WEBVTT 1 00:04:14.366 --> 00:04:14.912 Good morning. 2 00:04:15.185 --> 00:04:19.100 I'm going to call this meeting of the Portland City Council Committee of the Whole to order. 3 00:04:19.180 --> 00:04:23.995 It is 9:30 AM on October 15th, 2026. 4 00:04:24.252 --> 00:04:25.264 Rebecca, will you please call the roll? 5 00:04:26.002 --> 00:04:26.387 Good morning. 6 00:04:27.382 --> 00:04:27.720 Clark? 7 00:04:28.651 --> 00:04:28.826 Here. 8 00:04:29.790 --> 00:04:30.062 Green? 9 00:04:31.041 --> 00:04:31.105 Here. 10 00:04:31.956 --> 00:04:32.341 Zimmerman? 11 00:04:32.983 --> 00:04:33.081 Here. 12 00:04:33.963 --> 00:04:34.331 Avalos? 13 00:04:34.925 --> 00:04:35.007 Here. 14 00:04:35.728 --> 00:04:36.338 Smith? 15 00:04:38.608 --> 00:04:39.399 Here. 16 00:04:41.125 --> 00:04:41.464 Here. 17 00:04:41.932 --> 00:04:42.464 Here. 18 00:04:43.723 --> 00:04:44.192 Morillo? 19 00:04:44.529 --> 00:04:44.642 Here. 20 00:04:45.336 --> 00:04:45.757 Novick? 21 00:04:45.821 --> 00:04:45.934 Here. 22 00:04:46.920 --> 00:04:47.242 Dunphy? 23 00:04:47.500 --> 00:04:47.612 Here. 24 00:04:48.146 --> 00:04:48.533 Kanal? 25 00:04:48.646 --> 00:04:48.968 Here. 26 00:04:50.565 --> 00:04:52.341 Christopher, will you please read the statement of conduct? 27 00:04:53.379 --> 00:04:55.860 Welcome to the meeting of the Finance and Governance Committee of the Whole. 28 00:04:56.086 --> 00:05:00.725 To testify before this committee in person or virtually, you must sign up in advance on the committee agenda at www.portland.gov/council/agenda/committee-whole. 29 00:05:05.012 --> 00:05:05.942 Or by calling 311. 30 00:05:06.375 --> 00:05:08.699 Information on engaging with the committee can be found at this link. 31 00:05:09.163 --> 00:05:11.872 Registration for virtual testimony closes 1 hour prior to the meeting. 32 00:05:11.985 --> 00:05:14.677 In-person testifiers must sign up before the agenda item is heard. 33 00:05:15.190 --> 00:05:19.968 If public testimony will be taken on an item, individuals may testify for 3 minutes unless the Chair states otherwise. 34 00:05:20.321 --> 00:05:22.084 Your microphone will be muted when your time is over. 35 00:05:22.742 --> 00:05:23.559 The Chair preserves order. 36 00:05:23.607 --> 00:05:30.130 Disruptive conduct such as shouting, refusing to conclude your testimony when your time is up, or interrupting others' testimony or committee deliberations will not be allowed. 37 00:05:30.178 --> 00:05:31.959 If you cause a disruption, a warning will be given. 38 00:05:32.023 --> 00:05:34.139 Further disruption results in ejection from the meeting. 39 00:05:34.507 --> 00:05:37.192 Anyone who fails to leave once ejected is subject to arrest for trespass. 40 00:05:37.564 --> 00:05:40.206 Additionally, the committee may take a short recess and reconvene virtually. 41 00:05:40.629 --> 00:05:43.384 Your testimony should address the matter being considered. 42 00:05:43.839 --> 00:05:45.360 When testifying, state your name for the record. 43 00:05:45.410 --> 00:05:47.822 If you're a lobbyist, identify the organization you represent. 44 00:05:47.903 --> 00:05:50.379 Virtual testifiers should unmute themselves when the clerk calls your name. 45 00:05:50.574 --> 00:05:50.850 Thank you. 46 00:05:53.319 --> 00:05:54.862 Thank you, Christopher. 47 00:05:55.423 --> 00:05:57.850 So today we have a pretty packed agenda. 48 00:05:58.076 --> 00:06:04.028 I just wanted to start by saying, is there, you know, there's 3 items that relate to the fall technical adjustment ordinance. 49 00:06:04.668 --> 00:06:08.507 If there's no objection to it, we're gonna hear them to call them together. 50 00:06:08.990 --> 00:06:18.112 And then from there, we'll, in case there are amendments, we might need to jump back and forth, but we'll still discuss them and vote on them sequentially. 51 00:06:19.413 --> 00:06:20.827 Seeing no concern raised there. 52 00:06:22.257 --> 00:06:32.456 So the first 3 items are those 3 fall TAO items, the actual supplemental budget, the budget calendar, and then the ordinance that would create a subfund within the general reserve fund. 53 00:06:33.468 --> 00:06:39.490 After that, we'll get back into the amend business license law code item that we began last week. 54 00:06:40.293 --> 00:06:47.052 And then if time remains, which it almost certainly will not, we will have the first conversation around street renaming process discussion. 55 00:06:47.149 --> 00:06:55.579 So just flagging that for you, we may not even have enough time to finish the business license law code item, but we are trying to get through the fall TAO today. 56 00:06:58.548 --> 00:07:01.454 All right, so first thing, I guess we have to— could you please call item 1? 57 00:07:02.851 --> 00:07:04.394 Item 1, committee chair updates. 58 00:07:05.276 --> 00:07:14.252 All right, uh, so before I get into the part where I ask, uh, Chair Pirtle-Guiney to update us on the City Life Committee, um, just a couple quick updates on this. 59 00:07:14.574 --> 00:07:20.947 Um, for October 21st, we've added one more appointment back at the request of the City Attorney's Office. 60 00:07:21.012 --> 00:07:23.307 You're all going to get, um, an update on that. 61 00:07:24.670 --> 00:07:31.281 In a briefing for October 29th, there's been some— we've confirmed the citywide immigrant affairs lead for a couple weeks now. 62 00:07:33.701 --> 00:07:44.408 City administrator's not here, neither is the mayor, but basically we've been waiting since we had a presentation in August about chemical weapons usage and public health impacts of that. 63 00:07:45.004 --> 00:07:49.482 And there was a request to have the users of chemical weapons be able to present as well. 64 00:07:49.708 --> 00:07:53.209 So I've been following up with at least those that are city employees on that to try and get their presentations. 65 00:07:53.259 --> 00:07:53.509 Thank you. 66 00:07:55.721 --> 00:07:56.701 And be able to schedule it. 67 00:07:56.750 --> 00:08:00.170 We haven't gotten that information yet despite asking since August. 68 00:08:00.218 --> 00:08:03.396 So that's why there's some tentative things on October 29th. 69 00:08:04.007 --> 00:08:06.994 If that doesn't work, there's a couple other items in the backlog that we'll just clear. 70 00:08:07.988 --> 00:08:09.867 But that's why that hasn't been locked in yet. 71 00:08:09.915 --> 00:08:12.293 As you can see, other items and other days have been. 72 00:08:13.288 --> 00:08:16.644 We added a note that on November 5th, it will be a virtual meeting. 73 00:08:16.755 --> 00:08:20.819 City Hall will be closed for HVAC upgrades. 74 00:08:21.622 --> 00:08:26.514 So the entire meeting will be online on November 5th. 75 00:08:26.822 --> 00:08:31.120 And I think everything else is just a lot of things that are going from possible to tentative. 76 00:08:31.266 --> 00:08:38.610 The big reason why things are tentative and not confirmed is that they just haven't been filed yet by the administration, like those appointments on November 18th. 77 00:08:39.479 --> 00:08:41.557 So that's the run of the first page. 78 00:08:42.072 --> 00:08:47.731 Nothing new on the second page except the note that most of the things on that page are gonna be deferred to January. 79 00:08:47.846 --> 00:08:48.636 Councilor Smith. 80 00:08:50.129 --> 00:09:01.269 In the leadership requests and work groups piece, um, just wanted to ask if anyone wanted to assist on that 5th one where we're helping plan the Urban Alchemy oversight hearing planning. 81 00:09:01.365 --> 00:09:08.043 I know I've been working on it with Councilors Avalos and Green, but if anyone can follow up with me if they'd like to be a part of helping plan that. 82 00:09:08.589 --> 00:09:09.535 Um, we know it's been—. 83 00:09:09.712 --> 00:09:10.692 I would love to be a part of that. 84 00:09:11.013 --> 00:09:11.960 Great, thanks. 85 00:09:12.763 --> 00:09:18.436 Um, I'm not sure if anyone else, uh, would be interested in, in that, but follow up with me either now or later is fine. 86 00:09:20.360 --> 00:09:22.140 And that's pretty much it from my part. 87 00:09:22.272 --> 00:09:24.364 Any questions before I pass it to Councilor Pirtle-Guiney? 88 00:09:26.360 --> 00:09:28.975 All right, City Life Committee Chair Alana Pirtle-Guiney, take it away. 89 00:09:29.604 --> 00:09:30.120 Thank you, Chair. 90 00:09:30.491 --> 00:09:45.751 Colleagues, this past week we heard 2 broader presentations in the City Life Committee, both of which around topics that have received some more extensive questions from the entire council. 91 00:09:46.360 --> 00:09:52.514 We had a presentation on the current status of Advance Portland, which is the city's economic development policy. 92 00:09:53.106 --> 00:10:09.562 A number of you have asked over the course of the last year what that relationship is like between our council and Prosper Portland around economic development policy, and the former commission actually passed an economic development strategy which Prosper has been enacting. 93 00:10:09.610 --> 00:10:12.851 That happened before 11 of us were here. 94 00:10:13.140 --> 00:10:18.326 So it sometimes feels a little, a little new because of the holistic turnover that occurred. 95 00:10:19.403 --> 00:10:22.855 But there is a former commission-guided document. 96 00:10:23.400 --> 00:10:27.125 We got an update on what the final 2 years of that work will look like. 97 00:10:27.254 --> 00:10:31.412 The state of our economy has changed since that was first put together. 98 00:10:31.990 --> 00:10:48.827 And we also had the first opportunity to provide some thoughts to the Prosper director on where councilors on the City Life Committee, which oversees economic development work, think the city should be going in terms of our economic development strategy. 99 00:10:49.759 --> 00:11:01.346 There will be over the next year to year and a half a lot of conversation back and forth between Prosper and council and the mayor around the next iteration of our economic development strategy. 100 00:11:01.394 --> 00:11:03.143 So this was just Thank you. 101 00:11:04.024 --> 00:11:34.520 We also then had a conversation about our policies around when we dispose of or privatize publicly owned land and what the current practice is and whether there are places where that practice might need to shift and adjust as we start to think about our city as a single unit that works together to look at the long-term needs of our community as it relates to City-owned land and land for city resources. 102 00:11:35.741 --> 00:11:44.270 That was followed by a single item where we approved the sale of land to Habitat for Humanity for housing development. 103 00:11:44.913 --> 00:11:57.249 I will note that we heard from multiple colleagues, myself included, about an interest in having a broader citywide strategy about when and how we dispose of public land. 104 00:11:57.682 --> 00:12:13.567 That came both from a colleague who was interested in us looking at our needs more comprehensively, but not necessarily selling off land less, and came from colleagues who were interested in selling off land less often. 105 00:12:13.727 --> 00:12:20.178 So both of those positions looking at needing us to have a more comprehensive citywide approach to this. 106 00:12:21.575 --> 00:12:29.256 In the coming weeks, we are going to have a presentation about the future of the regulatory space around cable and internet in our city. 107 00:12:29.370 --> 00:12:44.552 Last year, this committee brought us a proposed— a proposal from the administration on scaling down the funds that come out of our cable regulation, and we said there would be a conversation around next steps there. 108 00:12:45.481 --> 00:12:54.828 We will have a presentation around how our cannabis taxes are used and then an ordinance from the administration asking us to update our cannabis code. 109 00:12:55.822 --> 00:13:09.650 We will look at some of the equity and workforce provisions within our PCF CIP, and we will close out the year looking at the noise code and updates that our noise officers are proposing to that code. 110 00:13:10.163 --> 00:13:17.662 We do have a few spots left on the calendar, and I know that there are a couple of you who have ordinances that may be coming to this committee. 111 00:13:18.495 --> 00:13:22.325 We've room for probably 2 or 3 things left. 112 00:13:22.404 --> 00:13:22.581 Thank you. 113 00:13:22.741 --> 00:13:23.498 Not more than that. 114 00:13:23.562 --> 00:13:28.066 So if you do have something that you are thinking of bringing to City Life, please let me know as soon as you're able. 115 00:13:28.677 --> 00:13:29.368 Thanks so much, Chair. 116 00:13:29.480 --> 00:13:30.124 That's all I've got. 117 00:13:30.828 --> 00:13:31.638 Thank you, Chair Pirtle-Guiney. 118 00:13:31.735 --> 00:13:34.148 Any questions for City Life? 119 00:13:37.043 --> 00:13:38.197 All right, thanks everybody. 120 00:13:38.263 --> 00:13:42.000 And with that, I'll ask if we can call items, uh, 2, 3, and 4 together. 121 00:13:45.668 --> 00:13:56.260 Item 2, adopt the FY 2026-27 fall supplemental budget and make other budget budget-related changes, document number 2026-366. 122 00:13:56.903 --> 00:14:03.605 Item 3, adopt the budget calendar for FY 2027-28, document number 2026-367. 123 00:14:04.423 --> 00:14:17.479 And item 4, add budget and financial procedures code to create and direct the use of a subfund within the general reserve fund specific to the city's business license tax revenue, add code chapter 5.90. 124 00:14:18.072 --> 00:14:20.238 Document number 2026-368. 125 00:14:21.682 --> 00:14:22.003 Thank you. 126 00:14:22.100 --> 00:14:26.688 So colleagues, this is— these are the 3 items for the Fall Technical Adjustment Ordinance, or TAO. 127 00:14:27.875 --> 00:14:31.678 So the Supplemental Budget Ordinance, the Budget Calendar Resolution, and the BLT Reserve Ordinance. 128 00:14:31.855 --> 00:14:35.979 All 3 of these were discussed at the work session that we had last week on October 7th. 129 00:14:36.043 --> 00:14:44.676 So CBO's plan is to do relatively short presentations as we open the items as a reminder of their purpose and the exhibits for each item that were filed. 130 00:14:45.333 --> 00:15:11.306 One note on the BLT Stabilization Reserve item, if there are any amendments to the To the TAO that would reduce the amount that is added to the BLT stabilization reserve, there would need to be a corresponding amendment to the 3rd item, the BLT stabilization reserve ordinance itself, because that ordinance sets a floor for the amount to be contributed towards the fund, which is the minimum is what's currently being put into it in the fall TAO. 131 00:15:12.173 --> 00:15:20.647 So council can go higher and put more money in than the minimum in the, in the BLT stabilization reserve ordinance and add more money through the fall TAO to the fund. 132 00:15:20.919 --> 00:15:26.322 But if we want to go less than that, we'd have to amend both, assuming that ordinance is adopted. 133 00:15:27.171 --> 00:15:31.418 And then just a heads up, there is an amendment that I'll be moving that was brought by CBO. 134 00:15:31.484 --> 00:15:36.998 It's a technical amendment to correct an error in the TAO that resulted in a negative appropriation. 135 00:15:37.173 --> 00:15:43.955 Negative appropriations are not allowed under state budget law, and CBO will be explaining that as we get to it. 136 00:15:44.948 --> 00:15:56.275 It has one of the adjustments that change contingency to reserve for future expenditures accidentally created a negative appropriation due to a conflict with another adjustment in the contingency accounts for the transportation fund. 137 00:15:56.660 --> 00:16:12.934 So there's a miscommunication that caused the error, and so they're going to, um, give us more information on that, um, and it's going to undo the change of $25 million from contingency to the reserve, uh, reserve for future expenditures in the transportation fund, and therefore rebalance the fund's contingency. 138 00:16:13.754 --> 00:16:24.317 Um, so we're going to have Jeremy Patton, uh, from PBOT Finance able to answer questions on that piece, but our presentation is from our City Budget Director Ruth Levine and our Chief Financial Officer Jonas Beery. 139 00:16:30.139 --> 00:16:32.857 Great, thank you so much for being here, Chair. 140 00:16:33.311 --> 00:16:36.256 Um, yeah, Ruth Levine, City Budget Director. 141 00:16:36.385 --> 00:16:38.279 Thanks, uh, for having me. 142 00:16:38.408 --> 00:16:40.957 I'm, um, really doing a very short presentation. 143 00:16:41.089 --> 00:16:46.711 I have slides available for questions that are the same slides as last week. 144 00:16:46.809 --> 00:16:52.754 So what I'm going to do first is just run through the exhibits from the ordinance really quickly. 145 00:16:53.855 --> 00:17:03.475 So it's all exactly what's posted already, if I can get it up. 146 00:17:03.620 --> 00:17:11.220 And then I will also speak to the technical amendment that, that Chair Knall just talked about a little bit. 147 00:17:12.135 --> 00:17:19.704 So just want to walk through the exhibits because I acknowledge they're probably not as user-friendly as they could be. 148 00:17:19.785 --> 00:17:22.741 So putting that on my list for future improvements. 149 00:17:22.823 --> 00:17:30.132 But I just wanted to kind of explain what's going on and why they are here the way they are. 150 00:17:30.260 --> 00:17:41.990 So Exhibit 1 is the actual change to the appropriations So that is the important— that is essentially like the legal document that underlines the entire budget. 151 00:17:42.055 --> 00:17:51.509 And so these show all of the changes from what is currently in the budget through this ordinance, through the fall TAO. 152 00:17:52.364 --> 00:17:55.583 And so this goes by bureau and then fund. 153 00:17:57.898 --> 00:18:03.000 And these categories are the categories established under state budget law. 154 00:18:03.079 --> 00:18:08.836 So the bureau program expenses rolls up all of the different personnel, EMS, IMS, those things. 155 00:18:09.238 --> 00:18:11.337 And then the contingency is there. 156 00:18:11.546 --> 00:18:17.942 Interfund cash transfers are separate, debt service, and then the total appropriation change is in the column on the right. 157 00:18:18.536 --> 00:18:23.874 So that is an important exhibit because it is what actually changes the appropriation schedule. 158 00:18:24.692 --> 00:18:31.648 Exhibit 2 is intended to be able to kind of explain a little bit about all of those changes. 159 00:18:31.696 --> 00:18:31.744 Okay. 160 00:18:33.211 --> 00:18:40.938 I know the text is quite dense, literally and figuratively, on the right there. 161 00:18:44.265 --> 00:18:55.294 So, but so the slides that I presented last week are really the key to being able to unpack that, but it is all there in writing and happy to answer additional questions on any of that. 162 00:18:55.424 --> 00:18:57.676 But I really highlighted all the Thank you. 163 00:18:57.726 --> 00:18:59.327 So I spoke to the key changes last week. 164 00:18:59.424 --> 00:19:01.076 That's included in the text there. 165 00:19:04.450 --> 00:19:08.623 Exhibit 3 then goes one level deeper, which is all of the major objects. 166 00:19:08.751 --> 00:19:17.780 Those are the things that roll up into things like bureau program expenses, but there's also contingency broken out here and fund balance. 167 00:19:18.137 --> 00:19:22.747 And again, I spoke last week to all the changes in fund balance and why those were happening. 168 00:19:23.541 --> 00:19:35.240 So this just has all of the numbers and it walks you from the adopted budget to the fall, to what the appropriation is if the ordinance is adopted. 169 00:19:36.076 --> 00:19:38.614 Before you go on, Mr. Ryan had a question. 170 00:19:38.742 --> 00:19:39.016 Sure. 171 00:19:39.288 --> 00:19:45.700 Ruth, I think it'd be great if we go back to the first page of Exhibit 1 and we see the large numbers in contingency. 172 00:19:46.375 --> 00:19:51.704 And we all know contingencies are future events, circumstances that possibly will happen. 173 00:19:52.939 --> 00:19:55.646 It seems like there's a lot more than I'm used to seeing. 174 00:19:55.983 --> 00:20:01.335 Maybe they've always been this big, but they're larger than some of the actual expenses. 175 00:20:01.432 --> 00:20:03.210 Could you explain that to the public? 176 00:20:03.451 --> 00:20:03.835 Sure. 177 00:20:03.994 --> 00:20:12.903 And you'll recall from last week, I talked a lot about this change from contingency to reserve for future expenditure. 178 00:20:14.201 --> 00:20:33.387 So like in the example that's on the slide here, There's $154 million in the sewer system rate stabilization fund, which is its own fund that moves out of contingency and into reserve for future expenditure because that is what that fund is for, right? 179 00:20:33.435 --> 00:20:34.910 It's a rate stabilization fund. 180 00:20:34.959 --> 00:20:38.628 It's intended to ensure that rates don't increase too quickly in any given year. 181 00:20:38.692 --> 00:20:42.619 And so they can draw it down in order to smooth that curve. 182 00:20:42.797 --> 00:20:44.287 And so that's why—. 183 00:20:44.303 --> 00:20:45.169 I'm sorry. 184 00:20:45.934 --> 00:20:48.374 That's why there's that really big number there. 185 00:20:48.939 --> 00:20:51.925 So the practice is to put these into reserves going forward? 186 00:20:52.377 --> 00:20:53.557 That is, yes. 187 00:20:54.009 --> 00:20:55.284 And that's the conversation. 188 00:20:56.826 --> 00:21:25.852 For folks who didn't watch the work session, we had the executive director of the Tax Supervising Conservation Commission come and explain the sort of updated interpretation of state budget law that says that we really should be distinguishing between these 2 things, the contingency that is in our current year's budget in case We need it for some reason, something happens and we need to access it versus the things that we have a plan for and that plan is out in year 2 to whenever in the future. 189 00:21:26.463 --> 00:21:35.651 And so that is the distinction that state budget law intends and that we are making changes to follow. 190 00:21:36.055 --> 00:21:38.058 Short-term with quick adaptability. 191 00:21:38.334 --> 00:21:42.626 And then the other one is a little bit more clarity on a long-term Exactly. 192 00:21:42.965 --> 00:21:47.115 I just— repetition is the key to learning, and I think seeing it so clearly today is helpful. 193 00:21:47.342 --> 00:21:47.955 Yeah, yeah. 194 00:21:48.053 --> 00:21:58.665 I mean, the easy example, right, is you have a pot of money for if your car breaks down this year, and then you have another pot of money that you're saving for for when you need to replace your car in the future. 195 00:21:59.134 --> 00:22:00.251 And those are 2 different things. 196 00:22:00.511 --> 00:22:00.656 Thanks. 197 00:22:01.078 --> 00:22:01.240 Yeah. 198 00:22:03.994 --> 00:22:07.267 Okay, just— I'm going to keep going through the exhibits. 199 00:22:07.332 --> 00:22:08.980 So I went through 1 to 3. 200 00:22:09.441 --> 00:22:19.961 Exhibit 4 focuses just on the general fund, and it highlights highlights specific decision packages and bureaus by the type of change that is occurring. 201 00:22:21.259 --> 00:22:26.211 And then Exhibit 5 contains all of the detail on all of the decision packages. 202 00:22:26.307 --> 00:22:28.934 So if you scroll down, it's 300 pages. 203 00:22:29.223 --> 00:22:29.881 It's great reading. 204 00:22:31.194 --> 00:22:39.432 The decision package description is included for each of the changes that's included here. 205 00:22:39.559 --> 00:22:49.837 So there is a way to walk from the big numbers you see down to the, The minute, I will acknowledge that it probably needs to be a little improved for clarity and use. 206 00:22:51.170 --> 00:23:01.564 But that is the intention from exhibits 1 to 5 is that you can walk all the way from the appropriation change down to the description of what's changing. 207 00:23:02.878 --> 00:23:07.659 And then exhibit 6 is specific to FTE changes. 208 00:23:08.011 --> 00:23:11.636 We added in a column here for what happened in the July supplemental. 209 00:23:12.755 --> 00:23:13.486 Thank you. 210 00:23:14.701 --> 00:23:26.568 And then Exhibit 7, whoops, sorry, is specific to providing direction for '27-'28 budget development. 211 00:23:26.617 --> 00:23:33.163 So as a reminder, supplemental budget only changes appropriation for the fiscal year that we are in. 212 00:23:33.436 --> 00:23:36.404 So it only changes appropriation for fiscal year '26-'27. 213 00:23:37.541 --> 00:23:44.099 The way that the fall ties to next budget development is through this exhibit. 214 00:23:44.180 --> 00:23:53.865 Essentially, it's telling the City Budget Office to assume these changes in ongoing expenditures in the base budget for these bureaus. 215 00:23:54.618 --> 00:24:04.192 And in this case, the majority of these are related to the core services realignment implementation packages that are included in the fall TAO. 216 00:24:05.107 --> 00:24:16.192 Where we're sort of implementing the intention of what was adopted in '26-'27, but there was some additional changes that needed to be made to fully implement that. 217 00:24:16.932 --> 00:24:23.086 This moves the funding from those different bureaus. 218 00:24:23.840 --> 00:24:31.199 We move funding between bureaus in the fall TAO itself, and then this exhibit says also assume that in the base budgets as you're developing them. 219 00:24:31.715 --> 00:24:35.483 It really just is a, for like efficiency. 220 00:24:35.662 --> 00:24:50.928 It could be done a different way in the budget development, but this just starts from, if council approves it in the fall TAO, it allows us to start with that assumption moving into the budget so that we don't have to manually kind of enter them, is really all it does. 221 00:24:53.039 --> 00:24:55.844 So that is, those are all the exhibits for the fall TAO. 222 00:24:56.333 --> 00:25:01.954 I want to talk quickly, if it's okay, About the technical amendment. 223 00:25:02.872 --> 00:25:04.142 Is that— is this an okay time? 224 00:25:04.335 --> 00:25:04.432 Okay. 225 00:25:04.801 --> 00:25:05.042 Thank you. 226 00:25:05.396 --> 00:25:05.574 Thanks. 227 00:25:06.909 --> 00:25:15.780 So as Chair Kanal mentioned, this was an error that we discovered this week, unfortunately, as we were reviewing again through the exhibits. 228 00:25:18.355 --> 00:25:22.529 We noticed the negative appropriation in the transportation fund. 229 00:25:23.776 --> 00:25:35.384 We should have noticed it before we filed, but we were We were running short on time and so we, but we, and legally we cannot have a negative appropriation. 230 00:25:35.450 --> 00:25:41.700 So council can't adopt the supplemental budget without making this amendment. 231 00:25:41.779 --> 00:25:44.448 Essentially it would be, we would run afoul of state budget law. 232 00:25:45.540 --> 00:25:55.260 And so this corrects that by moving about $25 million sort of, it was moved out of contingency into reserve for future expenditure. 233 00:25:55.308 --> 00:26:00.740 $93 million was moved out of contingency into reserve for future expenditure in the transportation fund. 234 00:26:01.334 --> 00:26:08.564 This essentially undoes a portion of that and says put it back into contingency in the amount of $25 million. 235 00:26:09.657 --> 00:26:11.502 So that's what this table down here shows you. 236 00:26:15.496 --> 00:26:15.641 The—. 237 00:26:15.753 --> 00:26:28.250 Again, the reason for it was sort of a miscommunication, and there were sort of not conflicting packages, but 2 moves that when you added them together caused the negative number. 238 00:26:28.347 --> 00:26:30.516 And so we have to undo that negative number. 239 00:26:30.660 --> 00:26:33.502 Sort of an honest mistake. 240 00:26:33.550 --> 00:26:37.775 Somebody was out and we didn't catch it in time. 241 00:26:37.839 --> 00:26:39.141 So we're catching it now. 242 00:26:40.458 --> 00:26:43.877 And yeah, happy to answer questions on that. 243 00:26:44.874 --> 00:26:52.952 All right, so what we're going to do is do technical questions on this one, then go into the next 2 pieces sequentially and do technical questions on each. 244 00:26:57.576 --> 00:27:03.141 Thank you, Director Levine. 245 00:27:03.253 --> 00:27:07.296 Could you tell me what the $25 million is for in contingency? 246 00:27:08.007 --> 00:27:10.865 Um, yeah, Jeremy, do you want to come up and answer that? 247 00:27:16.269 --> 00:27:16.494 Good morning. 248 00:27:16.542 --> 00:27:17.670 Jeremy Patton with Public Works. 249 00:27:17.815 --> 00:27:20.791 I can give you a detail of all the contingency accounts in there. 250 00:27:20.872 --> 00:27:28.477 The $25 million is basically just enough money, I think, to move from the reserve back to contingency, so it nets out at more than zero in contingency. 251 00:27:28.540 --> 00:27:32.355 So it's, um, there's a number of accounts that total the total contingency. 252 00:27:32.403 --> 00:27:35.722 It's probably easiest if I just provide you that breakout of all the contingency accounts. 253 00:27:35.851 --> 00:27:37.967 I'm not sure I understand what you're saying. 254 00:27:38.785 --> 00:27:45.422 There was, um, too much was moved out of contingency into reserve for future expenditures, which made contingency go negative. 255 00:27:46.015 --> 00:27:51.170 This action is just moving that back into contingency, so it's There's nothing specific in that $25 million. 256 00:27:51.170 --> 00:27:52.930 It is a number of things that total the—. 257 00:27:52.930 --> 00:27:54.089 That could flow. 258 00:27:54.130 --> 00:27:54.490 Yeah. 259 00:27:54.490 --> 00:27:56.730 But not for sure. 260 00:27:56.730 --> 00:27:57.529 We don't have specific—. 261 00:27:57.529 --> 00:27:57.990 There are for sure things. 262 00:27:57.990 --> 00:27:59.950 They're just not identified as specific pieces. 263 00:27:59.950 --> 00:28:06.410 So there's $80 million in contingency or so, and it's just we're not specifying which of that $25 million was moving. 264 00:28:06.410 --> 00:28:08.210 But I can give you the details of what it is. 265 00:28:08.210 --> 00:28:09.980 So we have $80 million. 266 00:28:10.069 --> 00:28:15.210 Contingency is supposed to be used within the fiscal year that it is stated for. 267 00:28:15.210 --> 00:28:21.545 From a technical standpoint, you have money in contingency that's been there longer than the fiscal year? 268 00:28:23.713 --> 00:28:23.971 Correct. 269 00:28:24.342 --> 00:28:26.338 So that is out of order, correct? 270 00:28:26.838 --> 00:28:30.493 It should be in some sort of fund in reserve. 271 00:28:30.847 --> 00:28:32.715 It shouldn't be in contingency, correct? 272 00:28:33.390 --> 00:28:36.458 That's what this action was doing, was moving those contingency funds to reserves. 273 00:28:36.749 --> 00:28:38.734 It just— too much was moved at that point. 274 00:28:39.138 --> 00:28:44.263 But what I'm trying to understand is, what does that $25 million make up for? 275 00:28:44.717 --> 00:28:45.348 What is it? 276 00:28:46.438 --> 00:28:48.758 And what is it going to be used for in this fiscal year? 277 00:28:50.723 --> 00:28:51.997 That's the technical piece. 278 00:28:52.111 --> 00:28:53.465 That's— that is the piece. 279 00:28:54.826 --> 00:28:56.095 It's a number of pieces. 280 00:28:56.207 --> 00:28:59.999 It's a lot of capital project contingencies that are in there. 281 00:29:00.047 --> 00:29:01.926 I have the entire list I can share with you. 282 00:29:02.457 --> 00:29:05.885 So this— here's my concern, and I've already addressed this with CA Lee. 283 00:29:06.321 --> 00:29:13.817 I need to understand the hundreds of millions of dollars that are in PBOT's Uh, reserve funds and contingency funds. 284 00:29:13.961 --> 00:29:14.717 What are they for? 285 00:29:14.845 --> 00:29:15.759 Who put them in there? 286 00:29:15.888 --> 00:29:17.108 What year they put them in there? 287 00:29:17.173 --> 00:29:27.144 And I would like to request a report given back to this committee that will tell us that, because I'm not going to wait for an audit, because this has been going on for years and years and years. 288 00:29:27.210 --> 00:29:38.755 Because there's money in that reserve account that was put there from prior councils that we don't even know about, and there should be an active list, a running list of what is that money used for. 289 00:29:40.055 --> 00:29:55.978 One thing, and I think, you know, this may not get to all of the depth of your question, but we did provide earlier this week, we sent council additional spreadsheets that have a lot more detail on the things in the TAO. 290 00:29:56.252 --> 00:30:07.538 One of them is a list of citywide all reserves and contingency accounts down to every kind of fund, like sub-fund level, all the detailed pieces that Jeremy mentioned. 291 00:30:07.833 --> 00:30:16.227 And so it does have that for people In that spreadsheet, and I'm happy to work with you and your team on kind of going through that. 292 00:30:16.355 --> 00:30:27.369 But that was— that list is intended to do that, and we're planning to publish those in budget books moving forward so that it is publicly available and people can see what they're all for. 293 00:30:27.450 --> 00:30:36.136 But from a technical standpoint, you can put $100 million in something and say, oh, we're going to use this for streets, but you have no intention on using it for streets. 294 00:30:36.442 --> 00:30:39.777 It's been sitting there for 5, 10, 15 years. 295 00:30:40.674 --> 00:30:48.051 And so to just tell me that you're going to subset it from a technical standpoint, it doesn't do a lot for me. 296 00:30:48.147 --> 00:30:49.446 I need to know every penny. 297 00:30:49.575 --> 00:30:51.692 When is it expected to be used? 298 00:30:51.756 --> 00:30:53.007 And that's what we're not getting. 299 00:30:53.519 --> 00:31:02.788 You're telling us that from a technical standpoint that we're supposed to have money in reserves, but we should have a date in which they're supposed to be used by. 300 00:31:03.061 --> 00:31:04.996 And when we're expected to be used by. 301 00:31:05.238 --> 00:31:08.332 I don't want you to just give me a pot of money and say, oh, this is what this is for. 302 00:31:08.622 --> 00:31:09.846 Well, when is it supposed to be used? 303 00:31:10.569 --> 00:31:14.186 So thank you very much. 304 00:31:14.641 --> 00:31:19.940 Can I— I think, um, just out of curiosity, you could have written this in, in sort of 2 ways, right? 305 00:31:20.005 --> 00:31:35.232 Like, the, the way this is written right now is $93 million is moving from contingency to reserve in the main document, and then the amendment adds $25 million going back the other But you could have probably written that as an amendment to make it $68 million going only, right? 306 00:31:35.361 --> 00:31:38.039 Because there, there is no real $25 million coming back. 307 00:31:38.104 --> 00:31:43.815 The, the budget or the, um, amount that lives in the contingency after this is going to be near zero, right? 308 00:31:44.345 --> 00:31:46.012 This is just truing it up to be correct. 309 00:31:46.430 --> 00:31:46.654 Yes. 310 00:31:47.071 --> 00:31:52.622 So after this amendment passes, contingency will probably have like a dollar in it, somewhere in that ballpark? 311 00:31:53.103 --> 00:31:53.953 A million dollars. 312 00:31:54.307 --> 00:31:54.482 Yeah. 313 00:31:54.611 --> 00:32:01.980 Okay, so, um, That, that's just, I think, helpful context because that paragraph up above talks about 93 going one way and 25 going—. 314 00:32:02.094 --> 00:32:02.414 Right. 315 00:32:02.576 --> 00:32:02.785 Yes. 316 00:32:03.057 --> 00:32:04.150 Yeah, sorry. 317 00:32:04.406 --> 00:32:04.519 Yes. 318 00:32:04.663 --> 00:32:06.382 You know, yeah, and either way is fine. 319 00:32:06.575 --> 00:32:15.134 Um, and, you know, I, I appreciate that, um, that the CBO always finds the, the problem and comes to us with the solution as well. 320 00:32:15.248 --> 00:32:16.194 I appreciate that a lot. 321 00:32:16.933 --> 00:32:17.560 Uh, Councilor Ryan. 322 00:32:18.234 --> 00:32:20.724 Yeah, thank you, Councilor Kanal, Chair Kanal. 323 00:32:21.366 --> 00:32:27.047 Just to follow up, I think what What we're getting at, though, is we want to see the transparency of what that list would be. 324 00:32:27.865 --> 00:32:37.601 So when we're told, and I believe you, that there's a reserve list for specific projects and capital needs, this council just wants to see what those are. 325 00:32:38.451 --> 00:32:43.103 And especially when a councilor has been fighting really hard for infrastructure out in District 1 for sidewalks. 326 00:32:43.744 --> 00:32:50.257 I didn't mean to assume what, what some of the questioning was leading towards, but that's the kind of transparency that we deserve. 327 00:32:50.305 --> 00:32:50.416 Thank you. 328 00:32:50.883 --> 00:32:52.538 When those decisions are made. 329 00:32:53.453 --> 00:32:59.558 And it— and when we don't know, when we hear answers that are ambiguous at times, it just makes us doubt. 330 00:33:00.121 --> 00:33:00.923 So that's all. 331 00:33:01.164 --> 00:33:04.218 And I know you're working hard, and I know you have that list, and it's not on your fingertips. 332 00:33:04.314 --> 00:33:07.592 So yeah, no, I, I, um, thank you for that. 333 00:33:07.993 --> 00:33:10.564 Yeah, I just want to be clear, we did share it, so it is there. 334 00:33:10.644 --> 00:33:12.539 It is available to all of the councilors. 335 00:33:13.199 --> 00:33:20.566 Um, it is not in this document because it's too large and we can't attach Excel files as exhibits. 336 00:33:20.917 --> 00:33:23.932 So we sent it as a supplemental document to councilors. 337 00:33:24.990 --> 00:33:29.301 But it is in your inboxes and I'm happy to help and walk through it with folks. 338 00:33:30.760 --> 00:33:30.873 Yeah. 339 00:33:31.258 --> 00:33:31.611 That's fair. 340 00:33:31.803 --> 00:33:32.347 Thank you so much. 341 00:33:32.604 --> 00:33:32.941 Sure. 342 00:33:33.422 --> 00:33:38.920 And just to clarify, that's the email we got yesterday morning at 10:09, roughly, from you? 343 00:33:39.096 --> 00:33:44.626 In that email, if you scroll down, there's a link to a folder because they're too large to send by email. 344 00:33:45.028 --> 00:33:49.615 And in there, there's the— that email details all of the additional follow-up. 345 00:33:49.679 --> 00:33:53.494 There are multiple spreadsheets that provide additional information. 346 00:33:53.704 --> 00:33:54.138 Yeah. 347 00:33:56.603 --> 00:33:57.520 All right. 348 00:33:57.648 --> 00:33:58.663 Councilor Smith, are you back in the queue? 349 00:33:58.711 --> 00:33:58.873 Okay. 350 00:33:59.660 --> 00:34:03.339 Then let's move on and talk about the next 2 items, please. 351 00:34:03.613 --> 00:34:03.902 Great. 352 00:34:05.959 --> 00:34:12.699 So I believe the next one in line is the budget calendar resolution. 353 00:34:13.608 --> 00:34:15.617 So I will just pull up that exhibit. 354 00:34:17.474 --> 00:34:24.599 And this has not changed since the conversation we had last week. 355 00:34:27.947 --> 00:34:38.362 And I don't know, Councilor Dunphy's the co-sponsor on this, so feel free to jump in if you have anything to add here. 356 00:34:38.637 --> 00:34:41.686 But this is laid out again. 357 00:34:41.864 --> 00:34:54.849 I think the kind of preamble here is It's the best practice to set the budget calendar sort of in the fall going into the budget process for the subsequent fiscal year. 358 00:34:55.860 --> 00:34:57.751 But it is not sort of binding. 359 00:34:57.862 --> 00:34:58.632 It's a resolution. 360 00:34:58.744 --> 00:34:59.594 It can change. 361 00:35:00.891 --> 00:35:13.228 And we will continue to work with Council President and the Committee of the Whole on And any changes that are needed as we go through this. 362 00:35:16.668 --> 00:35:20.806 Kind of a few things to highlight as reminders that I talked about last week. 363 00:35:21.177 --> 00:35:27.324 The first line is earlier work sessions starting at the end of January. 364 00:35:27.389 --> 00:35:33.510 Those would be the sort of what I call the base budget information, kind of what if nothing changed? 365 00:35:33.576 --> 00:35:34.572 What does this bureau do? 366 00:35:34.701 --> 00:35:36.202 How is that paid for? 367 00:35:37.365 --> 00:35:38.460 That kind of information. 368 00:35:39.940 --> 00:35:55.057 It has a CA budget report in February, and it has earlier budget priorities transmitted to the mayor as a work session in early March. 369 00:35:55.961 --> 00:36:00.771 And then the spring TAO is at the same time as last year. 370 00:36:02.132 --> 00:36:10.893 And then the mayor's proposed— it has the mayor's proposed coming out on Tuesday, April 20th, followed by the committee hearing on April 22nd. 371 00:36:11.005 --> 00:36:14.775 I recognize there was some conversation about that April 22nd date last week. 372 00:36:15.742 --> 00:36:18.398 This was filed 10 days ago. 373 00:36:19.847 --> 00:36:28.244 And then it goes into budget committee work sessions after the proposed is released, followed by—. 374 00:36:28.244 --> 00:36:28.630 April 23rd. 375 00:36:30.039 --> 00:36:37.186 The approved hearing, which would take place on similar dates as last year, May 17th through 19th. 376 00:36:38.733 --> 00:36:40.177 And whoops, sorry. 377 00:36:40.356 --> 00:36:43.875 And the adopted likewise at similar dates, on similar dates as last year. 378 00:36:47.204 --> 00:36:49.713 That's really all this resolution does. 379 00:36:52.650 --> 00:36:53.498 Council President Dunphy. 380 00:36:53.710 --> 00:36:54.068 Yeah, thank you. 381 00:36:54.117 --> 00:37:09.219 I just wanted to jump in and just reiterate that this is 90% of the budget calendar is based off of what we've already done the last 2 years and the direct feedback that I've heard from y'all about either this didn't work for us or we, you know, we need more time on these things. 382 00:37:09.652 --> 00:37:12.264 Additionally, this is not a document that I personally created. 383 00:37:12.311 --> 00:37:16.159 This is something that my team worked with the budget office and the administration to create. 384 00:37:16.704 --> 00:37:33.675 And the last thing I will say is that this is intended very explicitly to be an iterative, changeable document, but we wanted to give some basic assurance of timeliness of what comes next to the administration and to all the staff at the budget office and to set the public's expectations of roughly what can happen. 385 00:37:33.724 --> 00:37:45.597 Now, if some of these things change around a little bit, if the mayor's proposed decides to come out early, if it whatever, if the next council president decides that actually the mayor needs a couple of extra days, that is not up. 386 00:37:46.481 --> 00:37:57.367 This is not set in stone, but I definitely wanted to give some basic assurance to our staff as they are starting to do the hard work Now for us to be ready to do our hard work, it's starting in January. 387 00:37:57.708 --> 00:37:58.646 So thank you. 388 00:37:59.958 --> 00:38:01.496 Thank you. 389 00:38:01.739 --> 00:38:02.809 I guess we'll just go to the queue. 390 00:38:02.889 --> 00:38:04.148 So Councilor Green followed by Pirtle-Guiney. 391 00:38:04.744 --> 00:38:05.454 Thank you, Chair Kanal. 392 00:38:05.614 --> 00:38:08.387 Uh, thanks again for putting this together. 393 00:38:08.677 --> 00:38:16.079 Um, I just want to note again that I think, I think there's some holidays for some folks that would impact this. 394 00:38:16.159 --> 00:38:21.121 I think April 22nd is probably a problem, so if we can We can shift that. 395 00:38:21.543 --> 00:38:25.344 There are a couple of things that we've specifically looked at, and that is one in particular. 396 00:38:26.317 --> 00:38:36.954 Um, I'm probably at this point going to leave that up to the next council president to figure out because I don't truly understand the nuance of a lot of those holidays, and we've got a rough outline at this point. 397 00:38:37.972 --> 00:38:40.635 But yeah, thanks. 398 00:38:41.360 --> 00:38:42.523 Thanks, Councilor Green. 399 00:38:42.572 --> 00:38:43.782 Councilor Pirtle-Guiney, then myself. 400 00:38:44.670 --> 00:38:45.268 Thank you, Chair. 401 00:38:45.494 --> 00:38:48.088