OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

South San Francisco City Council Regular Meeting - May 26, 2021

City Council — Wednesday, May 26, 2021
BodySouth San Francisco, California
SessionCity Council
DateWednesday, May 26, 2021
StatusFILED
Video Record
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Transcript — Verbatim
0:00

Ready to go, Mayor.

0:02

Okay.

0:02

So we'll go ahead and call this regular meeting of the South San Francisco City Council for this Wednesday, May the 26th to order.

0:11

And we'll begin with a roll call.

0:13

Councilmember Coleman.

0:15

Here.

0:16

Councilmember Flores.

0:18

Present.

0:19

Councilmember Nicholas.

0:20

Present.

0:22

Vice Mayor Nagales.

0:23

Here.

0:24

Mayor Adiego.

0:26

Here.

0:27

Thank you.

0:30

And we'll move on to agenda review, Mayor.

0:37

Yes, thank you.

0:37

Um, Mr.

0:38

Fuchell, any changes to this lengthy agenda?

0:42

Uh request, Mr.

0:43

Mayor.

0:44

Uh, we have a presentation item three by Sam Trans.

0:47

Right.

0:48

We could move up item 18, which is the council's consideration of the same trans bus route.

0:54

Uh, that might make uh for an efficient meeting.

0:57

No, that would be yeah, exactly.

0:59

It might um if we have the presentation and then wait till item 18.

1:04

We might need the presentation yet again.

1:06

So wonderful suggestion.

1:08

So after after that presentation, we'll move 18 up into the next spot.

1:14

Um Mike, any announcements from your staff?

1:18

Uh we have one that I'm aware of from the finance department.

1:22

If uh Janet Salisbury could be promoted to um a panelist.

1:36

There we go.

1:37

Janet uh good evening, uh Mayor Adiego, Vice Mayor Nagales, and uh council members, Janet Salisbury, your finance director.

1:53

And uh tonight I wanted to share with you the great news that we successfully priced um the city's lease revenue bonds earlier today, and that will fund the library parks and rec building, the streets program, and the solar roof for the civic campus and uh the courtyard.

2:13

Recording in progress.

2:15

The total um proceeds we will receive from the sale is 104 million dollars.

2:22

And uh to remind the council when we issued the phase one bonds last year for to fund the police station, it was uh right at the cusp of the pandemic.

2:32

So it was in February, and uh we were at all-time historic lows in terms of overall interest rates, and so we um priced that deal at 2.3 percent all in uh total interest cost.

2:47

So uh since that's sale, the markets recovered a bit, and we were expecting um kind of higher rates going into this morning.

2:57

And when I met with you last, I think it was the last council meeting May 14th, and when the council um approved the bond documents, our total interest cost assumption was about two and a half percent.

3:12

And so um the assumption was that the average annual debt service would be about 5.7 million dollars.

3:20

And um I'm happy to report it was an extremely successful sale.

3:25

Um we're right on top of where we were even last year.

3:28

So we're at 2.3 percent in terms of all in total interest costs, and um the average annual debt service is actually down from when we spoke last a couple weeks ago.

3:42

So the average annual debt service on this new deal will be 5.5 million dollars, so it's about 200 um dollars lower than what we were assuming going in.

3:54

And while hindsight is you know 2020, as you know, I think breaking these uh deals into two tranches instead of doing it all in one go.

4:03

So we did decide to separate that and do the police station first because the LPR was not uh ready yet.

4:10

It's actually saved the city just even in the past 15 months over three million dollars, and so that's what's you know, the savings that we've had, and so um it was great going into this morning.

4:25

We were actually expecting a total interest cost of um 2.35.

4:32

So that was kind of where we went out this morning, but uh we got a lot of orders, and those big orders um allow us to bring down the interest rate a little bit, and that's how we ended uh the day.

4:44

So, you know, overall, um given even what we started with this morning and where we ended kind of at uh 10 o'clock, our total debt service for the deal will be lower by $550,000 over the life of the bond.

5:00

So not a you know, bad intake over a couple of hours.

5:05

And so we expect to receive the 104 million dollars when we close the bond on June 16th.

5:11

And all in all, it's been a great day for the city.

5:14

And so I I think Ms.

5:16

Salisbury, that makes you two for two.

5:18

So um, I I don't know if we're gonna be rushing to do more bonded indebtedness, but uh we're certainly not afraid of the marketplace given your um uh track record.

5:30

So my compliments to you, and uh I don't know how you do it, but uh thank you very much.

Discussion Breakdown — Share of Meeting
Public Transportation█████████████████████████25%
Public Engagement███████████11%
Affordable Housing██████████10%
Building Electrification█████████9%
Animal Welfare████████8%
Economic Development███████7%
Procedural█████5%
Arts And Culture█████5%
Public Safety████4%
Summary of Proceedings

South San Francisco City Council Regular Meeting - May 26, 2021

The South San Francisco City Council met virtually on Wednesday, May 26, 2021, at 6:00 PM for a regular meeting conducted via teleconference under Governor's Executive Orders due to the COVID-19 pandemic. The council addressed a lengthy agenda including presentations, a consent calendar with 20 items, administrative business items, and closed session. Notable outcomes included the introduction of a reach code ordinance for all-electric new residential construction, approval of a Shop Local Gift Card Program, and direction to staff on Reimagine SamTrans bus service changes. The meeting also featured recognition of youth art scholarship winners and a proclamation honoring a longtime Cultural Arts Commissioner.

Presentations

  • Youth Art Scholarship Recognition: Janice Martir (El Camino High School) and Cyrus Ramesh (South San Francisco High School) were awarded the 2021 Jack Drago Cultural Arts Commission Youth Art Scholarship. Each received $1,500. Their artwork and video projects were showcased. Both graduating seniors plan to pursue arts education (community college and Fordham University, respectively).
  • Proclamation for Charlene "Shane" Looper: The council honored Looper for 13 years of service on the Cultural Arts Commission, recognizing her volunteerism, leadership in beautification projects, and receipt of the 2019 Volunteer Citizen Award from the California Parks and Recreation Society. Looper expressed gratitude.

Consent Calendar

  • The council approved the consent calendar unanimously (5-0), including the following items (among others):
    • Approval of April 14, 2021 meeting minutes.
    • Acceptance of Linden Avenue Phase 1 Traffic Calming Improvements.
    • Environmental testing services agreement with Alpha Analytical Laboratories (up to $175,000 annually for five fiscal years).
    • Continued emergency repairs for the Sign Hill Diamond Fire.
    • Acceptance of Grand Boulevard Initiative Project Phase I and II.
    • Acceptance of a $29,750.40 Kaiser Foundation grant for COVID-19 Vaccine Equity.
    • Environmental sampling services agreement with Dysert Environmental (up to $90,000 annually for five fiscal years).
    • Construction management contract with Zoon Engineering for Smart Corridors Expansion Project (not to exceed $550,700).
    • One-year extension of generator maintenance agreement with Peterson Power Systems (up to $225,000 for FY2021-22).
    • Construction contract with Murphy Industrial Coatings for Water Quality Control Plant coating and corrosion protection (total budget $1,038,644).
    • Landscape maintenance services agreements: Frank and Grossman for citywide right-of-way ($616,064) and Gothic Landscaping for Common Greens ($792,416) for 24 months.
    • Ordinance amending CalPERS contract for Executive Management Unit.
    • Ordinance repealing mandatory bicycle licensing.

Public Comments & Testimony

  • Written Comments (read into record):
    • A parent expressed concern about insufficient after-school and summer camp programs for new students expected from housing developments, urging a pause on approvals until services are addressed.
    • Dwayne Frey, a resident on Longport Drive, requested a sound wall along Gino Perrocera Boulevard to mitigate traffic noise from vehicles traveling at 50-60 mph, noting the road has become a busy highway.
  • Public Comments on Agenda Items:
    • Reimagine SamTrans (Items 3 & 18): Sunny Koya (former SamTrans CAC member) passionately opposed truncating Route 292 under Alternative 1, arguing it would harm riders, especially mothers with children, and criticized the timing of the survey during the pandemic. He urged keeping the route into San Francisco. Staff responded that feedback is being collected and two of three alternatives maintain the route into San Francisco.
    • Old Firehouse Property (Item 19): Ethan Mizzy voiced support for the 100% affordable housing project but suggested a long-term lease instead of land sale to keep the land in public hands.
    • Reach Codes (Item 21): Several speakers (including representatives from Sustainable San Mateo County, Sierra Club, campaign for Fossil Free Buildings, and a UC Berkeley student) urged adoption of the ordinance and requested future expansion to commercial buildings, solar requirements, and existing building replacements. Terry Nagle (former Mayor) and others highlighted health and climate benefits.
  • General Public Comments: No speakers came forward.

Discussion Items

  • Reimagine SamTrans (Items 3 & 18): SamTrans staff (Jessica Epstein and Jonathan Steketee) presented three alternatives for countywide bus service changes, with detailed impacts on South San Francisco routes. The council discussed:

    • Route 292: Councilmembers and Vice Mayor Nagales expressed strong support for maintaining the route into San Francisco, echoing public concerns. Councilman Coleman noted the importance of outreach to underserved communities.
    • Oyster Point Service: Several members praised proposed connections east of Highway 101, including to the Caltrain station, anticipating future demand.
    • School Routes: Vice Mayor Nagales raised concerns about the merged Route 37/39 adding 3-5 minutes of travel time for students.
    • Late-Night Service: Council supported midnight service (instead of 8 PM) on some routes.
    • Equity and Outreach: Councilman Coleman criticized the outreach process, feeling South San Francisco was not proactively engaged. SamTrans staff detailed their efforts (mailers to 120,000 households, paid partnership with Friends of Old Town, multilingual ads, in-person events).
    • Direction to Staff: The council directed City Manager Mike Futrell to advocate for keeping Route 292, enhancing Oyster Point connections, improving late-night service, and maximizing bus stop coverage.

  • Shop Local Gift Card Program (Item 17): Staff (Heather Ruiz) presented a revised program: $40 gift cards to 2,200 low-income households, redeemable only at local restaurants, groceries, pharmacies, gas stations, and personal services. The total cost is $96,700 (including 8% administration fee), funded from the general fund with expected reimbursement from the American Rescue Plan. Gift cards cannot be used for alcohol or tobacco. Distribution will be through nonprofit partners (YMCA, JobTrain, housing staff). Councilmember Flores praised the program's focus on supporting both businesses and food-insecure households. The program was approved unanimously (5-0).

  • Old Firehouse Property – 201 Baden Avenue (Item 19): Staff (Julie Barnard) reported that after several developer changes (Habitat for Humanity, Anton DevCo), Eden Housing has been secured as the affordable housing partner. The proposal now includes 82 affordable senior housing units (100% affordable) combined with the adjacent KFC/Taco Bell site, plus rehabilitation of the firehouse for office use. The current action was to approve the Second Amendment to the Exclusive Negotiating Rights Agreement (ENRA) to replace Anton DevCo with Eden Housing. Councilmember Flores disclosed a prior meeting with Eden Housing. Vice Mayor Nagales expressed confidence in Eden's financing ability given the site's transit-oriented location. Councilman Coleman suggested exploring a 100-year lease instead of a land sale, but other members favored the upfront sale ($1.1 million). The amendment was approved unanimously (5-0).

  • Animal Control Services Agreement (Item 20): Assistant City Manager Sharon Reynolds presented a five-year agreement with the County of San Mateo for animal control services, effective July 1, 2021, at a cost not to exceed $662,368 for FY2021-22. The contract includes enhanced services: patrols of parks and neighborhoods, priority response times (e.g., aggressive animals within 1 hour), and 36 performance indicators (up from 4). Sharon noted that increased pet licensing can offset city costs. The resolution was approved unanimously (5-0).

  • Reach Codes Ordinance (Item 21): Director Alex Greenwood and consultant Farhad Farmand presented an ordinance requiring all-electric construction for new residential buildings and increased electric vehicle (EV) charging infrastructure. Key elements:

    • Building Electrification: All new single-family and multi-family units must be all-electric (no natural gas or propane), with exemptions for projects over 100 units with valid entitlements and infeasibility cases.
    • EV Charging: Single-family homes require one Level 2 EV-ready and one Level 1 EV-ready space. Multi-family: 25% of units with parking must have Level 2 EV-ready, 75% Level 1 EV-ready. Affordable housing gets reduced Level 2 requirements.
    • Cost Savings: Studies show $10,000 average savings for all-electric homes compared to mixed-fuel due to avoided gas meter and service costs.
    • Public Health: Councilmember Flores highlighted that gas stoves increase asthma risk in children by over 40%.
    • Future Expansion: Councilman Coleman and public speakers urged a second phase for commercial buildings, existing building retrofits, and solar requirements.
    • The ordinance was introduced (first reading) with an errata sheet clarifying EV charging requirements for exempted projects. Vote: 5-0.

  • Councilmember Comments and Requests:

    • Catalytic Converter Thefts (Councilmember Flores): Reported a 250% increase in thefts from 2020 to 2021, with replacement costs up to $3,500. Proposed a three-part plan: public education, partnership with auto shops to etch VINs on converters, and state legislation. Council expressed support.
    • Eviction Moratorium (Councilman Coleman): Noted that only $1.4 million of $21.6 million in requested rental assistance has been paid out in San Mateo County. Proposed a 120-day local eviction moratorium starting July 1 if the state does not act. Staff (Nell Selander) confirmed the backlog and that a recommendation will be prepared for the June 23 council meeting. Vice Mayor Nagales suggested a 90-day moratorium to align with state allocation timelines.
    • Other: Councilmembers offered condolences for the San Jose VTA shooting, noted 72.8% of residents (ages 10+) have received at least one vaccine dose (57% fully vaccinated), and adjourned in memory of Frances Regalia.

Key Outcomes

  • Approved Consent Calendar: Unanimous (5-0).
  • Approved Shop Local Gift Card Program: Unanimous (5-0).
  • Approved Second Amendment to ENRA for Old Firehouse (Eden Housing): Unanimous (5-0).
  • Approved Animal Control Services Agreement: Unanimous (5-0).
  • Introduced Reach Codes Ordinance (First Reading): Unanimous (5-0).
  • Directed City Manager to Submit Comments on Reimagine SamTrans: Advocacy for keeping Route 292, Oyster Point connections, late-night service, and more stops.
  • Council Requests: City staff to prepare a potential eviction moratorium ordinance for June 23, 2021; explore catalytic converter theft prevention measures.

Closed Session

  • The council recessed to closed session for conference with labor negotiators (Government Code §54957.6) concerning employee organizations (AFSCME Local 829, Teamsters Local 856, Operating Engineers Local 39) and anticipated litigation (one potential case). No reportable action taken.

Meeting Transcript

Ready to go, Mayor. Okay. So we'll go ahead and call this regular meeting of the South San Francisco City Council for this Wednesday, May the 26th to order. And we'll begin with a roll call. Councilmember Coleman. Here. Councilmember Flores. Present. Councilmember Nicholas. Present. Vice Mayor Nagales. Here. Mayor Adiego. Here. Thank you. And we'll move on to agenda review, Mayor. Yes, thank you. Um, Mr. Fuchell, any changes to this lengthy agenda? Uh request, Mr. Mayor. Uh, we have a presentation item three by Sam Trans. Right. We could move up item 18, which is the council's consideration of the same trans bus route. Uh, that might make uh for an efficient meeting. No, that would be yeah, exactly. It might um if we have the presentation and then wait till item 18. We might need the presentation yet again. So wonderful suggestion. So after after that presentation, we'll move 18 up into the next spot. Um Mike, any announcements from your staff? Uh we have one that I'm aware of from the finance department. If uh Janet Salisbury could be promoted to um a panelist. There we go. Janet uh good evening, uh Mayor Adiego, Vice Mayor Nagales, and uh council members, Janet Salisbury, your finance director. And uh tonight I wanted to share with you the great news that we successfully priced um the city's lease revenue bonds earlier today, and that will fund the library parks and rec building, the streets program, and the solar roof for the civic campus and uh the courtyard. Recording in progress. The total um proceeds we will receive from the sale is 104 million dollars. And uh to remind the council when we issued the phase one bonds last year for to fund the police station, it was uh right at the cusp of the pandemic. So it was in February, and uh we were at all-time historic lows in terms of overall interest rates, and so we um priced that deal at 2.3 percent all in uh total interest cost. So uh since that's sale, the markets recovered a bit, and we were expecting um kind of higher rates going into this morning. And when I met with you last, I think it was the last council meeting May 14th, and when the council um approved the bond documents, our total interest cost assumption was about two and a half percent. And so um the assumption was that the average annual debt service would be about 5.7 million dollars. And um I'm happy to report it was an extremely successful sale. Um we're right on top of where we were even last year. So we're at 2.3 percent in terms of all in total interest costs, and um the average annual debt service is actually down from when we spoke last a couple weeks ago. So the average annual debt service on this new deal will be 5.5 million dollars, so it's about 200 um dollars lower than what we were assuming going in. And while hindsight is you know 2020, as you know, I think breaking these uh deals into two tranches instead of doing it all in one go. So we did decide to separate that and do the police station first because the LPR was not uh ready yet. It's actually saved the city just even in the past 15 months over three million dollars, and so that's what's you know, the savings that we've had, and so um it was great going into this morning.

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