Loading...
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.