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HomeMy WebLinkAbout2018/02/13 Item 4CITY Of CHULA VISTA File#: 18-0009, Item#: 4. City of Chula Vista Staff Report A. ORDINANCE OF THE CITY OF CHULA VISTA ADDING CHAPTER 3.34 TO TITLE 3 OF THE CHULA VISTA MUNICIPAL CODE TO ESTABLISH A ONE-HALF CENT GENERAL TRANSACTIONS AND USE TAX TO BE ADMINISTERED BY THE STATE BOARD OF EQUALIZATION INCLUDING PROVISIONS FOR CITIZENS' OVERSIGHT AND ACCOUNTABILITY (FIRST READING) (4/5 VOTE REQUIRED) B. 1. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA: (A) AMENDING RESOLUTION NO.2018-004 CALLING A GENERAL MUNICIPAL ELECTION TO BE HELD ON JUNE 5, 2018; (B) ORDERING SUBMISSION TO THE QUALIFIED ELECTORS OF THE CITY A MEASURE RELATING TO THE ESTABLISHMENT OF A ONE-HALF CENT GENERAL TRANSACTIONS AND USE TAX; (C) AUTHORIZING THE MAYOR TO SUBMIT BALLOT ARGUMENTS IN FAVOR OF THE MEASURE; AND (D) DIRECTING THE CITY ATTORNEY TO PREPARE AN IMPARTIAL ANALYSIS OF THE MEASURE (4/5 VOTE REQUIRED) •m 2. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA (A) CALLING A SPECIAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 6, 2018 FOR THE PURPOSE OF SUBMITTING TO THE QUALIFIED ELECTORS OF THE CITY A MEASURE RELATING TO THE ESTABLISHMENT OF A ONE-HALF CENT TRANSACTIONS AND USE TAX; (B) CONSOLIDATING THE ELECTION WITH THE STATEWIDE GENERAL ELECTION; (C) REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO TO PERMIT THE REGISTRAR OF VOTERS TO CONDUCT SUCH ELECTION; (D) AUTHORIZING THE CITY CLERK TO CARRY OUT THE NECESSARY PROCEDURES OF SUCH ELECTION; (E) AUTHORIZING THE MAYOR TO SUBMIT BALLOT ARGUMENTS IN FAVOR OF THE MEASURE; AND (F) DIRECTING THE CITY ATTORNEY TO PREPARE AN IMPARTIAL ANALYSIS OF THE MEASURE (4/5 VOTE REQUIRED) C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING ITS INTENDED PUBLIC SAFETY EXPENDITURE PLAN RECOMMENDED ACTION Council place the ordinance on first reading, adopt either resolution 131 or B2, and adopt resolution C. SUMMARY Following direction at the December 19, 2017 Council meeting, staff has prepared a ballot measure for City Council consideration for placement on the ballot in 2018 to address public safety staffing. The measure is for a one-half cent transactions and use tax measure (the "Measure"). Although the City's most pressing need is public safety staffing, the tax is a general tax which can be spent for any City of Chula Vista Page 1 of 4 Printed on 2/9/2018 powered by LegistarT" File#: 18-0009, Item#: 4. lawful purpose of the City. This item also presents the Intended Public Safety Expenditure Plan that identifies two phases to address the critical needs in public safety. In order to move forward with the implementation of the Intended Public Safety Expenditure Plan, staff is recommending that the City Council adopt the Intended Public Safety Expenditure Plan and place the sales tax measure on the ballot in 2018. ENVIRONMENTAL REVIEW Environmental Notice The activity is not a "Project' as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required. Environmental Determination The Director of Development Services has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project' as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is required. BOARD/COMMISSION RECOMMENDATION Not Applicable DISCUSSION Staff has presented three reports and other information to the City Council in response to their request at the June 6, 2017 Council Meeting for the City Manager to "report back to the City Council within 120 days with a plan to address the chronic understaffing of the Police and Fire Departments, with such plan considering all options, including: (i) alternative service models that may improve effectiveness and reduce costs; and (ii) potential funding sources." In order to provide the opportunity for community input, the City Manager formed the Public Safety Advisory Committee (PSAC). The committee includes Chula Vista residents, business owners, community leaders and others. The committee worked with staff liaisons from Fire, Police, Administration and Finance Departments to secure public input that would assist in creating the following reports. At the September 26, 2017 meeting, staff presented the Public Safety Staffing Report which assessed factors affecting public safety, including: • Community and stakeholder feedback/input on priorities for delivery of public safety services • Short and long-term staffing level standards for CVPD and CVFD • Response times for Priority 1 and Priority 2 emergency calls for CVPD • Response times with properly equipped and staffed fire and medical units for CVFD • -Consideration of alternate public safety service delivery models • Accounting for growth - 5 -year, 10 -year and build -out projection models City of Chula Vista Page 2 of 4 Printed on 2/9/2018 powered by LegistarT'' File#: 18-0009, Item#: 4. Fiscal forecasts and impacts Council directed the City Manager to conduct a public opinion survey, inform the community about public safety staffing issues presented, and return to Council with options to address staffing issues, including funding options. At the December 19 meeting, staff presented the Public Safety Staffing Strategies report which included: • Staffing allocations for CVPD and CVFD to provide critical services • Estimated costs for phasing of staffing • Assessment of potential funding sources • Overview of results of a public opinion survey The City Manager was directed by the City Council to return with a proposal for Council consideration to place a half cent sales tax measure before the voters to fund public safety critical needs. On January 16, 2018 Council approved conducting an additional survey to identify the best timing for a ballot measure in 2018. Results of the survey will be presented at the February 13 Council Meeting. Staff is requesting direction on the ballot measure and Intended Public Safety Expenditure Plan (Plan). The Plan identifies two phases to address the staffing shortage in public safety. Phase I outlines the most critical needs identified by the Police and Fire Departments for the next 10 years. Although addressing these needs does not address the staffing crisis entirely, it does allow the departments to significantly improve the service level provided to residents and businesses throughout the City. Phase I public safety critical needs could be funded by a half -cent sales tax measure which would generate approximately $17 million per year. Phase II public safety critical needs could move forward as the City's economic base improves and major transformational projects begin moving forward such as the Bayfront and University development projects. Other funding options may also be considered in the future as part of the annual budget process. Public Safety Advisory Committee Input To support this effort and to provide the opportunity for community input, the City Manager formed the Public Safety Advisory Committee (PSAC). The committee includes Chula Vista residents, business owners, and community leaders. The committee has met four times to provide input as the Public Safety Staffing Report and Public Safety Staffing Strategies documents were developed. In addition, committee members have participated in "ride alongs" with police and fire department personnel. The PSAC members have provided input at meetings and in writing since the first meeting on August 10, 2017. This input and feedback has been considered as part of the development of each of the staffing documents and the proposed Intended Public Safety Expenditure Plan. PSAC meetings have been held on: August 10, 2017; August 31, 2017; November 9, 2017; November 30, 2017; and December 7, 2017. Public Opinion Surveys In October 2017, the City engaged TrueNorth Research to conduct a public opinion survey to identify City of Chula Vista Page 3 of 4 Printed on 2/9/2018 powered by LegistarTM File#: 18-0009, Item#: 4.. resident priorities regarding public safety and public services and to secure input on a potential sales tax to fund critical city services to address public safety staffing, 9-1-1 emergency response, homeless outreach, and other public services. At the December 19 meeting, Dr. Tim McClarney from TrueNorth Research presented the survey results which showed 62 percent of voters support a half - cent sales tax to support these services. In January 2018, the City engaged TrueNorth Research to conduct a public opinion survey to identify how voter support is affected by a potential ballot measure to tax cannabis businesses in Chula Vista. Survey results and findings will be presented at the City Council meeting by the TrueNorth Research team. DECISION -MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site- specific and consequently, the 500 -foot rule found in California Code of Regulations Title 2, section, 18702.2(x)(11), is not applicable to this decision for purposes of determining a disqualifying real property -related financial conflict of interest under the Political Reform Act (Cal. Gov't -Code § 87100, et seq.). Staff is not independently aware, and has not been informed by any City Councilmember member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. Securing funding for public safety and public services supports all goals. CURRENT YEAR FISCAL IMPACT The estimated cost of placing the sales tax measure on the June 5, 2018 ballot is approximately $100,000. The cost will vary depending on the number of items on the ballot. Staff will provide updated cost estimates as part of the quarterly fiscal report. ONGOING FISCAL IMPACT If the ballot measure is approved by the voters, it would generate an estimated $17 million annually. If the measure is approved by the voters, any proposed expenditures will be presented as part of the annual budget process for City Council consideration. ATTACHMENTS 1. Intended Public Safety Expenditure Plan Staff Contact: Assistant City Manager, 'Maria Kachadoorian City of Chula Vista Page 4 of 4 Printed on 2/9/2018 powered by Legistarl" ORDINANCE NO. ORDINANCE OF THE CITY OF CHULA VISTA ADDING CHAPTER 3.34 TO TITLE 3 OF THE CHULA VISTA MUNICIPAL CODE TO ESTABLISH A ONE- HALF CENT GENERAL TRANSACTIONS AND USE TAX TO BE ADMINISTERED BY THE STATE BOARD OF EQUALIZATION INCLUDING PROVISIONS FOR CITIZENS' OVERSIGHT AND ACCOUNTABILITY WHEREAS, at the June 6, 2017 Chula Vista City Council meeting, the City Manager was directed to report back to the Chula Vista City Council within 120 days with a plan to address the perceived chronic understaffing of the Police and Fire Departments, with such plan considering all options, including: i) alternative service models that may improve effectiveness and reduce costs; and ii) potential funding sources; and WHEREAS, staff reported back to the City Council on September 26, 2017, with a Public Safety Staffing Report assessing the following factors: • Community and stakeholder feedback/input on priorities for delivery of public safety services • Short and long-term staffing level standards for Chula Vista Police Department (CVPD) and Chula Vista Fire Department (CVFD) • Response times for Priority 1 and Priority 2 emergency calls for CVPD • Consideration of alternate public safety service delivery models • Accounting for growth: 5 -year, 10 -year, and build -but projection models • Fiscal forecasts and impacts; and WHEREAS, at the September 26, 2017 Chula Vista City Council meeting, the City Council directed the City Manager to come back to the Council with options to address staffing issues and include revenue options; and WHEREAS, at the December 19, 2017 Chula Vista City Council meeting, after considering City staff's presentation of the public safety staffing strategies report which identified public safety critical needs as well as funding options, the City Council directed the City Manager to return with an item, for Council consideration, to place a '/2 cent sales tax on the ballot in 2018; and WHEREAS, due to the reductions taken in the Police Department during the Great Recession, staffing levels have fallen to below pre -recession levels while the City has grown by approximately 10%; and WHEREAS, the City's Police Department is staffed at a per capita ratio of 0.86 per 1,000 residents, which is below optimal staffing levels; and 165794.1 Ordinance No. Page 2 WHEREAS, the Fire Department will need to add staff to accommodate growth and is currently planning for the opening of several new fire stations, adding fire squads in the eastern area of the City and continuing the transition to a 4/0 staffing model; and WHEREAS, the City has conducted public outreach to identify the most critical needs and priorities with respect to addressing the City's public safety staffing needs , including forming a Public Safety Advisory Committee (PSAC) composed of City residents, business owners, and other stakeholders; and WHEREAS, Public Safety is a top priority of the City, with 67% of discretionary revenues allocated to Police and Fire services; and WHEREAS, although the City's finances have improved since the recent recession, the City is still experiencing financial challenges and, as reflected in the long term financial plan, will be unable to address the public safety critical staffing needs over the next 10 years; and WHEREAS, the City has determined that the enactment of a general local transactions and use tax (commonly known as a "sales tax") would allow the City to significantly address the critical public safety staffing needs as presented in the Intended Public Safety Expenditure Plan without compromising existing City services; and WHEREAS, pursuant to Article XIII C of the California Constitution, and California Revenue and Taxation Code Section 7285.9, the City has the authority to enact a local sales tax for general purposes with the approval of the majority of voters in the City voting in an election on the issue; and WHEREAS, the City Council directed staff to prepare for submittal to the voters an ordinance enacting a one-half cent sales tax consistent with all applicable general purpose tax laws, including measures providing for citizens' oversight, separate accounting and independent audits; and WHEREAS, proposed Chapter 3.34 of the Chula Vista Municipal Code, set forth below, establishes a transactions and use tax to be administered by the State Board of Equalization consistent with City Council direction; and WHEREAS, concurrently herewith the City Council is adopting the Intended Public Safety Spending Plan expressing its intention to expend new sales tax revenues on Public Safety critical needs, as more ,particularly described therein (the "City Council Intended Public Safety Expenditure Plan "). NOW, THEREFORE, subject to approval by an affirmative, simple majority vote of the people as required by law, the People of the City of Chula Vista do ordain as follows: SECTION 1: 165794.1 Ordinance No. Page 3 The Chula Vista Municipal Code is hereby revised to add Chapter 3.34 as set forth below, thereby enacting a local transactions and use tax within the City of Chula Vista, to be administered by the California Department of Tax and Fee Administration: CHAPTER 3.34 CHULA VISTA ONE -HALF CENT TRANSACTIONS AND USE TAX Sections: 3.34.010 Title. 3.34.020 Operative date. 3.34.030 Purpose. 3.34.040 Contract with state. 3.34.050 Transactions tax rate. 3.34.060 Place of sale. 3.34.070 Use tax rate. 3.34.080 Adoption of provisions of state law. 3.34.090 Limitations on adoption of state law and collection of use taxes. 3.34.100 Permit not required. 3.34.110 Exemptions and Exclusions. ' 3.34.120 Amendments of Revenue and Taxation Code. 3.34.130 Enjoining collection forbidden. 3.34.140 Amendments by City Council. 3.34.150 Use of proceeds. 3.34.160 Citizens' oversight and accountability. 3.34.170 Severability. 3.33.010 TITLE. This ordinance shall be known as the Chula Vista One -Half Cent Transaction and Use Tax Ordinance. The City of Chula Vista hereinafter shall be called "City." This Ordinance shall be applicable in the incorporated territory of the City. 3.33.020 OPERATIVE DATE. "Operative Date" means the first day of the first calendar quarter commencing more than 110 days after the adoption of this ordinance, the date of such adoption being as set forth below. 3.33.030. PURPOSE. This Ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes: A. To impose a retail transactions and use tax, in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority vote of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose. 165794.1 Ordinance No. Page 4 B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code. C. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefore that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes. D. To adopt a retail transactions and use tax ordinance that can be administered, in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this Ordinance. 3.33.040 CONTRACT WITH STATE. Prior to the Operative Date, City shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax Ordinance; provided, that if the City shall not have contracted with the California Department of Tax and Fee Administration prior to the Operative Date, it shall nevertheless so contract, and in such a case the Operative Date shall be the first day of the first calendar quarter following the effective date of such a contract. 3.33.050 TRANSACTIONS TAX RATE. For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of one-half of one percent (0.5%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the Operative Date of this Ordinance. 3.33.060 PLACE OF SALE. For the purposes of this Ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the State sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration. 165794.1 Ordinance No. Page 5 3.33.070 USE TAX RATE. An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the Operative Date of this Ordinance for storage, use or other consumption in said territory at the rate of one-half of one percent (0.5%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made. 3.33.080 ADOPTION OF PROVISIONS OF STATE LAW. Except as otherwise provided in this Ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this Ordinance as though fully set forth herein. 3.33.090 LIMITATIONS ON ADOPTION OF STATE LAW AND COLLECTION OF USE TAXES. In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code: A. Wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefor. However, the substitution shall not be made when: 1. The word "State" is used as part of the title of the State Controller, State Treasurer, Victim Compensation and Government Claims Board, State Board of Equalization, State Treasury, or the Constitution of the State of California; 2. The result of that substitution would require action be taken by or against this City or any agency, officer, or employee thereof, rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance. 3. In those sections, including but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to: a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code; or b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the State under the said provision of that code. 165794.1 Ordinance No. Page 6 4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code. B. The word "City" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203. 3.33.100 PERMIT NOT REQUIRED. If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this Ordinance. 3.33.110 EXEMPTIONS AND EXCLUSIONS. A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley -Burns Uniform Local Sales and Use Tax Law or the amount of any state -administered transactions or use tax. ' B. There are exempted from the computation of the amount of transactions tax the gross receipts from: 1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government. 2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied: a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Chapter 2 of Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out -of -City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and b. With respect to commercial vehicles, by registration to a place of business out -of -City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address. 165794.1 Ordinance No. Page 7 3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this Ordinance. 4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this Ordinance. 5. For the purposes of subsections (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised. ' C. There are exempted from the use tax imposed by this Ordinance, the storage, use or other consumption in this City of tangible personal property; 1. The gross receipts from the sale of which have been subject to a transactions tax under any State -administered transactions and use tax ordinance. 2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California. - 3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this Ordinance. 4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the Operative Date of this Ordinance. 5. For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised. 6. Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any 165794.1 Ordinance No. Page 8 representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer. 7. "A retailer engaged in business in the City" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code.. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City. D. Any person subject to use tax under this Ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumptions of which is subject to the use tax. 3.33.120 AMENDMENTS OF REVENUE AND TAXATION CODE All amendments subsequent to the effective date of this Ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this Ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this Ordinance. 3.33.130 ENJOINING COLLECTION FORBIDDEN. No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this Ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected. 3.33.140 AMENDMENTS BY CITY COUNCIL. The following amendments to this Ordinance must be approved by the voters of the City: increasing the tax rate; revising the methodology for calculating the tax, such that a tax increase would result; imposing the tax on transactions and uses not previously subject to the tax (unless such amendment occurs automatically by operation of law); or terminating the tax. The City Council may otherwise amend this Ordinance without submitting the amendment to the voters for approval. 3.33.150 USE OF PROCEEDS. The proceeds from the. tax imposed by this Ordinance shall be for general governmental. purposes of the City and shall be received into the general fund of the City. Nothing in this Ordinance 165794.1 Ordinance No. Page 9 shall constitute the tax imposed under this Ordinance as a special tax, or bind the City to use the proceeds for any specific purpose or function; the City Council shall retain discretion to expend the proceeds of the tax for any lawful purpose of the City. 3.33.160 CITIZENS' OVERSIGHT AND ACCOUNTABILITY. In order to provide for citizens' oversight, transparency and accountability in connection with expenditures of tax revenues generated under the terms of this Ordinance, the City shall do the following: A. Line Item Accounting. All revenue generated by the tax ("Measure Y Revenues") shall be accounted in the General Fund as a separate line item entitled "Local Transactions and Use Tax — Measure `Y' Revenues." Measure Y Revenues and expenditures will be tracked and accounted for by City Finance Department staff in accordance with Generally Accepted Accounting Principles (GAAP), and presented annually in a report (the "Finance Department Report") to the Citizens'Oversight Committee ("COC") created pursuant to subdivision D., below B. Annual Submittal of Measure Y Public Safety Expenditure Plan. If Measure `Y' is approved by the voters, beginning in Fiscal Year 2018-19, and for each subsequent year, prior to City Council consideration of the City's annual budget, City staff will prepare and present to the COC for its review a spending plan for the Measure `Y' Revenues. Such plan (the "Measure `Y' Spending Plan") shall be (1) consistent with the City Council Intended Public Safety Expenditure Plan approved concurrently with this Ordinance; (2) include specific proposals for near term expenditures; and (3) a plan for expenditures for the next ten -years to address the "Phase I" Critical Needs described therein. After review by the COC, the Measure `Y' Spending Plan for the upcoming Fiscal Year shall be incorporated into the City Manager's proposed budget, and then presented to the City Council for its consideration and action, in its discretion, as part of the City's annual budget process. The City Council must consider for approval the expenditure of projected Measure `Y' Revenues as a separate line item category in each year's budget. The COC's duties under this section shall continue until and unless the City Council appoints another commission, committee, or group to be responsible for reporting to the City Council, pursuant to section D., below. C. Annual, Independent Audit. Beginning with the fiscal year 2018-2019, the City's independent auditors shall, as part of their annual audit of the City's financial statements, review the collection and expenditure of Measure `Y' Revenues. D. Measure Y Oversight Committee. Prior to the Operative Date, the City shall create and convene a Citizens' Oversight Committee ("COC"). The function of the COC shall be to review and report on City compliance with the terms of this Ordinance and the spending guidelines contained in the City Council Intended Public Safety Expenditure Plan and each Measure Y Spending Plan presented to and approved by the City Council thereafter. The COC shall operate in accordance with the Ralph M. Brown Act, which includes requirements that meetings be noticed in advance and held in public. The COC shall be created by City Council ordinance consistent with the terms of this Section adopted no later than 150 days following the 165794.1 Ordinance No. Page 10 date of the election at which Measure Y is approved by the voters. The COC may be disbanded following the implementation of "Phase I" Critical Needs, as reported in the Intended Public Safery Expenditure Plan. If the City Council elects to disband the COC, the City's Growth Management Oversight Commission, or an appropriate alternative citizens' group or committee designated by the City Council, shall be responsible for reporting to the City Council, in a manner to be determined by the City Council, regarding the collection and expenditure of Measure Y Revenues and the resulting impacts on public safety. 3.33.170 SEVERABILITY. If any provision of this Ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby. Such invalidity shall not affect other provisions or applications of the Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are severable. This City Council hereby declares that it would have adopted this Ordinance irrespective of the invalidity of any particular portion thereof and intends that the invalid portions should be severed and the balance of the Ordinance be enforced. SECTION 2: The City Clerk shall be authorized to replace the terms "Measure Y"" wherever they appear in this Ordinance with the respective ballot designations determined by the County Registrar before this Ordinance is codified. SECTION 3: This Ordinance relates to the levying and collecting of the City transactions and use taxes and shall take effect immediately _upon approval by a simple majority of the voters voting on the question at the [INSERT DATE] election. Presented by: Approved as to form by: Gary Halbert Glen R. Googins City Manager City Attorney 165794.1 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA: (A) AMENDING RESOLUTION NO.2018-004 CALLING A GENERAL MUNICIPAL ELECTION TO BE HELD ON JUNE 5,2018; (B) ORDERING SUBMISSION TO THE QUALIFIED ELECTORS OF THE CITY, A MEASURE RELATING TO THE ESTABLISHMENT OF A ONE-HALF CENT GENERAL TRANSACTIONS AND USE TAX; (C) AUTHORIZING THE MAYOR TO SUBMIT BALLOT ARGUMENTS IN FAVOR OF THE MEASURE; AND (D) DIRECTING THE CITY ATTORNEY TO PREPARE AN IMPARTIAL ANALYSIS OF THE MEASURE WHEREAS, the City of Chula Vista ("City") may impose a local transactions and use tax increase for general purposes with the approval of the majority of voters in the City; and WHEREAS, the City has adopted an ordinance adding Chapter 3.34 to the Chula Vista Municipal Code, entitled "Chula Vista One -Half Cent Transactions and Use Tax" (the "Ordinance') and WHEREAS, Chapter 3.34 of the Chula Vista Municipal Code establishes a general one-half cent transactions and use tax to be administered by the California Department of Tax and Fee Administration (the "Sales Tax"); and WHEREAS, the Ordinance, attached hereto and incorporated herein as Exhibit A, would implement the Sales Tax which, if approved by voters, would take effect no earlier than October 1, 2018; and WHEREAS, in accordance with the provisions of the Chula Vista Charter and State law, a General Municipal Election was called by the City Council pursuant to Resolution No. 2018- 004, to be held on Tuesday, June 5, 2018; and WHEREAS, the City Council desires to amend that Resolution in order to add the Sales Tax Measure to the June 5, 2018 ballot; and WHEREAS, the Environmental Review Coordinator has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that this activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it is a financing decision without commitment to a specific project which may result in a potentially significant physical impact on the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the actions proposed are not subject to CEQA; WHEREAS, pursuant to Revenue and Taxation Code Section 7285.9 and California Elections Code Section 9222, the City Council desires to submit the Ordinance to the electorate at the General Municipal Election to be held on Tuesday, June 5, 2018; and 165792.1 WHEREAS, the City Council desire to authorize the City Clerk to carry -out all actions necessary to WHEREAS, the City Council also desires.to authorize -the Mayor to submit ballot arguments in favor of the measure. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista as follows: SECTION 1. All of the foregoing recitals are true and correct. SECTION 2. That the City Council pursuant to its right and authority, does hereby order submitted to the voters at the General Municipal Election on June 5, 2018, the following question: o provide: faster responses to 9-1-1 emergency calls, increase lighborhood police patrols, reduce gang and drug-related crimes, YES idress homelessness, improve firefighter, paramedic an nergency medical response, and general city services, shall a rdinance enacting a 1/2 cent sales tax, until the voters decide generating an estimated $17 million annually for Cit with all funds staying in Chula Vista, with citizen NO and independent audits, be adopted by the City of Chula ista? SECTION 4. That the proposed Ordinance to be submitted to the voters is attached as Exhibit "A" and incorporated into this resolution by this reference. . SECTION 5. That Resolution No. 2018-004 is hereby amended accordingly and the City Clerk is authorized, instructed, and directed to take all actions necessary to add the Sales Tax measure to the June 5, 2018 ballot. SECTION 6. Pursuant to California Elections Code Section 9282, the City Council hereby acknowledges its authority, and the authority of any individual voter who is eligible to vote on the measure, or bona fide association of citizens, or any combination of voters and associations, to submit a written argument, not to exceed 300 words, for or against the measure, and authorizes the Mayor to submit arguments in favor of the measures, on behalf of the City Council. Arguments must be submitted to the City Clerk, and may be changed until and including the date fixed by the City Clerk, after which no arguments for or against the measure may be submitted, withdrawn or changed. SECTION 7. Pursuant Elections Code section 9285, rebuttal arguments will be allowed. The rebuttal arguments may not exceed 250 words. Rebuttal arguments must be 165792.1 submitted to the City Clerk, and may be changed until and including the date fixed by the City Clerk, after which no rebuttal arguments for or against the proposed measure may be submitted to the City Clerk. This Section 7 is applicable only to the June 5, 2018 general election called by this resolution and, after that election, shall expire. SECTION 8. Pursuant to California Elections Code Section 9280, the City Clerk is directed to transmit a copy of the measure to the City Attorney. The City Attorney is directed to prepare an impartial analysis of the measure, not to exceed 500 words in length, showing the effect of the measure on the existing law and the operation of the measure, and transmit such impartial analyses to the City Clerk by the date fixed by the City Clerk. SECTION 9. The City Clerk is hereby directed to forthwith file a certified copy of this resolution with the Board of Supervisors and the Registrar of Voters of the County of San Diego and to issue instructions to the Registrar of Voters to take any and all steps necessary for the holding of the election. SECTION 10. The City Clerk shall certify to the passage and adoption of this resolution and file it with the City's original resolutions. Presented by Approved as to form by Gary Halbert City Manager 165792.1 Glen R. Googins City Attorney RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA (A) CALLING A SPECIAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 6, 2018 FOR THE PURPOSE OF SUBMITTING TO THE QUALIFIED ELECTORS OF THE CITY A MEASURE RELATING TO THE ESTABLISHMENT OF A ONE-HALF CENT TRANSACTIONS AND USE TAX; (B) CONSOLIDATING THE ELECTION WITH THE STATEWIDE GENERAL ELECTIONS (C) REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO TO PERMIT THE REGISTRAR OF VOTERS TO CONDUCT SUCH ELECTION; (D) AUTHORIZING 'THE CITY CLERK TO CARRY OUT THE NECESSARY PROCEDURES OF SUCH ELECTION; (E) AUTHORIZING THE MAYOR TO SUBMIT BALLOT ARGUMENTS IN FAVOR OF THE MEASURE; AND (F) DIRECTING THE CITY ATTORNEY TO PREPARE AN IMPARTIAL ANALYSIS OF THE MEASURE WHEREAS, the City of Chula Vista ("City") may impose a local transactions and use tax increase for general purposes with the approval of the majority of voters in the City; and WHEREAS, the City has adopted an ordinance adding Chapter 3.34 to the Chula Vista Municipal Code, entitled "Chula Vista One -Half Cent Transactions and Use Tax" (the "Ordinance') and WHEREAS, Chapter 3.34 of the Chula Vista Municipal Code establishes a general one-half cent transactions and use tax to be administered by the California Department of Tax and Fee Administration (the "Sales Tax"); and WHEREAS, the Ordinance, attached hereto and incorporated herein as Exhibit "A," would implement the Sales Tax which, if approved by voters, would take effect no earlier than April 1, 2019; and WHEREAS, in accordance with the provisions of the Chula Vista Charter and State law, a Special Municipal Election shall be held on Tuesday, November 6, 2018; and WHEREAS, Section 439.1 of the Administrative Code of the County of San Diego authorizes the Registrar of Voters of the County of San Diego to render specified services relating to the conduct of an election to any city or district that has, by resolution, requested the Board of Supervisors to permit the Registrar to render the services, subject to requirements set forth in that section; and WHEREAS, Elections Code Section 10403 requires the City Council to adopt a resolution requesting the Board of Supervisors to consolidate Chula Vista's election with the statewide primary election and to permit the Registrar of Voters to perform certain services in conjunction with the City's election; and WHEREAS, the Environmental Review Coordinator has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that 165792.1 this activity is not a "Project' as defined under Section 15378 of the State CEQA Guidelines because it is a financing decision without commitment to a specific project which may result in a potentially significant physical impact on the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the actions proposed are not subject to CEQA. WHEREAS, pursuant to Revenue and Taxation Code Section 7285.9, and California Elections Code Section 9222, the City Council desires to submit the Ordinance to the electorate at the Special Municipal Election to be held on Tuesday, November 6, 2018; and WHEREAS, it is desirable that the County of San Diego Registrar of Voters conduct the election and canvass the returns of said S p e c i a 1 Municipal Election, and that the City Clerk be authorized to carry out all other necessary procedures for such election; and WHEREAS, the City Council also desires to authorize the Mayor to submit ballot arguments in favor of the measure. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista as follows: SECTION 1. All of the foregoing recitals are true and correct. SECTION 2. Pursuant to the requirements of the Chula Vista Charter and the laws of the State of California, there shall be and there is hereby called and ordered held in the City of Chula Vista, California, on Tuesday, November 6, 2018, a Special Municipal Election for the purpose of submitting to the qualified electors of the City a measure imposing a general transactions and use (sales) tax. SECTION 3. That the City Council, pursuant to its right and authority, does order submitted to the voters at the_Special Municipal Election on November 6, 2018, the following question: 165792.1 D provide: faster responses to 9-1-1 emergency calls, increase ;ighborhood police patrols, reduce gang and drug-related crimes, YES ldress homelessness, improve firefighter, paramedic an nergency medical response, and general city services, shall a •dinance enacting a '/2 cent sales tax, until the voters decide herwise, generating an estimated $17 million annually for Cit ;rvices, with all funds staying in Chula Vista, with citizen NO iersight and independent audits, be adopted by the City of Chul ista? SECTION 4. That the proposed Ordinance to be submitted to the voters is attached as Exhibit "A" and incorporated into this resolution by this reference. SECTION 5. Pursuant to California Elections Code Section 9282, the City Council hereby acknowledges its authority, and the authority of any individual voter who is eligible to vote on the measure, or bona fide association of citizens, or any combination of voters and associations, to submit a written argument, not to exceed 300 words, for or against the measure, and authorizes the Mayor to submit arguments in favor of the measures, on behalf of the City Council. Arguments must be submitted to the City Clerk, and may be changed until and including the date fixed by the City Clerk, after which no arguments for or against the measure may be submitted, withdrawn or changed. SECTION 6. Pursuant Elections Code section 9285, rebuttal arguments will be allowed. The rebuttal arguments may not exceed 250 words. Rebuttal arguments must be submitted to the City Clerk, and may be changed until and including the date fixed by the City Clerk, after which no rebuttal arguments for or against the proposed measure may be submitted to the City Clerk. This Section 7 is applicable only to the November 6, 2018 special election called by this resolution and, after that election, shall expire. SECTION 7. Pursuant to California Elections Code Section 9280, the City Clerk is directed to transmit a copy of the measure to the City Attorney. The City Attorney is directed to prepare an impartial analysis of the measure, not to exceed 500 words in length, showing the effect of the measure on the existing law and the operation of the measure, and transmit such impartial analyses to the City Clerk by the date fixed by the City Clerk. SECTION 8. Pursuant to Elections Code section 10403, the Board of Supervisors of the County of San Diego is hereby requested to permit the Registrar of Voters to perform and render all services and proceedings, and to procure and furnish any and all official ballots, notices, printed matter and all supplies and equipment and paraphernalia incidental to and connected with the conduct of the subject election of the City of Chula Vista, with the cooperation and assistance of the City Clerk of Chula Vista, in order to properly and lawfully conduct such election. 165792.1 SECTION 9. The Board of Supervisors of the County of San Diego is hereby requested to consolidate this election with the statewide election to be held on the same day, in the same territory. Pursuant to Section 10411 and Section 10418 of the Elections Code: (a) the election shall be held in all respects as if there were only one election; (b) only one form of ballot shall be used; and (c) the Registrar of Voters of the County of San Diego shall canvass the returns of the subject election as part of the canvass of the returns of the election consolidated hereby. SECTION 10. Pursuant to Section 10410 and Section 10418 of the Elections Code within the territories affected by this consolidation, the election precincts, polling places, voting booths and polling hours shall, in every case, be the same, and there shall be only one set of election officers in each of the precincts. SECTION 11. The County of San Diego shall be reimbursed in full for the services performed by the Registrar of Voters for the City of Chula Vista upon presentation of a bill therefor, and this City agrees to indemnify and save free and harmless the County, its officers, agents and employees from expense or liability, including reasonable attorneys' fees, as a result of an election contest arising from this special election. SECTION 12. The City Clerk is hereby directed to forthwith file a certified copy of this resolution with the Board of Supervisors and the Registrar of Voters of the County of San Diego and to issue instructions to the Registrar of Voters to take any and all steps necessary for the holding of the election. SECTION 13. The polls of said election shall be open at seven o'clock a.m. of the day of said election and shall remain open continuously from that time until eight o'clock p.m. of the same day when said polls shall be closed, except as provided in Section 14401 of the Elections Code of the State of California. SECTION 14. The ballots to be used at said election shall be, both as to form and matter contained therein, such as may be required by law to be used thereat. SECTION 15. In all particulars not recited in this resolution, said election shall be held and conducted as provided by law for holding municipal elections in this City. SECTION 16. Notice of the time and place of holding this election is hereby given and the City Clerk is hereby authorized, instructed and directed to give such further or additional notice of said election in time, form and manner as required by law. SECTION 17. The City Clerk shall certify to the passage and adoption of this resolution and file it with the City's original resolutions. Presented by 165792.1 Approved as to form by Gary Halbert City Manager 165792.1 Glen R. Googins City Attorney RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING ITS INTENDED PUBLIC SAFETY EXPENDITURE PLAN WHEREAS, at the December 19, 2017 Chula Vista City Council meeting, City staff presented the public safety staffing strategies report which identified public safety critical needs as well as funding options, after which, the City Council directed the City Manager to return with an item, for Council consideration, to place a '/i cent sales tax on the ballot in 2018; and WHEREAS, the City does not currently have, and does not anticipate having in the near future, sufficient revenues to implement the Public Safety Expenditure Plan; and WHEREAS, in order to fund the critical needs of the Police and Fire Departments, as identified in the Public Safety Expenditure Plan, City staff is proposing placing on the June 2018 ballot a local one-half cent general transactions and use tax measure ("Funding Measure") which is estimated to generate approximately $17 million per year in tax revenues ("Tax Revenues"); and WHEREAS, as a formal expression of how the City intends to expend the Tax Revenues, City staff has prepared an Intended Public Safety Expenditure Plan; and WHEREAS, the Intended Public Safety Expenditure Plan is being presented to the City Council for its consideration concurrent with City Council consideration of the Funding Measure for presentation to the voters in 2018, as an expression of current City Council intent and to guide City staff budget proposals for Sales Tax Funding to this City Council, and future City Councils, in their discretion. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it does hereby approve the Intended Public Safety Expenditure Plan in the form presented, with such minor modifications as may be required or approved by the City Attorney, a copy of which shall be kept in the office of the City Clerk. Presented by Approved as to form by Gary Halbert City Manager Glen R. Googins City Attorney February 2018 F�r�&r fl intenaea Public Sa Exnendit OUR ID Intended Public Safety Expenditure Plan 12018 Introduction The City of Chula Vista is located at the center of one of the richest cultural, economic and environmentally diverse zones in the United States. It is the second-largest city in San Diego County with a population of 270,000. Residents enjoy a multitude of quality of life amenities, including award-winning public schools, established neighborhoods, parks and trails, shopping and dining opportunities, and popular attractions. Chula Vista is one of the top ten safest cities of its size in the country. Public Safety is a top priority in the City of Chula Vista with 67 percent of general fund discretionary revenues allocated to Police and Fire personnel and services (approximately $71.5 million of $109 million in revenues). In addition, staff from Administration, Finance, Human Resources, City Attorney and Public Works provide significant support to public safety. In an attempt to address public safety staffing shortages, the City added 5 new police officer positions and 12 firefighters in the current fiscal year. Unfortunately, as noted in the City's long -Term Financial Plan, which is included in the City Council adopted budget and is available on the City website at www.chulavistaca.gov/publicsafety, discretionary revenues are not keeping pace with the need for additional public safety personnel to support the City's current and future population. Process for Creation of the Plan At the June 6, 2017 Council Meeting, the City Manager was directed to "report back to the City Council within 120 days with a plan to address the chronic understaffing of the Police and Fire Departments, with such plan considering all options, including: (i) alternative service models that may improve effectiveness and reduce costs; and (ii) potential funding sources." Staff reported back to Council on September 26, 2017 with a Public Safety Staffing Report which is available at www.chulavistaca.gov/publicsafety. The report assessed factors affecting public safety, including: • Community and stakeholder feedback/input on priorities for delivery of public safety services • Short and long-term staffing level standards for CVPD and CVFD • Response times for Priority 1 and Priority 2 emergency calls for CVPD • Response times with properly equipped and staffed fire and medical units for CVFD • Consideration of alternate public safety service delivery models • Accounting for growth — 5 -year, 10 -year and build -out projection models • Fiscal forecasts and impacts The Public Safety Staffing Report provided the foundation for developing the Public Safety Staffing Strategies report which is available at'www.chulavistaca.gov/publicsafety. The Public Safety Staffing Strategies includes: 1 Intended Public Safety Expenditure Plan 12018 • Recommending staffing allocations for CVPD and CVFD to provide critical public safety services • Estimated costs for staffing and a phasing schedule • Assessment of potential funding sources • Overview of results of public opinion surveys The City's Communications staff informed the Chula Vista community about public safety staffing issues in a variety of media including: the Community Connection newsletter, press releases, public and media outreach and social media. Additionally, CVFD and CVPD representatives have attended community meetings and discussed these public safety staffing issues. At the September 26, 2017 City Council meeting, Council directed the City Manager to conduct a public opinion survey, inform the community about public safety staffing issues presented, and to come back to Council with options to address staffing issues, including revenue options. At the December 19, 2017 City Council meeting staff presented the Public Safety Staffing Strategies report. This report outlined staffing proposals for the Police and Fire Department that addressed critical needs. The departments evaluated their operations and identified the gaps in not only service levels, but also in the customer service experience for residents and businesses. Public Safety Advisory Committee The City Manager established an internal working group with staff from Fire, Police, Administration and Finance Departments to conduct a comprehensive assessment of the Police and Fire Departments. To help identify the needs and priorities of our community and to evaluate the state of public safety, the City Manager formed the Public Safety Advisory Committee (PSAC) in July 2017. The committee includes Chula Vista residents, business owners and community leaders. The Committee continues to provide input into refining priorities for public safety in the City. Public Outreach and Public Opinion Surveys In November 2017, the City of Chula Vista engaged a research firm to conduct a public opinion survey to identify the services and projects that residents are most interested in funding and to obtain input on a potential half -cent general sales tax to fund the services. Intended Public Safety Expenditure Plan 12 ® 18 Public Opinion on Prioritizing Projects and Programs ■Strongly favor oSomewtlatfavor Provide quick responsesto 9-1-1 emergencies Keep public areas clean and free of graffiti Reduce gang activity and drug-related crimes Provide police services Including crime prevention and investigations Provide fire protection and paramedic services Improve response limes for g-1-1 emergencies Hire additional police officersand increase the number of neighborhood police patrols Provide fire protection and emergency medical services Hire additional firefighters and increase the number of fire emergency response units Provide servicesto seniors Provide servicesfor youth. teens to keep them off the streets. away from drugs and gangs Maintain and protect natural open space areas .Address the homeless problem Increase number of school safety officers to keep schools safe. prevent gang activity Attract new employers and good -paying jobs to the Qty Improve wildfire response and prevention Promote economic development to stimulate the local economy Prevent fires bo- inspecting old buildings 10 20 23 '0 E0 PO +0 so 90 1. %Respondents Police Department Critical Needs The Chula Vista Police Department is composed of over 300 authorized fulltime employees, including 232 sworn officers, 91 professional staff and over 80 volunteers who work tirelessly to provide public safety services to the second largest city in San Diego County. CVPD has the lowest sworn staffing to population ratio in the County and the second lowest staffing ratio in California for comparably sized cities. Furthermore, CVPD's current staffing ratio is significantly lower than a decade ago when the Department was authorized 259 sworn officers and 114 professional staff. Despite such challenges, Chula Vista is fortunate to have a relatively low crime rate and it is consistently recognized as one of the safest cities of its size in the country. Unfortunately, staffing challenges, combined with Chula Vista's growth, have strained CVPD's ability to continue to provide the high level of public safety service to which the residents of Chula Vista have become accustomed. After extensive review, CVPD staff have recommended substantial increases in sworn and civilian staff to raise CVPD's staffing to the appropriate level to meet the current and projected future service demands of Chula Vista. The Public Safety Staffing report presented to City Council on September 26, 2017, explored the history of CVPD's staffing challenges and made recommendations to restore CVPD staffing to levels more in line with those of regional law enforcement agencies. The following is a summary of the immediate staffing needs as identified by the Police Department. 3 Intended Public Safety Expenditure Plan 12018 Police Department Critical Needs (Phases I and II) Positions Phase I Phase II Total Peace Officers 16.0 11.0 27.0 Police Agents 8.0 2.0 10.0 Police Sergeants 5.0 1.0 6.0 Total Sworn 29.0 14.0 43.0 Civilian Background Investigator 2.0 - 2.0 Community Services Officer 2.0 1.0 3.0 Detention Facilities Manager 1.0 - 1.0 Police Comm Systems Manager 1.0 - 1.0 Police Dispatcher 7.0 4.0 11.0 Sr. Police Technology Specialist 1.0 - 1.0 Total Non -Sworn 14.01 5.0 19.0 Total Police FTE Positions 43.0 1 19.0 62.0 Note: In addition to the positions listed above, the intented spending plan allocates resources to support staff reimbursements, vehicles and IT equipment needs. Police Officers - 43 positions Uniformed Community Patrol Officers (24 positions) Uniformed patrol responds to calls for service, deters crime and conducts proactive policing to address traffic and quality of life issues. These are among the primary missions of any municipal police agency. It is critical to maintain adequate staffing throughout the City, 7 days a week and 365 days a year. The addition of 24 officers would provide more than a 30 percent increase in the number of officers on the street at any time, and would double the number of officers in the fast-growing/developing areas of the City. Despite personnel transfers to Community Patrol from other CVPD divisions, first-line patrol operations are falling short of historical performance standards and outcomes. As discussed in the Public Safety Staffing Report, Community Patrol is consistently unable to meet Priority 1 and 2 GMOC response times. Priority 3 and Priority 4 call response times also have increased dramatically, further increasing wait times for citizens reporting crimes or calling for police service. Additionally, other markers of Community Patrol effectiveness indicate a decline in operational capacity. Notable areas of performance concern 2008-2016 • 53% decline in officer initiated calls for service • 41% decline in felony arrests • 26% decline in misdemeanor arrests • 49% decline in traffic citations 4 Intended Public Safety Expenditure Plan 12018 • 28% increase in traffic related deaths and injuries • 10% increase in traffic collisions • 51% decline in parking citations These statistics are indicative of a reactive patrol stance rather than one which is proactive and service oriented. The primary factor for such reductions likely are officer workloads and lack of proactive time to address community problems other than priority calls. It is also worth noting that police work has changed and cases and workloads are more complex than ever. This means patrol officers must consider many more factors as they go about their work. Oftentimes this results in a substantially increased workload. For example, the District Attorney's Office has enhanced case issuance guidelines which often requires more time for initial field investigations and subsequent follow-up work by detectives. Other factors, like Body Worn Cameras have many benefits but they extend the report writing process by requiring officers to review video footage to ensure report accuracy. Also, social media use, almost non-existent a decade ago, has exploded and adds to case complexity and investigative time. To complicate matters, the public's use of smart phones and other electronic devices requires extra time, training, sophistication and expertise to thoroughly investigate cases. For example, search warrants are often required when phones are seized and cases with multiple suspects may require extensive downloads and searches of several phones and electronic devices to build a prosecutable case. Homeless Outreach Team (4 positions) CVPD is also challenged by increasing calls for service regarding homelessness which require more time and resources. Issues surrounding homelessness became so serious that in the Fiscal Year 2016-17 budget, the City Council approved funding to add two officers and a part-time coordinator position to form the Homeless Outreach Team (HOT). While the Department's HOT team has done great work, two officers cannot make a large enough impact on this difficult social and public safety challenge which requires constant monitoring and attention. Patrol officers respond to the majority of calls related to homelessness. These cases are not simple and often involve interconnected social dynamics, substance abuse and mental health problems. A humanitarian policing response is complex and time consuming. Homeless outreach involves close collaboration with social service providers to provide wraparound services and enforcement to address the chronically homeless. Again, such coordination is a lengthy process. By adding four more officers to the HOT team, the police department can better address issues that impact every neighborhood in the City. Traffic Enforcement Officers (4 positions) Traffic Enforcement Officers coordinate traffic safety campaigns, conduct specialized enforcement, follow-up on hit and run investigations, enforce DUI laws, address illegally parked cars and abandoned vehicles, and investigate serious and fatal traffic collisions. Current staffing prevents the Police Department from dedicating officers to investigate hit and run collisions, and traffic safety continues to be a growing concern in a rapidly growing city. By adding more Traffic Enforcement Officers, the Police Department can address this urgent community need. 5 Intended Public Safety Expenditure Plan 12018 School Resource Officers (4 positions) The safety of our schools is another crucial priority for our community. Since 2007, the number of School Resource Officers (SRO) has been cut in half. An increase in the number of SRO Officers is critical for the continued safety of our 65 schools and 57,000 students. The SRO Unit is part of the Criminal Investigations Division. Contracts with Chula Vista Elementary School District and Sweetwater Union High School District offset almost 50% of the cost of these services with the remainder covered by the City. Investigations/Detectives (7 positions) The Police Department's Investigation Division conducts follow-up and investigations to identify and arrest criminals, locate missing persons, monitor sex offenders, locate and return stolen property, regulate police controlled businesses such as alcohol, tobacco, and illegal marijuana, and coordinate with federal agencies in areas related to drug enforcement, child abuse,.human trafficking, auto theft, and terrorism. Since 2007, the number of detectives in many investigation units has been cut in half. Increasing the number of detectives is important to enhancing the police department's ability to investigate and prosecute criminal offenders. Support/Professional/Civilian Staffing (19 positions) 9-1-1 Operators and Dispatchers (11 positions) The Police Department's 9-1-1 Center is the first point of contact for service delivery for virtually all police and fire services. All 9-1-1 calls go first to the Communications Center before being routed as emergency calls to Chula Vista Police Dispatchers or San Diego Fire Department Dispatch (contracted Dispatch for Chula Vista Fire). CVPD currently has 21 Police Dispatchers and 5 Police Dispatch Supervisors. The Association of Public Safety Communication Officials (APCO) standards indicate that CVPD should be staffed with a minimum of 30 Police Dispatchers, not including supervisors, based upon call volumes. Increasing staffing in this crucial area helps to ensure public safety by improving answer times and by meeting minimum staffing requirements as recommended by APCO standards. Other Critical Support Staffing Needs (8 positions) Police operations require significant support from civilian and professional staff. These important members of the Police Department include customer service staff for the Department's public service counter, community service and police service officers, crime lab and evidence technicians, police report and records specialists, and technology specialists. A moderate increase in professional staff is necessary to support additional capabilities made possible through additional resources and capacity, and to meet the expectations of today's modern policing requirements. Desired Police Department Safety Outcomes CVPD staff understand the fiscal outlook and limitations of the City and acknowledge the negative consequences of not being transparent with policymakers regarding the current state of CVPD's operational capacity. But, it is imperative that the City recognizes the challenges to providing public safety services to meet Chula Vista's needs, especially with limited funding to keep pace with growth. 0 Intended Public Safety Expenditure Plan 12018 The top ten desired public safety service outcomes: 1. Improve Priority 1 and Priority 2 response times to consistently meet and surpass Growth Management Oversight Commission • Priority 1— Emergency Calls'. Properly equipped and staffed police units shall respond to at least 81% of Priority 1 calls within 7 minutes and 30 seconds and shall maintain an average response time of 6 minutes or less for all Priority 1 calls (measured annually). • Priority 2 — Urgent Calls'. Properly equipped and staffed police units shall respond to all Priority 2 calls within 12 minutes or less (measured annually). 2. Expand the Homeless Outreach Team to help address the City's most pressing social needs 3. Improve Community Patrol staffing to provide for 40% pro -active time. This will result in an organization that is pro -active vs. reactive to crime and disorder trends 4. Improve Communications Centerstaffing and operations to improve first-line contact and service processing with the public 5. Improve Investigative capacity and follow-up in all major investigative units to maximize successful case resolution and provide better customer service to victims 6. Improve the Traffic Division's operational footprint to proactively respond to traffic related problems and reduce traffic related deaths and injuries 7. Significantly expand the School Resource Officer Unit to more adequately serve the needs of growing school districts and the youth population of Chula Vista 8. Expand use of technology to streamline operations and support intelligence led policing practices 9. Expand the Department's Community Policing Unit and community outreach efforts to foster stronger community ties 10. Provide for the expansion of services to the eastern section of the City by staffing a storefront or small substation with full-time staff during regular business hours. A similar storefront would be planned for the Bayfront tourist district to support a reconstituted bike team to patrol the tourist district ' Priority 1— Emergency Calls are life-threatening calls; felony in progress; probability of injury (crime or accident); robbery or panic alarms; urgent cover calls from officers. Response: Immediate response by two officers from any source or assignment, immediate response by paramedics/fire if injuries are believed to have occurred. z Priority 2 — Urgent Calls are misdemeanor in progress; possibility of injury; serious non -routine calls (domestic violence or other disturbances with potential for violence). Response: Immediate response by one or more officers from clear units or those on interruptible activities (traffic, field interviews, etc.) 7 Intended Public Safety Expenditure Plan 12018 Fire Department Critical Needs The mission of the Chula Vista Fire Department (CVFD) is to protect life, environment and property. Carrying out that mission is very complex and becomes more complex with each passing year. The Public Safety Staffing Report, as presented to the City Council on September 26, 2017, evaluated CVFD's core capabilities and services and compared them against outcome based performance metrics that are supported by appropriate regulations, industry standards and best practices. As the City's population grows, -there will be a subsequent increase in demand for fire and emergency services (call volume). Urban planning has and continues to move toward higher housing densities and it is critical forthe Fire Department to support the additional population, as well as prepare forwildland fire events, natural disasters, and the present threat of active shooter incidents and terrorism. The variety of service demands will require a shift in how the Fire Department deploys and delivers services, with the outcome focused on protecting life and property. The following includes a summary of the staffing needs as identified by the Fire Department. A more detailed discussion is available in the Public Safety Staffing report. Current Coverage 7WRv Intended Public Safety Expenditure Plan12018 Fire Department Phase I and II - Critical Staffing Needs Positions Phase I Phase II Total Deputy Chief 1.0 1.0 2.0 Fire Captain 8.0 12.0 20.0 Fire Engineer - 12.0 12.0 Firefighter/Paramedic 8.0 12.0 20.0 Firefighter 18.0 18.0 36.0 Fire Inspector/Investigator II - 3.0 3.0 Public Education Specialist 1.0 - 1.0 Total Fire Personnel 36.0 1 58.0 94.0 Note: In addition to the positions listed above, the intented spending plan allocates resources to supportstaff reimbursements, vehicles and IT equipment needs. Fire Department emergency operations performance standards are focused on outcomes of core . functions and services provided. The Fire Department has found that by establishing the following three metrics, all other services are met when these are achieved. Meeting these metrics also provides the highest level of service to the residents of Chula Vista. Fire; First Unit On -Scene First unit on -scene within seven minutes 90% of the time, with four firefighters, is known as the Initial Attack Force. This Attack Force establishes command at the scene, initiates an attack on the fire, and performs search and rescue. The key function of this metric is to maintain distribution and reliability of resources. If a unit arrives prior to the seven -minute mark and initiates fire attack prior to flashover occurring, the survivability within the room of origin increases and fire loss is reduced. Fire; Effective Response Force 14 firefighters on -scene within ten minutes 90% of the time is known as the Effective Response Force and capable of command and control of the scene, establishing a water supply, supporting and backing up fire attack, completing search and rescue, performing ventilation of heat and smoke, providing a Rapid Intervention Crew and a Safety Officer. Fighting a fire requires the right number of personnel and resources to meet this metric. The critical tasks required by the Effective Response Force include coordinating and allocating resources, extinguishing the fire, searching for victims, and performing ventilation. By having the correct number of firefighters on -scene in a timely manner, the fire can be extinguished and firefighters can then tend to property conservation tasks. EMS; First Unit On -Scene In the case of emergency medical events, having the first unit on -scene within seven minutes 90% of the time is crucial to a positive outcome for the patient. Units must establish command, provide basic life support and initiate advanced life support patient care. Arriving prior to the seven -minute mark provides E7 Intended Public Safety Expenditure Plan 12018 basic life support patient care to stabilize the sick and injured. Once the patient is stabilized, advanced life support skills can be initiated prior to the arrival of the transporting ambulance. With the arrival of the first on -scene unit within seven minutes, survivability increases significantly. Fire Prevention/Investieation Within the Fire Prevention Division, the primary outcome metric is to identify and eliminate hazards. Therefore, it is important that the Division complete all required inspections. These metrics are used to determine if the Fire Prevention Division is accomplishing its goals. The Division's current metrics are: For Fire Code Inspection services, the following performance metrics shall be met: • Complete 100% of permitted occupancy inspections annually • Complete 100% of California State Fire Marshal regulated occupancy inspections annually • New business license inspections are completed within 30 days For Fire Safety Engineering services, the following performance metrics shall be met: • Complete 90% of plan reviews within the established time frames For Fire Investigation services, the following performance metrics shall be met: • 100% of fire origin and cause investigations performed by Fire Prevention personnel For Community Risk Reduction Education services, the following performance metrics shall be met: • Complete 200 public education/outreach sessions/classes/events annually Recommendation 1 In FY 2019, fund one additional firefighter on four of eight engine companies. This would provide four firefighters (1 Fire Captain, 1 Fire Engineer, 1 Firefighter/Paramedic, and 1 Firefighter/EMT) to engines 51, 52, 55 and 57; adding 12 full time employees to the Fire Department's authorized staffing. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: 10 Intended Public Safety Expenditure Plan' 2018 Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement *West **Central EMS; First Unit 81.1% 81.3% (+) .3% (+) .8% Fire; First Unit 44.7% 58.4% (+) 18.6% (+) 6% Fire; EFF 49.7% 54.3% (+) 1.7% (+) 15% *West represents fire stations 1 & 5 **Central represents fire stations 2, 3, 4, 9 ***East represents fire stations 6, 7, 8 Recommendation 2 In FY 2020, fund the Millenia fire station (fire station 10) engine company. This would provide four, firefighters (1 Fire Captain, 1 Fire Engineer, 1 Firefighter/Paramedic, and 1 Firefighter/EMT) daily, adding 12 full time employees to the Fire Department's authorized staffing. This recommendation is driven by development and new growth of the Millenia and University areas of the City. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement ***East F57 EMS; First Unit 81.1% 81.5% (+) 2.2% (+) 3.8% Fire; First Unit 44.7% 45.4% (+) 3.4% (+) 0% Fire; EFF 49.7% 51.7% (+) 10.2% (+) 13.2% *West represents tire stations 1 & 5 **Central represents fire stations 2, 3, 4, 9 ***East represents fire stations 6, 7, 8 Recommendation 3 In FY 2020, fund two squad response units, located at fire station 7 and 10. This would provide four firefighters (1 Fire Captain and 1 Firefighter/Paramedic on each squad) daily, adding 8 full time employees to the Fire Department's authorized staffing. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: 11 Intended Public Safety Expenditure Plan 12018 Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement ***East FS8 EMS; First Unit 81.1% 82.3% (+) 5.5% (+) 8% Fire; First Unit 44.7% 48.5% (+) 8.2% (+) 23.5% Fire; EFF 49.7% 52.4% (+) 4.3% (+) 2.9% *West represents fire stations 1 & 5 **Central represents fire stations 2, 3, 4, 9 ***East represents fire stations 6, 7, 8 Recommendation 4 In FY 2020, fund a Deputy Fire Chief responsible for Fire Administration duties including fiscal management, -human resources (staffing & professional standards), reporting, public information, statistics and data management. Recommendation 5 In FY 2020, fund a Public Education Specialist responsible for community risk reduction education including completing community risk assessments, community education program development and coordination. Recommendation 6 In FY 2021, fund two squad response units, located at fire station 6 and 8. This would provide four firefighters (1 Fire Captain and 1 Firefighter/Paramedic on each squad) daily, adding 8 full time employees to the Fire Department's authorized staffing. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: 12 Intended Public Safety Expenditure Plan12018 Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement **Central F54 EMS; First Unit 81.1% 82.2% (+) 2.8% (+) 3% Fire; First Unit 44.7% 48.2% (+) 9.6% (+) 22% Fire; EFF 49.7% 53% (+) 12.7% (+) 11.1% *West represents fire stations 1 & 5 **Central represents fire stations 2, 3, 4, 9 ***East represents fire stations 6, 7, 8 Recommendation 7 In FY 2021, fund one additional firefighter on the remaining four of eight engine companies. This would provide four firefighters (1 Fire Captain, 1 Fire Engineer, 1 Firefighter/Paramedic, and 1 Firefighter/EMT) daily to engines 53, 54, 56 and 58; adding 12 full time employees to the Fire Department's authorized staffing. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement **Central ***East EMS; First Unit 81.1% 81.1% (+) 0% (+) 0% Fire; First Unit 44.7% 54.8% (+) 24% (+) 21.7% Fire; EFF 49.7% 54% (+) 15% (+) 1.2% *West represents fire stations 1 & 5 **Central represents fire stations 2, 3, 4, 9 ***East represents fire stations 6, 7, 8 Recommendation 8 In FY 2022, fund the Bayfront fire station (fire station 11) engine company. This would provide four firefighters (1 Fire Captain, 1 Fire Engineer, 1 Firefighter/Paramedic, and 1 Firefighter/EMT) daily, adding 12 full time employees to the Fire Department's authorized staffing. This recommendation is driven by development and new growth of the Bayfront area of the City. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: 13 Intended Public Safety Expenditure Plan' 2018 Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement *West EMS; First Unit 81.1% 82.9% (+) 3.1% Fire; First Unit 44.7% 51.7% (+) 12.2% Fire; EFF 49.7% 57.3% (+) 14.3% west represents tire stations 1 & 5 **Central represents fire stations 2, 3, 4, 9 ***East represents fire stations 6, 7, 8 Recommendation 9 In FY 2023, fund the fire station 9 engine company. This would provide four firefighters (1 Fire Captain, 1 Fire Engineer, 1 Firefighter/Paramedic, and 1 Firefighter/EMT) daily, adding 12 full time employees to the Fire Department's authorized staffing. This recommendation is driven by increasing call volume in southwest Chula Vista. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement **Central FS9 EMS; First Unit 81.1% 82.4% (+) 1.2% (+) 3.6% Fire; First Unit 44.7% 52.2% (+) 11.8% (+) 38.1% Fire; EFF 49.7% 61.4% (+) 22.4% (+) 57.4% Recommendation 10 In FY 2024, fund the Bayfront fire station (fire station 11) truck company. This would provide four firefighters (1 Fire Captain, 1 Fire Engineer, 1 Firefighter/Paramedic, and 1 Firefighter/EMT) daily, adding 12 full time employees to the Fire Department's authorized staffing. This recommendation is driven by development and new growth of the Bayfront area of the city. Implementation of this recommendation is forecasted to improve service delivery performance outcomes by the following: 14 Intended Public Safety Expenditure Plan 12018 Metric Current City -Wide Performance City -Wide Performance Improvement Greatest Geographic Improvement *West FS9 EMS; First Unit 81.1% 81.3% N.3% (+) .3% Fire; First Unit 44.7% 51.2% (+) 10.3% (+) 1.9% Fire; EFF 49.7% 59.2% (+) 10.3% (+) 55.8% *West represents tire stations 1 & 5 **Central represents fire stations 2, 3, 4, 9 ***East represents fire stations 6, 7, 8 Recommendation 11 In FY 2025, fund one Deputy Fire Chief responsible for Support Services including information technology, facility management, fleet management, equipment management, supplies management and communication systems management. Recommendation 12 In FY 2025, fund three Fire Inspector/Investigators assigned to conduct life safety inspections in multi- family apartment/condominium buildings, mobile home parks and assist in completing a higher percentage of fire investigations. Coverage with Four Response Squads 15 ' ,9 � rti ` e-�w'+^y`9 �_��"T'F6f��� '"'�i�'+ ,�%�yVsy� �.Jis���•G¢Yu',�%±� �'6��n.tr' m'�i�y1Fwx�. lU , �• ti�.cw.�l/fOW AM NEW,pil dill �// ` F -i Q¢m 15 Intended Public Safety Expenditure Plan 12018 Phase I — Critical Needs Funding The City Council was provided an overview of various revenue options for consideration. In addition, the City Council heard the findings from the public opinion survey conducted in November 2017. After discussions regarding the critical needs and funding options, the City Council directed the City Manager to return with a proposal for Council consideration to place a half -cent sales tax measure before the voters to fund public safety critical needs. After reviewing the critical needs for each department, as well as the costing information to address the needs, staff has identified two phases to address the staffing shortage in public safety. Phase I outlines the most critical needs identified by the Police and Fire Departments for the next 10 years. Although addressing these needs does not fully address critical staffing needs entirely, it does allow the departments to significantly improve the service level provided to residents and businesses throughout the City. Phase I public safety critical needs could be funded by a half -cent sales tax measure which would generate approximately $17 million per year as demonstrated on page 21. Sales taxes, also referred to as transaction and use taxes, are an option for cities to consider when looking for significant additional funding. Sales taxes must be approved by registered voters to take effect. If the funds are intended to be used for a specific purpose a 2/3 voter approval is required. For general use sales taxes, a 50 percent plus one vote is required for approval. The combined local sales taxes are capped at two percent, with some exceptions allowed by state law. This means that cities are only able to add a 1 percent additional sales taxes when proposing a new measure. This is typically proposed in one-quarter cent, half -cent or one cent increments. The measure provides that any proposed expenditures of new sales tax revenues in the initial year will be presented in a form consistent with this Plan to the Citizen Oversight Committee prior to City Council consideration. For each subsequent year, the spending plan, after review by a Citizen Oversight Committee, will be included in the City Manager's proposed budget for Council consideration as part of the annual budget process. The measure requires that expenditure of new sales tax revenues be tracked in a variety of ways. First, all new revenues will be accounted for in the General Fund as a separate line item. Any and all expenditures of Measure "Y"3 will be tracked and accounted for by City Finance Department staff in accordance with Generally Accepted Accounting Principles (GAAP). Second, an independent audit of Measure "Y" will be included as part of the City's annual audit. Finally, a Citizen's Oversight Committee will be formed to review and report compliance with the sales tax ordinance and spending guidelines contained in the Intended Public Safety Expenditure Plan. Note: This Plan is intended to guide City expenditures consistent with its terms. It does not, however, constitute a binding legal commitment on the City Council to approve any of the expenditures proposed herein. Provided that all proposed expenditures continue to be for public safety critical needs including support staff and equipment needs as outlined in the spending plan, this Plan may also be updated or 3 The initiative letter will be assigned by the County Registrar of Voters. 16 Intended Public Safety Expenditure Plan 12018 amended from time to time by City staff, or by action of the City Council, in order to address changed priorities, standards and/or funding availability. There shall be no third party beneficiaries to the terms of this Plan. This Plan does not modify the terms of the sales tax measure. To the extent of any conflict between the terms of this Plan and the sales tax measure, the terms of the sales tax measure shall govern. Police Department - Summary of Phase I Critical Needs This report will focus on addressing Phase I critical needs and the anticipated fiscal impact of a half -cent sales tax measure. The following are the highest priority items for funding during Phase I: Police Department Phase I Implementation By Fiscal Year Positions FY 19 IFY 20 FY 21 FY 22 Total Peace Officers 4.0 3.0 5.0 4.0 16.0 Police Agents 1.0 2.0 3.0 2.0 8.0 Police Sergeants - 2.0 2.0 1.0 5.0 Total Sworn 5.0 7.01 10.0 7.0 29.0 Civilian Background Investigator 2.0 - - - 2.0 Community Services Officer - - 1.0 1.0 2.0 Detention Facilities Manager - - - 1.0 1.0 Police Comm Systems Manager - - - 1.0 1.0 Police Dispatcher 2.0 3.0 2.0 - 7.0 Sr. Police Technology Specialist 1.0 - - - 1.0 Total Non -Sworn 5.0 3.0 3.0 3.0 14.0 Total Police FTE Positions 10.0 10.0 13.0 10.0 43.0 Adding 43 positions (29 police officers and 14 civilian positions) These positions would result in: • Enhanced community patrols by adding 16 sworn positions • 50% increase in School Resource Officers by adding 5 sworn positions • 55% increase in Traffic Safety staffing by adding 5 sworn positions • 26% increase in Dispatch/9-1-1 staffing by adding 7 dispatchers • Increase staffing in the Professional Standards Unit to conduct background investigations as part of the hiring process • Two additional Community Service Officers will allow officers to respond to higher priority calls for service 17 Intended Public Safety Expenditure Plan 12018 Fire Department — Summary of Phase I Critical Needs Fire Department Phase I Implementation By Fiscal Year Positions FY 19 FY 20 FY 21 Total Deputy Chief - 1.0 - 1.0 Fire Captain - 4.0 4.0 8.0 Firefighter/Paramedic - 4.0 4.0 8.0 Firefighter 12.0 3.0 3.0 18.0 Public Education Specialist - 1 1.0 1 - 1.0 Total Fire Personnel 12.0 1 13.0 1 11.0 36.0 Adding 36 positions (35 uniformed personnel and 1 civilian position) These positions would result in: • Staff four Squad Units in the eastern areas of the City to improve response times where the largest performance gaps exist • Create a Public Education Specialist position to conduct community risk assessments for the development and delivery of fire safety education programs • Staffing the future Millenia & Bayfront Fire Station Engine Companies with a 4th firefighter increasing emergency scene productivity by 25%, reducing property damage and increasing safety to firefighters. • Staffing four current engine companies with a 4th firefighter increasing emergency scene productivity by 25%, reducing property damage and increasing safety to firefighters • Add one Deputy Fire Chief to support Fire Department growth with planning, directing and coordinating activities Citywide Support Staff Public Safety is a top priority in the City of Chula Vista. The City allocates approximately 67% of discretionary revenues to the Police and Fire Departments combined. This doesn't include the citywide support staff in Finance, Human Resources, Information Technology, Administration, City Attorney and Public Works that spend a significant amount of time supporting public safety services. If the sales tax measure is approved, the spending plan does take into account an annual estimated reimbursement to the support departments. Some of the services provided by the support departments to public safety include payroll processing, deferred compensation, financial analysis, procurement, budgetary support, recruitment, employee benefits, workers compensation, employee performance, labor negotiations, public safety IT systems support, legal services, contractual oversight, risk management and facilities and equipment maintenance. The annual allocations to these departments may vary based on the time spent supporting public safety. The initial years may require additional funding due to recruitment costs and other support services. 18 Intended Public Safety Expenditure Plan 12018 Temporary Multi -Purpose Storefront and Public Safety Training Center A portion of the sales tax funds could also be allocated for a temporary public safety training facility in central Chula Vista. The facility would not be a permanent structure but could provide for joint training opportunities for Police and Fire personnel. The Fire Department currently utilizes the four -acre site in Rancho Del Rey located at 850 Paseo Ranchero for training purposes. The location provides both classrooms and training props designed for hands-on training experience. The funding would add an additional facility on the property to be used on a temporary basis. The Police Department would use portions of the temporary facility to enhance training and to provide a secure area from which officers patrolling the eastern sector of the City could work. At this time, CVPD does not have the personnel to staff a storefront facility, however, an appropriately designed temporary facility could enhance police service to central and eastern Chula Vista by allowing officers a secure area to work when they are not engaged in patrol activities. Depending on the design, there could also be public access to meet officers for reports or hold community meetings. It would also provide a training venue within the City limits for police officers. Many training venues are outside of the City limits, thus requiring additional travel time. Having a facility near the center of the City will reduce travel time, allow more time for training related activities and get officers back in service faster to serve the operational needs of the Police Department. An appropriately designed and staffed facility would also give the public an alternative to driving to the main police station for service. This would serve to support the Police Department personnel as it seeks to improve response times in the eastern area of the City. Phase II Critical Needs Funding Phase II public safety critical needs could move forward as the City's economic base improves and major transformational projects begin moving forward such as the Bayfront and University development projects. Otherfunding options may also be considered in the future as part of the annual budget process. Phase II Funding Options Local governments receive revenues from a variety of sources. The detailed listing of all the City's funding sources is included in both the Annual Adopted Budget and the Comprehensive Annual Financial Report. Following is a summary of other revenue sources which could be considered in the future to address Phase II if the City's economic base does not grow sufficiently to fund additional critical needs. Parcel Taxes — Parcel taxes are another method for cities to raise new revenues. Like sales taxes, parcel taxes require registered voter approval. The key difference is that all parcel tax measures require 2/3 voter approval to pass. There is no specific cap on the level of parcel taxes that can be proposed for voter consideration. For example, with an additional $100 parcel tax, the City would generate approximately $10 million in new revenue annually. Special District Taxes — Special Districts come in a variety of forms. Some are used to build new infrastructure, while others are maintenance related to help preserve assets that were previously built. 19 Intended Public Safety Expenditure Plan 12018 As it relates to public safety, the most common special district is a public safety community facilities district (CFD). Depending on the number of parcels and registered voters within the proposed taxing area, the approval of the tax may come from the property owner or registered voters. A 2/3 vote is typically required for approval of a new CFD. The most common application of a public safety CFD is to identify new development areas within a City and propose'a new special tax in that area to maintain or enhance service levels for -future residents. Special tax rates may vary depending on the type of residential and commercial development within the CFD boundaries. The main restriction of special district safety taxes is that the funds are earmarked and must be spent in the area in which the voters approved the measure (district boundaries). Fees — Fees are discussed in greater detail within the City's Long Term Financial Plan. In general, fees can be established or increased with the vote of City Council. It is a best practice to set fees at full cost recovery, or the total cost of providing the services to the individual or company, when the services are provided to an individual and are not a general benefit to the community. For public safety purposes, fees may come in the form of administrative fees, permits or other activities provided to individuals. An example may be a fire response fee when responding to negligent behavior when a fire is started because of conditions not within code or a police false alarm fee to recover cost of non -incident alarms. Transient Occupancy Taxes — Transient Occupancy Taxes, also referred to as TOT, are taxes paid by hotel/motel guests when the duration of the stay is less than 30 consecutive days. A majority vote of the electorate is required to approve an increase in the TOT rate within a City. Currently, the City's TOT rate is 10 percent. Each 2 percent increase in TOT would bring in an estimated $800,000 annually based on the existing hotels in the City. Also, recent projections by the City's actuary does assume that the escalating pension costs will level off in approximately 10 years which may provide for additional opportunities to fund Phase II critical needs as part of the regular budget process. These assumptions are very preliminary as CalPERS continues to recommend changes which may prolong the pension cost impacts to all participating agencies. Conclusion The longer-term projections for the City's General Fund continue to pose serious challenges because revenues are not expected to be sufficient to cover current costs or new costs that are on the horizon. Because the City has limited abilities to impact near-term revenue, staff will continue to identify cost saving measures and address economic development opportunities throughout the City. It is unlikely that the City will be able to address public safety's critical staffing needs discussed in this report without a new revenue source. This report identified the Phase I public safety critical needs that could be funded through a half -cent sales tax measure. Phase II could be addressed as the City continues to grow and new economic development projects become a reality. The additional critical needs could be considered as part of the annual budget process as the City works through its fiscal challenges. 20 Intended Public Safety Expenditure Plan 12018 21 mea ;A a rv�9 - X99 9 m o ry e$ g 8 S $ o ry 8 �a< rvmmm rv�a �o - M� mss z� 90 msR SSS *6 M*6 m`S�r $ m sgT as