Documenter: Dani Huerta

Here’s what you need to know:

  • A presentation was given by the Public Financial Management (PFM) regarding the Millennium Fund Investment Program. As of April 1st, 2021, the program value is $55.9 million and anticipates a 6% growth rate in GDP.

  • A presentation was given by the General Services Agency regarding Fiscal Year (2020/21) and proposing a five year Capital Improvement Plan. A few projects still underway are the Emergency dispatch relocation construction, Juvenile detention facility landscaping, and Resource management agency remodeling. The request to draw down $3.5 from the Millennium Fund was approved. 

  • The cost-of-living factor for the 2021/22 Gann appropriations limit calculations was approved to be 5.73% per capita of personal income.

Board of Supervisors

  • Larry Micari, District One

  • Pete Vander Poel, District Two

  • Amy Shuklian – Chair, District Three

  • Eddie Valero – Vice Chair, District Four

  • Dennis Townsend, District Five

  • Jason T. Britt, County Administrative Officer

  • Jennifer M. Flores, County Council

  • Melinda Benton, Chief Clerk

The Scene

The Tulare County Board of Supervisors meeting was held simultaneously both in-person and streamed via YouTube at 9 a.m. on August 17, 2021.

The meeting began with the pledge of allegiance and a moment of silence.

Actions

  • Board of Supervisors matters

    • Supervisor Townsend

      • On August 10th he had an interview with Hopper and had a discussion with the CEO of Sierra View medical center about COVID-19’s impact on them. On the 11th he attended a meeting along with Vice Chair Valero discussing plans for next year and attended the sheriff’s youth RV unveiling. On the 12th he attended a virtual town hall meeting of the California Insurance Commissioner’s Office at which they discussed challenges with getting insurance. He also moderated the question and answer period with Supervisor Tom Wheeler from Madera. Setton Pistachio in Terra Bella hosted a grand opening of their new office and Townsend presented them with a certificate of recognition. On the 13th Townsend attended the Tulare County Association of Governments meeting

      • In the coming days he will be going to the Rural County Representatives of California board meeting, Granite Hills High School in Porterville’s new career technical education facility, the Porterville Chamber of Commerce networking event, a drive-through dinner event in South Eastern Tulare County (SETCO). On Friday August 20th he will be at the Summer Soiree for Salt + Light. Saturday he will attend the Clampers’ celebration of the founding of Balch Park. He will also attend a graduation and recognition event of the Porterville Rescue Mission for homelessness and addiction. Lastly he will be at the Springville Rodeo.

    • Supervisor Micari

      • Last week he attended the California State Association of Counties training for new supervisors, a Zoom meeting with the insurance commissioner, and a homeless meeting

      • This week he will be at the Mineral King Cabin owners meeting, the East Kaweah Groundwater Sustainability Agency meeting, the Summer Soiree Salt + Light event, the Three Rivers community wildlife protection meeting, and will be preparing for the Kings County Farm Bureau golf tournament

    • Supervisor Valero

      • On July 31st Valero’s grandmother passed away at the age of 88

      • He previously attended the Fatherhood screening which he reported went well. On August 5th he helped with providing free haircuts and backpacks with the Wood Lake Family Resource Center and the Y.E.S. Camp Program. On the 6th he attended the Mi Familia Es Primero vaccination event in South Salinas and helped distribute cotton candy and nachos. On the 11th he welcomed the parenting network in Dinuba at their grand opening. On August 16th he met with the Chair of the State Water Board, attended the Tulare County Association of Governments meeting, the Tulare County Teachers Association meeting,and the Tulare County Regional Transportation Authority meeting.

      • This week he will have a well impact mitigation meeting with the community water center and a multi-agency youth intervention task force meeting through the Visalia unified School District and the Step Up Program

    • Supervisor Vander Poel

      • He attended the Risk Management Agency’s presentation on August 16th at Tulare County Association of Governments. This year Measure R revenues were up 22% which will result in many upcoming road projects.

      • He thanked the State of California for awarding Teviston about $4 million for their drought relief program

      • This week he will attend the Summer Soiree, the mural unveiling of Olympian Richard Torrez Jr. at the Bob Mathias Stadium at 7 P. M. on Saturday

      • Tulare County Employees Retirement Association preliminary returns for last fiscal year was 22.9% when it was assumed 7%. He believes it is important to add risk to the portfolio and that it will push them to meet the projection of the annual assumed rate of return

      • He and Townsend will attend the meeting of the Tulare County Employees Retirement Association and Board of Supervisors ad hoc committee meeting next monday at 10:30 A.M.

    • Madame Chair Shuklian

      • Last week she attended the Workforce Investment Board meeting, a medical press conference at the lifestyle center, an Animal Services advisory meeting, a webinar on homelessness. She says there is $12 billion coming from the state to help with homelessness but this is one-time money that needs to be used wisely.

      • On August 14th George Allen of the Mental Health Board passed away.

      • Shuklian also attended the Tulare County Association of Governments meeting and the Visalia City Council Meeting

      • This week she will attend an Air Board meeting, the San Joaquin Joint Powers Authority, and the Summer Soiree

  • This meeting only covered untimed items 21-24. Items 1-20 were approved by one motion but not discussed.

  • Presentation by the Public Financial Management (PFM) regarding the Millennium Fund Investment Program (Item 21)

    • Lauren Brant from PFM presented annual report on millennium program as of April 1st in-person

    • Recap history of the program 

      • In 1999 Tulare County issued $45 million of variable-rate demand bonds

      • In 2006 Tulare County refunded the original issue with a private placement which allowed the fund to reduce fees & established borrowing rate

    • Value of millennium fund annual update

      • As of April 1, 2021 the program value is $55.9 million. As of April 15 & 22, 2021 the total annual tobacco payments received is $4.91 million

    • Highlights as of April 1, 2021

      • Program value $55.9 million, Tulare County withdrew $3.5 million for capital expenditures, and bond payment total is $1.5 million

      • Earnings rate continues to exceed the borrowing rate. The program’s unwind value increased by $1.4 million last year

    • The programs’ favorable unwind position continues to increase. 

      • “Unwind position improved $1.4 mil during fiscal year 2020-21 to $26.1 million” according to the presentation

      • The US Treasury yield curve stipend during the year (ending with April 1, 2021) but shorter term yields remained low. Yields plummeted in 2020 due to the pandemic.

      • Dynamic sector allocation has changed to have less floating-rate corporate notes and more long term fixed-rate callable federal agency securities.This change was done in response to the pandemic. 

      • The portfolio return exceeds borrowing cost and as of June 30, 2021 market value is $58,970,892.

    • Current market outlook

      • The program anticipates a 6% growth rate in GDP. Troubles in Afghanistan and the Delta variant could affect the market. PFM plans to not see much change in short term interest rates because those are handled by the state.

      • Favor fixed rate investments instead of low-yielding short term investments

    • Supervisor Townsend questioned if “callable” means liquid. Brant’s response is that all securities are deemed liquid and can be sold within 24 hours. Callable is a feature that allows the investment to be called before its full maturity time, similar to refinancing a house. This allows investors to reissue at a lower rate.

    • Supervisor Vander Poel questioned if  interest and inflation are more political and not so much market driven. He asked Brant if she thinks world issues will affect interest in the coming years and if she is concerned about inflation. Brant responded that the federal reserve controls inflation and there are inflation concerns in near term but they are temporary. She believes inflation will moderate in 6-12 months but they are monitoring changes. Lots of foreign buying of US treasuries is what keeps interest rates low, they have an inverse relationship.

    • Madame Chair Shuklian questioned why annual appropriations started at $2.5 million (2000) and 2007 increased to $4.5 million. Brant explained that it was a one time annual appropriation due to Tulare County refinding the bonds and doing a private placement with DEPFA

  • Presentation by Brooke Sisk and Kyle Taylor of the General Services Agency regarding Fiscal Year (2020/21) and proposing Capital Improvement Plan for 2021/22 – 2025/26 (Item 22)

    • The GSA’s sources of funding are from the Tulare County Dept, the County general fund, the Millennium Fund, and State & federal agencies.

    • Last fiscal year 2020/21 expenditures total $10,037,403

      • Update on civic center well repair ($116,839). Things went wrong in the past years and the GSA is thinking of connecting it to Cal water instead of running its own water. The estimated cost of this project is around $1 million.

    • Project Status

      • Some completed projects are The Bob Wiley Detention Facility Multi-year roof project, the Center Drive probation center, the Visalia Courthouse roof, the Animal services modular building installation for on-site vet clinic, and the Sequoia field memorial revitalization.

      • Some projects that are not yet complete are the Emergency dispatch relocation construction (will complete in September), Juvenile detention facility landscaping (will be complete in September), Resource management agency remodeling (will be complete July 2022), District Attorney office remodeling (will be complete in September) Various park improvements (removing trees, new trees, new tables, new sidewalks, etc.) are ongoing.

    • 5 year capital improvement plan (CIP) 2021/22 – 2025/26

      • $93.8 million of projects. The GSA requests the maximum drawdown of  $3.5 million from the Millennium Project. Sisk notes that shis CIP is more of a planning tool rather than a budget.

      • The Sequoia Field Program Facility, which is a new jail, takes up nearly half of  the budget for this fiscal year. Construction will begin Spring 2022.

      • Sisk notes that there is a typo in this presentation that lists $1.1 million for the Earlimart Substation for 2021/22 – 2022/23, however there is no additional funding planned. The amount proposed this fiscal year will cover the entire project.

      • The Tulare County administrative office board of supervisors building will be remodeled

    • Request approve CIP

      • Authorize submittal of request to drawdown $3.5 from the Millennium Fund

      • Authorize County Administrative Officer to sign the disbursement request letter on behalf of Tulare

      • All actions were approved

    • Supervisor Vander Poel questioned if there is a long term vision of what Tulare County wants for the courthouse. Brant answered that she is not sure and that they are currently planning to repave. Vander Poel also asked what the main jail would be replaced with. Brant responded that she does not know yet but there may be a smaller substation. They are planning to keep the tunnel under the courthouse. Vander Poel asked what the GSA plans to do with the land West of the county council. He asked if they plan to hold it or sell it. Brant replied that they are considering selling it or building a new construction there but she has no answer right now. He also commented that he is glad they are improving the quality of life of parks.

    • Supervisor Micari questioned if there are any planned drought resistant projects. The exterior of buildings tends to be an afterthought but some projects have been made with droughts in mind. He asked about Cutler Park receiving any remodeling but Brant responded that Cutler Park usually is not considered for grants because it is not in a low income area.

    • Supervisor Valero thanked the GSA in regard to libraries.

    • Madame Chair Shukilan asked about the status of the gun range project. Brant reported that they have completed preliminary design but they still need to finalize the plans.

  • Request from auditor-controller department to select the cost of living factor to be used in 2021/22 Gann appropriations limit calculations (Item 23)

    • Option 1: change in CA per capita personal income which was 5.73% for 2020

    • Option 2: the percentage change in the jurisdictions assessed valuation attributable to local non-residential new construction which as 12.85% for fiscal year 2020-21

    • Supervisor Vander Poel commented this is the largest difference he has seen. UPS & Amazon construction made this big difference. 

    • Option 1 approved unanimously

  • Madame Chair Shuklian made a referral to have matter of business to be considered for a future agenda (Item 24)

    • Madame chair requested that meetings also be video broadcast and says Tulare County is the only county in the Central Valley to not video broadcast meetings. She requests that staff to look into this.

The meeting was adjourned to a closed session in which they conferred with their legal council and discussed labor negotiations. The next meeting will be August 24, 2021 with the open session beginning at 6:30 P. M.

Public Comment

There was no public comment.

If you believe anything in these notes is inaccurate, please email us at Documenters-admin@thefresnoland.comwith “Correction Request” in the subject line.

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