June 9, 2017
TO:
Honorable Mayor and City Council Members
FROM:
Patrick Wiemiller, City Manager
SUBJECT:
City Manager’s Weekly Report
The following is a summary of certain City events and activities of interest submitted by the
Department Heads for the week of June 3, 2017 through June 9, 2017:
Administration
I attended the regular Lompoc City Council meeting, which included a budget session.
I attended a farewell dinner at Vandenberg Air Force Base for retiring base commander Col. Chris
Moss.
I responded to City Council requests including personally investigating a permit application at the
American Legion Hall, repair of the POW Flag at the City’s H Street entrance, and water runoff
coming from the Pine Street Car Wash.
I ordered a clean-up of the west side of G Street, from North to College Avenues. There has been
a significant accumulation of trash, mud, and weeds, in the gutters and on the sidewalks. The
problem has been exacerbated by the inability of street sweepers to gain access due to heavy
parking. No parking signs will be posted a couple days in advance of the clean-up … hopefully
all citizens will cooperate and no towing of vehicles will be necessary.
I attended the special Lompoc City Council meeting that was a budget session.
I attended the Change of Command ceremonies for the base command at Vandenberg Air Force
Base.
Economic & Community Development
Economic Development
Participated in meetings and events and made progress on projects including:
 Budget
 Parks & Recreation Divisions Monthly meeting
 Conceptual Review of new apartment complex
 Economic Vitality Forum subcommittee meeting to plan event for January 2018
 Met with new business in development process
 Online demonstration of economic analysis software
 Business Visitation to YMCA to learn about their business and experience with the City of
Lompoc
 Economic Vitality Award presented to Blue Sky Property Management for their expansion
to Lompoc from the Santa Ynez Valley
 Airport meeting to discuss opportunities to promote economic development opportunities
to business execs flying into our airport
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Conference call with Economic Alliance and regional partners to respond to UK Division
of Internal Trade query
Preparing for next Tune In Lompoc episode
Preparing periodic ED report for Council presentation on 6/20
FB updates
Community Development
CDBG – Entitlement Status & City Program Income:
2016-17 All activities set-up in IDIS and funded; processing drawdowns as each month is
balanced by Finance; draws through February expenses completed to date; March draw received
from Finance 6/5.
CDBG Single Audit – worked with auditor on documentation and information requested week of
6/5-6/9.
2017-18 Draft Annual Action Plan – approved by City Council 5/16 (due to HUD 8/16/2017);
awaiting final grant amounts expected 5/31; followed-up by email with HUD representative on 6/5,
2017 CDBG amounts not announced (as of 6/8).
Drafted Administrative Manual to TG for review and input (6/5).
State 92 HOME:
Submitted all required documentation and program information to State HCD (4/26) for program
implementation of HOME TBRA (Security and Utility Deposit Program) start up (estimated start
7/1); awaiting response from State HCD; followed-up by email with HCD representative on 6/5
awaiting response.
Lompoc Affordable Housing Trust Fund (LAHTF):
Homebuyer Assistance Program (HAP) – 4 households closed escrow; 6 families’ income certified
(in housing search); 1 purchase in escrow; presentation to City Council at 5/16 meeting; TAP TV
(English/Spanish) commercial for program recorded 6/2.
CDBG Capital Projects:
2016-17 CDBG Capital Projects
Lompoc Parks & Facilities ADA Improvements (Phase I – Feasibility Study) $254,768 – DPSII
first review of all feasibility study reports with consultant scheduled for 6/13.
Catholic Charities MERG/ERG Program $35,000 – received information from Catholic Charities
that they have 6 projects underway.
Economic Development Loan Program:
Confirmation of job creation from Solvang Brewing submitted and review completed; submitted
request to borrower to finalize the certifications, awaiting response from Mr. Refrow to schedule
meeting to collect remaining information.
Façade Loan / Rebate Program:
Program drafted, will take to City Council 7/18.
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Residential Rehabilitation Loan Program:
Maxwell $50,000 - work scheduled to begin 6/15; contacted by borrower that contractor has
pushed start date back, expected work to begin 8/1, evaluating project to re-bid with different
contractor.
Fragosa $50,000 - Borrower has still not cleared his garage to allow for start of work. Will be
sending letter to cancel loan if work not started by 7/1.
Human Services Commission:
Regular meeting held 6/6.
Utility Billing Inserts prepared for June billing.
Miscellaneous Items:
Habitat for Humanity – Update presented to City Council during closed session; met with new
Executive Director this week to find an alternative to the original proposed project and/or recapture
of funds; Habitat would like to proceed with renovating the existing unit, provided information to
determine if they have the capacity. Will meet again once new ED is ready, before 9/1.
Annual Compliance Report – Annual Compliance Report due to City Council second meeting in
July. All inspections completed, compiling response letters to property owners this week (6/9).
T Street Apartments – Received request from Housing Authority for amendment to Regulatory
Agreement.
Responded to Housing Authority (5/30), requested substitution regulatory
agreements be prepared by City Attorney’s Office (6/5).
Homeless Special Meeting of City Council – attended 5/23.
Trainings – participated in CDBG Best Practices for Project Creation webinar 5/23 and attended
DIR Public Works training 5/25.
Budget – attended department budget review meeting 6/1.
2020 Census – Grant Technician attended meeting on behalf of division 6/5.
Division staff attended Family Service Agency Community Reception and Ribbon Cutting 6/6.
Successor Agency:
1404 & 1408 W. College Ave. – Sale being finalized, release of regulatory agreement for escrow
being researched and prepared by Anne Lephar in Joe Pannone’s office.
518 N. T St. – Sale finalized, sale proceeds received.
Planning
Staffed a pre-conceptual meeting for the Third Street Apt project, a 24-unit complex on South
Third Street.
Code Enforcement
Weekly CE activity from Thursday, June 1, 2017 thru Wednesday, June 7, 2017:
 Cases opened:
17
Cases closed: 13
 Sites inspected:
46
 Cases referred to the City Attorney’s office: 1
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Public Information Office/Community Relations
Earned Media for Week of 5-30 to 6-8
Press releases sent: Lompoc Recreation Adult Basketball League Now Registering, Lompoc
Apartment Fire Being Investigated, One Injured In Lompoc Garage Fire, Firefighters Rescue Dog,
Law Enforcement Torch Run Comes To Lompoc, Lompoc To Hold Special City Council Meeting
On Budget, Lompoc Summer Reading Program Kicks Off
Total media/published stories this period: 13
Facebook post engagement 6-2 to 6-8: 1,490
Facebook reach 6-2 to 6-8: 3,206
Projects:
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Posted news and events to social media channels- basketball teams registering, fire-safe
yards, Legally Blonde auditions, drought resistant landscaping workshop, apartment fire
video share, community volunteer opportunity, community walk, bookmobile job
opportunity, Lompoc Pride special section, rec manager highlight, family services center
ribbon cutting, dog rescued from fire, torch run, city council budget meeting, summer
reading program, LifeCycle at Ryon Park, congratulations to graduates.
Promoted city events on radio
Attended budget meeting and council meeting, and handled media relations concerning
meetings
Website redesign selection process
Media relations for fire in Lompoc
Attended and promoted Family Service Center ribbon cutting
Promoted LifeCycle in Lompoc
Recreation:
Aquatics:
This week there are five private rentals scheduled, with a combined total of 220 people in attendance.
Summer Recreation Swim is being offered daily from 1pm – 3pm, and Tuesday & Thursday evenings
from 7pm – 9pm. June swimming lessons continue this week, with over 200 sign ups.
Facilities:
There are six facility rentals at the Anderson Recreation Center, one at the Civic Auditorium, seven at
the Dick DeWees Community & Senior Center and 12 park rentals.
LGSA will have all-star practices Monday through Friday at Thompson Park and LVMS.
Dick DeWees Community and Senior Center on Saturday, June 10, 2017 will have a wedding
reception with 160 people.
Anderson Recreation Center on Saturday, June 10, 2017 will have a wedding reception with 225
people.
On Sunday there will be a Church Rental both at the Dick DeWees Community & Senior Center and
the Anderson Recreation Center.
Anderson Recreation Center will have sports rentals in the Gymnasium Sunday through Friday.
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Civic Auditorium will have a rehearsal starting Saturday through Friday.
Adult Sports:
Summer Adult Softball League starts next week with Men’s games on Thursday and Coed games on
Sunday at Thompson and Ryon fields.
Youth Sports:
The Cabrillo Youth Sports Camps start next week with Wrestling and Volleyball at CHS and Soccer at
River Bend Park.
Youth/Adult Classes:
Adult Classes: Aerial Yoga, Dance Fitness, and Stretch and Relax start their June sessions.
Youth Classes: Twirling Tots, Karate, and Kendo classes continue their June sessions.
Jr. Firefighter Camp will be held this week starting Monday, June 12th through Thursday, June 15th at
Lompoc Fire Station #1. The camp features fun interactive training for kids ages 7-10 to include
rappelling, station tours and a kitchen fire demo. The camp ends with a nice surprise for the campers
– a dessert social and a bucket brigade.
Wonderful Watercolors will be held at the Anderson Recreation Center on Monday and Tuesday, June
12th and June 13th. The course goes over basic watercolor techniques including watercolor washes,
landscapes and other fun exercises.
Special Events:
The first series of Movies in the Park will be held on Saturday, June 10th at Ryon Park. The event will
feature kid’s games, concession food for sale and of course a free movie! The movie featured will be
“The Sandlot”.
Tickets are now available at the Anderson Recreation Center for the 4th of July Firework Spectacular
held at the Huyck Stadium.
Vehicle Rentals:
The bus is rented for private transportation to and from Long Beach on Friday and Monday. The bus
is also rented Saturday for a private wine tasting excursion.
Seniors:
Senior programs continue this week at the Dick DeWees Community & Senior Center with Duplicate
Bridge, Tea Leaves and Strength Training.
Fire Department
Calls for Service
Lompoc Fire Department responded to 68 emergency calls/requests for service during this
reporting period. The following information represents a basic overview.
Fires:
1 report of fire during this reporting period: a structure fire with injuries
EMS:
Total of 48 EMS responses during this period.
During this period AMR was able to respond to all requests for service except 2.
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Vehicle Accidents:
Total of 5 this period that required FD response, one with injuries.
Service Calls, Good Intent & False Alarms:
Total of 17 this period.
Citizen assists:
The Department provides service to our citizens on a daily basis. Some of these requests do not
fall under a specific service category however are at times worth reporting.
We responded to 1 citizen assists this reporting period to provide help to some of our citizens
(non-EMS).
Concurrent Requests for Service:
The department routinely receives simultaneous calls for service. In most cases Fire Department
units are able to clear and immediately respond with minimal delay. During this period we received
13 calls for service during periods when two of our three units were committed. The Rescue
Squad continues to play a key role in our response program and has reduced reliance for outside
aid, other than first alarm type calls, to almost zero.
Automatic/Mutual Aid:
The department enjoys a very positive relationship with our neighboring agencies and we routinely
call on each other for assistance.
During this reporting period, the department responded to 2 requests for automatic/mutual aid to
County Fire. The department received 2 requests for automatic/mutual aid from County Fire or
VAFB
Prevention Activities/Community Risk Reduction
The department is committed to the safety of our business community and protection of our
community’s economic vitality. The provision of fire prevention inspections by our engine
company crews is the backbone of the program. During this reporting period, crews conducted 0
inspections in addition to emergency call load, training hours, and public education engagements.
Public Education:
0 during this reporting period.
Fire Marshal Activity:
 Presented at the City Council Meeting the weed abatement public hearing staff report for a
nuisance abatement resolution, which passed 5-0.
 Safe and sane fireworks sales safety meeting conducted Wednesday evening with 54 persons
in attendance.
 Site inspector for a 55 foot monolith plan review for comments.
 Responded as Safety Officer for a structure fire.
 Incident management team meeting for the Santa Barbara County Type 3 team quarterly
meeting at Allan Hancock College.
 4th of July pyrotechnic vendor coordination with Recreation initiated.
 Arson task force meeting at the Santa Barbara District Attorney’s Office.
 Plan review 5 projects, approved with conditions.
 New business inspection for an office building. Fire clearance granted. Plan review for a
resubmitted plan, corrections.
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Reviewed the TUP and commented for the Dog Show.
Reviewed 59 false alarm calls in Fire Recovery USA, confirmed the valid false alarms.
Read, reviewed, and edited 24 draft claims for cost recovery for emergency responses. 4
sent for billing.
Emergency Medical Technician training class for 4 hours for continuing education.
Conceptual review for a new 24-unit apartment building. Comments provided to customer for
Building and Fire.
Attended the special City Council budget meeting Thursday evening.
Spoke with a fire alarm company on what is and what is not required for an Ansul hood system.
Invoice review for contract building services.
Life Cycle AIDS site inspections.
Fire investigation on a residential structure fire in progress from a garage fire.
New business inspection of a boutique shop. Fire clearance granted.
Plan review completed for a small local winery.
Building Official Activity:
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On leave this reporting period.
Contract Building Inspector Activity:
 Attended an 8-hour ADA Accessibility Training Class in Santa Barbara, with JAS Pacific
sponsoring the training to attend.
 Arranged an inspector to cover the city during the above training class.
 Assisted the Fire Marshal with a new business small office inspection.
 Collected information from inspection phone line and compiled the daily inspection sheet.
 Entered all inspection dispositions in TraKit to record results.
 Covered counter for Permit Technician during lunch hour when inspection schedule allowedtwo days.
 Sent follow up emails to customers with project specific details.
Building Inspection Totals:
 Total Building Inspections - 68 performed.
Permit Technician Activity:
 (17) Permits Issued
 Managed (14) Plan Reviews (Initial/On-Going)
 Returned (4) plan set to architects/contractors/owners for correction or permit issuance
 Received (10) plan sets for plan review
 Building Counter Management – assisted 32 walk in customers for building
 Mail distribution
 Assisted customers of the City of Lompoc to appropriate depts
 Assisted Building Inspector(JAS)/ Building Official in counter management and plan reviews
due
 Provided permit history for (8) properties
 Plan review set-up in Trackit for (10) plan sets submitted
 Processed (5) request(s) for inspection
 Processed (2) Fire Inspection form(s)
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Provided plan review status updates for (4) projects
Signed off (2) City Clerk forms for the purpose of BTC’s
Discussed late plan review(s) with (1) departments
Shipped red-lines to architect representing Starbucks on Ocean
Phoned in Gas Release for Hilton Gardens and Massage Yee
Completed Dodge Data Statistic card for May 2017
Submitted May 2017 monthly permit report to Finance (D. Albro)
Faxed approved extension letter to Embassy Suites contractor for completion of column
repair
 Researched archived floor plans for (5) wineries at direction of Associate Planner
 Submitted May 2017 printer/copier report to Chaparral Business Machines
 Assisted customers of the City of Lompoc to appropriate departments:
o Code Enforcement = 5
o City Clerk = 2
o Planning = 9
o Utility Conservation = 3
o Building = 44
o Housing Authority = 1
o Economic Development = 2
Highlights:
 Weed abatement list reduced from over 90 lots to 12. Significant compliance from extensive
outreach.
Items of Interest:
 Fire Camp begins next week
 Increased training for upcoming Engineer test per Department’s succession plan.
Library
General
Reading by Design: The Summer Reading Program started on June 9th for all ages. Check out
the library’s website and Facebook page for more information. There are free programs and prizes
for everyone to enjoy. Thanks to all of the community sponsors and the Friends of the Lompoc
Public Library System for funding the amazing programs and prizes!
Meetings
The library directory attended the Library Foundation meeting on Thursday, June 8th. The director
also attended the special budget meeting that same evening.
An all-staff meeting was held on Friday, June 9th.
Programming
Children’s:
During the summer months, the Lompoc Library offers Family Storytimes on Mondays and
Tuesdays at 10:30am. Preschool storytime will resume in September.
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Paws to Read, where children can read to specially trained therapy dogs, will continue on
Mondays from 3 to 4:30pm through June and July.
The Village Library offers Family Storytimes on Wednesdays at 11am.
Bilingual storytime is on Wednesday, June 14th at 11am. Listen to songs, stories and rhymes in
English and Spanish.
SRP for Kids, Wednesday June 14th at 2pm on the Lompoc Library lawn and Thursday June 15th
at 2pm at the Village Library: Zoo to You, meet and greet the animals with Conservation
Ambassadors.
The Family Movie on Friday, June 16th at 2pm is The LEGO Batman Movie. Free popcorn
provided.
SRP for Kids, Saturday, June 17th at 3pm: Juggler David Cousin.
Adults:
Movie Monday will be La La Land, on June 12th at 2pm in the Grossman Gallery. Come for the
popcorn, stay for the movie.
SRP for Adults, Monday June 12th at 5:30pm in the Grossman Gallery: Makeup by Design, learn
great makeup tips and enjoy a free makeover.
SRP for Adults, Thursday June 15th at 2pm in the Grossman Gallery: Scrabble Afternoon.
The Adult Coloring Club will meet on Thursday, June 15th at 5:30pm.
Stats
Over the last week, the youth department presented four different programs, with an attendance
of 79 children, teens, and families.
Seven teens attended Volunteer Orientation on Monday, June 5th.
Xochitl Rocha, Youth Services Manager, spoke at Fillmore Elementary on Wednesday, June 7th
to over 46 3rd graders about Summer Reading, library programs and resources. She also
conducted a tour for 52 2nd/3rd graders from Fillmore on Tuesday, June 6th.
Eight adults attended Movie Monday this week.
DID YOU KNOW Children and teens who read at least five books over the summer retain and
enhance their reading skills while they’re away from the classroom. Join the Summer Reading
Program today!
Management Services
Following you will find a brief summary of this week’s activities of the Management Services
Department:
 The City received its latest quarterly rebate for the use of the City’s p-card system. The
check, in the amount of $5,589 is the largest of the year and of the City’s participation in
the program. It is almost 20% greater than the rebate received last quarter.
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Finance staff met with the City’s property insurer regarding the upcoming September 1
policy renewal on June 5.
The reconciliation and posting of April 2017 activity in the City’s finance system was
completed on June 7, a full week before the 45 day target for closing.
Financial Management Software conversion training sessions continue this week with
sessions on General Ledger maintenance and reporting on Tuesday, Budget module
maintenance and reporting on Wednesday, and Purchasing training on Thursday.
Finance staff attended the regular City Council meeting on Tuesday, June 6.
Finance staff attended the special City Council budget workshop on Thursday, June 8.
Finance staff met with Park staff regarding service levels, appropriations, and rental
capacity at various parks.
Graduation ceremonies were held on June 8 for both Lompoc and Cabrillo High Schools
affecting several departments in the City.
The Management Services Director will be out of the office beginning June 7 returning to
the office on June 19. The Financial Services Manager will be the Department’s contact
during from June 7th to June 16th.
The City processed $316,981 of vendor payments the week of June 9, 2017.
Following you will find expanded information regarding activities of the Management Services
Department and select economic news affecting the City:
 The week’s economic news, more fully reported below, include:
o Jobless Claims for the week of June 3, 2017.
Management Services staff are scheduled for upcoming activities highlighted below:
 Finance and Administrative staff will meet with the LPOA bargaining group on June 15
and with the IBEW group on June 21 as part of the ad-hock group reviewing health plan
options beginning in 2018.
 The executive team overseeing the Financial Management System conversion holds
regular status conference calls with Tyler Technologies every other week. The next call is
scheduled for June 12. A single training session is being held on June 16.
 A webinar is scheduled on June 12 in anticipation of upcoming IRS payroll regulation
changes related to annual reporting of compensation.
 The Accounting and Revenue Manager will attend the DAT scheduled on June 13.
 A webinar is scheduled for June 14 covering “Protecting Your Agency for Fiduciary
Lawsuits on Retirement Plans” for deferred compensation plans.
 With the reconciliation and posting of April 2017 activity in the City’s finance system on
June 7, staff have begun the process of finalizing the process for May 2017. The target
date for finishing the process for May is July 17, 47 days from May 31.
 Finance staff will meet with Public Works staff regarding vehicle registration system
implementation.
 The next regular meeting of the Central Coast Chapter of the CSMFO is scheduled for
July 13, 2017 with the City’s third party actuary consultant presenting the program on
CalPERS pension and retirement challenges.
 The City’s external, independent auditor, Glenn Burdette has scheduled the bulk of its
audit fieldwork for the week of October 9, after completion of the financial closing process
and preparation of the City’s financial statements.
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Finance
The budget presentation made at the City Council meeting can
http://www1.cityoflompoc.com/councilagenda/2017/170502/SPBiennial01.pdf.
be
found
at
Budget documents, including prior budget documents such as the FY 2015-17 Cost Allocation
Plan document, can be found at: http://www.cityoflompoc.com/ManagementServices/finance/
under “Annual Budget Documents” and then under “Previous Years”.
The City processed $316,981 of vendor payments during the week ending June 9, 2017. A
payment to Aleshire & Wynder of $71,161 was processed this week for services.
This is the “timesheet” week for the biweekly payroll cycle ending June 9, 2017. This payroll is
the 12th payroll period of 26 payroll periods for calendar year 2017 and the 26th of 27 payroll
periods for the fiscal year ending June 30, 2017. The next 27 pay period fiscal year will occur in
2028.
The Finance Division continues to work with the City’s attorney office to continue to process bond
documents related to refinancing existing bond debt and the creation of a Community Facilities
District for a developer. As part of the process to refinancing existing bond debt, the City
requested the California Water Resources Control Board (CWRCB) on April 25, 2017 to authorize
the subordination of the City’s State Revolving Loan Fund financing. This authority is required in
the event of refinancing of the City’s wastewater bonds. The CWRCB has been reviewing City
documents related to the request.
Reporting and payments for April activity for Transient Occupancy Tax (TOT) and Lompoc
Tourism Business Improvement District (LTBID) were due (or postmarked) by May 31, 2017. All
payments for April were received by the City by June 9, 2017.
The City had $48.6 million of pooled cash and investments in actively managed instruments as of
May 26, 2017 along with $15.4 million held in the State’s Local Agency Investment Fund (LAIF).
The City’s treasury management team may decide to move additional funds to its LAIF fund in
the event appropriate investment opportunities are unavailable. Treasury management will
continue to review opportunities for future investments but will be judicious. While additional funds
will soon be available, the current market yields are not as favorable as in the spring of 2017.
Recent quarterly investment reports, including the quarter ending March 31, 2017, can be found
at: http://www.cityoflompoc.com/ManagementServices/finance/. See below for the current yield
for LAIF.
The City was notified in July of the availability of the current CalPERS (California Public
Employees’ Retirement System) annual contribution valuation reports for the five active plans for
City employees. The reports provide the City’s contribution requirements for the 2017-18 fiscal
year: The Employer’s Unfunded Accrued Liability (UAL) due and Employer Normal Cost rates for
the plans are as follows:
Tier 1, 2 & 3 - Miscellaneous Plan:
Tier 1 – Safety Plan:
Tier 2 – Safety Plans:
Tier 3 – Safety Plans:
Total
$2,642,309
$1,414,773
$0
$3,355
$4,060,437
10.504%
20.310%
18.487%
12.729%
By prepaying the UALs prior to August 1, if authorized with the approval of the City’s biennial
budget in June, the City will realize $144,203 of savings as it would pay $2,548,469 for the
Miscellaneous Plan, $1,364,529 for the Tier 1 Safety Plan and $3,236 for Tier 3 safety plans. The
prepayment option is included in the draft budget to secure current year savings effective July 1,
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2017.
The estimated UAL amounts due for all plans for 2018-19 is estimated to be $4.9 million and the
total due for all plans for the 2017-19 biennial budget is $8.9 million. As discussed at the May 2,
2017 City Council meeting the UAL amounts due will increase over the next several budgets and
it is estimated the City’s contribution to CalPERS will be $28.2 million by the 2025-27 biennial
budget cycle due to the decision to reduce the CalPERS discount rate, discussed below.
Following is a graph from the May 2, 2017 City Council presentation showing the projected trend
in contribution payments to CalPERS:
Total City Contributions as a % of projected salary
2004-2048
70.0%
60.0%
50.0%
40.0%
30.0%
20.0%
10.0%
Miscellaneous Plan
2047-48
2045-46
2043-44
2041-42
2039-40
2037-38
2035-36
2033-34
2031-32
2029-30
2027-28
2025-26
2023-24
2021-22
2019-20
2017-18
2015-16
2013-14
2011-12
2009-10
2007-08
2005-06
2003-04
0.0%
Safety Plans
The full actuarial reports for the City’s Safety and Miscellaneous plans are available on the
CalPERS website at: https://www.calpers.ca.gov/page/employers/actuarial-services.
The CalPERS system recently changed their contribution formula to include a lump sum for the
UAL component and a percentage of pay for the employer normal cost. This change was effective
with the 2015-17 biennial budget cycle for the City’s Safety plan and will be effective with the
2017-19 biennial budget plan for the Safety plan and the Miscellaneous plan. However, the
historical total cost is still represented as an estimated percentage amount. For the City’s Tier 1
Safety Plans, the estimated employer contribution rate is estimated to be 52.258% for the 201718 fiscal year (page 4 of the CalPERS actuarial valuation for the City’s Safety Plan as of June 30,
2015). This compares with a contribution rate of 33.13% for the 2013-14 fiscal year (the year
before the City implemented a second tier for Police and Fire). For the City’s Miscellaneous Plan
(all tiers are combined for the Miscellaneous Plan as it isn’t pooled with other groups), the
estimated employer contribution rate will be 26.215% for the 2017-18 fiscal year. This compares
with a contribution rate of 19.797% for the 2013-14 fiscal year (the year before the City
implemented a second tier for Miscellaneous employees).
On December 20, 2016, the Finance and Administrative Committee of CalPERS voted to reduce
its expected rate of return from 7.5% to 7.0%, in three annual steps, each step phased in over
five years. The action was affirmed by the full CalPERS Board of Directors on December 21,
2016. This action is in addition to the CalPERS Board action to reduce the system’s expected
rate of return to 6.5% incrementally in years when the actual rate of return exceeds the expected
rate of return. The first year of implementation of the 1/2% reduction for all Cities (all “Public
Agencies”) in CalPERS will be FY 2018-19. FY 2018-19 is the second to final year of the phased
implementation of CalPERS’ former smoothing methodologies. Once the reduction of the
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discount rate to 7.0% is fully implemented in FY 2024-25, the City estimates our Safety Plan’s
UAL contributions will be $3.2 million compared with $1.2 million for the FY 2016-17 contribution
and the Employee Normal Cost will be 2.7% greater than the Normal Cost in FY 2016-17.
Similarly, the average Miscellaneous Plan’s UAL contribution is estimated to be $6.1 million in FY
2024-25 compared with $2.3 million in FY 2016-17 and the Employee Normal Cost will be 0.2%
greater than the Normal Cost in FY 2016-17. An independent review of the City’s plans estimates
the City’s overall contribution rate for Safety plans will be 41.5% for FY 2017-18 and 46.1% for
FY 2018-19. Similarly, the Miscellaneous plans are estimated to be 26.2% for FY 2017-18 and
29.3% for FY 2018-19. Once the 7.0% expected rate of return is fully implemented (2024-25),
the Safety plan contribution rate is anticipated to be 64.1% while the Miscellaneous plan’s
contribution rate is anticipated to be 40.9%. The independent estimates are based on the same
actuarial assumptions as used by CalPERS and the currently known adopted policies of
CalPERS. All percentages use are percentages of salary. CalPERS is preparing for a review of
their funding policies in 2018. This review could result in additional cuts to the discount rate below
7% with a corresponding increase in contributions by participating agencies.
On January 12, 2017, CalPERS generated the City’s 2016 valuation report for the City’s
Miscellaneous Plan required for Governmental Accounting Standards Board (GASB)
Pronouncement No. 68. The report is a required component of the Annual Financial Statements
to be produced for the fiscal year ending June 30, 2017. The report does not affect the amount
of CalPERS contributions required to be paid by the City. In the City’s report, the following
historical returns attained by CalPERS were published:
Fiscal Year
93-94
95-96
97-98
99-2000
01-02
03-04
05-06
07-08
09-10
11-12
13-14
*
*
*
*
*
*
Investment Return
2.0%
15.3%
19.5%
10.5%
-6.1%
16.6%
11.8%
-5.1%
13.3%
0.1%
17.7%
Fiscal Year
94-95
96-97
98-99
2000-01
02-03
04-05
06-07
08-09
10-11
12-13
14-15
*
*
*
*
*
*
*
Investment Return
16.3%
20.1%
12.5%
-7.2%
3.7%
12.3%
19.1%
-24.0%
21.7%
13.2%
2.4%
The * shows the period where returns exceeded the expected return of the CalPERS system (12
of 22 years and 4 of the last 6 years). The 2015-16 return has not yet been published. The
current growth of the DOW for the 16-17 year is approximately 17%. The average annual return
since 1993-94 is 8.44% through 2014-15.
Reporting:
In the last 5 years, the City has taken several steps to mitigate the City’s pension obligation over
time. Examples of the steps include:
 Establishment of second tier retirement programs for all new full time employees
beginning in 2011.
 The State’s enactment of the Public Employees’ Pension Reform Act (PEPRA)
established third tier retirement programs for all new employees (that are new to CalPERS
membership) hired after December 31, 2012.
 Employees hired under the PEPRA plans are required to pay 50% of the Normal Cost for
their plan. The 50% of Normal Cost is currently 6.25% of covered salary for miscellaneous
employees and 12.25% for safety employees.
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In the current budget, City Council authorized the prepayment of the annual City
contribution for the pooled Safety plans. The prepayment is a discounted amount resulting
in cash savings during the fiscal year and was paid in July, the month due, for FY 201617. The City will have the opportunity to prepay the annual contribution for the agency’s
Miscellaneous plan beginning with the 2017-18 fiscal year once the City’s budget is
adopted.
The City will continue to realize normal cost savings as employees in Tier 1 retire or
otherwise leave employment and are replaced with hires enrolled in Tier 2 or the State
enacted PEPRA tier. Since the implementation of Tier 2 and the PEPRA Tier, 136
employees have been enrolled in Tier 2 or the PEPRA Tier of the 391 authorized positions
eligible for retirement benefits.
The original projection for membership levels in the new tiers was that 50% of the
workforce would be in alternate tiers 10 years following the implementation of the second
tiers or 25% by the end of 2017. There are currently 136 employees enrolled in Tier’s 2
or 3 and 226 employees in Tier 1 for both the Miscellaneous and Safety plans. 38% of
the City’s active workforce is now in more sustainable pension programs.
Economic indicators:
The Engineering News Record’s Construction Cost Index (ENRCCI) estimate for May 2017 was
published in ENR’s April 25 publication. The annual rate published for May is a 3.7% growth rate
while the monthly rate for May is a 0.1% growth rate. The May rates compare with April’s annual
rate of 3.9% and monthly rate of 0.1%. The April ENRCCI is the basis for the City’s annual
increase in development impact fees effective July 1. The June 2017 ENRCCI is scheduled to
be published the week of June 5, 2017.
The Auditor-Controller of Santa Barbara County provided estimated distribution numbers for the
City’s tax increment of the former Lompoc Redevelopment Agency. The estimate of the City’s
share of pass-thru and residual payments is $207,732 that is scheduled to be remitted to the City
in June. With the June payment, the total tax increment received by the City will be approximately
$396,878. The estimate is $77,920 greater than projected in the 2015-17 budget for this revenue
stream.
The City receives property tax and property tax related distributions roughly twice a year following
the deadlines for payments by taxpayers, December 10 and April 10. The Auditor-Controller
distributes payments to taxing entities after the Santa Barbara County Treasurer-Tax Collector
finalizes each payment cycle. In May, the City received notice and payment of two significant
distributions by Santa Barbara County. The second regular distribution of property tax and the
related payment of property tax in-lieu of vehicle license fees was received and posted by the City
on May 1, 2017. $1,475,877 of secured property tax, $1,653,517 of property tax in-lieu of vehicle
license fees, and $13,807 of other property taxes were received; a total of $3,143,201. This
uneven distribution of tax revenue will not be included in the City’s monthly cash reports until the
May period is reconciled and posted. The targeted and anticipated date for that action is 45 days
from May 31 or July 17, 2017.
The IRS published the mileage reimbursement rate for 2017 at the end of December 2016. The
rate of 53.5 cents per mile is 0.5 cents lower than the 2016 rate of 54 cents per mile.
The US Department of Commerce’s Bureau of Economic Analysis (BEA) announced the second
of three estimates of 1st quarter 2017 gross domestic product (GDP) on May 26, 2017 of 1.2%.
This second estimate compares favorably with the first estimate of 0.7% annualized growth. The
0.7% annualized growth was the weakest growth since the last recession. Gross Consumer
Spending, a component of GDP, grew at an annual rate of 0.6% for the quarter; significantly lower
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than the prior quarter’s growth of 3.5% but double the 0.3% growth reported for the quarter in the
first estimate. The 4th quarter 2016 GDP was 2.1% and the 3rd quarter 2016 GDP was 3.5%. The
third and final estimate for the first quarter of 2017 is scheduled to be released on June 29, 2017.
The US Department of Labor’s Bureau of Labor Statistics (BLS) published the April Consumer
Price Index (CPI) on May 12, 2017. The All Urban Consumers, seasonally adjusted CPI monthly
change increased 0.2% in April following a decrease of 0.3% in March that followed an increase
of 0.1% in February over January. The annual unadjusted CPI increased 2.2% in April 2017 over
April 2016. This increase compares with a 2.4% increase in March 2017 over March 2016, and
a 2.7% increase in February 2017 over February 2016. The 2.7% increase in February 2017 was
the highest since March 2012. BLS will publish the May 2017 CPI on June, 14, 2017.
The May Employment Situation news release by BLS was published on June 2, 2017. The June
release announced unemployment for May of 4.3%. April 2017’s unemployment was 4.4% while
March 2017 was 4.5%. The June Employment Situation news release announced job growth of
138,000, below expectations, for May 2017. April job growth was 173,000, revised from an initially
reported 211,000 and March job growth was revised to 79,000 from 89,000. California’s
preliminary unemployment rate for March 2017 is 5.1% following a February 2017 rate of 5.2%.
Santa Barbara County’s April unemployment rate was 4.0% a drop from 5.2% reported in March.
February’s rate was 5.5% while January’s rate was 6.0%. The City of Lompoc’s April
unemployment rate was 5.3%, a drop from 6.8% reported for March. The City’s February
unemployment rate was 7.2% and January’s was 7.8%. The City’s unemployment rate has
dropped 2.5% since January. The June Employment Situation news release will be made
available on July 7, 2017.
The Local Agency Investment Fund (LAIF) apportionment rate for the 1st quarter 2017 was 0.78%,
up from the 4th quarter 2016 rate of 0.68%, and up from 0.60% for the 3 rd quarter 2016. LAIF’s
May yield was 0.925% compared with April yield was 0.884% and compared with the March yield
of 0.821%. The daily yield on June 6, 2017 was 0.95%, up from 0.80% on March 5 and up from
0.74% on January 4, 2017. LAIF’s monthly yield reached its historical low of 0.228% in June 2014
and was 0.26% for August 2014 while its quarterly distribution rate was also 0.26% in the first
quarter of 2015. LAIF’s June monthly yield will be published the week of June 5, 2017.
The weekly jobless claims was published on June 8, 2017 for the week ending June 3, 2017 and
reported by Bloomberg.com. Bloomberg.com reported new claims for unemployment increased
by 7,000 from the revised report for the prior week with a total of 255,000 new claims. This
increase follows a 13,000 increase last week. The four-week moving average decreased to
245,000 reported claims. The four-week moving average levels remain near the lowest reported
since the early 1970s and this was the first weekly increase since March. Filings have been below
300,000 for 116 straight weeks, also the longest stretch since the early 1970s. Continuing claims
for the week ending May 27 decreased by 2,000 to 1.92 million.
Police Department
The following summarizes events or trends with regard to the Lompoc Police Department for the
period beginning Friday, June 2, 2017 to Friday, June 9, 2017. There were a total of 816 calls for
service.
Notable Information
 Chief Walsh participated in the Girls and Boys Club Community Walk. Approximately
50 local youth signed up for the summer program through the Boys and Girls Club.
 Captain Clement attended POST Management course.
 Lompoc Police Department personnel participated in the Special Olympics Torch run
through the City of Lompoc.
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Chief Walsh and Captain Mariani provided a State of the Police Department address
to City Council.
Captain Mariani and Lompoc PD personnel attended the Allan Hancock Police
Academy graduation ceremony for Lompoc Police Officer Trainee Joshua Hernandez.
Chief Walsh attended the Cal Chief board meeting.
Upcoming Events LPD Will Attend
 Captain Mariani and City Human Resources staff will conduct the written exam and
physical agility test for Police Officer candidates at Allan Hancock College on June 10,
2017.
Public Works
Engineering
Manager’s Report:
The City Engineer attended various meetings including regular Staff Meetings, Special Council
Budget Hearing, and met with Council Member Mosby regarding the North County Subregional
Planning Committee Agenda. The Civil Engineering Associate III attended MicroStation CAD
Training in Huntington Beach all week.
Operations Highlights:
Advertisement for bids began for Project FY-13-T-1, Transit Transfer Center. Bids are due July
11. The Transit Transfer Center consists of construction of saw tooth bus stops at the intersection
of Cypress Avenue and “I” Street. The project will allow for coordinated transfers between the
various transit lines.
Fleet, Facilities, and Parks Maintenance
Manager’s Report:
The Manager reviewed Flower Festival and parade assignments with Parks Staff. He worked with
Recreation and Parks Staff for the reallocation of funds on the joint Mobile Stage Bid Specification.
He discussed grinding offerings for Riverbend Park and spoke with three (3) citizens regarding
Park complaints.
Maintenance and Operations Highlights:
Out of 348 general fleet equipment, eight (8) services were scheduled, six (6) completed, and two
(2) deferred.
Of the six (6) completed services, one (1) was completed in-house and five (5) were outsourced.
Communications Staff designed and fabricated parts for the Aquatic Center’s new audio system.
Twelve (12) Facilities Work Orders were performed this week with 100% completion performed
in-house.
Facilities Staff inspected an inoperable heater in the Police Department Jail.
All vehicle fire extinguishers were brought in for annual recertification and inspections.
Carbon monoxide detectors were inspected throughout all buildings.
Two (2) sections of the Beattie Park sidewalk were replaced.
Off-road mowing was performed along Seventh Street and Riverside Drive.
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Grounds maintenance was performed at Ryon Park in preparation for the upcoming Flower
Festival event.
Urban Forestry
Staff mowed weeds at the following locations: Along the Allan Hancock walking path, the Airport
frontage, and also along the East Olive Avenue and “V” Street Channel walking path.
Staff removed a dead Arbutus tree in front of the Solvang Brewing Company and then trimmed
the remaining trees.
Staff completed the removal of a Chinese Elm in the 100 block South “J” Street.
Staff removed a Liquid Amber on North “W” Street.
Staff trimmed a Privet tree in the 200 block North “Z” Street.
Staff sprayed weeds in all Ocean and “H” Street medians and in the “D” Street medians, as well.
Streets
The Construction Crew performed weed abatement from the Streets mowing list. They patched
at the 901 West Nectarine Avenue concrete job and off of the street and alley call-in listings. The
Traffic Safety Crew painted stencils. All Crews performed 1st of the month vehicle and equipment
checks.
COLT
Additional service runs to the Bridge House Shelter began on May 15. Ridership data for the first
two weeks of service show a ridership increase of 10-20 riders per week.
Airport
The Airport Apron Rehabilitation Project is on schedule.
Utilities
Water
The Water Division continued to monitor the water system 24/7/365; 30.2 million gallons of water
was treated (4.3 MGD) and released to the 41,267 residents of the City of Lompoc at 104.2
Gallons per Capita per Day (GPCPD). Residential water usage is approximately 79% of the total
metered production. Therefore, the residential GPCPD is 82.3.
In addition, 20 water bacteriological samples were taken to ensure the absence of E. coli bacteria
and that proper chlorine residuals were present throughout the distribution system. The Lab, with
assistance from Operations, has started the Water Plant’s annual water quality sampling required
by state regulations.
Staff continued valve exercising and hydrant maintenance. These programs are on-going. Crews
responded to various routine customer calls throughout this past week. Routine preventative
maintenance rounds and corrective work orders at the Plant and remote sites were performed.
This week, the Water Division is hosting a lab instrument training class at the Water Treatment
Plant. Using the Water Treatment Plant facility to host outside training provides staff with the
ability to attend the training at minimal or no cost and allows staff to stay in town during training,
eliminating travel time and expense.
Wastewater
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Operations and Maintenance:
 Crew have been cleaning all coils on the coolers for the blower building and the AC unit
atop the admin building.
 Received the new back flow prevention device for the incoming water line to the plant. The
current is failing.
 Corrosion control is ongoing on the pump supply lines and digester air supply system.
 Ongoing Preventive Maintenance task to plant equipment.
 Crew spent 2 days helping to trouble shoot and replace a pump at the highlands pumping
station.
Collections:
 Routine Cleaning Map #5.
 Camera work Map #19.
 Repairs to the Uplands lift station have been completed.
 No Sanitary System Overflows to report this week.
Other:
 Lab has completed proficiency testing.
 Pretreatment will conduct inspection and testing at Culligan, Aquatic Center and
Raytheon.
Electric
Electric line crews performed the 4kV to 12kV conversion project on L Street and North Avenue
and changed a faulty transformer on the 700 block of Summerwood Lane. Additionally, crews
prepared the alley between Lemon Street and North Avenue and continued the city-wide 12kV
line wash – this is a scheduled wash of all the city infrastructure to prevent electricity tracking due
to dirt and particulates. Line crews also performed updates to the underground infrastructure as
required.
Substation crews performed substation wash, replaced low-power meters and assisted line crews
with line clearance and hot line tag requests. Substation technicians also performed transformer
inspection and acceptance and continued with the weekly substation reads and required
maintenance at various electrical facilities.
Staff started a complete review of our distribution grid to further increase reliability and safety.
Additionally, staff performed database maintenance, mapping updates, reviewed pole loading
schemes and performed corrections as required for plans and projects.
Broadband
We began a generational replacement program for our backhaul radios. The replacements will
provide greater flexibility for the provision of service to customers.
Training and familiarization continues with our new hire.
Staff is continuing equipment firmware updates, this generally necessitates close monitoring and
need for small changes.
TAPTV
Staff received new replacement cameras. The first utilization will take place during the flower
festival parade.
Preparations and testing continue for the flower festival parade. Co-host decisions have been
made, staff looks forward to the addition.
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Staff has been putting in extra hours to broadcast the special Council meetings.
AMR
Implementation of additional network repeaters have reduced the number of missed reads by
three percent.
Meter shop staff have been equipped with needed computer equipment to make field work more
efficient.
Staff continues to refine the data collection process for the Frick Springs water system.
Solid Waste
On Tuesday, June 6, 2017, the Solid Waste Compliance Coordinator and Landfill Supervisor
performed the quarterly emissions testing on the landfill grinder, as required by the Santa Barbara
County Air Pollution Control District.
Also, on June 6, 2017, the Household Hazardous Waste Facility shipped a load of hazardous
materials with the City’s hazardous waste hauler, stericycle.
The total tons received at the landfill for the month of May 2017 were 4,293 tons, including trash,
recycle, and greenwaste. The total tons recycled were 987 tons and the total tons disposed were
3,306 tons. The landfill saw a 7 % decrease in trash tonnages for May 2017 over May 2016
tonnages.
Respectfully submitted,
Patrick Wiemiller, City Manager
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