I hope he's writing a book.

Are you writing a memoir?

Kinda.

We want to tell all.

I promise we won't publish it till you're under the ground, but I'll probably be there before you, but I'll pass it on.

All right.

So as a member of the Stonewall generation, and thank you, Ricky Brown, for all your words as well, and everybody who's spoken.

It's just fabulous.

I'm going to be very short, because you know, I'm really a doctor, I'm not really a politician.

So as a member of the Stonewall generation, I have witnessed how far we've come.

Oh, I could tell you some stories too.

But we must remember that progress is never necessarily permanent.

In today's political climate, our rights, our dignity, and even our existence, our very existence is under attack.

That's why this year's City Hall exhibit, our history will not be erased, is so important.

It's more than a theme, it's a promise to those who came before us and a commitment to those who will follow us.

Too much progress has been made to give up now.

Let's celebrate a LGBTQ History Month, not only with reflection, but with renewed resolve to protect our progress and continue the fight for equality and justice for ourselves and for all people, as we have always been allies in the other struggles for civil rights in this nation.

Normal Americans who deserve the same rights as every other person in America.

And with that, I am honored to officially declare alongside Mayor Gloria, Councilmember Whitman, I'm sorry, Whitburn.

We've only been friends for twenty years.

Good morning.

I will now call the city council meeting Tuesday, October 28th, 2025 to order.

Clerk, please call the roll.

Thank you, Council President.

Councilmember Campbell?

Here.

Councilmember Whitburn.

Here.

Councilmember Foster.

Councilmember Von Wilpert.

Council President Pro Tem Lee.

Here.

Councilmember Campillo.

Councilmember Moreno.

Present.

Councilmember Elo Rivera.

And Council President La Cava.

Present.

Also attending the meeting are assistant city attorney, Michelle Garland, Deputy Director in the IBA's office, Gillian Andalina, Council of Affairs Advisor in the Mayor's Office, Coda Zeiser, and myself, your city clerk, Deanna Fuentes.

Thank you very much.

Quorum is now present.

We will begin this morning with the land acknowledgement and the pledge of allegiance led by Council President Pro Tem Lee.

If you'll all join me in please facing the flag.

We did not receive any comments via our e-comment portal for these items.

We do have several speakers here.

Um one minute each for item 32.

If we can start with John Heilman, and if I can ask the following individuals to please come up to the yellow reserve seats, you'll have one minute for any comments on Evan Tando Day.

Richard Tando, Emily Tando, Nora Tando, Darlene Tando, Angela Sapoya, and Omen Sabat as well as Evan Tando.

If you can all please come up to the yellow reserve seats.

John, you can come up to the microphone and make any comments you'd like.

You'll have one minute.

Good morning.

My name is John Heilman, and I'm here to just tell Evan Tando how wonderful we think he is and congratulate him on the great uh honor that he's getting, I think today.

And uh I'm just uh happy to have known him for over 45 years.

Uh thank thank thankfully uh it's because I met my wife, Julie, who is his aunt and also his godmother.

And uh so he's just a marvelous person that uh believes in taking care of everyone that he meets and sees.

He um is generous and very giving of his time and everything else, even though he is extremely busy.

Uh he always finds time to do things for other people.

And uh the one thing I think that I really appreciate about Evan is that uh if you've ever met him, you become his friend for life.

He's just a fabulous person.

Thank you for that concluding comment.

Richard Good morning, and thank you for proclaiming today Evan Tando Day.

I'm Richard Tando, Evan's father.

Evan is third generation American and native San Diego.

Evan's paternal grandparents immigrated to this country from the Philippines and Mexico in search of a better future for themselves.

They brought with them their values of family, community, and strong work at ethic.

Evan's grandfather worked two jobs to support the family.

In lieu of having the resources to donate money, he gave of his time, such as being a coach for baseball, being a troop leader for Boy Scouts, and serving on the councils of both organizations.

It is fitting that Evan has chosen today to receive this honor on what would have been his mother's 74th birthday.

She chose to be a stay-at-home mom.

There was nothing more important to her than her children.

Thank you, Evan, for being the person that you are.

Thank you for that concluding remark.

Emily Tando.

Um hi, I'm Emily Tendo.

I am Evan's sister.

Um I'm not fully sure if he can grasp the effect that he has had on not just my life, but the lives of everyone around him.

Maybe today he will.

He's always been in my life, and one of the first and strongest memories I've had of him is him emphasizing to me to always be kind to others.

It only matters who you are, not what you look like, or how you dress, or how much money you make.

I've personally seen him do his best to live by that.

There have been many things stacked against Evan throughout his life, even today, but one thing has always stood strong: his drive to do right and go above and beyond for his family, his friends, his peers, his clients, and his community.

He's given so much, not just in a monetary value, but in immeasurable investments of his energy, time, generosity, love, and kindness, of course.

And one of the biggest reasons for his greatness is that he doesn't even do this for recognition for that concluding remark.

Thank you.

Nora.

Good morning.

Evan, you are an inspiration to me.

As your stepmom, I am incredibly proud of you for sharing your time, treasure, and talent with the community of San Diego.

That you love so much.

Through your kindness, generosity, and compassionate heart.

You make our community stronger and more resilient.

You are a remarkable role model for your sons, our entire family, and all the people you invest in.

Your dedication helps in spreading hope, creating opportunities, and transforming lives.

Thank you for making a difference.

Thank you.

Thank you, Darlene.

Hello, my name is Darlene Tando, and I'm Evan Tando's ex-wife, so you know he's great.

Um here to celebrate his day.

I remember Evan, when you got into this field 20 years ago, you were wondering if you could move from helping people to getting a sustainable income in San Diego.

And somehow you did both.

Um, and you created such a great life for yourself, but also giving to so many people and so many charities and so many good um you support so many organizations that support other people.

And then through your work, you have been this amazing source of support during really stressful time, right?

Of buying a house and all of that.

And then you have helped everyone achieve their dreams of owning a home.

So thank you so much for your spirit of giving and also for modeling that for our kids.

Thank you.

Angela.

Good morning.

My name is Angela Cepola, and it is an absolute pleasure to stand here today in honor of my best friend of 35 years, Evan Tando.

When I think about the epitome of a truly great person, it's Evan, a proud San Diego native.

He's devoted to his city in so many ways.

Through his generosity, his philanthropy, and his unwavering commitment to others.

It's not just about the countless hours he's given to our community, but the heart and sincerity behind everything he does.

Evan is a devoted husband, a proud father, a loyal friend, and a trusted advisor in real estate and finance.

But what truly defines him is how he uses his success to lift others up.

Whether he's serving on nonprofit boards, empowering youth, or helping families and veterans emerging from homelessness to find a new and beautiful place to call home.

Evan leads with passion, humility, and purpose.

Today, this recognition is so well deserved.

It is a lasting tribute to a man whose kindness and dedication has touched so many lives.

Evan, you remind us all that success means more when it's shared.

Congratulations, my friend.

You've made the city and all of us incredibly proud.

Omed good morning.

My name is Omet Sabet.

I am the founder of the Positive Movement Foundation, and I've had the amazing privilege of having Evan on our foundation board for the last three years.

I will summarize Evan in one word.

Giver.

He gives from his heart, he gives with his time, he gives with his finances.

And any other way you can think of, the man gives.

And he doesn't expect anything in return.

So thank you for doing this today.

Congratulations, Evan.

Thank you.

And our final speaker is Evan.

Just wanted to take a minute to thank you, our city clerk, Deanna Fuentes, for the nomination.

Thank you for seeing me and recognizing my work.

As kids, we often mirror the environment we're raised in, and that was certainly true for me.

My mom was sick for about five years when I was young, and during that time, I saw the community come together for us and help us out.

And when I think back to that time, I think about how deeply cared for that I felt by the people around me.

These were teachers, principals, you know, community members.

After my mom passed, my dad founded the Emma Foundation.

It was a nonprofit in my mom's name.

But watching my dad turned loss into purpose really left a lasting impression on me from a very young age.

It gave me the idea of what it meant to live a life full of service.

Through volunteering and supporting local nonprofits over the years, I've learned that change rarely happens all at once.

And solving the world's problems is no easy task.

Thanks to all my friends and family for supporting me throughout the years.

Thank you for that concluding comment.

That does conclude comment here in Council Chambers, going to those participating remotely.

Around Matt Bespee.

And then I don't know what happened.

My hand was lowered at one point.

I don't know if that's whatever.

Anyway.

Please proceed.

So I just think it's interesting when we are, you know, when we see the state of the city and our financial, you know, issues and how much, you know debt we're in in the city, and then we, you know, give people a proclamation when they're you know a chief financial officer.

Um so it's you know, a little bit.

I mean, it's just a little confusing because it's like I mean, I would see that if you know we were you did cut off, but you have been unmuted.

Can you speak?

Hello.

My apologies.

There was a technical difficulty, but you have been unmuted.

Time was paused.

You'll have about 30 seconds, you can continue.

Okay.

Um I don't know.

I just when you guys have severe financial issues and we're giving the chief financial officer a proclamation, it makes it seem as though you know everything is great when you know the the city is is failing miserably at providing when it needs to.

So it's just it's it's it's sad that we can't, you know, make sure that that happens before we give somebody a proclamation, acting like you know, we're in good financial standing when it's anything but that.

And it's not necessarily that person, because I would also say there's other people in the city doing it, but it doesn't look good on the chief financial officer.

Thank you.

Next, we have Blair Beekman, if you can please unmute.

All right, thank you.

Blair Beekman.

Uh I just wanted to note that uh there are technical issues happening on my end on Zoom as well.

Uh so uh DRA doesn't have to feel so confused.

There seems to be some sort of item or items, would you wish to speak to?

We'd have reset, so it should be completely.

I'm very sorry.

Uh I didn't I didn't technically have an item to speak to.

I only wanted to speak to the uh technical issues going on protocol.

I want to speak to protocol, sorry about that.

Thank you.

That does conclude public comment on the proclamations.

All right, thank you, City Clerk, and uh thank you for being so quick to resolve the technical issues.

So I'll now turn it over to my council colleagues for any comments and entertain a motion, and we'll start with council president Pro Tam Lee.

Thank you, Council President.

I'll start by moving the proclamations agenda.

And um, I want to start with item 30, where the council president and I are honored to be bringing forward item 30 today, recognizing Matt Vespie, our city's outgoing chief financial officer during what is his last week with the City of San Diego.

Uh this recognition comes not only on behalf of this council, but reflects the numerous grateful uh members of the city family, many of which are here today, uh, to celebrate Matt's contributions to the city of San Diego as well as to wish him well on his next adventure.

Um I first met Matt when I initially took office approximately three years ago, uh, during what was then and now is perhaps more than ever a challenging budget and fiscal situation for the city.

And I always found him to be one of the easiest individuals to work with and one of the smartest individuals to work at the city.

For all those who get to work with Matt, they know him to be one of the city's most practical problem solvers, well regarded for his ability to remain level-headed even through the most challenging and complex situations, including through the COVID throughout the COVID-19 pandemic and other global and national economic uncertainties.

Matt's leadership and service to the city has spanned a variety of roles since 2011.

And throughout his 14 years of public service, he expertly guided the city through many issues, including developing long-term financial strategies, spiriting efforts to reverse the invalidated pension reform measure, and restoring thousands of employees to the pension system, leading negotiations with all six recognized employee organizations, chairing the safety and risk oversight committee, and representing the city of the San Diego City of San Diego on the County Water Authority's board of directors.

Parker and Logan and cheering them on with his wife Kendall at their basketball and baseball games.

And I think that always, as uh a fellow parent, always reflected his dedication uh to balancing his family and his commitment to the city.

Um Matt, I want to thank you for your guidance, um, not just to this council, to all of us who serve in the city, uh, but really to me as well.

Um I think we have all benefited from your service, um, not just to the city of San Diego, but really your service to the people of San Diego.

And that's what we're here to celebrate today.

This is certainly bittersweet for all of us.

I think we're sad to see you go.

Um, but in seeing you depart, we recognize that you're going not far to the port of San Diego, uh, where you're taking on a new role as their chief administrative officer.

And our loss as a city is certainly a benefit for the port and a benefit for the region.

And we're certainly proud to have called you a part of our team, uh, but to also celebrate you today.

Um, so therefore, this council is looking to proclaim your last day, November 3rd, as Matt Vespee Day in the city of San Diego.

And so I'm gonna call Matt up uh perhaps for what might be one of his last times in this capacity as the city CFO and to offer him the rest of my time to share any remarks.

Thank you, uh Council President Pro Tendley.

Uh, and thank you, Council President Lakava.

Um, and thank you to all of you for uh the recognition and the opportunity to be here.

Um it's been I'm very grateful for the opportunities that I've had with the city.

Uh joining the city, being in municipal finance.

Never could have thought it would be so exciting and so challenging.

Um I also, though, have to acknowledge my co-workers.

Um, there are so many uh truly great people that work in this organization that are truly here to provide the best uh service to the residents of the city and often time with less resources that are needed to provide the service that we all want to see this organization provide.

Um it's a group of employment a group of co-workers that have been more than generous with their time.

Um I owe so much uh gratitude for uh my coworkers taking the time to educate me on whatever the field is that they work in and the resources they need for this organization to be successful, and really my goal has been to bring that forward to this role to try to better resource our organization to really provide the service that I know all of us here want to provide to the residents.

So I really specifically want to call it the finance branch.

I'm extremely proud of the team we've built in the finance branch over the last five years.

Uh the public utilities team.

There are so many really great folks in public utilities that I owe a lot of gratitude to.

Um, but also through throughout the rest of the organization.

I I don't want to leave anyone yet up, but um it's just I'm very grateful for the time that I've had to spend here.

I also want to thank my family for being here, uh, my wife, Kendall, my two boys, my mom made it as well.

Um, my parents, my my dad's not able to be here, but um thank you to all of them as well.

So um with that, thanks again for the time.

Thanks again for the recognition.

Really appreciate it.

I'll miss you guys as maybe as backwards as that might sound, but um, I've really enjoyed everything.

I uh I've I've appreciated my relationship with each of you individually and as a group, and um thanks again, appreciate it.

Thank you, Council President.

All right, and Council President Pro Temley, who made the motion to move the proclamations will go next to Councilmember Moreno.

Thank you.

Um item S502 proclaims October 29th, 2025, to be Michelle, uh Mr.

Baby B Guerrero Dane, the city of San Diego.

I believe I have slides that I wanted to show.

Um it's my honor to co-sponsor this proclamation with Councilmember Whitburn to recognize a remarkable artist, Michelle Guerrero, who is professionally known as Mr.

B Baby.

Uh, Ms.

Guerrero is passionate about celebrating Mexican American culture and history throughout the city of San Diego and beyond.

Uh, for nearly a decade, her vibrant murals have been on display and continue to be in communities across San Diego, throughout the United States, and in places like Bermuda, Thailand, and Sochimilco, Mexico.

Ms.

Guerrero's work shares the spirit of San Diego's Mexican American culture with the world.

Her art creates spaces for reflection, pride, and connection.

And I've had the distinct honor as an MTS board member to help commission one of her art pieces.

One example is her collaboration with the San Diego Metropolitan Transit System on the East Bayer Bridge, where Ms.

Guerrero's uh brought to life a mural titled Our Culture Has No Boundaries.

This mural celebrates the intertwining stories of San Diego and Tijuana, reminding us that art transcends borders and unites us through shared heritage and community spirit.

Ms.

Guerrero's dedication to community engagement and representation has inspired countless individuals to take pride in their roots and to see themselves reflected in the art around them.

Today we honor Ms.

Guerrero, not just for her artistry, but for her ongoing commitment to uplift the voices, history, and beauty of San Diego's Hispanic community.

I would also, I'd like to invite Miss Michelle Guerrero, if she's I believe she is here if she'd like to say a few words to come up to the mic.

Hello, how are you guys?

It's an honor to be here.

Thank you guys for the recognition.

My name is Michelle Guerrero, and my mural titled Our Culture Has No Bounds is a tribute to the intertwined identities of San Isidro and Tijuana.

Growing up in Chula Visa, I live this reality every day where Mexican American cultures blend seamlessly, where the border doesn't divide, it connects.

In my mural, two lovers stand on two separate cliffs, yet they reach reach toward each other, showing that love transcends any boundary.

On a monarch butterfly, they take off, carrying their story into a happily ever after.

A Quetzacotal weaving between both sides reminds us that our roots are ancient, resilient, that our culture is alive, moving, transforming, just like the people who call this border home.

A reminder that while the border is real, the ties of culture, family, and community are stronger.

My hope is that everyone who passes beneath this bridge feels the same truth that our culture has no bounds.

Thank you so much for MTS for trusting me to add this addition to the community and helping tell our stories.

And thank you guys for recognizing my work.

Thank you.

Thank you.

Item 32 is proclaiming October 28th to be Evan Tando Day in the city of San Diego.

I have known Mr.

Tondo for a number of years, and I could attest to his dedication to being a true community leader through his business, leadership, philanthropy, and service.

And this is truly because of Evan's spirit.

Thank you, Evan, for everything that you continue to do for the city of San Diego and its residents.

I didn't know, but you established AR Give Back program, which donates a portion of every closed transaction to local nonprofit organizations, ensuring that each business success benefits the community.

And Evan is truly successful, and you could tell he not a lot of folks in your arena do what you're doing.

So thank you for doing that.

And I know your mom is shining bright.

She shines in you every single day.

So congratulations on receiving this proclamation.

Moving forward, item 30 proclaims November 3rd, 2025 to beat Matt Vesby Day in the city of San Diego.

Mr.

Vespe, you've served the people of San Diego for 14 years as a dedicated city employee.

In that time, you worked as the director of risk management department, executive assistant director of PUD, and director of finance and city compontroller, and finally as the chief financial advisor.

Thank you for lending the city your talent and financial expertise, and I wish you the best in your new role in the Port of San Diego.

And with that, I'm happy to second the motion on the floor, Council President, and that concludes my comments.

All right, thank you, Councilmember.

So we have a motion by Council President Pro Tem Lee and a second by Council Member Moreno to move the proclamations, and we'll go next to Councilmember Campbell.

Thank you, Council President.

Congratulations to all the recipients of the proclamations today, all such wonderful people and so much to our community.

Thank you.

And I'd like today to speak about one of our most wonderful people in the city, and that's Matt Vesby.

And he served as chief financial officer since December 2020.

And so he was steering the city through fiscal highs and lows as we dealt with impacts of COVID-19 pandemic and the many changes in the following years in economic circumstances, including now.

And I want to thank Matt for all his work on behalf of our city's residents.

I wish him all the best as he moves on to his next role as chief administrative officer of the Port of San Diego.

And on proclamation uh item number 31, I want to recognize the 70th anniversary of the city of the City of San Diego's rescue mission.

The rescue mission has provided support for individuals and families experiencing homelessness in San Diego since 1955.

The San Diego Rescue Mission organizes several programs aimed at helping people end homelessness permanently, including short-term emergency shelter with on-site services like meals and case management, a children's resource center that offers support for families with children who are homeless, and staying in one of the rescue missions shelters.

In 1958, the rescue mission opened one of the earliest homeless shelters in our city.

And one year later, in 1959, they opened San Diego's first ever shelter for homeless women and children.

70 years for the San Diego Rescue Mission.

It has been connecting with the homeless for 70 years, God bless them, offering tools and resources they need to end their homelessness and find permanent housing.

Thank you for all your work and congratulations on reaching this milestone, 70th anniversary.

Thank you, Council President.

All right, thank you, Councilmember Campbell.

We'll go to Councilmember Ilo Rivera.

All right, thank you, Council President.

I'll echo the congratulations to all of our uh proclamation recipients and kind of just move through the line here.

Uh Mr.

Vespey, thank you for uh all your work, um, your service to the city, your commitment to the role and to your team.

I I know from our conversations that was always really important to you, and I think that's a sign of a really really good leader.

It's not easy to serve to do public service these days.

It's especially not easy to do public service in a forward-facing role.

It's extra extra difficult to do that when so often the the news you're delivering to the community or to the council is not the best news.

Um, but you did that um with integrity and and um I think a lot of understanding of why there's so much passion and emotion um tied to the decisions that we make.

And so thank you for doing that.

I'm looking forward to um seeing you ascend into your into another level of leadership at the port and uh uh expect you to do very, very good things over there.

Thank you, Matt.

Um now turning to San Diego uh rescue mission.

Uh thank you, Council President, for bringing uh this forward.

Uh Donnie, I was thinking about the the tour of um your facility in National City um when I was uh when I saw Rescue Mission here and the conversation we had about the um our the our history with athletics, but also I think more importantly, um the how important it is to create different opportunities for folks who are experiencing homelessness to find their way out.

And I think that the path um that you all have created is a really important one.

Um I can see the uh the way in which you all are committed to um making the folks who are in your space um feel loved and cared for and um see the potential for a better future in a way that is critical for anyone who's um in a in a dark place and in a difficult place and um needs to know that there is light at the end of the tunnel in order to get to a better place in life.

So thank you for for doing the work that you do, San Diego Rescue Mission and the way that you all do it.

Um I I very much appreciate it.

I remember uh I I don't know if they're hearts or their little uh uh paper cutouts that we placed on a on a board in the entryway and um the opportunity to share those messages of love and appreciation for folks who um are far too often treated as um being inconveniences and um as individual pieces of shame in our city rather than collective um our collective responsibility.

Uh I just thank you for doing what you do the way you do it.

Um Evan, um congratulations on the on the um on receiving this.

Um the love that your family shows for you is clear.

The the folks who know you best have a deep appreciation for you.

And that says a lot about who you are and the way that you've done the things that you've done in the community, not just in the community, but just in in life in general.

Um so thank you for being the leader the leader that you are and leaving the impact uh that you have.

Um and I'm sure you're not even close to to done um with that effort.

And um uh last but not least, um, Michelle, thank you for uh leaving the mark that you have on our city.

Um this is an incredibly important time.

Um I think if I remembered correctly, Councilmember Moreno was talking about about a decade of mural work.

And if I think about what's happened over the last 10 years and how important it is for for folks to be able to see themselves in their city in public spaces, um and to do that with a sense of pride.

It's incredibly important and um you know murals have an opportunity or have a way of inspiring people and um bringing like light and brightness and levity to places that otherwise often don't have that that um so thank you for for contributing your art to our city.

Um thank you for contributing it to MTS in the way that you have.

Um very, very glad that that um you are an artist in this city and and continue to be one.

Thank you.

Thank you, Council President.

All right, thank you, Councilmember Yola Rivera.

We'll go next to Councilmember Whitburn.

Thank you, Council President.

Well, I'd like to start by sharing some remarks on behalf of Councilmember Raul Campillo, who was unable to be here this morning, but who sends this heartfelt recognition.

Today we are honoring a truly remarkable young San Diegan, Eddie Lalito Garcia.

Eddie is here with his loving family and classmates and teachers from Linda Vista Elementary School.

It's easy to see why he inspires everybody that he meets.

He's uh joined us uh toward the back of the chambers uh over on the right there.

It's great to see you, Eddie.

Uh Eddie uh fills every room.

He enters with the light of joy.

And he was diagnosed with Duchenne muscular dystrophy at just five years old, but that has never slowed his spirit, as you can see this morning.

He is curious and creative and endlessly kind and kind just happens to be his favorite word.

Uh when his teachers noticed that recess wasn't as accessible as it could be, Eddie's imagination sparked something extraordinary.

Uh his teacher, Maria Alotta Smith and her husband Chris Smith helped to bring his idea to life with a Formula One style racetrack that lets every child, no matter their ability race, laugh and belong.

We also want to recognize Brad Chapin, who led a successful fundraising effort to help Eddie's family purchase a new ADA accessible van.

Uh that made it easier for his mom, Bonia to get Eddie around safely and comfortably.

Eddie, your kindness, your courage, your joy remind us that when one person believes in inclusion and love, an entire community becomes stronger.

San Diego is very proud of you, Eddie, and thank you for being here this morning to accept this recognition.

On item 32, I have been pleased to partner with City Clerk Fuentes as we bring forward the proclamation declaring today Eventando Day in the city of San Diego.

Mr.

Tando, as you heard, began his career in social work helping families in need, and he has really carried that same spirit of compassion and service into his work in real estate.

Uh CEO and broker of record at ANR Finance and Real Estate, Mr.

Tando founded the AR Gives Back Program, which donates a portion of every closed transaction to local nonprofit organizations, ensuring that each business success also strengthens our community.

That is really admirable.

Through this program, Mr.

Tando has contributed more than 250,000 to local nonprofits, which has really made a lasting difference in the lives of so many San Diegos.

Congratulations, Mr.

Tando, and thank you for leading with generosity and heart.

I'm also pleased to co-sponsor with Councilmember Moreno, item S502, declaring tomorrow to be Michelle, Mr.

B.

Baby Gar Guerrero Day in San Diego.

I am honored to serve with Councilmember Moreno on the San Diego Metropolitan System Board of Directors.

MTS uh prioritizes uh transit that is safe and efficient and reliable.

And we want our writers uh to experience an inviting system that reflects the cultural diversity of the communities that we serve.

And to that end, Mr.

B Baby has enriched MTS writers' experience by creating a gorgeous mural along the blue line in Chula Vista and by designing a special edition pronto card in honor of Hispanic Heritage Month.

Tomorrow we're going to be recognizing Mr.

B Baby's latest work when we celebrate her new murals along the Trolley Bridge at Bayer Boulevard down in San Isidro.

Thank you, Councilmember Moreno, for bringing the proclamation forward, and thank you again, Ms.

Guerrero, for collaborating with MTS uh to make our system more beautiful and more inviting.

Uh, and congratulations again on your newest installation.

I bet Best Be Day, all I can say is it's a good day for the Port of San Diego.

Uh the port is really fortunate to have you joining them, Mr.

Vespe.

Thank you for your many years of dedicated service to the city of San Diego, leading the finances of the eighth largest city of the nation, certainly no small task, and you have done so with integrity and skill and unwavering professionalism.

Uh, moreover, uh, Mr.

Vespe has been an invaluable representative for the city at the San Diego County Water Authority.

You at one point oversaw the public utilities department as a subject matter you know well, and your command of the subject combined with your financial acumen has really uh been a great asset to the uh city uh residents and the ratepayers of San Diego.

So thank you for your outstanding service to the people of San Diego.

Uh certainly wishing you the best in your next chapter.

And I will just conclude uh by also thanking the San Diego Rescue Mission for all they have done over their long history in San Diego to help people experiencing homelessness.

Um just a huge goal that we have around our city is helping uh the most vulnerable San Diegans get into a safer and healthier place.

Uh and the San Diego Rescue Mission has been just a key partner uh in turning around so many lives, and we are very grateful to the rescue mission for all they do for our city.

Thank you very much, Council President.

All right, thank you, Councilmember Whitburn.

Uh we'll go next to Councilmember Foster.

Thank you, Council President.

My apologies for that uh tardiness on getting on the lights.

Um just listening to all the comments and and um everything that's being said.

Um, just really want to congratulate all the um proclamation uh recipients.

Um I have a series of notes, but I'm gonna try to keep this as brief as I can.

Um Mr.

Vespe, um, it has truly been a pleasure uh to work with you.

Um also would like to thank your family.

Um, you know, sharing you over a 14 year period with the city of San Diego, I know has had to um have been tough, um, especially as we look at um I I guess I'll say the most recent years and all the challenges and difficulties that we've been faced with.

Um so hopefully um your family is uh pleased to hopefully maybe have a little more time as you uh move to your next um position as I look at the boys and and they're active and growing.

Um make sure you find time to fill um their needs and to make sure they get the attention they need.

Um again, just want to thank you for all of your efforts, your knowledge.

Um, I know the conversations have been very difficult over the past five years or so.

Um, and in nothing of your doing, um, and I want everyone to know that this was not an easy decision for you, and I understand that and appreciate you and all of your efforts.

Um, and and again, I as I told you when you called, I'm here.

You ever need anything, don't hesitate to give me a call.

Um, moving on.

Um, also uh as we look at the San Diego Rescue Mission, um many years, congratulations on uh meeting that milestone.

Um, just really want to commend you on your efforts.

Um, I've had the pleasure to tour the National City site on several occasions.

Um Scottie Minor was a good friend of mine that I grew up with over in Opal Oak Park.

And so um one thing that we always try to do here at the city is to make sure those that are falling on tough times can still hold their head high.

And I must say, walking that facility, it's very, very impressive.

Um, it is a place where folks can go when they're down their luck and have that dignity, and as we said, have that love and understand that they are valued and that there is a way to move forward.

So just want to thank you for all of your efforts in that facility specifically.

Um, in regards to um the next item, item 32, Evan Tondo Day.

Um, as said, man, um nice crowd here to support you.

Um, but I want to say a personal thank you uh for everything that you do.

Um, your involvement with the um positive movement.

Um that is an organization that has touched my district.

Um and and and I was personally involved with Madam Clerk as they came in to sponsor us starting at Bell Middle School and just understanding what impact that had.

It just understanding what impact that had.

Being met with resistance, right?

Building that trust, understanding that you are there to help.

Also moving to Knox Middle School.

And it all happened from a phone call from Madam Clerk and said, hey, we got some folks who want to help.

Some young folks.

So just thank you personally from me.

I mean, just want you to know that your efforts don't go unnoticed.

Just on behalf of District 4 and our young folks, just thank you for all of your work and look forward to what the future brings.

Moving on to S501, Eddie Garcia.

Congratulations.

Right?

Congratulations.

And I'm going to call it work, the work that you do.

And I really do hope just as we sit here today, and just that smile on your face.

I hope it's contagious contagious, young man.

The smile, your heart, uh the love.

Hopefully, it will continue to spread throughout the city of San Diego.

We really, really need it, young man.

Um, the the calls that I'm receiving today in regards to folks being concerned about putting meals on their table, um, the concerns about where they will lay their head, um, understand that your smile it means a lot.

So please um continue um to to spread that love and that smile.

Yes, indeed.

And to uh Michelle, um just the artwork, the tradition, the history, the love, please continue.

Um, I'm working on um the Black Arts and Culture District, and uh with that comes great responsibility.

One thing that we can never do is to forget our past, to forget our history, and to make sure it is always in the forefront so we don't make the same mistakes of the past.

It is always challenging.

Um, but thank you for all that you do.

Um, and again, for me, it's about spreading um not only the history, the tradition, but the love.

Um, it's one thing that I have to say um and and that I'm very pleased with with all of my colleagues in in the proclamations today.

We need more of this, more of this happiness with the times that we are faced.

And so just thank you again to all the recipients and uh really look forward to all the work that you will continue to do.

So thank you.

That concludes my comments.

All right, thank you, Councilmember Foster.

Not seeing anybody else in the lights off for a few comments uh myself to wrap up.

Uh congratulations, all the individuals and organizations that are being recognized today.

Um I don't know that we've ever had a more diverse selection of individuals that really represent who we are as a city from our very youngest uh there in the corner that brings such enthusiasm to these chambers that we don't often see.

Uh to those who have been doing very good work for a very long time.

Uh we recognize you, we appreciate the good work you do, each in your individual chosen way, and it really shows the vibrancy of who we are as a city.

So please keep up the good work.

Uh it makes such a difference uh in the lives of so many people.

So thank you for that.

Um I'll talk to a couple of items.

Um item 31, as we heard from my colleagues, the rescue mission 70th anniversary day.

Certainly want to correct uh congratulate you for the help and guidance you provide to our most vulnerable populations is truly admirable.

The rescue mission, as you've heard, provides street outreach shelter, a long-term residential rehabilitation program, a children's resource center to support families and a hunger relief programs to help those in our communities in need of food, especially at times like this.

For 70 years, you have changed the lives of over 94,000 homeless individuals, and you continue your work towards your goal of ending homelessness one life at a time while setting up a foundation for them to thrive.

To everyone who has devoted their lives to this cause, the City of San Diego cannot thank you enough, and I'm proud to honor the individuals and organizations that embody the highest ideals of public service by proclaiming November 1st to be San Diego Rescue Mission 70th Anniversary Day.

And with that, I would like to invite the CEO Don E.

D to speak a little bit more about the organization.

Well, thank you, Council President Lacaba, and for the rest of the council for uh this proclamation and thank you mostly for your words of encouragement.

Uh what we do is difficult work.

I know you know that because we take people right off the streets and try to help them put their lives back together again.

And sometimes it's uh it's really hard work.

As a matter of fact, if we were a reality TV show, I think you'd tune in every week just to see what's going on down at the mission.

Because it's uh it's crazy.

Uh but we have uh staff that's that's really committed, has a high degree of mercy and compassion in the way that they deal with people's needs, and we're working to get people off the streets.

Uh so I want to thank you on behalf of the San Agrescution, uh, Michelle Labor, our senior VP of Advancement, and Paul Armstrong, our chief of staff, it it is an encouragement, it's a shot in the arm that you see the work we're doing uh half a mile away in Bankers Hill in that big building, and we really do share a vision that we're going to change the state of homelessness someday.

And we're building up a system uh to include a a lighthouse that you've seen in South County.

We're we're we're opening one in North County and working with Mayor Wells and his council to open one in El Cajon uh sometime in 2026.

And so thank you.

I'll just leave you with this.

And you won't hear anybody else say this, but we don't think that homelessness is a government problem to fix.

We think it's a community issue to address.

Now the government has a role in that, but if you all ever want to do something different, and you need a provider that's not looking for money that's looking for permission, then uh you let us know because uh we want to work together closely with you and the rest of the municipalities to change homelessness in San Diego.

Amen.

God bless you guys.

Thank you, sir.

Uh and I'll close uh with uh Matt Vespide.

So thank you, President Pro Tam for bringing this forward, initiating thank you to my colleagues for the comments, whether it was recounting his extraordinary career or your personal perspectives of what Matt has made um meant to this city going forward.

Um my heart is both full of love and just a little bit of a regret, so I'm still wondering if you're still my favorite finance bro, or you're gonna drop down a notch because you're you're walking away.

Uh, but I know that the extraordinary work that you have done exemplifying all that is really exceptional in the city of San Diego.

Um, and you're a truly a public servant who continue to place others before yourself.

And the work that you've done, uh, the guidance you've given to me and the education that you've given to me over the past few years, um, has I I can't thank you enough for that.

Um and um you know that the port is very fortunate, uh, but I know like you said, you're only a few blocks away, and I think we still have your phone numbers, so uh we're gonna do that.

Uh but also the how you've embraced the Department of Finance, and you are live leaving extraordinary individuals behind that will carry on uh your leadership, your sense of financial responsibility and transparency uh and continue the good work that you have led over these past few years, which have been very difficult and very challenging to help us navigate to the place that we all are trying to get the city to do.

So, with the passion and responsibility you've placed San Diego above self, and you know we can be excellent.

You've dedicated yourselves to make each day special.

So, with again a little bit of regret, Matt, we see you.

We thank you, and we wish you Kendall, Logan, and Parker, every happiness in the next step in your extraordinary career.

Thank you for your service.

So, with that, um we have a motion by Council President Pro Tem Lee, a second by Council Member to move the proclamations.

Clerk, please call the roll.

I'm sorry, the voting system, please cast your vote.

And that passes unanimously, seven to zero with council member uh council member Campio and Council Member von Wilburn Absent.

Thank you.

All right.

With that, we will now take a pause for photos, and we will start with Eddie Garcia Day.

So please join us up front.

All right.

So we'll continue on with the rest of the council's business and we'll proceed with the approval.

Oh, we did that already.

No, we haven't done that.

We will now proceed with the approval of the consent items.

Please introduce them.

I'm off today.

It was a long night last night.

Please know each speaker will have one minute per item per person.

If you would like to speak on three or more items, you will have a maximum of three minutes.

The consent agenda includes items ten, fifty, one hundred through one hundred eight, S five hundred, and S five oh three.

Also let me know for the record the potential appointments and reappointments that are on the agenda this morning.

Item one hundred three is the potential appointment of Courtney Ruby to the audit committee screening committee.

Item one hundred four is the potential appointment of Dustin Dematteo to the climate advisory board.

Item one oh five is a potential appointment of Adrian Baker Kong to the Mobility Board.

Item one hundred six is a potential appointment of Layla Alc Alcaji to the youth commission.

Item 107 is the potential reappointments of Bernadette Buckowitz, Giovanni Angolia, Jeff Johnson, Ryan Callsgott, Catherine Jolly Umamato to the Mission Bay Park Committee.

Item 108 is the potential reappointments of Rob Hickson and Jason Penetchi to the Airport's Advisory Committee.

We have not received so before we move to public comment, are there any requests to pull items by the council members?

Not seeing any.

So clerk, please proceed with public comment.

My apologies.

Oh no, thank you, Council President.

We didn't receive any comments via our web comment portal on the consent agenda.

I'll start with those here in council chambers.

I do not have any speakership here in council chambers going to those participating remotely.

The original, if you can please let me know which item or items you wish to speak to.

Yes.

I would I mean I'm gonna see how many I can get through, but 5100 101, 102, 103, S500, and S503.

Thank you.

You'll have three minutes, please proceed.

Okay.

So for 50, that's um artwork.

It's just interesting that they're saying that uh, you know, three years of delays will cost 136,775.

Um that will be the increase needed in order to provide um uh to be able to do this.

I understand that there's been delays in um the actual other parts of the project, but I mean 5 36,7 that's like almost $537,000.

Is it going to be continuing to increase, even though you say not to exceed that, you do that all the time.

So, you know, maybe need to be thinking about uh I don't know if it's this woman and and the fact that she's changing the name of the um you know entity that she's working for, but it's it's a little bit ridiculous in the cost and this conflict of interest.

Um, you know, when you guys engage in that, it's just uh it doesn't look good.

Um you shouldn't be doing it.

And this beverage recycling, I don't even know that are we, you know, these containers are really being recycled.

There is a significant scam in recycling, and you know, it's just uh a big moneymaker for some people.

Um, and these the settlement for 425,000 is it's crazy how many trip and falls you guys um have to pay out.

And it'd be interesting if one day you could take and add up all the money that, like in the past, you know, 10 years that you've spent on trip and fall settlements and let us know, you know, really what we're uh looking at and how much it would have been more beneficial to put that money towards actually fixing infrastructure.

Um Courtney Ruby, I think that's actually a good idea for you guys to appoint her.

She um is working with Sandag and really bringing forward a lot of things, and I think that she would be beneficial if you would um give her the opportunity to really look into the city and start holding um you guys accountable through audits.

Uh so I think that hopefully maybe she can do one on dreams for change and tent city along with downtown partnership.

That would be great.

Uh, because I feel like she would really be the one to go in there and um really find the fraud, waste, and abuse um that could be handed over to you, Sean.

And then um the banner district, it's a little bit um, you know, I understand it's being sponsored and paid for by UCSD.

It's supposed to be for cultural events, activities, and public interest.

Um, but when we have UCSD that could potentially be pushing their propaganda um, like vaccines and stuff like that.

I don't think that that's something that we should be approving.

Um, and then you know, with this um for the library, uh, yeah, hopefully this gets finished, um, but it's a lot of money to spend on a library where we sexualize children with the books.

So hopefully those are gonna be out of that place, and there's not gonna be porno for children in the library that we're paying for.

Your time has concluded.

Next is Blair Beekman.

If you can please unmute and let me know which item or items you wish to speak to.

Hi, uh, Blair Beekman.

I wanted to speak to items 103, 105, and 107.

You'll have three minutes, please proceed.

Yeah, uh, to speak to first 103 uh uh audit committee uh applicant screening.

Uh good luck uh in who you can decide.

Uh I just wanted to comment on the committees themselves, uh summary of the committees themselves.

I think the audit committee is a real decent committee and actually can have a way to make things more clear and understandable when our other committees have trouble talking about issues.

I think the audit committee can have a way to more easily talk about issues.

So good luck to who ever can be the uh person for that job.

Uh yeah.

It does a really nice thing for the city.

Thank you.

Uh to speak to item one hundred five, uh, appointment to the mobility board.

Man, in San Jose, it was impossible to get a mobility board created there uh for a number of reasons.

You know, just all the city and uh politics involved.

And you know, everyone always referred to San Diego as the model uh of how to run a mobility board.

And you know, why can't San Jose do the same?

And uh thank you for your mobility board.

Um, just a reminder what when you have a good thing in a city, uh it's really important that you can uh uh you're aware of it and know how to continue it well.

Um it's good to come from another place sometimes and just to remind you what you what you guys do really well sometimes, and uh this is one of those items to do that for.

Thank you.

And uh for item one oh seven, um reappointments to Mission Bay Park Committee.

I hope for Mission Bay Park issues that they can be really mindful of technology involved, technology placement in their park system in their park areas.

Um as important as public safety is uh it has to be balanced with responsible practices, open policies to learn how that we can describe policies policies openly.

Uh that's really important to learn how to do, and that we don't necessarily need all the surveillance tech that we're told we're need that that is needed.

Um public safety can be covered often with not as much technology as people you know try to promote.

So um good luck in in trying to balance that and understand that and that it is a balance in our future.

It isn't just technology as the savior, it's the balance of understanding the use of technology and having good policies in place for it that are clear and open with the public, that we can talk openly about these things, and and it doesn't have to be a secretive conversation.

Thank you.

Thank you.

Our final speaker is 7499.

If you can please unmute and let me know which items you wish to speak to Rob Kazuski here.

I'd like to speak to items 104, 5, 6, 7, and 8, but I'll need less than two minutes.

Please proceed.

Item 104 is the climate advisory board, 105 is the mobility board, 106 is the youth commission, 107 is Mission Bay Park Committee, and 108 is the Airport's Advisory Committee.

As I've said many times before, these boards and committees are one of the best investments that the city can make.

For the small cost of a few hours per month of staff member time, the city gets the free advice of an entire board of experts and stakeholders in each of these specialty areas.

In addition to getting a free board of experts, these boards and committees provide a regular venue for members of the public to speak with and interact with these experts.

This interaction expands the ability of the city to make appropriate decisions in all of these specialty areas.

It is hypocritical of this city to continue appointments to all of these various boards and committees while dissolving the Tory Pine City Park Advisory Board, which provided experts in the fields of hang gliding, paragliding, sale planes, and unpowered remote control flying.

Shame on you, Joe LaCava, for opposing the reinstatement of this important advisory board, which should provide a venue to protect citizens' rights to use our public flight park.

Thank you.

Thank you.

And that concludes public comment on the consent agenda.

I would like to note though that I there was one uh web comment in opposition submitted for item one oh one that was attributed to the council.

Thank you.

All right, thank you, City Clerk.

So we'll turn it over to council members for any comments, questions, and entertain a motion.

We'll start with council member Moreno.

I'll start off by making a motion that we approve uh the can the consent agenda.

And I have comments on item one oh three, which is the appointment of of a public member applicant to the audit committee screening committee.

Um I want to thank Ms.

Ruby for your willingness to serve in this committee.

It's abundantly clear that Ms.

Ruby meets and exceeds all of the qualifications required to serve on this committee under the city's charter.

Uh she has 21 years of experience in public sector financial oversight and auditing.

Uh, she currently serves as Sandag's independent auditor and previously as an elected auditor in Oakland.

I'm quite familiar with her professionalism and have seen her expertise on display at multiple sandag meetings.

Uh Miss Ruby was unanimously recommended by the audit committee screening committee and will make an amazing addition to the screening committee.

So with that, that concludes my comments, Council President.

Thank you.

All right, thank you, Councilmember.

We have a motion by Councilmember Moreno move the consent items.

We'll go next to Council President Pro Tem Lee.

Thank you, Council President.

I'll start by seconding the consent agenda, and I'll speak towards item S 500, which is establishing a banner district for UC San Diego in parts of Council Districts 1 and 6.

I want to actually begin by taking a moment to thank Anu Delore from UC San Diego, who serves as the senior director of government and community relations, whose steadfast work from the very start of this effort certainly couldn't have been easy, especially in an area that serves as a nexus for many major community partners.

I want to thank Anu and her team for the many efforts to engage the community in thoughtful collaboration, including the University City Community Association and University Community Planning Group, Scripps Health, the La Jolla Community Planning Association, and the La Jolla Shores Association.

Banner districts like this one already exist at San Diego State and USD and in other notable areas like Little Illity or North Park, as well as throughout District 6 in communities such as Mira Mesa, Convoy, and other portions of University City.

They also help to represent business corridors such as through Biocom's presence for life sciences.

Given UCSC's significant presence in our region, especially as one of our largest employers, and in generating significant talent that supports our local economy, I think this is a fitting opportunity to help foster a greater sense of place and community.

It'll also help to create a cohesive, welcoming, and inspiring environment for prospective students, visitors, and the public, while showcasing the many cultural, educational, and economic programming benefits that the university provides.

And lastly but not least, as a proud graduate and alumnus of UCSC, I'll simply say go Tritons.

I'm happy to support the sentence.

Thank you.

All right.

Thank you.

So we have a motion by Councilmember Moreno and a second by Council President Pro Dem Lee to move the consent items.

We'll go next to Councilmember Whippern.

Thank you, Council President.

On item 105, I just want to congratulate District 3's Adria de Baker Keg on being appointed to the city's mobility board.

From his service to the Peace Corps to his work in community development at Washington, D.C.

and San Francisco and now here at San Diego.

He has shown a deep commitment to bringing strong, war-connected communities to our area.

His experience will be an excellent addition to the Mobility Board, and we greatly appreciate your stepping up to serve.

Thank you.

Thank you, Council President.

All right, thank you, Councilman Whitburn.

We'll go next to Councilmember Campbell.

Thank you, Council President.

I'm honored that Bernadette Butkowitz, a resident of Claremont District 2, is being reappointed to the Mission Bay Park Committee.

Ms.

Buckowitz is a senior project affairs manager at SDGE.

She currently serves on the Board of Directors of the Center for Policy Initiatives, the Labor Alliance Board, the San Diego Unified School District's Independent Citizens Oversight Board.

Ms.

Buckowitz obtained a Bachelor of Arts and Political Science from Sonoma State University.

And I'm also honored that Giovanni Engolia, a resident of Ocean Beach in District 2, is willing to be reappointed to the Mission Bay Park Committee.

Mr.

Ignolia is a independent insurance broker for Medicare Covered California and Federal Insurance Markets.

He's got a tough job ahead of him in the next few months.

And he earned a Bachelor of Science in Geography and Urban Planning from Illinois State University, professional certificate in urban planning from UC San Diego.

And last year, I am also honored that Jeff Johnson from Bay Park in District 2 is being reappointed to the Mission Bay Park Committee.

Mr.

Johnson is a co-founder of Aon Computing, where he focuses on high performance computing solutions.

His prior experience includes leadership roles as president and CTO at Western Scientific Inc., first vice president of the old Mission Beach Athletic Club, and service as sergeant in the United States Marine Corps.

Because they are three district two residents who are committed to improving their community.

All right.

Thank you, Councilmember Campbell.

Not seeing anybody else on the lights.

I'll add a few comments myself.

On item 103, I want to thank Councilmember Moreno for her leadership of the audit committee and the formation of the screening committee and the appointment of Courtney Ruby.

She will be a fantastic addition and only appropriate because we've also appointed Rolanda Charvel to a similar committee over at Sandag.

So trading the very best with our fellow organizations.

On item 106, the Youth Commission, congratulations to District 1 resident.

And I don't think I'm going to get this right, but Layla Al Kalf Faji.

I hope I got that close on being appointed to the youth commission.

Uh, thank you for your willingness to serve, and I look forward to this commission resuming regular meetings uh and this appointment is one step closer to that reality, and we're looking forward to the feedback from the youth commission.

On item 107, uh want to thank District One resident Kathy Jolly for your continued service on the Mission Bay Park Committee.

And let me take this opportunity to thank all the uh those who are seated in the district one seats.

Uh congratulations for your good work uh in and around Mission Bay.

On item 108, congratulations to District One resident Rob Hickson on your reappointment to the Airport Advisors Committee, and we thank you for your service to the city on that committee and in so many other ways.

Uh item S500 building on the comments of my colleague, Council President Lee on the establishing of the UC San Diego Banner District.

I want to thank UC San Diego and particularly Anu Delore for your outreach to the community in the development of the this proposal from its initial idea to how it has evolved and recognizing uh the issues raised by a number of adjoining property owners.

You certainly made extensive efforts to connect with and respond to the concerns identified by the community.

I believe that district as currently proposed strikes a balance won't allow the university to continue to highlight important efforts happening on the camp campus to the surrounding committees, and a special shout out to my senior policy advisor, Abby Reuters, who gave a lot of time and effort to bringing this forward.

So, congratulations to everybody who put the hard work and the time in to make this possible.

So, with that, and again, not seeing anybody else in the lights.

We have a motion by Councilmember Moreno and a second by Council President Pro Tem Lee to move the consent items.

Clerk, please call the roll.

I've started the voting system.

Please cast your vote.

And that passes unanimously with Councilmember Campillo and Councilmember Von Wilper absent.

Um, if I could just ask any of the boards and commission members that may be present to please see my staff in the back of the room for their oaths.

I'd greatly appreciate it.

Thank you, Council President.

Right, thank you, City Clerk.

Thank you for doing the swearing in.

So with that, do we have any comments from mayor's office, city council members, city attorney, independent budget analysts, city clerk.

Not seeing any.

We'll move right along.

So we will now take up the morning discussion agenda.

Clerk, please introduce item 330.

Item 330 is the approval of the child and youth plan update.

If you have would like to speak to this item, please be sure to submit your speaker slip to the front of the room in the clear box, or if you're participating remotely, star nine or the raise your hand icon if you'd like to speak on this item.

Thank you, Council President.

All right, thank you.

So one, I'm gonna start out by thanking you for your patience.

I know it took a while for us to get us uh docketed, but uh thank you for that good work.

So please introduce yourself for the record and let us know how much time you will need.

Good up, good morning, President Lacava, Council members, city staff, and community members.

My name is Tara Ryan.

I'm a program coordinator with the Office of Child and Youth Success.

Uh presenting today on the Child and Youth Plan Update, and I will need about 15 minutes for my presentation.

Again when you're ready.

Um, although the initial iteration of the Child and Youth Plan was adopted by the city council in July of 2024, when we began focusing on implementation, we soon realized an opportunity to strengthen the plan so that it is better understood both internally within the city as well as by our community partners and potential funders.

The main changes, including in included in this updated plan, are an explicit framing of the child and youth plan as a citywide plan rather than just a plan for the Office of Child and Youth Success.

Clarity on the role of OCYS, inclusion of a theory of change, illustrating the intention to reach outcomes, fleshing out the strategies and action steps to include more detail and clarity.

We added an overarching goal, which brings together the existing five focus areas.

Also wordsmithing, the focus area description and their goals to be easier to understand, and inclusion of a section on funding strategies.

An important area of this update clarify clarifies the explicit framing of the child and youth success as a citywide plan.

OCYS is taking the lead on the various strategies and action steps, but we recognize the requirement for collaboration among city departments as well as leadership and policymakers in achieving its goals and outcomes.

This plan aligns with all five of the San Diego's strategic priority areas.

The departments listed here are those OCYS already is or plans to work with collaboratively and intentionally within the next year within our current capacity.

We realize there are additional departments that have a shared focus on supporting and strengthening the lives of children and youth, such as the police department, and we look forward to including that work in future plans.

Additionally, the child and youth plan calls for intentional collaboration with community partners and other regional agencies.

That work is well underway and continuing.

As a quick reminder, the Office of Child and Youth is still a fairly new office within the city.

This slide represents a high level recap of the timeline of OCYS and some of our achievements to date.

OCWS was established in April of 2022.

The majority of fiscal year 2023 and 24 was focused on developing the initial child and youth plan, including a comprehensive community engagement process and research, largely largely including youth and our youth interns.

San Diego's first ever child and youth strategic plan was presented to this body in July 2024 and adopted ananimously.

Last fiscal year, OCOAS was consolidated into the library and the director position was cut.

I will share just a few highlights of some of the accomplishments to date.

Quincy Lambert, who's here in the front seat in the blue shirt, is our current sole intern, but he leads our social media engagement as well as our newsletter.

We've launched a youth workforce development collaborative group among internal and external partners.

We are currently working with the policy and innovation center as well as partnering with San Diego Foundation and the Prebis Foundation to release a youth well-being report.

We've been strongly participating with the county-wide stakeholders to implement the countywide child care blueprint.

And we recently contracted with partners to kids after release of an RFP, and partners, I'm sorry, partners to kids will be promises to kids, excuse me, promises to kids will be using that partnership to strengthen services provided to San Diego foster youth focused on youth workforce development.

Another necessary component of this updated plan is clarity on the role of the Office of Child and Youth Success.

To be clear, we are not intended to provide direct programs or services.

Rather, we are positioned to develop and strengthen partnerships, navigate and strengthen systems and resources, support and expand access for youth leadership and voice, collect, share, and use data, prioritize children, youth, and family and families and city planning and policy making, and seek local, state, federal, and philanthropic grants to support city departments with priorities for children and youth.

Inherent throughout the Child and Youth Plan in our approach to carry out these roles are values that guide planning and implementation.

The first is a value of equity and inclusion.

The goals and outcomes of the Child and Youth Plan are intended for all San Diego children and youth.

The strategies focus on those who are part of communities or groups that have historically been underinvested in, discriminated against, or have otherwise been marginalized, based on wraith, ethnicity, gender, socioeconomic status, LGBTQ plus identity, immigrant status, disability, or experience with housing instability, the foster care system or the justice system.

Another focus on partnership and collaboration recognizes that we are stronger together.

The CYP focuses on building partnerships both internally and externally across the ecosystem that supports children, youth, and families.

We are committed to equitable and inclusive community engagement.

And our value of strength and assets starts with recognizing the strengths and assets that already exist within systems, communities, and individuals, and builds on them.

We have been working with city departments to collaborate on a number of projects.

Today I'll provide just a sampling of this work with recent or upcoming collaborations.

Toward youth workforce development and career pathways focused on system strengthening and collaboration.

We are working with the library, division of race and equity, economic development and human resources.

Toward youth civic engagement and education, we've been working with council offices and the planning department, as well as the city clerk's office.

To strengthen the youth commission, we've been working with the division of race and equity as well as council offices in the mayor's office.

We are looking to strengthen a focus on the positive youth development framework across city departments, working with children and youth.

We've led a informational session across departments, including library, parks and racial parks and recreation and human resources, and are currently planning deeper engagement and work.

We've collaborated with the planning department toward a child and youth friendly cities initiative, working with parks and recreation to identify potential child care facilities, working with economic development in our involvement in the National League of Cities Early Learning Nation collaborative, and we have an upcoming youth summit taking place in June 2026, and we'll be partnering with library, parks and recreation, and economic development.

The Child Youth Plan update maintains five focus areas, which were initially identified in the initial plan.

Each focus area includes a goal.

The overarching goal of child and youth success is added here in this update, represented by the confluence of the five focus areas.

The focus areas are engaging activities and spaces, youth empowerment, workforce development and financial well-being, education and educational enrichment, and finally child care.

As previously mentioned, the theory of change is a new addition in this update.

Starting with the various roles that OCYS takes on, we aim to achieve increased collaboration, strengthen systems, and informed decision making.

This leads to our six goals.

Again, one in each focus area and one overarching goal.

By achieving these goals, we aim to realize outcomes again across each focus area.

And finally, the long-term impact is that San Diego's children and youth are empowered, feel successful, and thrive.

OCYS is a small office and now part of the library with reduced staff and modest resources.

To carry out the ambitious strategies in this plan and investment of resources is required.

We continue to seek funding and resources through grants, philanthropy, and partnerships.

I believe this child and youth plan update will be helpful to more clearly communicate the need and opportunity for ongoing funding.

Potential funding strategies include leveraging existing public funding and analyzing existing funding streams to look for opportunities to leverage resources across departments and support system-wide coordination.

Working with the city's grants office to identify and apply for county, state, and federal child and youth development opportunities and identifying opportunities for city departments to jointly apply for funding on behalf of the city.

Also seeking philanthropic funds where priorities are aligned.

Leveraging OCYS to partner with existing funding collaboratives to identify where priorities are aligned and whether the city is eligible for funding.

Also exploring the creation or expansion of public-private partnerships.

And finally, identifying funding streams that can be earmarked for child and youth development efforts.

Consider setting aside funds from development project fees or tax revenue.

We are focused on making and measuring progress.

A few of the ways we aim to do so are, as I mentioned early, our current work with the policy and innovation center to develop a user-friendly youth well-being report with multiple indicators of youth well-being.

Working internally to identify, gather, and analyze data from multiple sources to both understand where we are currently and to identify opportunities to use this data to measure change.

Finally, we plan to work with the performance and analytics department to develop and track metrics specific to the child and youth plan as well as work within the library department to identify appropriate KPIs.

We especially want to use data to highlight existing disparities and track progress to reduce those disparities.

Thank you.

All right, thank you for that presentation.

Clerk, please proceed with public comments.

Thank you, Council President.

We have a few speakers here in Council Chambers and in the queue.

So we will be going to a minute, which is Liliana Soriano, if you can please come forward.

And if the following individuals can please come up to the yellow reserve seats, Stephanie Ortega, Courtney, Baltis, I'm sorry, Courtney, Teddy Martinez, and Kevin Vino.

If you can all please come forward.

My apologies, Liana.

Please proceed.

No worries, thank you.

Good morning, Council, and thank you, Tara, for the presentation.

I am Liliana Soriano.

I work for a youth advocacy organization called Youth Will.

I am the third generation of leadership at this organization.

And since we have been advocating for a long time and been supporters of the Office of Child and Youth Success, I'm here to ask you all to support the adoption of the updated child and youth plan.

Your role today aims to support this plan, but also affirms the dedication to support the mission of the Office of Child and Youth Success.

The updated child and youth plan centers equity coordination and youth voice.

It's built from years of community input.

This plan provides a clear roadmap for how San Diego can prioritize youth well-being across every department and neighborhood.

This is a chance for the city council to invest in the next generation through coordinated systems, equitable access through the five key areas that were mentioned.

Young people need support in which are education, workforce development, youth empowerment, engaging activities and spaces, and child care.

Thank you.

And please vote yes.

And I did add 30 seconds to your time, it's a minute and a half each.

Stephanie Ortega, if you can please come forward.

Good morning, Council President, and all the other council members.

My name is Stephanie Ortega, and I work for Promises to Kids, a local nonprofit that serves one of the most vulnerable populations in San Diego.

We've been so grateful for the support in so many areas like homelessness.

But today I want to be here to express my support of OCYS and this updated plan.

Not only do we have shared focus areas in child care workforce and ensuring youth voice is heard, but we both are working to connect youth to the resources necessary for a successful future for themselves and our community.

Collaboration is key, and we look forward to continuing our partnership with OCOYS to ensure all children in San Diego have a successful future ahead of them.

And I hope you support it as well.

Thank you.

Thank you, Courtney.

Good morning, Council President Lacava and Council members.

My name is Courtney Baltiski with the YMCA and Children First Collective.

Thank you for prioritizing the well-being of children, youth, and families through today's discussion of the Child and Youth Plan update.

Since supporting the initiative of the Office of Child and Youth Success in 2021, I've seen an important shift.

It's been a shift to embrace and understand critical issues, including child care, youth workforce, and basic needs for families.

OCYLS has built bridges for the city with community organizations, community members.

It has created inclusive conversations, helped so many feel seen, and elevated youth leaders.

The work is done with limited staff, a budget that's been stagnant, less than 500K, and is now within the library department.

Today is an important opportunity to move this sound plan forward and reiterate your commitment to the Office of Child and Youth Success, centering children and youth in decision making.

We implore city teams to access your Office of Child and Youth Success as we do.

Bring in their expertise to seat youth commissioners, access land use decisions for child care, and bring an understanding to how to safeguard basic needs for families in these complicated times.

Thank you so much for your consideration and thank you to TERRA for leading this important work.

Teddy Martinez.

We're particularly encouraged by the emphasis on creating early exposure and career awareness so that youth can see viable pathways into local industries.

Strengthening partnerships between K-12, post-secondary education, workforce training organizations and employers, and identifying neighborhoods and populations with historically unmet needs and directing strategic interventions to those areas.

At San Diego Workforce Partnership, we know that the effectiveness of workforce development hinges on early engagement and alignment across systems.

By leveraging spatial and geographic data, we can see the workforce opportunity deserts down to the zip code and census track level.

These are places where job seekers have fewer training options, fewer employer connections, and lower rates of job placement.

Our latest research shows that only about 36% of youth ages 14 to 24 participate in the labor force, and about 16% are unemployed.

Unemployment among youth ages 14 to 24 spikes upward of 30% in southern parts of the region.

So we know there are geographic disparities.

The strategic priorities in this plan offer a roadmap to reverse those trends.

We believe the updated child and youth plan is a critical step in paving the path for San Diego's future workforce, and look forward to partnering with the city and OCYIS to implement these strategies.

Thank you for that concluding remark.

Kevin.

Good morning, Council members.

My name is Kevin Vino.

I'm here with Our Time to Act, a youth-led nonprofit coming in support of this proposal.

Recently, the economic uh statistics for youth has not been looking great for people of my age in this country.

Uh since the 1960s, the each generation has been poorer than the last, with Gen Z and Millennials being no exception to that.

Um as mentioned previously, youth-led unemployment youth unemployment is skyrocketing recently in this country in the past uh few years.

So any commitment that this council can make in order to help improve some of these issues would be greatly appreciated.

The youth are the future of the city.

That goes without saying.

So the more attention that this gets paid to, the more dividends that this could be paid out to in the future.

Other issues that are facing uh young people right now is especially housing.

Housing is uh completely unattainable for most new generations, especially with uh each generation being poorer than the last, uh, and is also one of the best ways to generate um wealth for people.

So anything that can be done about that is also much appreciated.

Thank you.

Thank you.

I should have the five-minute timer going to those participating remotely.

We currently have 10 people with their hands raised in the queue, starting with Blair Beekman, then 7234, and then Susan.

Please proceed.

You'll have a minute and a half.

Hi.

This is Blair Beekman.

Uh, thanks a lot for this item.

Nice words.

Uh I think I'm hearing it's a positive item.

It's constructive and helpful uh for our community.

Thank you.

Uh I'm interested that um at the county level um is what there's I've heard what's going on from DRA, in fact, that um they're working to keep uh uh children separated from their parents when they're when there are uh you know when uh there are uh separation issues involved between child welfare and and and parent issues, parenting issues.

Um they're they're working to permanently separate uh families instead of working to bring them back together.

Um I that's what I'm hearing.

Uh it doesn't seem to jive well with all the good work of this item and all the you know positive constructs you have here.

Um I hope that this item can be addressed at the county level.

Um I don't know what else to say, but just to note it at this time uh that it's of concern because that's what's going on.

Thank you.

Thank you.

Next is phone number ending in 7234.

If you can please unmute.

Good morning.

My name is Terri Ann Skelly.

I'm a parent and community volunteer with school programs that serve youth, especially those in need.

I appreciate the highlights from strategic plans shown in the PowerPoint slide number 11.

Since we are already two months into school, we are beginning to understand the needs of our young people.

I know that schools are dealing with bullying by students to each other, sometimes the reason behind school's poor attendance.

And there are other indications of mental health struggles of the students, including threats of violence and the most severe from mental health struggles, student suicide.

Personal and mental health resources have been written more robustly into school districts budget, as one of the bullets on slide 11 states, and I quote advice on the priorities for children's youth and families in city planning and policy making.

It would be excellent if the Office of Child and Youth Success could be involved in providing advice and recommendations regarding policy made at the city council level.

We need enforcement of the city's policy, for example, against tobacco stores, baked vape shops, and marijuana storefronts who selling flavored products, which is against your laws and the state to truly protect them.

Students need clear messages from all levels of the city government regarding how best to handle problems that are not short-term solutions.

Thank you for that concluding remark, Susan.

If you can please unmute after that, is Sarah Burns and then CPI Zoom.

Good morning.

My name is Susan Vierreal, and I'm the senior director of special projects to the CEO of Tutris.

As the nation's largest and most comprehensive child care platform, Tutris partners with employers, child care resource and referral agencies, and state and local agencies support over to support over 230,000 child care providers nationwide and help families access quality education care for their little ones.

We are here today to express our support for the City of San Diego's Youth and Strategic Plan Update and the leadership of the Office of Child and Youth Success and prioritizing children, families, and equitable access to quality care.

Tutris aligns closely with the plan's vision to ensure that all children thrive through coordinated systems, strong partnerships, and inclusive opportunities.

Our platform empowers employers to support the workforce by helping employees access quality child care.

We are particularly encouraged by the plan's emphasized emphasis on expanding safe quality and affordable early learning opportunities as well as its commitment to strengthening the early learning care and workforce.

We commend the city for recognizing that access to quality child care is both an economic and equity issue essential to family stability, workforce participation, and child well-being.

Thank you.

We look forward to collaborating with the city and the community partners to implement goals outlined and to help the city of San Diego a place where all children and youth can truly thrive.

Thank you.

Thank you, Sarah.

If you can please unmute after that, CPI, and then the original.

Good morning, Council members, and thank you, Tara, for your work on this plan.

Um, my name is Sarah Burns, and my work is in education and workforce development development as a researcher and educator.

And I want to support this plan.

It truly reflects the voice of youth in our region.

Not only that, but it parallels research on best practices that correlate with long-term economic success for your young people.

And that involves exploring, experiencing and thinking about their future in explicit ways where they're able to reflect on themselves and where they fit in the world.

I think approving this plan is a really easy thing to do.

We all want what is best for our young people and the future of our community.

And I would encourage the council members to do the hard work next of prioritizing funding for this office for this plan, using your voices and your actions to create opportunity for young people.

As I'm sure you know, it takes immense effort to organize and coordinate our youth-serving ecosystem.

And if this team has the appropriate resources to enact the plan, it has the potential to connect support and align our community to take collective responsibility for ensuring that every young person finds a fulfilling career that allows them to achieve their desired quality of life.

Thank you very much for your time.

Thank you.

The timer did conclude here in Council Chambers.

We have seven speakers in the queue.

No additional speakers will be taken after that.

CPA Zoom, if you can please unmute.

Good morning, Council members.

My name is Noah Yuyik.

I am a researcher and policy advocate for Center on Policy Initiatives.

The well-being of our city begins with the well-being of our youth.

Yet investment in them is consistently overlooked.

Year after year, we cut programs, services, resources, and offices that are dedicated to supporting our youth.

The updated child and youth plan centers equity coordination and youth voices, reflecting years of community input from young people, families, and service providers.

It provides a clear roadmap to strengthen systems, dedicate resources, and increase equitable access to youth programs and services citywide.

The Office of Child and Youth Success is essential for implementation of the updating plan.

OCYS turns the child and youth plan from vision to reality by bridging silos between city departments and community organizations.

Maintaining and strengthening OCYS is critical to ensuring long-term accountability and effective implementation of the updated plan.

San Diego's youth need intentional investment now.

The child and youth plan addresses the interconnected needs of youth from economic opportunity and education to empowerment and safety.

Please vote yes to adopt the updated child and youth plan.

Adopting and funding this plan means investing in the next generation, aligning city systems towards shared youth success and working towards San Diego where everyone has what they need to thrive.

Thank you.

You, the original, if you can please unmute.

After that is Zoom user and then Aaron.

Never forget that Satan masquerades as the angel of light.

On the surface, this looks good, but we're not talking about the child exploitation.

There's a children's uh a child industrial complex, foster care industrial complex, orphan industrial complex.

This is a child trafficking organization.

It's a foster care to prison pipeline where incentives to prioritize separation over reunification happen.

And the system gives financial rewards to terminate parental rights.

NGOs and even government is motivated by profit, not the child's best interest.

And this child welfare system leads to increased involvement in the juvenile justice system.

In fact, if you look up Cash for Kids in juvenile detention centers, people are profiting off of putting children into these centers.

And the sad thing is as you have Stephanie Ortega up there with promises to kids who is in bed with the Polinski Center.

And we know that the Polenski Center has been abusing children for decades.

This kind of stuff gets hidden.

DNA from men are being found in their underwear because at naptime instructional aids are going and being with children where there shouldn't be.

Georgia Senator Nancy Schaefer was murdered trying to change this system.

The child welfare system needs to be changed.

But until we acknowledge it and quit pretending like everything is okay, then it's going to continue and we fund it.

Thank you.

Next to Zoom user, if you can please unmute.

Zoom user, I can't unmute for you.

I will have to move on to the next caller.

If you can't unmute yourself, it should be a pop-up that comes up.

I will need to move to the next caller.

Aaron, if you can please unmute.

Good morning, Chair Lakava, honorable members of the Council and TERRA for your leadership and presentation.

I'm Aaron Hogaboom, Director of San Diego for Every Child and co-lead of Children First Collective.

I was a strong supporter of creating the Office of Child and Youth Success, and I'm here today to urge full funding and implementation of the city's child and youth plan.

This plan is more than a document.

It's a roadmap for ensuring all San Diego children and youth have the supports they need to grow up safe, healthy, and thriving.

The realization of this plan ultimately does rely on the effectiveness of our child and youth or office of child and youth success.

So alongside supporting an I vote on this child and youth plan update, which, as was highlighted, focuses on coordinating across city departments, schools, and other child and youth focused organizations.

I'd be remiss if I didn't also encourage here that the role of the executive director be reinstated and then it be adequately resourced, allowing it to operate strategically and cross-departmentally, as was always the intent.

By adopting and fully funding the office, a first step in this plan, the city has an opportunity to demonstrate real commitment to equity and opportunity for every child and family in San Diego.

I urge you to make this that vision a reality.

Thank you so much for your I vote.

Thank you.

Peggy Walker, if you can please unmute.

After that will be Judy String and then Becky Rapp is our final speaker.

Thank you.

Good morning.

I support approval of this updated child and youth success plan in a shared focus area, um, though, through my work with youth substance use prevention.

I'm aware of five students who died of marijuana related suicide after starting marijuana youth much younger by later adolescents.

They could no longer handle the high potency THC.

We don't want this tragic outcome for anyone.

So to ensure positive social health and educational outcomes for children envisioned in this youth success program.

I call attention to child protective policy controls.

Recently recommended by the state auditor to reduce risk of marijuana's harm to young people.

I urge you to consider these recommendations for local policy to complement this youth success program.

They include establishing marijuana THC caps, clarifying the number of servings in a container, and reinforcing bans on packaging, advertising and flavors of attractive to children.

Considering the threat of these two children, it would go a long way and complementing these programs goal of positive health outcomes if you would adopt these policies.

Thank you.

Thank you.

Next is Judy Strang, if you can please unmute.

Good morning, City Council.

Thank you for this item.

I'm a fan of the Office of Child and Youth Success.

I always want to say services because in the world of public health, it's always services, and I think the choice of success is brilliant.

The leadership that we've had in the early years of Office of Child and Youth Success was extraordinary, and we really need to return funding to the executive uh director's position because good programs exist when there is well-funded leadership.

I'm particularly impressed with slide six when it talks about the collaboration that the Office of Child and Youth Services.

See, my my apologies, successes, success, uh has made.

And I'd like to suggest that it may be broaden a scope into the county public health department, who has a myriad of public health programs associated with good public health for our young people.

Of particular interest, I think, should be the youth advocacy work group that works on marijuana and other drugs and youth access to them.

They recognize that the in the time of first use is 13 here in our county, and that 90% of all drug use begins before the age of 19.

Certainly those two factors interrupt the success of young people.

And a collaboration with this department, perhaps a presentation from them would be very useful to us all.

Thank you.

Thank you.

Becky Rapp is our final speaker.

Speaker, if you had raised your hand, you can send emails to City Clerk at Sanio.gov and those will be distributed.

But the five-minute timer had already concluded.

Please proceed.

Good morning.

My name is Becky Rapp, and I work in public health, helping to educate uh children and youth regarding the dangers of drug use, particularly the harms of marijuana.

I'd like to thank OCYS for creating a roadmap to help San Diego's children and families thrive.

The plan's five focus areas represent the foundation for lifelong health and opportunity.

But as we also focus on equity, we must recognize the lie the marijuana industry forces upon our communities, especially those in underserved neighborhoods.

Marijuana is being normalized and marketed through flavored products, colorful packaging and advertising, making false promises and help of health and wellness.

Today's marijuana is not the same as it once was.

Thank you.

And that concludes public comment on this item.

All right, thank you, City Clerk.

We'll turn it over to the council for questions, comments, and entertain a motion.

We'll start with Council Member Campbell.

Thank you, Council President.

And Terra Ryan, thank you so much for the presentation.

There's so much in it, and I so appreciate the the work across various departments in the city.

What we're trying to do over the years is to make sure that we're not all soloed, but we're all working together toward the same goals.

I really appreciate your help with that.

This item came to our community and neighborhood services committee last month, passed unanimously, of course.

The Office of Child and Youth Success has made it a priority to do extensive outreach to community organizations, the public, and especially our youth, in order to update our city's child youth plan.

And I want to applaud you and the entire team for all your efforts.

The Child and Youth Plan serves as a roadmap and resource that will empower the voices of children and youth in our community and ultimately inform leaders and stakeholders what resources and tools they need to succeed.

This plan will ensure that we shape the future of our city with effective solutions, sustainable goals that benefit generations to come.

Again, thank you to staff for bringing this forward.

And I'm happy to move staff's recommendation on this item.

And I want to thank all those who came and spoke in person and virtually about this subject.

I think it'll be a wonderful day when our society recognizes families and children as top priority of whatever we do.

Thank you so much.

All right, thank you, Councilmember.

So we have a motion by Councilmember Campbell to move the staff recommendation.

We'll go next to Councilmember Whitburn.

Thank you, Council President.

Thank you for the presentation.

Thank you for all the work that has gone into this update with the input of a lot of people.

Um looking forward uh to it and uh happy to second the motion.

All right, thank you.

So we do have a motion by Council Member Campbell, second by council member Whitburn to move the recommendation.

Go next to Councilmember Elo Rivero.

All right, thank you, Council President.

Uh Tara, thank you for the presentation.

And I think even more importantly, thank you for taking the time to look at something that a lot of time was spent on and saying we we can still do more and we can we can refine.

I think that's incredibly important.

I don't think we do that often enough.

Um sometimes we we we talk about um plans that are created within the city and they sit on a shelf.

And more often than not, when we're talking about when we say that we mean it's forgotten about.

Um and it and far forgotten about and we're not taking actions associated with that plan.

And I think that the the willingness to very quickly kind of look back and be like, you know, what are what can we do to make sure that this plan is more likely to yield action and and outcomes, I think is really really important and a great sign of your leadership.

So thank you for doing that.

And definitely thank you to our partners in the community who've been super super involved in this the whole way through.

I I'm especially appreciative for the amount of of um the way in which we're talking about really integrating the the work of the the office throughout the city.

That was the intent from the the beginning.

I think when we first talked about dreaming up the city having an office like this, the goal was to ensure that the city was always looking out for children, youth, and families in every decision that was made.

And we certainly have not gotten there yet, but I think that um this is going to make it more likely that we get into that into that place.

Um I've shared this before, but I I think way too often we kind of shove aside the the children and youth um and even like you know, family part of our decisions.

And don't take this moment to think about how they will impact young people.

And there's that's such a missed opportunity because um one no one has more of a a greater stake in the future and the success of our city than our our young folks.

Uh but also there's a a way of getting a 360 degree view of the of the impacts of the decision that we make when we bring young people into the in the the conversation when we have youth um at the forefront of our mind and the impact on families um are is something that we're really taking into consideration.

So all that is to say thank you.

I really appreciate this.

There was there was a a uh a some of what you said, and then I'm thinking of some of what Courtney said, and um Courtney, thank you for sharing your tremendous expertise um with the city.

Um both the initial plan and the update.

And it's thinking about the way that we we integrate this and prioritize the work, you are not well resourced, um, modestly resourced is one way of putting it.

Um how able are you to see when another department is is is doing something or has and it could be a positive thing that's happening.

I'll I'll use this as an as an example.

San Diego FC has has done some really really great work in the community uh and is um supporting programming to provide opportunities for youth.

It's running through our parks and rec system.

Do you all have any chance to kind of involve yourselves in those conversations and say, hey, while this program is running, is there a way to build on that?

Is there a way to weave in these other uh opportunities that we see for young people?

On that particular example, we haven't had that opportunity.

Um of the intentions with this update is um to sort of use it after today to reintroduce OCIS to city departments.

Um again, I spoke to the need for clarity with this update, and I hope that this uh plan this update does provide clarity to take the city departments to explain how C how OCYS is working within the city and across departments.

And so to that point, um we haven't been involved in a lot of conversations coming to us yet, but we've been making a strong um effort to involve ourselves in conversations when we can.

So it's sort of on us to pay attention to what's happening and sort of insert ourselves where we can, but definitely welcome um some of those conversations coming to us as well.

But with that said, I think this um opportunity to sort of go to other departments and say we have this updated plan.

I want to clarify what the role of OCYS does and sort of like reignite that conversation is what's before us now.

Also, I mentioned the um the framework of positive youth development.

So with those departments, especially library and parks in Iraq that are providing a lot of direct services and programs for children and youth to be more intentional about that programming, and to your point to kind of weave in some of the other opportunities to build on, not just that activity at hand, but like all of the other benefits that you can sort of gain through that.

Thanks, Tara.

I I appreciate you saying it's on us to know what's going on.

It's a big city, and there's a lot going on, and you are a very, very small operation, and you you're now in another department.

Um Coda, uh I'm actually gonna kind of turn to you for a second.

I because I I know that um supporting youth is something that has been important to you as well.

Um I I think the the idea from the jump here was is was to have the best interest of children, youth, and families integrated into every decision that's being made.

And so I I just think that some prioritization from the mayor's office you we had some some concerns about moving the office into the library because we didn't want it to be siloed.

And I think this plan and the and the way that Tara spoke about it is a demonstration that they're trying not to be siloed, but that can't just simply rest on the folks within a small office like this.

And there's so much opportunity here as well because if the office and Tara and the supporters of the office in the community are brought into conversations, there isn't just an opportunity, there isn't just the chance of weaving in and connecting the prioritization of children, youth and families, but there's also the potential for resources that can be can be brought in.

So I don't know if you have any thoughts, Coda, about ways that we can ensure that the plan that we're seeing in front of us today is prioritized and and it's not just on Tara and the few folks who who work alongside her to know everything that's going on, but for someone in the mayor's office to say, um, have you all talked to the Office of Child East Success and how how can their plan be prioritized?

How can we build on the action that's that we're considering?

Yeah.

Yeah, no, absolutely.

Um I don't think I have a direct plan to lay out right now, but I think I agree that as we try to re find our footing through the re-org, making sure that OCYS is a part of every conversation because it is it's gonna be necessary for this to be top-down as the mayor's office, as counsel, as other you know, departments engage with external stakeholders, have internal discussions about how to expand um youth services or youth access that OCYS is brought into the loop.

And so it's it's definitely on us more than it is on OCAYS staff to be going out there trying to find these opportunities.

It should absolutely be a two-way street.

And as we go through this fiscal year, as we kind of refine our footing um through that re-org, I think those are the concrete steps that we need to have as we have larger conversations with FC, WAVE, pods, all external stakeholders that uh I know are doing a lot of good in your neighborhoods and communities.

And so it absolutely should be a top-down approach as well as um you know an in-word looking out.

So I appreciate that, Coda.

Um I think about some of the folks that are in the room and the opportunities for partnership there, the fact that they've shown up to support the plan, Tara, that speaks to your um partnership with them throughout the process, I'd imagine a lot of the the a lot of our attention often often gets focused on the feel-good parts of focusing on and prioritizing children, youth, and families.

But there's a less glamorous and I'd say even more important part, and that is like setting up the city for long long-term success in a really meaningful way.

And so I'll use promises to kids as an example.

We know that foster youth, there is a abhorrent likelihood of uh young people in the foster system exiting that system and entering into homelessness at some point in their lives.

It's like basically a coin flip chance that they end up on the streets at some point in their lives.

And so if we're bringing folks like promises to kids into the conversation and and leaning into the plan as we're making decisions, if we can take that number in San Diego and cut it in half, I mean, what's the return on investment there?

Um, not to mention it being just the right thing to do because these are our least supported young people in our city in many cases.

So I I just really appreciative that this is in front of us.

I appreciate the work that's gone into it.

Um obviously it's a point of passion for me, but I I'm I'm hopeful that we see this as a city as an opportunity to to do what was the intention from the beginning, and that is to weave into weave into all decisions, the prioritization of children, youth, and families in a way that lets those young folks know that they have a future in the city and families feel like they're supported in what is a really expensive city and a put uh a city that sometimes it can feel like you're fighting really hard just to barely get by as a parent.

So thank you, Council President.

All right, thank you, Council Member Ila Rivera.

We'll go next to Council Member Moreno.

Thank you.

Happy to second the motion.

Um and thank you for the presentation.

Uh I do have several questions today, and um I heard um I heard promises to kids, but can you elaborate?

But I didn't see anything in the backup regarding that organization.

Can you elaborate on how the city is gonna work with promises to kids?

Yes.

Um actually last fiscal year we had some um of our funding uh allocated to we issued an RFP uh request for proposals for community organizations to respond to the first iteration of the child and youth plan with um proposed services or programs that were aligned.

Um we had a number of respondents and we selected promises to kids to receive um I think close to $60,000 to uh strengthen and expand their services.

Wonderful.

And this goes under the overarching goal, child and youth success.

Yeah, the um the primary focus of the work that they're doing through this partnership is focused on uh workforce development and you know fine financial well-being.

So it mo mostly fits in that focus area, but again, all of these focus areas are intertwined and lead to that ultimate um goal of thriving youth.

Wonderful.

And I think the world of promises to kids, just to be clear, I think they're doing amazing work for a population of our community that's often forgotten.

So I just wanted to know more information about that.

Um, and as I mentioned, I know that there are five focuses uh to this plan.

Um I do have several questions, and they're all gonna be focused on the child care area.

Um what has the division of child and youth success done in regards to increasing access to child care in the city?

Um the Office of Child and Youth Success Um is deeply involved in the community-wide planning for implementation of the countywide child care blueprint.

This blueprint has three uh goals.

The first one is um uplifting the child care workforce, the second is on facilities and infrastructure, mainly expanding and developing child care facilities, which is difficult and expensive and um takes a long time to do.

And the third goal is um improving access to high-quality programs that meet families' needs and preferences.

So I've actually been a co-chair of the implementation work group, focusing on focusing on that second goal, which is um facilities and infrastructure.

The focus area of the child and youth plan, the child care focus area is primarily mirroring that child care blueprint with respect to the city's role in implementing that blueprint.

Primarily the city's role is around land use and expanding facilities.

Um so that's one way that we're working to sort of uh strengthen the system overall.

Um I've also been working with the parks and rec department to identify potential locations to implement measure H, which was the voter past initiative to allow child care as a use on parks and rec space.

Okay.

Um child care is a huge need in district eight, as you can only imagine according to the YMCA, there are many demands on today's families and parents need all the support they can get.

Um child care is one of them, and it's a huge issue for families because it is so expensive.

Um families in San Diego pay on average 14 to 24,000 a year in child care.

Now, with the cost of living already being so high, many residents are being are already struggling to make ends meet, and and that's why in 2022 I worked closely with council member Chris Kate uh to author Measure H.

Um, as was mentioned, it was a ballot measure that amended the city's charter to authorize child care facilities on parkland property in the city.

Um it was approved by 68% of voters.

Um with over 400 parks, the city should be able to offer our parks and rec centers as a resource for quality child care providers.

Um I'm gonna push.

Hearing you say that we're working with the county on the blueprint on another report is a little disheartening for me, um, especially when it's been a good three years since the measure passed.

We own the land, right?

This is park land.

Um let me ask this question.

Um is the division pursuing or helping to facilitate child care providers to be to be in city parks facilities, and if so, what tangible actions are you taking or any specific locations being considered?

Also, if you um if you can answer the fact of do we need the city attorney to be involved in any capacity to help open these doors for child care providers, oftentimes um one of the big roadblocks to child care providers are the facilities itself, right?

Whether it be house, whether they're renting the house and the owner allows them to rent.

So I'll let you answer the question before saying anything else.

Sure.

Um, since I've been with the Office of Child News Success, especially early on, uh, that was my primary focus was to work uh in partnership with Parks and Rec to find ways to implement Measure H.

Um I visited almost every rec center across the city, across the city, also um gathered a lot of data and put together a list of priority locations that seemed potentially feasible for creating licensed uh child care spaces.

Um the current status is that there are very limited existing facilities on park space that are available for child care for two reasons.

The first reason is just the expense of upgrading facilities to be license ready.

There are a lot of regulations in terms of community care licensing, and many of our recreation centers, especially those in the most needed areas, most needed community communities, are old.

So updating those facilities will be costly.

Additionally, um the recreation centers are current are used by other programs serving communities, including children and youth and families and you know the entire community.

So to find, you know, there's some centers that might have sort of potential space, but that space is used for other programming.

Um we have worked with the city attorney's office throughout the whole process in in different on different specific tasks.

Um currently we're in conversation with the city attorney's office around the possibility of bringing in prefabricated modular units on park space rather than seeking use of existing recreation centers, and that conversation is still ongoing with the city attorney's office.

Thank you.

Obviously, you have intellectual property on this in this arena.

Um I would like to see that on paper.

Uh, very limiting locations.

Is that from our 400 facilities?

Is that 40 facilities?

Is that two facilities?

What are the facilities?

And my other question is you made an assertion that it's too costly to upgrade.

Is this information that you gathered, or was this provided by child care providers?

It was it well, in conversation with parks and rec, knowing their existing facilities.

Okay.

And the beauty, um, and once again, going back to my first question, you mentioned that there's very limited locations, and what is very limiting to what is the number?

We had come up with a prioritized list of about five or six uh recreation centers that had sort of the most potential given available space that could be um repurposed for child care.

Okay.

Um go ahead.

Was that um was that list provided to a committee or it where does that list exist?

Uh we presented here at City Council as well as to community and neighborhood services committee a few times.

I can share that list again with your office.

Please, thank you.

Um I would like us to move on that very limited space of five to six facilities and really dive into how we turn those facilities into child care um facilities.

Once again, potentially a pilot program.

I think you had mentioned a pilot program, or I remember seeing a pilot program.

What is expensive to the city might not be expensive to a child care facility program.

I don't know, right?

This is information that I would like to see us move forward with.

So maybe I'll I'll request for the council president to bring something back so we could see some tangible movements where this becomes a reality to actually see and and the other thing I wanted to point out was you you had mentioned that it becomes difficult because there are the park and rec facilities are being utilized, and the the notion with measure H was the fact that kids are in school.

So usually you know, in the time where there is child care um provided uh for younger children, I'm talking about under the age of five, um, that a facility like a park and rec would be feasible because of our regulars being at school, um our regular customers, if you will, being the children.

So I do understand that your scope of work is much more than the child care uh facilities.

Um it is something that was voted on by the city of San Diego voters, once again at the tune of 68%.

This is very, very much needed.

I don't need to tell you this, uh, but I will be pushing on this.

So, and I will officially ask the council president to bring something back where we see some tangible um changes to those facilities to welcome in child care facilities.

And I did second the motion, right?

So thank you for your work and thank you to everybody who came out to speak.

Thank you, Councilmember Moreau.

Uh, we'll go to Council President Pro Tam Lee.

Thank you, Council President.

Um thank you to the presentation and uh certainly um support and appreciate the update um to the strategic plan.

Um I want to thank many of the uh organizations and partners within the community have played a role in helping to shape this as well, because I um appreciate that one of one of the benefits of what the office has really done is to bring together these different partners in conversation with the city about how we can collectively move some of our strategy together.

Um I I think that is a huge benefit that we may not think of, but that conversation alone is a value to our region.

My colleagues have said a number of things already.

I I will just note that seeing the plan and the clear recognition that we don't have funding ability at the moment to implement uh chunks of the plan, but also I think just hearing from some of your answers, recognizing that this is in a sense a bit of a restart for the office, and how the engagement that you may have with other departments and other programs for the city is still something to be determined.

Um I will admit that actually concerns me a bit.

And I I I will openly note that I think what I tie this to is the fact that early this year we made an effort to consolidate what was the department into now being just a subset of um libraries, which appreciate the library department, but what you've just shared and what is lined out in this plan, it really involves you working with a variety of departments for different programs.

I don't think it's incumbent upon you to just determine across the entire city where you have an opportunity to make an impact.

That in no way actually implements this plan.

Um and the consolidation of the department, the defunding of positions to go along with it.

I mean, to me, just seems to suggest that the city is not prioritizing how we implement it.

And so I appreciate this effort and I appreciate all the folks who are here to speak to it.

I just feel like this is somehow disconnected.

It's a wonderful plan, but I don't know, I don't see how it is not just something that sits on the table.

If we don't actually have a way of integrating it across the city, um and also finding ways to meet some of the the funding that you've needs that you've identified.

And so uh we have a lot of partners in the community right now, especially philanthropic partners who I think are trying to fill gaps that we all have seen, whether they're being left by the federal government or just to address some of the bigger challenges we have across our region.

Um I think in order for the city to truly implement this in a way that um touches upon every department is to give you the the resources needed to actually reach across those departments and also the authority to work with departments directly in terms of how you feel like child and youth success is incorporated in the work that they do.

Um and right now in the function that we've had have, I don't see how that's possible.

Um that is in no means me suggesting that we have the funding to do so.

I think we all know um what circumstances we are in from a city standpoint, but again, it just feels like it feels like there's a disconnect as a result of how we're having these discussions.

So I certainly would love to work with your office, continue uh to continue working with your office to see how we can improve this.

Um I I agree that measure H has long been passed, and um, I think this council would love to see how that actually could be implemented.

And and one last thing on that front is I also think of child care beyond just the early childhood years.

And so one area that I think piqued my interest this year was when CNAGU Unified announced that it was um moving into the rate one, I think rate one structure um for um after school care, for example.

Um I think one of the challenges in implementing that on their front has been capacity and availability facilities within the school district and through some of their partners, and it has also made me wonder can the city play a role in some way with the facilities that we've got and spaces that we have, knowing that we already have programs that are existing in many of these um rec centers and libraries that could in a way provide support for early care and um um after care for schools.

So look forward to continuing that conversation again.

Happy to support the plan and appreciate the work that you and um the community has done to put it together.

All right, thank you, Council President Pro Dam.

Um I'll add my thank you uh for the presentation, the good work to do the update uh in helping the city navigate the past few months, which have obviously been a little bit disruptive.

Uh, but thank you for that good work um and trying to keep the momentum going.

Thank you to the library department for absorbing this and trying to figure out how it will work and uh in this new um situation.

Um I echo the comments of my colleagues on one hand, it's fantastic to take these noble ideas and integrate them across every single department.

I remember when sustainability mobility did that by actually participating in every department's budget conversation.

I'm not sure that's the right place uh for this particular uh item.

Uh, but um making sure that every department understands what role they play in this, I think it's incredibly important.

So thank you for the good work.

Uh, remain undaunted uh given the challenges uh because this is very, very important.

So with that, and thank you for your patience.

I know it took a while for us to dock at you, so thank you again for your patience.

So with that, we have a motion by Councilmember Campbell and a second by Council Member Whitburn.

Clerk, please call the role.

Thank you, Council President.

I'm sorry, the voting system, please cast your vote.

That passes unanimously seven to zero with Council Member Campio and Council Member Von Wilbert absent.

Thank you.

All right, thank you, City Clerk.

Uh, next up is non-agenda public comment.

My understanding is we don't have anybody in chambers.

So we are going to trail remote non-agenda public comment uh to the end of this afternoon session.

So again, remote non-agenda public comment will be trailed to after this uh afternoon session.

With that, we are now adjourned for the noon recess and we'll reconvene open session at 2 p.m.

or shortly thereafter.

Thank you all.

We're doing that crowdistic, historic investments in affordable housing.

Every ribbon that we cut, every key that we place into the palm of a new tenant brings us closer to the collective goal that I have for our city, which is a roof over every San Diegans head at a price they can't afford.

I will now reconvene the city council meeting of Tuesday, October 28th, 2025.

Clerk, please call the roll.

Thank you, Council President.

Councilmember Campbell.

Councilmember Whitburn.

Here.

Councilmember Foster.

Councilmember Von Wilber.

Council President Pro Tem Lee.

Here.

Councilmember Campillo.

Here.

Councilmember Moreno.

Present.

Councilmember Elo Rivera.

And Council President Lacatha.

Present.

Also attending the meeting our assistant city attorney Leslie Fitzgerald, Principal Fiscal and Policy Analyst in the IBA's office, Jordan Moore.

Policy advisor, Matt Yaganga Yagagin from the mayor's office, and myself, your city clerk, Deanna Fuentes.

All right, thank you, City Clerk.

The quorum is now present.

I see a lot of new faces in the audience there.

For those of you who haven't been in chambers before, uh, what we request is avoid clapping or cheering or booing, as the case might be.

But thumbs up when you agree with something you're hearing and thumbs down when you disagree.

It's a very effective way to communicate without disrupting the meeting or the flow of the meeting.

So I appreciate if you could follow those those protocols.

It has worked very successfully.

So with that, Clerk, please introduce item 331.

Item 331 is the adjustment to water and wastewater rates in accordance with the cost of service studies and proposition 218.

This item was initially heard on September 30th, 2025.

At that time, council took public testimony and did close the public hearing.

At that time, the council also made the findings in the accordance with California Government Code Section 53759.1 that the legal objections and the city's written responses do not warrant reducing the rates, clarifying the rates, or further reviewing, and that the protest hearing and protest tabulation under Proposition 218 could proceed.

I completed a report out on the tabulation of the protests, including that 5,225 total protests were received during the 62-day period from July 30th, 2025 to September 30th, 2025, and that 130,296 protests were required to reach a 50% plus one majority per proposition 218 requirements.

Prop 218 notices were mailed in late July, and three community meetings were held in August and September leading up to the September 30th adoption hearing.

At the September 30th hearing, the city council voted to continue the hearing to today, October 28th.

And if City Council approves the rates today, the first year's rate increase would go into effect on January 1st, 2026.

We've covered this before, so I'll quickly review the water and wastewater system as a whole.

Here's a snapshot of our operations, our size, staffing, and scope.

We realize that this infrastructure is largely hidden and something most people never see, but it is essential to public health, equity, and quality of life in every council district.

Our water system also plays a critical role in public safety, not only providing clean, reliable water for daily use, but also maintaining the pressure and capacity firefighters depend on to protect lives and property during emergencies, including the growing threat of wildfires.

Here's a quick reminder of where customers' bills go.

About 40% of their bills go to water purchase from the wholesaler, the county water authority.

The rest covers system operations, debt, technical support, billing, and pure water planning.

Now I'll hand it over to Lisa who can go through an overview of our proposed rate adjustments.

So let's take a closer look at the proposed rate adjustments and how they help ensure the long-term sustainability and reliability of our water and wastewater systems.

Before we dive into the actual costs, I want to underscore that one of our top priorities is affordability for our customers.

Over the last year, our team has taken multiple actions to save nearly $360 million and mitigate rate impacts without compromising service.

To put this into perspective, without these measures, rates would have needed to increase an additional 30 to 35% during this period.

I want to highlight just a couple of actions we have taken.

Through the strategic use of resources, including stored water, water, our fund reserves, delaying select capital projects, we were able to save more than 260 million dollars.

And by strengthening our asset management practices with a data-driven approach and detailed pipeline assessments, we achieved an additional 87 million dollars in savings.

Another proactive step we have taken to mitigate impacts to our ratepayers is softening our financial metrics.

On this slide, you will see key indicators like debt service coverage, rate stabilization reserves in projected days of cash.

To maintain stronger financial metrics, even higher rate increases would have been necessary to generate additional revenue.

We are allowing these metrics to fall below their targets, which reduces rate impacts on customers while keeping the system financially sustainable.

This approach balances fiscal responsibility with affordability, ensuring the system remains resilient and ready to meet operational needs in future challenges.

As you know, the San Diego County Water Authority voted to approve rate increases in June of this year for calendar year 2026.

I want to take a minute to fully explain how an 8.3% rate from the Water Authority translates into a 13.6% impact on San Diego customers.

An all-in or effective rate increase adopted by the water authority does not translate into the exact percentage increases that needs to be passed on to our water customers.

So when looking at the chart on this slide, our rate impact is the combination of both fixed and volumetric rates and charges, meaning you have to stack both the orange and the gray bars on top of each other to understand the overall impact.

Building off of the previous slide, this slide depicts the percentage change in each of the rates and charges that the water that the city and the all the member agencies pay to the San Diego County Water Authority.

As noted, the Water Authority's calendar year 26 all-in-effective rate has been communicated as 8.3%.

But what the city pays is the overall change in our fixed charges, volumetric rates, and the volumes of water we plan to purchase.

You'll notice in the chart on the right of the slide, we have depicted what the portion of the overall increase is in fixed charges that we'll pay to the Water Authority, the 5.4%, the community the commodity or volumetric charges we'll pay, the 5.3%, and the additional volumes of water we plan to purchase at 2.9%.

For these reasons, the city's 13.6% is reflective of the increase in commodity rates, fixed charges, and the additional volumes of water the city plans on purchasing.

This chart shows the projected rate adjustments over the next four years.

At the top, you'll see the increases associated with buying water from our wholesaler that I just walked through on the prior slides.

The next two rows reflect specific adjustments for our water and wastewater system, reflecting the cost to operate and maintain our own infrastructure.

These are carefully managed to keep our system safe, reliable, and financially stable while avoiding larger costs later.

You'll notice that by 28-29, the share of the cost from the water authority decreases.

This is due to the launch of Pure Water San Diego, which reduces reliance on the Water Authority and includes a recovery from our deliberate deferral of public utilities department water system rate increases in 26-27 to lessen the immediate impact on customers.

The modest increases in 28-29 support ongoing cap maintenance and a recovery of the financial metrics in infrastructure improvements following our delayed CIB.

This slide translates the proposed rate adjustments into actual dollars and cents for the average single family residential customer per month.

In 2026, the largest driver of the increase is the wholesale water costs, adding about $16 more per month.

In contrast, the city's portion of the water rate would increase by $1.29 and wastewater by 80 cents.

You'll see a similar trend in 2027, with the city's water and wastewater costs modly rising to reflect inflation, system meetings, and infrastructure needs.

Primarily to avoid more costly upgrades to the region's wastewater system, and secondly, to produce a drought-proof locally controlled water supply.

The total per unit cost of pure water is over $3,500 per acre foot, which translates to a penny per gallon.

Since the regional metro wastewater system is paying to avoid upgrades to their system, their costs are attributed to approximately 1,400 per acre foot, whereas the additional cost of creating a drinking water supply is over 2100.

In comparison, that is lower than what the city is paying for untreated water from its wholesaler and significantly less than the cost of the water authority to buy desalinated water.

All of this means that our water customers will be saving 70 to 140 dollars, and our wastewater customers will be avoiding $80 to $90 per year by investing in pure water.

While rates remain our primary funding source, non-rate revenue are an important part of our financial plan that helps support operations and offset costs to our customers.

At the Point Looma Wastewater Treatment Plant in the Metro Biosolid Center, operations today are completely powered by self-generated renewable energy.

This achievement results in approximately $9 million in annual cost savings, or approximately 1.5% in rate savings.

At the Miramar Water Treatment Plant, we operate the city's largest solar energy system.

Additionally, solar installations across our water system provide almost 40% of the total energy needs at our water treatment plants and pump stations, and between 30 and 40 percent of our energy demand at our public utilities department's office buildings.

Looking ahead, we are planning to perform an energy master plan that will outline additional opportunities to expand renewable energy generation, increase efficiency, and reduce and further reduce operational costs.

These investments demonstrate the city's continued commitment to responsible resource management, ensuring that our essential water and wastewater systems remain both financially and environmentally resilient.

Currently, we manage over 42,000 acres of land.

Most of this land is watershed property that plays a critical role in protecting access to our water supplies and water quality.

Public utilities currently has 82 revenue producing lease agreements, which collectively generate over $7 million in annual revenue that equates to approximately 1% in rate savings.

We're working closely with the economic development department to update our leases.

In accordance with our bond covenants, the public utilities department's leases are required to be set at fair market value.

This ensures responsible financial management and supports the long-term fiscal health of our utility operations.

The public utilities department is also currently evaluating the feasibility of implementing charging for parking at the city reservoirs.

This potential program could serve as a new revenue source to help offset general fund costs associated with providing recreation opportunities at these sites.

And alternatively, it could also be structured to support a general fund subsidy that helps address water affordability for our customers.

Following this analysis and development of the program, implementation would be target for fiscal year 2027, which begins in July of 2026.

And finally, the department continues to advocate for state and federal legislation that would establish water and wastewater rate assistance program, providing much needed support for low-income households.

PUD distributed close to $74 million to qualified customers through both state and federal COVID assistance funding.

This temporary program is no longer funded and has since expired.

So we continue to advocate for a permanent version of the program to be established on the state and federal level, similar to what exists for other utilities.

As a reminder, we'll share a quick look at our outreach activities highlighting how we engage the community and shared information on the proposed uh rate increases ahead of today's public hearing.

We translated our Prop 2AT notices into 10 different languages to ensure all customers can understand the upcoming uh rate adjustments.

Approximately 286,000 notices were mailed to customers in late July 2025.

Notices were also made available online on our rate adjustment webpage for easy digital access.

We created a dedicated web page with comprehensive information on the proposed rate adjustments.

The page includes a short video with a background on water rates and a clear, easy to understand breakdown of where the rates go.

The video helps our customers understand uh the upcoming rate adjustments and explains why the adjustments are necessary and how people can get involved in the process.

As a reminder, as of September 15, 2025, we received 64 objections from community members regarding the rate adjustments.

The concerns rates raise cover a range of topics as you as you can see here on the slide.

All objections have been responded to, and the responses to the objections were entered into the record at the September 30th public hearing.

On September 30th, the City Council approved responses to written objections and authorized holding the public hearing for proposed rate adjustments.

In a day, we're requesting approval for the water, wastewater, and recycled water rate adjustments outlined on this slide.

Thank you for your time, and we're available for any questions.

All right, thank you for your presentation.

I understand the office of the IBA would like to make comments as well.

George?

Thank you, Council President, members of the council.

My name is Jordan Moore with the Office of the IBA.

As you are aware, our office released IBA report 25-31 prior to the hearing on this item back in September.

At that hearing, our office provided an overview of our report.

As a reminder, we said that to avoid serious financial ramifications in the near term due to delay, lower rates, or no rate increase, PUD would be required to reduce its operating budget beginning immediately with the current fiscal year, and that approving water rates for FY2026 and FY2027 at the proposed rates in the study is crucial to maintaining the operations of the water system.

I now wish to further expand on these comments, which center on the proposed water rates.

First, regarding the impacts of if there were to be a delay in implementing the rates.

Today represents the last opportunity for council to approve rates without impacting operations.

The public utilities department needs 60 days to implement the rate change.

And without approval today, operating reductions would have to begin immediately in order to account for the lost revenue of any delay.

Second, on the financial ramifications of approving lower rates than proposed.

We want to reiterate that PUD's financial metrics, as you saw in the slide, are already at their lowest advisable levels.

Take, for instance, debt service coverage for the water system, which signifies whether there is enough revenue to cover its debts.

Those are currently projected around between 1.25 and 1.22 in those years, meaning that in the second year, it has 22% more operating revenue than it needs to pay all required debts in a year.

Falling below a debt service coverage ratio of 1.1 could potentially violate some of the city's bond covenants on that debt and hurt the city's credit reputation.

As outlined in staff's presentation, PUD has already done everything it can to propose the lowest possible rates before you today.

This includes implementing actions that our office recommended in numerous reports following the last rate hearing for water rates back in 2022.

Options to mitigate short of curtailing the operation no longer exist because PUD, in a responsible manner, took these options prior to bringing this action to you today.

Approving rates lower than what is proposed would almost entirely eliminate any margin for error in the system, severely hampering the city's ability to respond to unforeseen impacts to either revenues or expenses in the near term.

Lower or delayed rate increases would force significant cuts to the operation, potentially impacting customer service and regulatory compliance.

Our office strongly advises and recommends the approval of rates at the proposed levels that you see.

Again, I want to reiterate that without the work of this council, our office, and the public utilities department, this rate case would have been even higher than it is right now, and in some cases, justifiably could have been so.

This is especially true for the first two years of this rate case, where I want to reiterate again.

All levers as outlined in our report in PUD's presentation are being pulled just to get through these two years.

From our office's perspective, approving the proposed rate increases for FY 2026 and 2027 is crucial to avoid serious financial ramifications.

We remain committed to working with this council, the mayor's office, the public utilities department, the county water authority, and the public on how to make water costs more sustainable into the future.

And we are happy to take any questions from this council now and into the future on this or any other PUD-related rate items.

Thank you.

All right, thank you, Jordan.

I always appreciate the input of the Office of the IBA.

And with that, clerk, please proceed with public comment.

Thank you, Council President.

We do have over 30 speakers here and online, so we will be going to a minute apiece.

Some people have time seated, so just be sure that when I call the person who is seating time to please raise your hand.

Starting with Tim Douglas, if you can come up to the microphone, and if I can have the following individuals come up to the yellow reserve seats at the front of the room.

Mike, um, Mike Fertal, Michael Drennan, Bernie S.

Mary Ann, Hoel, uh Joel Skaziti, Robert, and Jill Sprigs.

If you can all please come forward to the front of the room.

And you have time ceded to you by um Andres Alba Gardenas.

Thank you.

You'll have two minutes, please proceed.

Good afternoon, City Council.

My name is Tim Douglas.

I am the elected president of ASME Local 127, who represents the skilled labor for the city.

Local 127 represents about 700 of its members within the public utilities department.

The reason I don't have someone standing here next to me today is because the department is already at a low staffing level with an 18.3 vacancy rate.

Among my members, we do not want to pull someone out of service.

Therefore, I am now going to be the PUD employee, as I have been for the last 25 years within the department.

I first hand know the hardship this is going to bring to my members, co-workers at this financial resource identified by the public utilities department leadership is not approved by council.

Just like local 127 lit up the city of San Diego, we also wet it down with safe, reliable, consistent drinking water by supporting the actions of public utilities department is requesting today.

You will allow my members to continue to do the hard work needed to deliver these services to the city.

Thank you, folks.

Thank you.

Mike Afternoon, everyone, Mike Vertale University City.

I'm asking everyone on the council to approve the water rates.

Well, the current council was not uh solely responsible uh for the rate increases.

It will be responsible for the consequences if these rates are not approved.

Safe and reliable water is expensive, but it's preferable to unreliable, unsafe water.

Underfunding sewer maintenance in the short term is costly, but the result of neglecting sewer infrastructure is uh dire.

Uh paying for burst pipes, especially those that run through residental residential communities uh is very expensive.

Although the rate increases are bad, the situation could be worse.

Prop 218 protects public utilities funds and has prevented the city from neglecting water and sewer infrastructure to the extent that it is underfunded roads and storm drains.

Uh there are steps the cities can the city can take to uh keep future water costs down.

It can do a better job coordinating with the water authority to bring new water supply online.

I mean, we have a situation where the water authority is blaming the city and the city is blaming the water authority.

Thank you very much.

Have a good day.

Thank you, Michael.

Good afternoon.

My name is Michael Drennan.

I'm on the board of directors for the American Society of Civil Engineers, the San Diego chapter, and we have over 160,000 members nationally.

I'm here to support the rate increase.

The reality is we live in a region with limited water resources.

Our infrastructure is aging, some of it nearly 100 years old, and it needs maintenance and repair.

This isn't just a local issue.

My organization's 2025 infrastructure report card gave the United States of drinking water a grade of a C minus and wastewater a D plus, largely due to deferred maintenance.

It's like owning a car and never changing the oil.

We don't have a choice.

Water is essential.

Delayed action will only see costs rise further.

Maintenance is much wiser than emergency repairs.

And even with your proposed rate increase, you will still be delivering safe water for about a penny a gallon compared to a dollar or more for bottled water.

Thank you for your commitment to our city's future and our children's future.

Thank you for that concluding remark.

Bernie.

Good afternoon.

I'm a citizen.

I'm in District 1.

My name is Bernie.

And um I'm speaking to you as the city council that you have an opportunity here to affect generations within our family.

I'm a lifelong San Diego native, and I look at the and I heard the uh testimony from Jordan Moore, but I look at the report and I see a sentence that says PUD will need to cut expenses either through decreased operating cost or lower spending in the capital improvement CIP program.

I think there's some inherent responsibility in our infrastructure to do further cost reductions and look at those operating cost reductions.

There have been some admirable, but as I look through them coming out of that profession, those were cream of the crop.

They have not looked, I think, at the real operating costs.

But that would be my call to you guys to really look at those and have these people do their job.

Thank you.

Thank you.

Next is Mary Ann.

I guess I'm a little shorter here.

My name is Mary Ann.

Um I'm uh I live in San Diego City, and um I'd like to thank the the group here.

I know working in the city is a tough job, but I pray to God that you do things that are good for the people you represent.

And this water um issue has been in opposition since the 1990s.

Um with you know, um with the um meaning with Miller Brewing, they they had some issues back then.

Um, and this is continued, a continued issue.

Um, I'm all for more conservative methods.

There are people should be um able to have well water.

People should be able to have water collection facilities.

So that's my vote to um oppose this water bill and work as we need.

Thank you.

Thank you.

Joel.

Hello, my name's Joel Scalzani, uh, board of directors of the Helix Water District and the Santa County Water Authority.

As you know, we live in a desert, so the cost of water is always gonna be an issue.

As a region, we have made little, we have little natural resource supply and get less rain than Phoenix.

This is especially important in 2025 because all of our cheap water is gone.

As a regional decision makers, we were mindful and entered into long-term agreements with the Imperial and Coachella Valley to secure our water.

We have this low-cost water for many generations ahead.

That water is conserved through farming and literally no intensive capital spending to make this happen.

We made decisions 30 years ago to make sure the businesses and residents didn't get caught off from water.

We doubled down 10 years ago and added additional expensive but drought tolerant water and desalinization.

The reality is now is we have enough water, and it's not the case for other places in Southern California, many of whom are just starting to do what we did in the 1990s.

Thank you for that concluding comment.

If you do have written comments, though, we can't uh pass them around as well.

Is that a full minute?

That was one minute.

Robert you have time seated to you by Rose.

Thank you.

You'll have two minutes, please proceed.

All right, thank you.

Um so I had sent in an a letter uh dated uh October 13th to all the members of the council.

Just want to go through the the details of that letter.

You have an opportunity to go on record to oppose the high regressive tax that these water rates represent.

You say stated on your October 30th meeting that a priority for this council is the affordability in the state of in the city of San Diego.

Um my research since then is realized that the real issue is that that this cost overruns on the pure water project in full transparency.

I don't know why you're blaming the county for pass-through costs.

Um you're letting we're letting rivers water flow to the sea, we're preventing Central Valley farming, we're telling cities that there's not enough water and the infrastructure is in inadequate.

Really, the the truth of this matter is the cost um increases are being driven by um overruns, cost overruns in the pure water project itself.

Last September uh Union Tribune wrote a an article stating that you had to take out 130 million dollar bond to pay for those cost uh overruns, and now you're just passing these costs off to the consumers.

Um reality is a hundred two hundred and ten percent.

Let me say that again.

The reality is that the water that you're buying, including in that presentation, six hundred and seventy-one dollars per uh acre foot going up to to what twenty-one hundred or twenty-four hundred dollars, that's a huge price uh markup.

That is not um passing off the cost of the water.

What we're doing is we're paying for you're being asked to pay for the cost of two uh two to three years in advance.

Um we're being asked to pay for water rates that are not current rates, but water rates that will be in two to three years that once the the tap starts running from the pure water project.

I don't think we're gonna get the first drop for another two to three years.

These are not actual costs, these are costs that are projected water rates two to three years in the future.

That's a tax.

It's a tax.

Thank you for that concluding remark.

As a tax, that's not been approved by the uh concluding remark.

Um Joe Sprigs.

Then if I can have Dr.

David Kennedy, Michael Shale, Cheryl, Courtney Brown, Terry Altarelli, and Madeline Haynes.

If you can all please come up to the yellow reserve seats.

You'll have one minute, please proceed.

Can I start?

Yes, please proceed.

I'm Jill Sprigs.

My family has been in San Diego since I have stopped your time.

If you can please speak into the microphone so that the I'm Jill Spriggs, my family's been in San Diego since 1917.

We've seen a lot.

This is very interesting.

This whole thing of how we plan to have water taken care of.

Right now, my understanding is that the CWA bought water with a long-term contract, 45 years in the late 1990.

What happens with that?

If San Diego reduces CWA demand, the county is still obligated to buy and member agencies obligated to buy at higher rates due to these contracts.

This is one of those things that makes me go, what?

The other thing I have in mind that concerns me is I haven't heard any discussion about homeland security issues related to the system.

To me, this is a big city.

If we have any kind of any kind of a problem whatsoever with this toilet to the TAP deal, um, an awful lot of people are gonna be affected, and that's not good.

And Myrmar, where we're gonna put the new clean water is open.

Anybody can walk through there, and nobody could stop them.

Thank you very much.

Thank you, Dr.

Thank you, Dr.

David Kennedy.

Good afternoon.

I'm here to give you a solution to part of the problem, how to save 150 million dollars and lower your carbon footprint.

Dr.

Kayla Taylor of the National Toxicological Program following a lawsuit.

Studied 75 studies from 10 different countries.

And came to the reasonable conclusion.

Fluoride exposures consistently associated with lower IQ in children.

Judge Chen in San Francisco concluded that at 0.7 San Diego's level, the level considered optimal in the U.S., it poses an unreasonable risk to the IQ of children.

Thank you very much for adding an unapproved drug, hazardous waste from Florida to our water supply and paying extra to the metropolitan water district for their quote treated water.

They're using China as their source of fluoride.

Please pay attention to the science.

It moved long past the 1945 claim that it was beneficial.

It's not.

Michael.

Michael Shell.

S C H A E L No?

No, Michael.

Okay.

Cheryl Toilet to Tap is unhealthy.

Alternatives for more fresh water.

One, restore farmers and ranchers' waters, rot water rights.

Let them build earth dams on the streams.

That water could percolate down and refill aquifers.

Two, restore the 100 plus earth dams you destroyed, build more desalinization plants.

Four, build cisterns and underground pools for storage.

Five, build dams, you own land in Ramona suitable.

Six, there are machines that take water out of the air, buy some, assist others to buy some seven.

Pray to the God that makes rain.

Eight, reassess water usage in our arid climate.

Example, the 300 golf courses in San Diego County.

Perhaps they could be reduced to nine holes.

Stop the water districts from forcing us to buy their product by charging us extortion fees for not using their water, stealing our water meters, attaching their extortion fees to our property tax bills.

Thank you.

Courtney Brown.

Good afternoon.

I'm Courtney Brown, staff attorney with San Diego Coastkeeper.

While we support today's rate increases, we must address the deeper affordability crisis and the systemic failures driving these costs.

Unfortunately, if we don't pass these rate increases today, it puts our infrastructure, health, and safety at risk.

Additionally, investing in pure water is the best way to ensure a long-term sustainable water supply for San Diego.

Without it, the city faces a legal mandate to upgrade the Point Lema wastewater treatment plant, costing billions that ratepayers will ultimately have to cover.

The County Water Authority has known about pure water and its impact on water demand for over a decade, yet did nothing to prepare.

Now some members blame pure water for rate increases instead of right-sizing their own agency.

This is unacceptable.

The City 10 must use its influence to focus on expediting water sales to third parties.

Pull every level lever available so that we're not back here again in another few years with even higher rate increases.

In addition to passing the proposed rate stay, we ask you to keep moving forward, Fourth Water Authority to get its house in order and commit to affordable water for San Diego.

Thank you.

Terry.

Terry, you have time seated to you by Aaron Edkins, if you can please raise your hand, as well as Max Sims, if you can please raise your hand.

You'll have three minutes, please proceed.

On behalf of San Diego's workers' benefit council members or the WBC, we are here to demand no more rate hikes and stop corporate water subsidies.

How much could the city save if Qualcomm and other major corporations were paying the same rates as individuals?

If the city stopped the corporate subsidies, you can lower the rates for everyone else and not raise them again.

Our WBC speaks for workers who maintain the multi-billion dollar tourism industry and do construction and gig jobs.

In other words, they keep San Diego's economy going.

Low-pay workers already have to choose between paying rent and buying food.

Most of my income goes into rent.

That's a moniker I would not be proud of.

Thousands of working families in the city are part of the 40 plus million about to lose their SNAP benefits due to the government shutdown.

This is despite working one, two or three jobs, or are too disabled from working all their lives.

If you raise these rates, working people in our cities will go further into debt just to survive, and your proposed rate hikes just rub salt into the wounds.

The WBC demands are one, no more rate hikes.

Two, stop the corporate water subsidies.

Three, get the repairs done to the Choyous Creek canals and reimburse all January 2024 flood victims for damages they incurred.

If the city doesn't have the funds, go to the state and demand they cut back on the nearly 70 billion dollars in corporate tax breaks.

Four, make all water bills incurred by flood victims after flood null and void due to their not having been able to live in their damaged homes.

At the last hearing, the city council said they couldn't put the WBC's demand because of Proposition 218.

Proposition 218 requires water rates to be proportional to the cost of service.

The initial initiative prohibits the use of fees for general revenue or for the primary purpose of redistributing wealth, but it does not prevent the city from charging corporate water users the same rate that it charges residential users, which is not a fee.

There is nowhere in Proposition 218 where it says the city is required to make subsidies available for corporations while we the pay rates that are through the roof.

Thank you.

Thank you.

Next is Madeline Haynes.

Madeline, you have time seated to you by Juan Chavez.

You can please raise your hand.

Thank you.

As well as Harold Roberts.

Thank you.

You'll have three minutes, please proceed.

Thank you.

My name is Madeline Haynes.

I've been a lifelong resident of San Diego County, and I currently live in Linda Vista.

I am reading for Johan Chang, who cannot be here today.

He's an environmental science major at San Diego State.

It is no secret to any Californian, let alone San Diegans that water is a finite resource in our part of the country.

However, let us be reminded why water is such a scarcity here.

It is more than our unique climate or our urban communities.

For the longest time, large industrial agricultural businesses have received many subsidies from the federal government and enjoy low water rates while draining the state's fragile resources and driving the state into perpetual drought.

Yet we, the common people, are left to pay for the immense cost of this over-exploitation of a vital resource while unable to enjoy those benefits ourselves.

In fact, some of us are cut entirely off from this indispensable resource because we working people make meager wages, and we cannot cover the huge loss of water and revenue to these agricultural titans.

Not only are we expected to pay higher prices for water that is not even guaranteed to be available or good quality, but many of us don't even get to enjoy the produce grown by big agricultural businesses on top of it, because we can't afford to buy it.

How can anyone justify raising the water rates alongside other costs for people that benefit so little from the abusive consumption of such a small group of people?

How can anyone expect the common people with so little resources to bear the entire weight of a complete environmental disaster caused by a few with gifted seemingly infinite resources?

As the Colorado River, our lakes, and our aquifers continue to be drained.

Our beautiful city is on the way to becoming an inhospitable desert environment for all but the wealthy, stripping it of its natural wonders.

Everyone needs water, common people and big businesses.

Therefore, it must be a right, not a privilege, especially when the privileged get more for less, while we are forced to get less for more.

That's why I ask the I back the demands of the workers' benefit council, including no more rate hikes, stop the corporate water subsidies, stop draining working people for cash we don't have, and demand the money from the state of California.

Uphold the state law that all have the right to water.

Thank you.

Thank you.

Aline King.

And you have time seated to you by Hannah.

Thank you.

You'll have two minutes, please proceed.

Good afternoon.

I'm a San Diego native, and I'm really saddened by the horrific expenses in our beautiful city.

I'm here to back the demands of the WBC, including no more rate hikes and stopping corporate water subsidies.

When some suffer, we all suffer.

Remember the HEP B outbreak some years ago, 24,000 families a year were being shut off from water and HEP B spread for lack of sanitary conditions.

At that time, the San Diego Workers' Benefit Council fought and won an end to water shutoffs in the city.

We are grateful for that.

We're asking you, the city council to work together with us to stop these rate increases, which deny people their right to water to prevent a public health crisis.

As a society, what are our responsibilities to all our population to have decent housing, clean water, and safe environments?

Our vision has to be for all, not just for the wealthy few.

How can we claim to be America's finest city when so many are suffering each month just to survive?

Small businesses also suffer when customers have less money due to high rents and high utility bills.

Million dollar houses abound, but 13 corporations own one-third of San Diego rentals and are raising the rents to impossible levels.

So envision your food preparer in your favorite restaurant crawling out of their car or their tent where they've spent the night with no washing facilities rushing to serve you because they couldn't afford to live in a way that you do.

So instead, why not envision the United Nations Sustainable Development Goal number six, which mandates safe and affordable drinking water, and I fully endorse the demands of the workers' benefit council, which say reject the full rate hike proposal, get those repairs done from January 24 for those poor flood victims for damages they incurred and make sure all water bills for those flood victims are null and void because they've not been able to live in their houses due to the floor and wall damages.

If none are exploited, if none are exploited, we all benefit.

Thank you for that concluding remark.

Doug Kay?

Doug, you have time seated to you by Gail.

Thank you so much.

You'll have two minutes, and if I can ask the following individuals to please come up to the yellow reserve seats, Nika Marozova and Greg Montoya.

Please proceed when we're day.

Distinguished members of the council, my name is Doug Kay.

I come before you a second time on the behalf of the San Diego Workers' Benefit Council.

I believe the measure of this council's greatness will be its ability to retain its compassion in the time of crisis.

While many complain about the billionaires making policy for our country right now, you have the power to do something about it.

I remember I recommend that you act with your heart as well as your head.

Clear water is a basic right of everyone.

You can't live without it.

I back the WBC's demands to reject the proposed rate increase, which would affect most of our most vulnerable cities, citizens, which include working families, students, veterans, and our seniors like me.

No more rate hikes, stop the corporate water subsidies, respectively, Doug Kay.

Thank you.

Thank you.

Nick Morozova.

Oh, Nika, my apologies.

I don't know why I read that as Nick.

Nika Morozova.

And you have time to see it to you by Joey Harris.

Thank you.

And Vicky Harris.

You'll have three minutes, please proceed.

Hi, my name is Nika Morozova, and I'm a political science major at the San Diego State University.

I've gotten to see and advocate for many low-income families in San Diego that get their electricity shut off or are thousands of dollars behind on their water bills because they cannot afford the rates that they are already paying.

Introducing a 62% rate hike is outrageous and unfair to San Diegans that have already been paying twice the national average for water.

According to the 2025 quarterly report of Black Rock California Municipal Income Trust, based on their net assets, they have invested the following 1,500 into the San Diego County Water Authority in the last quarter, and 30,000 into the Sacramento Municipal Utility District.

BlackRock also invests in other utility or energy organizations in San Mateo, San Jose, Central Valley, and many more cities, bringing their total net worth to 77 million dollars only for investments and utilities.

BlackRock has invested many more millions into the school district elections, health facilities, university finance authorities, infrastructure, medical centers, and more.

They do this because they know they will get a good return on their investment.

They know that year after year, cities and states allow higher rate increases and take out more loans and debt with more interest from big finance at the expense of their constituents.

Why is the council more concerned with raising rates to pay off this interest than they are in joining us to find sustainable solutions to bringing everyone in San Diego truly affordable water?

At the January City Council hearing, this body told us to go to the San Diego County Water Authority.

We did, and the county told us to go back to you and to write to our state representatives.

At the September City Council hearing, many of you agreed with the demands of the workers' benefit council, including to reject this increase and to raise any of the needed funds to correct past errors made by ending corporate tax breaks for Fortune 500s.

However, we were told that that was non- enough information and data gathered from the body that proposed the increase in the first place to make a final decision.

If you want to know where to get the money, you can back the WWC's demands and tell the state to allocate the money.

Join us, the people of San Diego to fight for these demands.

No more rate hikes.

Stop the corporate water subsidies.

Thank you.

Thank you, Greg Montoya.

You have time seated to you by Will Harris.

Thank you so much.

You'll have two minutes, please proceed.

Good afternoon.

My name is Greg Montoya.

I am a delegate of the San Diego Workers Benefit Council.

I am a victim of the January 22nd, 24 floods.

We do demand that you do not load on even more water debt to the flood victims by raising your rates.

Many of us cannot even live in our homes yet are still being charged 207 a month base rate.

Last year, the City of San Diego announced its partnership with the local governments of sustainability USA, the largest global network of over 2500 local and regional governments dedicated to addressing environmental challenges.

The city announced their focus on five of the sustainability development goals, including sustainable cities and community communities.

The raining season is starting, and the city is still not maintaining the storm drains.

Well, flood victims yet have to receive compensation for their damages.

I'm calling upon each of you to stand true to your city's commitment to sustainable cities and communities.

You need to find the money without raising rates.

No more rate hikes.

Stop the corporate water subsidies, get the repairs done to the Choas Creek Channel and reimbursed all January 24th flood victims for damage they incurred.

If the city doesn't have the funds to go to this, go to the state and demand that the state cut back on nearly 70 billion in corporate tax breaks.

Make all your water bills incurred by the flood victims after the flood, and all and void due to them not being able to live in their homes.

Thank you.

Thank you.

I started the five-minute timer.

I'm going to those participating remotely.

We currently have seven in the queue, starting with Andrea Ebbing.

If you can please unmute.

Hi, my name is Andrea Ebbing.

First of all, Kent Lee, oh my gosh, thank you for your speech yesterday.

I am really impressed and I hope that that continues.

And I really would love to see that.

Shawnee Laura Vera, Marnie, I see that you guys are stepping up, and it's appreciated, and it's definitely noticed, and it's strong, and it's what we need because uh, you know, our community is suffering.

Um, I would just say that the water increase, absolutely not.

This is to pay for uh Imperial Imperial Valley's uh lithium valley.

You know, there's the water depletion and contamination that they already know is gonna take place, which is gonna destroy the land, destroy the agriculture, and increase water is going to that's what we're preparing for here is a battery factory in Imperial Valley.

I would say let's take these developers' uh donations and stop paying Summer Stefan, all those kickbacks, hundreds of thousands of dollars through her PACs, uh, and and have them pay for the water.

I mean, come on, they're using it for their concrete, so buildings, thank you.

Your time has concluded.

Melanie, if you can please unmute.

Good afternoon.

This is Melanie Cohn with Biocom California, um, representing the city's life science industry.

The region has about 1,800 life science facilities employing over 70,000 San Diegoans.

And these companies rely heavily on consistent high quality water for research, manufacturing, and lab operations.

These increases will impact operating costs, especially for startups and early stage companies that have tight grant funding or early capital.

While we understand the need for infrastructure investment and water reliability, it's crucial that any rate adjustments are implemented transparently and predictable predictably.

We urge the county, uh the city to consider phased increases, usage-based tiers, and incentives for water sustainability measures.

San Diego's innovation economy depends on both sustainable water systems and sustainable costs.

Thank you.

Thank you.

Next is Blair Beekman.

If you can please unmute, all right, thank you.

Blair Beekman.

Um, thanks to council persons.

Um, I have the feeling they really are trying in earnest.

They want to keep costs down as much as possible.

Really good luck that you can really bring it down really a lot.

Good luck how you can be always doing that in the next few years.

And we're counting on it, and we'll be working with you to do that.

And let's hope we can find those ways together.

Really good luck from Council Person Elero's advice that we can talk more to the water board itself, uh, the public.

Uh let's learn to invite public accessibility to the water board more and that their put their public process can be more open and accessible.

That seems an important factor to work on.

Um good public comment today, thank you.

Uh, just said uh I hope we're um yeah, really working towards towards good goals and that uh thanks for the words about that.

We can uh ask for subsidy and better explaining the the previous subsidies we had for water.

Good luck in those continued networks.

Thank you, Jay Goldberg.

If you can please unmute.

You are unmuted, but we don't hear you here in council chambers.

Not sure if the device that you're speaking into may be muted.

If you're speaking into a phone or a computer, that may be muted.

If you can't fix your technical difficulties, I will need to move on, unfortunately.

You muted yourself again.

That should work now.

Yes, we hear you.

Please proceed.

I I object to the regressive nature of this increase and the lack of emphasis on conservation.

Um, you guys have uh an uphill political battle here.

The continual increases in taxes and fees has broadly targeted normal San Diegans versus commercial and abusive users.

It's really unpopular.

It's upsetting that the city is burning goodwill in this way and bringing attention to itself from residents who had had no political opinions at all and risking needed future funding being denied.

The average ratepayer is unable to lower the bill by saving water.

I say that from experience.

So there's no incentive to curb usage.

And for people who are not cost sensitive at all, they just use as much water as they want, subsidized by everyone else.

This is not equitable.

Thank you.

Next is Michael Dwyer.

If you can please unmute.

The five-minute timer is also about to conclude.

If you do not have your hand raised, we only have four people with their hand raised, and no other speakers will be taken.

Michael, please continue.

Yes, good afternoon.

Michael Dwyer District 2.

I have a suggestion on how to lower the PUD cost.

Thank you, Jordan, for the invitation.

My suggestion is in the form of a question, and that is why do streets have to be repaved, curb to curb.

Let me explain.

In my neighborhood this year, surface streets had water and sewer upgrades, and some of the streets were paved curb to curb, while others just the width of the trench.

I don't know why the difference seems like PUD could save money if they only paved the trench versus the entire curb to curb.

If the reason for the difference is the street preservation ordinance, then change it.

I'm sure the council would be willing to adopt changes in order to save money.

Thank you.

Thank you.

Next is the original.

If you can please unmute in order to control the people, you have to control all the resources or trying to price people out of it, so then you go to the government so that you can get help from them so that they can control everything that you do.

I don't know how you outreach for a meeting in October that wasn't decided it was going to be that way until September in July.

So that's a little bit of you know nonsense, but it is interesting to see the way you guys treat water.

You want to give people back pure water, sewer water, their own poop and piss, while you know lithium mining takes place in the Imperial Valley that San Diego is partnering with, and you know, billions of gallons of water per year are used for this type of mining because they want to, you know, San Diego County wants to get 325 million lithium batteries built.

So when you guys are sitting here saying that there's not enough water or whatever, and you're willing to use fresh water for that and give us back our own piss and shit.

You guys need to get your your self on the right track because it should be evident to everybody when you guys treat water like this and you let it drain out into the ocean.

You really don't care.

Your time has concluded.

Next is Al Del Mastro.

Al Del Master, I can't unmute for you.

If you can't unmute for yourself, I will have to move on.

Hello, hi.

My name is El Del Mastro.

I'm a small housing provider.

We have small, we have five water bills.

Every single one of them has gone up.

One particular one that has gone up tremendously well, they've all gone up over 30% or more.

I have two small duplexes next to each other.

Last billing cycle, the bills were identical to each other to the penny.

I called and they said, Oh, it was I called the water company, they said it's just a coincidence.

So this billing cycle, we have the exact same issue again.

Both bills are identical to each other, and they told me that they're not estimating if they did, they would have to notify me.

I have another small property that they did last year where my bill was $750.

They came back and corrected it at the same period of time now this year.

I get another bill from them for $750.

We believe that they're overinflating our prices.

Could we deserve to have two times?

And our final speaker is ending in 7499.

If you can please unmute Bob Kazuski here.

Let's see if any council members are smarter than a fifth grader.

Please answer the following questions with thumbs up for yes and thumbs down for no.

That way the video will record your answers or lack thereof.

Here are your questions.

Number one, does increased population translate to increased water usage?

Yes or no.

Number two, does illegal immigration translate to increased population?

Yes or no.

Question three.

Does your sanctuary city policy translate to increased illegal immigration?

You know the answer to all of these is yes.

You create a sanctuary city policy which increases population, which increases water usage, which drives up prices.

This water increase is on your shoulders and through your own action.

I hope the voters will remember this.

Thank you.

Thank you.

That does conclude public comment on this item.

All right, thank you, City Clerk.

Uh now we'll turn it over to the council for questions, comments, and entertain a motion, and we'll start with Councilmember Whitburn.

Thank you, Council President.

I will not support four years of water rate increases totaling 63%.

I said that last month, and I will say it again today.

I want to see the lowest possible number that protects our workers and that protects our residents.

We all understand that generally speaking, prices rise over time.

The city is not immune to that.

The city spends hundreds of millions of dollars a year to purchase the water that the city provides to its residents.

The cost of that water rises.

We've heard the struggles that San Diegans are facing, and they are real.

How about a 5% increase and just for the coming year?

Thank you for the question.

Um I'm going to refer back to a specific slide first off, so I think it helps walk through it.

Um so when we prepared our rate increase, we pushed our team in regards to putting forth the lowest possible rate increase.

When we actually started this process, the first go-around had a rate increase that was three times higher than this, and we knew it was completely unacceptable.

And that's why we started taking actions in regards to reducing this.

If we were to do a 5%, um, which would be something close to a cost of living right now, we would have immediate downward financial spiral.

And the reason why is if you'll see our debt service coverage ratio, which is the farthest graph on the left-hand side.

We have bond covenants that require us to have a ratio of 1.1.

If we right now, we're going down to as low as 1.22 during this period of time.

That is not leaving us, as Jordan said, much opportunity and margin for error.

If we were due a 5%, only a 5%, we would actually dropped to 0.78.

That would trigger a default in regards to our bonding agencies.

And not only would it trigger a default for us, because we wouldn't have enough reserves, we'd actually go negative cash by the end of this fiscal year.

And what that would do is would deplete all of the available funds that we have.

And not only would it result in a default for us, it would potentially drag the rest of the city of San Diego, all of the general funds, credit rating score down also with it.

That's what happened in the 2000s when the Croll report was identified.

Now, we could try to offset that with reductions.

However, that would require severe cuts, approximately 7 million, 70 million dollars, and we're talking 70 million dollars that would need to be taken effect within immediately because we have the San Diego County Water Authority rate increase going into effect January 1st.

So we would need to take 70 million.

We could look at options in regards to we would have to look at layoffs.

70 million just on layoffs is 500 people.

We would have to stop all of our capital projects that are currently in the midst of construction.

That would also probably result in claims from our contractors and damages to the contractors.

And also it would impact our regulatory compliance projects, whether or not that's dam safety, or just operating our ability to operate our pump stations and plants in accordance with all the regulations that we we are required to do.

So 5% has extreme consequences to us.

So you're saying that 5% is insufficient.

You're saying the consequences of reducing the proposed increase to 5% would be that the city would have to prepare for significant layoffs and the city would risk defaulting on its debt?

Correct.

Mr.

Moore, do you agree that limiting a rate increase to 5% would lead to layoffs and the possibility that the city would default on its debt?

Yes.

I will also point out that in the IBA report attached to this item.

I did one better.

I ran a scenario at 10% a year and saw the same exact thing happening.

Thank you.

So we can see how the financial picture looks after year one and make a decision then on what we need to do for year two.

So our biggest difficulty is going to be that we would not have enough time to secure a consultant to perform a cost of service study in order to propose rates for calendar year 2027.

And as a reminder, that cost of service study is what demonstrates to ratepayers, rating agencies, regulators, the courts, bondholders, that our rates are fair, proportional, insufficient to meet our legal obligations.

So without that key document, we could not have the legal defensibility to institute any rate adjustments.

As a reference, if we were to try to say we're trying to do something, using the timeline that we just did for this rate increase, we would have to be releasing a cost of service next month, because that would be cost of service release in this fall, we would have the vote in September for the implementation.

So we wouldn't have additional time.

We only have one month.

And what would be the consequences then of not doing a rate increase in year two, at least not now?

So again, we would have without that, we still would have our revenue projections would fall short of what we need to operate and maintain our system safely.

Um so again, we would face the same kind of um consequences, whether or not that is a credit rating downgrade, which increases our cost to borrow capital, um cuts, staffing layoffs, um, and delays again in regards to our cancellations of our projects.

So ultimately skipping a year or halting that cost of service would send a clear message to our credit agencies that the city is unwilling or unable to support its utility system accelerating still a path to default.

So you're saying that we can't just do a one-year rate adjustment because we don't have enough time now to do a new cost of service study for year two.

And if we don't do a rate adjustment now for year two, that would also result in the potential for significant layoffs and the risk of the city defaulting on its debt.

Correct.

Mr.

Moore.

I concur.

Thank you.

Ms.

Salaya, if we have to do at least two years, and if it has to be a significant rate increase, can we at least take a couple of percentage points off the 14.7% in year one and the 14.5% in year two.

We heard Mr.

Moore say earlier that he ran a scenario in which we dialed it back to 10%, and that still got us to a place of a potential default and potential widespread layoffs.

What if we dialed it back to 12%?

Would that create any problems or could we do that?

Yes.

As I stated in the beginning, we really truly felt that we came forward with the lowest possible.

If there was additional ways that we could figure out how to shave off even half a percent, one percent, anything, we would have.

Again, impacting our ability to meet regulatory requirements, and then also additional delays in our CIPs, those that are during construction or even those that are planned, we'd be pushing off all of those, and that would increase our risk of failure, regulatory noncompliance, and ability to serve customers.

So even with small changes in the proposed rate structures, they do have financial consequences.

And so again, risk at downgrades, additional to that, we also are still at a risk of downgrade.

I will be utterly honest with you.

We have our next review in January.

Looking at all these actions have an impact on our downgrade in regards to the future, which also does increase the cost of our capital.

If we sorry, if we don't have enough ratings, we'll also not have enough money to do another bond issuance, which impacts our capital program.

So my long answer is that every percentage point matters.

And I just add to Ms.

Salaya's uh comments that when the team did see the percentages come through in the original study, um, they knew it was time to act, and we really looked at every project we had in our portfolio and tried to delay whatever ones we really felt we could work around.

So when Ms.

Salaya's um sharing some of the critical projects that we would have to cut and the potential impacts, that's the analysis that we went through is we knew we couldn't cut those.

If we could, we would have we would have pushed them back to make the rate um as low as we possibly could.

So this was really our floor, and she's sharing those details.

Thank you, Mr.

Guerrero.

So what I'm hearing is that the choice before us is stark.

We either approve a two-year rate adjustment of 14.7 and 14.5 percent, or the city will have to lay off significant staff, risk defaulting on its debt, risk regulatory noncompliance, and a host of other consequences that you outlined.

Is that our choice?

Correct.

Mr.

Moore, do you agree that that is our choice?

We either approve a two-year rate adjustment of 14.7 and 14.5 percent of the city will have to lay off staff risk defaulting on its debt and risk regulatory noncompliance?

Yes.

That's quite a choice.

Either adopt a two-year rate adjustment of 14.7 and 14.5 percent or lay off a significant number of staff at risk defaulting on the city's debt.

Significant staff layoffs would be felt by many San Diegans.

For example, the water utility has made great progress in customer service in just the past couple of years.

It used to be, just in the time that this city council has been here, that when a resident called about their water bill, the resident had to wait for over an hour, over an hour for the next available customer service representative.

We finally have the customer service staff we need to answer the phones quickly when people call about their bills.

We have the field staff necessary to read people's meters on a regular basis so that people don't unexpectedly get a huge bill for several months at once, which was another problem.

If we lay off staff, we unravel all of that progress.

We owe our residents good customer service.

We can't go back to an hour-long wait for the next available representative.

And if we default on the city's debt, it would be awful for San Diego's reputation.

It would drive up the cost of borrowing money, and it would result in even higher water rates in the future.

I detest the choice in front of us.

But laying off dozens of employees would have devastating impacts on our employees and on their families.

And the city defaulting on its debt would have wide-ranging impacts that would affect every San Diegan for years to come.

That said, we are not going to pass a four-year rate hike of 63%.

That proposal is a non-starter.

I will make a motion to reject the staff recommendation of a four-year rate hike of 63%, and instead adopt a reduced two-year water rate adjustment at the required increases of 14.7 and 14.5 percent, respectively, along with adopting the remainder of the staff recommendations on wastewater and recycled water rate adjustments.

And I'm also going to make two requests, because I am deeply dissatisfied with the size of these increases, and I never want us to have to do this again.

First, I'd like to invite Deputy Chief Operating Officer Chris McFadden to the podium.

Mr.

McFadden is responsible for the public utilities, stormwater, and transportation departments.

Mr.

McFadden, the city has a committee called the Independent Rates Oversight Committee.

It is an official body to the City Council and the Mayor on issues related to the public utilities department and the financial decisions and assumptions that influence water rates.

We could use their input.

I want as many eyes on these water rate decisions as we can get.

Unfortunately, most of the committee's meetings get canceled due to the lack of a quorum.

We're considering water rates.

We should be hearing from the independent rates oversight committee, but we're not.

Mr.

McFadden, may I put that request in your hands to let this council know what needs to be done to ensure the independent rates oversight committee is fulfilling its mission to provide advice to this council on matters related to the public utilities department?

Thank you for the question, Council Whitburn.

It would be my pleasure to work with the mayor's office and IBA's office and public utilities to make that happen.

Thank you, Mr.

McPadden.

I'm got about uh another couple of minutes here.

Okay, thank you.

Second, I would like to invite the mayor's deputy chief of staff, Nick Serrano to the podium.

Mr.

Serrano leads the city's 10 representatives to the San Diego County Water Authority, and he currently serves as the elected chair of the Water Authority.

Mr.

Serrano, if my council colleagues are supportive, I would like to prepare a City Council resolution communicating to the Water Authority that there is a cap on what the city is willing to pay for water, and stating that the City Council will direct the city's representatives to the water authority to vote no on any proposed rate hike that exceeds the cap that the City Council decides on.

Mr.

Serrata, would a council resolution providing that direction be helpful?

Councilmember, as always, uh welcome the council's direction as well as that of the mayor.

Uh so I would welcome that opportunity to work with you and this council to make sure that uh that direction is clear and that we balance the fiduciary responsibility over at the water authority, but most of all with the affordability that our ratepayers here in the city of San Diego are calling for.

Thank you, Mr.

Serrato.

With uh the support of my colleagues, uh, if that is forthcoming, I will move forward on that.

So, in my estimation, here's what we need to do.

We need to reject the staff recommendation of a four-year rate hike of 63 percent.

At the same time, we need to do what's necessary to avoid widespread layoffs at a default on the debt and adopt a reduced two-year water rate adjustment at the required increases of 14.7 and 14.5 percent, respectively, along with adopting the remainder of the staff recommendations on wastewater and recycled water rate adjustments.

Separately, we need to ensure the independent rates oversight committee is operating effectively, and we need to let the water authority know there is a cap on what the city is willing to pay for water.

Thank you, Council President.

All right, thank you, Councilmember Whitburn.

I'm gonna make sure we have a little bit of clarification at the city attorney's suggestion.

Um the two year would be only for the 14.7 to 14.5, the water rates.

Correct.

And then you're supporting the staff recommendation for the wastewater rates at four years as well as the recycled water at four years.

Those at four years are okay, yes.

Okay.

Are we okay with that?

Can uh deputy city and Chief Deputy City Attorney Melissa Abels.

Uh, for the water rates, the effective dates will be January 1st, 2026 and January 1st, 2027.

Is that correct?

That is correct.

Thank you.

All right.

Thank you for seeking that clarification, and thank you, Councilmember Whitburn, for walking us through that very important conversation.

Uh thank you, Juan, Lisa Alley, and the PUD staff for the very good work over the course of the year.

Thank you, Jordan, the office of the IBA for your critical analysis and really diving deep to give extra confidence to the council in addition to what we already have with the good work of the PUD.

When we first heard this item at the end of September, I noted there's never a good time for a rate increase, especially at this moment where affordability is a reality for many San Diegans.

At that September meeting, Council members, including myself stressed the need to further explore custom cost cutting measures and minimize increases in our ongoing rate structure.

And I appreciate it in the presentation as you did last month and as you did again today, highlighting $360 million in savings by PUD that you have already undertaken.

And I really appreciated the dialogue with Council Member Whitburn that you didn't come in with a little bit of fat that to for negotiating, you came in as skinny as you could, which is what really makes this conversation so difficult.

There's just no place to go, as highlight highlighted by Councilmember Whitburn's um thoughtful questions.

But you've also included energy savings.

You have included the existing lease revenue from your PA PUD properties.

I see a lot of future opportunity for renewables and revamping our leases to make sure they are up to date and producing the maximum revenue for the city, which would accrue to ratepayers.

I also see this as a good time to address stories that we've seen in the news about pure water.

Not only has the city shared that pure water rates are estimated to be lower than other sources, we do not talk enough about the savings in that process.

Pure water is more than just a new source of water.

It saves the city and ratepayers money by avoiding a multi-billion dollar investment, some say five billion, in the point Loma treatment plant.

It creates pure water creates a long-term certainty and sustainability for the city and has become a model for the region.

Accordingly, as we move further into the phase two discussions, I ask the department continue to work with the East County Advanced Water Purification JPA and include an update on those conversations in your next report to Council on the progress of pure water.

Do you agree with that?

Yeah, we would be happy to do that.

The East County advanced water treatment project is included in our phase two analysis.

There's a lot of different variables and change conditions that we're including in that evaluation, and that and that's obviously one of them.

It has an impact on wastewater flows to our part of the system, and there's also a potential to uh to consider that as part of our ultimate goals.

So we'll continue to have those conversations and coordinate with East County.

Great, fantastic.

Thank you.

I think we're all very, very interested in that.

So I'm gonna close by again thanking staff and the IBA for their work, and I second Councilmember Whitburn's motion.

With that, uh so we have a motion as shown on the screen by Councilmember Whitburn and seconded by myself.

We will now go to Councilmember Ilo Rivera.

Thank you, Council President.

Uh thank you to staff for being back here and uh updating the slides, continued work on this, short and your continued work on this.

Um Councilmember Whitburn, thank you for uh rejecting the recommendation that was in front of us for all the reasons you said last time and um and what you added today.

I think that was important.

Um I want to say thank you to the folks who have shown up again and again um for your advocacy, your ga engagement on this issue.

Uh I said this last time, but I I think it's worth noting again.

I think that the engagement is earnest and with a true desire to address a real issue, which is rising cost of living and the necessity of water and frustration that extraordinary wealth exists in our city and in our state and our country, and the basics like water are getting more and more expensive for everyday people.

That's all completely completely understandable.

I share those frustrations.

Um there's a couple questions that were raised from members of the public that I do think or questions or points that were raised that I think were um important to note.

Uh the first was around flood victims when flood victims um being charged for water when they're not able to use their homes.

Can you share with the council what might be going on there?

Um there's folks in this room who I know were impacted.

I um Mr.

Harrell, not to call too much attention to him, but this is someone who's done a lot of work for the community that was impacted by the floods, and I'd like to understand uh what's being referenced there.

I did take a note for that one that I do think that we do need to look into that one.

Um if there's no usage going, then there's a component of your bill would not be charged.

It's potentially the flat cost for having a meter, but we need to look into further and seeing what we can do.

Um so I've taken the information down and we want to follow up on that one.

Thank you.

Can I pivot to Matt from the mayor's office's perspective?

Um I think we'd agree that folks who've were displaced from their homes because of the floods still being seeing hundreds of dollars of bills when they're not in those homes.

What's the mayor's position on that?

Agree with you, Councilmember Elo Rivera.

Okay.

Um if you can we'll work with the PUD uh with public utilities department and our customers on that.

Okay, I appreciate that.

And if you could let the council know what's going on there, um it's just for obvious reasons.

We we need to make sure folks are not that that is like salt in a wound, um, if there ever has been such a you know such a thing.

There was multiple community members who brought up the idea of corporate subsidies.

I would imagine what's being referenced here are contracts of some sort.

Do you is there any I was trying to understand the corporate subsidies?

Um we are required underneath Prop 218.

Is the cost that we are charging our customers is proportionate to how they're utilizing our system.

Um so that is an area that is obviously up for legal interpretation.

We are constantly in in front of judges as it relates to that one.

So there's not a specific subsidy as it relates to water rates.

I do not know if it's something from a state level that there's some some subsidies going on or anything else in regards to taxes.

That's when I wasn't really clear on that I would we'd have to follow up on.

Okay.

So this gets us to um the motion in front of us, and again, I appreciate Councilor Whipur and rejecting the staff recommendation.

Um the two new the two years that we have in front of us need to be seen as a critical time for action for both the water authority and public utilities department.

Uh, we've had the water authority here sharing their plan to reduce rates through water transfers and innovative water deals.

Um we need that talk to turn to action.

Uh Chair Serrano, I assume that that is something that you're prioritizing.

Um you've responded to this before.

You're confident that the council will see action that amounts to savings for San Diegans.

Councilmember, without question, you have my commitment that that might is my utmost priority right now.

I would just share as a point of reference.

Just at the end of last month, we made more forward progress where the general manager of the San Diego County Water Authority sent a letter to all metropolitan member agencies of our intent to make uh 55,000 acre feet of water available to them for purchase in calendar year 2026.

Uh and I know that there's ongoing conversations, but that's just another step forward in that direction of making those transfers happen next year.

Okay, thank you.

Thank you for that.

Uh turning to the uh public utilities department.

We've talked about this a bit before the importance of non-rate revenue and what that means for keeping uh costs down for everyone and for the ability for the city to offer um subsidies or have a program in place for um for working families in San Diego.

If I understand correctly, we have uh a hundred acres of land and the this requirement of getting a fair market value for that land to and which can generate critical non-rate revenue in order to create a ratepayer assistance rate.

We need to focus on generating additional non-rate revenue through our city leases, and that's top of mind for me.

But my understanding again is that we have a hundred more than a hundred leases, and nearly 50% of those are currently in holdover status.

And that's a huge missed opportunity.

Every dollar that could be generated through those leases should be directed toward targeted programs that support affordability and community benefit.

In that sense, any uh corporation or or business that's benefiting from those leases that are in hold in holdover state is effectively getting the taxpayer subsidy, and that is at the expense of the folks who are here in the room.

And any program that's built from this effort to update these leases should be designed to benefit uh low and middle income residents, working families here in San Diego.

So I'm going to ask that uh staff return to the environment committee to present the identified identified non-rate revenue projections and outline a pathway for creating a ratepayer assistance fund.

Um is that something that you all can commit to?

Yes, we could.

Appreciate that.

Um similarly we we need to make sure that uh council president, if I may have my three additional minutes, um we need to see more aggressive action on soliciting public and private feedback on lease opportunities and non-rate revenue opportunities.

So whether that's an RFI or RFP, there needs to be something that's put out to the public to the um out into the world to see what sort of ideas are out there to generate revenue.

My understanding is that there is planned conversations with San Diego Community Power.

Is it later this week?

Yeah, I believe it is um later this week or the beginning next week.

I'm yes.

So I want to draw the distinction.

I appreciate the the present the part of the presentation that incorporated the way that um renewable energy is being used to to have some cost savings.

That's only one part of the conversation though.

There's also the renewable energy that can be generated on PUD property that could generate revenue for the city.

So not necessarily providing power to a city project, but instead um through work with a third party generate additional revenue with the amount of of property we own, it's difficult for me for me to imagine that there isn't any opportunity there, and every dollar generated through that could again be used to suit support working families.

Um add to the supply of clean energy in this region.

That's a win-win.

Uh if if I believe uh Ms.

Bibler is online because I have a question related to the lease, the leases or oh, hi.

Better than online.

You're right here.

Uh Ms.

Bibler, what's the capacity to identify the lease I the leases and holdover status and bring forward a plan to update or renegotiate them?

Thank you, council member.

Um, as you know, we've been heavily focused on general fund revenues and prioritizing getting some of the holdover that are currently um helping to deal with the budget crisis for the general fund.

But we did meet with the team and we've met with PUD.

Um, and while resources are slim, I think uh putting together a plan over the next two years, making sure that we can adequately um work towards getting leases that are in holdover or currently in negotiations.

We have many leases that are currently in negotiations across the finish line and up to current market rates and hopefully doing that in a short amount of time.

I would add also that uh the department put out an RFSQ for additional assistance to help support the resources that are needed across all real estate services.

And so uh I met met and conferred on that issue, and we'll have a two-year pilot that started this last month.

So hopefully we'll be able to bring on some additional help.

Okay, I mean I'm really glad to hear that.

That's one of those things that feels like a great investment.

Um I'm glad that it was be able to be worked out with the the workers who who are impacted.

It's too much work for for us to get through in any time that's that's quick enough uh to provide relief, and so thank you for your work on that.

And I definitely look forward to seeing that come forward.

Thank you, Ms.

Bidler.

Sure, thank you.

So to kind of drill down one more or put a point on the non-rate revenue piece.

I keep I keep emphasizing this because as Councilor Whitburn has said, as staff has said, as the IBA has said, as Council President has said, the system needs to be funded, and to not fund the system would mean to either um risk the quality and safety of the supply of water that our residents rely on or risk the city's finances as a whole.

And neither of those options are okay with me, which means we need to resource the system.

However, we need to be much more aggressive in pursuing options besides ratepayers as the source of all of that revenue.

Um I'll turn now to this to the city 10 and our representation at the water authority.

Earlier today, we recognize Matt Vesby for his hard work and service to the city of San Diego.

He's a member of the City 10.

Uh, we will now have to look at a process to appoint a new representative there.

Uh as I've pointed out, I am deeply concerned that we have members of what is supposed to be a 10-person uh group representing the city's interest who are speaking directly against the city's interest.

Um turning to um to Matt, is there an update on the process of uh appointing and if necessary removing City 10 representatives who are not aligned with the city's values or representing the city to its fullest potential?

Uh thank you, Councilmember Ilo Rivera.

The mayor's office remains committed to working with the council uh on identifying any necessary changes to the city 10.

Um we would work in partnership with council members as well as Chair Nick Serrano and and other members of the City 10 on that.

I appreciate that.

And Council President, I realize I'm at the end of my time.

The last thing I will say is this I think there is a broader issue to examine.

There's the the representation piece is important.

We need to make sure we're all rolling in the same direction there, but in terms of of revenue for the city, issues like this are going to continue to come to us where we have to make a decision as to whether we're going to adequately resource the city or not.

And where we decide to lean into for resources is incredibly important.

And there are progressive revenue streams that do not overly burden lower income and middle income folks that this city simply does not utilize in the way that other cities do, and that we could.

And at a certain point, we as a body are gonna have to make a re make a decision as to which side we are on, whether it's leaning in and asking those who have the most to pay something approaching their fair share, or continuing to ask folks who are at a breaking point in terms of cost in this city if they're gonna to uh carry the burden.

I know what side I want to choose.

It's those who have made the most in the city who take the most from the city to pay their fair share, and to stop asking uh residents to always be the assumed fallback when we need revenue to support our our our city.

So um I I hope that this is a call to action for all of us on that front.

I'll be supporting Councilmember Whitburn's motion.

Thank you, Council President.

All right, thank you, Council Memory Loriera.

We'll go next to Councilmember Campbell.

Thank you, Council President.

Um and and thank you to you for the presentation, both of you.

Thank you for all your good work and and thank you to my colleagues for all their words and thoughts on this.

I would like to do a very simple review of what is going on with the current item before council.

It's going to be pretty short.

There's going to be a 14.7% increase in our water rates for 2026, and the city of San Diego, as part of the San Diego Water Area under the San Diego County Water Authority, must pay this bill.

So the question really is are we rate payers going to share this?

Are we going to make our city's public utilities department pay this bill?

It's got to be paid.

Our city water department, the PUD, has already cut its budgets the bare bones.

They did this in the 25 budget process, as did every single other department in our city.

If the PUD has to pay this bill, they will have to slash their own budget.

That means they will have to lay off water department workers.

And that may mean that we will go back a few years ago, if you may remember, when rate payers received incorrect sky high bills, when meters were misread, and when we phoned the water department, I'm glad you only waited an hour.

Several people had to wait two and three hours.

We, our city, will be charged a half a million dollars a month late charge if we do not pay the county water authority on time.

Or the San Diego County Water Authority can turn the valves off that bring the water through the pipes to our city, and then when you go to turn on the faucet, you will not get water.

When you go to flush the toilet, it will not flush.

When you go to take a shower, you won't be able to take a shower.

So here is the scenario.

If we hadn't had our city water board members for the past several months who worked so hard to get this rate down.

If they had not been able in the last several months to work to get down this year's increase from what it was 28% to the 14.7% we're seeing today, we would be in a heck of a lot worse position.

So my understanding in this dilemma is that we as a council must agree to these rates while continuing, as my colleagues have said, to work toward lower future rates.

I think it's the first time the board has ever done this.

A deep dive into the San Diego County Water Authority's budget to see where they can save money and not charge us so much.

And they are finding things, and they are going to continue to do that deep dive, and they are going to continue to help the County Water Authority cut its budget so it isn't charging us for things that don't need to be in that budget.

Our PUD has managed to write its ship over the last two years so that our bills are almost always correct.

Our meter readers are competent.

Our water remains clean and safe.

And when we call, we are getting a competent human being on the line, either right away or within 30 seconds.

Now we don't want to give these gains up, so I am in support of this measure, and I am also in support of making it only two years instead of four, so that we can continue to work on making these rates less, and the San Diego County Water Authority will have a much more sensible budget so that our particular rate costs will be more reasonable.

Thank you.

I'm in support of the measure.

All right, thank you, Councilmember Campbell.

We're going next to Councilmember Moreno.

Thank you for the presentation.

Once again, thank you to the IBA.

And I would like to, and I always do think our public utilities department.

Um I feel like it's groundhog day to be honest with you guys.

Um I've been very clear about my ongoing concerns related to other rate increases that have imp that we have implemented here in the city of San Diego, such as parking rates and uh previous water increases.

Uh, the additional increases to residence water bills that are being proposed will be a make or break moment for many families.

And a lot of those families have been before this body.

You guys are here to share with us how this will have an impact to your lives.

Uh, much of the increase is due to the cost of buying water from the county uh water authority.

Um I do compliment the work our public utilities department has been doing to re-evaluate our own capital improvement program and strategically choosing to delay major projects for two years, which has resulted in delaying up to 87 million dollars in capital improvement project spending.

Uh this decreases the overall impact of their ever-rising water rates on city customers.

Uh back in July, I asked for the county water authority to take similar steps because if the city of San Diego is implementing this delay on major projects, then it seems that the county water authority should do the same and right size their CIP while being more transparent about their portfolio, which would allow residents to better understand uh the cost that they're paying.

Um at last at the last meeting, I believe the CEO of the water authority came and said that 80% of the CIP project is uh our repairs or state of good repairs, uh which to me translated that there's about 20 percent that they could wiggle with and work on.

Um the water authority has yet to share a list of their capital improvement projects, at least to my office.

I don't know if PUD or the San Diego 10 have a list of that, but I will state for the record that I would like to see that list.

Um simply put, it's not fair for the city of San Diego to short to share um shoulder more of the cost, especially when the city is taking steps to reduce the size of rate increases through downsizing our own capital improvement projects.

While I am aware of the rates being set for this year, I would like for the county water authority to focus on how to lessen the impact of the price of desalinization water on their overall rates.

Currently, the price for desalinized water is over three thousand two hundred dollars per acre foot, making this the most expensive uh water that residents must pay for.

Um, just by comparison, water from the Imperial Irrigation District is 1,514 per acre foot, and water from the metropolitan water district is $984 per acre foot.

Lowering the cost of desalinization water should have a notice a no noticeable impact on the rates residents pay.

Um strongly believe that San Diegans simply cannot afford additional hits to their monthly expenses.

I strongly believe that the water authority must take tangible and impactful actions and honestly just be more transparent to help keep rates reasonable for member agencies like the city so that our residents are not being charged more than they should be.

Um although I do have tremendous respect for my colleague and the motion that's put before us today.

Um I simply cannot support District 8 residents footing more of this bill.

Uh so I will not be supporting the motion on the floor.

Thank you.

All right, thank you, Councilmember Moreno.

Um I'm not seeing anybody else on the lights.

Councilmember Campillo.

Thank you, Council President.

Uh a question for staff.

Um if no rate increase were passed today, what what percentage of uh staff layoff are we looking at here?

Oh, if it's zero, um I mean just getting it down to five percent if we it was five percent, that was five hundred staff.

So you're what percentage is five hundred staff?

So we've got about two thousand.

So 20, yep, quarter of it.

Okay.

I appreciate the work that's been done here today.

Um I appreciate the members of the public for coming in and advocating uh for less expensive water.

Um expensive as possible because everyone needs it to live, and our sources of water must be as secure as possible because everyone needs it to live.

These two ideas are in competition, low cost versus ensuring supply, low cost versus security.

San Diegans are struggling with rising costs left and right.

And what I see right now, though, is very simple.

Without recovering our costs for water, our water security will not just be at risk, it will be compromised.

Our public utilities department has shown us that there's they are incredibly concerned about this cost.

Ms.

Your one slide had mitigation of what I calculate is 366 million dollars to lower the costs.

Is that right?

Correct.

That's a lot of levers being pulled.

Let's be very clear about what's driving the cost up.

90% of rate increase for the water system is a direct result of higher charges from the County Water Authority.

It's not coming from City Hall, it's coming from the regional wholesaler.

Our city representatives on that board have demonstrated just how they are working to get that lower.

They have successfully done that.

That's not as low as the nine of us voting up here want it to be, but they have put in a lot of work to drop it dramatically.

The reality is that San Diego customers are forced to absorb the Water Authority's decisions because of that long-term contract.

Part of that whole set of needing to buy more water being stuck in requiring to buy more water is exactly why the city moves forward with the Pure Water Project to reduce our dependence on the Water Authority to produce our own local and sustainable supply to shield San Diegans from these kind of external cost spikes in the future.

The county water authority has said they don't like that we're building pure water, that pure water makes it more expensive for everybody else.

I'm pointing the finger back and saying you've made it expensive for everybody else.

Having the water security of pure water is something that many, many other parts of California are looking at and saying we should follow San Diego's model for pure water.

In fact, we have East County following it.

I don't hear the County Water Authority pointing the finger at the East County JPA and saying they're causing the water to go up, prices to go up.

Someone earlier said that we should stop building pure water to keep costs down, but a decade ago the choice was between upgrading the Point Loma treatment facility or the less expensive option, build pure water, or do nothing to be in violation of federal water laws.

Face between expensive, less expensive, and violating the law and paying fines, let's go with the less expensive.

That's building pure water.

So while I don't take lightly the responsibility of asking San Diegans to pay more, in this case, the need is undeniable, and it's undeniable for another reason.

My viewpoint on this issue is partially from an experience in August 2022 in my district.

A pipe that was in University City in District 6 broke, and that caused my constituents in Terra Santa to lose water pressure about 10 miles away.

They had to have a boil water notice for drinking.

But there was something else that scared me.

For those who don't remember, the 2003 cedar fire impacted Scripps Ranch the most, and it impacted Tierra Santa in my district the second most.

It was one bad gust of wind from getting to Miramesa and Kernemesa and Claremont and University City.

By the time the containment was declared on October 28th, 2023, 28,676 acres within the city had burned.

335 structures were destroyed, and 71 others were damaged.

The total loss was estimated at 204 million.

And throughout the county, cedar fire destroyed 280,000 plus acres, 2800 buildings, and it killed 15 people.

We don't just need our water system to work because we need water to drink.

We need it to protect our lives.

We use our water system daily for drinking, but in emergencies to protect life and property.

It has to work every single day, and water pressure has to be strong at every single moment.

The water that comes out of fire hydrants is the same drinking water that goes to homes and businesses.

So we can't delay infrastructure projects even more.

I'm not going to look at any of my constituents in the face and God forbid there be a fire in our district and burn down their house and say we didn't prioritize infrastructure to keep water pressure up.

This is a public health issue because the water working well is what keeps bacteria from flowing into your homes.

And it's a public safety issue as well, because our firefighters need it to do their job.

As you've heard, the financial choice before us is incredibly grim.

But let me put in a different context.

Staff just said we'd have to lay off 25% of our PUD workers.

If we had a plan that said we need to lay off 25% of our police officers or 25% of our firefighters or 25% of our lifeguards, the item would never be docketed.

The workers in the public utilities department are so important that to suggest cost cutting on their backs is incredibly unwise.

And to not value their importance is incredibly unfair.

Thank you, Councilmember Whipurn, for getting to the heart of the financial matter.

That is really important.

It's a matters to a whole slew of other citywide issues, of course.

But to vote no, I'd be effectively telling my district, 90% of which is in a high fire risk zone, which forms the wildland urban interface for roughly a third of our city, and thousands of residents who live at the end of the pipeline where the water pressure is most at risk, that I'm not looking out for their best interest.

I don't want prices to go up, but there is so much at stake to get this right.

I have to vote yes.

Thank you.

All right.

Thank you, Councilmember Campia.

We'll go next to Council President Pro Tem Lee.

Thank you, Council President.

Thank you for the presentation.

Um during the last water rate hearing discussion, I made clear that I could not in good con good conscience vote for another cost of living increase on San Diego families until substantive and necessary changes were made to rebuild trust between the mayor, the council, and the public.

As I sit here today, that has not happened.

Moreover, there have been no substantial reforms enacted or even proposed by this administration since our last hearing that take into account the very real concerns about transparency and affordability expressed by this council and the public.

The rates presented today, even if it's just for two years, remain the same.

Therefore, my opposition to this fee increase as presented today remains unchanged.

Thank you, Council President.

All right, thank you, Council President Pro Kem Lee.

We'll go next to Councilmember Vaughn Wolbert.

Thank you very much for the presentation.

And I want to uh think you know Matt Vespie who's not here right now, but is a key part of the city's finances.

I apologize I was not here this morning uh for your proclamation.

I was attending the funeral of Officer Lauren Craven in La Mesa, who died in the line of duty last week.

Um she was only 25 years old.

Um but I'm sorry I wasn't here this morning.

And uh I want to thank my colleagues and I want to thank everybody here for this important discussion about water costs.

Uh one or entity I don't know if they are here is the county water authority.

Is there anyone here to answer questions for them?

Okay, could you please bring up the slide um about the water rate increases coming up?

Yes, one moment.

Thank you.

Thank you.

Um, so my first question is uh about the PUD increases.

1.1 percent, 3.1 percent.

Are we saying that if the CWA had passed a 0% increase this year, we'd be able to cover all of our costs, the raises we've given our employees, which we need, our infrastructure costs with 1.1 percent.

We would be looking at a different we could do it 1.1 percent, but that required 360 million dollars worth of actions to mitigate what's going on.

So would some of those would we want to have those back on?

Yeah, we would not want to delay some of our capital projects.

We are moving forward our capital projects to ensure our system is reliably being able to provide service.

So some of that, so that's why we are trying to smooth some of that impact and why we reduced it down so low.

If there was zero on the water authority, there might have been a little bit more in regards to what we needed.

Okay, and that that just goes to my central issue.

I do not understand the difference between the water authorities increases in PUDs, because if they're passing on zero percent to us, you're still saying we'd have to increase our own.

Well, the only thing that's going from the water authority is buying the water.

Our system is in regards to the over 3,000 miles of water pipelines that we have in our system that we have to maintain, invest in.

It's the chemical cost at our plants and our pump stations.

It's all the cost as it relates to our specific infrastructure.

We buy the water from them and then we have to distribute it in regards um and so that's the cost that we're we're discussing.

Okay, and you said that we here at the city of San Diego have reduced our own infrastructure spending, putting off our own projects by how many hundreds of millions of dollars?

So we we did so for CIP, we our two-year deferral has a savings of approximately um sorry, 87 million.

Sorry, 67 million.

67.

Yeah, apologize.

Just for the next year?

Or for the next over the two-year period.

Okay.

Um the reason I am very concerned about the county water authority not being here today is because we are being asked to approve primarily their increase.

And I continue to sit here asking if the biggest cost driver to our residents is going to be the county water authority's rates, then where the heck are they?

I'm now reading from an article in the San Diego Union Tribune from Tuesday, October 28th, 2020.

Oh, sorry, that's the date today.

Ha, sorry, the funeral took a lot out of me this morning.

From last week, October 24th, 2025.

And the article is titled San Diego County Water Costs Could More Than Double Over a Decade officials Warn.

It states a new fiscal plan from the San Diego County Water Authority shows how San Diego's Pure Water Project might lead to higher wholesale rates for all member agencies.

First of all, almost all the member agencies are benefiting from our pure water project because they're not having to pay the increased wastewater cost that they would pay.

Everyone agreed to this as a region because we had to do something about our wastewater.

It was either going to be increased and just dump it in the ocean or increase our cost so they can redo potable reuse.

So this does benefit everybody because we as the city of San Diego treat so many other cities' wastewater.

It's not just ours.

The problem I have with what I'm reading in this article from merely four days ago is that it says San Diego County Water Authority officials expect wholesale water rates to soar by as much as 150% over the next decade.

Struggles that expects to get worse because of San Diego's billion dollar pure water project.

We have been taught over and over and over here that the more we reduce our water consumption, the higher the bills go up because you're no longer spreading the cost through higher water purchases.

And so the less you and it makes almost it makes no sense to me.

It's really hard for our consumers to understand, but that is what we are being told is the issue.

And so as we are going to buy less water from the County Water Authority, they are then going to charge us all more per acre foot.

The County Water Authority has known this project is coming for over a decade.

And so the more I read this article, the worse it gets.

And it says the Water Authority General Manager Dan Danham, who I do appreciate, I know he's new at this, said on Thursday, but by the spring, the agency expects to have a clearer picture of where it stands on securing out of state sales of water that we are never going to use, but are forced to buy.

Have we contacted the federal government?

And what have they said?

The Colorado River spans many, many, many states.

The reason we have a federal government is to do intra-state, I mean, right now they're shut down and they're a hot mess.

But have we talked to our Congress members?

I appreciate that Dan is sending letters out by himself to other water agencies, but this should be a more strategic discussion.

I'm not gonna sit here and vote to pass on the water costs of someone who has not done enough to keep rates down.

And we've asked for this for years now.

And I'm not gonna sit here and lay off our employees.

I'm not gonna sit here and put off our own CIPs.

Don't pay the water bill.

They're not gonna turn off our tap.

We can go to litigation over this.

I just we can't continue to rubber stamp what they are telling us.

And I appreciate that our our own City 10 are working hard.

But but Mr.

Serrano, how much was the proposed rate?

And now what is it now?

It was it was much higher in the beginning, wasn't it?

Councilmember, yes, in December of last year, they were looking at 28 percent.

The staff recommendation when we adopted rates was 10.4 percent.

The city of San Diego led the charge to bring it down to 8.3%.

Fantastic.

See, when we ask, things can come down.

And so it's just um I can't continue to do this when I see articles from four days ago that still are saying that the county water authority plans to increase its rates by 150 percent over the next decade because of the pure water project.

Four days ago, they're making this announcement that's in the in the newspaper.

And so until I see some a much better plan going forward, like where are Congress members?

Are they engaged in this discussion?

Two years ago in 2023, the governor of the state of Arizona told Phoenix to stop issuing construction permits because they weren't sure if they were able to provide water for everybody.

And yet we're gonna sit here and pay for this ghost water that we're never going to buy.

I just if I had heard a better plan going forward, I would understand the need to do temporary rate increases, but since I don't, I'm not going to approve rate increases of 13% for the water authority at this point.

So I just I appreciate everyone's advocacy.

I appreciate our work here, but every time we ask to source more revenue from people, we need to also ask how are we cutting costs for them as well?

And I I want to hear more on the cost cutting decision rather than just seeing in the news that they're still gonna increase rates because they have not adapted to the new way that we source water.

So thank you, and also my last note is thank you to Melanie from Biocom for calling in because it's not just about residents, it's about our businesses too.

And our biocom industry is reeling from the cuts, the federal grants from NIH and others.

But um, this will affect the businesses too.

So at this point, um, I'm not gonna support these increases.

Thank you.

All right, thank you, Councilmember Von Wolpert.

Uh Councilmember Moreno.

Yeah, I just had a clarifying question.

Um I noticed that you told my colleague that the CIP program um is delayed, or we're gonna delay major projects.

Um you had told my staff and my staff had heard during a briefing that it was at the tune of 87 million.

Did we get that incorrect?

And if you communicate it, I might have done the same miscommunication.

It was 67 per the slide.

It's 67 million dollars of delays and major CIP upgrades.

There was also a savings of 87 million for the San Vicente Pipeline Condition Assessment where we were able to do a business case evaluation of what full pipeline replacement would cost versus relining it with carbon fiber, and we found that doing it, um religion it with carbon fiber saved a significant um amount of money, 87 million dollars.

Okay, thank you.

All right, thank you, Council Member Moreno.

We'll go next to Councilmember Foster.

Oh, yes, thank you.

Um, Council President, and uh thank you, staff, for the presentation.

I just have maybe a couple um questions.

I guess help me to understand process.

If we are we did a cost of service, and we did it over what is that, four years, I think we did, and now we are going the motion that's on the floor is to move forward with two years, which means we would have to go back and perform another cost of service study.

Would that be another four-year look ahead, or what are we what does that look like if you can help me to understand?

We could evaluate it could be a two, it could be a three, it could be a four, it could be a five.

I mean, we would reevaluate what does that look like and what are all considerations at that point in time.

And what was the what do the typical cost of service studies run?

The cost?

Yeah, to do the cost of 250,000 dollars.

250,000.

And so if we were to do the four, do we do them typically every two years?

What's our standard time frame?

Is are we moving that up or are we?

We've wanted to do four years as proposed, but they've been about two years.

I'd say typically water agencies and wastewater agencies like to do multiple years because it gives them more certainty in how to plan CIP projects moving forward because they do often span multiple years, so that that revenue certainty helps them move forward with some of these bigger projects.

And I guess if we guys already did I'm gonna say significant cuts to CIPs to get us here, correct?

Yes.

And that's where we fall into the issue of deferred.

I I don't know if the proper term is maintenance or whatever the case may be.

But I guess where I'm uncomfortable or where I have concerns is I'm not necessarily understanding the potential savings on the back end.

Typically, when we defer, we find that costs have the potential to substantially increase.

So based on doing this two-year step or model, what are we conveying to the public?

Because I kind of feel as if we are providing a false sense of costs will come down.

And I'm not necessarily based on the conversation we're having today.

I guess I'm not aligned or or understanding and managing those expectations on what happens when we talk about next steps.

Because I feel like we are actually opening the door for potential cost increases versus versus being responsible and trying to get the best rates we can for our ratepayers.

I feel like we're consciously making this intentional decision now to where potentially we're going to be hit, not to mention the article that just was referenced to where I don't see the light at the end of the tunnel.

I see it looking worse.

Can you help me to can you bring some comfort or or or try to level set so that we are transparent and managing expectations accordingly?

Well, I think a lot a lot can happen in two years.

I think one of the challenges that we have is as you defer projects, those projects are going to end up, you know, not going away, right?

They're they're in a queue that need to be addressed at some point.

On the other hand, we don't know you know what the other drivers are going to be like, just inflation in general, how our costs are going to look in a few years.

Um also with the water authority, their general manager is trying to evaluate selling um water.

Um as councilmember Von Wilbert mentioned, there's a very thirsty Southwest that's out there who are in need of a lot of water, and we have some that's available.

So I think it'll be really interesting to see what the water authority is able to do with their portfolio and if they're able to bring in some revenue that that offsets um the fixed costs that they have.

Um there's some real structural um challenges that they're working through that could potentially bear foot fruit in the future.

Um but to your point, um, cost of these CIP projects, they the projects don't go away.

So there's a lot of different factors, a lot can happen in two years.

I would also add that um one of the reasons why we felt comfortable with a two-year delay.

There are two other things that I'd like to point out is we have been in an extremely high bid environment lately.

Um, and some of that could be because of the amount of um projects that are going on, whether or not that's pure water, the East County projects, and there's just a not enough available resources, and that's driving up prices.

So I'd like to see if some of the um capital projects in the bid environment can come down.

That's one of the things I've let it cool down.

Um the other thing is that when we evaluated, we have done a lot of significant work, and we have gotten below um averages in regards to water main breaks.

So what we decided to do when we put forward the proposal for the um CIP deferrals, it was on the horizontal assets.

And what we are going to do is focus on our vertical assets, which are our pump stations and our plants.

Um, and we felt we could take a little bit of that risk because also we do have our staffing on board, they can address that.

So we did look at these other things, but we do agree that when you do defer maintenance, it can increase costs in the long run.

But that's why we thought a two-year deferral would be appropriate.

You mentioned the risk associated, the risk assessment in looking at vertical versus horizontal, I guess.

Do you have the analysis that you can provide?

Um because again, even when we look at emergency projects, those are done what I would say at the high end, meaning it's all done on TNM and and certain things, right?

When it gets out of our own forces being able to hand, you know, doing the work, I guess, the immediate emergency work, um, where it's all done TNM, which that again adds an exponential cost factor as well.

Yeah, and I apologize, not analysis, what we did is we prioritized.

Our analysis included reprioritization in regards to vertical assets in or higher um size, larger sized diameter um transmission lines.

So we did those versus maybe six inch.

We've been spending a lot of the last 10 years working on that.

The other issue that you brought up was a high bid environment, which I think that speaks to something that I've been really concerned with over the years, and that's just simply contractor availability, the pool of contractors.

Um I've said this on numerous occasions.

When you look at our assets, asset types and the contractors, there's only a couple pipeline, true pipeline contractors that do the work.

And if you talk about lining, it even gets smaller, right?

Who go in and actually do the lining?

So what efforts are we looking at?

Because I guess this is where I really struggle, and that is we can point the finger at all the outside agencies, all the outside impacts.

But I don't hear enough about what we are doing to take care of our book of business, meaning increasing our contractor pool, really diving in and looking at our inefficiencies, all the way down to our equipment purchases and how we do things.

Sure, thank you for the question, Councilmember.

Um we actually work with uh Ronnie Amon, engineering capital projects director.

You know, she is looking at different ways that we can actually bid projects instead of doing just traditional design bid build.

I know particularly when it comes to for phase two, we're gonna be looking at many different ways that we can actually do those procurements.

And so it's not just with public utilities, but it's across all of our assets, transportational storm order as well.

You're right.

We can I think we can do a lot better of uh attracting bidders by changing the way we do the business, and so you do have our commitment.

I know Ronnie has already been working on this, and we're working together with all the departments to make sure we can get the best bid for the best price.

Okay.

Um thank you for that.

And I I just think in closing, this is just very difficult for me.

Even as I look at when we talk about the cuts to get us here, and I look at the impact of district four.

I feel as if we continue to take on a significant part of the burden and carry a lot of the load.

A lot of that may be because we were one of the older neighborhoods, right?

Our system is um reaching its end of life all at one time, right?

Which is a little disappointing because I know years past we really had conversations about how can PUD uh be more preventative, more more in front, and I'm not seeing or understanding or being able to correlate those conversations to where we are now and and have we truly made progress.

Um so I am really supportive of really seeing a plan of action addressing all components of what goes into our water system and how we can better provide the service and bring the cost down.

Um and I think that would be a useful tool as we look at our outside issues and concerns with county water authority and all the different components that go into the purchasing and and and of the water that we purchase.

Um so unfortunately today um I'm gonna have to remain um a no on this item.

Um, but again, I don't think it's going to get better in two years unless you guys really can um bring something forward um to explain or to better um paint the picture on how we are going to take care of things internally and also externally to where there's some comfort and some trust, not only with this council, but also with the ratepayers and the public.

Um I just think we need to do a better job before I can support um such a drastic increase in and what we're faced with, right?

And and and again, just with the uncertainty with what we're going through on all levels of of government, right?

We're seeing significant cuts on the federal side, and we're seeing um challenges on the state side, and I just don't see a good answer as we continue to go forward sitting here today.

So again, thank you for your work.

Um I'm sure we'll have some questions, some follow-up questions, uh, because I really do want to dive into the CIPs in certain things to get a better understanding and and just really understand risk and where we have that exposure.

So thank you.

All right, thank you, Councilmember Foster.

Uh, I'm not seeing anybody else on the lights.

If you could bring the amended motion up on the screen.

So this is a reminder from my colleagues.

So we have a motion by council member, excuse me, council member Whitburn, and a second by myself, as you see on the screen.

With that, city clerk, please call the roll.

That's right.

The voting system, please cast your vote.

That passes five to four with Councilmember Moreno, Councilmember Lee, Councilmember Von Wilbert, and Councilmember Foster voting no.

Thank you.

All right, thank you, everyone.

Again, if I didn't say it earlier, thank you to everybody that come out and spoke.

Um I think you could tell the council members were act we're listening very closely.

So with that, uh, we will take up virtual non-agenda, as you may recall.

Uh there was nobody no speakers in the chambers for non-agenda public comment.

So we trailed virtual non-agenda public comment uh from this morning's session.

As a reminder, the council members respect and appreciate the public's input and are fully committed to protecting every participant's free speech rights at council and committee meetings.

Clerk, please proceed with virtual non-agenda public comment.

Thank you, Council President.

Per rule 2.7 on agenda public comment is an opportunity for members of the public to comment on items that are not on the agenda, but within the matter jurisdiction of the city council, each speaker will have two minutes.

Please note if there are eight or more speakers on a single topic.

If you are in chambers, please submit your speaker slip if you're joining us virtually.

My apologies.

Non-agenda public comment in chambers did conclude this morning.

We are only taking virtual, so please raise your hand to speak by tapping the raise your hand icon.

Or if you're calling participants star nine, we currently have seven speakers in the queue, and I've started the five minute timer.

Andrea, if you can please unmute.

Um the due process bill, and I feel as though we need to come up with some sort of um a supporting bill or some sort of a supporting policy that we as constituents have civil rights that are actively being violated by a massive conflict of interest in our criminal justice system.

It's not just our criminal justice system, however, it's the every court in San Diego.

Um, if we are truly to separate church and state and truly make federal, state and local law enforcement behave and act as individuals.

We cannot, we cannot have a district attorney that represents our county with a sister who represents our city.

One handles felony crimes, one handles misdemeanor crimes, and if we can't get anywhere in either one of those channels, we have to go to the district in case a federal judge husband.

You did drop off.

My apologies, we don't weren't nothing was happening on our end.

Um Blair Beekman, if you can please unmute all right, uh Blair Beekman.

Sorry, the previous caller dropped off.

Uh hopefully she can uh issue can be fixed.

Um I commented yesterday um uh the work of San Francisco working with Trump and the federal administration to avoid uh ICE coming to San Francisco.

It's a bit long of a speech, but I meant it.

I I had a few additional words that I thought I'd add today that I didn't uh add yesterday.

Uh I remember the city of Berkeley in the first few years of the previous Trump administration had some good success in working through a step-by-step negotiation process to simply ask how ICE agents can could de-escalate and reduce their initial gung-ho tactics.

Berkeley did some really good work in that back in 2017 and 18.

That that's what I want to emulate uh here in San Diego with the incidents that happened in North County and really I mean uh uh North Park.

And you know, uh work on real de-escalation and militarization when they come into an area.

I think we can really do that and have good results.

Good luck in those sort of efforts.

With that said, uh, the meeting yesterday, uh thank you, by the way, uh, for everyone really hard work on that previous item.

Really difficult work.

Thank you for the words of council person Wilpert, who looks like she's had a really good trip to Gaxon.

She's come back with a really nice voice on issues.

Thank you.

Uh, to comment quickly on the um uh issues yesterday, that you're gonna do some weird suspension of parking things and and create uh the fee status is gonna help uh a new wave of smart street like technology things.

That sounds like you're going to now like you know, reneg on on trying to reduce AOPRs.

And you're gonna go through this whole new level of experimentation.

I think we really have to address the future of experimentation before putting it before good civil rights and civil protection practices and responsibilities.

Um we're gonna continue to ask questions about this.

This is not over.

Uh, thank you.

Your time is concluded.

Kathleen Lippett, if you can please unmute.

Kathleen Lippett, I can't unmute for you.

I will have to move on to the next caller.

There you go.

Thank you.

Um, good afternoon.

Kathleen Lippitt here.

Um I wanted to share with you about Jane Goodot.

She passed away this month.

She was a renowned icon of conservation.

She dedicated her life to protecting wildlife and inspiring kindness in the world.

She recognized the importance of protecting the environment for primates and humans.

She reminded us that we what we do makes it different every day, and we must decide what kind of a difference we want to make.

Our intelligence is supposed to be superior, but intelligence is of little value without wisdom.

Primates don't destroy their own environment.

We are willing to do so, not for survival, but for a paltry amount of tax money.

California has been ignoring the devastating environmental damage from the marijuana industry for decades.

But the city has continued to do the same thing.

Talk about water problems.

Crop.