SOUTH PLACER FIRE DISTRICT BOARD OF DIRECTORS Regular Board Meeting Minutes September 17, 2014 REGULAR BUSINESS The South Placer Fire District Board of Directors regular meeting was called to order on Wednesday, September 17, 2014 at 7:03 p.m. by Vice-President, Mike DeLaurentis. Present: Mike DeLaurentis, Vice-President Terri Ryland, Clerk Dave Harris, Director Absent: Gary Grenfell, President Sean Mullin, Director Staff in Attendance: Fire Chief, Lawrence Bettencourt Board Secretary, Kathy Medeiros Battalion Chief, Jason Brooks Engineer, Darren Zimmerman Special Presentation: None Public Comment: Member of the public, Sandy Harris, recommended the Board research longterm planning in terms of providing emergency medical services to the growing population of older adults in the District. There are many new memory care homes currently under review in the area. Closed Session: None. Consent Agenda: Director Ryland made a motion to approve the consent agenda; seconded by Director Harris. Ayes: Harris, DeLaurentis, Ryland Noes: None Abstain: None Absent: Grenfell, Mullin OLD BUSINESS Fiscal Year 2014/15 Budget Adoption: Staff recommended an adoption of the fiscal year 2014/15 Final Budget. Chief Bettencourt presented the Final 2014/15 budget and explained that the Board must adopt the final budget by October 1, 2014. The proposed final budget includes the final tax revenue projections received from the Placer County Auditor s Office. He noted that projected property tax revenue has been increased by 8% ($440,000) from the Fiscal Year 2013/14 final property tax numbers. All property tax projections are based on a 97% collection rate. Salaries and wages were estimated to be higher at 81.5% of the budget, while the budget principal is Page 1 of 5
80.25%. He explained that the District is forecasting a need for increased staffing in 2014/15. Other salary expenditures have increased in preparation for continually rising costs. PERS retirement rates are up 2% this year and are expected to rise every year for the next 5 years. Workers compensation insurance is predicted to be $330,000 for this fiscal year. Chief Bettencourt reported that in addition, he anticipates CFAA expenditures to be higher than budget estimates due to the multiple OES deployments for this fire season. The District has paid around $80,000 in overtime expenses just for the last two weeks. Operating revenues were collected in 2013/14 at $5,254,990 and were estimated for 2014/15 for $5,701,979. Budgeted Ambulance revenue was based on a 3 year average at $1,008,179, while mitigation revenue was increased substantially. The contract for administrative services with Loomis Fire District was also budgeted at $100,000 additional revenue for 2014/15 fiscal year. Service and operations expenditures are expected to be the same as last year. There will be some savings in legal and consulting fees by bringing in a fire prevention Captain to provide in-house plan review. Capital expenditures will include five heart monitors, thermal imaging cameras, and the potential purchase of the used OES Type 1 engine. Chief Bettencourt explained that the District is still catching up for 4 years of restricted spending in terms of apparatus and major equipment and thereafter the District will need to invest in facilities. Chief Bettencourt further discussed the new development fee plan for the expenditures of the mitigation account in the new fiscal year. These funds will be used to make the final Truck 17 lease payment, upgrade the radios, schematic design plans for the Station 15 remodel, and purchase of additional structure PPE s. Director Ryland made a motion to adopt the 2014/15 Final Budget. The motion was seconded by Director Harris. Ayes: Harris, DeLaurentis, Ryland Noes: None Abstain: None Absent: Grenfell, Mullin NEW BUSINESS Dry Financing Request: Staff seeks approval of the resolution for dry financing from the Placer County Treasurer s Office. Chief Bettencourt explained that the District receives property tax funds in December and April each year. When there is a lot of strike team activity the District may not be reimbursed for that cost for several months. This can cause the District to go into a dry finance situation. The County will finance the district at an interest rate of 1.25-1.75% until the next tax draw is received in December. A motion was made by Director Ryland to approve Resolution No. 2 2014-2015 Dry Financing Request and seconded by Director Harris. Roll Call: Page 2 of 5
Gann Limit Report and Resolution: Staff recommended adoption of the resolution setting the FY 2013/14 appropriations limit, per Article XIIIB of the State Constitution (1979). Chief Bettencourt reviewed the history of the Gann Limit and noted that it is standard procedure. Each year the District sets its appropriations limit by computing the previous year s limit to the per capita income factor and the population factor. He stated that this year the District consulted again with the Capital Public Financial Group to recalculate the limit. The calculation has two parts: the projection for this year and to look at the past years budget while also reviewing any major developments being built within the Fire District. The Chief assured the Board that the District was well under the Gann limit for both this year and last year. Director Harris made a motion to approve the Gann Limit Annual Appropriations Limits for Fiscal Year 2014/15 in Resolution No. 3-2014/15. Seconded by Director Ryland. Roll Call: INFORMATION AND DISCUSSION Placer County Allocation of Proposition 172 Funding: Staff recommends a presentation on Placer County s current allocation of Proposition 172 funding. Chief Bettencourt presented a history of the current allocation of funding. In 1992, the State of California failed to meet its education funding at the specified levels under Proposition 98. In order to resolve this problem, the state shifted partial financial responsibility for funding of education to local governments (cities, counties and special districts). The state instructed auditors to shift the allocation of property tax revenues from local government to educational revenue augmentation funds or (ERAF). The District property tax revenues in 1992/93 were cut by $208,000 or 10%. Today, 10% of property tax revenue for the District would be over $500,000. Proposition 172 was passed by voters in 1993 when the State of California found itself in a deficit position. It was a half-cent increase to assist public safety agencies after the 10% cuts in property tax allocations under Proposition 98. Placer County offered free dispatch services to local fire districts in lieu of any direct Proposition 172 money. The current cost of these services is estimated at $260,410 for the six fire agencies dispatched by the Placer County Sheriff s Office. The 2012/13 sales increment collected by Placer County was $36,715,197. The District estimates the cost of dispatch for 2000 incidents per year is $95,000. Chief Bettencourt reported that the reallocation of future Proposition 172 increases to local fire districts could result in additional funding for all agencies. Currently, two counties in the State get funding from Prop. 172. This month six Fire District agencies will meet to discuss the pursuit of Proposition 172 funding. At this time, local Fire Chief s recommend that fire agencies receive a percentage of the expected increase for 2015/16, but not cut any current funding to law enforcement/district Attorney/etc. Chief Bettencourt requested Board direction to proceed forward with seeking an allocation of a percentage of Proposition 172 funding. Page 3 of 5
Director Ryland made a motion to authorize Chief Bettencourt to further discuss the issue with other local Fire Chief s, the Board of Supervisor s and the Placer County Sheriff s Office. Correspondence: A card thanking the District emergency staff for assistance from an injured cyclist. A letter from the Office of Elections noting the District Board of Directors candidates that filed for the November 4, 2014 election did equal the number of seats. Letters of recognitions from the Placer County Sheriff Lieutenant Darrell Steinhauer for the Districts participation in the National Night Out celebration on August 5, 2014. Chief s Report: Day with a Deputy will be held on September 20 th at Bayside Church. Every 15 Minutes will be held at Granite Bay High in December. Engineer testing will be October 8 th with 3 candidates. The new Type 3 brush unit is in service locally for now. The new OES truck will be here next week. Paramedic applications are due October 3 rd. Many retirements within the County: Brad Harris, Randy Smith, Rui Cunha, Pete Hnat Several deployments have occurred to the King Fire for a local government response. October is Fire Prevention month and the District will have an article in the paper for the recycling program that donates the proceeds to organizations such as the burn camp. Captain Mike Ritter is organizing tours and demonstrating extinguisher training to teachers. Safe Surrender Site for surrendered babies is being discussed for all stations at the Placer County Chief s meeting. It is recommended the District participate. Chief Walder will be in Long Beach in October for the Cal Chiefs conference. On Sept. 5th & 6th Local 3809 participated with local agencies for the Muscular Dystrophy Association fill the boot campaign at two major intersections in Granite Bay and Roseville and collected $66,000 in donations. Granite Bay High School homecoming is October 16 & 17th. There is a scheduled bonfire and fireworks show. Contracts for both the local 3809 and all employees expires in December 2014. A meeting should be set to discuss ground rules sometime in October. Functions: The Pink Party will be held on October 18, 2014 at Pete s Pizza. Tickets are $30 per person and include buffet dinner, two drinks, and live music. All proceeds go to breast cancer awareness. Board/Staff Comments: Director DeLaurentis suggested future Board packets be printed as two sided. Future Agenda Items: 2014/15 Board Goals Page 4 of 5
There being no further business to come before the Board, the meeting adjourned at 8:06 p.m. The next regular meeting will be held on Wednesday, October 15, 2014. Respectfully submitted, Recording Secretary, Kathy Medeiros Page 5 of 5