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YOLO SUN NEWS REPORT :
Woodland’s annual municipal-liability, insurance premium rose from $418,000 to $640,000 for the upcoming fiscal year — a $222,000 increase — due a single incident involving 44 year-old Ricardo Abrahams – whose welfare was allegedly of concern to four Woodland police officers involved in his death.
This basic proportion of premium increase for the city will remain in effect for three years — adding a total of about $666,000 in red ink — to Woodland’s several years of budget deficits.
Two years ago, Woodland’s annual liability-insurance premium was only about $300,000.
___ Abrahams Died From Physical Compression & Suffocation ___
Abrahams died of — “positional asphyxia” — in the opinion of the Yolo County Coroner, while under physical restraint by these four police officers — although there was apparently no legal basis for his detention or arrest.
Wrongful-death litigation against the City of Woodland and these four individual police officers was initiated on February 11, 2009, by Sacramento-based attorney Johnny Griffin, on behalf of Abrahams’ parents, Rosemary and Cecil Abrahams of Davis.
Abrahams reportedly was a law student and an intern in the office of Yolo County District Attorney, Jeff Reisig.
___ Abrahams Not Accused of Criminal Behavior ___
Abrahams was a client of Safe Harbor Crisis House, a mental health provider, located in the 500 block of Kentucky Avenue. During or soon after his visit to this facility on May 28, 2008, someone notified police about their — apparently: non-criminal — concerns regarding Abrahams.
Yolo Sun’s request for comments by the (at least in this instance — ironically named) Safe Harbor Crisis House have so far been declined, although this facility doesn’t appear to be a target of litigation by Abrahams’ parents.
No allegation of unlawful conduct by Abrahams has been made during the course of local police investigation, as well as an investigation by the state Attorney General — which also found that no criminal violations occurred — on the part of these four officers.
These four police, dispatched for such a — “welfare check” — type of situation encountered Abrahams nearby this facility.
When Abrahams (armed only with a pencil, according to some accounts of this incident) displayed behavior which might reasonably be expected of persons with mental instability / illness — and failed to obey some police instructions — he was shot with four separate taser weapons, ultimately being physically subdued and restrained by these four police officers — who suffocated him in the process.
___ JPA Insurer for Local Governmental Entities ___
Yolo County’s various jurisdictional entities (cities and special districts, etc., as well as the County) aggregate their resources for insurance — liability protection — within a separate legal entity, generically known as a Joint Powers Authority: Yolo County Public Agency Risk Management Insurance Authority (YCPARMIA).
YCPARMIA is a component of a broader network and program of self-insurance for public entities, with seventy to eighty members throughout Northern California (California Joint Powers Risk Management Authority), for use on occasions of legal judgments exceeding $500,000 for a single event.
Woodland’s liability coverage under this expanded, excess-risk umbrella system of liability management, is $40 million for any single event.
___ Claims History Component in Insurance Premium Formula ___
Jeff Tonks, CEO of YCPARMIA, describes that — “there’s an element of experience” — within the formula for determining premium amounts within the various jurisdictions participating in this self-insurance system. “Too adverse a [litigation] history, has an adverse affect on [that member’s] premium.”
Tonks expressed that the incident involving the death of Abrahams was the factor responsible for the huge jump in Woodland’s liability premium.
“A three-year experience modifier” exists within this allocation formula for setting members’ premiums, relates Tonks. Just as a person’s driving history (accidents, citations, various factors influencing liability exposure, etc.) is a determinative factor in rating their automobile insurance — a city’s — “adverse litigation and claims component” — will for this period of time elevate its proportion of fiscal burden within this self-insurance system.
“Good risk practices by member agencies, good claims practices by [YCMARMIA], and [fostering] safety” in all facets of agency exposure to liability are the keys to success for such multi-jurisdictional systems, indicates Tonks.
“One or two bad claims can greatly skew an entity’s relative position [within YCPARMIA].”
___ Death Cases Cause Sharp Rises in Insurance Premiums ___
“Where you have a death case, [ ] the fluctuating dynamic of this history element becomes very negative,” Tonks emphasizes.
Tonks predicts that the recent death of Luis Gutierrez during a mid-day encounter with four members of the Gang Suppression Unit of the Yolo County Sheriff’s Office will cause a similar — very significant elevation — of the County’s share of next year’s premium allocation.
Yolo County’s current (annual) liability premium through YCPARMIA is $949,404, so the incipient lawsuit in the Gutierrez matter will surely boost the County’s annual insurance bill — to way over a million dollars.
If it rises roughly in proportion to Woodland’s recent increase, the County’s share would exceed $1.5 million for fiscal year 2010-11.
Such an increase would stay in place for three years (until 2014), connected to the adverse-history, modifier component of YCPARMIA’s risk management formula.
Woodland’s elevated proportion of this JPA premium-pool will likewise be maintained for three years — resulting in a total loss to the City of about $666,000. Also, this year’s premium was diminished by $60,000 because of an expenditure of reserves by YCPARMIA.
More or less, the city is paying-off more than the — full amount — of the local liability cap ($500,000) — with its increased premiums over three years — simply based on such a significant damage claim being litigated.
Unless, of course, a successful damage claim exceeds $40 million — these elevated premiums are the extent of the city’s basic loss. While, various other expenses related to such extraordinary circumstances surely expand to some extent the overall cost.
However — a multi-million dollar legal judgment against Woodland — for the wrongful death of Ricardo Abrahams — would likely have various political and financial consequences.
___ Comparisons With Other YCPARMIA Jurisdictions ___
For comparison, Tonks mentioned that the City of Davis has a less adverse, recent “history element,” which is directly reflected in its — much lower — $336,061 liability premium for the current fiscal year.
A few years ago (as noted), Woodland’s annual premium was in this range.
West Sacramento’s present share of the YCPARMIA premium-pool for liability coverage is $561,545. As noted, the county’s share is now $949,404.
YCPARMIA also covers workers compensation claims on behalf of its members. Woodland’s premium for this insurance coverage also went up for fiscal year 2009-10, from $471,334 to $544,000.
___ YCPARMIA Reserves Lower Woodland’s Premium ___
Some liability claims will be lost, while some will be won. Overall, YCPARMIA is in pretty good (stable) shape.
In fact, YCPARMIA just expended some “excess, surplus” reserve funds, “credited against [current and] future premiums of the member agencies,” says Tonks, who added that such help was fairly “common” within the authority’s operations — whenever reserves are sufficient and the members could use a fiscal hand — as in the current economic conditions / budget crises.
This YCPARMIA (reserve) supplement for 2009-10 meant about $60,000 to Woodland, reducing its premium from a projected (and budgeted) $700,000 — down to $640,000.
Tonks reports that the total amount of premiums paid by members of YCPARMIA is presently at the same level that it was in 1995 – indicating a well-managed operation.
“How would you feel if your overall debts were the same as [fifteen years ago]?,” he proudly expressed.
___ Budget Savings From YCPARMIA Help Already Soaked Up ___
Inquiry to the City Manager regarding budgetary savings created by the difference between projected and actual expenses for liability and workers compensation insurance — roughly $216,000 — resulted in Mark Deven’s (regularly) timely response:
“Any savings realized due to premiums being lower than originally estimated could be used to offset the [anticipated] deficit in the benefits internal service fund — which receives its funding based on a flat-rate allocation to departments per employee. We were concerned that [this] would be under-budgeted,” because of the number of voluntary early retirements provoked in an effort to navigate the city’s budget.
Deven also indicated that it would be prudent to also begin to build a small amount of reserves in the city’s (related) liability account — that was totally flattened as an early remedy to fiscal woes.
Thus, whatever savings accrued from YCPARMIA’s limited help lowering Woodland’s sky-rocketing liability premium was instantly soaked-up by the City’s (ongoing) budget crisis.
YOLO SUN NEWS REPORT :
The Woodland City Council voted in July, 2008, to join the California Climate Action Registry, a non-profit organization created by the State of California as a voluntary greenhouse-gas emissions registry — which “provides leadership on climate change by developing and promoting credible and consistent greenhouse-gas reporting standards and tools for organizations to measure, monitor, obtain third party verification, and reduce their [ ] emissions consistently across industry sectors and geographical borders,” according to an associated staff report.
“Environmental Services staff compiled and submitted [plus verified] a baseline inventory of greenhouse gas emissions attributable to all 2007 municipal operations,” indicated City of Woodland Conservation Coordinator, Marshall Echols.
___ Woodland One of Only Eight ‘Climate Action Leader’ Cities ___
This subject was again on the City Council’s agenda for June 2, because the initial phase involved with Woodland’s membership has been completed, making it — one of only eight cities in California — to be designated: “Climate Action Leader.”
Echols presented this agenda item, within which the City Council received a formal certificate recognizing its status as an early “Leader” for the state in addressing global warming.
Any public or private entity in the state can join the Registry, and about 300 have done so — including Yolo County and the University of California, Davis.
The City of Davis hasn’t accomplished a 2007 baseline analysis, and is reportedly engaged in an effort to establish a — community-wide inventory — which involves attempting to obtain exhaustive, annual estimates of total community emissions (electricity, natural gas, propane and motor vehicle usage, industrial emissions, etc. — for all public and private activities within a jurisdiction).
City of Woodland Environmental Analyst, Roberta Childers, in an interview forecast that — “the state will want communities to” — eventually conduct such a comprehensive examination — but that presently such an intensive study inevitably involves a lot of various estimates and speculation.
While, Woodland’s municipal emissions (at least) are now understood with certainty, allowing specific strategies for their reduction to be currently employed with a known (quantifiable) result.
___ State Law Requires Emissions Reductions ___
California’s Global Warming Solutions Act of 2006 (Assembly Bill 32) requires statewide reduction of greenhouse-gas emissions to 1990 levels by 2020.
“Next steps for the City of Woodland include formulating an energy conservation strategy and climate action plan [ ] through [ ] efforts of the City Council Energy Committee [CCEC]. The City will continue to calculate and report its emissions inventory on an annual basis. Each inventory will be compared with the baseline (2007) inventory to determine the effectiveness of City actions in reducing energy use and helping to meet the state’s reduction goal,” explains Echols in a staff report.
Childers indicated that there is a preliminary, “draft list of measures [ ] and criteria to rank measures [within relevant] categories,” that will soon begin to be considered by the CCEC (which meets monthly at city hall) related to establishing this municipal greenhouse-gas reduction strategy / plan.
___ Inventory Reveals Biggest Greenhouse-Gas Sources ___
The 2007 baseline inventory of municipal emissions indicates that by far the largest portion of greenhouse-gas emissions is related to enormous amounts of electricity used for pumping from the underground aquifer to provide the City’s water supply — at 39% — of all municipal electricity use — amounting to about 7.4 million kwh with a $950,000 bill from PG&E.
The other large consumer of electricity within city operations is the Wastewater Treatment Plant, at 28% (5.3 million kwh, $660,000). City Hall uses 8%, the Police Station uses 5% and the Community-Senior Center uses 4%, with other facilities using less, such as the Library at 1%.
Electricity and natural gas usage is considered to be: “Indirect Emissions,” meaning that they are not locally produced, but are caused elsewhere by local energy use. Generating electricity results in emissions occurring somewhere.
“Direct Emissions” by the municipality are almost exclusively created from its gasoline and diesel use (22% of total greenhouse-gas emissions).
About half of such fuel is used by the Public Works Department, with the remainder split between the Police Department (53% of gasoline use) and Fire Department (42% of diesel use).
___ Basic Greenhouse-Gas Emissions Factor: Water ___
Water is — for a third time — at the center of creating “indirect” municipal emissions.
Pumping Woodland’s water supply from underground (39%) — then treating municipal outflow (28%) — far surpasses other municipal consumers of electricity.
Natural gas use in municipal operations is dominated by that used to fuel boilers heating the two municipal swimming pools — at 54% (44,400 therms) — dwarfing all other consumers.
The Police and Fire Departments — combined — represent only 26% of city natural gas consumption, with the Community-Senior Center next in use, at 9%.
Closure of Hiddelson Pool (for budgetary reasons) will significantly affect “indirect” emission figures for 2009 — perhaps reducing by a quarter municipal use of natural gas.
___ Electricity Use Largest Element of Municipal Emissions ___
Green-house gas emissions (almost exclusively carbon dioxide: CO2) for which Woodland’s municipal operations are responsible, are predominantly — “indirect” sources — related to electricity consumption: 67% of total emissions are so attributable.
“Direct” sources of emissions — namely gasoline and diesel-fuel use — are the next largest portion of municipal energy consumption, at 22%.
Natural gas use, an “indirect” source, is in third place with 8%.
Municipal emissions for 2007 — overall — were 1,665 metric tons of CO2 in “direct” emissions and 3,976 metric tons of CO2 in “indirect” emissions, for a total of 5,643 metric tons.
According to city staff, unincorporated Yolo County (with a population of 29,000, compared to its four cities: Woodland, Davis, West Sacramento and Winters, with combined population of 180,000) — is responsible for 3,752 metric tons of CO2 in “direct” emissions and 2,128 metric tons of CO2 in “indirect” emissions.
Apparently — the county uses much more gasoline / diesel / propane than Woodland, causing “direct” greenhouse-gas emissions that are more than twice Woodland’s level (3752 mt – 1665 mt), although the county has roughly half the population of the municipality.
This emissions differential is perhaps related to expanded travel distances within the county, compared to the city — since direct emissions are primarily created from gasoline and diesel use.
Population figures above are derived from current (2010) estimates by the regional planning authority: Sacramento Area Council of Governments (SACOG).
___ Stimulus Funds to Upgrade Police Station, City Hall & Streetlights ___
Federal economic-stimulus money – $508,700 in a “block grant” — is headed for Woodland to achieve progress on key municipal energy efficiency and conservation projects, as a result of its upcoming (June 25) application with the U. S. Department of Energy.
These funds are intended to accomplish “ — within 18 months — certain kinds of ‘shovel-ready’ projects,” describes Environmental Analyst Childers, who also indicated that potential energy conservation projects included consideration of those projects inclined “to benefit [Woodland’s] General Fund,” which remains affected by an adverse economic climate.
Childers mentioned three high-priority projects that qualify for using these federal funds.
“Putting solar panels on the Police Department Headquarters building, which is already equipped” for such installation, is one noted project.
“Upgrading the [heating, air-conditioning and ventilation] system within the City Hall building, and replacing conventional (sodium) lamps in Woodland’s streetlights — with LED technology — are also top priorities for use of this $508,700 in one-time, economic-stimulus funding.
YOLO SUN NEWS REPORT :
“Conceptual tentative agreements” — involving requested employee help with bridging Woodland’s $6.8 million budget gap — have been reached between the City and its two non-public-safety unions: Woodland City Employees Association and Mid-Management Professional Association.
This “very good news developed” quite recently, exclaimed City Manager Mark Deven, at the Woodland City Council meeting of June 16, during an update on — “meet and confer” — negotiations proposing overall employee compensation reductions of $1.3 million, by means of furloughs or salary / benefit cuts — which city management has deemed essential for balancing the municipal budget without employee layoffs.
Basically, Woodland must chop its budget from $45 million down to $38 million (please see Yolo Sun News Report: Final Adjustments for Woodland’s 2009-10 Budget — Also, City Manager and Library Director Will Slash Their Own Pay By 7.4%).
These — “conceptual tentative agreements” — will have the affect of eliminating — almost all potential layoffs — of non-public-safety personnel that are outlined in city staff’s “contingency” plan, to be implemented if such “agreements” didn’t materialize.
“Agreements” have yet to be negotiated between the city and its police and firefighter unions.
The legal process of accomplishing layoffs requires about a month, until it arrives at a concluding phase, wherein work must eventually cease. Unless such “agreements” promptly arise for police, firefighters and building inspectors, by June 19 several such personnel will receive formal notice of their impending involuntary-layoff.
Deven identified July 20 as the Potential Discharge Date for employee layoffs that remain operative.
___ Firefighter-Union Representative Appears ___
Eric Zane, representing the Woodland Professional Firefighters Association appeared before the council to express that the Association “is working very hard to negotiate” with the City — and that it is presently “awaiting a written offer from the City.”
Zane described his perception that — “there is only a $2000 [budget] gap” — related to retention of the city’s Fire Prevention Specialist, whose function was identified as a key component within the Fire Department program.
Zane speculated that each firefighter would likely concur on an equity approach to underwriting this amount of deficit, for that purpose.
Approval of wage / benefit concessions by the Woodland City Employees Association has already erased the potential layoff of the department’s administrative clerk, removing the threat of decreased public-counter access.
In another budget move, resulting from a projected savings of $250,000 from added employee retirements under the Golden Handshake plan, overtime funds for firefighters have been increased to a traditional level, acceptable as (more) reasonable by the Fire Chief.
___ Police Officers Are Fewer, But Donate to Boxing Program ___
Deven indicated during the course of the council meeting that, as a result of ongoing budget impacts causing several unfilled positions within the Police Department — only 5 officers are on patrol — 45% of the time.
He indicated that this level of service will surely impact some response times to priority 1 calls.
Officer Ted Ruiz of the Woodland Professional Police Association briefly spoke to the council about his and fellow officers’ good-faith, public relations effort of raising $690 ($10 from each member) to offer in support of the City’s [youth] boxing program, intended as a durable diversion from potentially less-desirable socialization.
Vice-mayor Art Pimentel wanted to throw in — his own $10 — to put an even $700 into this grass-roots gift by police — but he was short on hard cash.
So he turned to Mayor Skip Davies for a little help.
Whereupon Davies created the — largest laugh — of the council meeting, when he swiftly dove into his wallet, while exclaiming: “With kids, . . . it never stops!”
___ Redevelopment Agency Reports Independently ___
Budget matters led with Cynthia Shallit, Woodland’s Redevelopment & Housing Manager, emphasizing that the Redevelopment Agency would present its budget “independen[tly],” upon a separate agenda item, in order to better comply with relevant state law.
Shallit described that by its fiscal nature, derived from an increment of property tax within the Redevelopment Zone (essentially, Woodland’s downtown area), the City’s Redevelopment Fund is fairly resistant to adverse influences from the current, recessionary economic climate.
Shallit also expressed that various efficiencies in relevant project engineering processes would now be obtained, through matriculating agency projects within the city’s Capital Improvement Program (CIP).
Mention of Woodland’s CIP — which has fallen off a cliff into a sea of red ink (please see Yolo Sun News Report: Woodland’s Capital Improvement Program — Deep in Red Ink) — seemed to pinch a nerve along the council dais, with councilmembers asking a string of detailed questions of Shallit. At one point, Deven supported with added specifics, her responses to council inquiries.
Councilmember Martie Dote was concerned about a reference in Shallit’s report involving possible — “expansion” — of the Redevelopment Zone, both east and west along Main Street, as well as south to include the existing county fairgrounds.
Shallit responded that such an “expansion” is “suggested,” and “not for sure.”
Shallit explained in response to another question, that there is about $300,000 in budget “carry-over” for the City’s commercial facade restoration program, wherein a 50% funding match is available to building owners for use in such improvements.
___ Potential State Theater Project Zeroed Out ___
Councilmember Bill Marble inquired about the fact that a proposed project of renovating the State Theater was — zeroed out — within the agency’s future budget allocations.
Shallit briefly described a scenario of — no practical traction toward demonstrating project feasibility or business plans — on the part of the theater-owner and other interested persons.
Several project proposals for new, multiplex theaters currently exist on the eastern side of the downtown area, which if developed would likely spell eventual doom for the State Theater.
At that point, city staff and other persons have speculated, the moment will have finally arrived for either some version of viable, community-inspired (perhaps, redevelopment assisted), multi-million-dollar rescue effort — or a wrecking-ball.
$5 million of redevelopment funds is now budgeted toward securing a proper location and other assistance for a new county courthouse — within downtown Woodland — which is the highest priority project at the agency, involving retention of an extraordinarily valuable facility — as well as development of the City’s initial multi-story parking garage.
Shallit has previously indicated that the Redevelopment Agency may eventually be reimbursed for some portion of these funds (Please see upcoming Yolo Sun News Report).
___ City Manager Emphasizes Community Development Changes ___
During the portion of his presentation which pertained to the Community Development Department, Deven emphasized that developers would now be aligned in a “Project Queue,” a time / phase line of process that would resist alteration, “so that some projects do not [unfairly] jump-ahead” of others.
Also, “High Priority Projects” would become precisely that — based on staff scrutiny, analyses and determinations regarding various elements of economic / cultural benefit(s) for the city.
Developers’ “Project Liability Accounts” (impact fees, funding for consultant studies, etc.) must now be fully funded, as well, tightening-up a more casual / flexible style of process previously in place — in recognition of presently hard-times — for developers.
As of June 30, Woodland’s budget cramp will temporarily close the public counter at the Community Development Department — except for 15 hours per week: 8 am to 11 am, Monday – Friday.
The department will engage in an outreach effort to inform the relevant public of this significant reduction in its operation, which is susceptible to some revision as warranted by specific, evolving circumstances.
___ Internal Borrowing Practices Pilloried ___
“I’ve inherited this — and it’s really a pain in the butt” — was Deven’s emphatic reaction to Councilmember Marble’s probing for new policies with real teeth, related to seeming revelations that Woodland has — long been using a “pooled cash” (“internal borrowing”) approach to its finances — recently leading to its stable of municipal funds being anything but stable (except as moribund).
Most of Woodland’s Capital Improvement Program is spinning around relatively helplessly — within a perfect storm of red ink. Some fund deficits are projected to linger or increase for a quarter-century (please see Yolo Sun News Report: Woodland’s Capital Improvement Program — Deep in Red Ink).
From an aggregated deficit of $20 million in 2009, negative municipal fund balances are forecast as — skyrocketing – to $32 million in 2019.
“I can’t tell you what the prognosis is [at this point],” said Deven, whose staff report indicates an upcoming effort to improve analyses and evaluations of the CIP’s financial situation.
Quizzed about one municipal account that appeared buoyant, with $37 million (over three years), city staff indicated that this particular money is related to utility surcharges, which are much less variable than development fees.
___ City Operated a Ponzi Scheme? ___
Although noted as well by other councilmembers (for example, Vice-mayor Pimentel suggested reversing the council’s recent reduction of development fees) — Councilmember Marble spoke on several different occasions, being — “very concerned” — about this fiscal practice of: “pooled cash” — “internal borrowing,” contending that “it’s a good way to bankrupt the city,” and eventually referring to it as similar to “a Ponzi scheme,” a famous label for fraud.
Describing specific fiscal changes, outlined in an associated staff report, Deven explained that new policy language, adopted alongside the new budget, is intended to formalize such a financial policy adjustment — establishing a suitable framework of process for resisting internal borrowing between municipal funds (individual accounts for specific purposes, like: sewer, storm-drain, police, fire, parks development, etc.).
Deven also declared that he is “happy to entertain” whatever alternatives or policies are reasonable, in order to best address this matter.
___ Revised Internal Borrowing Practices Must Continue ___
However, his staff report indicates that these internal borrowing practices — must be indefinitely extended — because, in the words of staff from the Finance Department, during earlier testimony before the council – Woodland’s CIP is “in a deep hole — and it will take a really long time” to slowly climb out of it.
Plus, both the staff report and testimony before the council declare that the only genuine path out of this dense deficit-thicket — is by an avenue of vastly increased commercial, industrial and / or residential development — (for the most part) outside of the Spring Lake Specific Plan.
Several pertinent annexations to the city are pending or proposed — but until Woodland and Yolo County agree on a new tax-sharing compact (the existing Memorandum of Understanding is obsolete), no annexations will occur.
Councilmember Dote has expressed concern about further amending Woodland’s outdated (1996-ish) General Plan, through significant annexations, and inquired to Deven at one point in this meeting about the possibility of having developers help pay for the estimated $1.3 million expense of enacting a new Plan.
Flexibility to continue arranging resources of these municipal funds along easily anticipated contours of prioritized needs, is argued to be fundamental for servicing municipal obligations related to bond payments, for example, according to Deven’s report.
Certain key municipal projects may also become affected by any form of strict prohibition against fund transfers (“internal borrowing”).
However, this result — obtained within a surprisingly short period of time — seemed to be the goal of Marble’s comments.
At first, Deven stated that he would prepare a relevant update for presentation to the council in a year, but he later retreated to six months. Several councilmembers mentioned holding a special meeting(s) on this topic.
“Avoid[ing] internal borrowing,” as expressed by Marble, will become a work-in-progress, as clearly expected by Deven.
What’s not obvious, however, is the practical benefit of lamenting many years of financial laxities (engaged in during his own council term) — by means of Marble’s snappy analogy to fraud — while, proposing some vague constriction of reasonable flexibility for municipal operations that are imperative — as the city remains under thrall of such chronic, fiscal mismanagement.
___ More Budget Cuts Envisioned for 2010-11 Fiscal Year ___
In remarks toward the conclusion of this council meeting, Mayor Davies announced that there is already perceived to be a $2.5 – $3 million hole in next year’s budget, “and we’ll start working on this immediately.”
YOLO SUN NEWS REPORT :
A basic component of Woodland’s overall budget is its Capital Improvement Program (CIP), which involves both: external debt service to repay bonds and internal loans between various municipal funds.
The CIP contains about 200 projects — engaging a 10 year expenditure of around $232 million.
Woodland has long been using a — “pooled cash” — approach for financing its CIP, which involves transferring (borrowing) surpluses in certain municipal funds to meet deficits in other such funds.
Also, “the City [has] implemented and expended money on various capital projects in advance of collecting the related development fees, and opted not to pursue additional bond financing[; therefore,] several development fee funds reflect negative balances[,]” describes an associated staff report.
Combining these fiscal practices — in a deteriorating economic climate — has created a very — “challenging [ ] situation” (declares city staff), inherently affecting Woodland’s evolving financial condition.
___ Development Fees Insufficiently Service Bonds ___
As outlined in this staff report: “Pledging development impact fees as the primary source of repayment for [four separate bonds] has proved problematic because, by nature, these types of revenues can be unpredictable and sporadic.”
Comprehensive analyses by city staff, of financial processes related to the CIP, has demonstrated that: “Even with relatively moderate development activity meeting current debt service requirements will be challenging. Given the adopted reduction in development fees combined with the decreased level of development activity, the Park, Fire and Sewer Development Finds will not generate sufficient revenue from residential development to meet minimum debt service requirements.”
Woodland has four capital improvement (project) bonds to service (Community and Senior Center, Sports Park, Fire Station 1, and the Wastewater Treatment Plant), which were issued between 2002 and 2007.
Aggregate annual debt service on these four bonds totals — $5.39 million — with $4.1 million to be annually repaid through development impact fees and the remainder ($1.2 million) by either Measure E funds or the Sewer Enterprise Fund.
Woodland is also running substantial deficits in most of its municipal funds — including some deficits that are significantly widening (park and storm-drain funds).
“Pooled-cash” mingling of city funds must thus be temporarily extended as a fiscal practice, according to city staff. “[G]iven these large [ ] deficits, substantial slowdown in development, and the magnitude of reduced development fee revenues, the City is not able to fund necessary projects without some level of continued pooled cash borrowing, primarily because of external debt service commitments[.]”
___ Key Changes Coming in City’s Financial Practices ___
City staff is recommending a key alteration of financial policy be adopted alongside the 2009-10 (operational and capital) budget, due for consideration and potential adoption by the city council on June 16.
“Section 4.8 [of] the procedure associated with financing has been modified from Encourage pay as you go financing of capital improvements where feasible to Fully evaluate the financing of capital improvements to determine the most economical means to complete the work.”
“This change is intended to require analysis of financing capital improvements, including the potential impact of escalating future development / construction costs versus annual debt service payments and interest[,]” continues the staff report.
Complementary to this policy change, “staff needs to further study this trend in growing internal debt and develop alternatives for the Council’s consideration.”
“This situation was generated by years of internal borrowing, exacerbated by the current recessionary economy and further impacted by the decision to reduce development impact fees. It will require a long-range, programmed and disciplined approach in order to be resolved[,]” concludes the staff report.
___ Details of Fund Deficits ___
Woodland faces current deficits in its municipal funds — totaling $20 million — within “[t]he more significant borrowing balances,” as of July 1, 2009.
In round figures, this amounts to deficits of: $10.2 million in the sewer fund, $4.2 million in the police fund, $4.3 million in the road fund and $1.1 million in the storm-drain fund.
“At the end of the ten-year plan,” states the staff report, “internal borrowing balances are anticipated to be” as follows:
Sewer Development — $5.8 million deficit; Police Development — $2.1 million deficit; Fire Development — $1.3 million deficit; Storm Drain Development — $12.4 million deficit; Park Development — $10.6 million deficit.
Deficit within the Sewer Development Fund — “originated more than ten years ago as a result of work done on the Wastewater Treatment Plant Phase I expansion project and various wastewater improvement projects where development paid a portion of the cost,” relates the staff report.
Recent plant expansion was funded “through a combination of internal borrowing and bond financing.” Debt service will continue in this fund until 2035, with total project expenditures of “less than $200,000 until 2019, at which point the deficit will have been reduced by about $4.5 million.
The Police Development Fund deficit — “originated in 2005 as a result of construction of the new police station.” During the next 10 years, this fund’s deficit will drop by half ($2.1 million). However, because of the condition of this fund, relevant projects in the future are being carefully prioritized.
The Fire Development Fund — “develops a deficit as a result of annual debt service requirements related to the construction of Fire Station 1. This fund has only one capital project over [the next 10 years]; however, annual revenues of approximately $500,000 and annual debt service of nearly $300,000 [will] lead to a slow recovery.”
___ Serious Structural Deficits Projected – Big New Development Needed ___
Deficit within the Storm Drain Development Fund — “increases dramatically through the course of the [10-year] CIP. Residential development in Spring Lake does not pay a citywide Strorm Drain impact fee; because nearly all the residential development in the CIP is related to Spring Lake, expected revenues in this fund are minimal.
“[A]dditional commercial, industrial or non-Spring Lake residential development, or removal of flooding and drainage related projects, are necessary to reduce the deficit[,]” indicates the staff report.
The Park Development Fund — “develops a substantial deficit through the course of the CIP related almost entirely to debt service. The annual debt service requirement of [this fund] is about $2.2 million.”
“Non-residential development does not pay a Park impact fee, and based on the current residential development impact fee for Spring Lake, the City would need to issue 670 permits each year just to break even; this level of development is not achieved at any point in the CIP, which creates a structural deficit that grows every year.”
“Debt service requirements will continue through 2035; [and this fund’s] recovery from [ ] deficit will likely be slow and prolonged without a fee increase or completion of other large residential development projects[,]” relates the staff report.
YOLO SUN NEWS REPORT :
Fine-tuning of Woodland’s proposed 2009-2010 budget has been accomplished by City staff, led by City Manager Mark Deven, in advance of City Council consideration and potential adoption at its regular meeting of June 16.
In round numbers, the council must remove $6.8 million from an initial $45 million budget.
However, the key issue of possible compensation reductions for city employees appears to remain — at least formally — unresolved.
$1.3 million in budget reductions by means of: furloughs, salary modifications or revised benefit-sharing, has been requested by city management, which has presented a contingency plan for council use in the event negotiations with city workers are not successful.
Interestingly, in recent correspondence to the Woodland Library Board of Trustees, Library Services Director Sandra Briggs reports that: “In a dramatic act of leadership, City Manager Mark Deven has instructed the Department of Finance to reduce his overall compensation by 7.4% beginning July 1, 2009 through a combination of 5% wage reduction and 2.4% in other compensation (benefits). I propose the comparable reduction for me in my position [ ] to achieve an overall monthly compensation reduction of 7.4%.”
Library trustees have recently approved this request by Briggs, contingent upon Deven successfully engaging with other upper-managerial employees, the prospect of their participation in an equivalent pay cut.
Trustees don’t want to have Briggs — whom several consider already under-compensated – to be the only top staff (besides Deven) to make such an effort to demonstrate equity with other city workers.
It is yet unknown whether additional city managerial staff will participate in such voluntary compensation reduction.
___ Modifications From Latest Council Budget Workshop ___
Subsequent to the May 26 City Council meeting on budget matters, several “modifications” have been accomplished in response to citizen and council concerns.
A second round of the Golden Handshake retirement-incentive program has produced — “at least ten” — employees for enrollment, according to staff projections. Only three or four such retirements were anticipated, increasing budget savings by $250,000. These funds will be spent to increase the overtime-reserve fund of the Fire Department, from $115,000 to $365,000.
In a recent interview on local National Public Radio affiliate, Capital Public Radio (Please see Yolo Sun Report: Woodland City Manager Interviewed by Capital Public Radio on Budget Impacts to Public Safety), City Manager Mark Deven described that Woodland may well need to substantially increase overtime for understaffed municipal firefighters, in order to cope with emergency exigencies (such as large or multiple fires, or long-duration events, such as some hazardous-material spills).
Two priority allocations of “one-year expense[s]” are made within the Parks and Recreation Department — for preserving the Ballet Folklorico and Boxing programs ($17,000) — as well as — $63,000 “to facilitate the transition of the Senior Center programs and operation of the Community and Senior Center to the remaining staff as part of” – a restructuring of this Department — according to the staff report.
Two retiring managerial employees in this department are being retained on a temporary, part-time basis, in order to best support this “transition [and] restructuring.”
However, Hiddelson Pool — which was requested to be open during the upcoming summer — will soon discontinue operation. City staff have determined that it is — “impossible” — to provide pool employees, because of the elevated nature of employee specialization required for this public facility is presently infeasible.
___ Developers Lose City Flexibility on Fee Payments ___
The Community Development Department will undergo serious budget impacts — including half-day (8 am – 11 am) public-counter hours, “prioritization of development projects and maintenance of project liability accounts[.]”
Several capable clerks who have traditionally been assigned to the community development counter, will be relocated (to Public Works Dept., for example), leaving the building inspectors to accomplish public-counter service in the mornings and inspect buildings in the field during afternoons.
Flexibility for developers — on their impact-fee payment schedules — has suddenly evaporated, with the department now instructed to begin to ensure that developers’ impact-fee payments are — fully up to date — before the city expends its funds for delivery of related services.
Also, developers will face the fresh hurdle of having city planning staff working their projects — on a newly established “priority” basis — using elevated scrutiny and analyses to ensure that projects deemed more beneficial to economic circumstances of the city have a distinct advantage.
Obviously, this new municipal policy resembles turning lemons into lemonade.
It is already in place within the city’s affordable housing program (Please see Yolo Sun Report: City Of Woodland Launches New Affordable Housing Development Process).
___ Leake Room Remains Closed For Non-Library Uses ___
“Community organizations that have used the Leake Room at no cost[,] have expressed a desire for the space to remain available for reserved use at some level,” describes the staff report.
The Library Board of Trustees recently closed this space to all activities except those within the library’s “core mission.”
The library recently conducted a patron survey, indicating that general public access to the Leake Room was ranked — “near the bottom” — by its patrons, whose relevant use is most often associated with regular library-sponsored programs and activities in this space.
While it’s “a nice amenity,” general public access to the Leake Room is –“incidental to the core mission” — of the library, notes the staff report, concurring with the judgment of the board of trustees.
Cost of such access is the basic problem: $25,000 is required to annually operate this space for general public access ($14,000 for staff, $6000 for utilities and $5000 for janitorial services).
Usage fees would have to be charged ($20 per hour); while, there are — “other alternatives with reasonable fees attached” — explains the staff report. “Many other options [exist], including the Community and Senior Center, where a fee schedule is already in place, because such use is part of that program’s core mission.”
___ Contingency Plan ___
The contingency plan, activated upon the specific degree of failure related employee negotiations, could result in — “up to 13” — employee-layoffs.
It would result in layoffs of: police (one sergeant, one officer and a records specialist), the fire-prevention specialist and a clerk in the Fire Department, code-enforcement and building-inspection personnel, plus a clerk and an analyst in the Community Development Department.
These employee layoffs would affect existing police services in a minimal manner (5% budget cut), relative to already understaffed circumstances.
Police Strategic Operations (SWAT, K-9 and crisis negotiation) and the Graffiti-Abatement program would also be eliminated under the budget contingency plan.
Layoffs of code-enforcement personnel would result in only high-priority enforcement — with police handling immediate threats to public safety.
Loss of the Fire Department’s clerk and fire-prevention specialist would translate into substantially reduced public-counter service and obstacles to fire inspections.
In addition, Woodland’s Economic Development Office would close, ending all business retention, recruitment and collaboration, plus discontinuing most municipal interface with the Chamber of Commerce and other local and regional business associations.
Library staff would lose three Library Technician positions, leaving only four full-time employees, resulting in a severe slashing of library hours — to only 20 per week.
Library hours are currently 54 per week, but will be reduced to 40 per week on July 1, under the proposed new budget (assuming municipal employees’ compensation reductions).
Investigations by Yolo Sun indicate reasonable optimism around city hall, that negotiations with city employees will eventually be successful in obtaining their cooperation in closing the remaining $1.3 million gap.
City Manager Deven has declared that if such agreement is attained, no employee layoffs will occur for this fiscal year.
YOLO SUN NEWS REPORT :
Woodland City Manager, Mark Deven, was featured via telephone on the June 9 edition of (local National Public Radio affiliate) Capital Public Radio’s morning public-affairs show (Insight with Jeffrey Callison), to describe impacts of the economic recession and fiscal crisis upon the City’s public safety programs.
Deven outlined affects of recent budget cuts, including a loss of seven firefighter positions (at over $1 million, a 12% reduction in the fire department budget) — requiring the city’s four fire engine companies to operate with three firefighters per engine company.
This level of service, explained Deven in response to a question, drops Woodland below service [staffing] standards established by the National Fire Protection Association. This lower staffing level within our fire-protection program, he said, “is all that we’re able to afford.”
Four less police officers are another result of municipal budget woes (at $860,000, a 5% reduction in the police department budget).
___ Public Education Outreach Gone — Graffiti Abatement Stays ___
Woodland’s various fire education and crime prevention programs have been eliminated for the 2009-10 budget year.
“Public education outreach,” along these lines, has regrettably become infeasible, said Deven.
Fire-prevention education activities will soon be curtailed.
Neighborhood-Watch programs citywide are being excised (no police staffing participation), as well as the Drug Abuse Resistance Education (DARE) program, which uses a regular (sworn) officer to target fourth-graders for relevant consciousness raising.
Weed abatement activities by the city will soon be attaching monetary fines for such efforts to be billed against violators, according to Deven.
The city’s graffiti abatement program, though — will remain solidly in place.
When asked why, Deven explained that: “graffiti devalues property and the appearance of a community,” and if neglected, “it can significantly multiply.” Also, connections between graffiti and (criminal) gang activity argue for constant, priority action, he believes.
“It’s a quality of life issue,” Deven declared, a problem that if allowed to get out of control can have a variously negative influence on communities.
___ Why Prioritize Police Over Fire Services? ___
Asked about reasons for the fire department being reduced more than police services, Deven related that the predominance of fire-department calls involve requests for — “emergency medical aid” — rather than fires.
A large-structure fire or similarly serious, emergency situation — “will stretch our resources” — said Deven, and Woodland would have to depend upon overtime-scenarios for its firefighters and contextually proportionate help from neighboring jurisdictions, such as Davis, to provide an elevated emergency response.
“We need multiple police officers to respond at any one time,” stated Deven, to incidents involving potential felony arrests — which is the reason for maintaining police staffing levels above those of the fire department. “We need to decide which (kind of) balance is the right way to go, he said.
Economic conditions “force us to review everything we do,” Deven described, deciding “what are our most important services.”
___ Projection of More Budget Cuts ___
Queried about the future fiscal outlook and potential for more city budget problems, Deven exclaimed: “absolutely;” in order to properly arrange the city’s new, 10-year fiscal-planning program, additional cuts are coming.
“Yolo County’s 12.3% unemployment rate,” is an ongoing and significant indication of economic circumstances affecting municipal revenue and programs, according to Deven.
For fiscal year 2010-11, Deven is currently projecting a reduction to the city budget of $2.25 million.
YOLO SUN NEWS REPORT :
Paul Petrovich, developer of the Gateway I commercial center at Woodland’s eastern edge (Costco, Target, etc.), suddenly has a new developer as his neighbor.
New Woodland Partnership (NWP), an investor group which owns the 22 acre parcel directly east of Gateway I, on March 6, 2009, requested “a General Plan Amendment in order to pursue annexation of [this] property and, ultimately, entitlement and development of a highway commercial center,” according to an associated letter from Mintier-Harnish, planning consultants for NWP.
On a contextual diagram appended to this letter, NWP’s conceptual proposal includes a large, retail (‘big-box’) building — similar in size and adjacent to Costco — plus a smaller retail building on the southern portion of this 22 acre parcel.
“Our goal is to work with the City to develop a project that is mutually beneficial,” continues this letter from Mintier-Harnish. “Our initial concern that we would like to discuss with the Planning Commission is site access. We understand that decisions were made in the past that have limited our ability to ensure adequate access for highway-serving commercial uses. We would like to work with the City to formulate a solution to site access that creates a logical circulation network[.]”
Lack of a quorum at its meeting of June 4 prevented the Woodland Planning Commission from considering this matter.
Paul Petrovich was present with various associates, presumably in anticipation of opposing — on a yet unknown basis — this request by NWP.
City staff confirmed that some form of contention or opposition was expected to arise from Petrovich, although no details were known.
Petrovich owns — all — of the relevant land surrounding the 22 acres involved with NWP’s commercial development proposal, essentially locking-up access to this parcel alongside the I-5 freeway.
Only a 24-foot wide: “Right-of-Way, Sewage, Water, and Utility Easement” currently exists along the southern edge of this NWP parcel, which is entirely insufficient access for its development within a rezoned (from Urban Reserve) Highway Commercial designation.
___ NWP’s “Preferred Access Solution” ___
Bronze Star Drive, the road along the southern edge of the Gateway I commercial center, should be extended easterly and then northerly, along the southern and eastern boundary of NWP’s parcel, is the view of Mintier-Harnish.
Mintier-Harnish believes this road extension is now clearly justified under existing law, because development of a city-owned (flood-water) detention basin along a portion of the eastern boundary of NWP’s parcel — accomplished in connection with municipal support for development of Petrovich’s Gateway I commercial center — “triggered” a pertinent clause within a formal, legal access easement — recorded in 1968.
Its March 6 letter accompanying NWP’s request for a General Plan Amendment quotes this formal document as providing that: “this easement shall be expanded to 60 feet upon the rezone or development of any [relevant] property [ ] to either industrial, commercial, or residential.”
“We feel strongly that since the City-owned detention basin located directly to the east of the NWP Parcel has been developed to support an urban use (i.e., Woodland Gateway I), the condition to expand this easement to 60 feet has now been triggered,” describes Mintier-Harnish in its letter to the City of Woodland.
“To further support this argument, the NWP parcel is now surrounded on three sides by entitled urban uses (Woodland Gateway I development, City-owned infrastructure easement to the south, and City-owned detention basin to the east). We would like the City to confirm our understanding concerning this easement,” relates the letter, which outlines an “integrated commercial area, with logical access points between the properties. Our goal is to blend our project seamlessly with the neighboring commercial uses.”
Secondary access is described as an easterly extension of Maxwell road, through the northern portion of Petrovich’s more recently proposed Gateway II commercial center.
___ Petrovich’s Gateway II Commercial Center Proposal ___
Petrovich has his own pending request for a General Plan Amendment, annexation and rezoning of 150 acres (adjacent to the south of his Gateway I development), being referred to as the Gateway II project (for auto/commercial uses).
City documents indicate that. “[Petrovich] has submitted additional funds and requests that work continue on an [environmental impact report], coordinating [various] technical studies,” related to his General Plan Amendment / annexation petition.
Already, an environmental (technical) study has been conducted on the subject of — odor — emanating from Woodland’s waste-water treatment plant, located nearby, in connection with Petrovich’s request to bring a Gateway II project inside the city limits.
The potential exists for the City of Woodland to require Petrovich to provide suitable access to NWP’s 22 acre parcel — as a condition of eventual approval for his proposed Gateway II development.
___ Lack of Quorum Leads to Discussions ___
The Woodland Planning Commission meeting was adjourned after waiting for 15 minutes to potentially achieve a quorum. Its chairperson and City staff indicated that this matter will be on the agenda for its regular meeting of June 18.
One member of the contingent of persons associated with NWP suggested in passing that — in absence of a planning commission quorum to proceed with this item — at least some form of preliminary discussions was ensuing between themselves and Petrovich.
Awaiting a quorum, conversations initiated between NWP representatives and Petrovich and his associates, who were seated nearby.
Subsequent to the meeting, Petrovich and his associates were observed in discussion with a representative(s) of NWP — on the bench in front of Woodland City Hall.
___ Political Prospects for General Plan Amendments ___
Woodland City Manager, Mark Deven, during the June 2 City Council meeting, remarked that the City is essentially operating on a General Plan that was created in 1996.
About $1.3 million is projected to be expended for accomplishment of a comprehensive update of the General Plan, announced Deven.
Feasibility for this goal is absent within a City budget that remains in crisis mode, facing still-declining revenues and a relatively uncertain economic climate.
In response to Deven’s comments at this council meeting, Councilmember Martie Dote expressed concern about prospects of various, accumulating, potential annexations occurring simply by amendment, without a new General Plan.
___ Another Political Hurdle ___
Another considerable political hurdle for municipal annexations exists in the form of present prospects for a specific — tax-sharing agreement — between Woodland and Yolo County, a prerequisite for future annexations to proceed.
Budgets of both local governments are in an ongoing crisis, perhaps a pivotal dynamic within their eventual tax-sharing negotiations.
On May 19, the Woodland City Council approved: “Collaborative Planning Principles for Yolo County and the City of Woodland,” which are “intended to commit both local governments to formal discussion of issues that will facilitate economic development and address potential areas of concern associated with annexations, including fiscal impact, environmental mitigation and governance in advance of a project or annexation application,” according to the related staff report.
“Most specifically,” continues this staff report, “the Principles would facilitate development of a Memorandum of Agreement that would establish the process for implementation of development proposals within annexation lands and a renegotiated Master Tax Sharing Agreement.”
Within the most recent joint meeting between Woodland and Yolo County, Woodland City Manager, Mark Deven, advocated for progress related to this matter, expressing the City’s hope that the County (supervisors) would soon place this item on its regular agenda for consideration and eventual adoption.
Apparently, Supervisor (and former Assemblymember) Helen Thomson, who represents the Davis side of Yolo County, is somewhat upset about fiscal consequences to the County, related to Woodland’s recent annexations.
Thomson’s concern, among other dynamics of county consideration of this item, was the topic of brief discussion at this (joint) meeting.
Woodland (area) Supervisor, Matt Rexroad, said that he would attempt to make some progress with Supervisor Thomson’s reception of this matter, and pursue placement of these “Planning Principles,” already adopted by Woodland, on an upcoming county supervisors’ agenda.
YOLO SUN NEWS REPORT :
“Design Is King,” was the key message from City of Woodland’s Associate Housing Analyst, Jamie McLeod, to about a dozen housing developers who attended an orientation conference on June 3, in advance of their potential submittal of affordable-housing project proposals on June 19.
A detailed process of consideration by the city will result in awarding, on June 30, one development project with a commitment of priority effort by city staff, toward its eventual approval and construction, with remaining projects ranked in order of municipal preference for future attention.
Woodland City Council recently approved issuance of a pertinent Request For Proposals (RFP) — launching what City staff refer to as a “proactive” posture to better attract and more advantageously process proposals for affordable housing development, leading to enhanced value for the community (Please see previous Yolo Sun News Report: City Of Woodland Launches New Affordable Housing Development Process).
Developers came from as far away as San Francisco and Fresno to attend this orientation conference, although the majority of developers were of local origin.
___ Mayor and City Staff Outline Salient Details of Process ___
Woodland Mayor, Skip Davies, was on hand to offer a statement following the staff presentation and help answer questions — which impressed several attending developers. “Thanks for being here, and being interested in us,” said Davies, who also described several relevant facets of City consideration of these housing proposals.
Both Davies and McLeod emphasized that one basic aspect of consideration will be project options involving acquisition and rehabilitation of existing development, rather than potential new construction.
A seven percent (7%) grading advantage for rehabilitation projects is part of the detailed consideration process, although McLeod stressed that new construction projects will certainly be seriously considered. It would seem that a primary component of consideration: “Design is King” would better apply to new construction projects.
Municipal funds accumulated for new construction of affordable housing, related to the ongoing Spring Lake Specific Plan Area, now total about $1 million, for potential use on 74 dwelling units. This factor of incentive, combined with the emphasis on “design,” serves to more or less balance the grading scale for new construction proposals, with inherently higher ranked acquisition – rehabilitation projects.
McLeod mentioned that tenant relocation costs and a “physical needs assessment” (for specific, project funding purposes) should be included, in the case of rehabilitation projects.
“We’re not shy about going after funding,” declared McLeod, referring to the city’s capacity to cooperate with affordable housing developers and facilitate their obtaining of necessary capital to accomplish municipally desired projects.
“Plus, we’re fun to work with,” declared McLeod.
Possibilities exist to obtain various financial bonds and tax credits to support such development, as well as to secure “Infill Incentive Grants” from the federal Department of Housing and Urban Development.
Energy efficiency subsidies, historical preservation grants and density bonuses represent other possible avenues of resource.
___ Police-Magnets Targeted for Rehabilitation Proposals ___
Davies briefly discussed the fact that several — “five of six” — existing housing developments in the city are disproportionately large consumers of public safety services, namely police.
Rehabilitation and improved management of such housing developments, he said, would substantially benefit the community.
McLeod also noted elevated council and community interest regarding potential developer acquisition and rehabilitation of several housing complexes
Investigations by Yolo Sun have revealed that the most powerful — police-magnet — in Woodland is the apartment complex located at 555 Matmor Road, which has long been referred to as — “the Triple Nickel” — by both city staff and local crack/meth-addicts.
City staff indicate, however, their understanding is that the owner(s) of “the Triple Nickel” isn’t interested in selling this apartment complex for rehabilitation.
___ Housing Challenges and Opportunities ___
Another affordable housing challenge noted by Davies during the orientation conference, is that Cache Creek Casino supplies about 1000 relatively low-income residents to Woodland, from its total workforce of around 2800 employees.
Woodland also houses a considerable number of employees and students of the University of California, Davis.
Davies mentioned that, “there are three or four [suitable] parcels with nothing on them,” throughout the city, which would likely be available for new-construction infill projects, implying that the city would assist interested developers in discovering such opportunities.
Davies also noted opportunities for development on parcels with existing structures.
McLeod noted that Woodland has a greater than 90% occupancy rate in its affordable housing developments, with waiting lists for some apartment complexes.
According to governmental policies, 20% of dwelling units in an “affordable housing” project must be reasonably available to persons earning less that 50% of local median income, while 80% of units must be targeted to persons earning less than 80% of median income — with certain financial incentives arranged to promote those 80% of units being available to persons earning less than 60% of local median income.
___ Key Advantages of Affordable Housing Developments ___
Important advantages exist, according to McLeod, in terms of legal requirements applying to affordable housing development — with regard to management operations.
When public funds are used to support such development, law demands that a responsible and accountable system of tenant management is implemented. In other words, governmentally supported “affordable housing” is prevented from becoming a siphon of public services and a public-safety concern, such as “the Triple Nickel.”
Maintenance of high-quality management practices, as a legal requirement, is a very durable value for the community, inherent in “affordable housing” developments, emphasizes McLeod in remarks made to Yolo Sun outside the conference.
___ Developer Reaction ___
Responses of attending developers was perceptibly positive, especially from Larry Del Carlo, President and CEO of Mission Housing Development Corporation of San Francisco, a non-profit housing developer — with 38 years of experience.
Del Carlo stated during the orientation conference that the style and approach of the City’s Request for Proposals (RFP) indicates that Woodland has — “the political will” — to accomplish its goal of best developing affordable housing.
“That makes it interesting for us [to pursue],” continued Del Carlo.
Interviewed subsequent to the conference, Del Carlo repeated that it requires civic leadership to successfully create such housing development. When asked to elaborate on his perceptions, he said that a “cooperative” attitude “was evident,” that city staff has “experience with this process,” and displays a “willingness to work” to achieve its goal.
That the city “has identified local funding sources,” like the $1 million pooled for affordable housing from the Spring Lake Specific Plan, as well as providing a wide variety of development incentives, demonstrates both municipal leadership and resolve, said Del Carlo.
