT LOSS AGAINST THE INTEREST EARNED AND THE REAL CHANGE IN AMORTIZED VALUE, YOU STILL HAVE POSITIVE EARNINGS FOR THE QUARTER.

BUT I DO WANT TO TALK ABOUT THAT REALIZED LOSS FIGURE BECAUSE IT'S IMPORTANT AND IT'S NOTABLE.

ONE, IN THIS INTEREST RATE ENVIRONMENT, WE HAVE SECURITIES IN THE PORTFOLIO THAT WE PURCHASED YEARS AGO IN 2020 AND 2021, WHEN THE TWO YEAR TREASURY WAS DOWN TO 25 BASIS POINTS.

WHEN WE'RE SELLING THOSE BONDS IN THE CURRENT MARKET, INVESTORS ARE GOING TO DEMAND A DISCOUNT FOR PURCHASING THOSE BONDS TO

[02:00:05]

AND SO THAT'S WHY THOSE BONDS WERE SOLD AT LOSSES.

NOW, BECAUSE WE ARE SHEDDING THOSE LOWER YIELDING BONDS THAT PAID YIELDS AGAIN BELOW 1% AND ARE PICKING UP YIELDS ON AVERAGE ABOVE 5%. WE MORE THAN RECOUP THE LOSS ON THAT INVESTMENT.

AND WE BELIEVE THAT IN THE LONG RUN, HAVING THAT HIGHER INTEREST FIGURE IS GOING TO BE VERY BENEFICIAL TO THE DISTRICT.

SO ON A MATH BASIS, WE ARE DOING THAT ANALYSIS WHEN WE TRADE THE SECURITIES.

WE THOUGHT THIS QUARTER IN PARTICULAR WAS JUST SO MUCH OPPORTUNITY THAT WE DECIDED TO DO LARGE MOVEMENTS INTO ALL THE SECTORS I TALKED ABOUT.

AND YOU WILL SEE THE DIVIDENDS ON THOSE PURCHASES.

YOU'LL SEE THAT INTEREST EARNED FIGURE GROW.

AND AGAIN, SINCE INTEREST RATES ARE EXPECTED TO DECLINE, THAT'S GOING TO SUSTAIN US FOR A GOOD PORTION IN THE FUTURE.

NOW, I DO WANT TO TALK ABOUT THE ESG OVERVIEW FOR THE PORTFOLIO.

THE DISTRICT DOES HAVE AN ENVIRONMENTAL, SOCIAL AND GOVERNANCE MANDATE FOR ITS PORTFOLIO.

AND WE AS A PRACTICE, MANAGE THE PORTFOLIO AND CONSIDERATION OF THOSE ESG OBJECTIVES.

NOW, JUST A BRIEF OVERVIEW OF ESG RISK RATINGS.

ESG RISK RATINGS ARE BUILT ON THREE BUILDING BLOCKS THREE SORT OF MAIN, PRIMARY ISSUES.

AND THEN ALSO SORT OF DIG DOWN INTO TWO DIMENSIONS.

NOW THE THREE PRIMARY BUILDING BLOCKS ARE CORPORATE GOVERNANCE MATERIAL ESG ISSUES.

AND THAT COULD BE ANYTHING THAT SIGNIFICANTLY IMPACTS THE OPERATIONS OR STAKEHOLDERS OF THE BUSINESS.

AND THOSE ARE ENVIRONMENTAL SUSTAINABILITY, SOCIAL RESPONSIBILITY AND ETHICAL GOVERNANCE AND IDIOSYNCRATIC ISSUES THAT MAY BE TOPICAL. NOW THE RATING DIMENSIONS USED TO ASSESS THOSE ARE EXPOSURE, WHICH REFLECTS THE EXTENT AND ISSUER IS EXPOSED TO ANY PARTICULAR ESG RISK AND MANAGEMENT, WHICH IS HOW A COMPANY ADDRESSES AND HANDLES THE ESG RELATED ISSUES THROUGH POLICIES, PROGRAMS, ETC., AND HOW THEY RUN THEIR BUSINESS.

NOW, FOR SOME MATERIAL ESG RISKS THAT AN ISSUER MAY FACE.

YOU KNOW, OUR PARTNER WHO IS SUSTAINALYTICS UNDERSTANDS THAT THERE'S SOME LEVELS OF UNMANAGEABLE RISK, AND THAT'S TAKEN INTO ACCOUNT IN HOW THEY ASSESS EACH ISSUER.

NOW, THE OVERALL ESG RISK RATING THAT WE'RE EVALUATING, YOU'LL NOTICE HERE THAT WE NOTE THAT THE PORTFOLIO HAS AN AVERAGE ESG RISK RATING OF 20.9%. THAT METRIC IS USED TO IDENTIFY THE LEVEL OF UNMANAGED RISK EACH ISSUER FACES.

SO AGAIN, YOU HAVE SOME EXPOSURE GENERALLY TO ESG RISKS, AND YOU EXPECT THAT YOU ARE MANAGING SOME.

SO, THE AMOUNT THAT YOU'RE NOT MANAGING AND THAT EXISTS, THAT'S WHERE THAT ESG RISK RATING COMES FROM.

NOW THE EAST BAY REGIONAL PARK DISTRICT HAS AN ESG POLICY THAT REQUIRES US TO FOCUS ON ISSUERS WHO HAVE ESG RISK RATINGS BELOW 30.

AND IF THEY DO HAVE ESG RISK RATINGS ABOVE 30, WE WANT THEM TO BE IN THE 25TH PERCENTILE OF THEIR INDUSTRY, MEANING THAT WE ACKNOWLEDGE THAT THERE ARE SOME INDUSTRIES THAT JUST HAVE HIGH LEVELS OF ESG RISK.

SO, IF WE HAVE AN ISSUER WITH A HIGH LEVEL OF ESG RISK, WE WANT TO MAKE SURE THAT THEY ARE ONE OF THE BEST MANAGED IN THEIR RESPECTIVE INDUSTRY.

SO, THAT IS THE BASIS OF THE ESG RISK RATINGS THAT WE'RE TALKING ABOUT TODAY.

NOW, FOR THE DISTRICT'S PORTFOLIO ESG RISK RATINGS ARE AVAILABLE FOR CERTAIN ISSUERS IN THE PORTFOLIO.

69 OUT OF THE 76 ISSUERS IN THE PORTFOLIO ARE RATED OR HAVE A ESG RISK RATING.

WE APPLY THE ESG CRITERIA THAT THE DISTRICT HAS TO THE CREDIT PURCHASES IN THE PORTFOLIO.

SO, BEFORE WE PURCHASE A CORPORATE NOTE OR AN ASSET BACKED SECURITY OR A NEGOTIABLE CD, WE'RE EVALUATING THE ESG RISK RATING TO ENSURE THAT IT FITS INTO THE CITY'S CRITERIA.

UNRATED ISSUERS IN THE PORTFOLIO WOULD INCLUDE YOUR US TREASURY HOLDINGS AND SOME MUNICIPAL SECURITIES.

OF THE ISSUERS IN THE DISTRICT'S PORTFOLIO THAT ARE RATED, THE MAJORITY FALL WITHIN THE LOW OR MEDIUM RISK RANGES.

IRONICALLY, IN YOUR PORTFOLIO, THE HIGHEST RISK RATING AND THE NEGLIGIBLE RISK RATING ARE BOTH GOVERNMENT SECURITIES.

THEY'RE IN THE GOVERNMENT CATEGORY, SO THEY SORT OF JUST EXIST.

THAT'S JUST THE NATURE OF THEIR BUSINESS.

THE ESG RISK RATING HAS IMPROVED QUARTER OVER QUARTER TO 20.9%.

AS OF THE END OF THE QUARTER, IT WAS ABOUT ONE POINT HIGHER.

[02:05:03]

SO THAT IS AN IMPROVEMENT.

NOW, I WILL SAY THAT RATINGS FOR THE ISSUERS IN THE PORTFOLIO DON'T CHANGE VERY MUCH.

UNLESS SOMETHING SIGNIFICANT HAPPENS WITHIN THE COMPANY OR WITHIN THE INDUSTRY.

SO, WE DON'T EXPECT VERY LARGE SWINGS IN THE AVERAGE RISK RATING OF EACH ISSUER IN THE PORTFOLIO.

BUT AGAIN, AS WE ADD NEW ISSUERS TO THE PORTFOLIO, WE ARE DOING THIS ASSESSMENT AND ENSURING THAT THEY FALL WITHIN THE DISTRICT'S INVESTMENT CRITERIA.

SO THAT IS MY LAST FORMAL SLIDE.

I WILL PAUSE AND TAKE QUESTIONS.

THANK YOU VERY MUCH.

ALWAYS VERY DETAILED.

I'LL START WITH DIRECTOR CORBETT.

SEE IF SHE HAS ANY COMMENTS OR QUESTIONS.

DON'T HAVE ANY AT THIS TIME.

THANK YOU VERY MUCH FOR THE PRESENTATION.

THANK YOU, DR.

MERCURIO. JUST ONE QUESTION.

I ALWAYS ASK THIS QUESTION.

I WATCHED THE, THE YIELD CURVES.

AND SO, IT WAS ALWAYS THOUGHT THAT AN INVERTED YIELD CURVE WOULD ALWAYS KIND OF PORTENDS RECESSION, A RECESSION. SO, AND I THINK THIS CURVE'S BEEN INVERTED SINCE LAST YEAR.

YES. SO IS IT BECAUSE IT IS.

WELL. HOW COME WE'RE NOT IN A RECESSION? THAT IS A GREAT QUESTION.

THERE'S GOING TO BE BOOKS WRITTEN ABOUT WHY WE'RE NOT IN A RECESSION RIGHT NOW.

FRANKLY, THE FACT OF THE MATTER IS THAT CONSUMERS KEEP SPENDING.

THERE SEEMS TO BE NOTHING THAT THAT IS GETTING IN THE CONSUMER'S WAY.

DESPITE HIGHER INTEREST RATES, SPENDING, DESPITE HIGHER AUTO PRICES, BUYING DESPITE HIGHER AUTO LOAN PRICES, STILL BUYING.

YOU KNOW, RIGHT NOW WE'RE IN THAT MARKET WHERE DESPITE THE POLICY OVER THE PAST YEAR OR SO, DESPITE THE INVERTED YIELD CURVE, WE HAVE NOT SEEN THAT SHIFT. THERE ARE HEADWINDS COMING, THOUGH.

WE'RE AT A STATE WHERE CONSUMERS HAVE SPENT DOWN A GOOD PORTION OF THEIR SAVINGS.

WE'VE SEEN DEBT INCREASE TO THE HIGHEST LEVELS.

WE'RE STARTING TO SEE INVENTORY ON CAR LOTS.

YOU KNOW, RAMP UP.

ALL THOSE THINGS SUGGEST THAT WE COULD HAVE A GLUT COMING.

BUT SO FAR, WE JUST HAVE NOT SEEN THAT.

IT JUST HAS NOT SHOWN ITSELF IN THE NUMBERS.

CAN YOU KIND OF EXPLAIN OR TRY TO EXPLAIN THE WHY? CHINA AND JAPAN'S SHEDDING OF U.S.

TREASURIES HURTS US OR HURTS YOU? YEAH, THAT'S A THAT'S A GOOD QUESTION.

SO, YOU KNOW, LIKE ANYTHING, IT'S A SUPPLY AND DEMAND ISSUE.

YOU KNOW, IF THEY START SELLING US TREASURY BONDS, THEY'RE CREATING SORT OF AN OVERUSE OF PRODUCT, AND THAT CAUSES THE PRICE TO DECLINE. RIGHT? THERE'S TOO MUCH VALUE IN THE MARKET.

THE PRICE OF THOSE BONDS IS GOING TO DECLINE.

THAT PUTS UPWARD PRESSURE ON INTEREST RATES, WHICH JUST INCREASES OUR BORROWING COSTS.

SO, WHO'S BUYING? ARE WE, ARE WE, ARE WE.

WELL, ARE WE LIKE THERE.

I WILL SAY DESPITE FOR LACK OF A BETTER WORD, THE DRAMA WITH REGARD TO US TREASURY DEBT OVER THIS PAST YEAR WE STILL ARE THE RISK-FREE RATE IN THE MARKET.

THERE HAS NOT BEEN A GREAT SUBSTITUTE FOR US TREASURY DEBT IN TERMS OF STANDING IN THE MARKET AS THE RISK-FREE INVESTMENT OBLIGATION.

AND SO, UNTIL THERE IS, I THINK THERE WILL STILL BE DEMAND FOR US TREASURY BONDS.

BUT IT IS SOMETHING TO NOTE THAT SOME OF THE MOST RELIABLE PURCHASERS ARE STARTING TO LOOK FOR OTHER OPTIONS.

YEAH. AND THEN HOW DOES THE CURRENT ARE, I WOULD JUST SAY THE CURRENT CLIMATE IN CONGRESS AFFECT.

US TREASURIES.

YOU KNOW, UNFORTUNATELY, I THINK THE MARKET HAS GOTTEN USED TO OUR LEADERSHIP.

AND SO, YOU KNOW, DESPITE THE YOU KNOW, LACK OF DECORUM IN CONGRESS AND THE LACK OF MEASURABLE PROGRESS AMONG SOME OF THESE ISSUES. THE MARKET HAS NOT TAKEN ANY NOTICE.

INTERESTING. YEAH.

WELL, THANK YOU FOR YOUR REPORT.

ARE THERE ANY PUBLIC COMMENTS?

[02:10:01]

I SEE NOTHING IN THE ROOM.

ANY OTHER COMMENTS FROM THE BOARD? SO, THIS WAS INFORMATIONAL ONLY? I BELIEVE. OH.

NO. WE'RE JUST GOING TO BE RECOMMENDED TO THE BOARD.

YEAH. YEAH.

SO, I HAVE NO FURTHER QUESTIONS, BUT THANK YOU VERY MUCH.

VERY DETAILED. AND I CAN SEE THAT WE'RE IN VERY GOOD HANDS.

THANK YOU. ALL RIGHT.

YES. WE JUST NEED A RECOMMENDATION ON THAT.

OKAY. AND SO, A MOTION IS IN ORDER.

MOVE APPROVAL OF TO RECOMMEND TO THE FULL BOARD.

AND I SEE DIRECTOR CORBETT'S HAND FOR A SECOND.

SECOND. EXCELLENT.

SO, WE HAVE A MOTION AND A SECOND.

ALL THOSE IN FAVOR SAY AYE.

AYE. RECOMMENDATION IS APPROVED TO THE FULL BOARD.

THANK YOU VERY MUCH.

AND NEXT WE HAVE.

ARE WE AT D? THIRD QUARTER 2023 GENERAL FUND, IS THAT CORRECT? OKAY. GOOD AFTERNOON.

I'M JENNYLYN BAYONA, BUDGET MANAGER, AND TODAY I'M GOING TO PRESENT.

I'M GOING TO QUICKLY PRESENT TO YOU THE THIRD QUARTER 2023 GENERAL FUND AND OTHER GOVERNMENTAL FUNDS FINANCIAL REPORT.

WE WILL START WITH AN OVERVIEW OF THE GENERAL FUND AND EXPENDITURES FOR THE THIRD QUARTER OF 2023.

AS YOU CAN SEE, ACTUAL REVENUE IS AT 108,400,000 OR 54.3 OF BUDGET, WHICH IS AS EXPECTED SINCE THE SECOND HALF YEAR. REVENUES TYPICALLY POST THAT FOURTH QUARTER OR END OF THE YEAR REVENUE IS 10% HIGHER COMPARED TO PRIOR YEAR'S THIRD QUARTER, PRIMARILY DUE TO INCREASES IN PROPERTY TAXES AND INVESTMENT EARNINGS.

YOU WILL ALSO SEE THAT ACTUAL EXPENDITURE IS AT 161,700,000 OR 71.2% OF BUDGET, WHICH IS ON TARGET AT THIS TIME OF THE YEAR COMPARED TO PRIOR YEAR.

AT THIS TIME, EXPENDITURE IS 22% HIGHER, PRIMARILY DUE TO INCREASE IN TRANSFERS.

AS WE DRILL DOWN TO THE GENERAL FUND, WHICH IS FOUND ON ATTACHMENT.

ATTACHMENT A ON PAGE 99 OF YOUR PACKET.

IT SHOWS DETAILS OF GENERAL FUND REVENUE AND EXPENDITURES BY CATEGORY AND BY DIVISION.

YOU WILL ALSO SEE NOTES AT THE BOTTOM FOR ITEMS THAT SHOW VARIANCE AGAINST BUDGET OF OVER OR UNDER 10% OF THE TARGETED 75%- OR NINE-MONTH BUDGET. THE MOST SIGNIFICANT VARIANCE IS IN REVENUE IS IN THE INVESTMENT EARNINGS, WHICH HAS EXCEEDED PRIOR YEAR'S PERFORMANCE AT THIS TIME.

STARTING THIS YEAR, WE DISCONTINUED BUDGETING FOR INVESTMENT DUE TO VOLATILITY AND UNCERTAINTY.

AS FOR EXPENDITURES, THE MOST SIGNIFICANT VARIANCE IS IN TRANSFERS OUT, WHICH ARE POSTED IMMEDIATELY AFTER BUDGET TRANSFERS ARE APPROVED BY THE BOARD.

AND MY LAST SLIDE LIST.

THE OTHER FOUR FUND TYPES.

AND THEY ARE SPECIAL REVENUE FUNDS, WHICH INCLUDE MEASURE F, LIGHTING AND LANDSCAPING, ZONES OF BENEFIT AND MEASURE WW LOCAL GRANTS, PROJECT FUNDS WHICH ARE PRIMARILY USED FOR LAND ACQUISITION AND CONSTRUCTIONS THAT SERVICE WHICH IS THE MEASURE WW.

AND LASTLY INTERNAL SERVICE FUNDS WHICH IS USED TO PAY FOR WORKERS COMP, GENERAL LIABILITY, EMPLOYEE BENEFITS, MAJOR INFRASTRUCTURE AND MAJOR EQUIPMENT.

ALL ARE ON TRACK AS EXPECTED.

THIS CONCLUDES MY BRIEF PRESENTATION.

DOES ANYONE HAVE ANY QUESTIONS? DIRECTOR CORBETT.

ANY QUESTIONS? NO QUESTIONS.

OKAY. I HAVE NO QUESTIONS.

THIS IS VERY STRAIGHTFORWARD.

AND THANK YOU FOR THE COMPILATION AND THE REPORT.

THANK YOU. I WOULD JUST THANK EVERYONE RESPONSIBLE FOR THE NOTES AT THE BOTTOM THERE ON 90, NOT PAGE 99 AND 100. THEY INVARIABLY ANSWER THE QUESTIONS I HAVE WHEN I LOOK AT THEM.

I GO, WHAT? YOU KNOW, AND THEN THE NOTES SAY, OH, HERE'S WHY.

YOU KNOW, SO ESSENTIAL.

VERY GOOD. YES.

THANK YOU.

THANK YOU SO MUCH.

SO, WE NEED A RECOMMENDATION.

[02:15:05]

ANY PUBLIC COMMENTS.

SEEING NONE IN THE ROOM.

NO, NONE. NO PUBLIC COMMENTS.

EXCELLENT. SO, MOVED.

WE HAVE A MOTION AND A SECOND AND A SECOND.

SO, ALL THOSE IN FAVOR SAY AYE.

AYE. MOTION PASSES.

THANK YOU SO MUCH.

THANK YOU. AND THEN WITH THAT WE'RE AT ITEM NUMBER SIX.

ANY ANNOUNCEMENTS? WELL, WE ACTUALLY WE STILL NEED TO GO BACK TO THE VERY FIRST ITEM THAT WE GOT TO GO BACK TO.

ITEM NUMBER FOUR.

[Informational Items]

YEAH. SORRY.

TAKING THINGS VERY OUT OF ORDER.

THE GREEN BOND, TRYING TO MOVE FORWARD TO MY NEXT SLIDE.

HERE WE GO.

ALL RIGHT. THIS WILL BE QUICK. THIS IS AN INFORMATIONAL ITEM, AND IT'S REALLY JUST A RECAP OF A REPORT THAT WE FILED WITH THE MSB.

AND TYPICALLY, WE WOULD HAVE BROUGHT THIS TO YOU A LITTLE BIT EARLIER IN THE YEAR, BUT WE'RE BRINGING IT TO YOU NOW.

SO JUST TO RECAP THE PARK DISTRICT ISSUED ITS FIRST GREEN BONDS IN 2017 $30 MILLION.

AND THEN LAST YEAR, IN 2022, WE ISSUED AN ADDITIONAL 30 MILLION IN GREEN BONDS BECAUSE WE HAD ALMOST SPENT THE ORIGINAL 30 MILLION.

AND SO GREEN BONDS MEAN THAT THOSE FUNDS CAN ONLY BE USED FOR ENVIRONMENTAL TYPES OF CAPITAL PROJECTS.

SO, LAND ACQUISITION, TRAIL CREATION, HABITAT IMPROVEMENT AND THEN SEA LEVEL RISE RESPONSE AS A REQUIREMENT OF SELLING GREEN BONDS, WE HAVE TO DO AN ANNUAL REPORT TO ANY INVESTORS SO THAT THEY CAN SEE THAT WE TRULY ARE SPENDING OUR MONEY ON ENVIRONMENTALLY FRIENDLY PROJECTS.

SO, WE FILED THAT ON THE MSB WEBSITE, WHICH IS CALLED EMMA.

AND THEN JUST GIVE IT TO YOU FOR INFORMATION.

AND THEN HERE ARE JUST A COUPLE EXAMPLES OF SOME PROJECTS THAT WERE COMPLETED WITH GREEN BOND FUNDS IN THE LAST YEAR, ACTUALLY IN 2022.

SO HERE IS ONE THAT WAS A PORTION OF THE SAN FRANCISCO BAY TRAIL OUT AT LONE TREE.

AND IN TOTAL, THE PROJECT USED $4.3 MILLION IN GREEN BONDS, WHICH IS ALMOST ALL OF THE TOTAL PROJECT COST.

AND SO, SOME PICTURES OF THE PROJECT AND A LISTING OF THE BENEFITS.

AND THE MOST INTERESTING PART, I ALWAYS THINK, IS THE EXPECTED CARBON SEQUESTRATION VALUE, WHICH IS DOWN AT THE BOTTOM.

SO, IT TALKS ABOUT HOW WE'RE REDUCING GREENHOUSE GASES WITH OUR PROJECT.

AND THEN ANOTHER EXAMPLE OF A PROJECT.

THIS IS A HABITAT RESTORATION PROJECT OUT AT BAY POINT.

$5.1 MILLION IN GREEN BONDS.

AND THIS WAS A SEA LEVEL RISE TYPE OF PROJECT.

AND SO, WE DON'T WE DID NOT QUANTIFY THE GREENHOUSE GAS EMISSIONS THAT WERE OF THIS PROJECT, BUT IT DID HAVE OTHER ANCILLARY BENEFITS.

AND SO THAT IS IT JUST AN INFORMATIONAL REPORT ON THE GREEN BONDS.

ANY QUESTIONS? QUESTIONS FROM THE BOARD.

IT SOUNDS LIKE WE'RE NOT HAVING ANY PROBLEMS SELLING THE GREEN BONDS.

YEAH, THEY SOLD.

WE DID NOT IN THIS LAST 2022 SALE DID NOT SEE AN INCREASE IN THE REVENUE GENERATED, WHICH WE DID IN THE FIRST SERIES IN THE 2017 SERIES.

AND WHY THAT IS, WE'RE NOT WE'RE NOT SURE, BUT THEY SOLD VERY EASILY.

THE PARK DISTRICT BONDS ALWAYS DO.

AND WE'RE TRIPLE A RATED WHICH IS WONDERFUL THING.

IT MAKES IT PRETTY EASY FOR US TO SELL OUR BONDS.

ALWAYS. OH, GOOD.

YEAH. THIS IS IT'S A GREAT TO HAVE IT IN OUR PORTFOLIO.

OKAY. I THINK ANY PUBLIC COMMENTS.

NO PUBLIC COMMENTS.

OKAY. THANK YOU.

AND I DON'T SEE ANY COMMENTS ON THEM FROM THE INSIDE HERE, SO THANK YOU VERY MUCH.

ALWAYS A LOT OF WORK IN FINANCE.

YOU GUYS NEVER STOP.

THANK YOU VERY MUCH.

AND THEN ANY ANNOUNCEMENTS?

[Announcements]

GREAT. AND ANY OTHER ANNOUNCEMENTS FROM THE BOARD? YES. I WOULD JUST LIKE TO ASK.

I WOULD SAY TO THE CHAIR, THANK YOU SO MUCH FOR CHAIRING THE MEETING TODAY.

OH, YOU'RE WELCOME. I HOPE YOU GET BETTER.

THANK YOU. THANK YOU SO MUCH.

APPRECIATE IT. YEAH.

[02:20:05]

WE LOOK FORWARD TO SEEING THIS AGAIN IN DECEMBER AND REMIND YOU ALL IF YOU FEEL FREE TO CONTINUE TO PERUSE YOUR BUDGET AND IF YOU HAVE ANY QUESTIONS, SEND THEM ALL TO DEBORAH.

I KNOW I'LL BE GOING OVER AGAIN A SECOND LOOK.

OKAY. THANK YOU VERY MUCH.

WE ARE ADJOURNED.

* This transcript was compiled from uncorrected Closed Captioning.