[00:00:01]
          THIS IS THE BOARD FINANCE COMMITTEE MEETING OF THE EAST BAY REGIONAL PARK DISTRICT ON
WEDNESDAY, SEPTEMBER 10TH. WE ARE BEGINNING AT 11:04 AND THE MEETING IS NOW OPEN. 
          SHANNON, WOULD YOU PLEASE TAKE THE ROLE OF THE COMMITTEE? 
          [Roll Call]
YES. RECORDING CLERK SHANNON RICE TAKING ROLE. 
          DIRECTO WAESPI. HERE. DIRECTOR MERCURIO. HERE. 
          CHAIR COFFEY. HERE. GENERAL COUNCIL ELIZABETH MACKENZIE. 
          HERE. AND ASSISTANT GENERAL MANAGER DEBORAH SPAULDING. 
          HERE. THIS MEETING IS BEING HELD PURSUANT TO THE BROWN ACT. 
          STAFF IS PROVIDING LIVE AUDIO AND VIDEO STREAMING. 
          MEMBERS OF THE PUBLIC WISHING TO MAKE A PUBLIC COMMENT MAY DO SO BY PROVIDING A PUBLIC
COMMENT IN PERSON, OR JOINING VIA THE ZOOM LINK PROVIDED ON THE AGENDA LOCATED ON THE PARK DISTRICT WEBSITE. 
          IF THERE ARE NO QUESTIONS ABOUT THE MEETING PROCEDURES,
WE WILL BEGIN. 
          OKAY. MY NOTES SUGGEST THERE ARE NO MINUTES BEFORE US THIS MORNING,
SO WE WILL MOVE TO PUBLIC COMMENTS. 
          NOT ON THE AGENDA. DO WE HAVE ANY SUBMISSIONS FOR PUBLIC COMMENT? WE DO NOT HAVE ANY SO WE WILL MOVE TO. ITEM FOUR FOR ACTION ITEMS. 
          [Informational Items]
THERE ARE NONE. SO WE'LL MOVE TO ITEM FIVE INFORMATIONAL ITEMS ON THE AGENDA TODAY. 
          ITEM 5 A IS TAX LEVY AMOUNT FOR OUR GENERAL OBLIGATION BOND DEBT SERVICE AND ASSESSED
VALUATION UPDATE FOR 25-26 DEBORAH. ALL RIGHT. GOOD MORNING. 
          I'M DEB SPAULDING AGM OF FINANCE AND MANAGEMENT SERVICES. 
          LET ME JUST PULL UP THE PRESENTATION HERE. ALL RIGHT. 
          OKAY. SO, AS YOU JUST SAID, INFORMATION REPORT ON OUR 25-26 TAX LEVY. 
          AND THIS IS AN INFORMATIONAL ITEM BECAUSE WE ACTUALLY BROUGHT THIS TO THE BOARD A MONTH
AGO BACK IN AUGUST. 
          AND WE RECEIVED THE BOARD'S APPROVAL TO DO THE TAX LEVY IN ADVANCE OF HAVING THE
CALCULATION. 
          AND THEN WE BRING THE CALCULATION TO THE FINANCE COMMITTEE SO THAT YOU CAN KNOW WHAT'S
GOING TO BE LEVIED. SO GETTING TO THE PUNCHLINE HERE. 
          THIS YEAR'S TAX LEVY WILL BE $1.10 PER $100,000 OF ASSESSED VALUATION,
WHICH IS JUST LIKE A HAIR HIGHER THAN LAST YEAR'S LEVY OF $1.13. AND WE MADE A PROMISE TO VOTERS BACK WHEN WE PASSED MEASURE WW THAT WE WOULD KEEP
THAT TAX LEVY BELOW $10 PER $100,000 OF AV. AND YOU CAN SEE THAT WE ARE WELL BELOW THAT $10 THRESHOLD. 
          AND I'LL JUST SAY LIKE AS A LITTLE BIT MORE CONTEXT HERE,
THE REASON IT'S COMING IN SO LOW IS THAT WE HAVEN'T ISSUED NEW MEASURE WW BONDS IN IN A FEW YEARS. SO WE WERE ON A TRAJECTORY OF ISSUING THEM ABOUT EVERY THREE YEARS. 
          AND WE'VE REALLY SLOWED DOWN ON OUR SPENDING. 
          SO WE HAVEN'T ISSUED BONDS IN 2025. AND SO OUR LEVY RATE IS IS VERY LOW AS WE'RE JUST
PAYING OFF OLD DEBT. 
          AND WE HAVEN'T ISSUED ANY NEW DEBT. SO HOW DOES THIS PLAY OUT FOR LIKE AN AVERAGE
HOUSEHOLD. 
          THESE ARE ACTUALLY I'M SHOWING WHAT IT WOULD BE IF YOU HAD JUST PURCHASED YOUR HOUSE IN
ALAMEDA OR CONTRA COSTA COUNTY, THE AVERAGE SALE PRICE IN ALAMEDA COUNTY OF $1.1 MILLION. 
          SO IF YOU APPLY THAT TAX LEVY RATE, IT COMES OUT TO BE $12.10 PER YEAR ON YOUR PROPERTY
TAXES AND THEN SLIGHTLY LOWER FOR CONTRA COSTA COUNTY, AGAIN, JUST BASED ON WHAT THE AVERAGE SALE PRICE WAS IN THE LAST YEAR. 
          SO JUST TO GIVE YOU KIND OF THE LAY OF THE LAND. 
          SO THAT'S THAT'S ALL I HAD PREPARED. IT'S AN INFORMATIONAL ITEM. 
          AND IF YOU'D LIKE TO SEE THE TAX LEVY WHAT IT'S BEEN IN PRIOR YEARS,
THERE'S A TABLE AT THE BOTTOM OF PAGE THREE, AND YOU CAN SEE YOU CAN KIND OF SEE HOW THE CALCULATION WORKS,
WHERE WE SAY LIKE, OKAY, WHAT'S OUR SECURED ASSESSED VALUE, HOW MUCH DEBT SERVICE DO WE OWE. AND THEN YOU CALCULATE WHAT THE LEVY RATE WILL BE. AND
YOU CAN SEE FOR THE PAST 10 YEARS HOW THAT HAS FLUCTUATED AROUND ALWAYS KEEPING IT UNDER $10 PER $100,000 OF AV. SO THAT'S IT. I'D BE HAPPY TO TAKE ANY QUESTIONS. 
          MEMBERS OF THE COMMITTEE? JOHN. NO THANK YOU. 
          ALL RIGHT. THANK YOU. NOT FOR ME THANK YOU. THUMBS UP. 
          OKAY. THEN WE MOVE TO ITEM 5.B INTERNAL AUDIT MIDYEAR REPORT,
DAVID. 
          [00:05:14]
DAVID DURING THE FIRST SIX MONTHS OF THE YEAR, WE HAVE COMPLETED. 
          SURE INTERNAL AUDIT HAS PREPARED 5 AUDIT REPORTS AND COMPLETED REVIEW OF 445 CONTRACTS. 
          WE HAVE PREPARED AND SUBMITTED ANNUAL FINANCIAL REPORT OF THE DISTRICT STATE COMPTROLLER
AND REVIEWED ANNUAL COMPENSATION REPORT FOR THE DISTRICT. IN THE DRAFT FORM SO IT CAN BE SUBMITTED TO
THE STATE COMPTROLLER. 
          WE HAVE PREPARED THE FINANCIAL PORTION OF THE FINANCIAL STATEMENT OF THE DISTRICT ACFR A
STATISTICAL SECTION SPECIFICALLY. PREPARED AND PRESENTED FOR PRESENTATION AND REPORTING TRAINING TO THE STAFF
AND MANAGE DAILY CASH ACTIVITIES AND ASSISTED WITH BANKING ACTIVITIES. 
          THREE AUDITS THAT I SHARE WITH YOU WERE COMPLETED AND SUBMITTED,
AND ODDITIES HAVE RESPONDED TO THESE COMMENTS IN THE OTHER REPORTS AND TAKING ACTION TO REMEDIATE THE PROBLEMS. SO THE FIRST ONE WAS THE REVIEW OF THE CENTRAL STORES INVENTORY. 
          ANNUAL INVENTORY. AS YOU KNOW. CENTRAL STORE SERVES AS THE PRIMARY SUPPLIER OF THE TOOLS,
MATERIALS AND JANITORIAL SUPPLIES, UNIFORMS, STATIONERY, AND OFFICE SUPPLIES THAT THE EAST BAY REGIONAL PARK DISTRICT
PERSONNEL MAY USE FOR PERFORMING THEIR ASSIGNED DUTIES. 
          INTERNAL AUDIT HAD PREPARED A COMPREHENSIVE REVIEW OF THE CENTRAL STORES FOR THE FIRST
TIME, AND SUBMITTED ITS REPORT IN 2022, AND SINCE THEN WE OBSERVED THE ANNUAL INVENTORY AND
ATTEND THE COUNTING AND RECONCILIATION THAT THEY DO. 
          WE REVIEW THE RECONCILIATION THAT THEY DO. THERE IS A BASIC PROBLEM WITH THE CENTRAL
STORES, AND THAT IS CONCENTRATION OF ALL DUTIES IN ONE PERSON,
IF YOU WILL. 
          GENERALLY, TO HAVE MEANINGFUL INTERNAL CONTROL,
DUTIES OF RECORD KEEPING, CUSTODY OF ASSETS AND ACCOUNTING FOR IT WOULD HAVE TO BE SEPARATED. 
          IN CENTRAL STORES ONE INDIVIDUAL BASICALLY DOES EVERYTHING. 
          FROM ORDERING, PURCHASING, RECONCILING, MAINTAINING CUSTODY AND ADJUSTING,
DOING ACCOUNTING AT THE YEAR END, AND SO ON. SO WE HAD SHARED THIS CONCERN WITH THE MANAGEMENT
AT THE PAST, AND I'M GLAD TO REPORT TO YOU THAT THEY HAVE TAKEN MEASURES TO REMEDIATE THE INHERENT
SICKNESS, INHERENT WEAKNESS THAT IS EXISTING IN INTERNAL CONTROL. 
          BASICALLY, OUR UNDERSTANDING AT THIS POINT IS THAT THE YEAR-END 2024 PHYSICAL ACCOUNT WAS
PROPERLY PERFORMED. 
          IN ADEQUATE SEGREGATION OF DUTIES AT CENTRAL STORES REMAINS UNMITIGATED AND COULD HAVE A
POTENTIAL ADVERSE EFFECT ON SAFEGUARDING OF ASSETS, AND PRIOR OTHER RECOMMENDATIONS WERE PARTIALLY IMPLEMENTED. 
          IN A NUTSHELL, IF YOU REFER TO PAGE 12 OF YOUR HANDOUT,
YOU WILL SEE THE COMMENTS, RECOMMENDATIONS, MANAGEMENT, RESPONSE AND CHANGES THAT HAVE BEEN IMPLEMENTED WITH REGARD TO THE AUDIT
FINDINGS. 
          AND THE STATUS OF THE PRIOR RECOMMENDATION WAS,
WE SUGGESTED WE HAD SUGGESTED IN OUR PREVIOUS AUDIT REPORT THAT THEY SEGREGATE DUTIES AT THE CENTRAL STORES. TO SOME EXTENT IT HAS BEEN IMPLEMENTED. 
          WE HAVE SUGGESTED THAT THEY LIMIT THE RIGHT OF THE VARIANCES BETWEEN ACCOUNTABILITY AND
PHYSICAL COUNT BY CENTRAL STORES. 
          AGAIN, THEY HAVE TAKEN A REMEDIAL ACTION TO REDUCE THE LIKELIHOOD OF ADJUSTING SOMETHING
WITHOUT ATTENDANCE OR AWARENESS OF THE MANAGEMENT. AND THEN WE HAD SUGGESTED THAT THEY HAVE A
CLEARLY DEFINED POLICY AND PROCEDURE FOR 
          [00:10:01]
OPERATION AND OVERSIGHT OF CENTRAL STORES. THEY HAVE PREPARED THIS,
BUT IT'S STILL IN DRAFT FORM. 
          AND THEN THERE WAS A COMMENT ABOUT THE UNIFORM UNIFORM ALLOTMENT THAT CENTRAL STORE
HANDLES ON BEHALF OF THE DISTRICT. THERE WAS SOME ERRORS IN THAT CALCULATIONS IN THE PAST. 
          WE DID NOT HAVE A SIMILAR SITUATION THIS TIME. 
          AND THEN CENTRAL STORE DELIVERIES. WE HAD SUGGESTED THAT SOMEHOW THEY DOCUMENT AND PROVE
THAT THEY WERE SUBMITTED. 
          SO THEY HAVE ADOPTED THE PROCESS THAT AMAZON.COM USES. 
          AND WHEN THEY DELIVER SOMETHING TO A PLACE, THEY TAKE A PICTURE THAT WE DROPPED IT OFF,
AND THAT WOULD BE THE DOCUMENTATION IN CASE THERE IS NO EMPLOYEE THAT HAD ORDERED THE MERCHANDISE OR THE EQUIPMENT OR SUPPLIES THAT THEY HAD ASKED
FOR TO SIGN UP FOR IT. 
          SO THAT'S THE STATUS OF THE PRIOR AUDIT FINDINGS FOR CENTRAL STORES. 
          SO IN ESSENCE, WE ARE NO LONGER ABOUT THE YEAR END INVENTORY BECAUSE JUANCHO ACCEPTED TO
TAKE MEASURES ON THAT. 
          CENTRAL STORES' SUPERVISOR NO LONGER PARTICIPATE IN COUNTING BY HIMSELF. 
          IF THERE IS A ERROR THAT THEY WANT TO ADJUST,
THERE IS A FORM NOW THAT THEY WOULD HAVE TO EXPLAIN HOW MUCH IT IS AND WHAT THEY HAVE DONE TO IDENTIFY THE PROBLEM, IF YOU WILL, OR THE ROOT CAUSE OF IT. 
          IF IT'S BEYOND $100, THEN IT REQUIRES JUANCHO'S SIGNATURE IN ADDITION TO THE STAFF OF THE
CENTRAL STORES TO DOCUMENT THAT, OKAY, IT'S A VALID ADJUSTMENT AND THAT'S HOW IT'S HAPPENING. 
          SO THEY HAVE TAKEN MEASURES TO REMEDIATE THE PROBLEMS AS I SAID. 
          THE OTHER AUDIT THAT WE DID WAS A REVIEW OF THE INTERNAL MINI GRANT PROGRAM THAT IS
CURRENTLY NAMED THE SUSTAINABLE INNOVATION FUND. IT HAS STARTED IN 2017 WITH ALLOCATION OF $150,000 AS CLIMATE CONTINGENCY FUND, CLIMATE SMART CONTINGENCY FUND,
AND IN THE FIRST YEAR, A TOTAL OF ROUGHLY $150,000 THAT WAS ALLOCATED TO THAT $148,000 WAS SPENT ON EIGHT PROJECTS. 
          ORIGINALLY, THE PROGRAM'S GOAL WAS TO SUPPORT SPECIAL PROJECTS THAT ARE IMPORTANT TO STAFF
AND WOULD HELP OUR PARKS TO THRIVE, DESPITE ADVERSE EFFECTS OF THE CLIMATE CHANGE AND CREATE RESILIENCY AND ECOLOGICAL SYSTEMS
AND NATURAL RESOURCES, OR CREATE AND OR CREATE RESILIENCY FOR ECOLOGICAL SYSTEMS AND NATURAL RESOURCES,
AND ALLOWING THE PARKS TO ADAPT TO THAT. 
          THE PROGRAM. THE PROGRAM GOALS CONTINUE TO EVOLVE EVERY YEAR,
AND OTHER PROJECTS WERE ADDED, INCLUDING EQUITABLE ACCESS, PUBLIC ACCESS TO NATURE,
ADVANCED CLIMATE SCIENCE, AND INNOVATIVE, INNOVATIVE, AND REPLICABLE ACTIVITIES OR PROJECTS THAT WOULD HELP MODIFY HOW WE WORK TO
MITIGATE HARMFUL EFFECTS OF THE OTHER ACTIVITIES THAT WE DO THAT HARMS THE ENVIRONMENT. 
          SO THESE WERE CONSIDERED TO BE ELIGIBLE FOR FUNDING. 
          EVENTUALLY, THE ALLOCATION OF FUNDS WAS INCREASED TO $250,000 PER YEAR AND FROM YEAR TO
YEAR BETWEEN 8 TO 16 PROJECTS WERE ACCEPTED AND APPROVED FOR FUNDING. THE PROGRAM IN 2023 WAS REBRANDED AS 3030 INTERNAL MINI
GRANT PROGRAM TO DEMONSTRATE EAST BAY REGIONAL PARK DISTRICT INVOLVEMENT AND COMMITMENT TO SUPPORT
CALIFORNIA'S 30 BY 30 INITIATIVE BY GOVERNOR GAVIN NEWSOM. 
          OBJECTIVE OF OUR AUDIT WERE TO REPORT ON THE PROGRAM'S OUTCOME AND ACTIVITIES AND DAYLIGHT
ANY ISSUES OF CONCERN, AND ASSIST MANAGEMENT IN REDEFINING WAYS IN A WAY THAT MEETS THE ENVISIONED GOALS. 
          BASED ON THE REVIEW THAT WAS PERFORMED, WE HAVE CONCLUDED THAT THE OUTCOME OF OUTCOME OF
THE PROGRAM APPEARS TO BE LESS IMPACTFUL THAN MANAGEMENT'S DECLARED GOAL AND EXPECTATIONS. 
          MOST OF THE COMPLETED PROJECTS DO NOT PLAY A CRUCIAL ROLE IN CHANGING ENVIRONMENT AND AS
SUCH PROGRAMS APPEARANCE PROGRAMS EFFECTIVENESS APPEARS DOUBTFUL. WE SUGGESTED THAT. 
          BEFORE THEY START AND GO AND ALLOCATE THE 2025 RESOURCES FUNDS FOR THIS PROGRAM,
THEY TAKE A STEP BACK AND THINK ABOUT THIS AND MAKE A DECISION AS TO HOW THEY WANT TO PROCEED. 
          [00:15:04]
AND AFTER THAT, DECIDE WHETHER THEY WANT TO REVAMP THE PROGRAM OR THEY WANT TO DISCONTINUE
IT. 
          MANAGEMENT WAS RECOMMENDED TO UTILIZE THIS PROGRAM TO ACHIEVE A SPECIFIC PROGRAMS AND
OBJECTIVES THAT WERE NOT ALREADY PURSUED OR FULFILLED THROUGH OTHER DISTRICT ROUTINE ACTIVITIES,
AND ENSURE THAT BEST USE OF AVAILABLE RESOURCES AND SAFEGUARDING OF ASSETS THAT ARE ALLOCATED TO THE GRANT FUNDED PROJECTS. I EXPLAIN A LITTLE BIT FURTHER ON THAT. 
          WHAT HAS HAPPENED, IS A STAFF PERSON MIGHT HAVE COME AND SAID,
GIVE ME $28,000 AND I'M GOING TO DO SUCH AND SUCH WITH IT. 
          RIGHT? SO WHEN YOU LOOK AT THAT ACTIVITY THAT WAS APPROVED FOR PERFORMANCE,
YOU SAY YOU MIGHT SEE A SIMILAR THING THAT WAS FUNDED THROUGH REGULAR BUDGETING. SO THERE WAS REALLY NOT DISTINGUISHABLE IMPROVEMENT,
IF YOU WILL, EXCEPT THAT ANOTHER PROJECT WAS ADDED. IN OTHER PROBLEMS THAT I NOTED WAS THEY HAD ORDERED
SAY THEY CAME UP WITH THE IDEA OF, SAY, FUNDING A PROGRAM FOR IRRIGATION OF SUCH AND SUCH A
PARTICULAR SPOT. 
          THAT WAS NOT ALREADY COVERED. AND THEN THEY HAD ORDERED PARTS FOR THIS,
AND THE MANAGER OR SUPERVISOR OF THAT LOCATION HAD GONE AND OBTAINED THE SIGNATURE. AND THEN WHEN THEY HAD ORDERED THIS SPECIFIC EQUIPMENT. 
          SOMEBODY HAD TOLD THEM THAT NO, NO, NO, WE DON'T USE THIS BRAND HERE. 
          WE WANT TO HAVE UNIFORMITY INTO IRRIGATION EQUIPMENT THAT WE USE THROUGHOUT THE DISTRICT. 
          SO THE PROJECT WOULD BE REMAINING LIKE THIS. INCOMPLETE,
IF YOU WILL. 
          THE EQUIPMENT WAS NOT USEFUL, OR SOMETIMES THEY HAD BOUGHT THINGS THAT WERE NECESSARY FOR
THE THING THAT THEY WANT TO DO. 
          BUT AT THE END OF THE PROJECT THERE WAS SOME LEFTOVER. 
          SO THESE KIND OF THINGS WERE NOT THOUGHT OF THROUGH THE ESTABLISHMENT OF THE PROGRAM. 
          AND THE OTHER RECOMMENDATION WAS THAT THESE THINGS GETS REVIEWED,
SO THERE WOULD NOT BE REALLY A THING THAT WE SAY WE DO UNDER THIS PARTICULAR PROGRAM, WHILE A SIMILAR ACTIVITY LIKE THAT IS BEING DONE THROUGHOUT THE DISTRICT. 
          SO INNOVATION PART OF IT AND ALL THAT WOULD HAVE TO BE REALLY DETERMINED AT THE VERY
EARLIEST STAGE AND TO BE PROVEN TO SOME DEGREE. 
          SO AGAIN, WITH REGARD TO THIS, I'M GLAD TO REPORT TO YOU THAT THEY HAVE TAKEN ACTIONS WITH
REGARD TO THE COMMENT OF THAT INTERNAL MINI GRANT PROGRAM OUTCOMES WERE LESS IMPACTFUL THAN MANAGEMENT
DECLARED GOAL AND EXPECTATIONS. 
          MANAGEMENT HAS ACCEPTED THE AUDIT FINDINGS, AND THEY AGREED TO PAUSE THE PROGRAM AND
RESTRUCTURE IT FOR 2025, AND RELAUNCHED IT IN MAY 2025 AS SUSTAINABLE INNOVATION FUND,
WITH NEW CRITERIA EMPHASIZING INNOVATION, ENVIRONMENTAL AND OPERATIONAL SUSTAINABILITY AND LONG-TERM IMPACT. 
          FIRST CYCLE OF THE FUNDING WAS APPROVED IN SUMMER OF 2025. 
          THE OTHER THING WAS INTERNAL MINI GRANT PROGRAM ADMINISTRATIVE AND DOCUMENTARY ACTIVITIES
NEED IMPROVEMENT. 
          WHAT IN REALITY HAS HAPPENED WAS THAT THE DUTY WAS ASSIGNED TO A DUTY FOR CONTROLLING AND
MANAGING THE PROGRAM WAS ASSIGNED TO AN ADMINISTRATIVE ANALYST. SO AN ADMINISTRATIVE ANALYST WOULD HAVE TO MAINTAIN RECORDS, WOULD HAVE TO REVIEW THE REPORTS OF EXPENDITURES THAT COME IN,
AND WOULD HAVE TO PREPARE THE DOCUMENTATION FOR PRESENTATION TO THE FINANCE COMMITTEE OR OPERATIONS COMMITTEE,
OR TO THE BOARD IN GENERAL. 
          AND ALL THESE KIND OF THINGS. AND WHEN YOU LOOK AT IT,
A GREAT DEAL OF EMPHASIS WAS PUT IN REALLY SHOWCASING THE ART OF OUTCOME OF THE PROGRAM. AND WHEN THE ADMINISTRATIVE ANALYST WAS NOT REALLY AWARE OF HOW
AND WHAT TO CONTROL AS FAR AS DOCUMENTATION. WHEN WE DID THE REVIEW, WE HAD TO GO TO INDIVIDUAL STAFF THAT HAD RECEIVED
THIS FUNDING AND TELL THEM, HEY, PROVIDE ME WITH THE DOCUMENTATION YOU HAVE. 
          FORTUNATELY, THEY MOST OF THE EMPLOYEES THAT WERE UNDERTAKING A PROJECT HAD RETAINED SOME
SORT OF DOCUMENTATION IN THEIR EMAIL AND ALL THAT, BUT THERE WAS NOT REALLY A SYSTEMATIC REVIEW,
IF YOU WILL, BY THE INDIVIDUAL ADMINISTRATIVE PERSON THAT WAS HANDLING THIS. 
          AGAIN, I'M GLAD TO REPORT TO YOU THAT THE CURRENT EMPLOYEE,
CLAIRE GRIFFIN, IS QUITE QUALIFIED AND SHE IS REALLY GOOD. 
          [00:20:04]
HAVE A GOOD HANDLE ON THIS. SO THE EMPHASIS HAS CHANGED FROM SHOWCASING THE PROGRAM INTO
REALLY PERFORMING IT, INTO REALLY DOCUMENTING THE ACTIVITIES AND SO ON. 
          SO YOU SHOULD BE COMFORTABLE WITH THAT IDEA THAT IS HAPPENING AT THIS POINT. 
          THE THIRD AUDIT THAT WE DID WAS A REVIEW OF IRREGULARITY THAT HAS HAPPENED IN IRON ENGINE
RANGER TRANSACTIONS AT TEMESCAL PARK, AS YOU ALREADY KNOW. PARK DISTRICT CHARGES A FEE FOR FISHING AT CERTAIN PARKS,
JUST LIKE THE STATE OF CALIFORNIA THAT HAS A FISHING LICENSE THAT FUNDS REPLENISHING OR PROVIDING FOR GROWTH OF THE FISH IN THE
OPEN WATERS. 
          DISTRICT HAS A SIMILAR THING FOR THE INSIDE OF THE PARK DISTRICT PONDS AND LAKES AND ALL
THAT. 
          AND ONE WAY TO ENCOURAGE PEOPLE TO COMPLY WITH THE ORDINANCE 38 AND PURCHASE THE FISHING
PERMIT IS TO INSTALL IRON RANGERS. IRON RANGERS ARE METAL BARS,
BASICALLY, THAT THEY ARE FILLED WITH FISHING PERMITS AND PEOPLE THAT COME DURING, BEFORE OR DURING OR AFTER HOURS. 
          THEY CAN ALL GO TAKE ONE ENVELOPE OUT OF THE IRON RANGER,
PUT THE MONEY INTO THE ENVELOPE THAT IS THERE, AND TAKE THE FISHING PERMIT THAT THEY HAVE AND CARRY WITH THEM. 
          SO IN CASE AN OFFICER OF THE PARK DISTRICT GOES AND SEES THEM AND SAYS,
HEY, YOU ARE INVOLVED IN FISHING AT THIS POINT, LET ME SEE YOUR PERMIT. THEY CAN SHOW THAT. WHAT HAPPENS IN PRACTICE WAS A KIDS OR SOME OF
THE PEOPLE WHO GO AND PULL THESE FISHING PERMITS OUT OF THE IRON RANGER. 
          THEY MIGHT PULL MORE, PULL MORE THAN ONE. THEY MIGHT PAY LESS THAN THE FEE. 
          THEY MIGHT DISCARD SOME OF THEM AROUND THE AREA AND ALL THAT. 
          SO A STAFF PERSON IN THE TEMESCAL PARK HAD THE IDEA THAT SHE SHOULD BE ACCOUNTING FOR
EVERY SINGLE FISHING PERMIT THAT IS GIVEN TO THEM BY CENTRAL STORES,
AND AS SUCH, SHE WAS COUNTING THE MISSING ONES AND REPORTING THAT AS IF THERE IS A SHORTAGE,
WHILE IN REALITY SOME OF THESE WERE DISPOSED OF WITHOUT TRACE AND THEY WERE NOT REALLY REVENUE. 
          SO THERE WERE CASES OF PHANTOM REFUNDS AND IN PRACTICE THERE WAS NO REFUND. 
          SO TO ANSWER THE OPERATIONS DEPARTMENT'S QUESTIONS WITH REGARD TO THIS. 
          RIGHT, SORRY I'LL DO THAT. TO ANSWER OPERATIONS DEPARTMENT QUESTIONS WITH REGARD TO THIS,
I REVIEWED THE RECORD AND WENT AND INTERVIEWED THE STAFF AND CHECKED WHATEVER DOCUMENTATION THAT THEY HAD. 
          AND I CAN ASSURE YOU THAT REPORTED REFUNDS PER TEMESCAL PARK DISTRICT REVENUE REPORT DID
NOT OCCUR. 
          THERE WERE NOT WRONGDOING, REALLY. THEY WERE MERELY PHANTOM TRANSACTIONS. 
          THERE WERE THERE WAS NO MISCONDUCT. AND I SUGGESTED THAT THEY CHANGED THE IRON RANGERS TO
NEWER VERSION OF MACHINES THAT ARE AVAILABLE THAT ESTABLISH ACCOUNTABILITY AT THE POINT THAT TRANSACTIONS TAKE PLACE. 
          IN OTHER WORDS, YOU KNOW, WHEN A PERSON GOES AND DROPS MONEY,
NEWER MACHINES CAN PRINT A FISHING PERMIT FOR THEM AND THEY CAN CARRY THE FISHING PERMIT WITH THEM. AND AT THAT POINT, ACCOUNTABILITY IS ESTABLISHED. 
          WE KNOW HOW MUCH REVENUE WAS INPUTTED INTO THE MACHINE,
AND HOW MUCH THE STAFF WOULD HAVE TO PICK UP AND DEPOSIT. 
          SO THERE ARE SOME PARTS THAT DO HAVE THIS AND PERB OPERATIONS DEPARTMENT THERE WILL BE
LOOKING INTO REPLACING THESE OLD, OUTDATED, MECHANICAL WEAK CONTROL EQUIPMENT WITH NEWER MACHINES IN THE NEAR
FUTURE. 
          SO THAT WAS THE THIRD THING THAT WE DID. TWO OTHER AUDITS WERE PERFORMED WITH REGARD TO
THE WW LOCAL GRANTS. AND AS BEFORE, THE PROJECTS WERE PROPERLY DOCUMENTED AND REIMBURSEMENT
REQUEST WAS VALID. 
          SO WE REVIEWED AND SIGNED OFF ON IT AND THEY HAVE SETTLED THIS AND COMPLETED IT. 
          [00:25:02]
I AM AT YOUR SERVICE IF YOU HAVE ANY QUESTIONS. 
          OKAY I GUESS, WELL, CENTRAL STORES IS TOUGH. THAT'S A HARD THING TO KEEP TRACK OF,
BUT I'M GLAD. 
          I LIKE THE IDEA OF DOING THE STAFF, DOING THE INVENTORIES. 
          ON THE REVIEW OF THE INTERNAL MINI GRANTS. THERE'S NO QUESTION ABOUT HOW IT'S BEEN. 
          THE PROJECTS BEING DONE, BUT IS THERE ANY WAY I CAN GET A LIST OF THE GRANTS THAT WERE
GRANTED IN THE LAST FEW YEARS? YES YES I BELIEVE I WOULD HAVE TO COMPILE THAT FOR YOU. 
          I HAVE, IF YOU WILL. DOCUMENTATION WAS NOT REALLY ADEQUATE,
SO I HAD TO GO TO INDIVIDUAL STAFF AND ASK FOR THE INFORMATION AND SO ON AND SO FORTH. 
          SO I WILL PROVIDE YOU VIA AN EMAIL AS TO WHAT THEY WERE. 
          OKAY THANK YOU. DON'T GO TO A WHOLE LOT OF TROUBLE. JUST I'D BE INTERESTED IN KNOWING WHAT
THE PROJECT WAS AND HOW MUCH WAS ALLOTTED TO IT. 
          SURE. NOT NOT ANY OF THE DETAILS OTHER THAN JUST WHAT THE PROJECT WAS AND HOW MUCH IT
COST. 
          THANK YOU I WILL DO THAT, SIR. THANK YOU AND WELL,
I GUESS IT'S IT'S GOOD TO KNOW THAT THE LOCAL GRANTS PROGRAM IS WORKING SO WELL IN EVERY WAY. AND WHEN WE AUDIT EVERYTHING, THE FOLKS,
THE CITIES THAT DO GET THIS GREAT BENEFIT OF US GIVING THEM MEASURE WW FUNDS, HAS THERE EVER BEEN ANY DISCREPANCIES IN IF WE'VE DONE THIS BEFORE? THROUGHOUT THE YEARS I HAVE NOTICED ONLY TWO. 
          IT WAS NOT REALLY DISCREPANCY. IT WAS A CASE THAT WE HAD FUNDED A PROGRAM AND THEY HAD NOT
MAINTAINED SUFFICIENT DOCUMENTATION AND PROPER RECORDING OF IT, AND THE OTHER THING IS, IF YOU WILL WE HAVE ONE PARTICULAR CITY THAT THEIR RECORD
RETENTION AND DOCUMENT MAINTENANCE AND SO ON AND SO FORTH IS NOT REALLY UP TO PAR,
IF YOU WILL. 
          AND THEY DO A SIGNIFICANT THEY PROVIDE SIGNIFICANT AMOUNT OF PAPERWORK WITHOUT REALLY
FULFILLING THE OBJECTIVES OF THE DISTRICT. NOT IN A WAY THAT THEY CAN CHEAT ON THE PROGRAM OR MISUSE IT,
BUT AS FAR AS THEIR COMPLIANCE, THEY ARE LESS THAN ADEQUATE. AND I REALLY DON'T THINK THE PARK DISTRICT HAS A WAY OF
CORRECTING THEM BECAUSE IT'S THEIR OWN INTERNAL ACTIVITIES THAT CAUSES THIS. 
          SO IN GENERAL, AGAIN, I WOULD LIKE TO REASSURE YOU THAT THE PROGRAM IS WORKING WELL. 
          99.9% OF THESE HAVE NO PROBLEM WHATSOEVER. THERE MIGHT BE SOME DELAYS IN SUBMITTING
SUBMITTAL OF THE DOCUMENTATION AND ALL THAT. 
          AND IN GENERAL IT'S SATISFACTORY. SO THAT'S GOOD TO HEAR THANK YOU VERY MUCH. 
          YOU'RE WELCOME SIR. YEAH I'LL DO MY COMMENTS OUT OF ORDER BECAUSE I WANT TO JUST CONTINUE
THAT DISCUSSION ON WW. 
          JUST SORT OF A COMMENT. CITIES LOVE WW. WHY? BECAUSE NOT ONLY DO WE GET MONEY,
THEY GET MONEY TOO [LAUGHTER]. 
          YES, AND I'VE ALREADY HAD ONE PARTICULAR MAYOR ASK ME,
HEY, SO WHEN ARE YOU GOING TO REDO MEASURE WW? AND I DIDN'T AND I DIDN'T THINK ABOUT IT UNTIL A LITTLE BIT LATER AND I THOUGHT,
OH, THEY JUST [LAUGHTER] THEY'RE REALLY CONCERNED ABOUT YOU KNOW, THEY NEED MORE MONEY FOR THEIR PARKS, YOU KNOW,
AND WE'RE GOING TO PROBABLY, MAYBE DO SOMETHING LIKE THAT AGAIN. YOU KNOW THERE'S NO GUARANTEES. BUT SO ANYWAY, THERE'S THAT. BUT THE IRON RANGER REPLACEMENT THING AS I'M
VISUALIZING THAT THE NEW SYSTEM IS GOING TO BE BETTER BECAUSE YOU CANNOT GET A PERMIT UNTIL YOU PAY THE
MONEY. 
          RIGHT? RIGHT. OKAY. OR FULL PRICE SO I LIKE THAT. AND I GUESS THE, THE OTHER JUST SORT OF GENERAL COMMENT KIND OF KIND OF
COMING OFF OF THE CENTRAL STORES ONE, BUT IN THIS CASE, WHAT YOU'RE DOING HERE, AND I REALLY APPRECIATE THE WORK YOU DO,
BECAUSE I KNOW YOU GET IN THERE AND REALLY DRILL IN AND ASK THE HARD QUESTIONS IS CHANGE IS GOOD? BECAUSE WHAT YOU'VE DONE IS YOU'VE FOUND SOME,
SOME THINGS THAT ARE A LITTLE LOOSE, YOU KNOW, AND YOU'VE TIGHTENED THEM UP. SO I APPRECIATE YOU DOING THAT. 
          SO CHANGE IS GOOD. THANK YOU. ON THE MINI GRANT PROGRAM I UNDERSTAND DAVID'S OBSERVATIONS AND RECOMMENDATIONS AND SUCH,
BUT WHAT IS THE MANAGEMENT VIEW OF THE FUTURE OF THE MINI GRANT PROGRAM? SURE. I'M NOT SURE I'M THE BEST PERSON TO BE ANSWERING THIS,
BUT I KNOW THE PROGRAM IS GOING TO BE CONTINUING IN THIS YEAR. 
          IT'S IT'S DETAILED A LITTLE BIT IN THE REPORT. 
          [00:30:04]
AND I THINK THE INTENT IS TO PROVIDE MORE OF THE STRUCTURE THAT DAVID POINTED OUT WAS
MISSING AND TO BE ABLE TO, LIKE, DRAW LESSONS FROM THE GRANTS THAT ARE MADE SO THAT WE CAN ACTUALLY LEARN
FROM THEM AND MAYBE CHANGE SOME, SOME ASPECTS OF OUR OPERATIONS BASED ON WHAT WE LEARNED FROM THESE PILOT PROGRAMS. DO YOU WANT TO ADD ANYTHING TO THAT, DAVID? YEAH,
I'M NOT SURE REALLY WHETHER IT WILL BE CONTINUED FOR MULTIPLE YEARS OR WHETHER IT'S GOING TO BE DISCONTINUED. I CAN ASSURE YOU THAT IT'S CONTINUING AT LEAST FOR 2025. 
          AND I THINK THE INTENT IS TO CONTINUE IT. BUT AGAIN,
YOU KNOW, I COULD NOT REALLY TALK ON BEHALF OF THE LEADERSHIP. 
          YEAH THAT'S WHY I WAS LOOKING AT MANAGEMENT. RIGHT [LAUGHTER]. YEAH I HAVE NO FURTHER NEWS
ON THAT. 
          BUT I KNOW THAT 2025 WOULD BE CONTINUED. AND HOPEFULLY,
YOU KNOW, WITH CLAIRE INVOLVEMENT, DOCUMENTATION AND ALL THAT ARE BETTER NOW. SO IT MIGHT CONTINUE FURTHER THAN THAT OR THERE
MIGHT BE SOMETHING ELSE AFTER. 
          OKAY APPRECIATE IT, DENNIS. I WAS GOING TO SAY AT THIS POINT IT'S IN THE 2026 PROPOSED. 
          WE ARE EXPECTING IT TO MOVE FORWARD IN 2026 AS WELL. 
          OKAY. THANK YOU DAVID ONE MORE QUESTION. SO I LOVE THE WAY YOU DO ALL THIS AND YOU GET
THROUGHOUT THE DISTRICT. 
          AND HOW DO YOU PICK AND CHOOSE WHICH AREAS YOU'RE GOING TO AUDIT? I GENERALLY PREPARE A RISK ASSESSMENT AT THE BEGINNING OF THE YEAR FOR THE SUBSEQUENT
YEAR. 
          RIGHT? AND THEN I MAKE SOME JUDGMENTS BASICALLY TO COVER SOME EXPENSES,
SOME REVENUES, SOME CONCESSIONAIRES, SOME PROJECTS, AND SO ON. THESE TWO PARTICULAR THINGS WERE REQUESTED BY THE STAFF AND THEY
WERE NOT PLANNED IN ADVANCE. 
          SO OPERATIONS DEPARTMENT SEES MONTHLY, YOU KNOW,
A THING THAT IS NOT SUPPOSED TO HAVE ANY REFUND HAS REFUNDS. 
          SO THEY GET WORRIED AND THEN THEY CONTACT FINANCE. 
          AND THEN I'M GETTING INVOLVED IN DOING THAT. AND IT REALLY RESULTS A LOT OF ISSUES,
YOU KNOW? TO BEGIN WITH I THINK THE STAFF PERSON THAT WAS WORKING AT TEMESCAL WAS NEW,
AND SHE WAS DEDICATED REALLY, TO PROVE THAT EVERYTHING IS FINE AND ALL THAT,
RIGHT? SECOND, IT PROVED THAT THERE IS NOT A SYSTEMATIC PROCEDURE WRITTEN UP. 
          SO ALL THE STAFF THAT AT THE PARKS THAT THEY DO HAVE,
IRON RANGER WOULD FOLLOW A SIMILAR UNIFORM PROCESS. 
          SO AFTERWARDS I SAT DOWN AND WROTE A ONE PAGE PROCEDURE,
AND I SUBMITTED TO THE OPERATIONS DEPARTMENT AND ASKED THEM IF THEY WANT TO MAKE ANY MODIFICATION. THEY SAID NO, THIS IS GOOD AND WE WILL BE IMPLEMENTING IT. 
          AND THAT WOULD RESULT IN THE REVISION OF THE POLICY AND PROCEDURES FOR CASH COLLECTION
THAT WE DO HAVE. 
          FINANCE IS IN CHARGE OF ESTABLISHING POLICIES AND PROCEDURES FOR CASH COLLECTION. 
          SO THE RESULT OF THIS AUDIT AND THE WRITE UP AND ALL THAT WOULD BE AMENDMENT OF THE
EXISTING PROCEDURE 8.1 OR PROCEDURE 8.2. 
          THAT IS WITH REGARD TO THE CASH COLLECTION PROCEDURES. 
          SO BASICALLY, FOR PROPER ACCOUNTABILITY, YOU KNOW,
WE WANT REALLY TO HAVE ESTABLISHMENT OF ACCOUNTABILITY AT THE POINT OF TRANSACTION. AND IRON RANGERS ARE EXTREMELY WEAK,
INADEQUATE AS SUCH. 
          YOU KNOW, NOW THAT THE TECHNOLOGY HAS ADVANCED SO MUCH,
WE REALLY WOULD HAVE TO ADAPT TO NEWER VERSIONS AND IT WOULD BE FEASIBLE, YOU KNOW, WITH A MINIMAL COST TO ELIMINATE ALL THIS. 
          IN THE PAST OUR COMMENT WITH REGARD TO THE IRON RANGERS WAS THAT,
OKAY, YOU DO NOT FOLLOW ON A WEEKLY BASIS EMPTYING THE THING PARTICULAR PARTS, RIGHT? OR THERE IS REALLY NO ACCOUNTABILITY. 
          SO ONE ONE STAFF MEMBER SHOULD NOT BE GOING BY HIMSELF. 
          SUGGESTION WAS WE TOLD THEM TO EMPTY THE THING EVERY NIGHT OR EVERY OTHER DAY,
SO IT WOULD NOT BE A TARGET OF SOMEBODY WANT TO STEAL MONEY FROM THE PARK DISTRICT. THE SECOND ONE WAS BECAUSE THERE IS NOT ESTABLISHED
ACCOUNTABILITY SENT TO INDIVIDUALS WHEN THEY WANT TO EMPTY THIS, AND THEN ONE OF THEM WOULD HAVE TO COUNT AND ONE OF THEM HAVE TO CERTIFY THAT THIS IS THE
TOTAL AMOUNT, BECAUSE THERE ARE SO MANY MISSING PIECES IN THIS,
YOU KNOW THAT IT'S NOT REALLY A PROVABLE, THAT THE TOTAL AMOUNT OF CASH THAT IS TAKEN FROM AN IRON RANGER IS DELIVERED TO THE PARK
OFFICE FOR ACCOUNTABILITY AND ALL THAT. 
          THANK GOD WE HAVE GOOD EMPLOYEES AND A LOT OF THESE WORRIES WOULD GO AWAY. 
          I'M NOT REALLY SAYING THIS, YOU KNOW, TO MAKE YOU WORRIED ABOUT THESE KIND OF THINGS,
DO NOT CONSIDER IT. 
          YOU KNOW, AS AS SUCH, WHAT WE ARE SAYING IS WE WANT TO HAVE SUCH A CONTROL MECHANISM THAT
IF SOMETHING GOES WRONG, MANAGEMENT'S ATTENTION CAN BE FOCUSED RIGHT AWAY WITHOUT DELAY AND THE ENTIRE PROCESS OF
REFINING 
          [00:35:11]
INTERNAL CONTROLS IS FOCUSED ON. IF SOMETHING GOES WRONG,
THERE WOULD BE A RED FLAG, LIKE IF YOU HAVE A TOOTH DECAY, YOU KNOW, SYSTEM OF INTERNAL CONTROL OF YOUR BODY WOULD ALERT YOU WITH PAIN,
RIGHT? IMMEDIATELY. THEN YOU WOULD TAKE ACTION. A SYSTEM OF INTERNAL CONTROL OF THE DISTRICT HAD
EVOLVED THROUGHOUT THE YEARS, HAS BEEN, TO A GREAT EXTENT ON LOYALTY AND RELIANCE,
ON THE INTEGRITY OF THE PEOPLE AND SO ON AND SO FORTH. 
          AND NOW IT'S THE DISTRICT IS BIG ENOUGH TO REALLY HAVE A MUCH MORE ROBUST AND MUCH MORE
DECLARATORY, IF YOU WILL SYSTEM OF INTERNAL INTERNAL CONTROL. 
          SO THERE WOULD BE A PAIN IMMEDIATELY. THERE WOULD BE SOMETHING NOTICEABLE IN THE CASE OF
THE FISHING PERMITS, OBVIOUSLY OPERATIONS AND STAFF WERE ALERT AND THEY SAID,
HEY, WE DON'T EXPECT SO MUCH REFUND, RIGHT? SO THAT HAD PERFORMED, IF YOU WILL, THE OBJECTIVE OF AN INTERNAL CONTROL BY RAISING
ATTENTION OF THE MANAGEMENT. 
          AND THEN, YOU KNOW, THE IMMEDIATE ACTION IS CONTACTING FINANCE. 
          AND THEN, YOU KNOW, WE WENT RIGHT AFTER THAT AND WITHIN TWO DAYS DID THE REVIEW AND
PROVIDED THE REPORT AND ALL THAT. 
          SO THE WHOLE PURPOSE OF SYSTEM OF INTERNAL CONTROL IS THAT THINGS FUNCTION PROPERLY. 
          IF SOMEBODY IS GOING TO BREAK, BREACH THE SYSTEM OR TAKE ADVANTAGE OF IT AND ALL THAT,
SOMEONE ELSE GETS NOTICED AND BECOME AWARE OF IT AND ALL THAT, AND THEN THE MANAGEMENT'S INVOLVEMENT AND THEN PREVENTIVE REFINEMENT OF THE SYSTEM. 
          SO THIS IS HAPPENING AT THIS POINT. GREAT THANK YOU. 
          I GUESS, AND SO NOT ONLY INTERNAL SECURITY OF OUR ASSETS BUT EFFICIENCIES. 
          YES BUT I ALWAYS FOUND THAT WHEN I WAS INVOLVED WITH THIS,
IT WAS ALWAYS THE MAIN ONE. 
          AND I CONSIDERED THE MOST DANGEROUS ONE WAS LEAVING ALL OF OUR DEPOSITS,
SITTING IN A SAFE UNDERNEATH A KIOSK AT SOME KIDS WORKING AT AND NEVER BEING PICKED UP. 
          AND I GUESS THE THE RESOLUTION WAS NOW WE'VE HIRED A CONTRACTOR TO DO THAT. 
          WOULD WOULD WE EVER CONSIDER ORDERING AUDITING HOW EFFICIENT THAT PROGRAM WORKS? FOR PICKUP AND DELIVERY OF THE FUNDS? YEAH. OR IS THAT JUST A DONE DEAL? I MEAN, OBVIOUSLY, IF THE [LAUGHTER] IF THE IF THE RECEIPTS GET DEPOSITED,
I GUESS IT'S EFFICIENT, RIGHT? BASICALLY WE HAVE A PROCESS AND PROCEDURES FOR HANDLING OF CASH COLLECTION ON A
DAILY ROUTINE BASIS. 
          AND FINANCE WITH THE COOPERATION OF OPERATIONS DEPARTMENT,
THEY ARE REFINING WHICH PARKS TO USE ARMORED PICKUP, WHICH PARTS TO CONTINUE AS IT WAS BEFORE,
WHICH PARKS TO HAVE A PUBLIC SAFETY PEOPLE PICK UP. 
          WE HAVE BASICALLY GOOD CONTROLS AT THIS POINT. 
          MOST OF THE PLACES THAT DID NOT HAVE A KIOSK,
A KIOSK SAFE DO HAVE IT NOW. 
          AND THEN THERE'S ALSO A BOLTED SAFE IN THE KIOSKS IN THE PARKS OFFICE USUALLY. 
          THAT WHEN THE THINGS GETS DEPOSITED TO THAT THEY ARE INACCESSIBLE TO THE PARK STAFF. 
          THEY RETAIN LOGS, THEY RETAIN, THEY PREPARE DAILY REVENUE REPORTS AND SO ON. 
          AND IF YOU WILL, VARIANCES ARE VERY MINIMAL. AND WHEN WE DO CASH AUDITS,
WE REALLY LOOK TO FIND OUT WHAT WAS THE ROOT CAUSE AND IF THERE IS ANY REFINEMENT WE CAN MAKE. 
          GREAT THANK YOU. THANK YOU SIR. I'LL MAYBE ADD ON TO THAT. 
          SO YEAH, WE DID ADD THE ARMORED CARRIER FOR A COUPLE OF OUR PARK SITES THIS YEAR,
AND IT DEFINITELY TOOK US A LITTLE BIT TO FIGURE OUT THE NEW ROUTINE, BECAUSE IT DOES REQUIRE A CHANGE IN YOUR PRACTICES. 
          WHAT WE'RE THINKING ABOUT ROLLING IT OUT TO AN ADDITIONAL SITE,
POSSIBLY NEXT YEAR BECAUSE IT IS SEEMING LIKE IT'S BETTER. 
          THERE ARE CONTROL IMPROVEMENTS, BUT ALSO PUBLIC SAFETY STAFF WHO DID HAVE TO DO THOSE
GREEN BAG PICKUPS. 
          REALLY THEY DON'T THEY DON'T LIKE DOING THEM. 
          THEY FEEL LIKE IT'S NOT A GOOD USE OF THEIR TIME. 
          AND THEY SAY IT'S THEIR LEAST FAVORITE DUTY JUST BECAUSE IT MAKES THEM FEEL NERVOUS TO BE
CARRYING AROUND THIS CASH AND FEELING RESPONSIBLE IF SOMETHING, YOU KNOW, IF THERE WAS AN OVER OR SHORT THAT THEY MIGHT BE BLAMED FOR IT. 
          SO TAKING ALL THESE THINGS INTO CONSIDERATION WE'VE BEEN CONSIDERING ADDING AN ADDITIONAL
SITE AND WE COULD BRING YOU A LITTLE SUMMARY REPORT, MAYBE AT AN UPCOMING FINANCE COMMITTEE MEETING,
IF YOU'D BE INTERESTED. 
          I THINK IT'S BEEN GOING TO I THINK OPERATIONS COMMITTEE HAS BEEN DISCUSSING THIS A LITTLE
BIT. 
          [00:40:04]
VAGUELY BUT YEARS AGO WE USED TO HAVE A POLICE OFFICER WHO WOULD WORK THREE MONTHS A YEAR,
AND THAT WAS HIS JOB YEP, YEP. BOB AND HE USED TO GO AROUND AND JUST COLLECT THE CASH,
BE IN A UNIFORM WITH EVERYTHING YOU NEEDED AS A SWORN OFFICER AND WOULD JUST DO THE RUN TO THE BANKS. YEAH I BELIEVE THE COST WAS I DON'T WANT TO GUESS WRONG,
BUT I THINK IT WAS $5,000 PER SITE PER YEAR FOR US TO DO THIS. SO IT TAKES AWAY SAFETY AND YOU'VE GOT BETTER CONTROLS. SO IT WASN'T TOO EXPENSIVE. 
          GREAT, GREAT THANK YOU SIR. I HAD PROMISED YOU THAT I WOULD BRING YOU SOME INFORMATION WITH REGARD TO
FUTURE OF INTERNAL AUDIT AND THIS AND THAT, BUT THE MATTER IS NOT RESOLVED AS YET. PLEASE WAIT,
AND I CAN REPORT TO YOU NEXT TIME. 
          THANK YOU SIR. ALRIGHT SO WE HAVE NO PUBLIC COMMENT ON THIS ITEM. AND THEN I WANTED TO STATE FOR THE RECORD THAT
WE DIDN'T HAVE PUBLIC COMMENT FOR ITEM 5.A AS WELL. 
          ALL RIGHT FORECASTS. SO YOU'RE FULL OF GOOD NEWS THIS MORNING I TAKE IT [LAUGHTER]. 
          ALL RIGHT. ALL RIGHT DEB SPAULDING AGM OF FINANCE AND MANAGEMENT SERVICES. 
          AND LET ME PULL UP THE PRESENTATION. THIS IS ANOTHER REPORT WE BRING TO YOU EVERY YEAR. 
          WE CONTRACT WITH A FIRM CALLED BEACON ECONOMICS,
AND THEY HELP US PROJECT WHAT OUR PROPERTY TAXES ARE LIKELY TO BE BECAUSE WE, WE KNOW THE INFORMATION FOR THE FIRST HALF OF THE COMING YEAR,
2026, BUT WE DON'T KNOW WHAT IT'S GOING TO BE FOR THE SECOND HALF OF THE YEAR. 
          SO WE USE BEACON TO HELP US FIGURE THAT OUT. AND THEN THEY ALSO GIVE US A FIVE-YEAR
FORECAST, WHICH WE USE WHEN WE DO OUR FIVE-YEAR PROJECTION IN THE BUDGET BOOK. 
          SO WE'VE BEEN WORKING WITH BEACON EVER SINCE 2009. 
          WE HAD JUST PASSED MEASURE WW BACK IN THAT TIME. 
          AND SO WE NEEDED TO LEVY THIS DEBT SERVICE THAT I TALKED ABOUT IN MY PREVIOUS ITEM,
BUT ASSESSED VALUES WERE CRASHING. 
          AND SO WE WERE TRYING TO FIGURE OUT HOW TO STRUCTURE OUR DEBT SERVICE IN OUR FIRST
ISSUANCE, KNOWING THAT WE NEEDED TO GET THE PROGRAM GOING. AND SO WE NEEDED TO WORK WITH BEACON TO
FIGURE THAT OUT. AND IT WAS SO USEFUL TO US. 
          WE'VE KEPT USING THEM EVER SINCE. SO THIS IS JUST TO PUT THINGS IN CONTEXT. 
          WHAT OUR ORIGINAL PROJECTION WAS FROM BEACON,
AND IT WAS REALLY QUITE DIRE. 
          SO NOT JUST, YOU KNOW, WHAT WE'RE EXPERIENCING RIGHT NOW IS LOWER INCREASES,
BUT IT'S STILL AN INCREASE. 
          SO WE WERE HAVING ACTUAL DECREASED ASSESSED VALUE BACK THEN. 
          SO THE WHOLE REPORT IS IN YOUR PACKET. I JUST PULLED OUT A FEW HIGHLIGHTS IN CASE YOU
DIDN'T HAVE TIME TO READ IT, OR FOR OTHERS WHO HAVEN'T READ IT. BUT SO THEY,
THEY KIND OF BEGIN AT THE MACRO LEVEL AND THEN THEY WORK DOWN MORE AND MORE INTO THE DETAIL OF WHERE, WHERE WE MOST CARE, WHICH IS ABOUT WHAT'S HAPPENING IN THE EAST BAY. 
          SO AT THE FEDERAL LEVEL BEACON TYPICALLY TENDS TO BE MORE OPTIMISTIC ABOUT THE FEDERAL
ECONOMIC SITUATION. 
          THEY ACTUALLY HAD INCREASED THEIR RECESSION PROBABILITY TO 30% BACK IN APRIL. 
          THEY'VE NOW DROPPED IT DOWN TO 20%. SO IT'S SLIGHTLY BETTER,
BUT IT IS HIGHER THAN THEY TYPICALLY THEY'RE LIKE EVERYONE SAYING RECESSION. 
          THERE'S NO RECESSION COMING. SO THEY THEY DO SEE SOME CONCERNS,
PARTICULARLY ABOUT LIKE ASSET BUBBLES IN THE STOCK MARKET. 
          IS IS THE MAIN ONE THAT THEY'RE HIGHLIGHTING. 
          AND THEN AT THE CALIFORNIA LEVEL, THEY ARE POINTING OUT THAT COMPARED TO THE WHAT THE US
IS SEEING AS A WHOLE, UNEMPLOYMENT IS SLIGHTLY HIGHER IN CALIFORNIA AND PARTICULARLY AMONG YOUNG PEOPLE. 
          AND THEN KEY INDUSTRIES FOR CALIFORNIA AGRICULTURE,
CONSTRUCTION AND HOSPITALITY ARE EXPERIENCING JOB LOSSES. 
          AND THEN THEY'RE ALSO LOOKING AT THE STATE LEGISLATURE AND THE STATE'S BUDGET AND SAYING
THAT, YOU KNOW, WE'VE HAD BUDGET DEFICITS THAT THEY NEEDED TO FILL IN,
YOU KNOW, SOMEWHAT CREATIVE WAYS FOR THE LAST COUPLE OF YEARS. 
          AND THAT'S PROJECTED TO CONTINUE FOR THE NEXT FEW YEARS. 
          AND SO THEY'VE BEEN DIPPING INTO THEIR RESERVES. 
          SO THEY HAVE LIKE A RAINY DAY FUND THAT THEY'VE BEEN DIPPING INTO. 
          AND THEY STILL HAVE SOME OF THOSE RESERVES, BUT THEY ARE DECLINING. 
          SO THEY'RE SAYING CALIFORNIA IS NOT IN CRISIS,
BUT, YOU KNOW, IT'S NOT AS SOLID A FINANCIAL PICTURE AS WE'VE HAD IN THE PAST. 
          AND BEACON'S STORY IS, HAS BEEN VERY CONSISTENT IN THE TIMES I'VE BEEN LISTENING TO THEM
AND READING THEIR REPORTS. 
          [00:45:03]
THEY'RE ALWAYS TALKING ABOUT THE NEED FOR CALIFORNIA TO REFORM ITS HOUSING AND THE ABILITY
TO CONSTRUCT HOUSING. 
          AND SO WHEN THEY GET TO THE EAST BAY LEVEL, THEY'RE SAYING THAT THE SITUATION IS THE SAME, THAT HOME SALES ARE REMAINING LOW, THAT WE'RE JUST NOT BUILDING ENOUGH HOUSING. 
          SO WHILE OUR ASSESSED VALUE IS GROWING THEIR PREVIOUS FORECAST OF 4.14% THAT THEY GAVE US
LAST YEAR WAS TOO HIGH. 
          AND IN FACT, THEY'VE HAD TO REVISE THEIR FORECASTS LOWER. 
          YOU'LL SEE THAT ON THE NEXT SLIDE. IT'S THE SLOWEST ANNUAL INCREASE IN MORE THAN A DECADE. 
          THEY ARE SAYING THAT HOME SALES ARE SHOWING SIGNS OF STABILIZING. 
          SO THERE WAS A SLIGHT DROP IN THE TWO COUNTIES IN HOME SALES,
BUT IT DECLINED BY ONLY 1.1%, WHICH IS SMALLER THAN THEY'VE SEEN IN PRIOR PRIOR PRIOR YEARS. 
          SO HERE IS THEIR FORECAST. IF YOU LOOK AT THE RED LINE THAT WAS THEIR 2024 PROJECTION. 
          AND THEN THE BLUE LINE IS THEIR 2025 PROJECTION. 
          SO IT'S JUST YOU KNOW IT'S STILL AN INCREASE. 
          SO THAT'S THE GOOD NEWS 3.83% 3.37% IS WHAT THEIR BASELINE FORECAST IS FOR THE NEXT COUPLE
OF YEARS. 
          BUT IT'S LOWER THAN YOU CAN SEE. WHAT THEY WERE PROJECTING BEFORE WAS THAT WE WERE GOING
TO BE BUMPING AROUND 4% AND 4% AND 5%. 
          THE BEACON GIVES US THREE FORECASTS EVERY YEAR A LOW A BASELINE AND A HIGH. 
          AND WE USE THE BASELINE FORECAST FOR OUR BUDGET. 
          AND THEN WE USE THE LOW AND THE HIGH. WHEN WE DO WE DO RANGES OF PROJECTIONS FOR THE
FIVE-YEAR PROJECTION. 
          SO WHEN YOU COMBINE THEIR BASELINE PROJECTION FOR ALAMEDA AND CONTRA COSTA FOR THE FIRST
HALF OF THE YEAR AND THE SECOND HALF OF THE YEAR, IT LOOKS LIKE WE'LL SEE OVERALL INCREASES IN THE RANGE OF 3.5%,
WHICH WOULD BE BETWEEN $6 MILLION AND $7 MILLION IN TOTAL INCREASE. 
          AND SO THIS IS JUST GIVING YOU THAT RANGE OF THE LOW MEDIUM OR BASELINE AND HIGH. 
          SO THE LOW IS PRETTY LOW STILL GROWTH. BUT IT'S ONLY LIKE HALF A PERCENT. 
          AND THEN THEIR BASELINE AND THEN THE HIGH PROJECTION WHICH WOULD BE GREAT 6.2%. 
          THAT'S MY LAST SLIDE I DID HAVE A PARAGRAPH IN THE REPORT,
THAT KIND OF COVER REPORT THAT I WAS JUST GOING TO WALK THROUGH REALLY BRIEFLY IS TO GIVE YOU A LITTLE BIT OF A PREVIEW OF WHAT'S COMING IN 2026,
IS THAT WE ARE LOOKING AT A STRUCTURAL DEFICIT. 
          AND SO IT'S NOT A DEFICIT BUT STRUCTURAL DEFICIT,
MEANING THAT OUR REVENUES THAT ARE COMING FROM OUR ONGOING SOURCES, OUR PROPERTY TAXES ARE NOT ENOUGH TO KEEP UP WITH OUR ONGOING EXPENSES,
OUR PERSONNEL COSTS, AND OUR DEBT SERVICE. SO WE ARE LOOKING AT A LEAN BUDGET YEAR. 
          I'VE HINTED AT THIS IN THE PAST, BUT AND IT'S NOT A DEFICIT. 
          WE'RE NOT GOING TO BE LIKE DRAWING ON OUR RESERVES,
BUT WE'RE BEING VERY CAREFUL ABOUT AND REALLY TRYING NOT TO ADD ANY NEW TO THE DEGREE THAT WE CAN. ANY NEW ONGOING COSTS IN THE COMING YEAR? SO I'LL STOP SHARING. IT'S MY LAST SLIDE. IT'S AN INFORMATIONAL REPORT. 
          COULD COULD YOU ELABORATE ON ON THAT? IT'S UNCLEAR TO ME. 
          ADDITIONALLY, PARK DISTRICT'S 26 BUDGET NEEDS TO ABSORB SOME SUBSTANTIAL COST INCREASES,
INCLUDING THE HIGHER COST OF EMPLOYEE WAGES RELATED TO APPROVED MOUS HIGHER BENEFIT COSTS AND THE COST OF THE DEBT SERVICE ON PERALTA OAKS. IS THE SUGGESTION HERE THAT THE ACTUAL COSTS ARE OUTSIDE OF WHAT WE
BUDGETED? AND IF SO, WHY? IN OTHER WORDS, THE WAGES ARE TIED TO THE MOUS. 
          SO IS THAT JUST A FUNCTION OF BENEFITS THAT AREN'T TIED TO SPECIFIC INDEXES AND WHATNOT? HOW IS THAT WORKING? YEAH COMING YEAR. SO I'LL JUST TALK ABOUT AFSCME,
WHICH TYPICALLY THE INCREASES FOR AFSCME APPLY TO MANAGEMENT AS WELL. 
          SO THE INCREASE FOR 2024 WAS 4% AND FOR 20 SORRY,
FOR 2025 WAS 4%. 
          AND FOR 2026 IS 3%. AND SO WE HAVE TO BUILD SO THAT'S A 7% INCREASE OVER TWO YEARS. 
          SO THAT'S THE THE WAGE INCREASE PART. AND THEN OUR BENEFIT INCREASES. 
          KAISER HAD A 5% INCREASE. AND THE OTHER WE WE ONLY PAY THE KAISER RATE,
SO THE THE OTHER ONES INCREASED MORE THAN THAT. 
          BUT THAT'S IRRELEVANT. AND OUR RATES FOR CALPERS FOR PUBLIC SAFETY ALSO INCREASED. 
          [00:50:02]
SO ON THE BENEFIT SIDE, THOSE ARE THE TWO BIG DRIVERS. 
          AND THEN LASTLY, DEBT SERVICE FOR PERALTA OAKS NORTH IS GOING TO BE $2.7 MILLION. 
          SO ALL THOSE THINGS I MENTIONED THAT THE PROPERTY TAX INCREASE I'M LOOKING AT FOR 3.5% IS
LIKE BETWEEN $6 MILLION AND $7 MILLION. 
          AND ALL OF THOSE INCREASES THAT WE'VE ALREADY SAID WE'RE GOING TO DO FOR SURE ARE ADDING
UP TO BE MORE THAN $7 MILLION. 
          SO WE'RE GOING TO HAVE TO USE ONE-TIME FUNDS,
FOR EXAMPLE, FROM LIKE INTEREST EARNINGS. 
          SO WE'RE OUR INTEREST EARNINGS AS YOU'VE SEEN IN OUR QUARTER ONE AND QUARTER TWO
INVESTMENT REPORT ARE DOING REALLY WELL, BUT WE DON'T BUDGET THOSE BECAUSE WE KNOW THAT THEY FLUCTUATE FROM YEAR TO YEAR DEPENDING
ON WHAT THE INTEREST RATES ARE GOING TO BE. SO WE'RE GOING TO HAVE SOME ONE-TIME REVENUE COMING IN FROM THAT WHICH WILL HELP US BRIDGE THAT STRUCTURAL DEFICIT. 
          BUT YOU ALWAYS WANT TO BE CAREFUL WHEN YOU'RE,
YOU KNOW, EACH YEAR THAT YOU'RE NOT GROWING SOMETHING THAT'S NOT SUSTAINABLE. 
          SO I'M JUST POINTING OUT THAT WE'RE AT A POINT WHERE WE REALLY NEED TO,
LIKE, RAMP DOWN OUR GROWTH FOR THE COMING YEAR. 
          DID THAT ANSWER YOUR QUESTION? WELL, YEAH. YOU'RE SUGGESTING IT'S BOTH A FUNCTION OF COSTS
EXCEEDING BUDGET AND REVENUES NOT MEETING BUDGET. SO IT'S KIND OF A YEAH IT'S NOT THAT OUR COSTS ARE EXCEEDING BUDGET. 
          IT'S THAT WHEN WE'RE PROJECTING OUT HOW MUCH REVENUE WE'RE GOING TO HAVE IN 2026 AND WHEN
WE BUDGET THAT. 
          SO THAT'S OUR WHAT WE'RE EXPECTING BECAUSE BUDGETS ALWAYS JUST YOUR,
YOUR BEST EXPECTATION. 
          YOUR PLAN. AND THEN WE BUDGET OUT WHAT OUR COSTS WILL BE BASED ON KNOWN MOU INCREASES. 
          THEY'RE NOT. THEY'RE NOT IN BALANCE UNLESS WE FACTOR IN ONE TIME REVENUE. 
          OKAY SO BENEFIT COSTS. YOU DON'T KNOW UNTIL THEY'RE ASSESSED AGAINST US. 
          SO WE HEAR FROM KAISER AND. YES WE YES WE KNOW WHAT THOSE RATE INCREASES WILL BE. 
          AND IT'S NOT 2025. THAT'S THAT'S NOT WHAT'S HAPPENING. WE'VE BUDGETED CORRECTLY. 
          IT'S WHEN I LOOK AT 2026 AND I BUILD IN ALL OF THESE NEW COSTS THAT WE HAVE TO HAVE IN
2026 THAT I'M SEEING, WE'RE NOT OUR REVENUES ARE NOT KEEPING PACE WITH OUR EXPENSES. 
          IS THAT CLEAR? OKAY. OKAY. ALL RIGHT, I WASN'T CLEAR,
BUT YOU ARE PROJECTING AS SUPPOSED PROJECTING IN 20. YES I'M TRYING TO GIVE YOU A SNEAK PREVIEW OF 2026 BUDGET,
BECAUSE I'LL BE BRINGING IT TO YOU SOON. 
          OKAY, NOW I UNDERSTAND. AND THE DEBT SERVICE ON PERALTA OAKS. 
          YOU'RE ALSO PROJECTING? THAT WE KNOW IS $2.7 MILLION. 
          YEAH. ALL RIGHT. BECAUSE IT'S A FIXED INTEREST RATE. 
          RIGHT? YES CORRECT. YEAH WE KNOW WHAT THAT'S GOING TO BE FOR THE NEXT 20 YEARS. 
          OKAY. THAT'S MINE, JOHN. YEAH I THINK I ALREADY COMMUNICATED THIS TO YOU, BUT I REALLY APPRECIATE THIS. 
          BEACON'S REPORT. I MEAN, IT'S VERY EASY TO READ. 
          IT'S GOT A GREAT STYLE TO IT. THE CONTENT ISN'T AWFUL. 
          BUT IT'S NOT. I MEAN, I FORGOT I WAS ON THE PARK ADVISORY COMMITTEE DURING THOSE NEGATIVE
YEARS, AND I REMEMBER AND ON THE FINANCE COMMITTEE,
AND I REMEMBER THAT THAT THE PROBLEMS THAT, YOU KNOW, THE DIFFICULTIES THAT WE HAD AND THE THINGS THAT WE HAD TO DO TO KEEP RUNNING PROPERLY. 
          RIGHT? AND THE THINGS THAT WE DID TO KEEP IT FROM HAPPENING AGAIN. 
          SO I REMEMBER THAT. BUT LIKE WHAT? FOUR YEARS IN A ROW. 
          IT WAS IT WAS, IT WAS IT WAS DECREASING. AND THAT'S THAT'S JUST WE'RE NOT TALKING ABOUT
ANYTHING CLOSE TO THAT RIGHT NOW. 
          IT'S JUST NOT INCREASING AS FAST AS IT WAS. YES. 
          SO AND IT LOOKS LIKE WHAT YOU'RE SAYING IS THERE'S NO IT'S NOT ANTICIPATED THAT THERE'LL
BE ANY ADDITIONAL POSITIONS ADDED IN, IN OR VERY FEW? YEAH NET POSITIONS I AM I'M PROJECTING THAT WE HAVEN'T FINISHED OUR
BUDGET PROCESS YET, BUT. YEAH. WE'RE TRYING NOT TO ADD NEW ONGOING COSTS IN THE COMING YEAR TO THE DEGREE THAT
WE CAN. 
          OKAY. AND I WOULD ENCOURAGE THE, THE COMMITTEE HERE TO GO AND LOOK DEEPER INTO THE CEO OF THE COMPANY, THIS BEACON, IT'S CHRISTOPHER THORNBERG. 
          YOU CAN GO AND FIND YOUTUBE VIDEOS OF HIM SPEAKING AND THE ONE I LOOKED AT,
I WAS JUST GOING TO LOOK AT A LITTLE BIT OF IT, BUT I ENDED UP WATCHING THE WHOLE THING BECAUSE HE'S A COMPELLING SPEAKER. HE ADDRESSED
THE CALIFORNIA CHAMBER OF COMMERCE IN JUNE THIS PAST JUNE. 
          SO IT'S CURRENT. AND HE'S A GREAT SPEAKER, AND HE'S JUST SO UP ON THINGS. 
          SO CHRISTOPHER THORNBERG CALIFORNIA CHAMBER YOUTUBE. 
          IT'S GREAT. AND HE'S A REGULAR SPEAKER ON CNN AND SOME OF THE BIG NEWS OUTLETS AND STUFF. 
          [00:55:06]
HOWEVER, HOWEVER, I JUST SAID CNN OUT OF MY MOUTH. 
          I THINK WHAT WHAT'S BEING CAUTIONED AGAINST HERE AS OPPOSED TO,
WELL, WHAT THEY'VE GIVEN US IS THEY'VE GIVEN US OBJECTIVE DATA THAT THEY'VE COLLECTED AND THEIR EXPERIENCE WITH. 
          IF THIS IS OVER HERE, THEN THIS HAPPENS DOWN THERE. 
          WHEREAS A NEWS OUTLET WANTS TO BE SENSATIONAL AND THEY MIGHT BE. 
          YOU KNOW? THE NEWS OUTLETS SEEM TO REALLY LOVE TO GO AND SAY THERE'S GOING TO BE A
RECESSION. 
          AND SO THEY'RE SAYING, HOLD ON. IT'S NOT AS DIRE AS THESE OTHER OUTLETS ARE PROJECTING. 
          SO YOU CAN'T JUST, YOU KNOW, AVERAGE OUT WHAT THREE DIFFERENT NEWS OUTLETS ARE PROJECTING. 
          YOU HAVE TO GO TO THE DATA. AND THESE GUYS DO THAT FOR US. 
          SO I REALLY HAVE GOOD CONFIDENCE IN THIS SO. GOOD THANKS AND I REMEMBER THE, OUR CRISES WAY BACK WHEN AND,
AND HOW WE DEALT WITH IT. 
          AND I'M VERY HAPPY THAT WE'RE LOOKING FORWARD FACING OUR FUTURE OUR POTENTIAL FUTURE AND
PLANNING FOR IT. 
          I I THINK WE WILL BE RESILIENT. I DO WANT TO QUOTE OR CONTINUE WITH DIRECTOR MERCURIO
ASSESSMENT OF BEACON AND THEIR WRITING. I THOUGHT THIS WAS GOING TO BE AWFUL TO HAVE TO READ THROUGH
THOSE PROJECTIONS OF WHAT'S GOING ON. 
          BUT IF I MAY, I, I [LAUGHTER] LOVE THESE GUYS. 
          I WAS LOOKING AT THE UNITED STATES FORECAST 4 OR 5 PAGES. 
          AND FINALLY, CONCLUSION IS AN ADMINISTRATION WITH CLEAR VISION OF THE US ECONOMY WOULD BE
TRYING TO LET THE AIR OUT OF THE BUBBLE BY INCREASING INTEREST RATES TO COOL FINANCIAL MARKETS, WHILE BEGINNING TO PAY DOWN THE NATIONAL DEBT THROUGH TAX INCREASES AND SPENDING
CUTS. 
          UNFORTUNATELY, SUCH AN ADMINISTRATION WOULD NEVER BE ELECTED IN THIS AGE OF MISERABLISM
MISERABLISM I LOVE THAT [LAUGHTER] AND THAT NAILED IT FOR ME. 
          SO ANYWAY, THANK YOU. SO THANK YOU. 
          AND THERE'S NO PUBLIC COMMENT FOR THIS ITEM. JUST THE SUGGESTION THAT THE PARK DISTRICT
MAY BE UNABLE TO OPEN FUTURE PARKS UNTIL SUFFICIENT ONGOING FUNDING IS SECURED TO SUSTAIN THEIR OPERATION AND
MAINTENANCE. 
          IT IS A TRUISM THAT WE HAVE HISTORICALLY DONE THAT BASED ON EVER INCREASING PROPERTY TAX
REVENUES, REFLECTING AN EVER INCREASING POPULATION. SO,
IN EFFECT, WE'RE HITTING A BARRIER THIS TIME, WHICH IS NOTABLE. AND THANK YOU FOR NOTING. 
          AND YOU ALREADY COVERED THAT. WE DON'T HAVE ANY PUBLIC COMMENT THANK YOU. 
          SO 5.D JOB ORDER CONTRACTING QUARTERLY STATUS UPDATE,
REN. 
          GOOD AFTERNOON NOW, I SUPPOSE IT IS. PULL MY PRESENTATION UP. 
          I AM REN BATES DIVISION LEAD THE DESIGN AND CONSTRUCTION. 
          I'M HERE TO PROVIDE AN UP THE QUARTERLY UPDATE ON OUR JOB ORDER CONTRACTING PROGRAM. 
          THIS. WE WERE OUT AT BOREL LAST MONTH OR TWO MONTHS AGO FOR OUR SITE TOUR,
AND I GUESS WE COULDN'T SHOW YOU, BUT WE TOOK OUT THE UNDERGROUND STORAGE TANK WITH JOB ORDER CONTRACTING. 
          SO THIS IMAGE HERE IS A PICTURE OF THAT. SO WHEN WE WERE OUT ON SITE WE COULDN'T SEE THAT. 
          SO I JUST THOUGHT I'D HIGHLIGHT THAT. SO THEN I GET TO MY REPORT AS A REMINDER,
ON APRIL OF THIS YEAR, THE BOARD OF DIRECTORS AWARDED A ROUND OF THE NEXT ROUND OF JOB ORDER CONTRACTS,
WHICH INCLUDED 9 CONTRACTS TOTAL. 
          WE HAVE THREE A GENERAL ENGINEERING, WHICH IS UTILITY GRADING,
LARGE KIND OF A, B. 
          A AND B ARE DESIGNATION OF CONTRACTOR LICENSES AS PROVIDED BY THE CONSUMER STATE BUREAU OF
BY THE STATE. 
          SO THAT'S HOW WE DESIGNATE THESE. SO WE HAD THREE THE A ENGINEERING OR UTILITY AND GENERAL
ENGINEERING LIKE SITE GRADING. 
          THEY CAN DO PAVING AND ROADS. B IS GENERAL BUILDING CONTRACTOR,
SO THEY DO MOSTLY HVAC ROOF REPAIRS, THINGS OF THIS NATURE FOR THE DISTRICT. AND THEN WE DO SPECIFIC ONE FOR A GENERAL PAVING
CONTRACTORS. 
          SO THEY HAVE THE SAME A CONTRACT. LICENSE AS OUR GENERAL ENGINEERING. 
          BUT FOR THIS ONE WE MAKE WE MANDATE THAT THEY SELF PERFORM 60%. 
          SO THESE GENERAL PAVING CONTRACTORS ARE BASICALLY THEIR PAVING CONTRACTORS. 
          SO SOME OF THE FOLKS WE UTILIZE FOR GENERAL CONTRACTING ARE SORT OF GENERALISTS. 
          AND THEY'LL DO SUBCONTRACTING. SO JUST IN ORDER TO GET THAT CLOSER TO PAVING THAT'S WHY WE
DO THAT. 
          [01:00:06]
JUST SOME REMINDERS ON SORT OF THE LICENSES. SO THESE CONTRACTS ARE FOR ONE YEAR,
WITH THE START DATE COINCIDING WITH THE ISSUANCE OF THE NOTICE TO PROCEED FOR THE FIRST JOB ORDER OR 15 MONTHS FROM BOARD AWARD. SO WE'RE LOOKING 15 MONTHS FROM APRIL 15TH. 
          THESE WILL TERM OUT. THAT WAS A CHANGE. WE HAVE HISTORICALLY DONE IT AS A YEAR FROM NOTICE
TO PROCEED. 
          BUT WHAT WE LEARNED IN THE PREVIOUS ROUNDS OF CONTRACTS IS THAT SOMETIMES WE DON'T GET
NOTICE TO PROCEED OUT FOR, DEPENDING ON WHAT IT IS A LITTLE BIT LATER. AND SO THE CONSTRUCTION TASK CATALOG,
WHICH IS WHAT THESE CONTRACTS ARE BASED ON, GETS OUT OF DATE. SO AS A REMINDER, I KNOW YOU ALL HAVE HEARD THIS SPIEL BEFORE,
SO I'LL MAKE IT PRETTY QUICK. 
          AND IF YOU HAVE QUESTIONS ABOUT JOB ORDER CONTRACTING,
YOU CAN LET ME KNOW. BUT JOB ORDER CONTRACTING IS A FIXED COST, INDETERMINATE QUANTITY, WHICH MEANS WE HAVE A CONSULTANT NAMED THE GORDIAN GROUP,
WHICH HELPS US DETERMINE THAT CONSTRUCTION TASK CATALOG AND THAT CONSTRUCTION TASK CATALOG HAS MATERIAL AND INSTALL PRICES, AND IT'S BASED ON PREVAILING WAGES AND LOCAL MATERIAL
COSTS. 
          SO THAT IS WHAT WE BID CONTRACTORS BID THAT WE GIVE THEM FIXED COSTS FOR THOSE TYPES OF
WORK. 
          AND THE CONTRACTORS BID AN ADJUSTMENT FACTOR TO THAT. AND WE AWARD ON THE LOWEST
ADJUSTMENT FACTOR. AND THAT'S WHAT THE BOARD AWARDED ON IN APRIL OF THIS YEAR. IT'S MOSTLY FOR RENOVATION, REFURBISHMENT WORK. IT CAN'T BE NEW WORK OR DESIGN WORK. 
          SO THAT'S KIND OF WHERE WE ARE WITH JOB ORDER CONTRACTING. 
          INTERACTING. SO MY UPDATES FOR YOU ON A QUARTERLY BASIS CONSIST OF PROJECTS THAT ARE IN
CONSTRUCTION, PROJECTS THAT HAVE BEEN COMPLETED, AND PROJECTS THAT ARE IN PRICING OR IN REVIEW. 
          SO BECAUSE WE STARTED THIS IN APRIL, IT TAKES US A LITTLE WHILE TO EXECUTE ALL OF THESE. 
          SO WE HAVE ONLY A COUPLE OF ONES THAT ARE IN CONSTRUCTION NOW. THESE ARE BOTH PAVING
PROJECTS. THERE'S A PAVING PROJECT IN THE BARN REPAINTING. 
          THE PROJECTS BELOW ARE ONES THAT ARE ALL BEING. 
          WE'VE HAD SITE JOB WALKS WITH THE CONTRACTOR AND WITH OUR DISTRICT STAFF AND THE GORDIAN
CONSULTANT, SO THOSE ARE ALL IN PROCESS. WE DON'T HAVE ANYTHING COMPLETED YET BECAUSE AGAIN,
WE JUST HAVE STARTED THESE CONSTRUCTION PHASES. 
          SO THIS IS WHERE WE'RE AT. WE HAVE A BUNCH IN TERMS OF NOT HAVING A LOT OF PROJECTS TO
SHOW FANCY PICTURES FOR. 
          THE GORDIAN GROUP PROVIDED SOME SLIDES TO ME ABOUT,
JUST TO GIVE AN OVERALL VIEW OF HOW THE LAST FEW YEARS HAVE GONE FOR OUR JOB ORDER CONTRACTING. I WANT TO HIGHLIGHT THAT THESE AREN'T CONTRACTS. 
          THESE ARE JUST ANNUAL YEARS. SO THESE KIND OF HAVE OVERLAP OF CONTRACTS. 
          SO IT'S NOT FOR US TO SAY THIS ROUND OF CONTRACTS OR THAT ROUND,
BUT IT'S JUST ON AN ANNUAL BASIS. 
          BUT AS YOU CAN SEE, THIS SHOWS THE TOTAL AMOUNT THAT THE DISTRICT HAS,
HAS SPENT IN TERMS OF OVER THE LAST THREE AND A HALF YEARS. 
          IT'S A SIGNIFICANT AMOUNT OF WORK. THIS SLIDE ALSO SHOWS THAT IN THE REVIEW WE'VE SO WE
HAVE AN INITIAL PROPOSAL AND THEN WE HAVE A REVIEW. 
          SO PART OF THIS SHOWS THAT THAT REVIEW PROCESS BY STAFF AND HELPED BY CONSULTANT TYPICALLY
BRINGS THAT INITIAL PROPOSAL DOWN SOMEWHAT. 
          YOU CAN SEE THAT WE'VE GROWN WITH THE AMOUNT OF WORK THAT WE'VE DONE OVER THE LAST FEW
YEARS. 
          AND THEN WE CAN ALSO SEE SOME OF THE CONTRACTORS. 
          I'LL HIGHLIGHT THAT MARK SCOTT HAS A HAS HAS BEEN A CONTRACTOR THAT'S BEEN WORKING WITH US
CONSISTENTLY. 
          YOU CAN SEE THEY'VE DONE A BIT OF WORK FOR US,
BUT THEY ALSO HAVE AN A AND A B. 
          SO JUST IN TERMS OF THAT AMOUNT THEY'VE LIKE I SAID THEY'VE ONE OF THE CONTRACTORS THAT
CONTINUES TO COME BACK AND THEY ALSO DO AN A AND A B. 
          SO THAT'S SORT OF WHY THEIR NUMBERS ARE A LITTLE BIT SKEWED IN TERMS OF THE REST. 
          SO AGAIN THIS JUST SHOWS THE VOLUME. SO WE'VE DONE AT THE BOTTOM HERE IS THIS 36 JOBS PER
YEAR, 33 JOBS, 35 JOBS. SO IT'S WE'RE KIND OF HITTING THAT THAT SEEMS ABOUT THE AMOUNT OF WORK
WE CAN GET DONE UNDER THESE. 
          THIS SHOWS THE AVERAGE JOB SIZE WHICH IS THAT MIDDLE NUMBER. 
          SO THE 135 174 170 WE'RE KIND OF HITTING THAT. 
          AND THEN THE TOTAL IS THE AMOUNT THAT'S UP TOP. 
          YOU CAN SEE THIS YEAR WE'RE DOING A LITTLE BIT MORE LARGER PROJECTS AT THIS POINT. I THINK
THE GRAPH SPEAKS FOR ITSELF, BUT I'M HAPPY TO ANSWER QUESTIONS. THIS SHOWS THE AVERAGE DAYS TO PROCURE. 
          SO YOU CAN SEE IN 2023 WE HAD 48 DAYS TYPICALLY TO PROCURE. 
          AGAIN, THIS SHOWS THAT THE PROJECTS ARE GOING UP. 
          I COULDN'T DETERMINE EXACTLY WHY IN 2023. IT TOOK US LONGER. 
          2023 AND 2024 HAD AN OVERLAP OF A CONTRACT, AND WE HAD ONE CONTRACTOR THAT WAS NOT SUPER
RESPONSIVE. 
          AND SO THEY MIGHT HAVE SKEWED THOSE NUMBERS IN TERMS OF THEIR RESPONSE TIMES. 
          SO I THINK OVERALL WE'VE BEEN HAPPY. AGAIN, THIS JUST SHOWS THE INCREASE. 
          THIS DOES SHOW THAT FROM INITIAL REVIEW TO FINAL,
WE'VE COME DOWN 2024 WAS UP 1% AND I HAVEN'T FIGURED THAT OUT. 
          BUT THIS YEAR WE'RE MAKING UP FOR IT BY HAVING SOME REVIEW. 
          THAT'S WHERE WE ARE. AGAIN, THIS IS PROCESS DAYS. 
          SO AGAIN, THIS 2023, 2024, WE HAD ONE CONTRACTOR THAT WAS OVERLAPPING,
BUT WE'VE BEEN PRETTY CONSISTENT WITH PUTTING IT INTO THE CALENDAR, 
          [01:05:02]
HAVING THE CONTRACTOR GIVE US A COST PROPOSAL,
WHICH IS TAKING, YOU KNOW, ANYWHERE FROM TWO WEEKS OR THREE BUSINESS WEEKS TO 29 DAYS. 
          BUT LIKE I SAID THAT I THINK THOSE NUMBERS FOR 2023 AND 2024 ARE BEING SKEWED BY ONE
CONTRACTOR. 
          BUT THAT HIGHLIGHTS MY UPDATE. I'M HAPPY TO ANSWER ANY QUESTIONS. 
          I THINK NEXT TIME I'LL HAVE MORE JOB SPECIFIC PROJECTS AND PICTURES,
BUT I THINK I DID WANT TO SHARE THE LAST FEW YEARS JUST AS AN UPDATE TO SHOW THAT THIS PROGRAM IS SUCCESSFUL. IT'S WE'RE WE'RE GETTING MORE PROJECTS. 
          THE PROJECT IS ABOUT THE SAME. SO I THINK WE'RE AT A GOOD VALUE LEVEL OF TERMS OF OUR
THROUGHPUT. 
          AND I DON'T KNOW IF WE CAN DO MUCH MORE, BUT HAPPY TO ANSWER ANY QUESTIONS AT THIS POINT. 
          IT'S INFORMATIONAL. THERE'S NO ACTION FOR THE COMMITTEE MEMBERS TO TAKE. 
          SO I'M HERE AT YOUR DISCRETION TO ANSWER ANY FURTHER QUESTIONS. 
          JOHN. YES SURE. THAT GENERALLY RESULTS IN A LOWER COST TO US. 
          SO WHAT EXACTLY HAPPENS? SO AND HOW DO WE END UP WITH A LOWER AMOUNT? SURE HAPPY THAT'S A GREAT QUESTION. 
          SO WHAT HAPPENS IS WE PUT WE WILL ENTER INTO THE JOB ORDER INTO THE TO THE GORDIAN SYSTEM, WHICH HELPS US, HELPS US TRACK EVERYTHING I JUST SHOWED. 
          AND SO WHAT THEY WILL DO IS WE'LL DO A JOB, WALK WITH THE CONTRACTOR. 
          WHEN I SAY WE, IT'S THE DISTRICT REPRESENTATIVE. THE GORDIAN GROUP AND THE CONTRACTOR WILL
ALL GO OUT. WE'LL HAVE THE DISTRICT STAFF WILL HAVE AN INITIAL PROPOSAL. 
          AND SO THEN THE CONTRACTOR WILL TAKE THAT. HAVING LOOKED AT THE PLANS AND SPECS BEING ON
SITE, ALL OF THE THINGS THAT ARE REQUIRED TO PROVIDE THAT SERVICE OF WORK,
THEY'LL GO BACK, THEY'LL USE THE CONSTRUCTION TASK CATALOG, THEY'LL LOOK AT ALL THE TASKS THAT THEY SEE. THEY'LL BREAK IT OUT IN CERTAIN WAYS. 
          THERE ARE CERTAIN TASKS THAT OVERLAP. AND THIS GETS TO YOUR QUESTION IN TERMS OF WHERE
THAT IS SOME AND THIS IS WHY WE HAVE THE CONSULTANT HELP US IS SOME OF THOSE WILL HAVE LIKE FOR A UTILITY WE'LL HAVE TRENCH, WE'LL HAVE INSTALL AND THEN BACKFILL. 
          AND THEN SO THEY'LL PICK THAT AND THEN THEY PERHAPS WILL BECAUSE THEY DON'T KNOW ALL THAT
THE CONTRACTOR WILL PICK. 
          YOU KNOW WE'RE GOING TO TRENCH. AND SO THERE'S AN ITEM FOR JUST TRENCHING. AND SO SOME OF
THAT WILL COMES UP IN REVIEW TO MAKE SURE THAT THE QUANTITIES ARE PER WHAT WE EXPECT THEM FROM THE PLANS. ALSO MAKING SURE THAT THE TASK CATALOG OR THE THE TASKS ARE APPROPRIATELY
CHOSEN SO THAT THEY'RE NOT SORT OF DOING DUPLICATIVE SCOPES OF WORK, IF YOU WILL. AND SO IN TERMS OF THAT,
WE HAVE THIS DISTRICT STAFF REVIEW AT THE GORDIAN CONSULTANT HELPS US REVIEW THAT AS WELL. 
          AND THAT'S PART OF THE PROCESS. SO THERE'S SOMETIMES A BACK AND FORTH OF,
HEY, HOW DID YOU GET TO THIS NUMBER. 
          AND THAT'S SOMETHING THAT THE JOB ORDER CONTRACTING ALLOWS US TO DO WITH A FIXED PRICE,
WHICH WE CAN'T DO WITH OUR DESIGN, BID BUILD OR ANYTHING ALONG THOSE LINES. DOES THAT ANSWER YOUR QUESTION? IT SOUNDS LIKE A LOT OF IT'S JUST CLARIFICATION OF SOMETHING THAT THEY MAYBE DIDN'T QUITE
UNDERSTAND CORRECTLY. 
          YEAH IT'S REVIEW. I MEAN, IT'S WE'RE FORTUNATE TO HAVE A REVIEW PERIOD AND SORT OF LOOK AT
SCOPE AND VET AND MAKE SURE THAT THOSE ARE ALL IN LINE. 
          OKAY. AND THE OTHER QUESTION I HAD IS, IS THERE'S TWO IRON HORSE TRAIL PAVING PROJECTS
THERE ONCE SAID TRANSPAC. 
          THE OTHER ONE SAID DANVILLE TRANSPAC. I'M ASSUMING THAT'S THE ONE JUST NORTH OF YGNACIO
VALLEY ROAD. 
          YES. IT WAS JUST FINISHED. I ALREADY REPORTED THIS TO STAFF,
BUT I WAS THERE YESTERDAY AND IT'S PHENOMENAL. 
          A PHENOMENAL JOB WAS DONE BY WHOEVER DID IT,
YOU KNOW. 
          BEAUTIFUL, BEAUTIFUL. IT TRAIL IS NOW 12FT WIDE INSTEAD OF 10. 
          AND THERE'S A NICE SHOULDER. IT'S ALL IT'S PERFECT. 
          IT'S VERY NICE. SO I WAS HAPPY ABOUT THAT. IRON HORSE TRAIL FROM YGNACIO BUT NOT ALL THE WAY THROUGH THERE. VERY NICE. 
          THAT WAS GOOD. AND KNOW ALL THE SPECIFICS EXACTLY, BUT I CAN FIND OUT. THAT'S WHAT IT KIND OF IT KIND OF
LOOKS LIKE THAT. AND THEN THE OTHER ONE IN DANVILLE, IT'S. 
          I'VE GOTTEN A REPORT FROM A CONSTITUENT ABOUT SOME WORK BEING DONE ON THE IRON HORSE TRAIL
IN DANVILLE. 
          SO THAT'S ALREADY UNDERWAY, RIGHT? YES SO I'LL ADMIT,
THERE'S A LITTLE BIT OF A LAG BETWEEN WHEN I CAN GET THE REPORT AND PUT IT UP INTO THIS. SO SOME OF THE ONES THAT ARE IN PRICING ARE IN CONSTRUCTION AND I. 
          YEAH. SO THAT'S A PEOPLE HAVE BEEN ASKING FOR THAT ONE IN DANVILLE FOR A WHILE SO THAT'S GREAT. 
          OKAY THAT'S ALL I HAVE. DENNIS I THINK IT'S GREAT. I THINK SINCE ITS INCEPTION,
IT'S JUST BEEN [LAUGHTER] REALLY SUCCESSFUL. 
          I ALWAYS TRY TO SAY WHAT COULD GO WRONG HERE. 
          WHAT'S GONE WRONG? SO WHEN, WHEN WAS THE INCEPTION OF THIS PROGRAM? I BELIEVE WE IT WAS KICKED OFF IN 2017 OR SO. 
          WE'RE IN ABOUT OUR SIXTH ROUND OF CONTRACTS,
I BELIEVE. 
          AND TO YOUR POINT ABOUT WHAT COULD GO WRONG IS I JUST FOUND OUT THIS MORNING THAT THE
CONSULTANT, OUR POINT OF CONTACT IS LEAVING THE GORDIAN SO I'LL BE WILL BE. 
          SO, SO IN TERMS OF THAT, IT'S FINE. THEY'LL FIND US A REPLACEMENT. 
          [01:10:01]
BUT IN TERMS OF HAVING WORKED WITH US AND FIGURING OUT HOW TO DO ALL OF THESE THINGS,
IT'S WE'RE BACK TO SQUARE ONE A LITTLE BIT WITH A NEW EMPLOYEE. 
          YOU DIDN'T ASK THAT, BUT SINCE YOU ASKED SINCE IT SEEMS SO, SO, SO PERFECT OR NOT PERFECT, BUT. 
          WELL, THAT'S WHAT? NO CONFLICTS WITH PUBLIC WHEN THEY'RE DOING WORK? OR MAYBE EVEN SO, SINCE 2017, THE FIRST PAVING PROJECT OF ANY PROJECTS FAILED BASED ON NOT
LACK OF MATERIALS, BUT LACK OF APPLYING MATERIALS OR? I THINK PART OF IT IS, IS THAT, AS I MENTIONED WITH THOSE OTHER SLIDES,
WE'VE HAD SOME CONTRACTORS THAT HAVE NOT BEEN SUPER HELPFUL FOR US, AND SO WE MIGHT NOT HAVE DONE QUITE AS MUCH AS WE COULD HAVE. 
          BUT I THINK SOME OF THAT IS AS PART OF THIS PROCESS. 
          AND SO IT DOESN'T COME UP TO THE FINANCE COMMITTEE IN TERMS OF THAT. BUT I THINK OVERALL
IT DOESN'T IMPACT THE PROCESS. 
          AND I THINK WE AND NOT I THINK BUT WE THAT'S WHY WE HAVE MULTIPLE CONTRACTS IS SO THAT WE
CAN KEEP WORK FLOWING AND KEEP THINGS DONE SUCH THAT WHEN WE HAVE ONE CONTRACTOR THAT IS NON-RESPONSIVE, WE CAN TURN TO THE OTHERS AND THEN GO FROM THERE. 
          SO TO ANSWER YOUR QUESTION, I DON'T THINK WITH ANYTHING WE'VE NOT HAD ANY MAJOR FAILS THUS
FAR. 
          GREAT SO AND SINCE 2017, HAS ANY CONTRACTOR OR HAVE ANY CONTRACTORS PLURAL STUCK WITH US
THE WHOLE TIME AND SAID, THIS IS ME. MARK SCOTT'S BEEN AROUND WITH SO IT'S THEY'VE THEY. YES THEY'VE REPEATEDLY MADE IT. 
          EXCELLENT. THEY'RE INTERESTED TO WORK WITH US. 
          GOOD THANKS FUTURE AGENDA ITEMS, BECAUSE I CONTINUE TO GET THE SENSE THAT WE NEED TO ASSESS THE DEGREE TO WHICH WE'RE DOING PAVING IN-HOUSE VERSUS OUTSOURCING. 
          AND SINCE THIS HAS BEEN COMING UP FAIRLY ANNUALLY AS A QUESTION FROM THIS COMMITTEE. 
          I WANT TO GET IT SET FOR AS A FUTURE AGENDA ITEM,
MAYBE NOT THE NEXT MEETING, BUT AT SOME POINT SOMEBODY AND I DON'T KNOW WHO'S IN CHARGE OF THIS, BUT THERE WOULD BE SOME KIND OF ASSESSMENT OF THE EFFICACY OF THE DEGREE OF
OUTSOURCING WE'RE DOING VERSUS BUILDING UP OUR IN-HOUSE PAVING STAFF, SINCE I KNOW THERE'S SOME KIND OF MIX THERE GOING ON. 
          AND WE DO AN AWFUL LOT OF REPEATED AND CONTINUING OUTSOURCING. 
          SO I'D JUST LIKE TO SEE THIS COMMITTEE ACTUALLY HAVE SOME TYPE OF ASSESSMENT AT SOME
POINT. 
          THANK YOU. PUBLIC NO ONE ON ZOOM. MEADOW. THE ONE TIME I THOUGHT OF ASKING. 
          WE DO HAVE [LAUGHTER] SOMETHING. YOU SEE, I KNEW IT. 
          I WAS GETTING THAT VIBE. HELLO, MEADOW. THANK YOU ALL RIGHT, MEADOW, YOU HAVE THREE MINUTES. THANK YOU. THANK YOU,
COLIN. 
          I WAS GOING TO ASK THE SAME QUESTION. AS YOU KNOW,
I'VE BEEN COMING BEFORE. 
          SORRY. MY NAME IS MEADOW DARCY, AND I'M WITH AFSCME LOCAL 2428. 
          AND I'VE BEEN COMING TO THIS DAIS PROBABLY FOR THE LAST 3 OR 4 YEARS ASKING THE SAME
QUESTION. 
          THAT WHEN WE USE THESE JOCK CONTRACTS, YOU KNOW,
THAT WE UNDERSTAND THERE'LL ALWAYS BE A PLACE FOR CONTRACTING. 
          THERE ARE TIMES WHEN, YOU KNOW, URGENCY OR THE WORK IS,
IS TOO LARGE FOR OUR GROUP TO DO. 
          BUT WHEN WE SEE WORK HAPPENING OVER AND OVER AND OVER AGAIN,
WE DO SORT OF ASK THE QUESTION OF WHY ISN'T OUR BARGAINING UNIT USING WHY AREN'T WE USING BARGAINING UNIT EMPLOYEES TO DO THAT WORK? AND PAVING JUST HAPPENS TO BE ONE OF THEM. 
          THAT IS SOMETHING THAT IS A MAINTENANCE ITEM. IT'S SOMETHING WE WILL ALWAYS HAVE TO DO. WE
WILL ALWAYS HAVE TO MAINTAIN PAVING, WHETHER IT'S REDOING, REPAVING YOU KNOW, ADDING NEW TRAILS, THINGS LIKE THAT. SO AS YOU CAN SEE ON THIS LIST,
THERE ARE MULTIPLE PAVING ITEMS ON HERE THAT I THINK IT WOULD JUST BE IMPORTANT TO [LAUGHTER] TAKE A STEP BACK. AND AGAIN,
EVERYBODY'S, I THINK, DOING THEIR BEST, BUT TAKING A STEP BACK AND LOOKING AT WHAT WORK THERE IS,
WHAT THE PLAN IS AND HOW WE CAN, YOU KNOW, STAFF THAT APPROPRIATELY SO THAT WE DO HAVE STAFF THAT CAN DO THAT IN-HOUSE. 
          BECAUSE OFTEN WHAT WE HEAR IS WE DON'T HAVE ENOUGH STAFF TO DO THIS WORK. 
          WE DON'T HAVE ENOUGH STAFF TO DO THIS WORK. IF WE DON'T HAVE ENOUGH STAFF. 
          AND THAT HAPPENS OVER AND OVER AND OVER AGAIN,
I THINK WE NEED MORE STAFF. 
          AND SO WE DO ALLOCATE QUITE A BIT OF MONEY FOR PAVING. 
          BUT I GUESS I'M ASKING THAT WE LOOK AT ALLOCATING MORE MONEY TOWARDS STAFF IF THAT'S
SOMETHING THAT'S ON A REGULAR BASIS. 
          [01:15:06]
SO THANK YOU FOR BRINGING IT UP AND JUST PUTTING IT THERE TO REMIND YOU. 
          AND THANK YOU FOR THE AGENDA ITEM. I WOULD LIKE TO SEE IT SOONER RATHER THAN LATER. 
          BECAUSE WE HAVE BEEN ASKING FOR THAT FOR SEVERAL YEARS. 
          AND SO I DO HOPE THAT DOES BECOME A FUTURE AGENDA ITEM. 
          I WAS TOLD THERE WAS A SECOND ROADS AND TRAIL PAVING CREW ADDED. 
          I DON'T KNOW THE STATUS OF THAT. SO THERE WAS A COUPLE OF THINGS THAT WERE,
YOU KNOW, GIVEN AS RESPONSES. 
          AS, YOU KNOW, WE DID DO A REPORT. I HAVEN'T SEEN THE REPORT. 
          I THINK IT WAS JUST A VERBAL REPORT. I GUESS EVENTUALLY IS WHAT I FOUND OUT AND THAT THERE
WAS SOME ANALYSIS DONE, BUT I DON'T HAVE THAT INFORMATION, AND, AND THAT THERE WAS A SECOND CREW ADDED IN THE
BUDGET. 
          I THINK IT WAS TWO BUDGETS AGO. I DON'T KNOW WHERE THAT WENT. 
          SO HOPING THAT THOSE PIECES OF THE PUZZLE CAN BE PUT TOGETHER IN SOME SORT OF ANALYSIS
THANK YOU. 
          AND WE HAVEN'T ACTUALLY TALKED ABOUT THIS IN AT LEAST A YEAR. 
          SO YOU AND I JUST INDEPENDENTLY [LAUGHTER]. I KNOW I WELL,
I JUST WAS LIKE, I DON'T WANT TO BE A PAIN. 
          BUT I'M ALSO LIKE, I'M JUST GOING TO KEEP SAYING HELLO AND BRINGING IT UP SO THANK YOU. 
          THANK YOU MADAM. ANYTHING ALL RIGHT ALL RIGHT GOOD AFTERNOON BOARD. MY NAME IS JUANCHO FLORES,
FACILITY MANAGER OF FINANCE AND MANAGEMENT SERVICES. 
          I'M HERE TODAY TO GIVE YOU AN UPDATE ON THE ON OUR ENVIRONMENTALLY SUSTAINABLE PURCHASING
POLICY 8.0. 
          TODAY I'D LIKE TO GO OVER A FEW THINGS. JUST KIND OF GOING OVER THE POLICY IN GENERAL SOME
OF THE RECOGNITIONS WE RECEIVED IN THE LAST FEW YEARS, ALSO WHAT WE'VE DONE WITH TO COMMUNICATE ESPP THROUGHOUT THE WHOLE
DISTRICT THE TRAINING THAT WE'VE DONE SO FAR, OUR SALES AS COMPARED TO THIS YEAR,
I MEAN, LAST YEAR AND THE YEAR PRIOR. 
          I'LL GIVE YOU AN UPDATE, TOO, AS WELL AS WITH MY PARTNERS AND SANITATION,
RECYCLING WHAT THEY'RE DOING ON THEIR END AS WELL AS FLEET. 
          AND ALSO GIVE YOU SOME OPPORTUNITIES THAT WE COULD FOCUS ON AS WE MOVE FORWARD. 
          SO, AS YOU KNOW THE POLICY WAS ADOPTED IN MAY IN 2023 WITH OUR MISSION STATEMENT IN MIND
THAT AN ENVIRONMENTAL ETHIC GUIDES THE DISTRICT AND ALL OF OUR ACTIVITIES TO HELP REDUCE GLOBAL
CLIMATE CHANGE AND ENVIRONMENTAL IMPACTS. 
          ALL OF THIS WHILE FOLLOWING OUR STOP WASTE GUIDELINES FOR PURCHASING. 
          SO WE ARE RECOGNIZED AS A GREEN BUSINESS IN THE COUNTY OF ALAMEDA. 
          WE RECEIVED THIS CERTIFICATION IN 2023, AND IT GOES FOR FIVE YEARS. 
          SOME OF THE THINGS THEY LOOK AT WHEN THEY DO AN AUDIT FOR A BUILDING WOULD BE OUR HVAC
MAINTENANCE. 
          HOW WELL, WE'RE KEEPING STAY ON TOP OF OUR MAINTENANCE. 
          HOW WELL, TO MAKE IT AS EFFICIENT AS POSSIBLE,
OUR USE OF LED LIGHTING WATER FLOW, HOW MUCH WATER WE USE IN THE BUILDING AND WHAT CONTROLS WE HAVE IN PLACE. AERATORS MOST OF ITS AERATORS AND HOW MUCH EACH FLUSH
IS, GOES DOWN THE DRAIN. WE ALSO THE USE OF SMART CONTROLLERS FOR IRRIGATION TO LIMIT THE
AMOUNT OF USE OF WATER. 
          FOR EXAMPLE, IF IT'S RAINING OUTSIDE, OUR SPRINKLER SYSTEM WILL NOT TURN ON IF IT'S
OVERCAST LIKE THIS THE AMOUNT OF WATER WOULD BE LIMITED ON THE USAGE. ALSO SOLAR. THESE HAVE SOLAR PANELS INSIDE THE BUILDING. 
          [01:20:01]
AND ALSO THE USE OF ENERGY STAR EQUIPMENT LIKE OUR PRINTERS,
OUR MONITORS AND OUR COMPUTERS ARE ALL IN COMPLIANCE. 
          OH GO AHEAD OUR MEANS OF COMMUNICATION. IT'S WE TRY TO GET TO ALL OF THE STAFF AT IN THE DISTRICT. 
          WE DO THIS BY YOU KNOW, BEING PART OF THE NEW EMPLOYEE ORIENTATIONS. 
          LEAF TRAININGS. ALSO PUTTING THE TRAINING ON SUMMIT. 
          THIS IS SOMETHING NEW FROM THE LAST TIME WE MET. 
          AND ALSO MAKING IT A FOCUS ON OUR CENTRAL STORES ADVISORY COMMITTEES WHEN WE HAVE OUR
QUARTERLY MEETINGS. 
          I'M ALSO PART OF ANYTIME THAT WE'RE TALKING ABOUT SUSTAINABLE INNOVATION FUNDS. 
          AND SITTING IN CURRENTLY RIGHT NOW ON THE GARBAGE WORKING GROUP,
I'M TRYING TO FIGURE OUT WAYS TO RECYCLE, WAYS TO DIVERT COMPOSTING AND ALSO WAYS TO MINIMIZE THE AMOUNT OF TRASH THAT WE PUT IN THE
LANDFILL. 
          ALSO TRY TO JOIN AS MANY FORUMS AS I CAN TO SUPERVISORY FORUMS,
MANAGEMENT FORUMS, ETC. 
          JUST THIS PICTURE RIGHT HERE. THIS IS OUR A MEETING I HAD WITH OUR PUBLIC WORKS DEPARTMENT
AND FINDING OUT WAYS WE COULD HELP THEM MINIMIZE THE AMOUNT OF TRIPS TO THE HARDWARE STORE. BY YOU KNOW,
MAKING PRODUCTS AVAILABLE AT CENTRAL STORES. 
          AND YOU SEE THAT STACK OF TOILET PAPER BEHIND YOU. 
          BEHIND [LAUGHTER] THE. BEHIND THE PICTURE THERE. THAT'S IT KIND OF GIVES YOU AN IDEA OF
HOW MUCH WE GO THROUGH AT CENTRAL STORE FOR TOILET PAPER. 
          HERE ARE SOME OF THE PRODUCTS THAT WE HAVE THAT ARE SUPERVISORS JEFF CONTINO GOES THROUGH
AND FINDS ALTERNATIVE PRODUCTS. 
          WE FIND LIKE, ECO-FRIENDLY HOSES. WE HAVE COMPOSTABLE BAGS THAT WE NOW HAVE AT CENTRAL
STORES WE DIDN'T HAVE BEFORE. 
          WE USED TO USE PLASTIC POLY. YOU KNOW, HE FOUND HE FOUND AN AMERICAN FLAG MADE OF BOTTLED
WATER SO ON AND SO FORTH. AND ALSO WE WORK WITH CLOSELY WITH OUR RECYCLING SANITATION TEAMS. FOR EXAMPLE, THEY THEY'RE VERY WE'RE VERY KEEN ON,
YOU KNOW, THE THREE WAY SYSTEM. 
          SO WE DECIDED TO HAVE THE, THE TOOLS IN PLACE. 
          SO AND IN THAT WAY PARKS CAN IF THEY HAVE A LOT OF PARTIES IN THE PARKS,
THEY CAN HAVE THE THREE AWAY SYSTEM AVAILABLE FOR THEM AS WELL. 
          AS FAR AS TRAINING IS CONCERNED, WHEN I PRESENT TO YOU LAST YEAR,
WE DIDN'T HAVE A MEANS OF TRACKING OUR TRAINING WITH THE HELP OF OUR HR PARTNERS, WE'RE ABLE TO PUT THE TRAINING ON SUMMIT AND ALSO HAVE A REPORT
THAT THAT WE COULD PULL ON A YEARLY BASIS AND QUARTERLY BASIS. CURRENTLY WE'VE COMPLETED 139 TRAININGS AND 88% COMPLETE. I DON'T THINK WE'RE EVER GOING TO GET TO 100% BECAUSE AS WE TURN,
WE WE START NEW PEOPLE, AND THEN IT GOES TO THE WHOLE PROCESS ALL OVER AGAIN. 
          SO I THINK 88% IS A PRETTY GOOD NUMBER. HAVING HAD TRAINED OVER 1,100 EMPLOYEES, SO SALES YEAR TO DATE WERE ABOUT $780,000 OF SALES AT CENTRAL STORES. 
          IT'S A 5050 SPLIT DOWN THE MIDDLE OF SALES DOLLARS THAT THAT WE'RE USING. 
          WHAT I MEAN BY THAT IS WE'VE SINCE FROM THE LAST MEETING THAT WE HAD WE'VE BEEN ABLE TO
IDENTIFY WHAT IS ENVIRONMENTALLY SUSTAINABLE PRODUCTS AND WHAT ARE NOT ENVIRONMENTALLY,
ENVIRONMENTALLY SUSTAINABLE PRODUCTS. 
          CLASS A REPRESENTS A NON ENVIRONMENTALLY SUSTAINABLE. 
          AND CLASS B ARE SUSTAINABLE PRODUCTS. WE ARE PROJECTING TO BE TO COME IN AT AROUND $1.2
MILLION THIS YEAR. AND I'LL GO OVER THAT IN THE NEXT SLIDE. 
          ANY QUESTIONS SO FAR? OKAY AND 2024, WE CAME AT $1.1 MILLION. LIKE I SAID,
WE'RE AT $760,000 THIS YEAR WITH THE GOAL OF 
          [01:25:04]
PROJECTING TO BE AT $1.2 MILLION. SO HOW'S THAT IMPORTANT AS WE INCREASE OUR SALES AT
CENTRAL STORES? WHAT WE'RE TRYING TO DO IS BASICALLY ENCOURAGE EVERYONE TO BUY THROUGH CENTRAL STORES SO
THEY DON'T HAVE TO GO OUT AND BUY AND TAKE THEIR F-250 TO THE LOCAL HARDWARE STORE. 
          RIGHT? SO WE COULD ORDER WE COULD ORDER THROUGH CENTRAL STORES AND HAVE IT DELIVERED. 
          WE COULD DO IT ALL IN BULK. AND ALSO IT'S MORE EFFICIENT WAY OF BUYING THINGS. 
          AND ALSO IT ALSO GIVES US AN ABILITY TO CONTROL THE PRODUCTS THAT WE BUY AND THE PRODUCTS
THAT WE HOLD AT CENTRAL STORES. 
          WHAT'S NEW FROM LAST YEAR TO THIS YEAR, WE NOW HAVE SOMEBODY DEDICATED LOOKING FOR
ALTERNATIVE PRODUCTS. 
          OKAY? AND IF WE CAN'T FIND AN ALTERNATIVE, WE'LL FIND ONE THAT LASTS LONGER. 
          AND I'LL SHOW YOU AN EXAMPLE OF THAT IN THE NEXT IN THE NEXT COUPLE OF SLIDES. 
          HERE ARE SOME OF THE ALTERNATIVE PRODUCTS ALSO THAT WE HAVE. 
          WE HAVE BIODEGRADABLE CHAINSAW OIL. WE TALKED ABOUT I TALKED ABOUT THE BIODEGRADABLE BAGS
AND THE RECYCLABLE CONTAINERS. HERE'S SOME MORE ECO FRIENDLY PRODUCTS. SO IN THE MIDDLE THERE, YOU SEE A METAL TOILET PAPER DISPENSER WHERE WE HAD
PLASTIC DISPENSERS BEFORE. 
          WE'RE GOING TO GO WITH THIS ONE AND START TO REPLACE WHAT WE HAVE. 
          THESE WILL LAST LONGER AND LESS USE OF PLASTIC AS WELL. 
          HERE'S AN AMERICAN FLAG MADE WITH BOTTLED WATER. 
          BOTTLED YEAH, FROM WATER BOTTLES. I'M SORRY. TRADES SO THAT MEETING THAT WE HAD,
WE HAD THE WHOLE TRADES TEAM COME IN, WE HAD A NICE CONVERSATION ABOUT WHAT WE CAN DO TO HELP THEM. 
          AND, AND THEY TALKED ABOUT. OKAY, WE NEED PIPES,
ELBOWS. 
          WE NEED SAWZALL, ALL OF THOSE THINGS THAT THEY NEED. 
          WE DON'T NECESSARILY HAVE A REPLACEMENT FOR THEM. 
          AN ENVIRONMENT FRIENDLY REPLACEMENT, FOR EXAMPLE,
A SAWZALL. 
          YOU CAN'T REALLY REPLACE THAT WITH ANYTHING [LAUGHTER]. AND IT'S MADE OF BAMBOO OR
SOMETHING. BUT GO AHEAD, SIR. BUT YOU CAN SURELY GO TO BATTERIES. I'M SURE YOU'VE DONE THAT ALREADY. 
          OH, YEAH, WE ARE SO THEY'RE ALL BATTERY OPERATED NOW. WE ARE GOING TOWARDS THAT. 
          AND WE'RE ACTUALLY STARTING TO IF WE ACTUALLY ALREADY HAVE BATTERIES IN PLACE THAT THEY
COULD ORDER. 
          THINGS LIKE IRRIGATION SPRINKLER HEADS, YOU KNOW,
THOSE KIND OF THINGS. 
          SO IT MAY NOT BE ENVIRONMENTALLY FRIENDLY WITH THE PRODUCT WE'RE BUYING,
BUT WE'RE PREVENTING WE'RE HELPING THE PROCESS BY, YOU KNOW, OUR TRADES TEAM NOT HAVING TO GO SOMEWHERE TO GO BUY IT AND BUY IT IN-HOUSE. 
          RIGHT? I HOPE THAT MAKES SENSE. THEY ASKED FOR 171 ITEMS FROM US. 
          WE'RE ABLE TO STOCK 61. WE HAVE 84 IN PROGRESS WE'RE WORKING WITH. 
          TRYING TO GET THE BEST PRICE AND THE BEST THE BEST ALTERNATIVE. 
          THAT'S KIND OF WHERE WE'RE AT RIGHT NOW WITH 26 THAT WE IDENTIFIED. 
          WE'RE NOT GOING TO GO FORWARD WITH IT. IT'S JUST NOT ENOUGH DEMAND FOR IT. 
          SO WE'RE NOT GOING TO MOVE FORWARD. SO HERE ARE THE PRODUCTS SOME OF THE PRODUCTS THAT WE
HAVE. 
          SO WE HAVE, YOU KNOW, WE HAVE PERLITE, WE HAVE SAWZALL,
AND WE HAVE THESE FLAGS DOWN HERE ON THE BOTTOM LEFT. 
          THOSE FLAGS ARE MEANT FOR WATER. SO WE HAVE WATER LEAKS ALL OVER THE PARKS,
RIGHT? SO WE, YOU KNOW, WE HAVE NOW THE FLAGS TO FROM RECYCLED PLASTIC AND TO PUT DOWN TO WHERE
THAT IDENTIFY LEAKS IN THE PARKS. OKAY SANITATION, RECYCLING. 
          ANDREW GREEN AND SPENCER WITH CENTRAL STORES. WE CAN CONSTANTLY COMMUNICATE WITH EACH OTHER. 
          WE START OFF WITH BEARSAVERS. WHEN WE FIRST ROLLED OFF BEARSAVERS,
WE DIDN'T HAVE THE RIGHT PLASTIC BAG TO GO AROUND THEM. 
          RIGHT? SO WE HAD TWO DIFFERENT PROCESSES AND THEN NOW WE FIGURED OUT WHAT THAT SIZE IS,
AND WE'VE NOW WE NOW HAVE THAT CENTRAL SOURCE AVAILABLE FOR EVERYONE. SO BACK IN 2024,
THEY PURCHASED 60 THREE-STREAM BEARSAVERS. 
          [01:30:03]
AND ALSO PLANS TO DISTRIBUTE ANOTHER 50 THIS YEAR. 
          SO THEY'VE ALSO BEEN ABLE TO YOU KNOW, INSTALL TWO,
7 TWO-STREAM WASTE BINS AND ALSO 6 THREE-STREAM WASTE BINS HAVE ALSO BEEN SENT TO PARK OFFICES. 
          THE THREE-STREAM WASTE BINS ARE THE ONES IN THE MIDDLE THERE THAT'S MADE OUT OF RECYCLED
PLASTIC AS WELL. 
          WE'RE PROMOTING BATTERY BUCKETS. THAT'S TO HELP WITH RECYCLING FOR BATTERIES THROUGHOUT
THE DISTRICT. 
          AND YOU KNOW, WE TRY TO IT'S WE'RE TRYING TO DO A BETTER JOB AT IT BECAUSE THERE'S REALLY
NO TRACKING WAY FOR US FOR BATTERY OF BATTERY RECYCLING. YOU KNOW, EVENTUALLY WE WILL. 
          I'M LOOKING AT POTENTIALLY, YOU KNOW, HOW MUCH DID WE RECYCLE PER YEAR,
LIKE, IN WEIGHT WISE. 
          I THINK THAT WILL GIVE US AN IDEA OF HOW WELL WE'RE DOING BATTERIES. 
          SO ALSO SPENCER AND ANDREW'S ALSO LOOKING AT INCREASING COMPOSTABLE COMPOST COLLECTION
SERVICES AT JOHN JUDGE SUTTER, ANTHONY CHABOT AND CONTRA LOMA BY REPLACING REGULAR OPEN TOP WITH COMPOST BINS. 
          WITH FLEETS. SO WE CURRENTLY HAVE 20 ELECTRIC CHARGING STATIONS AND THE FOR DISTRICT FLEET
THAT ARE CURRENTLY INSTALLED. ADDITIONAL CHARGING STATIONS ARE PLANNED FOR LAKE CHABOT,
PACHECO, TILDEN, AND MORE HERE AT PERALTA OAKS. SO, OPPORTUNITIES. SO WE, YOU KNOW, AS WE HAVE TURNED IN THE DISTRICT, WE CONTINUE TO MAKE SURE THAT EVERYBODY KNOWS OUR MISSION
IS REDUCE, REDUCE, REDUCE. RIGHT? AND CONSERVATION. AND ALSO,
YOU KNOW, WHERE WE HAVE ALSO CULTURE CHANGE, RIGHT? THERE'S SOME PEOPLE THAT WE STILL HAVE TO MAKE SURE THAT. 
          OKAY NO, YOU COULD BUY THAT AT CENTRAL STORES. 
          YOU DON'T NEED TO GO TO HARDWARE STORES. SO YOU STILL HAVE THAT,
YOU KNOW, THAT THAT DIALOG THAT HAPPENS. 
          TALKED ABOUT BATTERY RECYCLING. E-WASTE IS ALSO YOU KNOW,
WE DO A BI-ANNUALLY AT PERALTA OAKS AND WE SHOULD DO A LITTLE BIT MORE IN COURTYARDS. 
          AND WE USE CIVICORP FOR THAT SERVICE AS WELL. 
          WE STILL HAVE AN OPPORTUNITY WITH DIVERSION TRASH HAUL REDUCTION AND EFFICIENCY AND THEN
ALSO MANAGING UTILITIES. 
          AND THE MANAGING UTILITIES, WE COULD MAKE A REALLY BIG IMPACT IN IT ONCE,
YOU KNOW, WE NEED TO LOOK AT IT. 
          YOU DO A DEEP DIVE IN UTILITIES. I THINK JUST COMING TO A COUPLE EXAMPLES. 
          WITH THE HELP OF OUR ACCOUNTS PAYABLE TEAM, WE'VE BEEN ABLE TO IDENTIFY LEAKS IN THE
DISTRICT THAT COST. 
          I MEAN, WE'RE TALKING ABOUT THOUSANDS OF GALLONS OF WATER IN SOME INSTANCES AND THOUSANDS
OF DOLLARS OF THOUSANDS OF DOLLARS WITH A PARTNERSHIP WITH OUR ACCOUNTS PAYABLE TEAM AND,
AND OUR PARK SUPERVISORS. 
          WE'VE BEEN ABLE TO IDENTIFY LEAKS AND FIX IT IMMEDIATELY. 
          SO THAT'S KIND OF HOW WE ALL WORK TOGETHER. AND TO KEEP AN EYE ON OUR RESOURCES. 
          WE'LL CONTINUE TO OUR NEXT STEPS WILL CONTINUE TO SEEK ALTERNATIVE FRIENDLY
ENVIRONMENTALLY FRIENDLY ALTERNATIVES. 
          WE'LL CONTINUE WITH THE TRAINING, CONSERVATION,
YOU KNOW, WATER POWER, WASTE AND TRASH REDUCTION THROUGH DIVERSION AND OPEN TOP. 
          YOU KNOW, WE'RE LOOKING AT THE FREQUENCY OF PICKUPS. 
          WE'RE ALSO LOOKING AT WAYS TO WHAT WE'RE FINDING IS SOME OF THE OPEN TOPS THAT WE HAVE
ARE, ARE GOING OUT IT'S FULLY JUST AIR. RIGHT? SO YOU HAVE A GARBAGE BAG FULL OF TRASH,
BUT A LOT OF IT'S AIR, AND YOU THROW IN THE DUMPSTER AND IT GETS FULL. 
          WE'RE LOOKING AT WAYS TO SOME PARKS COMPACT THEIR WAY,
THEIR OPEN TOPS. 
          AND TO MAXIMIZE CAPACITY, ESPECIALLY ON BIG,
BUSY WEEKENDS AND ALSO TO PROTECT WILDLIFE WITH THE GARBAGE WORKING GROUP, WE'RE LOOKING AT COVERED OPEN TOPS TO KEEP WATER FROM LEACHING IN ANIMALS FROM GETTING IN
AND SO FORTH. AND THEN WITH THAT, I'LL TAKE SOME QUESTIONS. 
          [01:35:03]
THAT'S GOOD STUFF YEAH. THANKS, JUANCHO GREAT, GREAT EFFORT. AND I KNOW THE SANITATION DEPARTMENT IS DOING
GREAT EFFORTS WITH YOU. 
          I THINK IT'S GREAT THAT YOU'RE MOVING AHEAD LIKE THIS. 
          I APPRECIATE ALL YOUR EFFORTS. YOU KNOW, AS A VISUAL FOR,
SAY, BOARD MEMBERS, I KNOW THEY'D BE AMAZED BECAUSE I KNEW THIS KIND OF STUFF IN THE OLD DAYS. WHAT THE DISTRICT PAYS FOR GARBAGE SERVICE EVERY YEAR? I MEAN, IT WOULD BLOW THINGS AWAY. I KNOW YOU DON'T KNOW IT. I DON'T EXPECT YOU TO KNOW
IT. BUT IF SOMEBODY COULD, LIKE ANDREW, COULD COMPILE A FACT SHEET, SAY WHAT WE PAY FOR ELECTRICS I COULD TELL YOU IT'S ONE IT'S ABOUT A MILLION AND A HALF A YEAR FOR DUMPING GARBAGE SERVICE ELECTRIC, GAS. WE JUST PAY A TON OF MONEY AND JUST REDUCTION. 
          I MEAN YOU KNOW, IN NEW CONSTRUCTION, IF WE COULD HAVE IT,
YOU KNOW, YOU WALK INTO A, LIKE, A RESTROOM, LIKE OUT HERE, YOU WALK IN THE RESTROOM,
THE LIGHTS GO ON, YOU WALK OUT, THEY GO OFF. SIMPLE STUFF LIKE THAT. 
          IT REALLY, REALLY WORKS. AND IT'S A GREAT EXAMPLE. 
          I DON'T KNOW IF THEY'RE DOING IT OVER IN THE NEW BUILDING,
BUT IT STOP WASTE. 
          THEIR FACILITY, THEIR BOARDROOM IS GREAT. YOU SIT THERE IT'S A LITTLE DISCONCERTING AT
FIRST, BUT IT MAKES YOU FEEL GOOD. THEY HAVE LIGHTS JUST LIKE THESE. 
          BUT WHEN FOR SOME REASON. THERE'S MOTION SENSORS,
I GUESS, AND IF NOBODY'S SITTING OVER THERE, THAT LIGHT WILL GO OFF AND THEN ANOTHER LIGHT WILL GO OFF OR IT'LL BE OVER MEADOW. 
          THE LIGHT WILL BE ON. BUT OVER HERE, THE LIGHTS WILL BE OFF AND THEY GO ON AND OFF AS
PEOPLE GET IN AND IT'S YOU'D THINK THAT'S GOING TO DRIVE ME CRAZY, BUT IT REALLY DOESN'T. IT MAKES YOU FEEL LIKE,
HEY, THIS SOMEBODY'S FIGURING THIS OUT AND NOT WASTING ENERGY. 
          THAT'S FOR THE FOLKS UP THE HILL. 
          THAT'S YOU KNOW, I 20, 23. WHEN I ASKED DEB WHEN THIS PROGRAM CAME OUT,
I VOLUNTEERED TO SAY, YOU KNOW WHAT? I'LL HELP OUT WITH THIS PROCESS. 
          IT'S REALLY FUN TO FIND THOSE YOU KNOW, THOSE LOW,
LOW LYING FRUIT AND THOSE CHALLENGES. 
          RIGHT? AND FINDING OUT, YOU KNOW, FINDING A SOLUTION. 
          YEAH I APPRECIATE YOUR EFFORTS. THANK YOU. YEAH THIS IS THIS IS ONE OF THOSE THIS IS ONE THAT I REALLY LOOK FORWARD TO WHEN YOU COME HERE,
BECAUSE EVERY YEAR IT'S A GREAT STORY. 
          AND EVERY YEAR WE'VE MADE PROGRESS AND EVERY YEAR WE KNOW WE'RE GOING TO MAKE MORE
PROGRESS. SO THANK YOU FOR ALL YOU DO. 
          AND I CAN AND I THINK I MIGHT HAVE SAID THIS LAST YEAR,
I CAN SENSE SOME I FEEL ENTHUSIASM IN IN YOUR IN YOUR PRESENTATION I KNOW YOU HAVE A PASSION FOR THIS. SO I THANK YOU FOR THAT YOUR EFFORTS ALONG THOSE
LINES. 
          BUT I'M JUST WONDERING ABOUT MY EXPERIENCE WITH WORKING IN AN OFFICE BUILDING,
AND I DON'T WORK IN THIS BUILDING. 
          I JUST COME IN DOWN HERE ONCE IN A WHILE. IS IT IN THE SUMMERTIME IT'S TOO COLD? AND I DON'T KNOW IF MAYBE THIS IS SORT OF A SUBJECTIVE QUESTION,
BUT IS IT IS IT ROUTINELY TOO COLD IN THIS BUILDING? I'M JUST PICKING OUT THIS BUILDING BECAUSE IT'S THE BIG ONE. SURE DO PEOPLE COMPLAIN ABOUT THAT? AND WHAT'S YOUR IDEA ABOUT DEALING WITH THAT? BECAUSE WHEN I JUST FEEL LIKE IT'S A WASTE OF IF PEOPLE ARE PUTTING ON SWEATERS IN THE
SUMMER THEN WE'RE PROBABLY DOING TOO MUCH AC. ON THE OTHER HAND, THE MAGIC THING THAT YOU HAVE TO ACHIEVE IS CONTROL AND BALANCE. 
          I KNOW THAT'S REALLY HARD TO DO. SO HOW ARE YOU APPROACHING THAT AT THE ENVIRONMENTAL YOU KNOW TREATMENT OF THE AIR AND, AND STUFF IN HERE. 
          THAT'S THE FUN PART OF MY JOB IS, IS MAKING SURE ALL 220 EMPLOYEES HERE ARE COMFORTABLE. 
          YOU KNOW, WE COULD HAVE ONE PERSON SITTING NEXT TO YOU THAT'S WARM,
AND THE NEXT PERSON OVER IT WOULD BE COLD. 
          WHAT I DO WHAT I DO IN THIS BUILDING WAS THE FIRST THING I DID IN THIS BUILDING IS MAKING
SURE THAT NOT BOTH BOILER AND CHILLER ARE ON THE SAME TIME, BECAUSE THEY'LL JUST FIGHTING THEMSELVES. SAY THAT AGAIN. 
          IT, LIKE SOME SYSTEMS, COULD BE SET UP TO WHERE YOU COULD HAVE BOTH THE HEAT AND THE AND
THE AC ON AT THE SAME TIME. YEAH. SO IN THIS BUILDING WE HAVE THOSE SEPARATED. 
          AND THE FIRST WHEN I FIRST JOINED THE DISTRICT,
THAT'S THE FIRST THING I NOTICED IS THAT, FOR EXAMPLE, THE FINANCE DEPARTMENT WOULD BE SUPER COLD OR SUPER WARM,
DEPENDING ON, YOU KNOW, WHAT SEASON IT IS. AND I LOOKED INTO IT AND SURE ENOUGH,
IT WAS AN AIR BALANCING ISSUE THAT, 
          [01:40:03]
YOU KNOW, THAT THAT WE HAD TO DO FOR MICHELLE STRAWSON IN OUR HELAE'S RECEIVING FIVE TIMES THE AIR SUPPLY THAT SHE SHOULD BE RECEIVING IN AN OFFICE [LAUGHTER]. 
          IT WAS IT WAS IT WAS, YOU KNOW, THOSE KIND OF THINGS THAT I LOOKED INTO. 
          GOT AN AIR BALANCE DONE. CHECK WITH THE CONTROLS TO MAKE SURE THAT,
YOU KNOW, I DON'T. 
          I GUESS THERE'S A LOT OF EXPERTS THAT TELL US ONE THING,
BUT WHEN I DIG INTO THINGS AND FIND OUT, OKAY, WHAT YOU'RE TELLING ME IS NOT COMPLETELY WHAT'S HAPPENING [LAUGHTER]. SO AND YOU
KNOW, IT'S TRUE CHALLENGE. RIGHT? UNDERSTANDING THE SYSTEM IN THIS BUILDING HERE,
I WILL NOT HAVE BOTH AC AND HEAT ON. 
          AND I SET IT UP THAT WAY. AND THE REASON YOU FEEL COLD IS THAT 72 DEGREES AT ALL TIMES,
BELIEVE IT OR NOT. 
          BUT IT SUPPLIES THE ENTIRE BUILDING. SO SOME,
SOME PART OF THE BUILDING WOULD BE WARMER, FOR EXAMPLE, UP IN THE FOURTH FLOOR. AND IT'LL BE COLDER DOWN HERE. 
          AND WE TRIED YOU KNOW, WE TRY OUR BEST TO MANAGE IT. 
          WHAT ELSE CAN I SAY ABOUT THAT? DO YOU FEEL LIKE YOU'VE MADE YOU'VE MADE PROGRESS WITH THE
PERCEIVED COMFORT LEVEL OF THE EMPLOYEES HERE SINCE YOU INSTITUTED THOSE CHANGES? I THINK SO. WE USED TO WE USED TO GET A CALL ALMOST MULTIPLE
TIMES A DAY THAT I'M TOO COLD AND TOO HOT. I MEAN, IT'S BEEN A LIKE A LIKE NOT A JOKE,
BUT IT'S LIKE A FUN THING. 
          IT'S LIKE, YOU KNOW, PEOPLE COMPLAIN. YEAH. ONE OR THE OTHER. 
          BUT THE COMPLAINT HAS ALMOST STOPPED 100%. AS FAR AS TEMPERATURE IS CONCERNED,
BECAUSE NOT EVERYONE HAS THE SAME BODY TEMPERATURE, AND WE TRY TO ACHIEVE THE BEST WE CAN. LIKE IN THIS,
IN THIS ROOM HERE. 
          IT'S COLD RIGHT NOW, BUT WHEN YOU PUT 100 PEOPLE IN HERE,
IT. 
          THAT'S THE HARD PART, RIGHT? YOU KNOW, TRY TO FIX THAT. BUT WE MANAGE. SO WE NOW PRE-COOL WHEN EVERY TIME THERE'S A BIG
MEETING HAPPENING HERE, WE'RE GOING TO PRE-COOL THIS ROOM. YEAH. TO HELP,
TO HELP WITH THAT. 
          WELL, THAT SOUNDS LIKE A, YOU KNOW, AN INTELLIGENT APPROACH [LAUGHTER] TO CONDITIONING THE
AIR IN A ROOM YEAH. FOR SURE. I'M CURIOUS. ARE WE CONVERTING TO HEAT PUMPS IN ANY OF THE SMALLER
FACILITIES? I'M NOT. I'M NOT SURE. I CAN ONLY SPEAK FOR THIS BUILDING IN TRUDEAU. 
          THAT SHOULD FOR THIS BUILDING, WE HAVE THE HEAT PUMPS ON. 
          ONLY IF IT GETS LOWER THAN 61 DEGREES OUTSIDE. 
          THAT'S THE ONLY TIME THEY'LL KICK ON. IF IT'S 59 DEGREES,
IT WON'T KICK ON AT ALL. 
          FOR TRUDEAU, WE HAVE OCCUPANCY SENSORS THAT IF NOBODY'S IN THE BUILDING,
IT WILL AUTOMATICALLY GO BACK TO YOU KNOW, MAYBE STANDBY MODE, BASICALLY, FOR BOTH AC AND HEAT. 
          I WAS JUST THINKING OUR RESIDENCES. RIGHT? WE COULD CONVERT THOSE TO HEAT PUMPS OVER TIME. 
          OH, YEAH. GET THEM OFF GAS? I'M SURE, I'M SURE THERE'S NOTHING THAT YEAH. 
          THERE'S ALWAYS POSSIBILITIES. THERE ARE ALWAYS POSSIBILITIES. 
          OKAY THANK YOU. COMMENT OKAY HELLO AGAIN. HELLO AGAIN YOU HAVE THREE MINUTES. AGAIN, MEADOW DARCY AFSCME LOCAL 2428. 
          SOME OF THE FEEDBACK THAT I HAVE GOTTEN ON SOME OF THE SUSTAINABLE PURCHASING AND 30 BY 30
INITIATIVE IS THE EMPLOYEE ACTIONS OR EMPLOYEE INCLUDING THE EMPLOYEES ON THIS PLAN AS WELL. 
          SO ONE OF THE THINGS IS THAT WITH THE ADDITION OF THE CHARGING STATIONS HERE AT PERALTA
OAKS, THERE ARE NONE FOR EMPLOYEES. SO THEY'RE ALL FOR DISTRICT VEHICLES. 
          AND SO EMPLOYEES ARE COMING AND NOT ABLE TO PLUG IN. 
          SO WE WOULD ASK THAT MAYBE THAT BE CONSIDERED AS WELL SO THAT WE CAN ENCOURAGE OUR
EMPLOYEES TO HAVE MORE SUSTAINABLE VEHICLES. 
          THE OTHER IS E-BIKES. SOME PEOPLE E-BIKE HERE. 
          AND WE'VE NOTICED E-BIKES IN CUBICLES [LAUGHTER] BECAUSE PEOPLE DO NOT WANT TO LEAVE THEM
OUTSIDE AND HAVE THEM BE STOLEN. 
          AND SO PERHAPS SOME SORT OF LOCKABLE STORAGE,
YOU KNOW, CONTAINER ON, ON SITE, ESPECIALLY IN THIS LOCATION WHERE WE HAVE THE LARGEST CONCENTRATION OF EMPLOYEES. AND THEN ALSO I WASN'T SURE ON THE PICTURE OF THE UNIFORMS
THAT THAT WAS PART OF THE SWAG ITEMS, 
          [01:45:03]
IF THAT WAS PART OF THE SUSTAINABLE PURCHASING. 
          BUT I DID WANT TO GIVE SOME FEEDBACK ON THAT. 
          SOME OF THE EMPLOYEES HAVE SAID THAT THE SWAG ITEMS OR THE ITEMS THAT THEY CAN PURCHASE
ARE FAR MORE EXPENSIVE THAN THE PREVIOUS UNIFORMS [LAUGHTER] THAT THEY USED TO BE ABLE TO PURCHASE. I KNOW MYSELF A T-SHIRT WAS $5 AND I COULD PURCHASE THAT AND USE THAT AT AN
EVENT OR SOMETHING LIKE THAT. 
          AND NOW I THINK IT'S $20 FOR A T SHIRT, SO IT IS A LITTLE PROHIBITIVE FOR EMPLOYEES. 
          I'M NOT SURE IF THAT'S PART OF THE SUSTAINABLE INITIATIVE. 
          BUT IF SO, THEN I THINK ALL OF THE UNIFORMS SHOULD PROBABLY BE ENVIRONMENTALLY
SUSTAINABLE. 
          NOT JUST THE ONES [LAUGHTER] THE EMPLOYEES HAVE TO PURCHASE WITH THEIR OWN MONEY. SO THAT
WAS ALL MY FEEDBACK. 
          SO JUST INCLUDE EMPLOYEES A LITTLE BIT MORE IN THE IN THE PROCESS THANK YOU. 
          THANK YOU END OF OUR AGENDA OTHER THAN FOR ANNOUNCEMENTS I'LL LOOK AROUND. 
          NO ANNOUNCEMENTS ALL RIGHT SEEING NONE WE WILL BE ADJOURNED. THANK YOU.
* This transcript was compiled from uncorrected Closed Captioning.