As they do every year, members of the City Council spent Friday
and part of Saturday at a retreat discussing how to improve their
effectiveness, discussing last year
’s results and where they want to go this year. How the city
would weather the governor’s impending budget cuts loomed over the
meeting, too, though the city’s large undesignated fund balance –
the rainy day fund – was expected to cushion the blow somewhat.
While the retreat, in the new commu
nity center, continued past noon on Saturday and was listed as a
council meeting, no final decisions were made and no votes
taken.
As they do every year, members of the City Council spent Friday and part of Saturday at a retreat discussing how to improve their effectiveness, discussing last year’s results and where they want to go this year.
How the city would weather the governor’s impending budget cuts loomed over the meeting, too, though the city’s large undesignated fund balance – the rainy day fund – was expected to cushion the blow somewhat.
While the retreat, in the new community center, continued past noon on Saturday and was listed as a council meeting, no final decisions were made and no votes taken.
After brainstorming about issues, the council chose six topics to discuss in detail and set several others to be discussed at a “round-two” workshop on Friday, Jan. 24, at 1:30 p.m.
The budget, Redevelopment Agency priorities, council working relationships, economic development, Measure P update, medical services and municipal buildings received top billing and the most attention. On tap for the second workshop were a possible arts commission, additional Sister Cities, interim and permanent flood control projects, downtown improvement, the schools and crime.
• The budget
“Do we want to use reserves to fund operating expenses – that is a major concern,” said Mayor Dennis Kennedy.
The reserve fund for 2002/03 stands at $7,150,557. The question of the day was, if state and county budget cuts require it, would the council be willing to the reserve funds. Council voted recently to keep a 40 percent reserve.
“We have $2.5 million above the 40 percent,” Councilwoman Hedy Chang said. “We are talking about using that money now.”
Councilman Greg Sellers weighed in.
“Unlike the state, we saved our extra revenues,” he said. “Now we’re the pig with the brick house (referring to the story of the three little pigs) – and not to use it for a rainy day would not be good.”
“It will be very difficult for me to vote to cut services when we have $10 million in the bank,” said Councilman Larry Carr.
“Maybe there will be a rainier day,” said Councilman Steve Tate.
Kennedy resolved that it was all right to use the reserve fund for one-time expenses but not all right to used them for on-going expenses. Street maintenance, for example, would
“In the early 90s the council didn’t take tough steps early enough,” he said about the last time the city faced serious financial consequences.
Kennedy said he does not see new sources of revenues on the horizon.
“In 1991 we saw Safeway/K-Mart, Dan Gamel and the Morgan Hill Inn coming online and could schedule for that,” he said. “Now we have nothing.”
Consensus of the council was that the city finances will survive in tact this year and next but that the future looked bleaker unless the economy turns around.
Council will address the budget again at a workshop from 5-7 p.m. on Wednesday, Feb. 5.
• RDA priorities
Council decided to take another look at allocating its remaining Redevelopment Agency funds. The first two projects – the community center and the aquatics center – have proved and are proving to be more expensive than expected, leaving less for future projects.
Chang suggested that the council consider moving the indoor recreation facility – planned for a site on West Edmundson Avenue – to the outdoor sports center/aquatic center site on Condit Road, and sell the Edmundson property. Council will review the RDA priorities at a workshop beginning at 7 p.m. Wednesday, Jan. 29.
• Council relationships
Council members said they wanted, in future, to take a look at interaction with the city’s many commissions. Are they all on the council’s wavelength and does communication flow properly back and forth? How and when items are listed on the agenda and how council members communicate with each other and city staff were reviewed with an eye on improving council effectiveness.
• Economic development
Discussion centered around what could be done, on an interim and permanent basis, about flooding and support for the downtown through the Main Street program, restaurants and encouraging a dynamic business/housing mix. Kennedy said the city is trying to arrange a flood control summit with Congressman Richard Pombo, State Senator Bruce McPherson and Assemblyman John Laird. Council meets with Pombo about flooding funding later this week.
Sellers pointed out that many downtown projects can’t get underway until flooding is contained.
Kennedy and Chang agreed that dividing economic development funds (from the RDA funds) in half, going equally to downtown and outside-of-downtown projects.
Sellers said that if certain height and parking restrictions on downtown projects could be relaxed, city money might not be necessary to jump start projects in that area – that developers might produce the projects themselves.
• Measure P
Council discussed the direction the update committee was taking, with Tate and Carr on the committee. Tate said he was pleased with the committee’s intentions regarding downtown, easing or eliminating the east-west requirement for allotment points which should encourage growth in the downtown area.
• Medical services
The Morgan Hill Community Health Foundation (MHCHF) was the primary focus here. Generally the council appeared to be less than satisfied with the foundation’s performance.
“We’re nowhere,” Chang said. “We’re worse than we were before.”
Chang, Kennedy and several other citizens are working on a fundraiser to enable the foundation to claim money set aside for it’s use in recruiting physicians to the area. But the city’s money must be matched by MHCHF money. Hence the fundraiser.
“It took two years for the foundation to start thinking about fundraising,” said Tate.
Council wanted to be sure the foundation’s objectives were in line with the council’s. In the end, council decided to ask for an evaluation and objectives time frame from the MHCHF because the issue was so important.
“We don’t have a whole community if we do not have full medical services for all our citizens,” said Kennedy. “I don’t want to give up on that goal.”
The foundation will next report to the council on Jan. 22.
Municipal buildings
The library, police department and city hall are widely considered to be greatly in need of expansion or replacing.
Sellers said he has never been comfortable with the location of City Hall and would like to see council review the location of all public buildings -except the new community center. He also wants to be able to give the police department an answer to their plea for a new, larger building that meets accessibility requirements and doesn’t leak in the rain.
The library location, Sellers said, is connected to the grant application for state library bond money. If the city continues to be unsuccessful in the next three rounds of funding, Morgan Hill will have to build its own library and can put it anyplace.
The police department has found an empty building suitable in all ways except for location. On Vineyard Avenue, north of Tennant Avenue, it is hidden from sight. But it could be ready for move-in far earlier than if the city were to buy property and build an entirely new station.
Council decided to weigh the choice: sooner and away from the city center or out of sight but able to accommodate the department much earlier. Sellers remained adamant about a decision.
“We are obligated as stewards of the public’s safety to do something about the police station,” he said. “We can’t just say it’ll be another year before we decide – we must move forward.”
The police building decision will be on the council agenda Feb. 5.
City Council meets at 7 p.m. Wednesday in City Hall Chambers, 17555 Peak Ave. Details: 779-7271. Council meetings are broadcast live on cable access channel 17. The city’s website is www.morgan-hill.ca.gov
