HomeMy Public PortalAbout19780906 - Minutes - Board of Directors (BOD) Meeting 78-19
•
MIDPENINSULA REGIONAL OPEN SPACE DISTRICT
Special Meeting
Board of Directors
M I N U T E S
September 6, 1978 375 Distel Circle
Los Altos, CA
I. ROLL CALL
The meeting was called to order by President Turner at
7 :38 P.M.
Members Present: Barbara Green, Nonette Hanko, Daniel
Wendin, Harry Turner, Katherine Duffy, Richard Bishop
and Edward Shelley.
Personnel Present: Herbert Grench, Jon Olson, Craig
Britton,Michael Foster, Nancy McComb, Cynthia Digiovanni,
Eric Mart, Del V7oods, Phyllis Lee and Jennie George.
II. NEW BUSINESS WITH ACTION REQUESTED
A. Adoption of Preliminary Budget for Fiscal Year 1978-1979
H. Grench introduced the General Manager' s report (R-78-31)
dated August 30, 1978 regarding Adoption of the Preliminary
Budget for Fiscal Year 1978-1979 .
C. Britton said the Land Acuqisition Program would be sub-
stantially affected by the District' s reduced funding, even
with the addition of the State surplus money. He said he
hoped to rely on P.O.S.T. for gifts and fund raising; and
any additional funds received by the District would be
allocated to the Land Acquisition program. He added that
$1. 8 million non-committed money would be available for
land acquisition as compared to $4 million budgeted last
year; however, the District would continue to carry on
as aggressive a land acquisition program as resources allow.
R. Mark, 725 Cowper, Palo Alto asked if P.O.S .T. had accom-
plished anything in fund raising and land acquisition for
the District. He suggested that money budgeted for P.O.S.T.
should be reviewed in future months.
8 8
Meeting 78-19 Page two
H. Grench replied that P.O.S.T. has acquired one piece of
land along Skyline Boulevard which they are holding and
they have been involved in at least one offer on a piece of
land which didn't come through. He added that money paid
to P.O.S.T. would be paid by quarter, and performance would
be reviewed.
J. Olson reported on the Land Management Program which he
said would be budgeted at 75% of what was budgeted for the
program last year. He said that operations would continue
at the same staff level unless additional acquisitions
overloaded the present staff capabilities, in which case
Land Management would have to fall back on contingent rangers.
He said that the major changes would be in capital improve-
ments. Funds will be used for minimal improvements, such
as fencing and gates, required for public safety and site
protections, but no new trails or parking constructions
are anticipated. He informed that there would be no new
hiring of office staff and that the temporary Drafting
Technician position has been deleted. Staff has been re-
searching enterprise activities, and it is hoped the District
can net about $10,000 to add to the General Fund.
E. Shelley asked if additional funds would be required for
patrol if the District acquired new sites.
J. Olson replied that if a new acquisition were adjacent
to a present District site, there probably would not be
any problems. He said that staff would request Board de-
cision for the transfer of funds if it was felt they could
not otherwise properly maintain or patrol a site.
N. Hanko asked if the use of some structures on District
sites would be changed. J. Olson replied that staff wants
to rent all structures that aren't needed for ranger/caretaker
residences.
K. Duffy asked how this budget affected the current use and
management plans. J. Olson replied that 85% of the recom-
mendations in the plans have already been carried out.
J. Olson pointed out that any contingency items are new
expenditures, and that funds for these contingencies would
be subtracted from the land acquisition funds.
D. Wendin recalled that the Board had adopted a policy to
cut the land management budget to 75%; however, if money
budgeted for maintenence is deficient the Board would have
to review the situation and make any necessary adjustments.
Meeting 78-19 Page three
N. McComb reported on the Public Communications and Govern-
mental Liaison Program, and said that its funding would be
less than budget and expenditures for 1977-78 . She said
that the program emphasis would be on increasing public
awareness of the District, focusing on the philosophy of
open space as well as on issues and sites. She added she
is hoping to do this through lower cost brochures and she
would be working to obtain more feature articles with photo-
graphic displays. She noted that there is a contingency
figure of $1,000 for a legislative consultant who could
provide necessary liaison between the District and State
legislative officials should future funding depend on it.
R. Mark suggested using volunteers from the various environ-
mental organizations as photographers. C. Britton said he
did not feel that was a workable idea, as he is often opera-
ting under a limited time frame when involved in a new acqui-
sition that requires publicity.
H. Grench reported on the General Management and Program Support
portion of the-budget stating that it is being held at last
year' s budget level, excluding the November election expenses
which were not in last year' s budget and the additional
expenses for office rent resulting from the October 1977
move. He pointed out that adoption of the budget would not
include approval of the contingencies as listed in the re-
port and that 95% of the funds are budgeted for Land Acqui-
sition. He listed his recommendations for adoption as follows :
1. Adoption of the Resolution of the Board of Directors
adopting Preliminary Budget for Fiscal Year 1978-1979.
2. Approval of an increase from $250 to $300 per fiscal
year for the maximum educational assistance reim-
bursement available to District employees.
3 . Statement of Board' s intention that no cost-of-living
increases be granted to District employees for the
1978-79 fiscal year and that $11,270 be allocated to
the General Manager for merit increases for his
appointees (with no implication that it should all
be spent) .
4 . Statement of Board' s intention that almost all of
any additional surplus money received from the State
be placed in the New Land Purchases budget category.
H. Grench stated that the resolution adopting the preliminary
budget also calls for a maximum 10� tax rate per $100 assessed
valuation if it can be levied. He said this matter should be
looked at as an emergengy measure should Proposition 13 be
overturned by the court.
Meeting 78-19 Page four
M. Foster introduced the Controller' s report (R-78-28)
dated August 30, 1978 regarding the Analysis of the Pro-
posed Fiscal Year 1978-1979 Budget. He stressed the follow-
ing:
1. The cash flow analysis indicates that beyond the
land expenditures that are already committed the
District has about $ 4 million left to spend. He
said it appears that half of it can be spent in
1978-79 and one half next year. After the 79-80
fiscal year, all revenue will have to go to debt
service and minimal operating expenses, and the
land acquisition program would end. He added if
the District obtains more money, the financial
picture would change.
D. Wendin noted that the District is still expecting to
receive some allocations from the State within the next
three years. M. Foster remarked he was assuming the Dis-
trict will receive about 50% next year of the amount re-
ceived this year from the State.
2. If the program reflected by the budget is carried
out, the District will end the fiscal year with
a cash balance of $785, 000.
3. The District probably cannot commit to any new
installment purchase agreements this year or
next as Proposition 13 has reduced the allowable
debt.
4. The cash flow projections assumes that the District
will receive approximately $3 million in State and
federal grant funds during 1979-81 to pay for parts
of the Hassler, Edgewood Park, Stevens Creek Shore-
line, Baylands Park and Stanford properties. The
amount of money budgeted for land acquisition in
the next two years cannot actually be spent on just
anything. If any one of the above properties on
which a grant is expected on is removed, a sub-
stitution cannot be made for the same amount unless
it also has its similar grant. There does not
appear to be a cash flow problem this year because
of the note issue last year.
D. Wendin introduced the budget Committee' s report (R-78-29)
dated August 29, 1978. He said the Committee had met many
times and that detailed consideration of the Budget and
Action Plan had to be repeated after the passage of Propo-
sition 13. He added that a good deal of attention was paid
to detailed figures. He outlined the five key issues the
Committee concentrated on:
1 8
Meeting 78-19 Page five
1. Review of a Land Management budget set at 75% of
last year ' s level
2. Consideration of the structure to be used for merit
increases
3. Consideration of a change in Board remuneration
4. Allocation of any additional State funding
5. Setting of a tax rate
D. Wendin said the most difficult issue to deal with after
the bail-out bill was staff salaries. The Budget Committee
decided that the Board should not be involved with merit
increases and that the General Manager should be given
$11, 270 for this purpose. There will not be any cost-of-
living increases, and the General Manager should report
to the Board at the end of the fiscal year on the merit
increases given. This report should show the range of
percentage increases without identifying individual employee
increases.
Regarding Board remuneration, D. Wendin reported that the
Committee believed it is important to reduce costs for one
year and recommended reducing the compensation from $50 per
meeting to $37 .50, with a monthly maximum of $75 effective
September 1, 1978 .
Motion: D. Wendin moved adoption of the recommendations
as contained in the General Manager' s report on
page fourteen (R-28-31) with the addition of the
recommendation to reduce the Board of Directors ' s
compensation to $37 .50 per meeting with a maximum
of $75 per month effective September 1, 1978 .
B. Green seconded the motion.
Amendment: R. Bishop moved to amend the motion
keeping the Board compensation at the present
level. N. Hanko seconded the motion. The amend-
mend failed on the following vote:
Noes: N. Hanko and R. Bishop
Ayes: K. Duffy, H. Turner, B. Green, D. Wendin
and E. Shelley
Amendment: K. Duffy moved to amend the motion to
have the $1,750 saved from Directors ' compensation
added to the merit increase fund for the General
Manager' s appointees.
Discussion: E. Shelley said that that might be
in violation of the State' s surplus fund stipu-
lations . K. Duffy withdrew the motion.
Meeting 78-19 Page six
Amendment: N. Hanko moved to amend item #18 of
Exhibit K by increasing it by $800 to eliminate
travel expenses to the State and national parks
conferences. The amendment failed for lack of
a second.
Amendment: N. Hanko moved to amend item #18 of
Exhibit A to exclude Board related expenses of
sandwiches at meetings in the amount of $600. The
amendment failed for lack of a second.
The original motion passed on the following vote :
Ayes.: D. Wendin, B. Green, E. Shelley, R. Bishop,
H. Turner and K. Duffy
No: N. Hanko
Motion: B. Green moved approval of Resolution 78-23, a
Resolution of the Board of Directors of the Mid-
peninsula Regional Open Space District Adopting
Preliminary Budget for Fiscal Year 1978-1979.
K. Duffy seconded the motion.
Discussion: E. Shelley emphasized the fact that
the Board was adopting the 10� per $100 tax rate
as indicated in the resolution if it could be
levied. The motion passed on the following vote:
Ayes: D. Wendin, B. Green, E. Shelley, R. Bishop,
H. Turner and K. Duffy
No: N. Hanko
Motion: B. Green moved adoption of the Annual Claims List
for Fiscal Year 1978-79. K. Duffy seconded the
motion. The motion passed on the following vote:
Ayes: D. Wendin, B. Green, E. Shelley, R. Bishop.
H. Turner and K. Duffy
No: N. Hanko
N. Hanko said she voted in opposition to the above budget
items because she believes cuts should be made in the areas
of Board meals at meetings and staff attendance at State
and national conferences. She also said she felt that the
General Manager had insufficiently justified his recommended
merit increases.
B. Ado tion of Action Plan for Implementation of the Basic
Policy for the 1978-1979 Fiscal Year
H. Grench introduced his report (R-78-30) dated August 28 ,
1978 recommending the adoption of the proposed Action Plan
for the 1978-1979 Fiscal Year as it is related to the budget.
He said that the Board approved a tentative Action Plan on
March 22, 1978; however, some changes had been made which
represent shifts in priorities and emphasis wJAthin programs,
intended to maintain a responsible level of service.
1 8
Meeting 78-19 Page seven
Motion: H. Turner moved adoption of the Action Plan for
Implementation of the Basic Policy for the 1978-1979
Fiscal Year as presented in report (R-78-30)
dated August 28, 1978 . B. Green seconded the motion.
Discusssion: K. Duffy asked where the Board adopted
guidelines for Proposition 13 fit into the Action
Plan. H. Grench responded that they are taken care
of in the budget that the Board had just adopted.
The motion passed unanimously.
C. Land and Water Conservation Fund Applications
C. Britton reported that the Town of Los Gatos voted 5-0
in favor of submitting a federal Land and Water Conserva-
tion Fund application for the approximately 300 acre
Novitiate property located near the town east of Highway 17.
He said the District' s General Manager had sent Los Gatos
a letter giving his intention to recommend that the Dis-
trict contribute $300,000 or one half of the local share,
whichever is less. The grant amount applied for was $1. 2
million, so the local share is anticipated at $600,000 ,
which the District would split with Los Gatos. The District
prepared the application.
C. Britton informed that the other Land and Water Conser-
vation Fund grant is being submitted by San Mateo County
for the State college site. The District again prepared
the application and appeared before their Board of Super-
visors. The District would split the local share, paying
approximately 25% of the cost, in line with the earlier
commitment our Board had made on financing.
INFORMATIONAL REPORTS
A. Tax Rate
J. Olson stated he felt if the opportunity to set a tax
rate comes up, the District should carefully consider the
matter. He added that he agreed everyone shares an emotional
and philosophical commitment to the District and its goals;
however, it is important to be cognizant of the taxpayers'
attitude towards taxing. He said he felt it is important
that the District listen to the mandate of Proposition 13.
H. Grench said that adoption of less than a 101� emergency
tax rate at this time could also be interpreted by District
detractors as a meaningless action.
B. PT&T Line on Picchetti Property
J. Olson reported that the phone company wants to install
some underground line on the Picchetti property, and in
the process a trail can be created. He said there would
be an exchange of easement rights which would require
Board action.
Meeting 78-19 Page eight
C. Escrow Closings
C. Britton reported that escrow had closed on two properties
Long Ridge Ranch and additions to Monte Bello Open Space
Preserve. He said he had inspected the Eldridge property,
and there are no longer any occupants there.
IV. ADJOURNMENT
The meeting adjourned at 9 :45 P.M.
Jennie George
Deputy District Clerk
B. Minutes of September 6, 1978
Motion: E. Shelley moved approval of the minutes of September
6 1978 with a change on page
e si
x substituting the
word "decreasing" for "increasing" in the first amend-
ment. B. Green seconded the motion. The motion
passed unanimously.