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HomeMy WebLinkAbout2024-08-06 Finance Committee Agenda PacketFINANCE COMMITTEE Special Meeting Tuesday, August 06, 2024 Community Meeting Room & Hybrid 3:30 PM Finance Committee meetings will be held as “hybrid” meetings with the option to attend by teleconference/video conference or in person. Information on how the public may observe and participate in the meeting is located at the end of the agenda. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org. VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/99227307235) Meeting ID: 992 2730 7235    Phone: 1(669)900‐6833 PUBLIC COMMENTS General Public Comment for items not on the agenda will be accepted in person for up to three minutes or an amount of time determined by the Chair. General public comment will be heard for 30 minutes. Additional public comments, if any, will be heard at the end of the agenda. Public comments for agendized items will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. Requests to speak will be taken until 5 minutes after the staff’s presentation or as determined by the Chair. Written public comments can be submitted in advance to city.council@CityofPaloAlto.org and will be provided to the Council and available for inspection on the City’s website. Please clearly indicate which agenda item you are referencing in your subject line. PowerPoints, videos, or other media to be presented during public comment are accepted only by email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received, the  Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted. Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting. CALL TO ORDER PUBLIC COMMENT  Members of the public may speak in­person ONLY to any item NOT on the agenda. 1­3 minutes depending on # of speakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda. ACTION ITEMS 1.Review and Discuss the Funding Level of the Human Services Resource Allocation Process and Other Grants in the General Fund and Potential Recommendation to City Council FUTURE MEETINGS AND AGENDAS Members of the public may not speak to the item(s) ADJOURNMENT PUBLIC COMMENT INSTRUCTIONS Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone. 1. Written public comments may be submitted by email to city.council@cityofpaloalto.org. 2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item. 3. Spoken public comments for agendized items using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully. You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below. You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak. When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak. When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments. 4. Spoken public comments for agendized items using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted. CLICK HERE TO JOIN    Meeting ID: 992‐2730‐7235   Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.  1 August 06, 2024 Materials submitted after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. FINANCE COMMITTEESpecial MeetingTuesday, August 06, 2024Community Meeting Room & Hybrid3:30 PMFinance Committee meetings will be held as “hybrid” meetings with the option to attend byteleconference/video conference or in person. Information on how the public may observe andparticipate in the meeting is located at the end of the agenda. The meeting will be broadcast onCable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamedto Midpen Media Center https://midpenmedia.org.VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/99227307235)Meeting ID: 992 2730 7235    Phone: 1(669)900‐6833PUBLIC COMMENTSGeneral Public Comment for items not on the agenda will be accepted in person for up to threeminutes or an amount of time determined by the Chair. General public comment will be heardfor 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.Public comments for agendized items will be accepted both in person and via Zoom for up tothree minutes or an amount of time determined by the Chair. Requests to speak will be takenuntil 5 minutes after the staff’s presentation or as determined by the Chair. Written publiccomments can be submitted in advance to city.council@CityofPaloAlto.org and will be providedto the Council and available for inspection on the City’s website. Please clearly indicate whichagenda item you are referencing in your subject line.PowerPoints, videos, or other media to be presented during public comment are accepted onlyby email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received,the  Clerk will have them shared at public comment for the specified item. To uphold strongcybersecurity management practices, USB’s or other physical electronic storage devices are notaccepted. Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting. CALL TO ORDER PUBLIC COMMENT  Members of the public may speak in­person ONLY to any item NOT on the agenda. 1­3 minutes depending on # of speakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda. ACTION ITEMS 1.Review and Discuss the Funding Level of the Human Services Resource Allocation Process and Other Grants in the General Fund and Potential Recommendation to City Council FUTURE MEETINGS AND AGENDAS Members of the public may not speak to the item(s) ADJOURNMENT PUBLIC COMMENT INSTRUCTIONS Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone. 1. Written public comments may be submitted by email to city.council@cityofpaloalto.org. 2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item. 3. Spoken public comments for agendized items using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully. You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below. You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak. When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak. When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments. 4. Spoken public comments for agendized items using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted. CLICK HERE TO JOIN    Meeting ID: 992‐2730‐7235   Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.  2 August 06, 2024 Materials submitted after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. FINANCE COMMITTEESpecial MeetingTuesday, August 06, 2024Community Meeting Room & Hybrid3:30 PMFinance Committee meetings will be held as “hybrid” meetings with the option to attend byteleconference/video conference or in person. Information on how the public may observe andparticipate in the meeting is located at the end of the agenda. The meeting will be broadcast onCable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamedto Midpen Media Center https://midpenmedia.org.VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/99227307235)Meeting ID: 992 2730 7235    Phone: 1(669)900‐6833PUBLIC COMMENTSGeneral Public Comment for items not on the agenda will be accepted in person for up to threeminutes or an amount of time determined by the Chair. General public comment will be heardfor 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.Public comments for agendized items will be accepted both in person and via Zoom for up tothree minutes or an amount of time determined by the Chair. Requests to speak will be takenuntil 5 minutes after the staff’s presentation or as determined by the Chair. Written publiccomments can be submitted in advance to city.council@CityofPaloAlto.org and will be providedto the Council and available for inspection on the City’s website. Please clearly indicate whichagenda item you are referencing in your subject line.PowerPoints, videos, or other media to be presented during public comment are accepted onlyby email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received,the  Clerk will have them shared at public comment for the specified item. To uphold strongcybersecurity management practices, USB’s or other physical electronic storage devices are notaccepted.Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks,posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do notcreate a facility, fire, or safety hazard; and (3) persons with such items remain seated whendisplaying them and must not raise the items above shoulder level, obstruct the view orpassage of other attendees, or otherwise disturb the business of the meeting.CALL TO ORDERPUBLIC COMMENT Members of the public may speak in­person ONLY to any item NOT on the agenda. 1­3 minutes depending on # ofspeakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end ofthe agenda.ACTION ITEMS1.Review and Discuss the Funding Level of the Human Services Resource AllocationProcess and Other Grants in the General Fund and Potential Recommendation to CityCouncilFUTURE MEETINGS AND AGENDAS Members of the public may not speak to the item(s) ADJOURNMENT PUBLIC COMMENT INSTRUCTIONS Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone. 1. Written public comments may be submitted by email to city.council@cityofpaloalto.org. 2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item. 3. Spoken public comments for agendized items using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully. You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below. You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak. When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak. When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments. 4. Spoken public comments for agendized items using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted. CLICK HERE TO JOIN    Meeting ID: 992‐2730‐7235   Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.  3 August 06, 2024 Materials submitted after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. FINANCE COMMITTEESpecial MeetingTuesday, August 06, 2024Community Meeting Room & Hybrid3:30 PMFinance Committee meetings will be held as “hybrid” meetings with the option to attend byteleconference/video conference or in person. Information on how the public may observe andparticipate in the meeting is located at the end of the agenda. The meeting will be broadcast onCable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamedto Midpen Media Center https://midpenmedia.org.VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/99227307235)Meeting ID: 992 2730 7235    Phone: 1(669)900‐6833PUBLIC COMMENTSGeneral Public Comment for items not on the agenda will be accepted in person for up to threeminutes or an amount of time determined by the Chair. General public comment will be heardfor 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.Public comments for agendized items will be accepted both in person and via Zoom for up tothree minutes or an amount of time determined by the Chair. Requests to speak will be takenuntil 5 minutes after the staff’s presentation or as determined by the Chair. Written publiccomments can be submitted in advance to city.council@CityofPaloAlto.org and will be providedto the Council and available for inspection on the City’s website. Please clearly indicate whichagenda item you are referencing in your subject line.PowerPoints, videos, or other media to be presented during public comment are accepted onlyby email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received,the  Clerk will have them shared at public comment for the specified item. To uphold strongcybersecurity management practices, USB’s or other physical electronic storage devices are notaccepted.Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks,posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do notcreate a facility, fire, or safety hazard; and (3) persons with such items remain seated whendisplaying them and must not raise the items above shoulder level, obstruct the view orpassage of other attendees, or otherwise disturb the business of the meeting.CALL TO ORDERPUBLIC COMMENT Members of the public may speak in­person ONLY to any item NOT on the agenda. 1­3 minutes depending on # ofspeakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end ofthe agenda.ACTION ITEMS1.Review and Discuss the Funding Level of the Human Services Resource AllocationProcess and Other Grants in the General Fund and Potential Recommendation to CityCouncilFUTURE MEETINGS AND AGENDASMembers of the public may not speak to the item(s)ADJOURNMENTPUBLIC COMMENT INSTRUCTIONSMembers of the Public may provide public comments to teleconference meetings via email,teleconference, or by phone.1. Written public comments may be submitted by email to city.council@cityofpaloalto.org.2. For in person public comments please complete a speaker request card located on thetable at the entrance to the Council Chambers and deliver it to the Clerk prior todiscussion of the item.3. Spoken public comments for agendized items using a computer or smart phone willbe accepted through the teleconference meeting. To address the Council, click on the linkbelow to access a Zoom‐based meeting. Please read the following instructions carefully.You may download the Zoom client or connect to the meeting in‐ browser. If usingyour browser, make sure you are using a current, up‐to‐date browser: Chrome 30 ,Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled inolder browsers including Internet Explorer. Or download the Zoom application ontoyour smart phone from the Apple App Store or Google Play Store and enter in theMeeting ID below.You may be asked to enter an email address and name. We request that youidentify yourself by name as this will be visible online and will be used to notify youthat it is your turn to speak.When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk willactivate and unmute speakers in turn. Speakers will be notified shortly before theyare called to speak.When called, please limit your remarks to the time limit allotted. A timer will beshown on the computer to help keep track of your comments.4. Spoken public comments for agendized items using a phone use the telephone numberlisted below. When you wish to speak on an agenda item hit *9 on your phone so weknow that you wish to speak. You will be asked to provide your first and last name beforeaddressing the Council. You will be advised how long you have to speak. When calledplease limit your remarks to the agenda item and time limit allotted.CLICK HERE TO JOIN    Meeting ID: 992‐2730‐7235   Phone: 1‐669‐900‐6833Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its publicprograms, services and meetings in a manner that is readily accessible to all. Persons withdisabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.  4 August 06, 2024 Materials submitted after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. Finance Committee Staff Report From: City Manager Report Type: ACTION ITEMS Lead Department: City Manager Meeting Date: August 6, 2024 Report #:2406-3183 TITLE Review and Discuss the Funding Level of the Human Services Resource Allocation Process and Other Grants in the General Fund and Potential Recommendation to City Council RECOMMENDATION Finance Committee should receive and discuss the information requested from the March 19, 2024 Committee discussion regarding the Council referral to consider allocating 1% of the General Fund for human services grants and potentially make a recommendation to Council. BACKGROUND At its June 19, 2023 Budget Adoption meeting1, Council directed staff to follow-up with the Finance Committee on a previous request to consider tying HSRAP funding to a percentage of the General Fund. This followed up on a prior discussion at the Policy and Services Committee at its November 29, 2016 meeting2, in which the Committee recommended maintaining the existing practice of increasing HSRAP funding by the Consumer Price Index (CPI), subject to funding availability in the General Fund. On March 19, 2024 the Finance Committee reviewed information regarding the HSRAP process and funding levels to evaluate whether existing allocations already met Council’s goal of allocating 1% of the General Fund for human services grant processing3. While no recommendation was made by the Committee, they requested that staff return with additional information on the human service grants and contract allocations listed in the March 19 staff report, to better understand total funding allocations made under the human services umbrella. 1 June 19, 2023 Council Meeting: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=1170 2 November 29, 2016 Policy and Services Meeting: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2016/id-7289-hsrap.pdf 3 March 19, 2024 Finance Committee Meeting: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=14198 Item 1 Item 1 Staff Report        Item 1: Staff Report Pg. 1  Packet Pg. 5 of 11  The Finance Committee emphasized the necessity of further collaboration with the Human Resources Commission during the review and selection process of HSRAP proposals. To support their subsequent discussions and comprehension of the process, the Finance Committee requested that staff provide additional information on the definition of Human Services, existing HSRAP proposal evaluation criteria, and the scope of services for the Human Needs Assessment underway. ANALYSIS Council Referral Follow-Up Information: Other Human Resources Grants and Contracts At its March 19, 2024 Finance Committee Meeting, staff posed two important questions for the Committee to consider as it evaluated the appropriate funding level for human services grants: 1. What services should be included in this funding stream? Is it strictly the current program defined under the HSRAP grant program, or shall it include prior HSRAP grantees that now receive direct funding, or a different range of services? 2. What is the appropriate funding level? Is 1% of the City’s General Fund the desired funding level for HSRAP, or for a more broadly-defined group of human services grants? To support the Finance Committee in its discussion, staff compiled historical data starting in FY 2001 to determine the percentage of funding for human services programs compared to the General Fund expenditures budget in each year, and what amount of funding would be needed if funding for human services programs was pegged to 1% of the General Fund expenditures budget. The Committee felt the information provided did not reflect the total investment in human services made through other contracts and grants, and directed staff to provide additional information on funding amounts for the following organizations listed in the staff report: Ada’s Café augmented grant Avenidas Downtown Streets Team Environmental Volunteers LifeMoves Palo Alto Community Child Care (PACCC) Palo Alto Transportation Management Association (PATMA) Project Sentinel Project Safety Net United Nations Association Film Festival (UNAFF) Youth Community Services Attachment A includes human service General Fund allocations for HSRAP, Palo Alto Community Child Care (PACCC) and Avenidas (which were previously part of the HSRAP process until 2016), and other human services funding as listed above. The updated table is not a comprehensive list of all human services expenditures, as it does not generally include facility lease subsidies, or community well-being and belonging events such as 3rd Thursdays, May Fete parade, etc. Many of the organizations listed above and accounted for in Attachment A have various funding sources such as CDBG or other non- General Funds, however the amounts listed in the table are mainly General Funded. The exception being PATMA, as it is partially funded by the University Ave Fund. As noted previously, for HSRAP-specific funding, the average percentage of funding compared to the General Fund budgeted expenditures is 0.26% from FY 2015 through FY 2025. Comparing total funding Item 1 Item 1 Staff Report        Item 1: Staff Report Pg. 2  Packet Pg. 6 of 11  for human services programs from FY 2015 through FY 2025, including HSRAP, Avenidas, PACCC, and Other human services to General Fund expenditures shows an average percentage of about 1.3%. In FY 2025, total funding of human services is much higher than other years, at 2.8% of the General Fund due to the $4.9M investment in the LifeMoves Homekey Facility capital project (PE-24005). In future years, funding will transition to a $1M annual allocation for facility operating costs for 7 years per current commitments. For FY 2026 and FY 2027, numbers from the base case 2025-2034 Long Range Financial Forecast (LRFF) indicate that human services funding will be approximately 1.4% of the General Fund budgeted expenditures. This amount includes funding for operating costs for the LifeMoves Homekey facility of $1M annually for seven years. As projected, human services funding would exceed a 1% allocation of the General Fund. Human Services Definition Historically, the City has defined Human Services as those providing safety net services to the community, including children, youth, teens, seniors, people with disabilities and the unhoused. Today, the Human Relations Commission (HRC) identifies human service categories and needs through information provided by the community via HRC’s monthly meetings, findings from the Human Services Needs Assessment report, and demographic data collected every two years. Currently those are identified as services that address: Basic Needs (food, housing, mental health, emergency assistance, health care, transportation, digital inclusion). LGBTQ+ issues Homelessness Seniors Special Needs for children and adults Children and Youth Programs and Services Social service coordination The definition of human services needs categories has been established specifically to inform the HSRAP grant program. Attachment B includes the subcategories for the FY 2024-25 HSRAP Priority of Needs. As previously noted, the outcome of the upcoming Human Services Needs Assessment (HSNA) will be presented to Council in the Fall of 2024 and provide valuable information about the community’s needs to help inform the HSRAP funding priorities. As requested by the Finance Committee, the HSNA Scope of Services is linked. HSRAP Proposal Evaluation Criteria Modeled after the City’s procurement contract evaluation criteria and augmented by the HRC’s important considerations, the criteria used to evaluate HSRAP proposals for the FY 2024-25 grant cycle included the following: 1. Proposal must be complete: Quality and completeness of the response to this RFP, all questions answered, and signatures obtained. Item 1 Item 1 Staff Report        Item 1: Staff Report Pg. 3  Packet Pg. 7 of 11  2. The proposed services effectively meet a service that has been identified as a Priority of Need for Fiscal Years 2024-2025. 3. Palo Alto residents are the beneficiaries: Current demographic or relevant data that demonstrate the proposed services would benefit Palo Alto residents. 4. The organization’s effectiveness of reaching out and serving vulnerable and underserved populations. 5. The organization demonstrates the ability to diversify its funding sources. A significant proportion of service funding must be from non-City of Palo Alto funds. 6. The organization’s process in place for evaluating the needs of the target population. 7. The organization’s process in place for evaluation of goals and objectives of the proposed services. 8. Demonstrated experience and effective methodology for performing the service. 9. Accessibility and affordability of services. 10. The organization’s administrative capacity; qualifications and experience of proposed program manager and key staff to provide consistent program coordination, communications and a high quality of service. 11. Demonstration of an efficient utilization of community resources through a community partnership and collaborative efforts with other agencies and community members as an approach to service provision. HSRAP Award Process At its March 19 meeting, the Finance Committee expressed a desire to reinstate the practice of holding joint meetings with the Human Relations Commission to review and recommend HSRAP funding allocations to the Council. Should this process change be formalized, for the next HSRAP cycle and moving forward, the Finance Committee could expect the joint meeting with HRC to take place in the March/April timeframe as outlined here: Task Timeframe Reviewing Body Review of HSRAP proposals and initial funding recommendations February HRC Subcommittee and Human Services staff HRC review and approval of HSRAP Subcommittee funding recommendations March HRC Potential Joint Meeting with HRC and Finance Committee to Review HRC’s Proposed HSRAP Allocations March/April HRC/Finance Committee Final HSRAP recommendations included in the Proposed Budget for Council consideration April/May City Council Final HSRAP awards approved in Adopted Budget June City Council Item 1 Item 1 Staff Report        Item 1: Staff Report Pg. 4  Packet Pg. 8 of 11  Next Steps While the existing referral focuses on the funding allocation for human service grants and contracts, should the Finance Committee choose to make recommendations to the Council on future referrals for changes to the existing HSRAP process, the FY 2026-27 HSRAP timeline is linked for reference. A Nonprofit Relationship Council Study Session is scheduled for August 19, 2024. The study session will provide the opportunity for Council to provide feedback on how the City engages with its nonprofit partners, both approach to establishing the relationship and management best practices as outlined in the 2022 Nonprofit audit. As part of that effort, staff is also planning on engage with our nonprofit partners to solicit feedback on process and performance management. FISCAL/RESOURCE IMPACT No additional resources are required to support the discussion outlined in this report; however, additional resources will be required to support any recommended increase in funding levels. Current Human Services staffing is at capacity administering the current level of funding, grant recipients, and oversight of grant compliance. An additional full-time position may be recommended in the FY 2026 budget process for administrative support of a new Citywide Special Events and Programming grant process approved in the FY 2025 Adopted Operating Budget. As shown in this memorandum, overall funding provided by the City for human services has been close to 1% of the General Fund Budget over the past 10 years. Aligning funding for human services to a formula driven process could limit flexibility from both staff and Council to provide funding for other service needs that may arise in the future. STAKEHOLDER ENGAGEMENT Staff expect to support stakeholder engagement as a follow-up of the 2022 Nonprofit Audit recommendations next steps. ENVIRONMENTAL REVIEW Committee action on this item is not a project as defined by California Environmental Quality Act (CEQA) because the City’s HSRAP funding policy is a continuing administrative or maintenance activity. CEQA Guidelines section 15378(b)(2). ATTACHMENTS Attachment A: Human Services and Other Funding Attachment B: FY 2024-25 HSRAP Priority of Needs APPROVED BY: Ed Shikada, City Manager Item 1 Item 1 Staff Report        Item 1: Staff Report Pg. 5  Packet Pg. 9 of 11  General Fund Human Services and Other Funding HSRAP Total  Funding FY 2015 425,594$        890,583$        739,125$         $ 2,055,302  1,711,000$     0.25% 1.20% FY 2016 436,660$        913,738$        1,482,772$     $ 2,833,170  1,857,000$     0.24% 1.53% FY 2017 448,013$        937,495$        442,520$         $ 1,828,028  1,942,000$     0.23% 0.94% FY 2018 503,213$        960,933$        905,697$         $ 2,369,843  2,104,000$     0.24% 1.13% FY 2019 515,793$        984,956$        866,625$         $ 2,367,374  2,107,000$     0.24% 1.12% FY 2020 535,908$        1,023,369$     1,162,223$     $ 2,721,500  2,308,000$     0.23% 1.18% FY 2021 549,306$        1,048,953$     698,580$         $ 2,296,839  1,969,000$     0.28% 1.17% FY 2022 549,306$        1,048,953$     430,580$         $ 2,028,839  2,092,000$     0.26% 0.97% FY 2023 622,377$        1,093,009$     635,560$         $ 2,350,946  2,474,000$     0.25% 0.95% FY 2024 851,035$        1,147,660$     696,039$         $ 2,694,734  2,795,810$     0.30% 0.96% FY 2025 885,076$        1,193,566$     5,855,316$     $ 7,933,958  2,818,870$     0.31% 2.81% FY 2026 920,479$        1,241,309$     1,987,769$     $ 4,149,557  2,944,730$     0.31% 1.41% FY 2027 957,299$        1,290,961$     2,067,280$     $ 4,315,540  3,044,650$     0.31% 1.42% % of GF Budget Footnotes: Amounts are budgeted figures "Other" reflects budgeted amounts for Ada’s Café augmented grant, Downtown Streets, Environmental  Volunteers, LifeMoves, Palo Alto Transportation Management Association, Project Sentinel, Project Safety Net,  United Nations Association Film Festival, Youth Community Services Does not generally include, community wellbeing and belonging events such as 3rd thursdays, May Fete parade,  etc. 2025 includes $4.9M for LifeMoves Homekey facilities, This will transition to a $1M annual allocation for 7 years  per current commitments Does not include subsidized lease rates for organizations using City facilities FY 2026 and FY 2027 amounts are projections from the LRFF Fiscal  Year HSRAP Grant Avenidas +  PACCC Other General  Fund Human  Services  Funding  Total  Funding 1% GF ATTACHMENT AItem 1 Attachment A - Human Services and Other Funding        Item 1: Staff Report Pg. 6  Packet Pg. 10 of 11  FY24-25 HSRAP Priority of Needs The following list delineates the funding priorities for Fiscal year 2024-25. Services listed in the identified areas of need will be considered for funding. Services listed under basic needs may be requested for any demographic. Basic Needs •Food/Nutrition •Housing •Mental Health •Emergency Assistance •Health Care (Physical and Dental Care) •Transportation •Digital Inclusion LGBTQ + issues including gender identity and expression Homelessness •Outreach •Day Services •Case Management •Social Services Seniors •Social Service •Legal Assistance •Elder Abuse Prevention Special Needs Children: Early Intervention Respite Care Recreational Activities Adults: Day Programs Mentoring Programs Recreation Programs Children & Youth Programs & Services •Early Care & Education •Youth Well-being •Counseling •Children/Youth Programs •Tutoring Social Services Coordination Encourage collaboration, coordination, and exchange of ideas among agencies ATTACHMENT BItem 1 Attachment B - FY24-25 HSRAP Priority of Needs        Item 1: Staff Report Pg. 7  Packet Pg. 11 of 11