HomeMy WebLinkAboutM072678July 26, 1978.
Budeet Session
RECONVENED: The Board reconvened at 4:20 a.m. Present: Supervisors
Lemke, Madigan, Moseley, Richter and Chairman Winston.
Clif Nickelson, administrative officer; William R, Lawrence,
county auditor by James Johansen, assistant auditor; and
Clark Ao Nelson, county clerk by Cathy Pitts, deputy clerk,
7$-1386 BUDGET HEARING AND FINAL REVENUE SHARING HEARING
The budget hearing was held as continuedo Chairman Winston
stated that because of the complexity of the problems facing the county
in light of proposition 13 the budget hearings will go on for a considerable
length of time.
EXECUTIVE SESSION: The Board recessed at 9:25 a.m. to hold an executive
session regarding litigation,
RECONVENE: The Board reconvened at 9:28 a.m. following an executive
session regarding litigation.
78-1387 AUTHORIZE. COUNSEL TO WITHDRAW FROM LAWSUIT IN BUTTE COUNTY SUPERIOR
COURT CASE N0. 22137. ESTATE OF ANDREWS
On motion of 'Supervisor Lemke, seconded by Supervisor Richter
and unanimously carried, Counsel was authorized to withdraw from the
lawsuit in Butte County Superior Court Case No. 22137, Estate of Andrews.
78-1387 BUDGET HEARING AND FINAL REVENUE SHARING HEARING CONTINUED
Clif Nickelson, administrative officer, made a preliminary
report to the Board. In the proposed budget, although the budget was
2% higher than in previous year the requirement for property tax funds
increased by 26%. There are no proposed funding of another year of
anti-recession funds which is about $1,400,000 which would have been
property tax relief. There was a large reduction in the amount of revenue
sharing funds carried over. Most of the allocation of revenue sharing
funds were spent. There were also reductions in revenue other than revenue
sharing. There were annexations to the cities that took in commercial
installations and there was a loss of sales tax. There was a very heavy
annexation in Oroville involving almost all of the motels resulting in
a loss of the bed tax. Things have changed because of funds coming in
from the State for Welfare and Mental Health. Mr. Nickelson felt that the
Board will need to reduce the property tax requirements in the budget
by $2 million to $2.5 million in order to stay within Proposition 13
limitations.
Jim Johansen, assistant auditor, stated that he hoped by early
next week to have the final adjusted fund balances available. This will
eliminate one of the unknowns. The other unknown is the county`s share
of the $4 tax rate. The final payment of anti-recession funds was
received last week in the amount of $153,000. This is the final payment
under the anti-recession legislation. The federal government is reviewing
continuation of the legislation. There is a question regarding the unsecured
roll, This is a stateside question. The question is whether the $4 tax
rate as implemented by proposition 13 is used or whether the prior year
rate should apply. The Attorney General issued an opinion that the $4
tax rate should apply. Other attorneys and other counties feel the
prior year rate should apply. This could make a significant difference.
i
Bill Lawrence, auditor, stated that the overall difference
is about $400,000 for the county. The State Board of Equalization has
informed him that they would file suit to enforce the $4 tax rate,
Page 940
July 26, 1978
July 26, 1978
Corrections to be made to the proposed budget set out at this time.
Corrections are as follows:
Buildings & Grounds Maintenance, page 36.
Account 31 - Maintenance - Major - Structa Add: $35,679.
Total increase: $35,6790
General Insurance, page 68.
Account 27 - Insurance - General. Add: $9,555.
Auditor to make adjustment in budget to reflect $9,555 in Account
27 and decrease in Account F-loo
Total increase: None.
Purchasing & Civil Disaster, pane 180
Account 23 -'Communications. Add: $168.
Total increase: $168,
Elections, page 32.
Account 23 - Communications. Add: $168.
Total increase: $168.
Public Works - Department of Transportation, General,,Administrati,on, page 186,
Account 23 -.Communications. Add: $126.
Account 41 -.Special Department Expense. Add: $72.
Total increase: $198.
Public_Works - Department of Transportation, Yards and Stores, page 194.
Account 23 -,Communications. Add: .$168.
Total increase: $168.
78-1388 BUDGETS DISCUSSED'.
Agriculture Department. pace 160.
Joe Bandy, agricultural commissioner, stated that there was a
greater amount of revenue received in excess of $100,000, One-fifth of
the weights and measures salary are reimbursed from the state level, There
was a budget item within transportation and travel for two conferences
which should be deleted. This is in the amount of $1,200, Personnel in
the air pollution control area have been given additional responsibilities
that extend beyond the district. Mr. Bandy asked that the Board give
consideration to reclassification and salary .adjustment in his department
priox to final approval of the budgeto
The matter of personnel reclassifications 'E1as been referred
to the Personnel Department for comment.
Account 43 - Transportation & Travel. Delete: $1,200.
Total decrease: $1,200,
Budget left open.
Page 95, July 26, 1978
July 26, 1978
Treasurer & Tax Collector. nape 20.
Carl Morton,'treasure-tax collector, indicated that he was not
in agreement with his budget. This is in the salary range of the employees.
Mr, Morton made a supplemental request on account 35 - office expense. This
would be to increase the total $500. This would be an increase from $27,000
to $27,500. This is to take care of the increase in the postal expenses
for registered mail.
Budget left open. No action taken on request.
Fire Protection. Regular Service, Page 154,
Bob Paulus, fire warden, indicated he was not in agreement with
his budget. The primary disagreement deals with the proposed new station
at Butte College, In view of the situation, he would agree with the
Administrative Officer at this time. Mr, Paulus stated that he would
agree to a reduction in account 36 - prof, & specialized services -
state contract from $1,381,864 to $1,240,000. Isis office would be able
to maintain at the existing level of last year.
Mr. Nickelson stated the reduction that Mr. Paulus spoke of
was listed in his memo. to the Board of July 24, 1978, subject: Proposition 13
budget adjustments.
Budget left open. No action taken at this time.
78-1389 BUDGET HEARINGS OPEN TO PUBLIC
.The budget hearing was open to the public at this time.
Appearing:
1. Ramona Flynn, president',. Chico Friends of Butte County
Library. Ms. Flynn stated that the Board had made a committment to the
building of a new library in Chico. She asked that the Board consider
the importance of the 7.ibrary and commit the money to build the library.
Despite predictions, our society has made the library indispensable,
A community library "reflects the character af:thercommunity. Ms. Flynn
urged that a least $1,5 million of revenue sharing funds be committed.
Chairman Winston gave a summary of the requests for revenue
sharing< They are as follows:
Meals on `'Wheels $26,000
Gridley Biggs Seniors
Feather River Park and Recreation
Northern California Health Services Agency
Wheel Chair Access 8,000 for Chico Memorial Hall
2. Todd Radke, Chico Visitor and Convention Bureau. Mr. Radke
was present to discuss the Economic Development program. The Board has
held hearing on raising the bed tax from 5% to 6%. Mr. Radke suggested
that the Board hold a hearing with the people interested in tourism
promotion. This could be with the various Chambers of Commerce in the
county. Mr. Radke stated that the intent of the Board when it adopted
the bed tax was that although the money would not be earmarked, it was
intended to be used for economic development. This is not simply
providing a service. There will be a return of money to the county.
Mx. Radke left information on his proposal for tourism with the Board.
3. Bob Paulus, fire warden, stated that he had just looked
at the memo from the Administrative Office regarding budget adjustments
in view of Proposition 13. He would like to have an opportunity to
speak to the recommendation regarding his department.
Page 96.
July 26, 1978
July 26, 1978
4. Jim Lynch, Greater Chico Chamber of Commerce. Mr. Lynch
stated that the Board will take under advisement the funding of the
Economic Development Agency. The Board has all of the information they
need to make a decision.
Chairman Winstan advised that there is a recommendation from
the Administrative Office on the budget adjustment list relative to the
Economic Development Commission,
Mr. Lynch stated that originally when the bed tax was started
the money was to go for tourism.
The matter of the Economic Development Commission will be
discussed later in the meeting.
5. Shana Turner, Chico. Ms. Turner stated that she hoped the
Board in doing away with the Economic Development Commission was
taking care of the requirements fox OEDP for the grant. A three-year
grant has been submitted. Mso Turner stated that she was with the
Small Business Development Commission. She would like to keep informed
of what is happening.
6. Prank Pastega, Do-It Leisure Corporation, Mr, Pastega
presented a slide presentation regarding the corporation. The corporation
has developed a specialized service for the handicapped, They are
attempting to work with the existing organizations to?:help the handicapped.
They attempt to integrate the handicapped population so they will be
able to became independent clients of the individual districts. Mr,
Pastega stated that his organization is asking for a $45,000 grant.
There is a great deal of volunteer work done.
The request will be considered. Do-It Leisure Corporation
is on the list of possible recipients for revenue sharing funds.
7. Nora Wiley, Gridley. Ms. Wiley stated that she hoped
that the libraries would stay open.
RECESS: 10:30. a.m>
REOONVENE: 10:7 a.m.
78-1390 PROPOSITION l3 - BUDGET ADJUSTMENTS
Some of the budget adjustment would include adoption of fee
schedules in various departments. Mr. Nickelson stated that one of the
questions in requiring fees would be a legal question. This has to
be researched.
Supervisor Richter stated that he was supportive of charging
for services rendered or provided other than critical areaso He supported
the concept.
Discussion of budget adjustments:
1. ~l_mination of legal research assistance vroQram to Superior Court
This has been done. The savings would, be $12,252.
Tentative approval.
2. Fed schedule prop_o_sed for Public Health, Environmental Health Unit
This could reduce the dependency on the general fund by $115,602.
The fees would be charged for restaurant inspection, swimming pool inspection
and septic tank inspection. There are several fees that could be charged,
There is a question of the legality of changing for these services.
Tentative approval.
3. Fee schedule proposed for well-baby clinics, immunization clinics,
venereal disease treatments, pregnancy counseling clinics and genetic
counseii services Public Healtho
This could reduce the dependency on the general fund by
$30,000 annually.
Page 97,
July 26, 1978
July 26, 1978
b. Agricultural Commissioner, Office of Weights and Measures and Air
Pollution Control District proposed fee schedule
The fee schedule could develope an estimated revenue of $50,000.
It was felt the Agricultural Gommissioner could he consulted regarding
the proposed fee schedule.- There is a question of legality involved.
4. Increased fees for building and subdivision inspection: Proposed
that funds be transferred to general fund to relieve property tax burden.
Mr. Nickelson stated that there is a possibility that the
inspection fees fox the building and subdivision units should be re-analysedo
His office is proposing that the surplus funds be transferred to operate
the general fund. There is no way of determining which section is paying
for itself and which is not. The fee schedule should be adjusted so that
the units are paying for themselves and the surplus could be put in the
general fund. There is a surplus of $224,000.
Tentative approval.
2b. Prioritization of fire stations within the county
Mr. Paulus stated that he was not recommending that any fire
stations be closed. There are no volunteers in Bangor. If the station
were closed in Bangor there would be zero fire protection. Mr. Paulus
would be opposed to closing of the Bangor Fire Station. The Gridley and
Biggs fire stations could be reasonably supported by a volunteer department.
The problem would be during the day. The level of fire protection would
be greatly reduced, These engines could not be dispatched to another
station for coverage if they were a volunteer unit. This would be a
reduced level of service. He was not in favor of this. The level of
responses are increasing 15 to 20% each year throughout the county.
If these changes were made there would be a drastic reduction in the fire
protection. Within the county there are 19 volunteer fire groups and 280
paid firemen. The volunteer fire groups would be affected by the proposal.
At the present time there is a paid engineer who drives the engine to
the fire with volunteer support at the fire.
Mr. Nickelson questioned Nx. Paulus regarding Bangor fire
station. 1s Bangor in the area shown as Division of Forestry responsibility?
Mr. Paulus stated that it was. There is also ,. mutual aid
with Xuba Gounty infrequently,
No action taken.
10. Re-analysis of Schedule A contract by the Fire Department regarding
salary and benefits for employees
The State has put a freeze on salary increases. This would
be the reduction to the county as a xesult of this freeze.
Tentative approval<
5o Revenue classification of "fines forfeitures and penalties"
Mr. Mickelson'stated that the code sections permit a percentage
of fines and forfeitures through the courts to be placed into the general
fund. These have always been placed into the road fund. The Board could
take 50% of the revenue and put it into the general fund property
adjustment.
No action taken.
7. Work Referral Program deletion
This would be a savings of $13,417.
Tentative approvalo
Page 98.
July 26, 1978
July 26, 1978
8. Consolidation of Chico Marshal's~Office with Sheriff`s Department
This has been accomplished. Tentative approval.
9. Consolidation of Recorder and Count Clerk's Office
This has been accomplished. Tentative approval.
6. Fee schedule for Agricultural Commissioner, Office of Weights and
Measures and Air Pollution Control District
Joe Bandy stated that there is resentment in having to apply
for a permit now. The people would probably object to paying the fee.
The permit is required by law. Sutter County has taken action along
these lines. Charging of fees would be difficult to do under existing
staffo There would be additional paperwork involved.
Discussion of centralizing billing process had at this time.
The fees could be adjusted to compensate for the extra help.
Tentative approval.
11. Pro osed closure of memorial halls.
Possibility of turning the memorial hails over to veterans
groups discussed. They could lease the halls from the county and charge
for rental and operate the halls.
32. Treasurer-Tax Collector bud et reductions ro osed
Mr. Morton stated that when he took office the collections had
been pyramiding $150,000 every year. He developed the collection department,
This is not only for unsecured taxes. This has built into something
beneficial for the county. They have collected. His office has worked out
programs with the court for collections of fees. When the department
first started there was about $600,000 in uncollected fees from prior
years. There is about $250,000 at the present time. The people know
now that if they do not pay the county is going to go after them and get
the money. The only way to do this is with an outside man. Nr. Morton
stated that he could not argue with the other points. With the deletion
of item 2, extra help, people could have to stand in line to pay their
taxes. When you start backing up payment of taxes there is going to be
an effect on revenue. The county could lose interest.
No action taken.
11. Proposed closure_of memorial halls
The county would maintain its capital investment. It is not
unreasonable to ask the users to pay for the cleaning and sweeping. of
the buildings. There would be elimination of the janitors and additional
help along with utilities. Mr. Nickelson stated that the Board might
want to sell the old Palermo Firehouse.
Veterans organizations to be asked for input on this proposal.
13 Proposed elimination of__Development Commission
aim bynch, Creater Chico Chamber of Commerce, stated that the
program as set up was set up in conjunction with the cooperation of the
Chambers of Commerce.. It appeaxed to be a good program at the time it
was set up. The effectiveness is questionable. Part of the money went
to the Chambers of Commerce for use to promote the. resources of the county.
Mr. Zynch stated that he~~thought it was very important to remember where
the money originally came from to fund the Commission. The intent was
that the money would come from the bed tax. The money collected is not
from any local person. There is a tremendous realization in the Chico
area that perhaps one of the greatest economic programs that we have
available is the visitor and convention trade. Butte County will never
Page 99.
July 26, 1978
' July 26, 1978
develop into a high industrial area. This has the ability to bring in
money. A good example of this is Aspen. The permanent population is
5;000 and 1$,000 to 25,000 transient papulation< The tourist and convention
business is good and will not change the basic structure of the area.
Oroville is the second tourist area in the 13 counfres. It is going
to hurt the area if this is pat advertised, Money is investment.
Todd Radke stated that he would like to give an example of the
visitor trade from Ventura, The county has been funding the tourist
promotion for about six years. In 1970 the bed tax income was $50,000
and in 1977-78 it was $250,000. There was no increase in the tax rate
because of the six years of advertising. Last year $35,000 was put into
advertising in the Ventura area. There was an increase in group sales
of about $600,000 because of the $35,000 advertising program. This is
an indication of what advertising can do. There would be very little
in administrative funds. The advertising for Butte County could be done
by the Chambers of Commerce.
Supervisor Richter stated that there should be money set
aside for contracting out the grant preparation to a private firm. The
coordination should not be in Planning but should be in the Administrative
Office.
Shana Turner,. Sma11 Business Development Center, stated that
the Center offers as a free service the. preparation of grants. The
Center has grant people on staff that do the leg work and write the
grants., Since March 3 the Center has affected over $5 million in this
area.
Tentative approval given to elimination of Development
Commission. The other matter left open. The Board to discuss at a later
date.
12. Pro osed closure of Veterans Service Officer as a de artment.
It was felt that this should take place. The veterans can
still contact the regional office regarding their problems.
Tentative appraval.
14. Proposed reductions, in,,Board of Supervisors budget
Supervisor Madigan stated that the memberships in the Cenral
Valley Flood Control Association and Superior California Water Association
should be retained,
It was felt that the memberships in NACO and RCRC could be
eliminated. It was also felt that the salary increase could be eliminatedo
Discussion of elimination of travel had at this time. Supervisor
Richter stated that he would be in favor of eliminating the travel if this
were done on a county wide basis.
Administrative Office to make a report on the travel costs.
.,. Tentative approval of recommendation with change in memberships.
Memberships for Central Valley Flood Control Association and Superior
California Water Assiciation to be left in budget with a total of $650,
The travel and extra help to be discussed at a later time.
19. Proposed use of available revenue sharing in fiscal year 1978-79,
Clif Mickelson, administrative officer, stated that his office
is proposing use of these funds for fixed asset acquisition and funding
of the Sheriff's Department operations. If the revenue sharing monies
are used to build libraries,. what about the need for revenue to operate
the libraries. Mr, Mickelson stated that he thought it would be necessary
to use revenue sharing funds to operated It will be difficult to build
a library and explain to employees the fact that they will be Iayed off.
Administrative Office to study the matter and report back.
Page 100,
July 26, 1978
July 26, 1978
25. ^Proposed budget for Library
Mike Pyeatt~ deputy administrative officer, stated that
according to Sb 154 and SB 12 the county free library system is considered
on a less than county wide basis. It is considered a special district
and should only be given a portion of the $4 tax rate. It is anticipated
that about 52% of the income in 1977-78 can be expected which represents
about a 48% cut in the budget.
Jo Terry, librarian, stated that she was not in agreement
with the 48% cut. A 20% cut for the library is going to be very devastating
to the level of service now offered. The funding as requested in the
preliminary budget is less than the price of one subscription or one
hard cover book in the county. Mrs. Terry stated that one interpretation
of the special taxing fund is that the library may be set aside as a
taxing district. It is up to the jurisdiction. She did not feel the
library employees were being treated fairly. Almost 800,000 volumes
were circulated during the last fiscal year. The operating expenses
are considerably less than in some of the other counties. Butte County
operates an economical library service.
Jim Johansen, assistant auditor, stated that for the purpose
of the $125 million SB 154 funds the county free libraries, fire protection
services and road districts shall be considered special districts.
The Administrative Office to come back with report regarding
a cutback of hours and service. This would be for a 20% cut or a cut of
$100,000 to $200,0000
34. Proposed reduction in Personnel budgeto
Jim Rackerby, personnel director, stated that the reduction
in the training 'budget would have to be renegotiated because of the
memorandum of understanding. This budget is only 25% property tax funded.
No action taken.
31. Proposed reduction in Sheriff/Coroner enforcement division
Mr. Nickelson stated that this included reconsideration of the
coroner arrangements.
Matter continued to receive information from Sheriff.
RECESS: The Board recessed at 12:50 p.m. to reconvene on Thursday,
July 27, 1978 at 9:30 a.m. to hold hearing on SB 154 funding
for special districts and to continue budget hearings.
July 27, 1978
RECONVENED: The Board reconvened at 9:30 a.m, Present: Supervisors
Lemke, Madigan, Moseley, Richter and Chairman Winston.
Glif Nickelson, administrative officer; Dan Blackstock,
county counsel; William R. Lawrence, county auditor; and
Clark A. Nelson, county clerk, by Cathy Pitts, deputy clerk.
78-1391 PUBLIC HIRING: SB 154 DISTRIBUTION OF $125 MILLION FOR SPECIAL
DISTRICTS
The public hearing on the SB 154 distribution of $125 million
for special districts was held as advertised. Bill Lawrence, auditor,
read his memo dated July 27, 1978. The memo shows the priority of the
various special districts as to their dependence on ad valorem taxes
for funding. The fire districts must be considered first. The $585,480
projected is not final.. The final determinatian will be done by April l0.
The districts were segregated by their ability to raise fees by other
means. The fire districts havetp be'first by law. The library
Page 101, July 27, 1978