Grand Jury Wants City Budgets We Can Understand, By Jondi Gumz

COMMUNITY NEWS Grand Jury Wants City Budgets We Can Understand

By Jondi Gumz

Cities are involved in risky business — and I don’t mean Tom Cruise dancing in his skivvies on the sofa.

The problem, according to the Santa Cruz County Grand Jury, is that Capitola, Santa Cruz, Scotts Valley and Watsonville have not done enough to evaluate risks that could cause a budget shock.

All the cities evaluate potential hazards such as earthquakes, floods and fire and mitigations but the Grand Jury contends the cities should analyze operational and financial risks and potential interactions, explore options to control the risk, identify where investing resources would have the most impact and then do more to commu nicate this risk to the public.

In a 60-page report, which the Grand Jury details a scenario, “Pandemic Causes Budget Crisis,” showing how a pandemic leads to emergency spending, lower revenue from service fees and lower tax revenue, none of which are under city control.

Lower revenue leads to an emergency hike in service fees and reserve funds being depleted, leading to a significant budget deficit.

At this point, the city could tap a nonrecurring revenue source, reduce funding for services or reduce funding for infrastructure projects.

An emergency donor network to cover specific expenses could mitigate this situation.

If the choice is made to reduce funding for services, either services will be cut or maintenance will be deferred.

Challenges for the analyst include confirmationbias and overconfidence bias.

The Grand Jury says its analysis applies to Santa Cruz County as well.

As for providing information that educates the public about public business, the Grand Jury says – despite strategic plans, budgets and comprehensive annual financial reports –these documents “fall well below the bar of transparency.”

Employee pensions and their share of a city’s annual budget are a major concern for the Grand Jury.

Searching for key data points such as employer contribution rate and funded ratio (assets vs. accrued pension liability) to evaluate each city’s pension risk was difficult. For example, the Scotts Valley Comprehensive Annual Financial Report was not searchable.

The state pension agency, CalPERS, assumes a 7 percent return on investment to generate funds to pay benefits but if the actual return is 5 percent, the city would have to make up the difference. ACalPERS report projected that employers would have to increase their contribution by 66 percent for public safety employees and 33 percent for other employees.

Grand Jury interviews found this wouldresultin“significantlossofstaffand services.”

The Grand Jury recommends that each city include a section in the annual financial report and in the budget devoted to pension risk.

“Future taxpayers (in 20 to 30 years) will have to pay for services rendered today through reduction in available funding for their service needs due to unfunded liability debt payments,” the Grand Jury wrote, calling for effective transparency for residents. “Perhaps if they could view understandable data and information showing what they and their

“Hiring” from page 14

“It’s very rewarding,” said founder Jackie Tucker, who has 100 employees, some “with us 20 years.”

Pay is $16-$17 an hour with paid vacation and sick time provided.

Jobs: Care coordinator, care providers, HR manager

To apply: Jackie@carefromtheheart. net or call 831-476-8316, or see www.carefromtheheart.net/jobs

Big Data Federation: in Santa Clara, founded in 2015.

“We predict the future, said Peter Walther, vice president of operations

Jobs: Senior data scientist with PhD or masters in engineering math or statistics with 2 years experience in artificial science or machine learning.

To apply: Peter@bigdatafed.com

Two more opportunities are available for small businesses: GetVirtual.org, a new initiative led by Toby Corey and Nada Miljković in which college students get college credit for upgrading websites to add appointments, payment and delivery options, and Monterey Bay Interns, which allows small business owners to post internships at no charge at mbinterns.org.

children will have to give up for overly generous pension benefits, then political action would be possible.”

The next election is coming up Nov. 3 for anyone who wants to make financial

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transparency an issue. n

UCSC Winners

Meetup attendees also heard presentations by the winners of the UC Santa Cruz IDEA Pitch. They are:

First place and $3,000: ARbot , an automated recycling arm to sort out contaminated trash on the conveyor belt at a recycling center. Logan Fansler, on the ARbot team, said the device could save the city of Santa Cruz $22,750 a year. Details: ARbot.inquiry@gmail.com

Second place and $2,000: ViBrace , a wearable device to alert the profoundly deafto smoke and fire.

Third place and $1,000: Slug Charge, a solar-powered vandalismresistant password-protected device to be installed in areas for people who are homeless to charge their cell phones. Team member Jordan Tam said it charges six phones at a time. Slug Charge also was voted by attendees as “the people’s choice” award. n •••

For more information visit SantaCruzWorks.org

Committed To A More Just And Equal World

For more than 50 years, Soroptimist International of Capitola-by-the-Sea has worked to create a better world for women and girls in Santa Cruz County and around the globe. Diversity and fellowship are the core values that drive our work, and we model it in our membership and the women and girls we serve. We are a nonpolitical organization, but it pains us to see racial injustice and violence of any kind. While we are living through confusing times right now, where consensus is often hard to find, we remain committed to working for a more just and equal world. We urge introspection and collaboration on ways we can work together to fix systems thatdo notserve all of us equally.

We know that many of the women and girls we serve in Santa Cruz County face inequality because of their race or ethnicity, as well as their gender. We will continue to do our part and contribute positively to Santa Cruz County, our region, nation and the world. We do this by helping women and girls reach their full potential by getting the education they need to achieve economic empowerment.

Right now, we urge calm, empathy and kindness. In the words of Abraham Lincoln:

“We are not enemies, but friends. We must not be enemies. Though passion may have strained, it must not break our bonds of affection. The mystic chords of memory will swell when again touched, as surely they will be, by the better angels of our nature.” — Laura Knapp, President, Soroptimist International of Capitola-by-the-Sea •••

Black Lives Matter, Graduation, and Summer Services

Dear Families of Santa Cruz County:

Santa Cruz County schools join our community in the effort to disrupt systemic racism and the excessive use of police force that disproportionately impacts communities of color.

The devastating deaths of George Floyd, Breonna Taylor, Ahmaud Arbery, Tony McDade, and David McAtee at the hands of police officers in the last ninety days has again brought to light ongoing systemic inequality, oppression, and violence that Black Americans experience each day and the urgency in which it needs to be addressed. These tragic killings have also prompted us all to think deeply about how our identities and actions impact systems of racial discrimination.

It is essential that we continue to prioritize equity in our schools and communities by embracing courageous conversations about race so that we can collectively transform our schools and communities into places of love, safety, accountability, and equitable opportunity. We must come together as a community to deepen our commitment to our shared values of diversity, inclusivity, and justice.

Santa Cruz County schools stand in solidarity with our African American community and all communities of color, and are committed to taking concrete steps to crystalize this commitment. The ongoing pandemic and racial violence we are experiencing in our communities have been deeply painful and significantly affects our community’s emotional and mental health. It is important that we show care for one another and seek out support resources for ourselves and others when we need them.

Our colleagues at the Los Angeles County Office of Education have gathered a collection of resources to help students process the unsettling emotions that they may be experiencing now, enable the community to deepen their understanding of the manifestations of racism in the United States, and provide positive actions toward justice and reform. The resources are available at this address: hps:// www.lacoe.edu/Curriculum-Instrucon/ Equity-Social-Jusce-and-Engagement.

The Santa Cruz County Office of Education is currently partnering with school districts and with our local chapter of the National Association for the Advancement of Colored People (NAACP) to develop additional resources for our schools and our community.

Despite these deeply troubling events weighing on the minds of our students and educational community, Santa Cruz County schools worked hard to host exciting and memorable graduation ceremonies over the last two weeks to honor the tremendous achievements of our graduates.

A number of celebratory commencement activities approved as safe by local public health authorities took place including car parades, drive-up recognitions individualized for small family groups, virtual ceremonies, and pre-recorded video recognitions. We are so proud of our students for the resilience they have demonstrated to maintain their academic progress despite the transition to distance learning, massive upheavals in family life at home, extreme financial hardship, social isolation, and mental health challenges exacerbated by the COVID-19 crisis.

We are also grateful to our dedicated school personnel and parents for helping to make these commencement ceremonies as special as possible for students during this challenging time. Superintendents of all Santa Cruz County public schools are continuing to work together and within their own districts to plan for the reopening of schools and prepare for a range of possible restrictions schools may be mandated to follow by health authorities.

The final plans for the reopening of schools will depend on the direction we receive from the California Department of Public Health, the California Department of Education, and our County Public Health Officer.

Some schools will have services available to families through the summer such as virtual summer classes and continued meal programs. Each school will be in contact with families shortly about summer services they will be offering and details about plans to reopen in the fall as more information from public health authorities becomes available.

For the latest updates on the coronavirus pandemic, visit the Centers for Disease Control website at: hps://www. cdc.gov/COVID19. In addition, you can also call 211 or text “coronavirus” to 211211. TheSantaCruzCountyOfficeofEducation continues to update its web page and resources at www.sccoe.link/coronavirus.

Yours in equity and education,

Laurie Bruton, Superintendent, San

Lorenzo Valley Unified School District

Lorie Chamberland, Superintendent,

Live Oak School District

Eric Gross, Superintendent, Pacific Elementary School District

Mike Heffner, Superintendent, Bonny

Doon Union Elementary School

District

Tanya Krause, Superintendent, Scotts

ValleyUnifiedSchoolDistrictMichelle

McKinny, Superintendent, Happy

Valley Elementary School District

Diane Morgenstern, Superintendent,

Mountain Elementary School District

Kris Munro, Superintendent, Santa

Cruz City Schools

Michelle Rodriguez, Superintendent,

Pajaro Valley Unified School District

Faris Sabbah, County Superintendent of Schools

Scott Turnbull, Superintendent, Soquel

Union Elementary School District ••• Santa Cruz Cannabis Retailer License Woes

The current iteration of “Reefer Madness” is almost as bizarre as the original.

When alcohol prohibition ended, “Reefer Madness” was created to protect the livelihood of abolitionists. In order to

justify devoting public resources toward eradicating the production and sales of the plant it was necessary to connect cannabis with all kinds of aberrant behaviors. Many of the stigmas created through this decades-long propaganda campaign still persist. And lest we forget, the use, sale and cultivation of cannabis remains, to this day, a federal offense.

Now “Reefer Madness” is more asso ciated with the seemingly endless debate and deliberation over rules and regulations that get enacted for one reason or another most often simply because a jurisdiction has the authority to do so.

The current changes to the City of Santa Cruz Cannabis Retailer License are a case in point.

What began as a request by the 5 current license holders to align the language regarding ownership more closely to state law (and nearly every other local jurisdiction) so that a cannabis business could change their ownership structure (like any other business) has been taken as an opportunity to reexamine the minutiae of existing regulations.

The proposed new ordinance, which has its second reading June 23, fixes what amounted to a “life sentence” imposed upon current license holders. Prior to the changes being considered, a license holder could not take on any new investment that affected over 20 percent of total equity nor could they ever hope to sell or bequeath their business. They could walk away from their business with no equity or be stuck for life.

Recognizing the unreasonableness of the current restrictions, Council and staff set out to create a mechanism that allowed for changes in ownership structure while maintaining the ability to approve or deny a new proprietor.

Now, any change to the ownership structure that results in a new person or entity owning more than a 30 percent interest will require an entire new city license. To receive approval for such changes the licensee must meet two new mandatory conditions and six out of a set of ten “factors.” A minimum of three city staffers will review and approve or deny the application.

The licensee will be required to submit anannualaffidavitconfirmingthattheyare meeting each of the conditions and factors.

Essentially the changes provide the 5 current license holders a path to restructure or sell their business so long as new conditions are met.

The current license holders are not raising objections to the new conditions or review factors although they are quick to pointoutavarietyofflawswhichIwillnot discuss now.

Soquel Pioneers Cancel Picnic

The July 29 Soquel Pioneer & Historical Association annual picnic has been cancelled because of the COVID-19 pandemic.

This will be the first time in 82 years that the picnic will not been held.

For more information about the Soquel Pioneers, visit SoquelPioneers.com. •••

Highway 17 Guardrail Repairs Mean Delays

An emergency project to replace guardrail damaged from a recent big-rig accident will result in the closure of the right lane of southbound Highway

“Capitola Q&A” from page 19

We’re not going to run the shuttle as we have such a large deficit. It’s safer to walk.

Q. How do we to get a building or planning permit?

to noon, building hours are 1-4 p.m. Check cityofcapitola.org under community development.

Q. Why are so many people breaking the rules on the beach?

emphasize education over strict enforcement. Our 14 police officers can’t ticket their way to compliance. We need to maintain social distance and wear a mask.

“Lutz” from page 16

He was bold and eager to live all kinds of life’s adventures, ready to learn something new or head off on a new adventure, all with his wife Tisha and beloved children by his side.

As a firefighter he was brave and always willing to tackle any task or danger, large or small. He was eager to help others, mentor those around him, offer practical support, and was loyal and supportive to all in his life. He was known for his devotion to his family, his faith, his love of all things outdoors, and his dedication to CalFire and the calling and people he cared so much about.

David Lutz lived life to the fullest,

17 at Sugarloaf Road on Saturday, June 27, from 8 a.m. until 2:30 pm.

Motorists can expect half-hour traffic delays from the San Jose area and should allow extra time for any travel planned to Santa Cruz.

Alternate routes for travelers going to Santa Cruz include Hwy.1, Hwy.152 or Hwy.129.

These emergency repairs will be performed by Granite Construction of Watsonville and Highway Specialty Company of Redding. •••

Santa Cruz Libraries Community Quilt

The Santa Cruz Public Libraries has created a community art project to celebrate this year’s Summer Reading Program theme, Imagine Your Story. Electronic submissions will be accepted June 15 – July 31.

To participate, make a piece of art in any medium, 2D or 3D, and submit a square image for inclusion in a virtual “quilt” that SCPL staff will assemble from the squares. The collective images will be featured on the SCPL website later in the summer. One

Q How do police engage with the community?

on their “problem-oriented policing” projects, identifyinga problemand finding a solution. We are trying to invigorate the neighborhood watch program.

Our officers recently participated in “dialogue circles” with youth at New Brighton Middle School in a program organized by United Way. In 2019, the man and woman of the year chosen by the Capitola-Soquel Chamber of Commerce were from the police department.

Q. How do you ensure racial unjustice in policing doesn’t happen here?

Live-Streamed Memorial Service July 1

CalFire Capt. David Lutz will be laid to rest on July 1. Due to social distancing requirements, the service will only be open to Captain Lutz’ family, friends, and fire service family. The memorial service will be live-streamed at vimeo.com/432350402/ d4412931df All condolence letters to the family can be sent to: PO Drawer F-2 Felton, CA 95018. In lieu of flowers, donations to the

Lutz family can be made here: https:// gf.me/u/x93njb quilt will show artwork from those under 18, with another open to everyone else. Artwork submitted for the community quilt should be appropriate to a public website for all ages. Submissions may not advocate the election of any candidate for public office. Visit the Art Quilt website at bit.ly/ SCPL-ArtQuilt. •••

Enjoy the Magic of Germar

Zoom Show July 13

Hosted by Santa Cruz Public Libraries

Germar (aka Gerardo Martinez) is a magician from Vallejo who will present three Zoom shows July 13 for the Santa Cruz Public Libraries Summer Reading Program, Imagine Your Story.

Three shows are scheduled: 1 p.m., 3 p.m., and 5:30 p.m. Registration is required. 1pm: https://santacruzpl.libcal.com/ event/6750764 3pm: https://santacruzpl.libcal.com/ event/6750781 caused us all to look within ourselves to determine how we can be better. Our chief, Terry McManus, is committed to community policing.

All our officers are trained in de-escalation.

Capitola was one of the first in county to have both bodyworn cameras and vehicle cameras. Use of force is 37 percent lower than national average – of 220,000 calls over 10 years, .023 percent involved force. A report by Police Strategies which analyzes use of force incidents is on the city website.

Q. What the demographic makeup of the police department?

55% are white, 35% Hispanic, and 10% other.

“Chapman” from page 16

Over time, Diana was promoted to a Staff Services Analyst position. In her support staff position, Diana regularly interacted with the entire staff of the Commission’s Santa Cruz office. Some of them looked at her as their “work Mom,” and all appreciated her sweet and helpful disposition, her comforting and kind presence, and her wonderful sense of humor and infectious laugh. Diana was reliable, loyal and fair.

Diana will be fondly remembered.

A private service was held in Santa Cruz and a celebration of life will be set in the future. was created to dedicate a memorial bench in

5:30 pm: https://santacruzpl.libcal. com/event/6750688

To learn about the summer reading program and register, visit santacruzpl.org. srp. To learn more about Germar, visit www.

Goldstein: Planning hours are 9 a.m.

Petersen: The city has tried to

Goldstein:Allourofficersareevaluated

Petersen: What we’ve witnessed in terms of systemic racial injustice has

Goldstein: There are 22 sworn officers, germagic.net n

Q. Will the Capitola Art & Wine

Festival take place in September?

Goldstein: The decision is up to organizers (the Capitola-Soquel Chamber).

Q. What happened with the Classic Car Show?

Petersen: [The Classic Car Show] went virtual this year.

Q. What’s the status of the rail trail?

Goldstein: The county is looking at doing environmental studies, a multiyear process, then it’s a question of funding the differentsegments. We have a 300-yard segment behind City Hall that we’ve been trying to build for almost 10 years. n •••

To view the video, see https://www. cityofcapitola.org/cityadministration/page/

Inlieuofflowers,aGoFundMeaccount watch-our-community-update

In lieu of flowers, a Go Fund Me account was created to dedicate a memorial bench in honor of Diana: w w w. g o f u n d m e . c o m / f / D i a n a ChapmanMemorialBench

honor of Diana: https://www.gofundme. com/f/DianaChapmanMemorialBench.

If you would like to share a memory about Diana or send a kind message to her family, there is an online memorial page at scmemorial.com.

Mom, you’re as free as a bird now. We love you.

Diana, the sunflowers are getting ready to bloom. n