South San Francisco City Council Regular Meeting - June 22, 2022

The South San Francisco City Council met on June 22, 2022, at 6:00 PM via teleconference. The meeting included public testimony on the Oyster Cove Marina eviction, approval of a consent calendar, two public hearings on sewer and stormwater rates, and several administrative business items including the FY 2022-23 operating budget and capital improvement program. Council also introduced an ordinance to adopt a military equipment use policy per AB 481. The meeting adjourned to closed session for a performance evaluation of the City Attorney.

Consent Calendar

• Approved the minutes of June 8, 2022 and June 9, 2022.
• Approved a resolution amending the shuttle services agreement with Parking Company of America, LLC, extending the term to December 31, 2022.
• Approved a resolution accepting $95,643 in SB 1383 Local Assistance Grant Program funding from CalRecycle and approving Budget Amendment 22.070.
• Approved a resolution calling for a municipal election on November 8, 2022, to elect three City Council members (Districts 1, 3, and 5), City Clerk, and City Treasurer, all for four-year terms, and authorizing an agreement with the County for election services.
• Approved a resolution authorizing a First Amendment to the Professional Services Agreement with Athens Administrators, Inc. for workers' compensation claims administration, extending one year for a total not to exceed $840,208.
• Approved a resolution renewing a consulting services agreement with Townsend Public Affairs for grant writing services for one year not to exceed $60,000.
• Approved a resolution authorizing the City Manager to execute a one-year contract extension with Squire Patton Boggs for national advocacy and policy services not to exceed $180,000.
• Approved a resolution for Community Facilities District No. 2021-01 levying special taxes for FY 2022-23.
• Approved a resolution adopting the City's Investment Policy for FY 2022-23.
• Approved a resolution declaring the continuing need for remote meetings due to health and safety concerns.

Public Comments & Testimony

• Matt Klein (Oyster Cove Marina resident): Expressed opposition to the eviction notice from Tide Line Group (representing Kilroy), stating 15-day notice to vacate by October 15, 2022, with a $10,000 payment for liveaboards. He argued the marina is viable low-income housing and asked the council to intervene.
• Lucia Lochmeyer (Oyster Cove Marina resident, 12 years): Asked the council to consider the marina as low-income housing under RHNA criteria and to keep it as such. She noted most residents are elderly, working poor, and would face homelessness if displaced.
• Gail (Oyster Cove Marina resident, 20 years, registered nurse): Stated the boats are not derelict, the community is solid, and there are no liveaboard slips available elsewhere (waiting list at Oyster Point over six years). She emphasized the abrupt displacement and lack of options.
• Alison Madden (liveaboard from Docktown, former resident of Pete's Harbor): Shared her experience of two evictions, urging the council to consider anti-displacement policies, for-cause eviction, and relocation benefits.
• Emilio Casal (liveaboard without permit): Shared personal safety concerns and trauma, stating moving his boat is unaffordable.
• Matt Klein (raised hand again, but not allowed to speak twice).
• Written public comment submitted via email was noted.
• No public comments on the public hearing items.

Discussion Items

Sewer Service Rates (Public Hearing)

• Brian Schumacher presented: Recommended a 2% increase for FY 2022-23, bringing single-family rates to $768/year. Multi-family: $691/year. The five-year rate plan includes 3% increases for remaining years. South San Francisco rates remain among the lowest in San Mateo County ($64/month). A low-income rebate of $76 is available. Council discussed potential for future pauses in increases if finances allow. Approved unanimously.

Stormwater Management Service Charges (Public Hearing)

• Brian Schumacher reported: The stormwater fee has not changed since 1993. State mandates increase requirements but raising the fee requires voter approval (Prop 218 or SB 231). The program includes inspections, trash capture devices (400 drains), Colma Creek cleanups, and outreach. Council discussed effectiveness of trash capture devices and requested a list of locations. Approved unanimously.

Conference Center Authority FY 2022-23 Budget

• Jim McGuire, Executive Director, presented: FY 2022-23 budget projects $4.2 million revenue and $2.3 million expenditures, with net loss of $235,000 (improvement from previous year). Hotel occupancy budgeted at 70% (cautious due to pandemic). Reserve fund at $3 million. Authority Board approved on May 4, 2022. Council expressed confidence in recovery by 2025. Approved.

City of South San Francisco FY 2022-23 Operating Budget

• Karen Chang, Finance Director, presented: Balanced budget with $122.3 million revenues and $122.2 million expenditures, surplus of $55,000. Major features: unfreezing all staff positions, adding 22 new full-time employees, restoring child care programs to 100% capacity, and funding sustainability. Gann Appropriations Limit within compliance ($168.6 million limit vs. $99 million subject). Approved.

Capital Improvement Program (CIP) FY 2022-23

• Matt Ruble, Jake Gilkrest, Greg Mediati presented: Total CIP budget $301 million ($121 million new appropriations). 130 projects including street improvements, park projects (Orange Park playground, Centennial Way Trail, new park at 616/700 Linden), aquatic center design, West Orange Library preschool conversion, City Hall Annex study, and lighting enhancements. Council highlighted Measure W sales tax funding. Approved.

Successor MOU with IUOE Local 39

• Leah Lockhart, HR Director, presented: Three-year MOU (July 1, 2022 – June 30, 2025). Wage adjustments: 5% first year, 3% in each subsequent year. Equity adjustments for lab chemists and plant electricians. Added standby pay ($75/day), Juneteenth holiday, and paid family leave. Total cost within budget with $90,000 overage to be absorbed. Approved.

Military Equipment Use Policy (AB 481) – Ordinance Introduction

• Captain Adam Plank presented: Ordinance to adopt Policy 709 for continued use of six categories of military equipment (robot, armored van, command trailer, patrol rifles, pepperball launchers, diversionary devices, 40mm launchers). Funding sources include grants, asset forfeiture, and operational budget. Equipment used for de-escalation and rarely. Annual report and community engagement required. Council requested presentation to new Commission on Equity and Public Safety. Approved introduction of ordinance (first reading).

Council Comments/Requests

• Councilmember Addiego reported on BIO International Convention in San Diego; South San Francisco is gaining recognition from Japanese and Korean biotech firms.
• Councilmember Flores noted the "Every Kid Deserves a Bike" program nominated for a Summit Award (voting open until July 8). Also condemned the violent attack on Millbrae Councilmember Anders Fong, calling for solidarity and measures against hate crimes.
• Councilmember Coleman highlighted the first meeting of the Commission on Equity and Public Safety.
• Vice Mayor Nicolas echoed support for the commission and requested a moment of remembrance for David Barade, father of Dr. Mark Barade.
• Mayor Nagales reported on the stormwater capture project ribbon cutting, Slow Streets event in San Jose, and Special Olympics fundraiser at Chevy's hosted by police officers. Also condemned the attack on Councilmember Fong and noted local efforts to address API hate.

Closed Session

• The council entered closed session at an undisclosed time to evaluate the performance of the City Attorney (Government Code Section 54957).

Key Outcomes

• Consent Calendar: All items approved unanimously (5-0).
• Sewer Service Rates: Resolution approved unanimously (5-0). New rates effective FY 2022-23.
• Stormwater Management Service Charges: Resolution approved unanimously (5-0).
• Conference Center Authority Budget: Resolution approved unanimously (5-0).
• City Operating Budget: Resolution adopted unanimously (5-0).
• Capital Improvement Program: Resolution approved unanimously (5-0).
• IUOE Local 39 MOU: Resolution approved unanimously (5-0).
• Military Equipment Use Policy: Ordinance introduced (first reading) unanimously (5-0); final adoption to follow at a future meeting.
• Council Direction: Staff to explore potential relief for Oyster Cove Marina residents and coordinate with City Attorney. Police Department to present military equipment policy to the Commission on Equity and Public Safety.
• Closed Session: Held; no action reported publicly.