Board of Supervisors - Regular Meeting

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Good morning, everyone. The meeting is called to order. Time is 9.07. We'll have a moment of silence, silent reflection or silent prayer. Thank you. Supervisor Rickman, would you lead the Pledge of Allegiance, sir?

I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all.

Thank you, Chairman. Thank you, sir.

Madam Clerk, can you please call the roll call?

Supervisor Gardea?

Present.

Supervisor Canepa?

Here.

Supervisor Ding?

Here.

Supervisor Rickman?

Here.

And Chair Dhaliwal?

Here. We have three recognition presentations. Board members, can you please join me?

Our first recognition is of San Joaquin County Employee Retirement Association's 80th anniversary. And this was put on the agenda by Supervisor Gardea of the First District. And I'd like to invite Chief Executive Officer Renee Ostrander to the podium as we read this recognition, which dates In recognition of your 80th anniversary, since its establishment on June 28, 1946, the organization has grown from serving 1,114 members to more than 16,393 members, providing financial security and retirement benefits that has positively impacted generations of members and their families. Throughout its history, the organization has embraced growth and innovation while remaining true to its mission. From becoming an independent entity in 1991 and expanding into real estate investments in 2004, to achieving significant financial milestones, including a $1 billion in assets in 1997, and 5 billion in assets in 2025. Your success reflects the vision, leadership, and dedication of the administrators, trustees, staff, and members. As we commemorate this remarkable milestone, we celebrate a legacy of excellence and look forward to the continued service and achievements that will shape the many years ahead. Congratulations and best wishes. Presented this second day of June, 2026. Chair Dollywall and Supervisor Gardea.

Thank you, Michelle. Welcome today. And my fellow trustees, staff members. Congratulations. Supervisor Gardea. Good. Let you present first.

Is it on? Okay, perfect, all right. Mr. Chair, supervisors, county leadership, public employees of San Joaquin County, and members of the public, on behalf of S.J. Serra, I want to sincerely thank the Board of Supervisors for this recognition as we celebrate 80 years of service to San Joaquin County employees, retirees, and their families. Reaching this milestone is a reminder of the important responsibility entrusted to us. Since our founding, S.J. Serra remains committed to protecting the retirement security earned by the public servants who dedicate their lives to serving this county and its communities. I want to acknowledge that this moment is not just S.J. Serra's. The strong partnership we have with the county, the Board of Supervisors, and our nine other participating employers make these milestones possible. Your continued support and collaboration have helped ensure that SJSARA remains focused on its mission and positioned to serve future generations responsibly and effectively. While much has changed since SJ Serra was first established, our purpose remains the same. We are grateful for the trust placed in us and deeply appreciative of this recognition today. It's truly meaningful to celebrate this milestone alongside the people who commit to our county's work day in and out, knowing that their pension is here for them when they are ready to retire. Today I'm honored to be joined by all of our current trustees along with some of our past trustees. Their attendance is a testament to the commitment each trustee has to our mission and it doesn't fade even when they leave our board. Thank you again to all of you for this recognition and thank you for allowing us to continue serving San Joaquin County for the past 80 years and for many more years to come.

Well, I'm just getting my voice back, so bear with me on this. But can I have all the trustees and all your team members stand up to be recognized and get a big round of applause? You know, 80 years, that's a long time. And, you know, I think the biggest thing is that I don't think people recognize that San Joaquin County employees, we're the biggest employer in San Joaquin County. So, you know, a defined contribution retirement is key to retention and recruitment. And just to know that I actually had a little stance on that commission and that I really thought I knew about retirement systems coming from CalPERS. And, you know, I did my homework, but to sit around around some professionals that, you know, honestly, I just kept my mouth shut and kind of absorb what they were bringing to the table. And I will say they are 100% dedicated to the employees of San Joaquin County to make sure that their families and themselves, you know, our employees are taking care of for their future, you know, and their grandkids' future. So we are very, very lucky to have you as our leader. uh leading your team and your team is phenomenal and our board of trustees you guys you guys rock man you guys do a really really good job so i just want to say thank you on behalf of our county supervisors and district one

Well, I wouldn't go either. Everybody over here, one, two, three. Everybody say 6.75. Woo!

Six billion.

Six billion.

Yes, thank you.

Next please.

Next we have a request to proclaim May 2026 as Stroke Awareness Month in San Joaquin County and this is being brought forward by Chair Dhaliwal and I would like to invite Mary Nicholson from Healings in Motion up to the podium as I read this proclamation which states, Whereas stroke is a leading cause of death and long-term disability in the United States with profound physical, emotional, and financial effects on individuals, families, and communities. And whereas 80% of strokes are preventable and nearly 25% occur in people under the age of 65. And whereas while strokes are the fifth leading cause of death nationally in San Joaquin County, it ranks at third. And whereas 20% of strokes will occur in individuals of working age potentially having a lasting negative impact on careers and young families and whereas stroke is the leading cause of long-term disability and more than half of these survivors suffer reduced mobility and whereas there's a 30-day hospital readmission rate of 12 to 14 percent in patients with acute schematic stroke and whereas The risk of stroke can be reduced by abstaining from smoking, maintaining a healthy diet, engaging in daily exercise, and limiting alcohol consumption to no more than two drinks per day. Now, therefore, be it resolved that the San Joaquin County Board of Supervisors does hereby retroactively proclaim the month of May 2026 as Stroke Awareness Month in San Joaquin County, where collectively we must work together to improve stroke awareness and encourage everyone to respond to stroke symptoms to increase better outcomes, presented the second day of June, 2026. Chair Dhaliwal.

Thanks, Rochelle. Thank you so much for being here this morning, and thank you for your collective efforts to create awareness. Mary?

Certainly, it's a pleasure being here. Firstly, I have a few things that I want to share with you all. Healings in Motion has been producing stroke guides and I invite you to have a stroke library for your staff. One is the Central Valley Stroke Guide that we have been producing and it's been a resource to the hospitals in addition to the Central Valley Caregiver Resource Guide and there's a great amount of tools here. So what we do is we bring not only stroke awareness, but we bring experts into this community to educate the community, one of which was somebody named Carmine Gallo. He's a phenomenal speaker. He is now an educator at Harvard. He is a resident nearby. But we need to have all of the experts come together. So I brought copies for you of everything so that you know some of the work that we do. blessed with a brain tumor, because it's all about not just stroke, it's also about brain health. And with me today, I have a few people who are survivors and also representation of the stroke care community that we have. So right now, I'd like to introduce Sean Tumberland, who is the stroke coordinator at St. Joseph's Hospital. Just say a few words.

I won't take very much of your time. We already ran through a lot of the numbers associated with this condition. But I just want to kind of repeat, 800,000 strokes in the United States every year. It's one of the leading causes of death. often considered the most important cause of disability, but 80% of them are caused by conditions that can be modified or treated by diet, exercise, and treating conditions that we know how to treat. And that's why these kinds of things, this bringing attention to stroke, the work of healings in motion and other community groups is so important. We can treat it in the hospital, but what we really need to do is treat it before it happens at home instead of salvaging what can be salvaged.

Thank you. And we have the president of the Hispanic Chamber, and there are many people in our community who you may not know about. And I'd like for you to just say a few words, Lisa. Oh, thank you.

um actually i am a i was also a victim of having a stroke i had an aneurysm from a car accident not realizing my health um the health issues that i had throughout my life had created that aneurysm to be a stroke last year so most people don't know that i told her i came out of the closet because i kept it hidden because it's something you don't talk about but thanks to her and healing emotion i've been able to stand before you as a stroke survivor so thank you

Absolutely. Lakeisha, want to say a few words?

Hello, everyone. For those that know me, when I get in front of a mic, I speak too long, so I wrote a few words out, so I wouldn't do that and take much of your time. I'm Lakeisha Little Shaw, the CEO and founder of Shaw for Community, but also a stroke survivor and brain surgery survivor. This moment represents so much more than recognition. It represents resilience, education, advocacy, healing, and hope. So over the last several years, I personally experienced frightening neurological symptoms that completely changed my life. It started with severe migraines, dizziness, confusion, vision, and hearing disturbances, loss of balance, extreme fatigue, falls, and moments where my body no longer felt like my own. What many could not see was the fear, uncertainty, and emotional toll of navigating health challenges while still trying to lead, serve my community, raise my children, and continue showing up for others. So in November of 2024, I underwent brain surgery to remove a tumor after years of searching for answers. That journey opened my eyes even more to the importance of brain health awareness, early intervention, advocacy, and access to quality healthcare. Too many people dismiss the symptoms, and too many suffer silently. Too many communities lack education and resources surrounding neurological health and stroke prevention. Far too many individuals and families are impacted by strokes, brain surgeries, and neurological conditions without truly understanding the warning signs, the long-term effects, or the importance of preventative care. In underserved communities, which is the communities that Shelford community serve, especially conversations surrounding brain health, stress, trauma, high blood pressure, nutrition, and access to healthcare are often overlooked, despite these being major contributors to stroke risk. So this proclamation helps bring visibility to an issue that deserves more awareness, more education, more research, and compassion. So at Schoffer Community, we thank you. And Healing in Motion, I also thank you for bringing awareness. Oftentimes, we don't look like what we're going through. And a lot of people didn't know that I suffered from a stroke and had brain surgery until I shared. So thank you. It's very meaningful and impactful to our community.

Thank you.

Thank you so much.

I have, well firstly, let me just say this. This young lady is representing Northern California for a corporate, she's gonna be doing the corporate, Miss Corporate America for Northern California, traveling to Florida for that vote. And so I hope that we all support that journey and what she is doing is representing Northern California as a corporate person also thriving in her own life so we're here for you as well here we have uh representatives from doctors hospital doctors in manteca and doctors in modesto you want to say a few words

Thank you, council members. My name is Dorothy. I work at Doctors Medical Center of Modesto. We are a comprehensive stroke center, and we've been working with Mary for some time now. And so what she does is phenomenal. And I don't think I can add on to what everybody else has said, but to just know the signs and symptoms of stroke, so be fast. Always know that when you see somebody off balance, has vision issues, or facial drooping, for example, please call 911. Get them help. 1.9 million approximately brain cells die a minute when somebody doesn't get help. So please, this is a... It's a very common condition that happens within our community, so be aware of our signs and symptoms. Thank you. Thank you so much.

And this is somebody from the community, through our regular outreach programs, has taken advantage of it. Not only is she learning from the programs that we do, like the monthly Lunch and Learn that we do at St. Joseph's, or the programs that we do with community outreach, This person right here comes to all of our programs and she's able to share the information with her family and that's really what it's all about is making sure that we come in and we get the information but we also become ambassadors for stroke in our community. So I just really want to share that and I also have something else to add to the library and that's blessed with a brain tumor. All of us who have gone through this wind up having a craniotomy. Our heads are opened. We all have had that and we are blessed to survive. There are so many people who do not make it. So I graciously appreciate you recognizing stroke awareness.

Thank you.

Speedy nutty, by the way. Hello? Excuse me. I've been running short on my time.

Thank you, Chair. Next, we have the proclamation of June 2026 as Portuguese Awareness Month in San Joaquin County. This is being presented by Supervisor Rickman of the 5th District. And I would like to invite Diolinda to the podium. And if the president of the Portuguese Hall, Michael Silva, is also available, if he could also come down to the podium as we read this proclamation, which states, Whereas during the month of June, in recognition of June 10th as the day of Portugal and May 29th as the day of the Azores, we celebrate and honor the long history of the Portuguese community in San Joaquin County and across California. And whereas Portuguese Heritage Month is a time to recognize the vibrancy of Portuguese culture and offers an opportunity to learn more about the community. And whereas during Portuguese Heritage Month, we can learn more about the many outstanding contributions Portuguese Americans have made to San Joaquin County and around the world. And whereas Portuguese Americans harbor a deep commitment to family and community and enduring work ethic and a perseverance to succeed and contribute to society. And whereas San Joaquin County is home to a large and diverse Portuguese community, and we recognize the contributions they make to San Joaquin County, celebrating their traditions, heritage, and culture. Currently, there are more than 350,000 persons of Portuguese heritage living in California, and approximately 90% of whom have either come directly from the Azore Islands or are of Azorean ancestry. And whereas Portuguese Americans are leaders in the agricultural industry in San Joaquin County and throughout California, most notably in the dairy industry. And whereas the Portuguese Holy Ghost Festival and other religious and cultural festivals are an important part of the communities in which they are held, bringing communities together and preserving and disseminating enriched traditions of a proud people. Now, therefore, be it resolved that the San Joaquin County Board of Supervisors does hereby proclaim the month of June 2026 as Portuguese Awareness Month in San Joaquin County and encourages all citizens to celebrate the accomplishments and contributions of our Portuguese citizens share with our community. Presented the second day of June 2026. Chair Dolly Wallen, Supervisor Rickman.

Thank you, Michelle. Welcome. Thank you so much. On behalf of my colleagues, I want to thank the Portuguese Americans for their contributions for our county and for our country. Supervisor Rickman.

Thank you, Chairman. Thank you guys for being here. I'm going to turn it over to you and say a few words.

I would like to thank Mr. Rickman, ladies and gentlemen of the board for having us here and for your acknowledgement of the Portuguese service to the community. And that's exactly why we're here, 102 years celebrating in our community and celebrating our traditions, our faith, and our culture, represented by these young ladies here who are our 2026 queens, representing Queen Saint Isabella and our organization, IPFES of Tracy, our Irmandade Portuguesa da Fecha do Espirito Santo, They will take this next year and go around the communities of Northern California and serve and help those in need with fundraising. And we feed over 1,000 people at our complimentary luncheon on Sunday, June 7th. We invite the community to come and join us in breaking bread, a tradition that dates back to Queen Isabel of Portugal, where she fed the poor and the suffering in our country there. We brought it back here to the US, all the immigrants, and we continue the celebration, our 102nd anniversary of helping the community and feeding the poor. We'd like to thank you all, and God bless.

Anybody else want to say a few words? You good? You made the trip. You had to fight the traffic. Well, thank you all for being here. Congratulations to you guys. And, you know, Portuguese has played a huge contribution here, not just in the state, but in San Joaquin County. I know in Tracy, like you mentioned, we have the fesha here. On Sunday, the parade starts at 9 AM. After Mass, we'll have the luncheon. And so yes, all of those in the community are invited. So it just tells you about our great tradition here. I know when I was growing up, I marched in the parade. My mom was a queen. My grandma was a queen. My aunts, my daughters were side maids. So it's something that's very dear to my heart. And again, I just want to thank you for all the work that you do. Those that you don't know, the fesha and the parade, you see it throughout, like Michael was saying, throughout Northern California. I mean, Tracy, like I said before, it's a 102-year tradition. And you see it. And I mean, the girls, they have to march in like San Jose, Gustine, San Jose, Monterey. So it's all through Northern California, the Portuguese culture gets together and celebrates what Michael just said. So again, thank you girls for what you do, keeping the tradition alive and God bless each and every one of you. If you would please join us up front here and we'll present you with the proclamation.

But you know what? He's from the wrong island.

You don't have to be Portuguese to be in the district.

Thank you. Thank you.

Next, we have public comments, public comments on the matter that are on the closed session agenda on the consent calendar or within the jurisdiction of Board of Supervisors that are not listed on this agenda. Please complete the public comment form. You will get three minutes. Please address your concerns, your comments to the board. No personal attacks, please. Thank you. Molly Watkins.

Good morning, it's election day. So I am a bit disappointed in the election office. We all have expectations and as employers, we should always have expectations of our offices or our people. In this office, we hope for accuracy, precise, to be right, to be errorless, and letter perfect. And we have a page where we left off the endorsements from the parties, had to send out another piece of paper to fix the wrong. The problem with it is that this mistake was made before. two elections ago. So you should never make the same mistake twice. We're all human and we do make mistakes, and I'll give you the first time. But the second time, come on now, you weren't paying attention. You left off the Green Party, the Libertarian Party, and the Peace and Freedom Party. So that's a big deal. And don't you just automatically go down and see what those people sent to make sure that you get them all on the one page that you're putting in the book? So with that, it leaves you thinking, what other mistakes did we make? We're not accurate? These are elections, this is important. So, leave you with those thoughts. Vote in person, please, today. Go to the polling place, any polling place apparently, and vote. Have a good day.

Good morning. Happy Election Day. I would like to recommend that each of you go to the precinct today to observe how the elections that you are in charge of are run. Today, I'd like to speak about our ballot drop boxes. As a reminder, the state mandates that we have ballot drop boxes, although citizens were able to vote without them in the past. We are mandated to have 13 in San Joaquin County. We have twice that amount. Keeping that in mind, I would like to bring you to the latest episode of ballot drop box horrors. From Newsweek, this year in Humboldt County, officials discovered 596 sealed but uncounted ballots inside a locked ballot drop box on May 4, 2026, months after the November 4, 2025 special election for Proposition 50. Those votes were never counted. From eyewitness news, LA County election officials have launched an investigation after multiple mail-in ballots were found destroyed by fire inside an official ballot drop box just days before the city's closely watched June 2nd mayoral election. The discovery is raising fresh questions about election security in one of the nation's largest voting jurisdictions as Californians head into the final days of voting. What are we doing as a county to ensure similar circumstances don't befall the 26 ballot boxes that we have? Perhaps it's time to revisit the idea of only having the state mandated amount of 13 ballot drop boxes. I'd like to switch gears and address another state mandate that is negatively affecting our county. This is the decision to give illegals licenses to drive semi-trucks. As I'm sure you're aware, our county has suffered a horrific accident in Lodi and two people were killed because of this insane decision that the state has made. From the Sacramento Bee, this criminal illegal alien from India should have never been behind the wheel of a semi truck and allowed to kill two innocent people in a multi-vehicle crash in California. Lauren Biz, the acting Assistant Secretary of the Department's Office of Public Affairs said in a news release, This is yet another example of why illegal aliens should not be operating trucks on American highways. My question to you is this. Is there anything that our sheriff can do to protect the residents of San Joaquin County from being killed by illegal incompetent semi-drivers? Is there anything that can be done? Can we declare a form of emergency so that truck drivers could be pulled over and checked? Sheriff Withrow was great in curbing the sideshow problem in our county. Perhaps the same outside-the-box thinking could be employed here. Thank you.

Thank you.

Good morning, Chairman Dhaliwal, Board of Supervisors, and the County Administrator. Typically, I have a prepared speech, traditionally I do, and I don't today. Actually, I stand before you as the CEO of the San Joaquin County Hispanic Chamber, but also as a resident of San Joaquin County for 40 years plus. I've raised six children here now, 10 grandchildren. I don't know if you're aware that we have currently nine Chambers of Commerce here in San Joaquin County. We used to have 10, but One just closed down about a month ago. And so, myself and my career, I have been entrenched in the business community for 40 years and I have been in the trenches and I have been now as a CEO. So, chambers of commerce typically have maybe one employee, if that. mostly volunteers, but we do the work. We service the small business community with pride and with passion. Looking forward as the economy continues in its trajectory, chambers of commerce are being affected. And so I wanted to lift that to you to pay attention to that and be visionary and look at that as you're doing the great work that you do. But also this gives me also an opportunity to invite all of you as San Joaquin County Hispanic Chamber celebrates its 54th year, our business awards and installation of officers on July 10th. I've sent each of you a personal invitation. Some of you have already RSVP'd. Thank you, Supervisor Ding and Gardea. And I know people's schedules are very busy, but know that we see you, and we want to make sure that you see all of us, not just our chamber. There are some great chambers, the Lathrop Chamber, Lodi Chamber, Manteca Chamber, Tracy Chamber, Delta Chamber, the African-American Chamber, the Central Valuation Chamber of Commerce. We're small, but together we're very mighty. So thank you very much for your time.

Thank you. Alicia here.

Greetings, Board. My name is Alicia Arrea. I'm a constituent of District 1. I'm here to advocate for the community that I was raised in and have come of age in. I, myself, a descendant of immigrants. And so I just want to make public comment on the scheduled item number three. I would like to know what the cooperation is between our local sheriff's department and Immigration and Customs Enforcement in our county. Cooperating with ICE leads to less public safety, not more. When families who are undocumented experience crimes, they are less likely to call on the people that they should. They're less likely to call on safety on police stations because of the risk of being deported, which creates an even more risk or less safety in our communities. The criminal justice system and the immigration system are separate. Hopefully you all know that. One is criminal, one is civil. They operate separately and if someone saves their time, they should be able to return home and resume their lives, not be transferred to ICE detention. We want to end this double punishment for immigrants and refugees and let me remind you of their humanity. in this era, in this culture of so much hate and this normalization of dehumanizing the people that are our neighbors, our teachers, our parents. Those are the people that are undocumented immigrants. When a local government violates the California Values Act, and when they do that by colluding with ICE, they risk even more county funds, they risk lawsuits. I, along with other community advocates and members, request that this annual Truth Act Forum be held as a separate community event rather than an agenda item at a Board of Supervisors meeting. We certainly deserve that. Our Sheriff must use his discretion to maintain the distinction between ICE and our Sheriff's Department. and not waste taxpayer dollars to collude with ICE. Deportations impact not just one person, but their entire family and our broader community collectively, punishing and traumatizing generations of immigrants who make up the fabric of our community. We need to look at the individual circumstances of each person's life and recognize the humanity of all people. ICE's deportation requests can target people who long ago, like I mentioned, served their time, and have changed their lives. And I just want to mention one thing. Immigrants have built Stockton, whether it be the Chinese who built our levees and is the reason why Mudville is now the beautiful city of Stockton, California, or the thriving communities that contribute to the culture that we all love and celebrate today, that work the fields that feed the entire nation. Our immigrants deserve respect and dignity. Thank you.

Thank you. Anthony Silva.

Good morning, Chairman Dhaliwal, county administrator, members of the board. My name is Anthony Silva, and I just want to say I think everything's going good and calm in the county right now, and there's a lot of positive things. It was a beautiful day. Happy election. Good luck to anybody who's on the ballot this morning. I'm here really quickly. I know Supervisor Canepa has attempted to help before, but about three years ago, I advocated to open one of the county swimming pools that you guys had left. You guys used to have Franklin High School and Kennedy. You guys might know that I've done lifeguard training and swim lessons and I train the aquatic staff in the county for the last 30 years. I was the San Joaquin County Aquatics Director for you for 15 years before I taught other folks how to take over and do it. So I'm still involved in the swimming stuff. This morning I had a Red Cross class, so sorry, I'm the only one in here dressed for summer. But anyways, once again, we're getting pools open and we are now in different cities making sure that folks that speak different languages have access to swimming pools and they're learning how to lifeguard in their own neighborhoods. But for San Joaquin County in 2023, when we advocated to open one of the swimming pools, there wasn't very many people who applied and one of the assistant directors of HSA suggested a certain person that her kid was being coached from. And so that vendor, for whatever reason, didn't get it. Then another company got the bid just to run a swimming pool for one year. And it's been nearly three years. That's why I wanted to come this morning and they haven't been paid. And I know that there's a letter in the bureaucrat system. There's, you know, there's a letter that says you need to do a, B, C, D and E to get paid. But there was an accident with a lifeguard who did lose her life in a car wreck. And she had some of that paperwork. So I think it's a very easy fix. And so I'm hoping that Chairman Dolly Wall, we can have a meeting and I'll bring in the folks that ran that pool and maybe we can meet with your county administrator and just solve it and get it fixed so the folks can get paid and we can go offer more free swim lessons in the community. So thank you very much everybody and God bless you.

Thank you, sir. Mayor Haggard.

Obviously my name's not Merle Haggard. In the name of the Father and the Son and the Holy Spirit, amen. Memorare. Remember, O most gracious Virgin Mary, that never was it known that anyone who fled to your protection, implored your help, or sought your intercession was left unaided. Inspired with this confidence, I fly to you, O virgin of virgins, my mother. To you do I come. Before you I stand, sinful and sorrowful. O mother of the word incarnate, despite not my petitions, but in your mercy, hear and answer me. Amen. In the name of the Father and the Son and the Holy Spirit, amen. My name is Lauren Danielle Elias Cardinale and I'm running for supervisor against my friend Paul Canepa. Good luck today, Paul. I want to just impart on you what I've been suffering for the past three months that no local enforcement agency will take part in. I've lost 15 pounds and had three seizures. I've had members of various groups stalking and harassing me to which I had to receive a restraining order. No one will arrest a man who threatened me with a sniper rifle, including the FBI, the U.S. Capitol Police, or the Secret Service. When I was in a room with Ted Cruz, Chad Hilton, and Bianco, a threat was sent to me via Instagram. Meta Platforms doesn't have a disability coordinator. These are my disability forms. I can't get them filled out because my doctor's too backed up. Here's my proof of service and any images you would like to see of a man sending me a sniper rifle. Two individuals came to the Catholic Mass at St. Luke's School and intimidated my children. Another individual whose family I can confirm is in a gang because of the tattoos on the face. It's not profiling if they show they've murdered people openly to stalk and terrorize you at your home. They tried to take my daughter from Creekside Elementary School. That's with the federal marshals. You guys don't have to deal with that, luckily, but you're going to have to deal with me for the next eight years. I am the defender of San Joaquin County, and I've called a stop work on the COVID exercise response plan to you, Chair Canepa. Chair Canepa, you said you were not engaging in your duty to protect people from a bioweapon. Your health services administrator should get none of that $300 million because socialist programs have no place in the Central Valley. Our medical freedoms are our individual right given to us by our prayer, the Declaration of Independence that was given to us 250 years ago. I am, wow, a mom of four kids, and you let somebody shoot four shots at my house at 3006 Auto Drive. You also let your ROV release my private address, so that's why all the gang members know where I live. And they're trying to intimidate my brother at our office, and none of you will do anything because you're feckless cowards. I stand for the Constitution, and in God we trust. I stand for these families of San Joaquin County that have been terrorized by Bill Gates and the World Health Organization, and I will not stop until we have law and order.

Thank you, Lauren. I have a card from Merle Haggard.

That's me. It's a joke. He called me Haggard online and Instagram and put an ugly picture of me up because you're all ignoring the situation.

I didn't know that. I'm sorry.

Yeah, of course.

Leonard Hansen.

Good morning, members of the board. Thank you for this opportunity. I'm Leonard Hansen, the CEO at the Emergency Food Bank of Stockton-San Joaquin. 10%, actually 10.8% of this county is food insecure. That means breakfast may have had an opportunity to appear this morning, but they don't know where dinner's coming from. 10.8% of this county comes to 83,690 unduplicated individuals. 73,589 of those individuals, 88%, were in our line, on West Scotts Avenue in the past year. That's 88% of the food insecure. You have been a marvelous partner with us. You have served as a fiscal agent to help us expand our services and to obtain a new food hub. You have backed us in many programs and many grants that help us do that work. I wanted to say thank you. for that opportunity to serve and for your support in making that happen. It is important work and we are at the point where we have received some funding. The fiscal agent that you stood in for so we can get a community project funding was delivered by Congressman Harder less than two weeks ago. And we're on our way to adding a facility that will help stabilize our community. and offer more and greater dignity to our clients as they go through the process of help at the food bank. So thank you very much. Thank you especially to Paul and Mario and Sandy and Gina. Thank you so much.

Thank you, sir. Christopher Anderson.

Good morning. I appreciate you giving me a moment here. I'd like to speak a little bit about item number three, about the ice, thank you, ice operations. I'm going to reiterate some of the things that the young woman said before. As far as public safety is concerned, if we're going to start collaborating with ICE, we have about 55,000 undocumented folks in this community. They're going to be less likely to want to communicate, work, or collaborate with our law enforcement if we start supporting ICE. We have 55,000 workers in this community. agriculture workers, hotel workers, restaurant workers, so on and so forth, who are terrified to get up in the morning and go to work at the thought that they might not be able to get home to their children. We have kids, I'm president of the Staunton Teachers Association, kids afraid to go to school because they're afraid when they go home their parents aren't going to be waiting there for them. The only thing that outmatches ICE's cowardice is their lack of empathy. And we've seen that when they've been killing members of our community, when they've been roughing people up. Right here in our community, at our ICE facility, people have been attacked just trying to make their voices heard. If we're going to be the gloving community, I think it was a few years back that we passed the Stockton Compassion City Resolution. If we're the compassionate city that we say we are, then we're compassionate for everybody. And we have to make sure that we take the least among us and hold them up and hold them dear and take care of them. I'm very concerned that if we start changing our policies and start collaborating and cooperating with the injustice that comes with ICE, It's going to mar our community and it's going to make us look like we're collaborating with these very people. I strongly recommend that we limit their ability to take any actions in this community in order for us to protect the least among us. And I appreciate your time. Thank you.

Thank you, sir.

Is there anyone else who would like to address the board from the audience? Anyone else? Thank you so much. Next is consent calendar. Board members, any item needs to be pulled? Anything? I'd like to pull item 10. 10. Anybody else? No? Anything else? Professor Rickman? Before we go to item 10, Madam Clerk requested that we pull item number 50, Richelle.

Thank you, Chair. For the record, the board letter for consent item number 50 submitted by the Sheriff's Department incorrectly references Lincoln Unified. The correct reference is Linden Unified. The board letter will be corrected following the meeting. Thank you, Chair.

Thank you so much. Supervisor Ding, item number 10.

Thank you, Mr. Chairman. I'd like to invite Rebecca Freeman and her students to the podium, please. So I was gonna be just a smart aleck and ask why they're not all in school instead of here.

School got out on Friday.

Oh, okay.

But we did have a top 20 trip yesterday and we are actually after this headed to our FFA officer retreat. So we're still busy. And then we have our AG Fest starting at the end of next week. We keep going.

Absolutely. So yes.

Good morning. I'm Becky Freeman, one of the FFA advisors of Tokay FFA. I also have our three other FFA advisors here as well, and, of course, these amazing students. So we want to first thank you for attending our 50th anniversary open house that we had a couple of weeks ago, and I know you stopped by our school farm recently, so thank you so much for that, and thank you for having us here today. I do have one student that would like to say a few words about our program and present you with something, if that's all right.

Thank you.

We would like to extend our support and thank you to you guys for our donation towards our chapter. We've been able to do a lot of great things recently. We have over 500 students in our chapter, four ag teachers. As Ms. Freeman mentioned, we're going to Ag Fest pretty soon here. Hopefully you guys can come check that out at the Stockton Fairgrounds. but we have 75 students showing all sorts of animals as well as projects at AgFest. So if it's not at school on our school farm, which she had mentioned that you've been able to come take a look at, we are definitely always busy. We also have a cutting board that was made in our Agwood shop by Mr. Mogler, who's the Agwood shop teacher, as well as some of the students that we'd like to present to you today.

At least half of one. Thank you very much.

Just really quickly, I was out there last week

But anyway, I was walking back from the baseball finals and I heard about the farm, but I had literally no idea what you had to go on there. And to me, what warms my heart is you don't have to go on a ranch. participate in the program now and that's been all.

and chairman thank you chairman if i could i just want to remind everybody too is san joaquin ag fest farm to fork dinner is thursday june 18th so if you haven't got your tickets get your tickets

Done? Thank you. Suvrat Gadeer, number 17.

Often when we have questions, we get our agenda packets on Friday. Honestly, there's a lot of information, and often we pull agenda items due to questions. But actually, I pulled this to actually really appreciate the business decision that our county has taken. And you guys have led us with this. Just to think outside the box and purchase property for future makes sense. And property in our county is really for the most part, has not gone down. And the idea that we're, you know, it's not my district, but I think it's a great business decision. And, you know, the lease option that we're leasing it back because it's going to be unused land for quite some time. But, you know, we're going to recruit $2 million in that just under $2 million deal. and that term of that lease is going to be out there. So what I just want to say thank you and just, you know, you know, didn't mean to bring you up here and put you on the spot. But, you know, I often I don't think we thank you guys enough to the good job that you guys do and the homework that you do, that this was a great decision. And, you know, recouping almost two million dollars in this endeavor is awesome. Thank you, sir.

That's it.

All right. Thank you.

Board members, do we have a motion to approve? Motion to approve. Second. We have a motion and second. Roll call, please. Motion passes 5-0. Next we have a public hearing for the establishment of Proposition 4 appropriation limits for the County and Special Districts for 2026-2027. Mr. Lawrence.

Good morning, Chair Dhaliwal and board members. I'm Stanley Lawrence, the Chief Deputy of Property Tax in the Auditor-Controller's Office. And I'd like to give a brief overview of the county's Proposition 4 appropriation limit for fiscal year 26-27. Proposition 4 is also known as the GAN limit, and it was approved by voters in 1979. It amended the California Constitution to limit the growth of appropriations made by state and local governments. The growth percentage of the appropriation limit is based in the changes in per capita personal income and county population according to the state. For fiscal year 26-27, per capita personal income increased by 4.95%, county population increased by .81%, and the resulting growth percentage is 5.80%. When that percentage is applied to the prior limit, the county appropriation limit for fiscal year 26-27 is around $1.03 billion. This represents the maximum appropriation for the county that can be financed through proceeds of taxes. It includes revenues from property tax, subventions from the state, franchises, and related interest income. It does not include sales and use taxes, licenses, permits, grants, or enterprise income. The 2627 tax proceeds are estimated to be $460 million from our proposed budget and $160 million in state subventions, with that total being 60% of the limit and $411 million under the limit. That concludes my presentation. I can take any questions, and I request we open the public hearing. Thank you.

Thank you, sir. Board members, any questions for staff? This time I'm going to open the public hearing. Anybody from public want to speak on this item? Public hearing is open. If there's anyone who would like to speak, you may do so now. I'll close the public hearing, bring it back to the board. Board members, any questions? Do we have a motion? Move to approve. Is there a second? I'll second. We have a motion and second call for a vote. Motion passes 5-0. Thank you, sir. Next is approval of 2026 through 2029 Behavioral Health Services Act three-year integrated plan totaling $295,750,706 for the period of July 1st, 2026 to June 30th, 2029.

Through the chair, the board, county administrator, county council, I'm Faviera, your behavioral health director. I'm here today to present the county's first Behavioral Health Services Act integrated plan. It is an honor to introduce you to our BHSA coordinator, Angelo Balmesita, who has been a dedicated county employee for over 14 years.

Angelo.

There you go. Good morning, Board of Supervisors and CAO's office. Pleasure to be here this morning to present our Behavioral Health Services Act integrated plan, our first ever. It is our third time we're coming to present a three-year plan. In previous years, we've done our MHSA plan here, and you've pulled our MHSA plan for annual updates in the past as well, so we're excited to be able to present our integrated plan this year. We'll go through a few slides today. This is not a long presentation, but I wanted to share with you where BHSA was born, community planning that was involved around that. Our current BHSA three-year plan highlights three of the component areas that have transformed since Proposition 1. And of course, any questions that the board may have related to our integrated plan. So all of you are aware that Proposition 1 passed in March of 2024 with the vote through California, and it restructures the Mental Health Services Act that had been in existence for more than 20 years. The Mental Health Services Act prioritizes housing and services for individuals with the most serious mental illnesses. and substance use disorders. It includes a $6.4 million bond for treatment beds and housing with an implementation deadline for counties of July 2026, so right around the corner here. Key components of the Proposition 1, it replaces the Mental Health Services Act focusing on severe mental health and substance use disorder treatment. of course the behavioral health infrastructure bond. Funding reallocation was probably the biggest shift within MHSA to BHSA where it shifts 30% of that funding over to a housing component for mental health funds for housing interventions for increases the state share of funding while reducing the county share. has a whatever it takes approach targets funding towards full service partnerships for individuals with complex needs, chronic homelessness or criminal justice involvement. And of course, the expansion of services to include and broaden the scope to include substance use disorder services in addition to mental health services. We had a very robust community planning for this three-year integrated plan. We started in shortly after the passage. A month later, Genevieve Valentine and I came into the community to have discussions around what this may look like. We knew how serious it was within the community to engage the community and educate the community around what proposition was gonna look like as we move forward. We also had two mental health services showcase events. We had some informational meetings in the community as well. There is a new component called Statewide Behavioral Health Goals that we had discussions on, nearly nine meetings on those discussions. We've conducted very large staff training on Proposition 1. COUNTY OUTREACH THROUGH A BHSA OUTREACH TEAM. WE ARE ALSO COLLABORATING NOW WITH PUBLIC HEALTH AS WELL AS OUR MANAGED CARE PLANS TO WORK AROUND OUR INTEGRATED PLAN AND OF COURSE ENGAGING OUR SUD PROVIDERS AND MEMBERS IN THE PLANNING PROCESS. OFTEN TIMES WE'RE NOT PART OF THAT PROCESS IN MHSA. We had expanded stakeholder discussions where focus group discussions were involved, survey participation, work groups and committee meetings, a number of town hall meetings, and of course, key informant interviews with subject matter experts. Overall, we had actually 47 meetings and discussions around Proposition 1 and some of those changes. Our current three-year plan does specify statewide behavioral health goals, and I'll give you a little generalization about that. In the legislation, it is asked that counties be compared county to county on some of our outcomes that we deliver as a system of care. And so there are 14 statewide behavioral health goals that are required for each of our county plans to look at and compare against other counties. And so we showed exactly where we stood in most of those goals and some of the improvements that we had to make and have them within our plans. Includes mandated evidence-based practices in both mental health and SUD services. And those are evidence-based practices that in the past were not funded and they were unfunded coming in. So we had to find ways and creative ways to get those funded through our BHSA integrated plan. The involvement and engagement with our five largest cities in the county redirects funds into housing and expands early intervention services and of course expands our substance use disorder system of care to implement assertive field-based services. GOING THROUGH COMPONENT THROUGH COMPONENT, WE'LL TALK ABOUT OUR NEW COMPONENT HERE, WHICH IS THE HOUSING COMPONENT. OUR FUNDING REQUIREMENT, BHS HAS REQUESTED A TRANSFER OF 7% OF OUR UNALLOCATED HOUSING FUNDS FROM THIS COMPONENT, WHICH IS 30%. THE STATE IS ASKING US TO FUND from this component to fund existing and expanded VHS programs. So essentially we had some unfunded housing component dollars that we needed to make sure that we use smartly and strategically so that we can make sure that we uplift our treatment services programs and not delete any of the programs. So we asked the state if we can transfer over 7% from this bucket over to our behavioral health and services support bucket. And I'll show that in our next slide here. but essentially we didn't want those unused funds not to be unused. And so the community agreed also that we don't want to delete nor reduce any of those programs. So this was a risk of moving away from the risk and actually making sure that we spend down those dollars within our treatment services programs. Target population for this component is individuals with serious behavioral health conditions who are experiencing or at risk of homelessness. At least 50% of the housing intervention funding is dedicated to households experiencing chronic homelessness. And eligible use is the most important. Our funds are really prescribed as to how we're supposed to use them. So we can only use these for direct assistance for housing costs for individuals that suffer from a behavioral health condition. SHARED OR FAMILY HOUSING, SUPPORTIVE HOUSING OPTIONS INCLUDED FOR CHILDREN AND YOUTH, CAPITAL DEVELOPMENT, BUILDING NEW TREATMENT AND RESIDENTIAL SUPPORTING HOUSING UNITS. SO REALLY ADDING SOME STOCK INTO OUR CONTINUUM HOUSING CARE. IMPLEMENTATION TIMELINE, IT IS JULY 1ST. SO RIGHT DOWN TO THE WIRE HERE TO GET THIS MOVING FORWARD. Behavioral health services and support is our outpatient care services, our other supportive services for the integrated plan. It replaces the Mental Health Services Act component and of course includes our SUD treatment services as well. We transferred in that 7% from housing into this bucket so that we can make sure we maintain the services within our treatment services. Again, focuses on individuals with the most serious behavioral health needs, including those experiencing chronic homelessness. Within that 42% of allocation, at least 51% of those funds are specifically dedicated to early intervention programs for individuals age 25 and younger. So there is a importance of making sure that OUR TRANSITIONAL AGED YOUTH ARE COVERED WITHIN OUR EARLY INTERVENTION PROGRAMS. BHSS WORKS ALONGSIDE OUR HOUSING INTERVENTIONS AND OUR FULL SERVICE PARTNERSHIPS AS AN INTENSIVE WHATEVER IT TAKES CARE. COUNTIES MUST INTEGRATE THESE CHANGES INTO A THREE-YEAR PLAN ENSURING A SHIFT TOWARD A COMPREHENSIVE SYSTEM FOR BOTH MENTAL HEALTH AND SUD. And last but not least, we'll get into, oh, this is early intervention. This is also a part of our BHSS bucket. Again, as all of you are aware, our prevention dollars have moved out of the county and into the state coffers into public health to fund prevention programs. But our early intervention really is our focus for within the community for those are 25 and under. evidence-based focus. The state is requiring that we work in tandem with programs that are developed, that are evidence-based, that are funded through these programs. Targeted outreach services are designed to interrupt the course of mental illness, or SUD, focusing on early identification and short-term intervention. And that last bullet item, we talked a little bit about prevention, where 4% of the overall state BHSA funds don't come to the county anymore, they actually go to the Department of Public Health for those prevention programs. And last but not least, our full service partnership program, which stayed 35% in that bucket, is our most intensive services that we provide for our mental health and substance use disorder folks here in the county. We prioritize evidence-based practices within these programs. There are multi-level partnerships as far as a team of care that helps our individuals that need the most intensive treatment services. We expand those services to include folks that have a primary SUD as well as mental health conditions. Our focus is on housing. BHSA funds are allocated to housing, which works in tandem with FSP services. So folks that are currently homeless or at risk of homelessness will receive these types of services that are more wraparound in nature. accountability, increased focus on transparency, financial reporting, measurable outcomes. Those are extremely important in the wake of Proposition 1. And of course, service delivery is extremely important. FSP programs must align with evidence-based standards, like our assertive community treatment, as well as our FACT programs on reducing homelessness. and here is a snapshot of our three year expenditures on what we are planning to do as you can see in our first year here just so that you are aware in that first year on housing interventions currently right now we have dollars that we're using for bridge housing as well as other funds that we have to use in the first year so that was a little bit reduced here but in year two and year three is full on as far as the percentages are concerned for those years but this is what our our buckets look like for the next three years any questions thank you sir members any questions for staff yes sir peace is it still morning good morning you two have been busy yes so

First off, thank you. And the words that stick out in my mind here are measurable results, which I really appreciate. I'm going to start with my shortest question first, and then we'll get into the housing elements and gap housing and all this. But one of the things in here in the presentation you talk about, uh focus on youth uh 25 and younger and and i've had this discussion with some of the senior staff i i've never quite understood why the children's home is considered a non-profit organization and why it is not a county facility and that those youth are not considered wards of the county because As you know, in 2022, the children's home was moved under the IMD caps at 16, and not to mention that we're sending our children out of county to foster homes that may or may not exist. I'm wondering, is there any way without violating any nonprofit status, what have you, but to me that should be an aspect when you're talking about you know children's services something an entity that that already exists is is is that open to discussion as far as funding of those because i know we're short on foster homes we're short on where my is this completely since they're not homeless are they on their own i guess that's my point is You know, they're there. They're on the verge. They're being taken care of. But sometimes I worry that that gets overlooked because there's a roof there right now instead of being concerned about keeping them in the county. And once they age out, making sure that they're on the right path.

So through the chair, I'll answer part of your question. I can't speak to the part about a nonprofit becoming part of the county, but what I can share with Children's Home of Stockton, we have two contracts with them. One is to provide specialty mental health services to the youth that are in the STRTP, all of which are foster youth or wards of probation or occasionally aid to adopt placements. We also just started a new contract with them, also specialty mental health, but a very high level of care for day treatment intensive. So we do have those two contracts with them. As for expansions of Children's Home of Stockton, we will be releasing three RFPs for the children's system of care sometime after July 1. For the early intervention dollars that are new mandates, so we have three new early intervention mandates that are in the children's system of care, and those are parent child interaction therapy PC it. functional family therapy FFT and multi systemic therapy mst so those are going out to bid soon, and those are considered early intervention. for our population under the age of 25. So that's how we're working with Children's Home of Stockton and that's how they can expand their work with us if they're interested in going for those programs. I know that as an established specialty mental health provider, they would meet the preferred qualifications for that.

Okay. Yeah. And then my second question, since we're moving, you know, It doesn't matter whether it's for better or worse. It's here, and so we've got to deal with Prop 1. On the housing first, I need to know how this all fits. Director Valentine and you and I have been talking a lot about the gap housing, from treatment before stabilized housing, that gap housing that's so important. Where does that fit? into this yeah this is um

We have our transitional housing. Yeah. We did uplift with the managed care plans, our transitional rent housing, which is six month, which is identified to be gap housing while we identify permanent housing. So those contracts are new and we're working on that. And we're really excited to have that up and running in our county. We were one of the first to jump in on that. And I see Mrs. Valentine has come to the podium.

Good morning, Supervisors. Through the Chair to Supervisor Ding, as you saw in the slide that Angelo put up regarding the new buckets, the very first year bucket has a reduction of housing costs due to our bridge grant dollars. We have a year to use those bridge grant dollars to be creative in terms of bridge housing and transitional housing and so forth. Our hope is in our efforts going back and forth with legislation by the time we get into year two, we will actually be able to pilot certain things with tiny homes specifically for stabilization treatment and how that could be added into COCs and so forth. Most of that will be part of HUD-related regulations, not HHS regulations, unless we can convince the federal government to link HHS and HUD collectively in terms of intergovernment data sharing opportunities. I am hopeful that we'll be able to make some movement with that, but there is significant need to go from transitional housing to permanent supportive housing, specifically for our chronically mentally ill individuals. So there is still absolutely a treatment gap. However, our continuum of care, despite that treatment gap and with Be Well phase two, we're trying to be creative with our own system of care and to put in different agreements with CIVLIC and the housing authority for those that we are paying for. So although there are not regulatory requirements, We are getting very creative on how treatment on-site is highly, highly encouraged.

And one thing I do want to say about the housing bucket that I feel might have been an unintended consequence. When we put money away from services and put them into housing, when we bill for services, we pull in Medi-Cal revenue. But when we put that money in housing, there is no Medi-Cal revenue that we bill for that. So it actually does take a hit to our budget in that regard.

OK. And then one, don't go anywhere. I just want to make sure I'm connecting all the, you know, when you and I travel around the country talking about this, I kind of talk from 30,000 feet here. when i guess what i'm i i understand there's limitations under prop one and we've got to deal that as we as we move forward with the bigger plan the alternative destinations you know lodi access stockton the b well campus that's i mean part of that's hud with the with the with the homes is does hhs Where are we looking as far as the alternative desk? I mean, in order to have permanent housing, we've got to get them there. We've got to get them off the street, in treatment. And that beginning window is starting to.

So I will also answer that question. Um, it's actually on the managed care side. And so what we will be doing is for the very first time, the County, um, will be a subcontractor of the managed care programming. And so that is draw down specifically from health plan of San Joaquin health nut, hopefully Kaiser, because the intent is many of those individuals will be mild to moderate need us for a short period of time. And then we link them back to the health plan and, If that is not the case, then we have the ability to draw down federal dollars through our new system to go through the entire be well process. So we will actually be a subcontract provider of managed care plans, which is actually under CMS. which is a subset of HHS. We do have some really good movement at the DHCS here in the state of California looking at how to find ways for behavioral health plans, managed care plans, and FQHCs to all collaboratively work together and potentially have capitated reimbursements rather than fee-for-service. And so there is a lot of movement on the state side because they now understand that there is a a gap an unintended consequence as faye mentioned between prevention and earlier intervention for behavioral health systems at large and then the impacts that we'll now have on our federally qualified health centers so in reality our fqhc lookalike sj health centers will take a hit in terms of being able to provide mental health services. So we will be having to expand our clinic's behavioral health infrastructure because they no longer will be able to be served at behavioral health at large. So we have a full new continuum of services at different levels. So we're trying to fill gaps as we're building a airplane at this point.

You guys are responsible too. After we clean everything up, getting there, we're not waiting until it's done. You're moving forward so it's ready.

Correct.

Once we get to that point. Understood.

And to add to that, we do have the opportunity to apply for innovation dollars through the state of California. So as we are collecting our data from our first year of BHSA, start collecting the data within our FQHC and our alternative destinations that we then can apply for innovation dollars to fill our own gaps and then prove to the federal government and to the state that we know how to get it done in San Joaquin County.

Thank you.

Yes, I just want to commend you guys. I mean, this is basically kind of upended behavioral health. And I've been along the ride since I've been on there, since I got on this board. My concerns are so the dollar amounts on this. How many people this year have lost their housing? I mean, we've made huge gains, obviously, across from Mariani's and across from Golden Bear and the Chavez Library. And I mean that we just did another groundbreaking over on Harding Way. So, I mean, we're making strides, but I mean, this is kind of alarming. And then like the $4 million switch between years, how many people housing vulnerable is that gonna affect?

Yeah, so what I can tell you, I can't tell you exact through the chair, Supervisor Canna, but I can't tell you exactly how many people have lost housing, but we do look at data. And what I can tell you in our CSA assessment, client status assessment, what I can tell you is that if someone stays with us in treatment for six months, their homelessness decreases. So we look at when you start treatment, are you or are you not homeless? And six months later we reassess and what we're showing is that people that engage with us are less likely to be homeless in those six months. So we are showing some promising data on that respect.

And through the Chair to Supervisor Kanop, I think what's also important, this is just the BHSA dollar buckets within behavioral health for housing supports. We also have realignment dollars that we spend millions of dollars on for housing, but due to sub plantation requirements, we could not put that in our housing bucket. So there is another approximately $14 million that San Joaquin County Behavioral Health uses for housing supports that are just from a different housing stream. We could not use those realignment dollars into this bucket. So our efforts in terms of housing is significant in this county, which is why we had the opportunity to move 7% from our housing bucket and VHSA over to treatment because we are actually ahead of the game in this county with our housing continuum at large.

Yes, we did not reduce our housing.

yes okay so then the shortfall of that 35 because 35 of y'all's budget went to housing so then where i mean a lot of non-ncos and partners you know what i mean contracts were cut short so then how do we though those through the chair those funds were prevention dollars um that as angelo mentioned in the presentation were removed from county behavioral health and removed from county allocations at large and moved to the california department of public health who will be doing their own grants to communities and CBOs. My understanding and partnership and conversations with our public health director and Faye is those RFPs to the community will be released by the state in September. So our local CBOs who lost prevention contracts have the ability to apply directly to the state, but the state is going to have... REGIONAL OR STATE REQUIRED PREVENTION, IT IS NOT GOING TO BE LOCALLY CENTRALIZED. SO THEY HAVE VERY SPECIFIC EFFORTS TO LOOK AT SUICIDE PREVENTION FROM A HEALTH PERSPECTIVE THROUGHOUT THE STATE. THEY HAVE OTHER CONVERSATIONS ON HOW IS IT STATE DATA, NOT NECESSARILY LOCAL NEED. BUT IT WILL BE THE CALIFORNIA DEPARTMENT OF PUBLIC HEALTH SOME TIME IN SEPTEMBER RELEASING THOSE GRANTS.

We get that. So, I mean, like even Jeff is on the board with us, the behavioral health and just the uncertainty that he has with the job trainings and things like that, that the state is taking away affects people's livelihoods and where they get rent and extra money in the,

so it's it's mindful that we need to be mindful about those outcomes so thank you for the work that you're doing glad to be a part of it well and to add to that really quick um supervisor it's also important just for the public to understand that the state also increased their administrative costs to the county so historically it was a five percent off the top for our allocation it's now ten percent So not only do we have these new buckets and things were shifted, our county is actually receiving less money for behavioral health services on the treatment side because the state held an additional 5% from an administrative fee.

Yeah, thank you. I mean, for people in the public, I mean, our board meeting today, if you read the agenda, there's millions of dollars that goes to these programs. And it's absolutely amazing that, you know, data outcomes and accountability are held to a standard. So thank you.

Thank you, sir. Anybody else from the board? Anybody from public? Any questions, comments for the staff? Anybody? Board members, do we have a motion? Is there a second? Second. We have a motion and a second. Call for a vote, please. Motion passes 5-0. Thank you so much. Item number three, receive an oral report from the sheriff and hold a community forum for public comment regarding immigration and customs enforcement access pursuant to government code 7283.1 . Sheriff Vidro.

Good morning, Mr. Chairman and Vice Chair and the Board. I appreciate you giving me this opportunity to come up and speak in front of you today and have this public hearing. As you know, under Government Code 7283.1, Subsection D, it requires that the Sheriff report to you and to his citizens every year on the Truth and the Trust Act and how we are cooperating and following that and and then give some numbers on people who ICE have put detainers on at our jail and how many of those that we've honored and how many we have not. So this covers 2025 and Just the basic numbers of this were ICE asked for 859 I-274 detainers be placed on subjects who'd been arrested and booked into our jail. Of that, we honored 77. So they asked for us to honor 859 of them. We honored 77. That's 9%. And the only ones that we can honor are the ones that fall under the Truth and the Trust Act. And there is a list of 24 criminal violations or criminal history that allows us to honor a ice hold. And... It's a list that includes murder, mayhem, rape, sodomy, oral copulation, lewd and lascivious acts, any felony that's punishable by death or imprisonment in the state prison for life, Any felony which includes great bodily injury, robbery, arson, sexual penetration, attempted murder, violations of 18745, 750, different code sections, kidnapping, assault with intent, committed felony, sexual assault of a child, carjacking, let's see, extortion, threats to victims and witnesses, burglaries where there were people inside the house, first degree burglary, and let's see, and then rape that falls under where the victim is intoxicated or unable to give consent. So those are the only ones that we can honor. So these 77 people met that criteria. It also falls under their criminal history if they had any other criminal history that meets these or they've been convicted of a thing that sends them to state prison. So it's very limited on which ones we can honor. So these 77 guys that we honored these on were pretty bad people in our community. I know we had folks come up here and speak and I listened to what they had to say and I know that the one young lady spoke about how it makes us less safe. And I understand her argument there. We in the sheriff's office are acutely aware of how many in our immigrant community, and this is not just the Hispanic community, this follows everybody, every immigrant that's here in our county or in our state. As you know, we've had some very bad people come from the Indian community, come over and were terrorizing their own members of their communities and we held them accountable and we were able to honor some of those holds. So it's a mix all across the board, these folks, not just one particular segment of our population. We too fear that some people have this used against them because they're being victimized and the person who's victimizing them says, if you call the police, they're going to come. I'm going to tell them that you're illegal and they'll deport you. So we've been very active and very outspoken with all segments of our population trying to convince them and let them know that's not true. We are here for every member of our community. We want to make sure they're safe. We want to make sure they're comfortable always contacting law enforcement. We try and explain that we are not going to just deport you. That's not our job because you contacted, you're being victimized and they say that they're going to be able to get away with it because you can't contact us. As you may remember, I literally went out into the fields in the past couple of years to speak with the farm workers to make sure that they know that, hey, all we're asking you is if you're here, be a good person, don't victimize other people. And you don't have to worry about this. Call us if you need our help. And so we try and be very proactive with that. And we do not want anyone to feel like they cannot contact us because of fear of deportation. That's not our job. And so we've been very active in that. Some more numbers. Of those 77 that we honored, ICE picked up 49 of them to get them out of our community because of their violent acts. 10 of them went to state prison with the ICE detainer following them to state prison so that once they're done there, they can be deported from our country. One went to the state hospital because of mental health issues. And the detainer follows them there. Let's see. Three of them had other agency holds. That means they committed crimes in other jurisdictions here in our state so that when they finished doing their time with us, they then went to the other jurisdiction to be held accountable there for their crimes. And that detainer followed them to there. And let's see. Let's see, 11 detainers placed. We still have 11 in custody that those detainers are being honored in custody now while they go through the court process to see if they will be adjudicated on their crimes that they committed here, but they fall under the Truth and the Trust Act that says that we will honor them. so there's not a whole lot of them but i can guarantee you that my under sheriff is the one assigned to review every single of the 859 last year detainers that we that we get requested we go through them line by line criminal history the natures of their crimes and uh it's it's the baddest of the bad that are that are being honored and uh they're you know to be honest with you there have been a few i wish i i could honor And I was not allowed to because of California law. Long extensive criminal histories, but none of them rose to the level of these 24. So I was not able to honor those detainers and those people when they finished with us, went back out and were probably still doing crimes. So those are a little frustrating, but we try and be as fair as we can with this and we follow state law to the letter. to the best of our ability, and sometimes it's frustrating, but it's made a huge difference. If you remember from the Indian community when we had what we called, it was a gang that was terrorizing the Punjabi community, and one of those guys had a red notice on him from Interpol for blowing up a police station with a LAWS rocket in India and for several murders that he'd done over there. He'd been on the run for three years and we found him here in our county running a gang and we held him accountable and we're getting him out of the country. So those are the type of people that we try and go after and those are the ones that we honor. So those are our numbers for 2025, and I'd be open to any questions that you might have.

Any questions, board members? I have one.

Yes, sir. So, Sheriff, the 859 are from federal standards, not state standards?

That's correct. Immigration is saying that they are here illegally. I cannot verify that or not, but they place a hold on them saying that they are here illegally. But here in California, we only honor the ones that fall under the Truth and the Trust Act.

They were in our incarceration, in our jail?

Yes, they were in our jail. They had committed some type of crime, could have been drunk driving, petty theft, something like that, but we could not honor those ice holds because they don't fall under the Truth and Trust Act.

Then of the 89, 45 have been dealt with some way.

So that we had 859 requested, 77 of them is what we have honored. Of those 77, 49 of them ICE took when they were finished with our court system here. ICE took custody of them and the others were the 10 that went to state prison and that ice follows in there and so on and those other ones I listed. Perfect. Thank you.

Anyone else? We have some members from the public. I have four or five cards and anyone else would like to speak, please let us know. Alan Tenoye.

Okay. Yeah, I'm short. Good morning. My name is Ellen Tanaway. I live in Lodi and I'm a retired Presbyterian minister. Thank you. board for hearing me today. I was under the impression that our sheriff, who just spoke, was colluding, could possibly be colluding with ICE. And he cleared it all up with his statistics and what he said. That made me feel so good. Really, it did. But what I would really appreciate from you is this, I think it's called the Truth Act Forum. If it could be possibly held not in this arena, but maybe as a separate community event so that people like me who get worried about, oh my gosh, is ICE doing this? And is the sheriff colluding? I mean, we really don't know the facts until you hear it from us. him personally. So it would be really nice because my history is my grandparents were immigrants from Japan, and they were put in those internment camps, and the ICE deportation or those centers that they're using right now, they sound kind of like that. I mean, I heard stories about the internment medical facilities that were not quite up to par, and the stories sound very familiar to me. So I just wanted to be sure today that we are not colluding with the people that may be kind of doing that but we're I mean all we could do is protest and say that's not fair but it's not our sheriff's fault I'm so glad so I thank you for listening to me today and I just hope that we can have a community event so that it's more public knowledge what's going on the numbers were very helpful and what he said about the criminal acts that was really helpful so I could breathe with a sigh of relief. I know the things that are going on in the deportation centers are not, they're cruel, they're inhumane, and people are not being treated like people, but that's not, all we can do is protest, so I'm gonna do my best to do that. Thank you very much.

Thank you. Dr. Nancy Gonzalez, St. Clair.

Good morning, Chair Dhaliwal and members of the Board of Supervisors. My name is Nancy Gonzales-Sinclair, and I'm a resident of Lodi, California. I'm an American citizen, a public school educator, a neighbor, and someone who deeply cares about the future of our community. I'm speaking today regarding the Sheriff's Oral Report and the Truth Act Forum because this conversation is more than just policies and procedures. It's about who we are. It's about the values we choose to uphold with fear, confronted with fear, uncertainty, and the lives of our fellow human beings. Everyone wants to be in a safe neighborhood. We want our children to be protected, our families to thrive, and our communities to be strong. But public safety is not built in fear. It is built through trust. Even though the sheriff has made contact with several immigrant populations, immigrant families still fear calling law enforcement because they think it could lead to detention and deportation. They're less likely to report crimes and cooperate with investigations or seek help when they need it most. When trust erodes, public safety erodes with it. And this also, everything that's happening in the United States at this moment even impacts our community as well. We must be honest about who's being affected by our immigration detention system. According to the Transactional Records Access Clearinghouse, Immigration and Customs Enforcement was holding more than 60,000 people in detention as of April 2026 in California. More than 42,000 of them or 70.8% had no criminal conviction. These are not just numbers. They are fathers who tuck their children into bed at night. They are mothers working two jobs to support their families. They are students pursuing their dreams. They are workers, neighbors, friends, and members of our community. Behind every statistic is a human story. And that's why we must reject the notion that deportation is simply an administrative process. Deportation separates families. It leaves empty chairs at dinner tables. It creates fear in classrooms, workplaces, and neighborhoods. Its consequences reach far beyond the individual and Whipple through entire communities for generations. And I would like to respectfully request the Truth Act forums be held in standalone community forums with adequate notice and meaningful opportunities for dialogue. Transparency should not be an afterthought. It should be a commitment. And it was wonderful hearing from the sheriff. And if we have more of these informational forums, I think it would help our whole community. Thank you so much.

Thank you. Steve says,

Hi, my name is Steve Sassen. I'm retired. I used to work for the state of California, worked for CDCR, actually. And thank you. And, you know, I came here today to kind of say that what ICE is doing throughout the nation is horrible, what they're doing to people is terrible, and they're basically an unlawful terrorist organization as far as I'm concerned. And so I really was afraid that our law enforcement locally are cooperating with ICE And I wanted to say that we shouldn't be doing that because our law enforcement is lawful and professional and the ICE agents are not. But after listening to the sheriff, I felt a lot better because they have 800 people that have committed crimes in the jails and that ICE is looking for. following the law they only gave them 75 and or so and only 45 got deported so i i you know i was i feel a lot better now listening to the sheriff that you know they're following the law but um in my opinion ice is a horrible agency and they need to be abolished that's all

Nick Chen.

Good morning, everyone. My name is Nikki Chan. I currently support the Southeast Asian working class refugee immigrant community here in the San Joaquin County. Thank you to the sheriff for sharing his numbers today. I'm actually going to bring up one of the numbers of the 77 he talked about. Right now, I'm currently supporting a Stockton community member who has been in ICE detention for the last two years. He was convicted in 2003 at 17 years old. He completed his time of 31 years of incarceration, 31 years. I just turned 33, so he's been incarcerated as long as I've been alive. He was thinking after 31 years, he could go home, go back to his family and be reunited to them, but instead, ICE picked him up directly from prison. He did not have the chance to go home and be reunited with his wife, with his siblings, with his mother, with his parents. He is now at risk to be being deported back to Cambodia, a country he's never been to, because he was actually born in a refugee camp in the Philippines. He was not born in Cambodia. He is of Cambodian descent, but he was not even born there. Now he has been in ICE detention for the last two years, fighting for his life. This is double punishment. What was the point of him serving 31 years if he's just getting deported? There was no point of keeping him in that long and for him to do that time. This is not a due process that Americans are promised. Not only are ICE transfers cruel and unnecessary, but they're also incredibly expensive. In 2018 and 2019, LA County Sheriff's Department spent nearly $3 million transferring about 1,400 people to ICE custody for detention and possible deportation. So if we take the 77 community members, divide that by 3 million, the 77 members that was transferred, and we divide that by 3 million, that cost us about $2,165, right? I did the math, which is about $165,000 this year that we spent on these ICE transfers, which is actually $15,000 more today from the $150,000 we approved to the emergency food bank. So we approved $150,000 for the emergency food bank today, and it cost us $165,000 this year to transfer people to ICE. So that $165 could have gone back to the food bank. And today there's an agenda item to approve the sheriff to do a reality show. I don't know if you guys see that, but on the agenda it is for the sheriff's office to do a reality show. So if they can go on TV, do a whole TV show, they can also hold a separate community forum instead of using a board of supervisors meeting. We urge the Board of Supervisors to keep the Sheriff's Office accountable and continue to stop using county resources to aid in the separation of families and deportation of community members. Thank you.

Thank you.

Anyone else from public? Anyone? Sheriff Biddle?

Thank you, Chairman. I just wanted to follow up on a couple things. One is a lot of people have asked about holding different forums in a different location or something like that. And I want our citizens to know, most of them I think are aware of this, but at any time we will go and speak at any type of association that they have or any place that they need us to come speak and talk about not just this topic, but any topic. We are more than happy to do that. All I have to do is reach out to our office. I'm sure my staff back there is cringing because I get a little long-winded when I go and speak, but I'd be more than happy to come and speak at different locations and everything like this. Just the law requires that we do this one each year, but we can speak anytime that we're invited. We will try and get out to those. Second of all, I'd like us to be careful as citizens not to group everybody all into one pigeonhole. I know that there's a lot of emotion when it comes to ICE and ICE agents and things like that, but when we say all ICE agents are bad, That's like when people say all police officers or all sheriff deputies or all cops are bad. And I'd like us to be cognizant of that. Let's not paint everybody with a broad brush. Do all of our organizations sometimes have bad characters? Absolutely. And we do our best here locally to get rid of those folks. there are some good men and women out there that are trying to do their jobs the best that they can and do what they've been hired for to help protect our communities and our country. And so please, let's keep in mind that not all ICE people are bad. And to the young lady that just spoke, I would say that these 77 community members that you mentioned were 77 criminals who did things like murder and rape and robbery. And I don't know the subject that you spoke of, clearly you do, but he did 31 years that was not for nothing. He was paying his punishment for victimizing our citizen, clearly of something very bad. Now he has the opportunity to rebuild his life and hopefully change the direction that he's going. If that happens to happen in the country that he gets deported to, then he can try and reapply and come back as a legal citizen here. Just to follow up again, anytime you need us to come speak at something like that, please just let me know and I'm more than happy to do that. Thank you, sir. Thank you.

Anyone else from public? Thank you. Next is a public hearing to adopt the 2026-2027 proposed budget for the in-home sports services, totaling $15,458,072.

Chair Dhaliwal, I will ask that you recess the Board of Supervisors meeting and convene the IHSS public authority.

We will. recess the board of supervisors meeting and convene as IHSS board.

Good morning, Chair DeLay-Wall, Supervisors. Each year the IHSS Public Authority comes to the Board to approve our next fiscal year's budget. And just want to, for those that are here that may not be familiar with the In-Home Supportive Services Program, thought I'd talk a little bit about what the Public Authority does very briefly. We provide registry services to IHS recipients that do not have somebody to take care of them already, we refer providers that we screened to them and they usually get a list of about five people and they could interview and they make the hiring decisions and they do the training. We do train providers. We have two training programs going right now. We've had a trial run of some in-person training that's also combined with online, live classes online. And then we have an online training platform that's all recorded classes with quizzes and certificates and trained about 900 providers in the last, new providers in the last 12 months of people that hadn't registered for classes before. Once they register for classes, they stay on the rolls as long as they're working. So they can take a class anytime and the segments are short. They can do it when they're taking the bus to work or when they have a break at home or something. We also provide emergency backup services. In our county, that program is not utilized very much, and I think part of that is due to the high number of family members that are the IHSS providers, and so they usually have someone else in the family that's able to help. Some counties it's utilized more, but we do constantly update the list of providers that are available, and these people go out with almost no notice. You know, somebody needed, their provider got sick, That's what he get in a car accident and when he was on the way to his take care of his recipient And we're able to send people out for that So we serve both the recipients and providers in the county And there we are sorry folks I So just some basics about the IHSS program. This year we're expecting to top out at around 13.9 million hours. Next year we expect to grow to about 15.7 million, which is a 13% growth rate. That's a little higher than it has been, but it's not that unusual to have double digits on the growth. The caseload is growing as well, expecting a similar growth in the caseload of 13% or 12%, I'm sorry. And we have, we expect that we will have over 10,000 providers by the end of 2027. The annual wages paid, It's expected to be about $269 million this year. And in the next fiscal year, we expect to go up to $328 million. There was a pay increase of October 25, so that's part of what's driving it, as well as the hours growth, which obviously that will grow the wages as well. The components of the budget. for our agency include administration, which is the staff and the training and all those things we do. We also provide IHSS providers with benefits. We have just over 1,000 people on benefits right now, and we also do distributions of personal protective equipment, gloves, hand sanitizer, and masks. And we have a small budget for our advisory committee. And the emergency backup program is funded at 31,000 in our county. We probably only use about half of that. Mostly it's in administration. So total budget is 15.4 million for this year, which is an increase of 2.1 million, which is due to the changes in the healthcare rate that we pay from 70, 90 cents in September of last year, and then the increased hours. So it comes out to a 2.1 million, and that's the only change from our budget that we revised earlier this year. I'd be happy to answer any questions, ask you to open up the public hearing.

Thank you, sir.

Supervisor Hickman. Thank you, Chairman. You know, the May revision from the governor that came out with, well, in May, and it shifts costs from IHSS from the state to the counties. So how is that going to affect the budget?

Well, unfortunately, well, not. our budget will affect your budget. But those currently have been rejected by both houses of legislature, and you know probably better than I do, we don't really know what's gonna happen until the big five meeting.

Well, that's in June, correct? And if the cost do shift from in-home supportive services from the state to the county, some of their mandates, what does that mean for us?

Supervisor Rickman through the chair. So I just want to articulate human services agencies budget is separate and distinct from IHSS public authority. Public authority reports to you as the governing board and Director McHugh reports to the governing board. I report to you in your capacity of the Board of Supervisors and the Human Services Agency. And I know Supervisor Rickman, you've mentioned before the hours above functional index. And when that does take place, the state is trying to transfer liability to the counties for any hours above the statewide functional index. In San Joaquin County, we're actually the lowest large county in terms of hours per case, and yet the state still wants to apply a penalty to all counties based on an average. So San Joaquin County risks being unfairly penalized as a result.

OK. Hearing that, then, and I think this board is all in agreement to mention before, some of these unfunded mandates that are going to be come down, if good beyond June, that we need to know. So that means that your department needs to contact our county council and our CAO and individual board members and see what's going to cost us so we can take action if necessary. I understand. So thank you. Thank you, sir.

Supervisor Kanpa.

Can you just explain the 70 to 90 cent portion of it because we always wonder I mean what they get paid because that I mean it's obviously a big infusion in our local economy having increased by 22 percent because that's local wages being paid to folks that work in our county. So I mean that's huge but right because I think we're kind of people are always wondering when we do a lot of these contracts how this is kind of predetermined right of what the dollar amount is paid to these folks correct.

Well, it's through the labor agreement we have with SEIU of 2015. But there have been some labor institutes, so it's labor-funded organizations and some educational organizations, done studies and they found that IHSS providers mostly spend their money in their own community, which makes a lot of sense. They're taking care of someone that's probably not as mobile as other people and their life is pretty busy that way. But the actual payment of the wages is, you know, the county has to share that through the share cost. And that goes up depending on a number of factors, including the increased wages and benefits. You know, there'll be an adjustment for that.

Because the benefits did go up too also, right? It was negotiated.

Correct. So Supervisor Kahneman through the chair to add on the current agreement with SEIU is a wage supplement above the state minimum wage. So it's a floating supplement of $2.07 per hour. So every time that state minimum wage goes up, so does the total cost per hour that is materialized as well as there's the 90 cents per hour for benefits. So in this county, we currently have about 11,900 IHSS paid cases. That is up 2,000 just from June of 2025. The growth rate of IHSS cases in our community is significant and as well as throughout the state. So Central Valley particularly impacted.

And I mean, we also benefit because these people take care of people in their homes where it would be in hospitals. I mean, the quality of care that they provide.

Absolutely. So, I mean, there is not enough care beds in communities to care for the individuals that are currently on IHSS receiving care in their homes.

Perfect. Thank you.

Thank you, sir. Vice Chair Ding. Okay. Thank you. Anybody else? Mr. Chair? Yes, sir.

I just want to respond to Supervisor Rickman. Supervisor Rickman, you forwarded to me something from CSAC having to do with some costs that the state appears to be shifting to the counties. As you're probably aware, I'm on the County Council's Association's Cost Shift Committee, which deals with unfunded mandates. Through them, I've been put in contact with a firm that brings these type of test cases. And so I've, I'm in communication with this firm, I've referred, I've let them know of the CSAC concerns regarding some costs that have been shifted or proposed to be shifted to the counties included in that is this one. Once I get some additional information, I'll be reporting back to the board as to this firm's assessment of the viability of potentially bringing a test claim with respect to those matters that you pointed out from CSAC, including this one. We'll have some follow-up information regarding that.

Thank you, Councilor. You know, I appreciate it. And thank you for your work on this. And this isn't just, you know, this one department. It's all our departments. And I want our employees to know that if we're paying more than we should be, you know, paying for what the state should be doing, then, you know, we need to know about it. So, again, Councilor, thank you.

Thank you. I'm going to open the public hearing. Anybody from public want to speak on this item? Anybody from public? Close it, bring it back to the board. Any more questions, comments? Do we have a motion?

Move to approve.

Is there a second? I'll second. We have a motion and a second. Call for a vote, please. Motion passes 4-1. We will adjourn as the In-Home Supportive Services Public Authority meeting and reconvene the Board of Supervisors meeting. Thank you, sir. Thank you very much. Next is discussion and possible action to amend the board rules of procedure regarding agenda items. that conflict with operator prior board direction on board action. Supervisor Rickman.

Thank you, Chairman. The reason for this recommendation, I'm just going to read it off the agenda item. Any proposed amendments are intended to preserve the integrity of prior board actions while maintaining the right of individual supervisor to request changes prior to board decision through a clear and transparent public profits process, excuse me, the proposed amendment to not prohibit disagreement with prior board decisions or prevent supervisor for bringing forward alternate proposals, rather establish the transparent procedural framework requiring that proposal proposal seeking to alter prior board direction first must be addressed openly and separately before substantive consideration of a competing proposal occurs. The proposed amendment is intended to promote transparency in board decision making, preserve orderly conduct at board meetings or board proceedings, prevent procedural circumvention of operative prior board direction or board action, and clarify operative board policy direction for staff and the public. Approve public notice and understanding under the Brown Act, promote fairness and consistency, preserve the integrity of the board parliamentary process, and ensure that changes to prior board direction occur only through deliberate and transparent public action by the board itself. The proposed amendment establishes a clear two-step process. One, the board must first publicly determine whether it wishes to amend or rescind prior board direction or board action, and two, only at a future regular meeting may the board consider the substantive merits of the competing proposal. The problem that we have now is this. and we saw it here a few meetings ago, when the board makes a formal vote or direction, and that's the operating will of this board, the majority of this board, under now, even if you voted for this or against it, say you voted against it, you can bring another agendized item Conflicting with the prior board direction so and you can bring this every single meeting if you wish so there's no stopgap you could say and my concern is That When the vote when the board as a body directs and then individual SUPERVISOR CAN NEUTRALIZE THAT BY SIMPLY PLACING A COMPETING DIRECTIVE ON THE SAME AGENDA OR FUTURE AGENDA, THEN THE PRIOR BOARD DIRECTION HAS NO OPERATIONAL MEANING, THEN AT THE END OF THE DAY, WHAT'S THE VALUE OF A FORMAL BOARD ACTION? SO THAT IS IN A NUTSHELL WHAT I'M BRINGING FORWARD.

NEW SPEAKER THANK YOU, SIR. ANY QUESTIONS? Supervisor Rickman from my right. From my left.

I have a question.

Yes, sir.

County Council, what do you think about what was just said?

This is within the discretion of the board. The only One thing I would suggest consideration and it's up to the board's discretion is whether you want this rule to apply in circumstances where discretionary funds are being utilized and what I'm making reference to is a scenario which I've seen where THE BOARD HAS AWARDED FUNDS TO A GROUP VIS-A-VIS THE DISCRETIONARY FUNDING PROCESS AND THEN IN THE SUBSEQUENT MEETING ANOTHER BOARD MEMBER WISHES TO PROVIDE FUNDING TO THAT SAME GROUP. i would i would suggest that maybe you don't want this rule to apply to that because i my sense is that in those circumstances the board wants to be able to in a streamlined fashion approve more than one discretionary fund use of of the supervisors um so that that would be my suggestion for consideration but ultimately it's up to this board what it wants its rules to be

No, I would agree with that. I mean, that makes sense.

Okay. And that being the case, I've got some language which will which would facilitate that that objective.

That surprise again. So then my question is, if you're the odd person out, then how would you go about it? So if I didn't agree with something that she all did and thought it was important to bring a different viewpoint to it, then what would be the How would you go about it? Say I didn't agree with her. It was three to two or something like that. Then how do I have my due process to bring something forward to refute it? You know, I mean, I get it. But if you're at the short end of the stick and you think that you're what you're doing is correct. Am I being penalized or that person that's the you know, the dissenters is my only concern. So.

No, and there's a procedure for that. It's called amend or resend a prior board direction, and that's in Robert's Rules of Order. So when you're talking about procedure, what this would do, and yeah, you can bring this back, notify the, you know, your reasoning, hey, I want to amend or resend whatever that last board decision was, and if the board agrees with that, you get a majority vote, and then, you know, you bring it back to the next business meeting, their substantive policy, and why you want to change it. And it'll also exempt if there is a reason for expedient changes, whatever it may be. What was that, correct? Let me look at that.

Yeah. Through the chair, the proposal would be that the board has the ability to waive this rule by unanimous consent. If everyone on the board agrees that we don't want to have to go through this procedure of bringing it back, we want to make the change now, if there was unanimity in that belief, then the board could act immediately.

It's not rigid. It's rigid to a point. End of the day, what is following Robert's rules is following procedure that, you know, we all should be falling, you know, anyways.

Thank you. Anybody else? Anybody from public want to speak on this item?

Do we have a motion? I'll make a motion as amended.

And that amendment would place at the end of the uh third paragraph and i may i may tweak it just a tiny bit just to clean it up but i'm sort of writing it on the fly it would my proposal would be also this rule does not apply The wording would be, also this rule does not apply to proposals to utilize board members' discretionary funds if another supervisor proposes additional funding for a group that a prior supervisor has sought funding for successfully. I'm going to have to clean that language up, but you get the gist of what I'm suggesting.

As amended to exempt discretionary board funding.

Pass your motion.

Yes. Do we have a second? Second.

We have a motion and second call for word, please. Passes five zero. What do we have to break at eleven thirty?

We do have outside counsel coming in, and so I would recommend we do so so we don't end up paying for somebody to sit around.

Do you think we have time for one more? Bathrooms. Bathrooms. The smart bathrooms.

Can't vote for bathrooms. No, maybe not.

We can we can take a break right now, then.

We can do that, and I believe the outside counsel is already here because he comes in a little bit early, so we should be good.

The board will recess to closed session. Can you please read the closed session items?

The board is convening in closed session to discuss labor negotiations pursuant to government code 54957.6. The second item in closed session will be performance evaluation of the director of emergency services. The third item in closed session will be a conference with legal counsel to discuss existing litigation under Government Code 54956.9 , which is Fazil v. County of San Joaquin County.

I go to the legion place right there by Eric's Pizza.

Ready? Yes.

We will reconvene after the closed session. County Council, is there anything to report?

There is, yes. With regard to the lawsuit, Faisal versus County of San Joaquin County, The motion was made by Vice Chairman Ding and seconded by Supervisor Gardea. And by a vote of five to zero, the board approved settling that case. The terms and conditions of the settlement will be available upon request once all parties have signed off on the settlement agreement. That's all the reportable action.

Thank you, sir. Discussion item number two, authorize the purchase of two Xello smart restrooms and accessories totaling $516,000 for Kennedy and Giannone parks and direct staff regarding the proposed smart restroom project at these locations. Josh.

Thank you, Chair Dhaliwal. Josh Bronco, Senior Deputy County Administrator. I'm here with Daniel Ramirez, who's our Facilities Management Administrator, and he's actually also serving as our Interim Assistant Department Head for the General Services Department. We also have with us here today Asha Kalal, the Parks Administrator. If there are questions about the operation of the restrooms in the park facilities, So we're here today to talk about smart restrooms, the project as it was originally envisioned and where we're at today, but also to get direction from the board on our preferences moving forward. The reason we're having this discussion now is we are ready to start construction at one of the sites at Kennedy Park. And we've had some discussion with the department parks and general services about their thoughts on the bathroom operations and specifically the pros and cons of smart restrooms and kind of where they would see the department going moving forward. So understanding that, wanting to make sure that the capital project we deliver is what the department wants and also making sure it's what the board wants. We thought today would be a good time to just touch base and get some direction before we move forward. So the current status, just to be very clear, is at Kennedy Park we have plans that have been permitted and we also have a job order contract that is lined up and ready to go. So should we decide to move forward with the smart restroom at Kennedy Park, we would be able to issue a notice to proceed for that particular site this month and begin work shortly thereafter. Little bit of background. So this project was originally envisioned as a pilot project, and it began in 2023, 2024. There was some money set aside for design and permitting. The original three parks that were selected included Taft Park and at some point between now and then, General Services decided to shift from Taft to Giannone. And so that's where we're at today with Garden Acres, Giannone, and Kennedy being the focus of the current project as it is today. Thus far, staff has engaged with an A&E firm to develop plans and specifications for all three of those locations. And most recently and the 2024 2025 budget, there were additional funds that were set aside for excuse me and the 2025 2026 public improvement budget, there were additional funds set aside for five additional park sites. to do renovations for the restrooms there. And those locations included Larch Clover, Bogs Tract, Eastside, Madison, and Gianoni, which again is now Taft Park because Gianoni is part of this first three at this point. So that's a little bit of background. I know it's somewhat confusing because there's been some starts and stops. So just wanna talk about the smart restroom that was originally envisioned for these locations. This is a picture, it's actually from Victory Park. It's right there on Pershing Road. The XLE smart restrooms, they are self-locking. They also have contactless operation. and they're partially self-cleaning, I do want to be very clear that they are not going to replace a cleaning service. They do not completely clean themselves, so we would still have some type of janitorial service to stock them, so on and so forth. So some concerns that we have from an operational standpoint is just the fact that there are a lot of proprietary components with these buildings. There are a lot of electronics involved. There's a lot of specialty parts. And anytime you have electronics in a public space, there's opportunity for vandalism and things to go offline. And so that's really our concern from an operational standpoint is we're gonna deploy these parks, it's gonna be great for maybe a week or two, and then we're gonna have issues that are gonna be difficult to solve and just take a lot of time because of the nature of the buildings.

Josh, since they are self-locking, Are there any safeguards to make sure people don't get locked in there?

My understanding is you can get out, you just wouldn't be able to get in. Okay. But to your point, Chair Dhaliwal, you could have some ingenious folks who could tamper with the self-locking mechanism by perhaps putting something in between. the door jam and then all of a sudden it's not locked at the end of the night because there's not someone physically going out there to making sure that it is locked. So I wouldn't say it's a foolproof system, but you should be able to get out. I hope so.

Yes. You should because some people can also turn around and say, I was locked in there, I spent the whole night, now you owe me this many millions.

Sure, yeah. We could charge them a hotel stay as well. Could be potential revenue.

Thank you.

So with the smart restroom scope, as is currently envisioned, there is a procurement timeline of approximately 20 to 24 weeks. So if we decide that we're gonna move forward with this model, we would go ahead and get that order placed. In the interim, while the restroom is being constructed and delivered, We would complete the demolition of the current facility, also begin work on ADA site improvements, basically the path of travel from the restroom, or from the parking lot to the restroom, making sure we have the appropriate ADA stalls, the paths are all ADA compliant, all of that good stuff. So that's part of the scope of work as well.

Josh?

Yes, sir.

Supervisor Gardea has a question. Not yet? Okay. Continue, please.

So we would expect for Kennedy Park in particular that the restroom would be in service approximately six months from today. So we're gonna talk a little bit about garden acres because there's been some work completed by our facilities management team and Daniel's actually gonna talk about the work that was done and where that restroom is at currently.

Hello. Daniel Ramirez through the chair. So General Services Facilities Management Division recognized that we wanted to, you know, do make some kind of progress to providing this type of an amenity. So for garden acres in particular, we noticed that, you know, it had been down for some period of time. So we wanted to provide some type of resolution to that. So facilities management began began renovating that particular restroom in early April, and they completed the renovation in mid-May, and that restroom was officially opened to the public May 28th. So last week, that restroom has been open for roughly about a week. So that's where we're at with that. Some of the renovations that facilities did, inspecting and repairing the infrastructure, inspecting water, sewer, electrical. The roof was replaced because that building suffered a fire. I'm not sure exactly the exact date. Facilities replaced plumbing, electrical, installed new fixtures, new partitions. They sealed the floor and they painted the interior and exterior of the building.

And so that large portion of that was actually funded by insurance proceeds and because of the work that was completed by facilities management and the fact that it is back in service, the recommendation is that we not replace this restroom with a smart restroom at this point. And so that's a change in the scope of work from the original project that was envisioned. So talking a little bit about the other two sites, Kennedy and Giannone, as I mentioned before, Kennedy is pretty much ready to go into construction, provided we move forward with the smart restrooms. Giannone is a little bit further behind in design because we're incorporating some additional modifications to the plans. One, two, we're reviewing whether we can connect to the domestic water service, connect the restroom to domestic water service available to the park, and then we're also making some revisions to the electrical design so that the panels are actually mounted on the community center. So we are gonna talk about some alternatives to the smart restrooms. One alternative, and Daniel will talk about this on the next slide, is to have facilities management go out and renovate these other two restrooms, similar to how they did at Garden Acres. Another alternative would be to use a prefabricated restroom that is not smart, so it would not have the automatic locking features or some of those more complicated electrical amenities. It would be more standard commercial grade fixtures that are typical at our park facilities. They would be more standard commercial plumbing components and restroom components. The benefit is going to be operationally, they're going to be easier to maintain. They should be more durable than the smart restroom option. Now, the downside is that the current plans and specifications we have are specific to smart restrooms. So there's gonna be, there would be a little bit of rework. We're estimating maybe two to five months to get the plans revised and through permitting again for Kennedy and Giannone parks. So Daniel's gonna talk a little bit about the renovation options.

Yes, so an alternative option would be to rehab the existing restrooms that are currently in place. They are cinder block cement structures, and facilities management would need to go and assessed to ensure ADA compliance. With any of the options, we would need to evaluate the infrastructure, sewer, domestic water, and electrical, but you know, we would basically be doing the same exact items that we did to Garden Acres to the other parks, you know, or the other restrooms within the parks. So that would be another alternative option.

And then on this slide, I'm gonna try and summarize what we've described and then be happy to answer any questions from the board. So on this first column here, what would be included is to move forward with the smart restrooms at Kennedy Park and Giannone Park. You could see there the restroom procurement. That's for the actual units themselves. Labor and materials includes jock contracts to do demolition, restroom installation, and then also the ADA site improvements we mentioned. Because we are going to have savings in this project from the original $3.7 million budget, we're also planning to move forward with upgrading some of the park amenities at the same time. So park amenities would include things like picnic tables, benches, barbecues, trash receptacles, and also new monument signage for all three of these parks. So the total you would see there for the smart restroom option is about $1.3 million. If we decided to instead move forward with the prefabricated restrooms.

Let me interrupt you just so we don't get confused because it's getting late in the afternoon. You're talking about barbecues and everything. This price is just the bathrooms, right? You're just expanding or you're talking about the walkways, the barbecues. that's included in this price too? Okay, so it's not just, we're not building a multimillion dollar bathroom here?

No.

Okay, because it says bathroom, smart restroom.

Yes, so.

Okay, so for the whole park project, Okay, I think it'd be if you if you talk about that you'll make your case better because right now I'm wondering if there's jacuzzis or steam rooms You know where the powder room everything else is so understand. Okay, if you could break that out what we're spending for toilet versus pathways and everything else because I THIS IS INSANE. ANYWAY, IT WOULD HELP ME ANYWAY, IT WOULD HELP ME JUSTIFY. JUSTIFY.

I CAN BREAK IT OUT. I CAN BREAK IT OUT. I CAN BREAK IT OUT.

I COULD HOLD IT FOR ONE I COULD HOLD IT FOR ONE MILLION DOLLARS. MILLION DOLLARS.

I CAN BREAK IT OUT FOR YOU, I CAN BREAK IT OUT FOR YOU, BUT AS SUPERVISOR RICKMAN NOTED IN BUT AS SUPERVISOR RICKMAN NOTED IN ANOTHER MEETING, IT'S MORE THAN ANOTHER MEETING, IT'S MORE THAN HIS HOUSE COST AND IT'S MORE HIS HOUSE COST AND IT'S MORE THAN MY HOUSE COST AS WELL. THAN MY HOUSE COST AS WELL. SO THE ACTUAL, PER SITE BASIS, SO THE ACTUAL, PER SITE BASIS, THE SMART RESTROOM AND PRE That's the actual building that we're purchasing to install. The labor to install that is, again, approximately 250,000. So that's part of that labor and materials row. So per site for the either prefab option to purchase and install is roughly 500,000. So that's the restroom part. Where you get to a million is we're looking at two sites and then the additional work, the ADA site improvements, the park amenities, that's some of those extra costs that are above and beyond the restrooms themselves. Does that help?

516,000 another 650,000 for I Guess I'm more in 500,000 for a prefab.

What do I need to spend? 650,000 on labor and if it's already made.

It's the installation, it's the demo, and it's also the site improvements for the traffic travel.

You said the site improvements are under the park amenities, so it isn't.

So let me, maybe I can jump to the end. Cause I think I can see where you're going.

I'm going, I'm trying to figure out why I wouldn't call a contractor with all the work that needs to be done in the county and say, and not wait four months or six months for some County plan, build me a damn bathroom, put some toilets in there. How much is it going to cost? I don't think it'd be anywhere near a million dollars for a bathroom.

Yeah, and so that would be the third option, the third column, the renovated restrooms. That would be to work with our facilities management team to renovate the restrooms at Kennedy and- I knew you'd make me happy. And Giannone Park, and that's why we're here today in front of the board, because- The original project is a lot different than we thought this current board would prefer. So that 390,000 that you're seeing for labor and materials, that's for our staff to go out and renovate the restrooms. And then also for a separate contractor to do the ADA, the path of travel improvements from the parking lot to the restroom. So that's what's included in that number.

Yes, and through the share, just for clarification, that 390, that's for two parks. So that's for Janone and Kennedy, and then also included in that is the ADA pathway travel to the restrooms. the park amenities of the $98,000, that is the separate line item for the barbecue pits, picnic tables, and trash. And then the ongoing annual costs, that is for janitorial service for either one of the sites, for five five days a week one visit per day for for each restroom so that's that's what those ongoing annual cost is is we open it up in the morning we open the restrooms up in the morning when the park opens and then in the evening we have our security guard that is patrolling the parks lock inspect them and lock them up at night so that services every day

So just one last item to touch on with this slide, and then we can take any other questions. So the original project budget, as I mentioned, was about $3.7 million. No matter which of these we select, especially if we just renovate the existing restrooms, that's gonna leave us with quite a bit of savings. And so the question at that point would be, what are we gonna do with those savings? Because they're significant. So typically for a capital projects, they would revert to fund balance and they would go to the capital reserve, at which point the board could approve their use for some other project, whatever project. It could be anything from B-Well to a sheriff project, whatever the case may be. Now because these funds were originally allocated to a park project, if the board would like them to again continue to support improvement of our parks another option would be to instead transfer the savings to the parks capital outlay fund we are going to have a master plan in front of this board before the end of this year before the end of the calendar year which is going to identify a whole host of needed improvements and and amenities that we could decide to construct, install, what have you. And so that would be an alternative to a use for those savings. So to get to the point so that we can move on, what we're asking is for the board to direct us on which of these three options you would prefer. if it is in fact the renovated restrooms we'll work with facilities management to get that into play as soon as possible and then also any direction you might have on the use of the savings whether it be moving them to the capital reserve or to the parks capital outlay fund or perhaps some other use that you might have in mind So that's the end of our presentation. These are the recommendations that we have before you, but again, happy to answer any questions that the board might have.

Yeah, I appreciate the report and honestly, I want to thank General Services for the work that they did at Garden Anchors. That bathroom was burnt down years ago. And that neighborhood has gone without a bathroom for their little league for quite some time. And I was able to take out a couple board members and took out County Administrator Sandy Regalo and really showed what these communities and the parks that are in their neighborhoods, what they've been dealing with for decades. They're not the same parks as you would see in Lodi and Tracy or Manteca or other places. These are parks that, you know, there's not a lot of opportunities for these residents to to go out and enjoy their parks. And they look like they look like crap for years, you know, not having a working bathroom. I will say I want to say that, you know, the smart bathroom I think it works in certain circumstances. I think the addition to security and the addition to security fencing in the future is going to solve a lot of our problems. We're already saying that smart bathrooms are still going to have to be cleaned every day. Yeah, they do lock on their own, but it's well known that they're not secure. We actually have security that would be able to lock if we fix the bathrooms that we have, if we repair the bathrooms we already have. We save a ton of money. There's not the proprietary infrastructure that's needed. You know, the prefab bathrooms, I think, are great, especially for new parks. But if we in my opinion, is if we have the ability to fix the bathrooms that we already have, I think that's a great alternative. But one of the things I do ask is that now we voted on three point seven five million dollars back in the twenty four twenty five improvement budget that You know, if we're willing to rehab a bathroom at, let's say, Garden Acres, that money that was gonna be allocated for that park, stay in there for future improvements to the park, because, and you have heard me say this in the past, is that our county's done a terrible job of just maintaining our parks, our community parks, and I really feel that It's our duty to get our parks up to standards, but add something different or add something new with money that we've already budgeted for these parks, especially if we have the ability to save money by by rehab in our bathrooms is what what how I see that money staying invested that we had already allocated for these parks.

Supervisor Reckman, anything? Supervisor Canaba.

I, too, want to I mean, if we could save money and remodel them, because unfortunately, you see the people don't take care of these bathrooms when they are nice. I've seen I saw an excellent one and somebody had dented the the stainless steel on the door. And, you know, the damage that they can do to these, I think, costs a lot more. And that's why they're made a baseline block so that the maintenance is kept to a minimum. But I mean, it's everywhere to Oak Grove. you know we thanks for reaching out on that one there there's been a play structure that hasn't been replaced in a very long time so but i think it's those steps yet and that i i think if we can keep the money there i would agree with that too but i mean that's always the question when money gets tight where do we spend it but if we do have an intention of we did a lot this money to this and we can save money and make it go further i i agree with uh supervisor gardia's keep it in parks to upgrade something that we've neglected for a very long time so that's my comments

thank you um i just have i was looking for mary from stroke awareness out there i thought i was gonna die when i saw those numbers so thank you for for the alternatives um i i agree let's let's uh get them fixed, rehab the projects. I understand wanting to keep the money in parks. And I totally agree whether it's keep the money. I don't know if you mean for that specific park or just in parks in general, because I know we're looking at some some areas of the county that actually aren't in any city limits or anything else that are looking at park projects, too. Are you talking about for that specific park or for parks?

Correct. If we've allocated to put a smart bathroom and we decide to go with a cheaper route, I'd rather I'd like it to stay in that park and invest in that community versus that taking that money and fixing a pump at some way. I just want to make sure that we're we're staying committed to the parks in those in the areas that we were decided to spend that money on back in. I don't know what the year is, but that's what I'm asking for.

OK.

Turning it back over to you, Chairman.

Thank you, sir. I do got one question. Have we identified what bath, are all bathrooms fixable? Let's say Giannone.

So we'll need to assess the infrastructure, but from a preliminary inspection, our staff agreed that they are, you know, rehabitable.

And the only reason I bring that up, because obviously if it's not rehabitable, then we have to think maybe as another opportunity with something else. But definitely if they're rehabitable, that would be the direction I would like to see, especially in the community parks that are in my district.

through the Chair to Supervisor Gardea. Would it be acceptable to return to the Board at a future date with a more specific recommendation of projects that we could fund with with these savings i understand what you're saying of wanting to use them for their original purpose and perhaps the board's direction could be to to use the savings for community parks and and then you guys can decide which specific projects would make the most sense uh

I agree with you and I disagree with you. I want to make sure that it stays within, if that money was allocated for, let's say, Giannone Park as an example, if we have a savings of a couple hundred thousand dollars, I want to make sure that it stays to that specific park. If it goes into the general parks fund, then it could be used for whatever that we may need to do something at the zoo or something. I want to make sure that we've already given our commitment to those communities that were reinvested in these parks. I want to make sure that money stays there. But I am okay. I'm good and I would be willing to make a motion to give direction to rehab these parks and then come back to us with a alternative plan with whatever savings there are for those parks. Does that make sense?

Yeah. Go ahead. Sorry. And if you want to tighten up that motion, I'd second. I understand what you're saying, because you throw it right back into the I would like to see staff come back with some specifics. On that particular you throw it back into the general fund, it'll wind up in six South El Dorado or something just so you got a lockbox around it for, you know, for your park or what have you, but come back. you know, with different projects or what have you.

And through the chair to Supervisor Deane, to speak to your earlier comment about outlying areas or other areas that might need additional park amenities or just parks period, that are written, the five additional parks that were slated to receive smart restrooms there's three million dollars in the parks capital outlay fund for that project so if we're here deciding today which it sounds like we are that we don't want to do smart restrooms that would be another source of funds for improvements at other community parks or potentially just new parks if to the extent there is a need

Yeah, that doesn't make me happy. Not as happy as I get.

Supervisor Rickman.

Thank you, Chairman. Yeah, I'm fine with that. But I just want to also, you know, mention that, you know, you have like District 1 has like eight or ten parks or whatever that you may have seven. We have one in South Carolina. Yeah. But it's connected to a large clover and our restroom needs over there, too. So you're talking about funding. And you have one district with eight parks or seven parks and one district with one. So, you know, there's a limited amount of funding and it shouldn't go to all, you know, of one district or seven parks or whatever it may be. I know we're working on regional park on our end, but that's still years and years out. So just to let the board know. Thanks.

I will agree with you on on not wanting to take away from your park. But I would love for you to come and see my parks and see what kind of condition that they're in. I know you don't come to Stockton that often, but I promise you'll be safe. I promise you'll be safe.

I'm not going to go. I better not say this public. I'll leave it at that. But no, I'm good with your proposal.

Through the chair to Supervisor Rickman, that is something we can look at. I'm sure Daniel and his team can go look at the restroom at Larch Clover and see if there are improvements we can make there. Because again, we do have that $3 million that was set aside for smart restrooms at the other five sites, including Larch Clover. So I think that's something we can take care of for you.

No, that's cool. And in fact, we were just over there last week looking at, I mean, it was a neat rehab. It didn't look like that much. I don't want to go in there because you know there's tons of black widows in that thing, just checking it out. But it's, you know, yeah. So I appreciate you and everybody coming over there and, you know, we appreciate it.

My question is how long does it take for you guys, the general services staff, to turn it around?

It'll be done next Monday. Okay.

Nice. So once, you know, we inspect, sorry, through the chair, Supervisor Canepa. Sorry. Once we inspect the infrastructure to see the condition, because my understanding is these restrooms have been shut down for over 25 years. And with that, there is concerns with, you know, sewer lines cracking and things of that nature. So we'll have to assess that and then make those repairs. But We were able to turn, facilities management was able to turn garden acres around in roughly about two months.

These bathrooms haven't been used in 25 years?

So I believe there was limited use on some, but speaking to staff, some of those restrooms have been down for over 25 years.

So the community will just be thankful to have somewhere to go to go to the bathroom, whether it's fancy or not. So thank you.

Thank you, sir. Anybody else? Anybody from public want to speak on this issue?

Is it clear as mud?

Do we have a motion motion?

Yes.

Through the Chair, I just want to make sure the motion is sufficiently clear. I understood, and Supervisor Gardea obviously can correct me, that his motion was to do the renovation, which I think was option three in your slideshow, and for staff to come back with a proposal on using the savings to do upgrades in the two parks that we're speaking of. Is that sufficiently clear as to where the money sits in the interim? Or do you need direction as to where to put the money while we're waiting for you to come back with a proposal?

through the through the chair to county council so the the money right now is in the capital outlay fund so it's not going to go to the general fund or anything like that the only thing i would add is that we would do improvements at all three parks not just kennedy and giannone we would include garden acres in that effort as well but yes that's my understanding of the direction and we can move forward in that manner yep that was my motion second

We have a motion and second call forward, please. Motion passes 5-0. OK. Thank you both. That's why I don't listen to me quick. Next. Yep. Next. Next we have accept the fiscal year 2026 2027 proposed budget for the county and special districts. Jennifer.

Good afternoon, Chair, members of the Board, CAO, Clerk of the Board, County Council. Jennifer Van Stein, Chief Deputy County Administrator, here to provide a brief presentation introducing the 26-27 proposed budget. Today's presentation will consist of a report on a high level, mostly discussing the budget by functional area. The final budget hearing, which will take place two weeks from today on June 16th, at that time we'll go into specifics and details on departmental budgets. The proposed budget of 3.3 billion is structurally balanced and represents a 258.7 million increase from the prior year. Our proposed budget is currently balanced without the use of any general fund balance or reserves, does include funding for all of our negotiated labor contracts, and includes set aside funding towards the first year cost of contracts that are currently negotiations, and continues the additional 5% to pay down the county's portion of the unfunded retirement liability. This slide presents the same 3.3 billion budget by functional area. Our largest health services makes up about 40% of the budget. Law and justice and human services each make up about 20%. And the other functional areas are shown here along with their percentages of the budget. This table presents the budget by functional area and includes the increases or decreases from the prior year. Note we do have a 30% increase in our capital maintenance functional area. That's due mainly to increases in budgeted projects in the public improvement budget. The health services functional area is also increasing and now includes the SJ Bewell construction project. And the decrease in the parks functional area is due largely to one-time expenses for community park improvements that were budgeted in 25-26. The budget is shown here by expense type. Note the largest share at 43% does consist of our salaries and benefits. This slide has quite a bit more pieces to the pie. It shows the sources of funding of that 3.3 billion appropriation. The three largest are intergovernmental revenues that's primarily state and federal at 37% of the budget taxes at over 15% and our hospital special revenues at about 14%. Switching now to the general fund, the general fund budget totals $992.8 million. This is a significant decrease from 25-26 and that's due to the transfer of the Human Services Agency and San Joaquin Health Center's budgets. to special revenue fund and enterprise fund budgets respectively effective July 1st. General fund appropriations are supported by 490.8 million in anticipated departmental revenue and 502 million in general purpose revenue or net county cost. The general fund proposed budget is shown here by expense type. Again, the largest share at 58% for the general fund consists of salaries and benefits. This slide has some detail on both 25, 26, and 26, 27 general purpose revenue estimates compared to the prior year. Property tax is estimated to increase by 26.4 million. Sales tax is estimated to increase only slightly, and interest income is projected to decrease by 1.8 million. Net county cost is presented here by functional area. The largest share is allocated to law and justice. That makes up about 61% of our total net county cost. While the health services functional area makes up the largest part of the budget at 40%, it uses only about 8% of the overall net county cost. Moving on to staffing, the budget includes a net decrease of 57 full-time vacant positions, or less than 1%, and those decreases are primarily in the human services functional area. And as a side note, this table excludes part-time staffing. Including part-time staffing, it's actually increasing at the hospital by roughly 242 FTE. That increase reflects actual part-time workforce levels that the hospital's currently operating at, which are higher than what was previously budgeted. Each year, as part of the budget process, departments may submit supplemental funding for initiatives or programs beyond their base budget allocation. For 26-27, departments were asked to limit their requests for supplemental funding to those relating to existing and essential programs and services, given our continued uncertainty for programs impacted by reduced state and federal funding and upcoming labor negotiations. We did receive initial requests totaling 44.3 million. Of that, 27.2 million is recommended in the proposed budget. The majority of that covers funding losses and increases in existing operating costs such as vehicle replacements and usage, rent and food services. And then subsequently departments withdrew 14.8 million of their requests. All of the supplemental requests will be presented in detail during the final budget hearing June 16th and will include a discussion of funding amounts not recommended at that time as well. The multi-year budget outlook that you see here is intended to provide the board a preliminary overview of the county's finances beyond the current budget year. This outlook is for the general fund and focuses on net county cost, over which the board has the most control. Note this is not an economic forecast, but it's based on the best information we have, including the labor agreements in place today. And the variables can change rapidly, so it does make it difficult to project an outcome. But I'll go through just a few of the forecast assumptions that are kind of important to note. Growth of our largest source of general purpose revenue property taxes in this analysis is projected to slow to between zero and 2% growth for years, the last four years on the slide here. Departmental revenues projected to grow by 3% annually through 3031. And labor costs related to negotiated contracts are included in the model. Upon each MOU's expiration, we used an assumption of 3% annual wage growth. And finally, other costs projected to grow by 7% per year, and that's consistent with recent experience. With these assumptions, the projected deficits that you see in fiscal years 27, 28 through 30, 31 may require the board to consider strategies to address these deficits, including reduced costs, increased revenues, or utilizing reserves. And lastly, we are pleased that the county's digital budget book is now posted and is available online at the county's website. Chair Dhaliwal, this concludes the presentation of the 26-27 proposed budget. As mentioned, final budget hearings will begin Tuesday, June 16th. Those will contain highlights for each functional area of the county, We'll have some presentations by department heads and also a presentation of the budgets for the special districts under which your board has control. Since the 26-27 budget is balanced, the desire to fund additional items will likely come from one-time funds. Typically those funds would come from the contingency provision budget. The CAO's office, department heads and I are available to answer any questions you may have. thank department heads, department fiscal staff, our CAO team, and your board support for putting the budget together. It's a long labor of love. Thank you.

Thank you, Jennifer.

Supervisor Rickman? Thank you, Chair, and thank you very much, and you and the CAO's team, and I know I think every board member met with you guys one-on-one at a know earlier time so we got a more microscopic look at our budget and so with that being said i mean i'm gonna you know withhold most of my questions until it comes back for the board and we can dive more in depth but no i just want everybody to know you guys work hard you know for the last month couple months on what we're um six months and um you know i just want you to know that we appreciate it and you know thank you guys for what you're doing thank you supervisor Thank you, sir.

Vice Chair Dean. Yeah, once again, I just I wanted to say thank you. I love listening to. Well, I shouldn't have joy in their their pain. I'm having joy that that we have a team, a staff that was so conscious, so conservative, worked so well together when I'm with the other supervisors from other counties and And they're cutting staff. They're you know, they're raising fees and we've done none of that. You have a lot to be proud of, a lot to be proud of. So I just want to say thank you.

Thank you.

Thank you.

Supervisor Guardia. I just want to echo my colleagues, you know, basically their message that they're sending is that, you know, we went to CSAC and, you know, we sit at the at the different tables and, you know, we have the different counties talking about, you know, not having reserves and being in a position that they're talking about laying off and doing concessions. I do I do. Appreciate you pretty much your team know first of all putting putting us in a position that you know this this and this isn't this budget this is past budgets to make sure that we're in a place that we're in and looking out to our community's best interest to make sure that we are able to provide the services the best way we can and our departments uh getting the support that they deserve uh but i really feel that you know there's a lot of unknowns coming and um you know with especially with a lot of our budget relies on you know, our government. And so I know that you guys are doing your due diligence to make sure that we're at least trying to head in the right direction. But I just want to say thank you again for all the hard work and answer all the questions that I had on my one on one meeting.

Thank you.

Thank you, sir. Sandy.

I can speak after the board if, okay, I just wanted to first thank the board and I wanted to add to what Jennifer's already, who Jennifer's already thanked, but the department heads, it really starts, we had a discussion way back when we rolled out, right before we rolled out at one of our department head meetings and we said, this is, please, this really isn't a time for expansion, please, let's not create teams, not that we can't, we shouldn't be providing services, we absolutely should, that's what we're, we are here for, but I think it's just getting all of the support from our department heads to really realize, and I know they're out there in their own organizations and they're hearing the same thing that our board members are hearing, you know, the huge deficits in some of these county budgets and we have, we're, I don't want to say we're sitting great because we don't know all of the impacts, but I just really want to show my appreciation, starting with the departments, the fiscal staff, my own staff, our own staff at the CAO's office, just really appreciate everyone and this board to just come together and we're balanced. So you'll hear more in a couple of weeks. Thank you.

Thank you, Sandy. Supervisor Canepa.

I do want to thank you. At this time there's just so much uncertainty and as you see it we we get these board. It was thirty eight hundred pages and we get it you know Friday and even if you get it early on Wednesday it's it's tough to go through it all so we rely on you guys in your departments. to give us the best information. And that's what I appreciate most is that all the supplemental requests, a lot of those, I mean, that's less than I think almost half. And I think everybody feels our pain because when we are out in the community, we get picked off by everybody, everywhere we go. Hey, can you fund this? Can you fund this? And there's, you know, eight cities in our county. So as much as I'd love to have all the money stay in the city of Stockton, there's other there's other areas that we need to be mindful of. And as we've seen it today with the parks and Rickman's over there smiling. So he didn't know he was getting an excellent bathroom in his park. So he's obviously smiling bigger over there. But it's those things. And it's about, you know, working together and compromise and how you get to an end solution. And I think we see it with the health care and behavioral health. and law and justice and all of those, it's a big budget. And I just want to thank everybody for being mindful of making us look good and it makes you guys look good in turn. So I just wanted to say a heartfelt thank you. Thank you.

Thank you, sir. Anybody else? Anybody from public?

Do we have a motion? Chair Nagy eyeballing me. I think he wanted, no? Najee, no?

Do we have a motion? Motion to approve.

Second.

We have a motion and second. Call for a vote, please.

Motion passes 5-0. And, Chairman, if I could, do we have Sandy, or CAO, do we have money in the budget for Najee Circle, or no?

That would be out of the Public Works budget. They might be bringing that.

Hadji circle. Hadji circle. Thank you, Jennifer. Thank you. I was wondering why all these people were here for the afternoon. Now I know.

Almost everybody's gone. Next we have item number four. Discuss and consider the appointment of one position to San Joaquin Regional Transit District. Appointment position 5701.2 for the unexpired term of February 22nd, 2023 through February 22nd, 2027. Rishabh.

Thank you, Chair. Through the Chair and members of the Board, before you today is consideration of the one vacancy to the San Joaquin Regional Transit District Board, as the Chair just read. As you may recall, on May 12, 2026, your Board conducted public interviews for this position and selected applicant John Ando for appointment on a 5-0 vote. Mr. Ando had recently accepted a consulting contract with SJRTD, creating a conflict of interest, and therefore he declined the appointment, leaving this position vacant. Consistent with the board's policy adopted in 2017 regarding public interviews for certain at-large appointments, your board may either appoint one of the remaining applicants previously interviewed on May 12th or direct the clerk of the board to re-advertise the vacancy and schedule a future public interview. Just as a reminder, the remaining applicants previously interviewed were Katrina Bambuela-Santos, Balwinder Singh, Carl Knott, Jesus Salias, and Donald Tafoya. There's no fiscal impact associated with this item and following board direction today, the clerk of the board will either process the appointment selected by the board or proceed with re-advertising the vacancy and scheduling future interviews. This concludes my presentation. I'm available for questions and I believe applicant Carl Nate Knott is here to make a public comment on this item.

Thank you.

Good afternoon, Board. Thanks for this opportunity to speak. Carl Nate Knott from 1021 West Acacia Street in Stockton. And yes, I'm on RT today using the buses routes 578 and 4, maybe the 40. I want to give you what my vision is that our team needs to do. There needs to be a very serious study of the ridership, both patterns and the demographics of the ridership. There needs to be a look at the revenues coming into the transit district. It's a very important thing to have good, respectable fare box ratio recovery for the cost of fares to operations. Obviously, the route structure will have to be looked at very carefully as we continue to come out of COVID. I do mention that RTD has actually had a better recovery of ridership from the immediate pre-COVID ridership than BART, AC Transit, or Muni, or most other big city districts, including New York MTA. So it hasn't been failing in the way that sometimes it has been proposed that it has been. RTD is 61 years old, it's not a new district. Pioneered hybrid buses, electric quick charge buses, depot charge buses. The transit center, which is almost across, it's a block away, was one of the first in the nation. And one of the first in the nation to transport on a regular basis as a primary provider of high school transportation using regular public route schedules, since it's actually illegal for a transit district to do school bus service. And I will say that RTD has greater potential than most people realize. The ridership this year is gonna be about 3.2 or 3.3 million. In calendar year 2009, it did five million riders, 20,000 per day. And then, unfortunately, the economic meltdown occurred, budgets were cut, and services that were doing very well ridership were cut, either drastically cut or eliminated, and never fully recovered the momentum of ridership and service from that. So I just mentioned that I've been a part of all that. I worked there as the director of transportation for 14 years, 17 years in general. I've ridden RTD since 1986. I still ride RTD. As a board member, I'd be somebody who regularly engages with the public and regularly rides the buses, not for show, but for my actual regular transportation within the city of Stockton. So thank you very much.

Thank you, sir. Board members. Any comments, questions? No? I think I have. Supervisor Gaddi?

Yeah.

So quick question. In the past, have we have we ever when we received the applications to do it instead of doing a public interview, have we ever rated who we thought were the best applicants for that position or has always been a public interview?

The public interview process started in 2017. Prior to that, it came forward as a regular appointment like the other appointments. There was one time, I want to say a few years ago for the Stockton Port Commission, where there was also, I want to say, over 12 applicants. After the public interview, then the board ranked the applicants top three, and then we took that and presented to the board during that interview process. who ranked first, second, and third, and then the board picked their appointment.

Okay.

We have not had a situation where an appointee declined so quickly after the appointment. So this is a unique situation. Okay.

Yeah. Yep. Thank you. Supervisor Kanepa.

That was my question too, because usually you would rate three, two, one, or whatever, and you'd have all the candidates. So why is it different?

We've only done that one time.

One time?

Yeah. For this board, the board has always conducted the interview, had a discussion, made their selection.

Somebody just makes a motion?

Yes.

Perfect. Thank you.

Anybody on my left side?

No.

Anybody from public want to speak on this item? Hearing none, do we have, oh, sorry. Supervisor Gurdjieff.

I feel like there needs to be some stability at RTD right now. I feel like, I looked at some of the applications and I kind of looked at what, obviously we had the interview and I do remember the interview, but I looked at the applications and kind of looked at what their experience is. And I'd like to make a motion for Donald Tafoya. to take that position.

Do we have a second? I'll second. We have a motion and second. Call for a vote, please. Motion passes 4-0-1, abstention. item number five direct uh direct the director of general services or destiny whether or not to vote yes or no for the proposed city of stockton storm water utility rate increase applicable to 13 county owned properties

Good afternoon, Chair, Vice Chair, Board of Supervisors, County Administrator, County Councilman, Clerk of the Board. The item we have for you today is City of Stock and Stormwater Utility Rate Adjustments. The county received a handful of ballots for a stormwater rate adjustment. Some of the supervisors that live in the city probably received the same ballots for residential. We received them for the properties that the county owns. The What we're requesting from the board today is to either vote yes or no in support of the proposed city of Stockton stormwater utility rate increase applicable to the county owned properties and authorize the director of general services to sign and execute the ballots on behalf of the general services department. Just a little background on the City of Stockton system that they operate there. The City of Stockton operates and maintains the stormwater infrastructure, including the drains, the pipes, the pump stations, and the holding ponds. The current stormwater utility rate was established in 1992. and the city states that inflation has increased approximately 101.4% since the adoption of the current rate about 34 years ago. The existing revenues are reportedly insufficient for ongoing operations, maintenance, compliance, and capital improvements. So the City Stockton City Council on January 27th adopted a resolution that would gradually increase the stormwater utility rates over the next five years. The monthly rates would increase from $2.10 to $8.10 by July 1st of 2030. And again, the city sites deferred maintenance, regulatory compliance and infrastructure improvement needs as the reason. And then as proposed, the first increase would occur on August 1st, 2026. So the rate would go from $2.10 to $3.85. And then on July 1st, it would go up to $5.60. July 28, $6.85. July 1st of 2029, $7.85. And then the last rate increase would be on July 1st of 2030 at $8.10 a month. And then that would be permanent. And that would be the new rate going forward. So the city estimates approximately $285 million in infrastructure repairs and improvements are needed for high priority projects. TOTAL APPROXIMATELY $99.8 MILLION. THOSE PROJECTS INCLUDE BOX TRACK, BONNIE BROOK, HIGHWAY 4 AND SAN JOAQUIN AND WALKER TURNPIKE IMPROVEMENTS. THE HIGH PRIORITY CAPITAL PROJECTS BREAKDOWN IS BOX TRACK 17.1 MILLION, BONNIE BROOK IS 11.5 MILLION, HIGHWAY 4 AT SAN JOAQUIN. is $24.9 million. And then Walker Turnpike Alternative 1 is $46.2 million. Bogs Tract, Highway 4 and Walker Turnpike are all in District 1. And then Bonnie Brook is in District 2. And again, the total estimated cost is $99.8 million. General Services reviewed the city's planning documents as indicated in the reports. The operations and maintenance expenses and the CIP cost may exceed current revenues by FY2027. We also noted that the financial data prior to 2025 was not provided and that the extent of the deferred maintenance versus prior excess revenues remains unclear. The fiscal impact, if approved, the increased rates would apply beginning August 1st of 2026. The affected county-owned APN include 14 identified properties within the City of Stockton, and then the future costs would be incorporated into departmental operating budgets. The following slide includes actual anticipated costs for parcel-specific impacts. The total annual charge rate will increase from $14,000 per year to $25,000 per year in the first year, and then by July 1st, 2030, the annual charge rate will be $54,000. And then this chart breaks down the parcels by APN on the far left column and then the far right column identifies the responsible departments. And then at the bottom, you'll see the current monthly charge is about $1,100. The current annual cost to the county is $14,000, and then the monthly charge, the new monthly charge after July 1st of 2030 would be $4,500 roughly, and the annual anticipated cost would be $54,000. And then the next slide, basically just a chart, a graph that illustrates the previous slide information that shows what the current annual costs and the affected departments, as you can see, general for services takes the brunt of the current costs. And then going forward, we take the biggest hit. I guess we're it on that. So the next steps following direction from the board today, whether the board votes and the affirmative yes, or they vote no, then general service to go back, fill out the ballots and submit them, probably walk them over today at the end of business. Any questions?

Supervisor Canepa.

I just had so when they do that so with the prop 218s is there a cost escalator so no they don't even get cost of living or because I mean it's been what 26 it's 34 years or whatever I mean it's been a while and I know the infrastructure does yeah we deal with it personally here and all the different districts that we have lighting districts and water districts and yeah not having enough money to do big projects

I believe that they tried this previously. I want to say it was 2010, went to the voters and they didn't pass. Now they're stuck.

Because that was the other thing that I always worried about is that municipality school districts and everybody can kind of wait it so that the people don't get that choice. But we're not that big of a player, just the dollar amount. So, I mean, those are always the questions. What do we do for infrastructure? Because if it's us, we get that. We just had a water meeting for one of the water districts there. And I mean, it's hard because And those just tax themselves for the water. But hooking up to city water was so much more expensive. So what do we do in this? I mean, what's the, you know, like public works, we're always on the other side of it. And so what would the recommendation be here? Because I mean, it doubles basically by 2030. So that's the thing is it's going from, what is it, monthly $1,200 to... monthly and 30, 4,500. So that's more than doubling.

So the city and all the materials that were provided to the public, and then also to us when we reached out to them, We take them at their word. Their system is at a breaking point. Absent this proposal and this vote going through today, they're going to have the results by the 9th of this month. If it doesn't pass, they'll be going back to City Council with another plan. We're not sure what that plan is going to be.

Okay.

it's gonna be dependent on the voters and then the voters, they have to get half of the vote. So whatever the number of the residents and the businesses that vote on this, whatever the total is, they have to get at least half that vote yes.

So it's not the negative, so it's okay. Thank you.

Thank you, sir. So, Mr. Dickman, do you have a question? Yes, thank you, Chairman. I just have a question. You mentioned HSA, shared public board. What exactly does that mean?

That means that they pay for it.

They pay for it. I mean, along with the residents of these districts? Yeah, I'm just not understanding. So you're raising water rates. So of course, the residents going to household residents are going to pay also. But this is our effect on the county.

Yeah.

At the department. Yeah. Yeah. Stormwater. Okay. All right. Cool. Thank you for clearing that.

Thank you, sir. Supervisor Gurdia.

So my, my question is, um, so we get one ballot per, per APN number, right? Is that how that works? So you're asking for direction from us.

If you want to vote, all of the residents in Stockton get property owners get one vote.

So, so you have to have direction from us on, on how, how does that, I mean, how does it about what's about say you sound King county on it as, as it just lists the APN.

Okay. Yeah.

Is this brought to 18 ward?

Yeah.

Yes. Thank you chairman and you probably may not be able to answer this, but you're seeing this. I guess every five years you gotta deal with this, right? So I mean. The city of Stockton isn't the only one that dealing with it. I mean, I think it's pretty much I'm hearing from a bunch of jurisdictions, everybody's water rate is going to go up. And why is that? I mean, everybody can't need new pumps and, you know, everything the same at the same time, can they?

For this one, they're saying specifically it's the CIP. And their operations and maintenance, just overall budget, keeps going up. And their revenues have been flat.

I know it's not my district, but I'm more interested in countywide. So why are rates being flat? I mean, is it because people are conserving water? Do you know the reason why?

Well, as, as, um, we explained to a supervisor guard a previous, they tried to do this before they tried to double it. I want to say it was like in 2010, went to the voters and the voters said no. Right. Which I think, you know, back to when, when that happened, it was kind of where, where the economic downturn people voted with her.

Right. Well, I guess it depends on jurisdiction and area, you know, what the reasoning is, but it just seems like other cities and, you know, a lot of other cities or water rates are not just by, you know, two, three percent, you know, so. Oh, all right. That's all I'm going to say. Thank you. Thank you, Chairman, and thank you. Thank you, sir.

Anybody from public? Anybody from public want to speak? One. Yes, please.

Good afternoon. My name is Vanessa Piccinini, and I am with the City of Stockton Municipal Utilities Department. I would like to thank you for your time today for the consideration. The Municipal Utilities Department oversees three separate enterprise funds, the water, the sewer utility, and the stormwater utility. And this afternoon, for your consideration, we are coming to you with a stormwater proposed rate adjustment. The rates have not been changed in 34 years, and that's because in 1996, California voters approved Proposition 218, which required property owners to have a say or a vote. when an agency proposes property-related increases to fees such as those charged for water, sewer, and stormwater. Also, every enterprise fund Every enterprise utility, the funds that property owners pay for that service, for sewer, for stormwater, and for water, those are separated. They must be kept separate. Therefore, the stormwater utility may not borrow funds from the water utility or the sewer utility. In addition, the stormwater utility proposed rate adjustments process require a two-step process whereas the sewer and the water utility proposed rate adjustments are both a one-step process with a simple majority. which makes the fact that in 2010 my colleagues tried and the voters said no, it makes it more difficult for the stormwater utility in particular to be able to adjust those rates. And that's the reason why the funds have remained flat for the last 34 years. Thank you.

Thank you. Anybody else? Supervisor Canepa?

So I just have like, I mean, they're doing the work over by Swenson park by my house. We're getting a new sewer line and we're getting a new, um, the, the, but some of our county water goes into sewer Stockton pumps, correct? I mean, all the overlap that we have in our district. So, I mean, it's part of our responsibility, right? Because they, our water from our neighborhoods goes into those pump stations, correct? Over in that area by Lincoln, where I live, isn't that? I think that's the city's. Right, but I mean, I'm just saying, because on the other side of Benjamin Holtz County, so our water, obviously, because I think there's only so many dumps that we do in the in the waterways and so that was my concern is when there's not enough money to help pay for these infrastructure problems like they're having so it's kind of a double-edged sword where I think we gain some benefit from it you know if it gets upgraded so that's my comments anybody else do we have a motion I'll make the motion to approve the rate increase Vote yes.

Is there a second? I only second it because it's been 34 years. We have a motion and second call for vote. Motion passes 4-1. Thank you, sir. Thank you. Thank you. Next, we have adopted a resolution approving the issuance of special tax bonds for Community Facility District Number 2009-1, Airpark 599 in a principal amount not to exceed $13.5 million.

smart bathroom yeah we need this for the bathrooms okay uh Chair Dhaliwal, members of the board, Josh Bronco, senior deputy county administrator. I'm here with Mr. Dan Cox from our municipal advisor, and we are going to be discussing the proposed bond sale for CFD 2009-1 for the Airpark 599 development. So the purpose of today's item is to approve the issuance of up to $13.5 million in special tax bonds for the CFD. The CFD was formed in 2009. It was formed under the Melrose Community Facilities Act of 1982. The bond proceeds would be used to reimburse our development manager, which is Catelis, for completed infrastructure that was required for us to actually develop the area as Airpark 599. The infrastructure includes things like water, sewer, storm drains, as well as street lighting, curb gutter, rights of way, all of the above. Also wanna acknowledge the team that we've been working with on this project. This started way back in September-ish of last year, and we're finally to the point where we're ready to present it for your approval here today. So sincere thanks to all of our partners who have made this possible. I wanna give a quick overview of the project, Airpark 599. It's located in unincorporated county area west of the airport, or excuse me, east of the airport and west of Highway 99. The CFD as a whole is approximately 1,400 acres. Airpark 599 is a smaller subset, about 272 acres that's being developed. The planned build out includes the development of 12 parcels totaling 3.47 million square feet of commercial and industrial space. The parcels as they're developed will enter into ground leases with Cotella Stockton. There are five parcels that have been leased thus far. Two have been developed for warehouse and distribution use. There's a third that's going to be developed as a fueling station and then there are two parcels that are currently being marketed for future development. So the timing of the development for the remaining parcels will just depend on market conditions and the interests. So the special tax for this CFD is levied on parcels with long-term ground leases like those five I mentioned before. The developed parcels are taxed first and then the undeveloped parcels are taxed as necessary. So this levy has been collected since 2023, 2024, and beginning in next fiscal year, the levy will actually be collected on the secured tax roll. That was connected to ordinance number 4685 this board approved in January. The reason that's significant is... the secured role becomes a lien on the leasehold interest, which ensures compliance with the special tax. So it's gonna help us make sure people actually pay their tax. So for the financing structure, I'm gonna turn it over to Dan. He's gonna talk to us a little bit about that.

Good afternoon, Mr. Chairman, members of the board. I'm Dan Cox with K&N Public Finance, the county's municipal advisor on this transaction. First, on the financing structure, the financing does comply with the county's infrastructure financing policies adopted back in 2008. The bonds are limited obligations payable solely from the special tax revenues within the CFD. And as such, there's no pledge of the general fund support or the county's full faith in credit. That also means issuance of these bonds would not have an impact on the county's credit rating in any way. The final principal amount of the bonds will be determined at the time of the bond sale, which we hope to be in a week and a couple days. The bonds will be sized based on the net special tax revenues, which are fixed amounts that grow at 2% per year. And the bonds will be sized such that the net revenues after administrative costs will be 110% of debt service. So as rates go up and down between now and the time of the bond sale, that will impact the amount of net proceeds and the principal amount of bonds that are ultimately issued, which is also why the authorization is being approved on a not to exceed basis, not to exceed principal basis. The value to lien ratio, which is the value of the property securing the bonds, to the principal amount of the bonds represented by the lien is 18 to one and that's well in excess of the three to one ratio required by the government code and also well in excess of the four to one minimum value lien ratio that's required by the county's infrastructure policies. Required by the government code are to be provided good faith estimates. These were attached to the staff report. The figures were based on a principal amount of $12.41 million. The true interest cost, which is a measure of the interest rates and the prices of the bonds and the underwriter's discount, was estimated at 4.45%. The finance charge, which is the cost of issuance and underwriting costs paid to a variety of firms, legal and disclosure counsel, the underwriter, ourselves, special tax consultant, among other minor costs, is about $464,000. The amount of net proceeds to be received after funding of costs in a reserve fund is estimated to be a little over $10.6 million, and that would reimburse Catullus for costs of improvements. And then the total payment amount being the total principal and interest payments over the life of the bonds is about 26.7 million. So those estimates were from a couple of weeks ago, had some cushion built in for adverse market conditions. Market conditions have improved a little bit since then, so I think if market conditions stay firm for the next week or so, we should be well under those conditions. numbers i think the um all in true interest cost including all the cost of issuance should be more of a order of magnitude of five and a quarter to 530 and we estimate that the amount of net proceeds will probably be a little bit over 11 million compared to the 10.6 that was in the estimates Security for the bonds, the special taxes will be on the taxable leasehold interest within the CFD. That will be the primary payments. Typically special taxes are levied on the property. This is a little bit unusual but not unheard of to be levied on the leasehold interest. Taxes will be collected on the property tax bills on the secured role and priority administrative expenses the county's costs for administering the CFD those have a priority payment so that'll be paid first and then debt service comes after that to the extent that There's available money after those two items that would be additional funds that would be available to pay for eligible improvements in relatively small amounts over time. And then finally, there is a debt service reserve fund that will be funded from bond proceeds that would cover about a year's worth of debt service and that would cover debt service for a period of time in the event of delinquencies in the special taxes. The sale method, we recommended to the county a negotiated sale in this case where the underwriter is selected ahead of time. That's distinguished from a competitive sale where the transaction is put together first and then put out to bid by the underwriting firms. This approach provides a little more timing flexibility on entering the market. Probably more importantly, having the underwriter involved in the transaction is very useful. They've provided good feedback on marketing issues and disclosure issues. And then finally, because this is a non-rated transaction because of the limited amount of property, and we're kind of on the heels of a fairly volatile period of market conditions, those factors just aren't suited to selling by competitive bid. So it's a pretty strong decision on our part that a negotiated sale is most suitable for this transaction. The bonds will be sold to the underwriters, Stiefel, Nicholas and Company, who we recommended. They're a leader in these category called land secured financings in California. We've worked with them on numerous occasions and have had good results. They've also got experience in this area where the special tax is levied on a leasehold interest. Like I say, it's not unheard of but not overly common either. The interest rate in the resolution authorizes the execution of a bond purchase agreement with Stifel provided that the true interest cost or the overall interest rate does not exceed 6% will be well under that and the underwriters fee or discount does not exceed 1.6% will be under that as well.

Thank you, Dan. So just a few more slides to go. I just wanna highlight some of the county's requirements or I guess responsibilities under this agreement. So there is a foreclosure covenant included, which is standard for these types of land secured bonds. Basically we are required to pursue foreclosure on delinquent parcels as necessary. We are also going to be required to maintain ground leases So in the event that there's a need to terminate a ground lease, we will be unable to do so until we provide a successor. So where this may come into play is if we have a company that we have a ground lease agreement with and they're not paying their taxes before we terminated the ground lease, we would need to find someone to take their place to make sure those taxes are continuing to be paid. And then the last one I'd like to point out is the levy will need to be continued to be collected on the secured tax roll because it does provide greater compliance. And so that's something we'll need to continue doing for the life of the bonds. As far as next steps, so today we're asking for your approval to move forward with the bond issuance. We will price the bonds the week of June 8th, so next week sometime, and then we're looking to close and deliver the bonds later on this month, the week of June 22nd. So upon board approval, the county administrator or designee will execute the financing documents, approve the distribution of the preliminary official statement, which you have drafts in your board packet today, execute and deliver the bond purchase agreements, all those listed documents for you. And then finally to take all the actions necessary to price sell issue and deliver the bonds according to those agreements. So to close out, I do have the recommendations up here on the screen for your review and approval. If there are any questions, we're happy to take those at this time.

Thanks, Josh. Supervisor Rickman.

Thank you, Chairman. And this is for infrastructure, correct?

Yes, sir.

And so airport 599, what are the catalysts? you're going to complete the infrastructure and I guess be reimbursed by these bonds, correct? Why would you, why don't you, why doesn't the company catalyst just deal directly with whoever he leases the property to and get reimbursed that way or put some kind of development agreement out there? instead of putting a bond.

So this the CFD was created for this purpose to fund the infrastructure and the development of the area so that this is the intended purpose of the CFD itself.

But why couldn't okay I understand that but why couldn't instead of putting a bond out there why can they just cut the middleman out and go directly to the businesses that they're going to be leased? I mean I see it this way and tell me if I'm wrong. because I know with different entities or different purposes, but say you get developments, housing developments, for example, and you have three large housing developments that each have to share the cost of roadways improvements, for example, and sewage capacity and water and all that, and they all put into a fund, whatever, to make those

improvements why can you do something like that here well so the um the sub leases are triple net leases so that the tenants ultimately are paying the special taxes the bonding gets funds up front whereas if if funds were collected over time from lessees it would take a much longer time to recoup the costs. And so these bonds, though they're non-rated, they're tax-exempt financing, the longer that it takes for a developer to be reimbursed its costs, that eats into the return because the CFD financing is off-balance sheet financing and it's at a lower rate than what a typical real estate return on equity would be. So that's compared to collecting over time, collecting upfront would mean a pretty big cash outlay on the part of the tenants who may not be tenants for the life of the facility.

So you're saying this bond, the funding that we receive from those bonds to make these improvements would be tax free? Is that what you're saying? Is that what you're saying?

Yes, it's tax exempt bonds.

Versus if you collect it from them, each you know like a like a development agreement that would be taxed so i think what sorry if i could um what i'm just trying to get at is is it more benefit is it beneficial to the businesses or the lease the lease here the lease or that to have this bond versus like, I'm just gonna say development agreement, because that's what I'm used to. Then through a development agreement, do they both benefit from that?

So my response would be yes, they are benefiting because the CFD is funding the infrastructure without which that developer would not be able to build their warehouse or their fueling station or whatever the case may be. So the benefit of the bond is to reimburse. Our partner, Catelis, quicker. That's what Dan was alluding to with them getting that lump sum money as opposed to over a period of 30 years.

Okay, I understand that. So just to shore this up. And this bond to be made is just from the businesses, correct? That's going to be on this? 1,443 acres. So just the commercial, industrial, that's it, right? So it's not going to be passed on to somebody's, a resident or a homeowner or somebody that's not associated with Airpark 599.

No, there's no residents in the district. All right.

So just the businesses in this? Correct. Okay, cool. Thank you both. Thank you, sir. Supervisor Gardea?

I just need a little bit of clarification. So the airport 599, that's a county private partnership with Catelis. I do have a question on how do we collect property tax if it's county owned?

So the lease is taxed?

The lease is taxed. Okay. So if it's a county owned property, let's say hypothetically, the golf course, Oakmoor, and we lease that out, we're able to collect property tax from that leasee

Yeah, so there's a ground lease that in most of the parcels is with Catullus. And it's that initial ground lease that is what the special tax is levied on. So it's not levied on the land. It's levied on the leasehold interest.

OK. So it's not necessarily a property tax. It's a leasing tax.

Yeah, it's a special tax that's levied on a leasehold interest as opposed to directly on the property.

OK.

And then the ground lessee would have subleases, and those would typically be triple net leases where the people operating the businesses ultimately are paying the taxes. But it's not, the tax is not on the property itself, it's on the leasehold interest.

Okay, I was just a little confused on that, but thank you for clarifying that. Thanks.

Supervisor Canepa.

So how long is the bond, the term?

It's a 30-year bond.

30-year bond. So then my question is, who pays those payments when there's no tenants at the beginning? So you're going to put in the infrastructure. Who pays for that bond payment for however many long years it's going to take you to put the infrastructure in? Catullus carries that?

Well, so the debt service will be covered by the two developed parcels.

So, um, so the other ones that it'll, it'll be covered by the other warehouses, the other warehouses are, would cover it for now.

Yeah, there's yeah. There's a, there's an outside chance. A small amount could be levied on, uh, undeveloped property. If a reserve fund is drawn on. but the ground lessee, you could tell us in this case, would pay those taxes.

What'd you just say in plain English, the last part you just said?

I'm sorry?

The last part you just said, what does that mean?

Yeah, so I'll try and translate it into my understanding, and maybe it'll make more sense to you, Supervisor Canepa. So the sizing of the bonds is based on the two developed parcels that are currently, they've been built out, they're in operation, What Dan was saying is it's possible in the future, depending on the debt service, that we would need to levy the special tax on the undeveloped parcels as well, but that's not how the bond is being sized initially. I will say that one of the three undeveloped parcels is going to be developed imminently, and so there's an opportunity to potentially levy the special tax on that parcel as well in the near future.

So you already have the revenue to pay for these from the existing development?

Yes, sir.

And then the PG&E thing that we just did for the gas line, is that on one of these properties or is that closer to the, you know how we did the natural gas? The easement? Yeah. Is that on these properties or is that part of it?

It does go through one of the properties. It goes through the building for parcel. Amoresco has an easement with that tenant for that portion of the pipeline.

But is that Amoresco one that we just approved today, is that part of this group?

Yes. So what you approved today, yeah, that was an update on their lease where they're putting the actual station at, not the pipeline. Same project, but yeah. That station is not going to be affecting any of these parcels. That's on county property. Okay. Thank you. Yep.

Thank you, sir. Anybody else? Anybody from public want to speak on this item? Do we have a motion? Second motion. Second. We have a motion and second. Call for a vote, please.

Motion approved.

He's so fast, I couldn't get it out. Motion passes 5-0. Board members, any comments, committee reports? Yes, sir.

I just want to give a shout out to HR and County Administrator's Office and General Services for getting the trial exercise facility on the fourth floor open. And people are carting in there. So I want to give a shout out. It's been, I think, three and a half years actually have something instead of walking around the fourth floor. Now they can go in there and try out some exercise. So I want to give a shout out to everybody that was involved and all the employees over there and the folks that signed up that day is pretty, pretty cool day for San Joaquin County and our trial project for our wellness facility. So thank you so much for everybody involved.

Thank you, Sir. Supervisor Rickman. Thank you, chairman. Hey, I just want to, you know, wish everybody good luck today. Who ever ran for election, you know, supervisor Dean, supervisor Canada, Canada, but good luck to you and everybody who has, um, you know, that are on the ballot. Good luck. And in with, and as I mentioned this morning, what the Portuguese in the festival for Tracy is Sunday at the parade, I think starts at 9 00 AM. You march to the church, and then you have to march back. So around noon or so, they'll have soul fish and free food and stuff like that. So if you're in the Tracy area, stop by. That's it. Thank you, everyone.

I just want to say thank you to my colleagues for supporting the parks. Honestly, until you go out there and see them for yourself, you're really not going to appreciate the passion that I have for the parks out there, you know, growing up on the east side and spending many, many, many time as a youth out there. But honestly, I really, I think it goes down back to what we're committed to is we're committed to public safety. We're committed to the opportunity for our youth to, you know, to grow up and head the right direction so that we're not dealing with the long-term effects of, you know, keeping our youth occupied, you know, with homelessness and, you know, with all the other dangers of not having a good childhood. And so with that said, you know, we voted on these smart bathrooms, and I think the smart bathrooms are a good alternative for some parks, but I don't think I think it boils down to just common sense. If we have the ability to rehab a bathroom and make it usable and to have the ability to reinvest in our parks in other ways. I think it's a good move. And I just want to say thanks to Juan and his team at General Services. You guys did a bang up job and you knocked out that bathroom. I cut a hole in that roof when it caught fire. Probably, you know, I lose track of time, probably eight, nine years ago. And that bathroom has been vacant since. And, you know, these kids have been using trees and whoever or whatever to go to the bathroom after when they went to need. So I just want to say thank you to your guys. You guys did a great job. And then also and I'll just go back to our budget team. You know, you got we you know, you guys do your jobs in a phenomenal way. And any questions and it could be dumb questions that we ask you that you guys do a really good job on trying to put it on our level so we understand where you guys are talking about. Thank you.

Thank you, sir. Anything.

I think I'm done talking for the next six months. I just want to tell you again, thank you, Sandy, Brenda, everybody from the staff. You make this job today. It's been easy. So thank you.

Thank you so much. The meeting is adjourned to June 16, 9 a.m.