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05.25.23 City Council Study Session Transcript00:00:06.360 --> 00:00:18.750 Junie Joseph: Welcome and good evening, and welcome to the Thursday, May 20, fifth city, Count. study session of the Boulder City Council. I am Council Member Junior Joseph. 5 00:00:19.110 --> 00:00:24.540 Junie Joseph: We don't have any special announcement today, so we can get right into it 6 00:00:24.570 --> 00:00:32.670 Junie Joseph: tonight. We will be covering 3 items which are Alpine balsam update for about 90 min. 7 00:00:32.840 --> 00:00:38.889 Junie Joseph: We will also cover family leave program for about 45 min 8 00:00:39.050 --> 00:00:44.500 Junie Joseph: and we will do the regional minimum wage update for about 30 min. 9 00:00:44.530 --> 00:00:51.009 Junie Joseph: We will stop after each items, discussions, and directions. 10 00:00:51.230 --> 00:00:58.050 Junie Joseph: Now I will turn the meeting over to Noria to kick off the fine balsam discussion. 11 00:00:58.480 --> 00:01:27.629 Nuria Rivera-Vandermyde (she/ella): Thank you so much, Council Member, and we've got, as you mentioned, the a rich study session today before us. So I believe I'm going to send it to our director of Facilities Fleet Joanna Kran to kick us off and just wanted to make a note of a a quick note of thanks to our Fsc. Committee members on Council. They have seen this presentation, I think, a couple of times now and provided tremendous feedback on what is a really dense presentation. So just appreciate that time, Joanna. 12 00:01:28.050 --> 00:01:42.560 Joanna Crean: Yeah, that's great. Hi, I'm Joanna Korean, the director of facilities and fleet, and we're excited to be here this evening, and, as Nuri was just mentioned, really do appreciate those that have seen some of this presentation before. 13 00:01:42.560 --> 00:01:58.389 Joanna Crean: So we're gonna be talking about the implementation of our facilities master plan specifically around financial strategy. And as folks may recall, facilities, Master Plan was accepted by Council back in October 2021, 14 00:01:58.390 --> 00:02:15.269 Joanna Crean: and once it was accepted, the the next steps that we talked about were developing a more detailed strategy for funding and implementing the key initiatives that were identified in the plan, those being the Maintainer Building Wells and consolidating services. 15 00:02:15.270 --> 00:02:44.900 Joanna Crean: So we're excited to be here tonight to share with you that financial strategy and implementation plan. And this work has been developed by a staff team within the facilities and fleet department as well as in partnership with our Central Finance staff, and the city team, has been supported by a great group of consultants, and specifically at this phase. That's included Ernst and Young, and we have some of their folks here tonight to help answer any questions that may be needed. 16 00:02:44.930 --> 00:03:11.889 Joanna Crean: and as you may recall the facilities. Master Plan provided a fundamental shift in how we look more comprehensively at our city buildings, across the entire building, portfolio and thinking more system wide. And how we address these building needs. So this financial strategy provides a roadmap for funding the many projects in buildings. And we'll need to obviously implement them over a number of years. 17 00:03:11.890 --> 00:03:23.430 Joanna Crean: and tonight we have some questions for council that affirm the approach in the facilities master plan and then guide staff. As we refine, detailed budget proposals on specific projects. 18 00:03:23.450 --> 00:03:32.070 Joanna Crean: So to share these specific details of the financial strategy, I will turn it over to our architect cities, architect Michelle Crane. 19 00:03:33.730 --> 00:03:42.329 Michele Crane: Thanks, Joanna and Good evening, council members. I'm pleased to be here I am, Michelle Green, our facilities architect and capital projects. Manager. 20 00:03:42.460 --> 00:03:46.509 Michele Crane: I'm gonna go ahead and share my screen. 21 00:03:50.090 --> 00:03:50.760 Let's see. 22 00:03:54.900 --> 00:03:57.100 Michele Crane: Okay? And hopefully, everybody is 23 00:03:59.840 --> 00:04:10.820 Michele Crane: so in a high level, our facilities, master Plan established a new strategic direction to take with our city buildings as Joanna was mentioning. It's really a policy roadmap 24 00:04:10.970 --> 00:04:17.519 Michele Crane: for decision making. And tonight we'll provide a recap of some of the key aspects of that master plan. 25 00:04:17.600 --> 00:04:29.450 Michele Crane: And then we'll dive into the financial strategy. we've developed, and we'll also be providing an update on Alpine all them. And we're going to use that as an example of this financial strategy in action. 26 00:04:30.310 --> 00:04:41.830 Michele Crane: But Alpin Bathroom is only one of many building projects, as was mentioned in building project needs. So we want to talk about the value of public private partnership could bring to realize our goals. 27 00:04:42.000 --> 00:04:48.570 Michele Crane: At the end of our presentation we do have some key questions for council around the sale of properties 28 00:04:48.630 --> 00:04:57.150 Michele Crane: leveraging savings, savings from efficiency and exploring. P. 3. Further is an opportunity to realize these building goals. 29 00:04:59.530 --> 00:05:09.390 Michele Crane: So the facilities master Plan was an assessment of 75 buildings just under 2 million square feet, and at that time it was roughly, 600 million dollars a replacement value. 30 00:05:09.790 --> 00:05:16.759 Michele Crane: In less than the 2 years since we brought you that plan, the value of our building portfolio has increased over 700 million dollars. 31 00:05:16.850 --> 00:05:28.120 Michele Crane: Some buildings, as we noted, were intentionally decentralized, serving specific areas of our community. while others have become dispersed over the years in a way that today does not serve our community well. 32 00:05:30.370 --> 00:05:39.110 Michele Crane: collectively, the average age of our building portfolio is just under 50 years. So more than half of our facilities were built prior to the 1,900 seventys. 33 00:05:39.250 --> 00:05:42.769 Michele Crane: meaning many of our buildings, are beyond their useful life. 34 00:05:44.840 --> 00:05:56.930 Michele Crane: when buildings are new, it is easy to turn our attention away from them and towards other priorities. At that time we minimized our spending and investment in those early years. If they were running really well. 35 00:05:57.030 --> 00:06:02.779 Michele Crane: Our building's been slipped into and past middle life, and with little of our attention. 36 00:06:02.880 --> 00:06:13.589 Michele Crane: But now, in many buildings we have crept past this inflection point. The time when our cost to own operate and maintain building starts to rapidly escalate. 37 00:06:14.090 --> 00:06:20.230 Michele Crane: In recent years the number of emergency repairs in our buildings has been quickly increasing 38 00:06:20.370 --> 00:06:32.730 Michele Crane: and fixing these old and antiquated systems now is becoming more and more challenging. It's increasingly becoming more costly. And it's putting a drain on our staffing reasons, diverting them from other work. 39 00:06:34.570 --> 00:06:52.470 Michele Crane: An example of this is found really our recreation center. So our East Boulder community center is at that inflection point. There is an urgency to address the systems in the infrastructure in this building, and in addition to refresh the interior, to meet community expectations 40 00:06:52.490 --> 00:06:57.689 Michele Crane: to support current and future use and stay competitive in terms of service delivery. 41 00:06:58.280 --> 00:07:07.780 Michele Crane: North Boulder Recreation Center is in better shape, but infrastructure replacements are right around the corner, and it has a similar need to ensure the space stays relevant 42 00:07:08.440 --> 00:07:13.250 Michele Crane: itself. We have been highly reactive state for the past couple of years 43 00:07:13.520 --> 00:07:24.530 Michele Crane: responding to emergencies on a routine basis. And we've had to shut the pool and other areas of the building down for extended periods of time to impacted services to the community 44 00:07:24.970 --> 00:07:29.089 Michele Crane: spending on this building is escalating without with limited return. 45 00:07:30.340 --> 00:07:37.100 Michele Crane: Also it it should be noted, our recreation centers are 3 of our top 4 producers of carbon emissions. 46 00:07:37.340 --> 00:07:49.529 Michele Crane: in particular, east and north are huge consumers of natural gas, and as we consider investments in these buildings, we do see a big potential to convert these systems to better align with our climate commitment. 47 00:07:49.950 --> 00:07:57.280 Michele Crane: Addressing these 3 buildings will make a significant impact portfolio. Why, from a climate force perspective. 48 00:07:57.530 --> 00:08:02.030 Michele Crane: So our recreation centers are one of our real big priorities to 49 00:08:03.600 --> 00:08:18.149 Michele Crane: going back and looking portfolio. Why, the condition of the city's buildings can be more accurately reflected in our facility. Condition. Index score. which shows the deferred maintenance costs proportional to the replacement value of these buildings. 50 00:08:18.760 --> 00:08:29.219 Michele Crane: Holistically, our building portfolio is in poor condition, and it crosses to critical just beyond 2,030. If we just simply maintain our current approach to investing in these buildings. 51 00:08:29.880 --> 00:08:36.110 Michele Crane: this condition is also expressed in terms of funding, is an unfunded liability by the graph on the right. 52 00:08:36.530 --> 00:08:59.300 Michele Crane: This unfunded liability. Another way to put that is the risk of building failure, which is increasing. like we talked about in the past 2 years. As we have continued to start to shift focus on these types of emergencies. Our liability has grown from about 55 million at the time we presented the plan to 86 million. Now across the portfolio. 53 00:09:02.010 --> 00:09:07.460 Michele Crane: when we did our master plan, and we looked to address these concerns in our building portfolio. 54 00:09:07.570 --> 00:09:23.390 Michele Crane: Our master plan was really built on these 3 pillars of good asset management. Our buildings need to do more than just get ahead of our system failures. And as we make improvements in our buildings, we want to convert systems to provide clean energy and be more environmentally responsive. 55 00:09:23.950 --> 00:09:28.770 Michele Crane: Likewise, bundle buildings are fundamental to supporting community resilience 56 00:09:28.800 --> 00:09:33.149 Michele Crane: and spaces in our buildings can shape our interactions with each other. 57 00:09:33.190 --> 00:09:41.900 Michele Crane: they can provide a sense of safety and inclusion, they make us feel welcomed, they support mental and physical health, and they create places to foster connection. 58 00:09:42.120 --> 00:09:54.749 Michele Crane: These finer details of our pillars are found in those 6 guiding principles. and we identified key performance indicators in each of those principles to help assess today's building portfolio against our goals. 59 00:09:57.160 --> 00:10:10.560 Michele Crane: This is a snapshot of Appendix D, that was in our master plan, and it provided a scoring of our current buildings in relation to those key performance indicators. And by just glancing at this, for what we see here is just too much work. 60 00:10:11.260 --> 00:10:19.440 Michele Crane: We have too many buildings that are in poor condition. And this is creating competing priorities between different building types that support our community and everyone. 61 00:10:20.590 --> 00:10:28.999 Michele Crane: And we simply don't have enough funding to just address all these. It will require some creativity and some new thinking to make changes. 62 00:10:29.320 --> 00:10:38.009 Michele Crane: and we will need to consider some trade off and maybe make some hard choices to responsibly fund our infrastructure improvements across our portfolio 63 00:10:40.100 --> 00:10:53.110 Michele Crane: in 2,021, when Council accepted the facilities master Plan, you put in action. The 2 key initiatives recommend in that plan make the most impact portfolio wide and help turn us in a new strategic direction. 64 00:10:53.660 --> 00:11:13.339 Michele Crane: The first is to maintain buildings. Well, the primary goal of this initiative is to face all of our buildings to a model with governance and operational. This is the path to sustainably investing in our building, so that 20 years from now, 50 years from now, we don't find ourselves in the same situation today. 65 00:11:14.390 --> 00:11:17.779 Michele Crane: no matter what we will need to make some capital investment. 66 00:11:18.320 --> 00:11:24.800 Michele Crane: However, following these large investments, we want to maintain buildings in a predictable, and 67 00:11:25.170 --> 00:11:27.320 Michele Crane: that lowers our total. 68 00:11:27.790 --> 00:11:30.769 Michele Crane: Thank you for your running reliably and efficient. 69 00:11:31.470 --> 00:11:34.239 Nuria Rivera-Vandermyde (she/ella): Michelle. I'm sorry you're you're cutting out. 70 00:11:34.720 --> 00:11:36.819 Michele Crane: Oh, I'm sorry. 71 00:11:36.910 --> 00:11:39.370 Michele Crane: am I back in there now? Okay. 72 00:11:40.660 --> 00:11:50.279 Michele Crane: our second key initiative was to consolidate services. and those are the ones that are scattered right now, currently across more than 20 buildings to 2 key campuses. 73 00:11:50.590 --> 00:11:56.190 Michele Crane: one in the West at Alpine, Boston, and one in the East. In our current municipal Service Center. 74 00:11:56.860 --> 00:12:12.839 Michele Crane: By vacating space in areas around the city, we allow for other opportunities and community benefits to advance. Choosing this new strategic direction at the time we share this plan, that divesting and current buildings that would go towards consolidation. 75 00:12:13.210 --> 00:12:18.080 Michele Crane: seizing real estate opportunities in a timely way that supported that 76 00:12:18.430 --> 00:12:21.720 Michele Crane: creating high-performance buildings and restructuring funding. 77 00:12:22.260 --> 00:12:27.959 Michele Crane: So the first 2 points in particular underpin a lot of the financial strategy that we're going to get into more. Yeah. 78 00:12:31.150 --> 00:12:40.470 Michele Crane: So the financial strategy that we're presenting here today consists of these key building blocks that can be applied towards any one of our major capital projects. 79 00:12:41.430 --> 00:12:52.090 Michele Crane: First, we know there are city dollars that will need to be allocated to these projects. There are a variety of sources of these dollars, and we are looking to match the most appropriate source to the specific. 80 00:12:54.110 --> 00:13:02.040 Michele Crane: Second, there are over savings that come from our existing buildings. Every project can leverage some sort of efficiency, support, and fund our projects. 81 00:13:03.430 --> 00:13:23.210 Michele Crane: We are specifically recommending new fencing, safe from operations and maintenance efficiency and avoided capital replacement in our built. So this means holding these savings separately and specifically to fund our new building projects and help sustain those assets rather than allowing those things to just be back 82 00:13:23.250 --> 00:13:25.790 Michele Crane: into the budget for maybe some unrelated I. 83 00:13:26.690 --> 00:13:36.130 Michele Crane: And we are also looking at divesting in properties and using those sale proceeds to help reduce capital costs which in turn would help lower our annual death. 84 00:13:37.810 --> 00:13:42.310 Michele Crane: Lastly, we will look to external sources to help find 85 00:13:42.780 --> 00:13:50.210 Michele Crane: there are an increasing number of brand opportunities that help projects meet climate goals and social values and partnerships. 86 00:13:50.250 --> 00:13:54.730 Michele Crane: both with other public partners who can realize mutual benefit working with us 87 00:13:54.760 --> 00:13:57.549 Michele Crane: and from private markets who can help us deliver. 88 00:13:58.060 --> 00:14:06.710 Michele Crane: So these are the financial billing blocks that we have to fully evaluate on any one of our large capital projects to really create a good funding strategy. 89 00:14:10.200 --> 00:14:21.340 Michele Crane: And so now we break these blocks down first to fund initial capital costs. or put another way to reduce the amount of debt that would need to be financed. 90 00:14:21.860 --> 00:14:31.650 Michele Crane: These debt reductions come in the form of one-time city dollars proceeds from sale of buildings, partnerships. You bring capital to projects and brands. 91 00:14:31.860 --> 00:14:37.799 Michele Crane: And then we're left with an amount that would need to be financed over some term which is typically 20 years in the city. 92 00:14:40.480 --> 00:14:55.210 Michele Crane: Now, as we look at that annual payment or that annual death service, we look at other source of those blocks to help make that debt service payment, and those come in the form of ongoing city dollars, captured savings from operations and maintenance efficiency 93 00:14:55.230 --> 00:15:00.020 Michele Crane: and avoided capital replacement costs and then partnerships that could bring ongoing them. 94 00:15:02.590 --> 00:15:09.749 Michele Crane: So now we're going to look specifically, and I can follow them as an example of this long term financial strategy in action. 95 00:15:09.980 --> 00:15:16.300 Michele Crane: But first, I want to get a little update in orientation to what we've been developing on the site 96 00:15:17.130 --> 00:15:30.000 Michele Crane: for. Well, more than a year now we've been working in partnership with older housing partners to co-develop the study, and I want to draw emphasis to the partnership aspect, because again, it is one of our building blocks to that financial strategy. 97 00:15:30.250 --> 00:15:44.220 Michele Crane: Bhp is developing the housing portions of the project. These center 2 parcels will be affordable housing. The 2 parcels on either end will be entitled. And then. 98 00:15:48.120 --> 00:15:53.380 Michele Crane: Michelle, you're breaking up again. 99 00:15:53.960 --> 00:15:55.000 I'm sorry. 100 00:15:56.420 --> 00:15:59.650 Michele Crane: Can you hear me now? Sorry. Okay. 101 00:16:01.270 --> 00:16:04.129 Michele Crane: did you catch those last 2 parcels? I think we've got 102 00:16:04.680 --> 00:16:09.990 Michele Crane: missed the last 2 or 3 sentences. 103 00:16:10.110 --> 00:16:13.419 Michele Crane: are going to be our affordable housing projects. 104 00:16:13.600 --> 00:16:29.890 Michele Crane: and then the 2 parcels on either end that are in the blue rings, or will be sold as market rate housing projects that will help support that affordable project. And then the yellow parcel that we're showing there are really what we're using to create. Our Western city campus. 105 00:16:33.940 --> 00:16:41.580 Michele Crane: shown in green is the shared infrastructure that supports the housing, the campus, and the surrounding community 106 00:16:41.710 --> 00:16:53.109 Michele Crane: with new multi-use cap and enhanced pedestrian walker to sail through the site, and a green way which is part of the recently accepted this Creek flood mitigation plan 107 00:16:53.130 --> 00:17:06.129 Michele Crane: that connects the commercial center to North Boulder Park. and here, too, with the floodways, an example of a partnership in action. We are actually working with mile high flood districts to help construct and possibly maintain that channel. 108 00:17:07.220 --> 00:17:16.539 Michele Crane: The parking garage that is shown in yellow and will be part of the new. We'll also support the housing and the parking for the housing. 109 00:17:19.520 --> 00:17:28.460 Michele Crane: and there are many other mobility features that are being designed into area around the site to help encourage and support alternative modes of transportation. 110 00:17:30.020 --> 00:17:40.350 Michele Crane: So now we're going to focus our attention specifically on the Western city campus, which is that yellow portion. And what this means when we talk about buildings to consolidate here 111 00:17:43.030 --> 00:17:59.089 Michele Crane: we have 10 buildings that we could possibly vacate for consolidation to this thing. 7 of those buildings are in the civic area, and when we vacate the staff and services from those buildings we can advance on that transformation that was envisioned to the civic area master Plan. 112 00:17:59.740 --> 00:18:04.809 Michele Crane: There are 9 buildings that the city owns now that are in for a critical condition. 113 00:18:05.060 --> 00:18:10.999 Michele Crane: And this graph here shows the forecasted spending on these buildings as they are today. 114 00:18:11.220 --> 00:18:21.160 Michele Crane: The light blue bars are a projection of the Plan city investments in those buildings based on the infrastructure needs that we know are there, and our spending history 115 00:18:21.580 --> 00:18:29.969 Michele Crane: and the orange barriers reflect the 2 to 4 times increased cost associated with what's happening when we meet costly emergency repairs. 116 00:18:30.460 --> 00:18:35.409 Michele Crane: So there is some significant financial value really locked up in these buildings. 117 00:18:37.600 --> 00:18:52.379 Michele Crane: consolidation of staff and services to the new Western city campus provides financial, environmental and social them. we have already made large investments in this site in the land itself in deconstruction of the hospital 118 00:18:52.420 --> 00:18:59.650 Michele Crane: we've invested in the infrastructure currently on the site and Re having buildings like the Brenton building back in 2,018. 119 00:19:00.170 --> 00:19:05.329 Michele Crane: So we have spent money, but we are also receiving a lot of value back for these investments. 120 00:19:05.370 --> 00:19:19.149 Michele Crane: Brenton is a great example. When the city turned to renovating this building. We actually at the time had been looking for these space when we strictly look at the cost of leasing that same space compared to the renovation cost we spend. 121 00:19:19.190 --> 00:19:23.400 Michele Crane: We're close to realizing a direct return on our investment. 122 00:19:23.620 --> 00:19:33.919 Michele Crane: but we also got an all electric high performing building that now provides a good work, environment for staff and better customer service. Not to mention it remains a city asset. 123 00:19:35.160 --> 00:19:54.689 Michele Crane: Our government is physically fragmented now it's spread across many buildings which has been detrimental to staff and servicing the community. Consolidation is not only efficient in this new physical space, there is an opportunity to create something beyond the some of its parts, the connectedness of well beyond what we have right now. 124 00:19:55.530 --> 00:20:06.400 Michele Crane: beyond the city canvas. Looking at the whole site, we will be able to sell back to parcel, but market rate for housing, and we will achieve one of the largest, just affordable housing projects to date in the city. 125 00:20:07.000 --> 00:20:22.009 Michele Crane: we are not ready to do quite the full reconciliation on this project, but for all the spending and the upfront investments that we are making, we are realizing significant returns on those investments again, financially, environmentally and socially. 126 00:20:25.520 --> 00:20:34.560 Michele Crane: Now back to looking at funding this vision as we move forward and focusing first on the importance of debt reduction strategies. 127 00:20:34.930 --> 00:20:53.159 Michele Crane: So in the case of the Western city campus, it is leveraging. Sale proceeds on on go and ongoing savings from vacant. We are still refining our costs for redevelopment, but we're working in orders of magnitude of around 150 million dollars, which would include infrastructure across the site 128 00:20:53.170 --> 00:21:09.659 Michele Crane: site work and other buildings. This excludes the housing work. Vhp is specifically developing, but it does include shared infrastructure. some of those cost sharing show up along with the grants, and that purple block is part of our initial debt reduction. 129 00:21:10.000 --> 00:21:19.310 Michele Crane: And then there is the sale of the properties we are vacating. There are 6 of them that could whose sale proceeds could be leveraged towards the step reduction. 130 00:21:19.560 --> 00:21:28.819 Michele Crane: And lastly, there are some one-time city dollars that we would inject into those initial capital cost reductions. And then that leaves a certain amount that would need to be fine. 131 00:21:31.700 --> 00:21:37.989 Michele Crane: So then, we have an annual debt service payment that's now shown on the right there. next to those initial capital costs 132 00:21:38.650 --> 00:21:48.729 Michele Crane: funding of that debt service, part of it is already programmed into our city's budget. But another big contributor comes from the savings realized from vacating those buildings. 133 00:21:48.870 --> 00:21:51.730 Michele Crane: and then we may still be left with a small gap to build. 134 00:21:53.740 --> 00:22:00.150 Michele Crane: But when we don't sell companies we get hit kind of in 2 ways that are critically detrimental to funding this project. 135 00:22:00.260 --> 00:22:16.820 Michele Crane: First, we don't get the initial debt reduction through the sale proceeds, which increases the amount that needs to be financed. and then our annual debt service payment now increases, and we don't have those ongoing savings from those buildings that vacated 136 00:22:17.260 --> 00:22:21.220 Michele Crane: more. So we would still be carrying those buildings and all of their liabilities. 137 00:22:21.420 --> 00:22:26.769 Michele Crane: so that gap now increases to something that the city looks like we cannot afford to fund. 138 00:22:29.490 --> 00:22:42.170 Michele Crane: And so I I want to help with the sale of properties, though, in context of our city, wide portfolio and for some projects like the Western city campus, you know, this looks like getting out of expensive properties. 139 00:22:42.730 --> 00:22:51.819 Michele Crane: These sale. The sale of these 6 properties that we've mentioned represents about 3% of the total square footage of the buildings in the master plan. 140 00:22:51.880 --> 00:23:03.490 Michele Crane: But that does not actually account for the square footage we would be gaining at the new city campus, which in total would still add a net to our a net increase to our square footage across the portfolio. 141 00:23:04.040 --> 00:23:23.430 Michele Crane: but if we look at it in terms of total acreage, the city holds not including our Osmp land. These sales become negligible less than a fraction of percent of the the total city holdings. and so it's small when we compare that to the value of getting out of some of these properties. 142 00:23:26.890 --> 00:23:38.199 Michele Crane: So looking across our building portfolio this long term, financial strategy actually can be applied and must be applied really to the projects we need to implement across the portfolio. 143 00:23:38.440 --> 00:23:45.130 Michele Crane: like in our recreation centers and our fire stations and other buildings that support critical services to our community. 144 00:23:45.550 --> 00:23:57.570 Michele Crane: When we're looking at each new project in their cost, we see similar opportunities to employ the first step reduction strategies and identify sources of on those debt service payments. 145 00:23:57.900 --> 00:24:13.760 Michele Crane: There are a lot of efficiencies that we see to be gained, and how we deliver services from buildings when we kind of get out of some silent thinking that has historically led to lots of buildings supporting just one service or duplicating services around the city 146 00:24:14.720 --> 00:24:27.469 Michele Crane: buildings are very expensive to build to own an author, and as I shared at the beginning, we have a lot of large capital needs across the buildings with competing priorities, and we simply don't have the funds 147 00:24:27.510 --> 00:24:30.380 Michele Crane: to spend on every in each one of them. 148 00:24:30.610 --> 00:24:40.349 Michele Crane: So we are trying to be creative and strategic, to limit our trade offs and those hard decisions and make the most out of that one as we meet the needs for our community. 149 00:24:41.670 --> 00:24:49.689 Michele Crane: Another way we could look at addressing our building infrastructure needs is by considering a public private partnership or A. P. 3. 150 00:24:50.300 --> 00:25:00.979 Michele Crane: There are many local and State governments that are confronted with similar issues that we have in there. Turning to p. 3 s. To help invest in their infrastructure and financially sustainable ways. 151 00:25:02.090 --> 00:25:16.380 Michele Crane: So a a private partner is a team who would provide investors who provide equity in the project of contractors who normally are a national or global firms who work with local subs to design and build projects. 152 00:25:16.480 --> 00:25:25.040 Michele Crane: and then operators who again, probably national firms, who provide an ongoing major maintenance and operations that would be defined in a contract. 153 00:25:25.760 --> 00:25:32.299 Michele Crane: and those operators would be obligated to meet ongoing performance standards that would be defined by the city 154 00:25:32.950 --> 00:25:42.030 Michele Crane: private partnerships today as opposed to in years past they are strongly motivated to achieve. Yeah, Esg bonds where that is, environmental, social and governance goals. 155 00:25:42.390 --> 00:25:50.619 Michele Crane: In fact, recently the Security and Exchange Commission has started requiring reporting from private firms on their progress towards meeting. 156 00:25:51.190 --> 00:26:00.499 Michele Crane: So the city is really in a strong position to look for and then qualify to share our values and can demonstrate except on other projects. 157 00:26:03.140 --> 00:26:11.630 Michele Crane: staff. We have looked at some of the key considerations that are most relevant to the city of older when we think about the value of a partnership. 158 00:26:11.910 --> 00:26:28.820 Michele Crane: financing costs are higher typically but likely can be recouped over time, because maintenance and performance are built into the contract versus the city's ability and our discipline to maintain these buildings at the same level over 20 years on our 159 00:26:29.520 --> 00:26:35.949 Michele Crane: partnerships with Zoom, a lot of risk and liability. But this can be limiting on future decision making. 160 00:26:36.340 --> 00:26:45.299 Michele Crane: But the biggest value we see. it appears that it appears really worth exploring is when we consider bundling multiple projects together in one opportunity. 161 00:26:46.110 --> 00:26:56.850 Michele Crane: This approach has the greatest potential to reduce our overall cost is compared to the city trying to complete projects, sort of one by one on its own. 162 00:27:00.000 --> 00:27:10.919 Michele Crane: From our initial look we believe there could be good value in entertaining a. P. 3. Relationship to help the city, address our failing buildings and simultaneously deliver on our goals and values. One. 163 00:27:11.040 --> 00:27:26.560 Michele Crane: So staff are proposing to explore the P. 3 in more detail through a direct market sound. so that entails refinement of our business case. to take to the market, and then directly engaging with these real market participants 164 00:27:26.600 --> 00:27:38.729 Michele Crane: to react to what the city is offering and then help refine an approach that if palatable and it looks really opportunistic. We would then develop a procurement strategy 165 00:27:38.940 --> 00:27:39.750 Michele Crane: required. 166 00:27:43.200 --> 00:27:54.220 Michele Crane: So that concludes our presentation, and it brings us to our key questions from Council this evening, which are focused around the sale of properties. 167 00:27:54.330 --> 00:28:02.290 Michele Crane: capturing our savings from those buildings and efficiency and investing in or investigating a p. 3. 168 00:28:02.800 --> 00:28:13.900 Michele Crane: But, before we get to this questions. I think I'm turning it back to our moderator for some clarifying questions, and I think these questions will be posted in the chat. So I will 169 00:28:15.210 --> 00:28:16.319 Junie Joseph: take this week. 170 00:28:16.700 --> 00:28:30.580 Junie Joseph: Thank you, Michelle. This council have any question concerning the facilities master plan implementation and financial strategies or Alpine wholesome 171 00:28:30.860 --> 00:28:37.289 Junie Joseph: at this time. I'm not seeing any hands up at all. All right, I see. council Member Wallace. 172 00:28:37.470 --> 00:28:42.450 Mark Wallach: Thank you. Appreciate it. Thanks for that presentation. And 173 00:28:43.140 --> 00:28:46.430 Mark Wallach: this is a very difficult subject. 174 00:28:48.030 --> 00:28:57.739 Mark Wallach: do we in in your program? Are you contemplating the continued sales as we go along, of the of the balance of our real estate portfolio 175 00:28:57.810 --> 00:29:03.719 Mark Wallach: to do more and more projects. basically converting what we've got into something new. 176 00:29:05.300 --> 00:29:32.060 Michele Crane: you know, I I a lot of the properties that we're looking at is opportunities for sale are are really are focused in this first phase without. I'm all of them. But I think that as we look at some isolated projects. There could be opportunities for sale in the future. But it's not like wholesale trying to disperse or dispose of a lot of city properties. It's it's opportunity, opportunistic. 177 00:29:32.070 --> 00:29:35.549 Michele Crane: parcels that help leverage towards a consolidation. 178 00:29:35.720 --> 00:29:44.010 Mark Wallach: Okay, thank you. you talk about the trade offs and hard choices. Could you be a little more detailed about what that looks like? 179 00:29:44.120 --> 00:29:48.150 Mark Wallach: What are those hard choices and and trade offs 180 00:29:48.520 --> 00:29:52.339 Mark Wallach: something? And you know, building? 181 00:29:53.030 --> 00:30:09.929 Michele Crane: Well, some of them might be, and I know it's a hard choice to think about selling property. So that is one, you know, looking at the value of of what it takes to own and operate all these properties versus consolidating to a site. So that is certainly one of those those choices. 182 00:30:10.080 --> 00:30:33.389 Michele Crane: There could be others in The way. Again, we duplicate some services. Now, sometimes in different areas, we have 2 buildings kind of supporting similar uses. there could be opportunity to consolidate. That could include some some choices and some trade offs. in how we we do those consolidations, but they also generate efficiencies 183 00:30:33.740 --> 00:30:44.660 Michele Crane: that allow us to actually achieve some of those goals in and address our building infrastructure. Those are the things I think, as we go through specific projects, we would bring up on a project by project basis. 184 00:30:45.020 --> 00:30:49.740 Mark Wallach: Okay? you talk about ring fencing. Our savings 185 00:30:49.910 --> 00:30:55.229 Mark Wallach: is that sort of a a type of dedicated funding. 186 00:30:56.850 --> 00:31:03.909 Michele Crane: Well what it is, and I might lean on some of our folks in Central Finance to help clarify further. But really 187 00:31:04.180 --> 00:31:12.949 Michele Crane: there are a lot of savings to be gained. We've quantified this a couple of different ways through our master plan. And then again, through this work. 188 00:31:13.180 --> 00:31:20.060 Michele Crane: When we consolidate, there is efficiency. What we are talking about is really ensuring 189 00:31:20.270 --> 00:31:34.679 Michele Crane: that we identify those savings very specifically, and then hold on to them year over year as part of a debt service payment and not let them just kind of get re-absorbed as savings back into the budget. 190 00:31:35.510 --> 00:31:47.699 Mark Wallach: What what what happens if those savings are not realized? For whatever reason, the the structure doesn't require the emergency repairs, you know, or or 191 00:31:47.820 --> 00:32:00.659 Mark Wallach: remedial work. because, in in fact, your your taking money saved, not not real money. You're saying the money is saved and that savings we want to apply 192 00:32:01.280 --> 00:32:02.979 Mark Wallach: to a project. 193 00:32:03.610 --> 00:32:21.170 Michele Crane: Yeah. So we've historically done this, and and it's been done for years. In a simpler form. You might be familiar with this energy performance contracting, or epc, where a a firm or company comes in. We can do this as well ourselves, and then 194 00:32:21.290 --> 00:32:28.759 Michele Crane: they define an amount of savings. It's normally very conservative. We would not be 195 00:32:28.800 --> 00:32:40.630 Michele Crane: trying to estimate savings on projected emergency failures. It's really we've within a fairly conservative band have recognized the kind of 196 00:32:40.930 --> 00:32:46.610 Michele Crane: operations and maintenance now that we're spending, which is about 2 times the industry standard. 197 00:32:46.820 --> 00:33:00.669 Michele Crane: and that we know actually through our work on the Brenton Building that we can achieve an industry standard which is about half that. And so any savings we're looking to leverage towards a debt service would be very concerned. 198 00:33:01.000 --> 00:33:03.709 Mark Wallach: Okay, just a couple more. 199 00:33:06.470 --> 00:33:13.650 Mark Wallach: how do the the financing rates available, the rates available for debt, financing, and P. 3 projects 200 00:33:13.730 --> 00:33:22.070 Mark Wallach: a. Compared to the rates we would have to pay in in conventional mortgage, financing or in bond financing. Is that simply a matter of negotiation? 201 00:33:23.310 --> 00:33:34.279 Michele Crane: Well, that's really where we'd love to go out directly to the markets and start talking to them, and that that's really the not, you know, that we're looking for is is, we've been kind of playing around with with 202 00:33:34.390 --> 00:33:39.589 Michele Crane: hypothetical numbers. And and again. We have our consultants, and I know our finance team. 203 00:33:39.780 --> 00:33:41.080 Michele Crane: Who could look more? But 204 00:33:41.270 --> 00:33:46.759 Michele Crane: we'd like to discuss this specifically with that market stakeholders. 205 00:33:46.890 --> 00:33:52.299 Mark Wallach: And and the last question, I guess, is, when you talk about the public-private partnerships. Have you 206 00:33:52.400 --> 00:34:07.969 Mark Wallach: thought to what that might look like? Is that a bill to suit where we rent the building or have shared equity in the building. Have you focused on or determined what that structure would would look like to you and and what you would want to achieve. 207 00:34:09.820 --> 00:34:20.129 Michele Crane: We've kind of looked at a variety of things over the years, and we recognize the value in the city owning the property. So not really looking to kind of lease back, if you will. 208 00:34:20.469 --> 00:34:26.809 Michele Crane: you know, if the city is a long-term tenant, we're not going anywhere. And there's value in our in our ownership properties. 209 00:34:26.929 --> 00:34:33.070 Michele Crane: the types of p. 3 s. That we've been considering are things like infrastructure as a service. 210 00:34:33.139 --> 00:34:44.860 Michele Crane: where we do have an operator who might come in and be able to operate some of our new major mechanical systems a lot more efficiently and effectively, and 211 00:34:45.260 --> 00:34:51.050 Michele Crane: if that is actually leveraged over a number of buildings, they bring a lot of economy to scale 212 00:34:51.120 --> 00:34:56.740 Michele Crane: in parts and servicing buildings. And so that might be the type of partnership we're entertaining. 213 00:34:56.929 --> 00:35:10.590 Michele Crane: But again, I think a very structured way of going out and talking to the markets would also probably bring some more insight to what's there but the city wanting to still hold a pretty significant position, you know. 214 00:35:11.600 --> 00:35:16.260 Mark Wallach: Good, that's all I've got, and thank you for a really really excellent presentation. 215 00:35:16.420 --> 00:35:17.540 Mark Wallach: Thank you again. 216 00:35:17.710 --> 00:35:22.210 Junie Joseph: Thank you, Mark. Now we have Nicole. Go ahead with your questions. 217 00:35:22.250 --> 00:35:49.589 Nicole Speer, Boulder City Councilmember (she/ella): Thank you. and thanks so much for the presentation. it never gets old. Thank you. So one of the things that I was wondering about is just if if we didn't sell these buildings that are kind of a and of what what would we do with them? Do? Do we have to maintain them? Is there a cost to just kind of vacate in the buildings and banking the land, or something like that. I mean, what's the what? What's the alternative? If we weren't going to sell the buildings. 218 00:35:50.520 --> 00:35:56.630 Michele Crane: Well, a lot of these properties are located like, right in the downtown core. And so. 219 00:35:56.710 --> 00:36:10.899 Michele Crane: you know, if you sell the building. It can become like And so and you know, it becomes a risk. In fact, it's one thing we've been mitigating up at the Alpine Boston site with the vacant hospital for a lot of energy securing that property. 220 00:36:11.030 --> 00:36:30.010 Michele Crane: and you know, from value to the community, you really want to activate these areas. And I think that there's a potential. For you know, this development comes over for us to guide how those sales to go. There's certainly ways that we can position, you know, who that that sale might go to that really meets more community values. 221 00:36:30.220 --> 00:36:34.030 Michele Crane: But yeah, we would be in a position to keep 222 00:36:34.130 --> 00:36:44.139 Michele Crane: investing in those properties. and I think shelling them would probably not be a great option. It would be something, you know, trying to figure out a new use. But then we're just adding 223 00:36:44.260 --> 00:36:45.520 Michele Crane: to the portfolio. 224 00:36:47.970 --> 00:37:09.310 Nicole Speer, Boulder City Councilmember (she/ella): Thank you. And then another question with with this sort of method that the financial strategy that you've demonstrated with the Alpine Balsam project. I mean, do you anticipate that if we kind of do this at that site and move forward in a way that we're intentionally think about how we're maintaining buildings over time. well, we end up in a place where 225 00:37:09.350 --> 00:37:29.419 Nicole Speer, Boulder City Councilmember (she/ella): we're not having to sell buildings to pay for the maintenance of buildings. That we really should have been saving some money for and dealing with decades ago is that I mean, is this sort of a one time thing? Is it something that's gonna set a precedent that we sell buildings and land every time a building approaches the end of its life. 226 00:37:29.540 --> 00:37:34.459 Nicole Speer, Boulder City Councilmember (she/ella): Are we from here on out going to be accounting for adequate maintenance costs, and 227 00:37:34.490 --> 00:37:47.500 Nicole Speer, Boulder City Councilmember (she/ella): how we save for that? Sorry? That was like 5 questions in one. Yeah, no, I I think I've got them, though. But it. It is the fundamental principle, and that maintain well, initiative is that once we make these large investments. 228 00:37:47.620 --> 00:37:51.859 Michele Crane: we put that 2 to 4% current replacement value. 229 00:37:51.930 --> 00:37:59.300 Michele Crane: and really towards those buildings to maintain them over their like. So we are not selling properties. We don't want to be back in this position. 230 00:37:59.330 --> 00:38:13.300 Michele Crane: it is another element that p. 3 is sometimes put into their actual upfront. bids and proposals is that ongoing? So in some ways that that maintenance can be baked into 231 00:38:13.330 --> 00:38:17.539 Michele Crane: those payments naturally that way which helps create some discipline 232 00:38:17.550 --> 00:38:32.940 Michele Crane: to again keep performing and being ahead of the curve. But it's exactly what we don't want to do is be selling properties again in 20 years. Or you're kind of getting behind. So maintain well, is that initiative that it funds buildings in a way we can sustain them. 233 00:38:33.540 --> 00:38:54.350 Nicole Speer, Boulder City Councilmember (she/ella): Okay? And just kind of one other. Follow up question about the ring fencing strategy. this, you know, 2 to 4 that we're kind of setting aside for maintenance costs. You know that we know we're gonna come so that in 20 or 30 years feature council isn't having to sell stuff off to pay for new buildings. 234 00:38:54.890 --> 00:39:16.309 Nicole Speer, Boulder City Councilmember (she/ella): when when the debt is paid off, is it is that the sort of realized savings going toward that 2 to 4% is the 2 to 4 that we're saving over time in addition to the savings that we're applying toward toward debt. I mean, I guess I guess what I'm wondering is, you know, do we have that? 235 00:39:16.350 --> 00:39:30.150 Nicole Speer, Boulder City Councilmember (she/ella): the savings that's applying toward the debt, as well as sort of the depreciation that we are kind of filling in less saving. So that we're we're thinking about the eventual, you know, replacement costs or maintenance costs of buildings as they age. 236 00:39:30.590 --> 00:39:40.510 Michele Crane: Yeah, I think I I guess so. There's 2 different pieces. There's 2 to 4 which we recommend on all buildings, which is of the replacement value, and that is 237 00:39:40.790 --> 00:39:52.160 Michele Crane: to invest in future infrastructure problems. the savings that we're talking about born out of the inefficiency now. So in our budgets. 238 00:39:52.360 --> 00:39:58.239 Michele Crane: you know, we're spending more than we could in an efficient budget or an efficient building. 239 00:39:58.500 --> 00:40:02.339 Michele Crane: We'll take those savings and apply it, and I think, to your point. 240 00:40:02.570 --> 00:40:06.749 Michele Crane: We'll apply that to pay debt over, we'll say 20 years. At the end of the month. 241 00:40:07.100 --> 00:40:11.209 Michele Crane: Those savings that we continue to see will become all city. 242 00:40:11.580 --> 00:40:18.019 Michele Crane: So once we we pay that debt, you get to realize those additional savings. Just back in the budget. 243 00:40:18.460 --> 00:40:21.319 Michele Crane: there's different structures about how we 244 00:40:21.970 --> 00:40:41.089 Michele Crane: structure through the debt service. And then, after those 2 to 4 that that keeps that on remake. And again, that's where partnership structures, those in a lot of times we, as we look at our funding model and our our debt model, if we end up self performing, would look at how we fund in that future ongoing. 245 00:40:42.240 --> 00:41:04.640 Michele Crane: Does that answer, yeah, no, thank you. That that helps. Thank you. So it it's not that we're sort of maintaining 2 2 separate things that we're trying to save for over time. Once the debts kind of paid off, then then those are broader realized savings that we have there. And then one final question, just to make sure I understood, really appreciated the slide that showed 246 00:41:04.770 --> 00:41:29.089 Nicole Speer, Boulder City Councilmember (she/ella): these buildings in the context of all the property and buildings that we have. So it sounds like, we're basically gaining about 100,000 square feet of building space at Alpine balsam. And we would be losing about 56,000 square feet of space and other buildings that we'd be selling. So we would have like connecting of almost 50,000 square feet. Did I get that right 247 00:41:29.310 --> 00:41:39.969 Michele Crane: roughly. That's where we're we're balancing, based on a lot of the discussion here tonight and understanding we're we're balancing that total opportunity to find. Possibly. Yes, we would be at a net gain overall. 248 00:41:40.570 --> 00:41:43.560 Nicole Speer, Boulder City Councilmember (she/ella): Okay, thank you. That's all my questions. Appreciate it. 249 00:41:44.590 --> 00:41:46.440 Junie Joseph: Thank you, Nicole. Mark. 250 00:41:46.730 --> 00:42:02.930 Mark Wallach: Yeah. Forgive me for going again. I just forgot one question. with the with the portfolio with the replacement value of of over 700 million dollars 2 to 4 annually is 14 to 28 million dollars allocated 251 00:42:02.990 --> 00:42:14.940 Mark Wallach: towards this project of of you're having sufficient funds for redevelopment, or, you know, reconstruction, or whatever 252 00:42:15.330 --> 00:42:18.290 Mark Wallach: I think it's desirable. But it's a pretty big ask. And 253 00:42:19.580 --> 00:42:30.489 Michele Crane: I understand your question. I think so. We're not talking about getting 2 to 4% 700 million. Right now, I think that's part of the idea phasing in as we make 254 00:42:30.810 --> 00:42:33.310 Michele Crane: really large capital investments. 255 00:42:33.330 --> 00:42:47.699 Michele Crane: in buildings. That's when the ask comes on the heels that you know the annual budget assets. Now let's maintain this new well performing building. Well, so it's a phase in approach. And hopefully, then consolidation helps, you know, bring down some of that and 256 00:42:48.080 --> 00:42:57.170 Michele Crane: provide some efficiency. But yeah, where it's it's very phased in over the entire building portfolio. I'm I'm not even sure when we would quite get there. But 257 00:42:57.590 --> 00:43:00.119 Mark Wallach: thank you that you've answered it perfectly. Thanks. 258 00:43:01.790 --> 00:43:21.239 Junie Joseph: Are there any other questions at this time from fellow council members? I don't see any. I don't see anyone stand up. But I did have a clarifying question from a comment that was made by Council Member Mark Wallick, And it was about 259 00:43:21.240 --> 00:43:38.859 Junie Joseph: when you talked about the sell of or release the portfolio for conversion to more projects. And I think the comment was, I just wanna make sure that I was clear. You said, this is an opportunity for sale is actually to focus. 260 00:43:38.920 --> 00:43:45.520 Junie Joseph: To use the money for Alpine balsam at this time. Is that correct? Did I understand that correctly. 261 00:43:45.600 --> 00:43:48.969 Michele Crane: the properties that we're currently looking to sell 262 00:43:49.000 --> 00:43:57.929 Michele Crane: would be used towards outside Boston, because they're specifically taking the services in those buildings now and and consolidating them there 263 00:43:58.200 --> 00:44:12.260 Michele Crane: in the future. There could be something where, you know, we're building a new fire station, a new location, and we're, you know, moving. And so then, you know, this, this scale would be directly relative to the project that's that's moving forward. 264 00:44:12.560 --> 00:44:17.970 Junie Joseph: Thank you. I do have another question for you. I was. 265 00:44:18.250 --> 00:44:35.879 Junie Joseph: and I am not sure. I saw that when I was reading through the packet analysis of Heisenberg's value research for the sell of these current properties, because ultimately we live in Boulder. I mean, I can think of housing. We need more housing. Yes, we're selling older properties that we have. 266 00:44:35.880 --> 00:44:51.269 Junie Joseph: But all we are we looking at? Okay? Are we just selling them? We? It really doesn't matter what happened to them once they are sold? Or are we doing also analysis, and also ensuring that, hey? Maybe this property should be used for this particular intent? 267 00:44:51.920 --> 00:45:02.120 Michele Crane: Yeah, we would do some detailed analysis on, and the value, because, unlike, maybe, you know, just a developer who's looking for just monetary value. 268 00:45:02.140 --> 00:45:09.959 Michele Crane: we can go out and define the social environmental balance that would be attached to that and really guide how properties would be redeveloped. 269 00:45:10.050 --> 00:45:15.499 Michele Crane: So that would be definitely another detailed piece of looking at how these properties are disposed of. 270 00:45:16.610 --> 00:45:20.669 Junie Joseph: Thank you so much. Now, seeing no, for the 271 00:45:20.890 --> 00:45:40.380 Junie Joseph: questions coming from Council, we do have 3 questions to help direct a staff. The first one does council agree with the approach to selling properties and using proceeds to fund projects, advancing the key initiatives of the facilities. Master Plan. Who wants to go first? 272 00:45:44.090 --> 00:45:46.850 Junie Joseph: Hello! Wake up! 273 00:45:48.110 --> 00:45:53.929 Junie Joseph: We'll go with Council Member Spear, and then we have Council Member Wallick. 274 00:45:55.170 --> 00:45:57.920 Nicole Speer, Boulder City Councilmember (she/ella): thanks. I think Mark's hand just beat mine, though? 275 00:45:58.170 --> 00:46:19.500 Junie Joseph: I was just Jenny. I was wondering. Can we just answer all 3 of these questions as we're commenting? Is that. Okay, I think that's a great I, and would you need 3 of them? So the first one, do we agree with the approach to selling properties and using the proceed to fund projects, advancing the key initiative 276 00:46:19.500 --> 00:46:46.560 Junie Joseph: of the facilities master Plan this council support ring fencing captured saving to finance annual debt services payments and fun on ongoing operations and maintenance of city buildings, and the third one, this council support for the investigation of the public private partnership to build, operate, and maintain facilities through direct engagement with the private market. 277 00:46:47.040 --> 00:46:48.300 Junie Joseph: Go ahead, Nicole. 278 00:46:49.070 --> 00:46:56.709 Nicole Speer, Boulder City Councilmember (she/ella): for me, then it's yes, yes, and yes, I think this is a really clever solution to a problem that 279 00:46:56.990 --> 00:47:10.960 Nicole Speer, Boulder City Councilmember (she/ella): none of us really created. But we're now forced to solve. And so thank you to facilities. Thank you to finance. thank you to staff for for coming up with these clever solutions out of our Turkey hard problems. 280 00:47:10.960 --> 00:47:38.789 Nicole Speer, Boulder City Councilmember (she/ella): I heard you say on that last one staff, just that that we would be making sure that these public private partnerships, any that we would be looking into are really aligned with our city values and goals and priorities, things that we're trying to achieve. And I'm very supportive of that approach. And I think it would be wonderful for council to hear a little bit more. if my colleagues agree as some of those details get get sorted out just to to 281 00:47:39.370 --> 00:47:46.589 Nicole Speer, Boulder City Councilmember (she/ella): just to hear a little bit more about that. So but thank you so much for all this work. Really appreciate it. wonderful work. 282 00:47:47.870 --> 00:47:51.950 Junie Joseph: Thank you, Nicole. Now we'll go with Mark, and then Aaron 283 00:47:52.480 --> 00:47:56.049 Mark Wallach: and you said Brevity! Yes, yes, and yes, thank you. 284 00:47:56.190 --> 00:47:58.600 Junie Joseph: Oh, awesome, Aaron! 285 00:47:58.870 --> 00:48:00.300 Junie Joseph: Can you make it. 286 00:48:00.320 --> 00:48:22.469 Aaron Brockett (he/him/él): I I I'm going to go slightly longer. But yes, agree with my colleagues. fantastic work, very creative financing approaches here. I'll I'll just say on on the number one definitely agree with the approach. Just I know you're thinking about the future of work, but I just want to encourage you to continue that right. Like as as we continue to have remote work, be a really big and important part of the city organization 287 00:48:22.470 --> 00:48:48.139 Aaron Brockett (he/him/él): to just think about. Maybe there's one other building that we could consolidate away from, you know, as as we're able to be more thrifty with our use of space and you know, health hoteling spaces and things like that. So I know you're thinking about that, but just wanted to to emphasize that because we might could go even a little bit further with the consolidation, you know, based on what how things may look like in the future. And then I'll just say I think the the ring fencing is a good idea. I would just. 288 00:48:48.340 --> 00:49:06.050 Aaron Brockett (he/him/él): We want to preserve some flexibility in the event of future emergencies, right? Like, if we're for having to cut city services left and right and pull down our reserves, you know, maybe we think about potentially accessing some of these funds as well, so just 289 00:49:06.170 --> 00:49:24.180 Aaron Brockett (he/him/él): they, they should be identified. The savings should be identified in debt and and used for that purpose. But in case of emergency, just maybe to preserve some flexibility and appreciate what Nicole said about the P. 3 s. Being reflective of Boulder's values, and to pass on more details as you get them. Thanks. So much 290 00:49:24.790 --> 00:49:43.490 Junie Joseph: awesome. Thank you, Erin. Are there any other council members? I mean to give direction? I think, having a majority of those who are present would be helpful. So Rachel and Bob, do you have any comments? And maybe Matt as well mapped, I see your hands up, and then 291 00:49:44.070 --> 00:49:48.209 Junie Joseph: yes, go ahead, Matt. How? 292 00:49:48.490 --> 00:50:15.700 Matt Benjamin: Thanks, Jane. we'll keep it simple. So we get clear to yes, yes, and yes, and share thoughts of my colleagues on all those pieces. They said it well, And thanks for the presentation at those really well detailed and the intentionality around thinking about these things is really important. As we face some of these tougher challenges, or get exposed in some of our vulnerabilities in our portfolio. So, thanks for the adaptation and and sort of trying to maintain that robust portfolio going forward. So thank you, guys. 293 00:50:16.440 --> 00:50:20.870 Junie Joseph: thank you, Matt. Rachel, I'll be a triple. Yes, as well. 294 00:50:21.890 --> 00:50:23.459 Junie Joseph: Thank you, Rachel. Bob 295 00:50:24.200 --> 00:50:25.880 Bob Yates: did it on the triple. Yes. 296 00:50:27.140 --> 00:50:45.420 Junie Joseph: thank you very much, all. And I just want to add, Thank you, Staff, for this great presentation, and I don't have any more to add, but to see. Yes, yes, and yes, and that It was such a great presentation. We we get it. Thank you so much, and 297 00:50:46.720 --> 00:51:08.970 Junie Joseph: and thank you very much for all the work I think council members fear. Just put some appreciation on this chat for the presentation as well. So thank you for the great presentation greatly appreciated. And There is no further discussion on this one at this time. And I wonder, did Staff get everything that it needed in order to move forward today? 298 00:51:09.990 --> 00:51:13.050 Michele Crane: Yes, I we did. 299 00:51:13.330 --> 00:51:15.800 Michele Crane: Thank you. Yeah, I appreciate it. 300 00:51:16.080 --> 00:51:31.320 Junie Joseph: Thank you so much. Now we will move on to the discussion to reaffirm the family participation, seasonal and temporary employee benefits, and I will pass the baton to Norea. 301 00:51:31.900 --> 00:51:36.020 Nuria Rivera-Vandermyde (she/ella): Thank you so much. Councilmember and I, last time we were talking about family 302 00:51:36.070 --> 00:51:48.619 Nuria Rivera-Vandermyde (she/ella): in Colorado family medical leave insurance program we came to you in November to pass a resolution. saying we are sticking sort of with our city lead program because it offered 303 00:51:48.620 --> 00:52:10.170 Nuria Rivera-Vandermyde (she/ella): in our estimation, better benefits as we move forward, but we took to heart what you had mentioned to us about. Can we look a little bit more at the kind of benefits and support that we provide our season on temporary employees and our chief human resources. Director is our officer is here to tell you a little bit more about that 304 00:52:10.180 --> 00:52:13.759 Nuria Rivera-Vandermyde (she/ella): foray into the work. So I pass it on to David. 305 00:52:15.360 --> 00:52:42.700 COB, David Bell - HR: Thank you, Nuria. I appreciate the introduction. I am David Bell, the chief Human Resources officer. I'm happy to be here this evening and visiting with all of you about seasonal and temporary employee benefits. primarily around lead support, income support, and it is related to the Colorado Family and Medical leave insurance program. I love to just jump into the slides and have them walk us through our conversation a little bit this evening, and end with a touch of discussion and questions. So we'll jump into the next slide, please. 306 00:52:43.500 --> 00:53:06.180 COB, David Bell - HR: It was November in which we had conversation. on the family program. November third, 2,022. We recommended as staff to the City Council to opt out of the car out family insurance program. What that did was it to delayed any participation until we opt in in a future date? If we so choose to this family insurance program. The year of 2,023 307 00:53:06.180 --> 00:53:14.379 COB, David Bell - HR: is a contribution only, with no benefits paid for any participants. We have an opportunity to jump in at any future date. At the start of a year 308 00:53:14.380 --> 00:53:22.909 we have to reaffirm formally with the State of Colorado, how once every 8 years our participation status for the Colorado family program 309 00:53:22.910 --> 00:53:38.359 COB, David Bell - HR: employees are able to direct, participate to the State program by their own hand. Another option that was available that we also did not choose was to facilitate employee choice payroll deductions to the State of Colorado. One other piece of background we did 310 00:53:38.490 --> 00:54:07.769 COB, David Bell - HR: choose to recommend the opt out of this program, as did many other municipalities at this time. We have that often where private employers do not. for this particular program, we are interested in watching the development of the program over time, and given that we have collective bargaining agreements that have certain benefits in place and certain insurance is that support various aspects of leave management. It was important for us to be able to take time to study all the different programs that are available to us 311 00:54:07.770 --> 00:54:14.739 COB, David Bell - HR: and build the best program and make changes over the appropriate timeline for our benefits. Support next slide, please. 312 00:54:18.120 --> 00:54:42.940 COB, David Bell - HR: On November third there was discussion prior to the opt-out vote, to, as an area mentioned, investigate ways to support our seasonal and temporary employees, that the message was delivered and received around the support that could be offered to seasonal and temporary employees often are lower wage earners, partially based on the rate of pay for certain positions, but also just on the length of employment and the 313 00:54:42.940 --> 00:54:58.469 a volume of hours per week. We often employ individuals for less than a full year in a seasonal capacity. 3 months, 6 months, 9 months, than any variable in between, and those seasonal positions could be 15 h a week, 10 h a week up to 35 h a week. 314 00:54:58.470 --> 00:55:09.390 We also have temporary employees, and they receive a certain portion of benefits, and they could be full time for up to generally a year, but we don't go beyond that for temporary employees. In most cases 315 00:55:09.390 --> 00:55:36.380 COB, David Bell - HR: we also know that we have a number of seasonal employees who return season after season, so we might have folks who return 3 or 4 or 5 years in a row, and we actually have some folks who work in seasonal roles, who have been here for a double digit years of employment with the city of Boulder. So we did look into the on the request of city council. Some options that could be available for us in support of our seasonal and temporary employees in regards to leave leave, support and income replacement. 316 00:55:36.420 --> 00:56:01.009 COB, David Bell - HR: First and foremost, we worked with our vendors, we actually have a sport from disability program. And that vendor we engage with that group around the cost to process. And and not only process claims but support income replacement for seasonal and temporary employees. We asked about building a program specific for the city of Boulder through one of our vendors. That also added absences for a care of family member, which most short term disability plans do not do. 317 00:56:01.140 --> 00:56:23.839 COB, David Bell - HR: What we've learned is that there's a lack of desire by most vendors to participate in kind of a income support for non personal injury or illness, and we began watching with our local partners, options they were using. And we have seen some transition into kind of a local run program similar to Colorado family, and a handful of others have participated in Colorado family. 318 00:56:24.360 --> 00:56:25.860 COB, David Bell - HR: Next slide, please. 319 00:56:26.660 --> 00:56:44.189 COB, David Bell - HR: is a touch more about our program review. We did review not only the leave management piece, but also other seasonal employee benefits with certain hours of work on a schedule and in a planned employment. Engagement, seasonal and temporary employees may, in fact, be eligible for 320 00:56:44.490 --> 00:57:02.559 COB, David Bell - HR: medical leave, dental leave, etc. I'm sorry. Medical insurance and dental insurance, etc., and earning of some paid sick time, but there are limits to that amount of sick time depending on the employment type. But we actually reviewed a a bit of our medical insurance benefits and our disability benefits and leave management benefits 321 00:57:02.780 --> 00:57:04.189 COB, David Bell - HR: next slide, please. 322 00:57:06.290 --> 00:57:16.879 COB, David Bell - HR: This evening. I'm here to there that we are recommending the staff of the human resources to not address our participants in status, but the city of boulder during 2,023. 323 00:57:18.350 --> 00:57:35.459 COB, David Bell - HR: That would be for any potential implementation or use of the program. In 2,024. Again, we can go back and make changes to participate at a future date. But at this time, with the web of benefits that we provide in different manners to all of our different employees. We're not here to make a recommendation of pain at this particular time. 324 00:57:36.140 --> 00:57:37.300 COB, David Bell - HR: Next slide. 325 00:57:38.240 --> 00:57:45.980 COB, David Bell - HR: We are here to talk about some ideas and thoughts that we think are implementable, which we're calling our boulder program or boulder leave program. 326 00:57:46.140 --> 00:57:59.159 COB, David Bell - HR: What we've done is we have developed a framework for program that could provide support to the seasonal and temporary employee benefits specifically for income replacement in the event of personal injury and illness and family illness or injury. 327 00:57:59.370 --> 00:58:19.810 COB, David Bell - HR: What that looks like for us is trying to support with income replacement small numbers of individuals that may need this particular benefit. If we were using Colorado, family individuals would have that ability to file a claim to the State of Colorado. So we're trying to build something similar within the confines of the city boulder benefit package. Next slide. 328 00:58:22.500 --> 00:58:24.690 COB, David Bell - HR: Our program currently 329 00:58:24.820 --> 00:58:42.400 COB, David Bell - HR: is focused on seasonal and temporary employees. And again, with our other employment groups having disability benefits from either the Standard insurance company or from Fpa for our public safety employees. It's important for us to focus on our seasonal and temporary employees who do not have access to that seasonal. I'm sorry to the lead benefit. 330 00:58:42.430 --> 00:58:55.490 COB, David Bell - HR: Our eligibility piece would be for all seasonal and temporary employees again. Seasonal employees could be a handful of months could be 9 months. We've seen 10 months seasonal employees and temporary employees for any length in any given year. 331 00:58:55.940 --> 00:58:57.070 COB, David Bell - HR: Next slide 332 00:58:59.190 --> 00:59:08.580 COB, David Bell - HR: we needed to develop that amount of benefit payment has a potential for this program, and we developed a sliding scale to 333 00:59:08.870 --> 00:59:20.210 COB, David Bell - HR: provide a full time employee, somebody who is working 12 months a year, 40 h per week. The 12 weeks of qualified income replacement leave similar to that of the Colorado family program. 334 00:59:20.210 --> 00:59:39.599 COB, David Bell - HR: Colorado family program would require medical documentation, etc., to qualify for that particular payment. We would do the same in some form. But this sliding scale we have made takes into consideration the length of the planned engagement for the seasonal temporary employee, and the hours worked per week, and we have a sample of that on the next slide, please. 335 00:59:41.500 --> 01:00:03.420 COB, David Bell - HR: I'm only showing you a handful of items here just to keep it simple. But you can imagine, there is a column on this larger chart that we have in our office for each of the 12 months, 12 months, 11 months, 10 months all through, and a calculation for every hour, increment that could exist in the grid in any given week. So it is 12 by 40, but you can see the very top left hand quarter 336 01:00:03.530 --> 01:00:30.390 COB, David Bell - HR: 12 months, 40 h per week would qualify for 480 h of potential leave, 9 months, 40 h a week, 360 h of leave and income replacement. 6 months would be half of the 12 month. Value 240 h. And you see the increments down based on the number of hours worked per week. It's incumbent on us in this program to clearly identify an individual status. How long we expect that engagement to be in month, and what that planned work week would look like 337 01:00:30.390 --> 01:00:36.630 and be very deliberate and careful to make sure we have that process correctly. To make sure we're giving proper benefit to individuals 338 01:00:38.400 --> 01:00:39.430 COB, David Bell - HR: next slide. 339 01:00:41.730 --> 01:01:11.540 COB, David Bell - HR: The concept is that the employees would accrue these particular hours. So one of our learnings from the healthy family Workplace act and emergency Health lead is that we can dedicate certain leave types for certain activities. So this concept would allow seasonal and temporary employees to accrue specific leave for income replacement alongside their general sick. Leave the general sick leave of the smaller amount based on the requirements of the healthy Family Workplace Act. This would be in parallel, and it crew in a different way. 340 01:01:11.690 --> 01:01:40.860 COB, David Bell - HR: Our goal would be to have individuals approve each pay period, and by the halfway point of their planned engagement with us, they will have accrued their full bucket of lead to use in case of personal injury or illness, or family injury or illness. It would not be available for a general sick day, for a cold, for a fever, for illness, of a child, for a single day. It's more for the extreme leaves that would be covered by family medical Leave Act and the Colorado family programs. We're following that path of claim submission and approval. 341 01:01:41.330 --> 01:02:03.619 COB, David Bell - HR: The next piece of this is to determine the payment amount, and while we have not yet determined or recommending a full percentage of pay for income replacement, we are modeling different samples based on the 60% to 90% income replacement available in the Colorado family and program that 60% to 90% scale by Colorado family is based on general earnings. 342 01:02:03.620 --> 01:02:11.379 COB, David Bell - HR: We're not sure but that fits for this particular solution right now. But we're modeling that piece on a flat rate for any of our seasonal and temporary employees. 343 01:02:13.690 --> 01:02:15.210 COB, David Bell - HR: Our next slide, please. 344 01:02:16.800 --> 01:02:35.569 COB, David Bell - HR: This is a costing component here. And what we're noting is that with a percentage of potentially 10% of seasonal employees. These are all temporary employees using the program. There could be a cost of 200 to 250 K in income replacement with sort of A, A 75 to 80% estimate for income replacement at this time. 345 01:02:35.810 --> 01:03:05.630 COB, David Bell - HR: The concern we have here is that we do not have a measurement of employee behaviors in regards to leave management right now we know that our current employees use a series of our benefits at around that 10% level of accessing Fmla and the standard disability insurance Fpa, etc. And we tried to apply that model. But we think it may be a touch high. The other piece we would not know at this time is a a length of a period of leave, and right now we've modeled then, based on a full allotment 346 01:03:05.660 --> 01:03:19.149 COB, David Bell - HR: at the 12 week. I'm sorry. 12 month accrual rate rather than kind of dialing back a 20. Our employee on a 6 month accrual, I would have a smaller amount available to them. So we're trying to build that proration and then to our cost estimates. So this may be a bit high. 347 01:03:19.470 --> 01:03:41.110 COB, David Bell - HR: The last piece is, we're still determining funding. We are in the development and exploration of this program. So we have not submitted directly for any budget components. We know that we have current wage budgets and departments for seasonal and temporary employees that are planned for wages that could be considered as part of the payment, but we have not yet determined that, or we made determination of requesting new funding at this time. 348 01:03:41.950 --> 01:03:43.230 COB, David Bell - HR: this is 349 01:03:43.240 --> 01:04:12.400 COB, David Bell - HR: a very different number than the 1.3 million dollars that we expected the fees would be, and contributions would be to the Colorado family program. Should we fully participate across all of our employment groups, standard employees, seasonals, and temporaries. Again, this covers only the approximately 900 to 1,000 individuals who work some part of the year. In that seasonal and temporary calendar, 10% estimate of their usage, and a very large assumption that they'd be using a significant amount of hours. 350 01:04:13.090 --> 01:04:40.529 COB, David Bell - HR: So with that, you know, the the intent here is not to dig deeply into the cost and processing of the Colorado family plan, but we know how we are still waiting on information on how they will process claims and what the administration of that program will look like. But we're really building that safety net for our seasonal and temporary employees. With this exploration, and determining what we can provide to individuals who engage with us in its order, term employment, especially year after year employment. 351 01:04:41.080 --> 01:04:56.680 COB, David Bell - HR: One last piece we do have a couple of the thresholds in place, and that are a match to the Colorado family programs. There is a requirement with Colorado family that an individual earns $2,500 with an employer before they become eligible for the benefits. We have some small kind of run in 352 01:04:57.130 --> 01:05:04.669 COB, David Bell - HR: gates that we would have in place for this program as well. We want to make sure that individuals are working a significant portion of their 353 01:05:04.840 --> 01:05:12.890 COB, David Bell - HR: seasonal employment or temporary employment before stepping into a leave. And then we were happy to focus on that income replacement with that staff member. 354 01:05:13.860 --> 01:05:17.409 COB, David Bell - HR: Now our last slide is opening to Temple. 355 01:05:18.400 --> 01:05:32.020 COB, David Bell - HR: This step we are at now is hearing feedback from you about the boulder seasonal temporary employee program and specifically questions for staff to consider about our proposed plan to support our seasonal and temporary employees with income replacement. 356 01:05:34.660 --> 01:05:39.879 Junie Joseph: Alrighty. This council have any question. 357 01:05:41.240 --> 01:05:43.850 Junie Joseph: I'm starting the family 358 01:05:44.070 --> 01:05:51.029 Junie Joseph: program or the new city of bolder, seasonal temporary employee program 359 01:05:51.930 --> 01:05:56.130 Junie Joseph: seeing. Not at? Well, yes, Nicole. 360 01:05:57.510 --> 01:06:23.369 Nicole Speer, Boulder City Councilmember (she/ella): it's gotta give us a second Joni. It's been a long week. all right. So the one of I think most of my questions are just around. Kind of how would these benefits for the seasonal and temporary workers here on Boulder have! How? How does that compare to what what folks would get if we were to enroll in the family program. I mean, I know you know we're 361 01:06:23.370 --> 01:06:46.969 Nicole Speer, Boulder City Councilmember (she/ella): not. We decided we wouldn't last fall. But I think that's that's sort of in my mind is, how do these things compare? So you know, for example, how quickly would you know majority of our seasonal and temporary workers accrue, leave leave hours and earn towards their total allotment under the family program versus under this program that you're proposing here. 362 01:06:48.560 --> 01:07:17.310 COB, David Bell - HR: So the first step there. Thank you for the question. The first step there is around the initial eligibility requirement, and whether it would be our program or the Colorado family program, there's a minimum amount of earnings that have to come in place, that 2,500 minimum earning before a person could submit a claim. So we would follow that same first threshold of becoming eligible. At that point we would have throughout the employment period of the seasonal and temporary employees an earning of a portion of their 363 01:07:17.450 --> 01:07:20.930 COB, David Bell - HR: allotment, based on their hours worked, and it is 364 01:07:21.250 --> 01:07:23.389 a half an hour per hour worked 365 01:07:23.710 --> 01:07:34.759 COB, David Bell - HR: over the course of their employment. But we need, we're elevating that we actually earning half hour per hour, worked each pay period, so that total it is a quarter of their whole 366 01:07:34.880 --> 01:07:38.359 COB, David Bell - HR: earned time during their engagement period. 367 01:07:38.990 --> 01:07:53.429 COB, David Bell - HR: The short way of saying that is, that full time, 40 h, week, 12 month employee would earn 480 h. That's nearly 500, which is one quarter of these standard, 2,080 h that individuals are in. So we're trying to make it available 368 01:07:53.610 --> 01:08:03.780 COB, David Bell - HR: as soon as a person hits that $2,500 earning mark based on what they've accrued to date, and then continue earning and still have some earnings occurring once they return from their leave. 369 01:08:04.460 --> 01:08:24.969 COB, David Bell - HR: The next piece in relation to the Colorado family plan is that the benefit of that program. And this developing program is, it covers personal injury and illness and family injury and illness. When many other plans, such as that short term disability plan, only covers a personal injury or illness, we would engage with our short term disability provider to determine 370 01:08:24.970 --> 01:08:41.039 COB, David Bell - HR: the cost for claim processing we can handle leave management within human resources, however fairly low cost to have that quick turnaround processing. When a person becomes eligible with our short term disability and fmla processor to be able to qualify that leave and begin the income replacement. 371 01:08:42.279 --> 01:08:54.810 Nicole Speer, Boulder City Councilmember (she/ella): Thank you. and I, I think one of the other questions I have is, what are other cities doing around this kind of seasonal and temporary worker. I mean, this is what we're talking about here 372 01:08:54.960 --> 01:09:03.590 Nicole Speer, Boulder City Councilmember (she/ella): kind of a newer thing for other local governments, for example, that did knocked into the family program or other cities. Do they do this kind of thing 373 01:09:04.740 --> 01:09:33.049 COB, David Bell - HR: at this particular moment? We feel we are walking at a very similar pace and program development as a lot of other cities, counties, etc. Individual individuals have reported to us that they are tapping into their short term disability vendor and asking the same questions we asked. Some organizations have put in a local program for all of their employees. We are not recommending that at this time. But we're starting to see people step in and and address the seasonal and temporary employee 374 01:09:33.050 --> 01:09:35.759 COB, David Bell - HR: group in a similar manner to what we are doing. 375 01:09:35.760 --> 01:09:56.729 COB, David Bell - HR: In addition, we're all learning from the Colorado family program as they have a public comment public hearing about the features of their plans. And they're just now beginning to communicate more of that information, and within the past month they actually shared information on determining if an employee, as a seasonal and temporary is qualified to submit wages to the Colorado family program 376 01:09:56.730 --> 01:10:15.500 COB, David Bell - HR: meeting. They're very much on the on the edge right now of how they collect contributions and how they qualify individuals in, but nothing about program development. So we're kind of out here working and chatting with our cohorts about what kind of plan might be available. I think this could be a more common solution. within this year and next year for municipalities. 377 01:10:16.040 --> 01:10:30.539 Nicole Speer, Boulder City Councilmember (she/ella): Thank you. And then I just have 2 2 more relatively quick questions, I think. Are there any employees, then, if we were to put this in place for seasonal and temporary workers? Are there any employer employees in our city that are not 378 01:10:30.810 --> 01:10:35.060 Nicole Speer, Boulder City Councilmember (she/ella): eligible for paid family medical leave 379 01:10:36.750 --> 01:10:40.990 Nicole Speer, Boulder City Councilmember (she/ella): like this kind of capture all the folks who who aren't covered. 380 01:10:41.520 --> 01:10:55.270 COB, David Bell - HR: This is the group that Council identified through conversation in November that we wanted to address because of that very issue. We felt that they were the employees that were not covered by our other disability programs that fully covered for paid family leave. 381 01:10:55.270 --> 01:11:14.209 COB, David Bell - HR: Not exactly. We have a short term disability that comes into place for a personal injury and illness or disability through other vendors outside of our non Union plan Union, have different benefits of those generally cover in just the personal injury and illness, and then we have our sick leave and parental leave for other types of issues. 382 01:11:14.260 --> 01:11:27.329 COB, David Bell - HR: so in general, we believe most injury and illness, and Fmla family and personal protections are covered in some form, and this is the last bit of of lack of coverage that existed for the city. 383 01:11:27.620 --> 01:11:38.659 Nicole Speer, Boulder City Councilmember (she/ella): Okay, thank you. And then have we gotten any feedback from employees on on what they think about this? Or were you wanting to come to us first and then, and then do some outreach to that. 384 01:11:38.750 --> 01:12:03.530 COB, David Bell - HR: It is the latter we wanted to hear from you, given our November third conversation, and make sure that we brought this forward not only for your feedback so, but also that you would see the timing of the program, especially in relation to the budget The message also delivered in November was that we were a bit late opting in to to be able to choose to impact the budget or not by participation. so we certainly want to visit with you first. And now we will begin some general engagement. 385 01:12:03.530 --> 01:12:14.470 We do know that the seasonal employees have, Asked in small batches about different benefit plans over time. hasn't been widespread, but we're ready to begin some version of engagement with our staff. 386 01:12:15.340 --> 01:12:21.920 Nicole Speer, Boulder City Councilmember (she/ella): Thank you. I appreciate that, David? and Tony, do you want like any comments now? Or do you want to do questions and then comments. 387 01:12:22.410 --> 01:12:24.230 Junie Joseph: you welcome to comment. 388 01:12:24.770 --> 01:12:45.710 Nicole Speer, Boulder City Councilmember (she/ella): Thanks. Yeah, no, I I really appreciate. You know that that you all are thinking about this and how we can meet the needs of our seasonal and temporary workers. I think it's a a group of of workers that are often left out of really critical benefits. And I think I kind of came into this this discussion tonight with just a little bit of a different 389 01:12:45.710 --> 01:13:09.539 Nicole Speer, Boulder City Councilmember (she/ella): memory of what it was we were gonna be kind of talking about tonight. I think one of the things that I have been really interested in knowing about as we head into budgeting for 2024 is just a little bit more, you know, end up like, what's the benefit of you know, the family program versus the the the programs that we already have in place. Kind of with this one captured, too. And 390 01:13:09.540 --> 01:13:16.409 I may have been this this remembering and misunderstanding our previous conversation. But you know, my. 391 01:13:16.460 --> 01:13:20.869 Nicole Speer, Boulder City Councilmember (she/ella): what I remembered from that was that we were going to be 392 01:13:21.600 --> 01:13:44.510 Nicole Speer, Boulder City Councilmember (she/ella): not not opting in because of the kind of late late decision. because, you know, we hadn't allocated any money for it in the budget, because we're still exploring what impact it might have on our employees relative to the benefits that they already had, but that we were going to be coming back to it in the course of the budgeting process, and being able to think more about, you know, do we? 393 01:13:44.520 --> 01:14:12.990 Nicole Speer, Boulder City Councilmember (she/ella): Do we want to step into this to have a more kind of intentional and mindful discussion? Having gathered some of that information. So I think that. And that's that's my bad for not not kind of looking at the packet a couple of weeks ago, and giving, you know that that feedback prior to this week. But I I think I I would still like to have that discussion, because I don't really want to end up in a place where maybe it's 10 years down the road, and we're just starting to think about family. But 394 01:14:12.990 --> 01:14:20.599 Nicole Speer, Boulder City Councilmember (she/ella): you know, I think this is a really important program for for people across the State and for employees. And I I would still just like to 395 01:14:20.760 --> 01:14:35.900 Nicole Speer, Boulder City Councilmember (she/ella): to know. What what does it mean? To be a part of family versus not, and to be kind of putting together some other solutions, as we're doing on our own, as others are are engaging in family. So 396 01:14:36.310 --> 01:14:44.130 Nicole Speer, Boulder City Councilmember (she/ella): depending on you know what what other folks are interested in hearing about. I think that is still something I would love to hear about at some point. 397 01:14:45.740 --> 01:14:54.309 COB, David Bell - HR: Thank you. And I I do apologize. If I missed a little bit of the mark or a bunch of the mark, and we'll continue to work on this issue. Of course. 398 01:14:54.310 --> 01:15:18.550 COB, David Bell - HR: you know, we were really focused on this one gap in benefits primarily knowing that we cover so many other pieces for all of our employees, and that we had some complexities in the web of benefits that we have, and there's some timing to undo certain components at certain times. But we're we're well aware, and it is a growing area of interest and conversation amongst our peers and other cities and counties. So you can rest assured that we will be engaged with this on ongoing basis. 399 01:15:18.880 --> 01:15:39.439 Nicole Speer, Boulder City Councilmember (she/ella): Yeah. And and thank you. I don't. I don't mean to dismiss. I mean, it's clear that you all put a lot of thought and work into trying to figure out how to how to cover our seasonal and temporary workers. And I I really appreciate that. that we're thinking about those things. So thank you for all that you are continuing to do, to understand these different programs, and how we can help benefit our employees 400 01:15:40.760 --> 01:15:43.520 Junie Joseph: next. Aaron. 401 01:15:43.920 --> 01:15:46.170 Aaron Brockett (he/him/él): And I've got a comments, if that's correct. 402 01:15:47.010 --> 01:16:09.309 Aaron Brockett (he/him/él): just David, thanks so much to you and your department and the other finance people who contributed to this this looks like a really well thought design thoughtful approach to helping out our seasonal and temporary employees with family medical leave. So I'm I'm proud that we're taking this step you to to plug this gap in our benefits system, saying, from my memory of the conversation 403 01:16:09.320 --> 01:16:11.130 Aaron Brockett (he/him/él): last fall, was that 404 01:16:11.250 --> 01:16:30.240 Aaron Brockett (he/him/él): your analysis generally showed that our benefits. If the city were equal to work greater than those provided by the family program would, which was why, you know, I was comfortable at that time saying, Okay, I guess we don't need to engage with that at as a city, because it looks like we're we're doing better, except that there was this gap 405 01:16:30.270 --> 01:16:57.500 Aaron Brockett (he/him/él): for temporary and seasonal employees. And you seem to, if you'd be proposing something that will ablely plug that gap. So I really appreciate that fully supportive. And then to Nicole's point. I think it's it'll be important to watch how the family program develops over the years, right? And, as we you know, go through different negotiations with our unions on different benefit packages, and just to always keep an eye on what the future of this program is. 406 01:16:57.500 --> 01:17:09.679 Aaron Brockett (he/him/él): and to see if it ever might be a a better fit for the city. But it seems pretty clear that right now we're we're on a really good path with with this addition for the temporary and seasonal employees. So thanks so much for your work with all your work. I'm very proud of 407 01:17:11.360 --> 01:17:15.880 Junie Joseph: awesome. Next we have Rachel, and then, Matt. 408 01:17:16.150 --> 01:17:22.910 Rachel Friend: I'd be super quick. I just wanted to say thank you for bringing this back This is what what I was 409 01:17:23.020 --> 01:17:42.960 Rachel Friend: expecting us to talk about, and I, many of you will recall that I've complained over the years that we asked for things, and then we never circle back. And so I actually had, like a a little calendar note. Extra staff came back to us on this to make sure that seasonal and temp employees are not left behind. So I didn't have to act on that note. And I just want to say, Thank you. 410 01:17:44.860 --> 01:17:46.700 Junie Joseph: Thank you, Rachel. I'm at. 411 01:17:48.210 --> 01:17:58.499 Matt Benjamin: Yeah, thanks, David, for for this. And I I I agree with Rachel. This is kind of right in the wheelhouse where I thought we would land on this, and I always viewed family as the floor, not the ceiling 412 01:17:58.500 --> 01:18:22.750 Matt Benjamin: and that I always had the expectations based on our city values that we would never just rest on the floor, we would always go above and beyond, because that's who we are as a community. And so I always view us being able to take that floor and expand and improve and go beyond that. And that's what we're doing and filling this gap, I think, stays true to that. So I appreciate all the hard work in order for us to do that. And certainly I you know we're Aaron pointed out of. Let's monitor it. 413 01:18:22.750 --> 01:18:41.920 Matt Benjamin: I have expectations that we will always be exceeding what family is, because that's meant to be a floor for for for other folks that may not have the the same threshold and level of commitment that we do. So I appreciate all that work, and and really all to the entire city starts with an area and everybody else. That commitment to staff is really important. So thanks for following up with that. 414 01:18:43.070 --> 01:18:45.940 Junie Joseph: Thank you, Matt Rachel, your hand is still up 415 01:18:48.030 --> 01:18:49.930 Junie Joseph: lazy. 416 01:18:50.470 --> 01:18:55.950 Junie Joseph: Are there any other comments for David? 417 01:18:57.530 --> 01:19:08.960 Junie Joseph: Seeing none at this time? I just wanted to add, Thank you for the presentation, and I appreciate you the comments that you made because it put things into perspective for me. You mentioned the 418 01:19:09.140 --> 01:19:18.979 Junie Joseph: 1.3 million as opposed to the 200 to $250,000 coming from the city, and that somehow or programs, or 419 01:19:19.070 --> 01:19:34.920 Junie Joseph: better, or comparable to what the State is providing. and I understand as well a lot of people at the capital. When you're drafting us, they hope that the laws will be implemented, or if there is an uptown process or portion. 420 01:19:34.920 --> 01:19:54.780 Junie Joseph: is that the Cds or there will be other mechanism use as well to ensure that people get the coverages that they need so ultimately knowing the process how it works. I I I mean, I read by reading the legislative declaration of that bill. I can see the intent of 421 01:19:54.790 --> 01:20:06.429 Junie Joseph: the drafters or the people who carried the bill, but ultimately, seeing that, or seasonal and temporary workers will be provided so that gap will be plugged in so 422 01:20:06.460 --> 01:20:24.559 Junie Joseph: ultimately, I would say, we are moving in the right direction to ensure somehow, even though we are not up 10 into this particular program. We are doing the work we are ensuring that community not community members, but all workers who 423 01:20:24.680 --> 01:20:29.029 Junie Joseph: at times or community members as well, all protected. So 424 01:20:29.580 --> 01:20:56.039 Junie Joseph: At first, when this first came before council, I was in full support of up 10 into the process, and hearing from what I'm hearing from you at this time. even though I still believe in this in the family program, I believe that the city is moving in the right direction and up ultimately, if you decide to join into this particular process or program, I 425 01:20:56.180 --> 01:21:15.480 Junie Joseph: I would welcome it. I think it would be great, but ultimately, I think we are doing the work. whether we are in or not into this particular program at this time based on what I heard. So thank you for that. And are there any other comments coming from council at this time? Seeing none, or ever hold your piece? 426 01:21:15.580 --> 01:21:35.549 Junie Joseph: No one else great. Well, thank you for coming by David, and thank you for this presentation and moving on right along. We are killing it tonight. the next conversation is the presentation on minimum wage, and I will pass it on to Thank you. 427 01:21:36.090 --> 01:21:57.589 Nuria Rivera-Vandermyde (she/ella): Thanks so much. And it it is moving quite a lot. So thank you that council member. our next conversation is really an update on what have been to date the minimum wage efforts. I know that Council Member folks has been leading that effort on behalf of council, and she is making her way over 428 01:21:57.590 --> 01:22:08.840 Nuria Rivera-Vandermyde (she/ella): to the meeting, as I am talking and trying to buy enough time, but if that's not there we will. We have staff, and Taylor Ryman, as you know, has been working with 429 01:22:09.090 --> 01:22:35.420 Nuria Rivera-Vandermyde (she/ella): with a council member corporate to really move in this direction and has a staff presentation. I'll say, last time we had spoken about the topic, you all voted to have a council member for groups, be the Council representative on a regional consortium that is looking at the issue of minimum wage. on this. and with that we had staff supporting that work. 430 01:22:35.530 --> 01:22:54.110 Nuria Rivera-Vandermyde (she/ella): as I do not see Council Member Focus, and I'm sure she'll be coming in shortly and provide a little bit more of of context for that, Taylor. Why don't I just suggest that you provide a little bit of that conversation and a presentation, and I'm sure we will out. There she is. 431 01:22:54.410 --> 01:23:01.319 Nuria Rivera-Vandermyde (she/ella): I spoke just long enough council member to give you some time. Thank you so much. 432 01:23:01.450 --> 01:23:06.640 Lauren Folkerts: and thank you for your patience. Everyone 433 01:23:06.670 --> 01:23:17.200 Lauren Folkerts: I just wanted to start with talking about why we're looking at minimum wage, at the municipal and regional levels the sort of origins of this effort. 434 01:23:17.390 --> 01:23:27.359 Lauren Folkerts: in 2,019, the State legislature a passed, an ordinance that gave local governments the right to set their own minimum wage. 435 01:23:27.970 --> 01:23:42.779 Lauren Folkerts: and later that year, with support from count, then council members, what like the consortium, began discussions on that topic. But, as we all. Remember, 2019 was the beginning of the COVID-19 pandemic. 436 01:23:43.620 --> 01:23:46.900 Lauren Folkerts: 4 years later we have some new council members. 437 01:23:46.950 --> 01:23:57.949 Lauren Folkerts: The pandemic is endemic and We have felt numerous impacts to our economies, evidenced by sharp increases in inflation, interest rates, and cost of living in general 438 01:23:58.130 --> 01:24:07.510 Lauren Folkerts: wages in our community just haven't capped up with cost of living increases, and the differences are becoming more and more challenging for our community members to overcome. 439 01:24:08.040 --> 01:24:12.010 Lauren Folkerts: And this challenge is shared by many of our surrounding communities. 440 01:24:12.380 --> 01:24:26.690 Lauren Folkerts: So through the consortium of cities, a working group has formed to looked at this this issue collectively, because we recognize that changing the minimum wage in any community changes our regional economy. 441 01:24:27.230 --> 01:24:38.649 Lauren Folkerts: and many people in Boulder live in different communities than where they work. boulder based businesses, nonprofits and other organizations have operations and customers throughout the country. 442 01:24:38.950 --> 01:24:54.220 Lauren Folkerts: and for these reasons and many others, we believe a regional approach to considering a minimum wage would be best for understanding and meeting the needs of our unique and interdependent economies, while also providing consistency for both employees and employers. 443 01:24:55.590 --> 01:25:02.620 Lauren Folkerts: In April of 2,022. This council supported my participation in the minimum wage working group 444 01:25:02.940 --> 01:25:10.909 Lauren Folkerts: through the consortium of cities and over the last year that working group has meant to a met to examine the enabling legislation. 445 01:25:10.970 --> 01:25:27.939 Lauren Folkerts: understand the required process and conduct early engagement with cities and stakeholders to initially assess the needs and interests of our communities. These conversations have established the foundation necessary for exploring this joint effort. 446 01:25:28.100 --> 01:25:35.520 Lauren Folkerts: and tonight we are not proposing a recommendation or asking for a final decision on a wage target or timeline. 447 01:25:35.980 --> 01:25:43.680 Lauren Folkerts: but we are at a point where it would be helpful to have our Council, for all the various working group 448 01:25:43.710 --> 01:25:46.589 Lauren Folkerts: members weigh in on next steps. 449 01:25:46.630 --> 01:25:57.359 Lauren Folkerts: So tonight we are checking in on your support for continued collaboration with the working group. and so that we can better scope the needs and next steps for future decision making. 450 01:25:57.890 --> 01:26:01.299 Lauren Folkerts: With that I'd like to kick it over to Taylor for the presentation. 451 01:26:05.060 --> 01:26:12.049 Taylor Reimann (she): Thank you so much, Lauren. and thanks so much for your continued leadership on this effort. Is everybody seeing my screen? 452 01:26:13.430 --> 01:26:25.959 Taylor Reimann (she): All right. Good evening, counsel. Taylor Ryman, assistant to City Council, and we're going to talk about the update on the work of the minimum wage working group through the Boulder County consumption of cities. 453 01:26:27.720 --> 01:26:41.860 Taylor Reimann (she): So, as Lauren mentioned in 2019, the State lifted the preemption on local government setting their own minimum wage laws. Here's some highlights from the Bill ordinance adoption must be preceded by community engagement with the groups listed here. 454 01:26:41.860 --> 01:26:58.689 Taylor Reimann (she): In addition to the reasons Lauren mentioned, the second piece is another big part of what's informed our regional approach. Only 10% of jurisdictions across the State can adopt a different minimum wage ordinance but an iga covering several municipalities within the county is considered one in that calculation. 455 01:26:58.890 --> 01:27:12.730 Taylor Reimann (she): Next, any raise, either an escalation to a target or an annual adjustment must coincide with the State increase. On January the first and finally, escalation is limited to a dollar 75 or 15, whichever is higher. 456 01:27:15.250 --> 01:27:27.140 Taylor Reimann (she): So there's some Saturday limits laid out in the bill, and on one hand, these reduce the decisions we'd need to make. On the other hand, it does create a one size. It's all approach that might not be suitable for all communities. 457 01:27:27.200 --> 01:27:43.890 Taylor Reimann (she): implementation, date and dates for escalation and adjustments are fixed to January first employee time and a jurisdiction is covered. But passing through is not. It covers all workers and emancipated miners, and does not allow exemptions for things like small businesses 458 01:27:44.170 --> 01:28:10.169 Taylor Reimann (she): and tipped wages, can be $3 and 2 cents less than the adopted wage, or whatever the State tip credit is that that those most align on the policy discretion front? These are choices that we have a little bit more flexibility in a regional approach, though most of these discretionary items will need consensus from participating communities, except for items like enforcement and escalation schedules which can be local decisions. 459 01:28:10.960 --> 01:28:25.189 Taylor Reimann (she): So target and annual increase to reach that target typically escalation periods are about 3 to 5 years after escalation, we can choose how to make regular adjustments into the future otherwise known as indexing 460 01:28:25.450 --> 01:28:36.289 Taylor Reimann (she): whether or not to expand the wage to cover on emancipated minors. and we can rely on the State's existing enforcement system or create our own. So those are all things that we have more decision in. 461 01:28:39.910 --> 01:28:56.670 Taylor Reimann (she): So these the slide here outlines where the current wages are, and communities pursuing the new authority, and for reference city of border falls under the State minimum wage at $13 and 65 cents an hour this fall. We know that the State's gonna announce the 24 462 01:28:56.670 --> 01:29:17.539 Taylor Reimann (she): 24 increase and based on the first quarter of 2023 inflation estimates we might see that adjustment in 2024 come to about $14 and 24 cents an hour. If the 4.3% inflation rate from 2023 first quarter remains about that rate 463 01:29:17.560 --> 01:29:24.210 Taylor Reimann (she): city self imposed. Living wage does exist for our workforce, and it is right now, at $17 and 42 cents. 464 01:29:24.550 --> 01:29:42.339 Taylor Reimann (she): Denver was the first to pursue the new authority, and they completed the process in 3 months. This was supported by strong council engagement and years of engagement right beforehand on a self- imposed city. Minimum wage like we have. It was sort of a springboard into expanding that to a community wide minimum wage. 465 01:29:43.080 --> 01:30:04.360 Taylor Reimann (she): 2 weeks ago cu campuses across the State raised their minimum wage to $16 an hour for students and $18 an hour for early workers. Last week Fort Collins considered an ordinance Council, did vote against it, and their direction was to consider to to pursue a regional approach. Pretty cool idea. 466 01:30:04.420 --> 01:30:12.999 Taylor Reimann (she): this is just to give an idea of where we're at right now, as you can see, there is several movements on raising wages across the State. 467 01:30:15.370 --> 01:30:43.680 Taylor Reimann (she): So these are some possible target wage approaches. And, like Lauren said, we're not asking for a decision on a target tonight. council. This is your first real update on this work, and and we wouldn't rig a decision like that to you at this stage. but we wanted to outline what wage approaches could look like. These are not staff recommendations. They're either external recommendations or local wages that fall outside the State minimum. They demonstrate a spectrum of options, and while some may be appropriate for us to duplicate 468 01:30:43.680 --> 01:30:54.300 Taylor Reimann (she): the best option for our community is still to be determined at a Forum. On April 20 fourth, the Colorado Center for law and policy presented a guiding wage proposal 469 01:30:54.460 --> 01:31:12.640 Taylor Reimann (she): based on the November 2,022 self sufficiency wage report, it would raise it to the the rage to $15 an hour and 41 cents in 2024. So next year, with an increase of 12.9% until reaching the target of $25 an hour in 2,028. 470 01:31:12.690 --> 01:31:21.769 Taylor Reimann (she): The city already has our own living wage, and lastly, we just could attempt to align with our metro or university partners who already well exceed the state minimum. 471 01:31:25.960 --> 01:31:41.389 Taylor Reimann (she): Next, we'd like to talk about the actual working group efforts the communities listed here are have been involved. over the last year. Boulder County. they have a little bit lower mistake in the game just because they don't have a lot of major workforce centers. And so 472 01:31:41.760 --> 01:31:57.599 Taylor Reimann (she): a minimum wage with their participation would only apply to unincorporated county. So while they are a bit of a lower player in the game. They have been a really important convener for the working group and just helping facilitate all of our conversations. City of Boulder, of course, is a working group. Member 473 01:31:57.600 --> 01:32:12.419 Taylor Reimann (she): city of Lewisville has this on their work plan, and they've been strong partner. Longmont is another strong partner, and they will be receiving a similar update to the one tonight on January sixth. So your feedback here will also inform that update 474 01:32:12.670 --> 01:32:18.540 Taylor Reimann (she): we did some early engagement over the last year, and full engagement has not been launched. 475 01:32:18.590 --> 01:32:24.730 Taylor Reimann (she): But we've had limited check-ins with Chambers of Commerce Labor groups and some and the university 476 01:32:24.730 --> 01:32:48.769 Taylor Reimann (she): Some stakeholders have been aware of the last year's efforts of the working group, and they started engaging groups in February to advance minimum wage conversations across the county. For example, the Boulder Area labor Council hired Siegel long public affairs to do community engagement and advocacy work and convene a coalition. They are calling themselves the Boulder County Self Sufficiency Coalition, and they formed in February. 477 01:32:49.040 --> 01:33:06.739 Taylor Reimann (she): They continue to meet with elected representatives across the county, including the working group communities, Longmont Lions, Lafayette and others. They've got 24 labor groups represented in the Coalition, and I'm not going to list them all. But I'll highlight. Just a few names, a Colorado coalition for the homeless 478 01:33:06.900 --> 01:33:15.379 Taylor Reimann (she): National Employment Law Center, New Era, Colorado, together, Colorado towards justice. There's several others that's just a few 479 01:33:15.680 --> 01:33:31.339 Taylor Reimann (she): and many of these groups work across jurisdictions and have membership throughout Boulder County mentioned on the previous slide. In April 2023. The Coalition did host that community Forum to hear from workers and it by, and invited elected officials to that. That's where they presented their guiding proposal. 480 01:33:31.470 --> 01:33:40.669 Taylor Reimann (she): And while there are differences, and how much and how quickly to make a minimum wages change minimum wage changes. There is strong agreement that this should be done regionally. 481 01:33:40.680 --> 01:34:01.430 Taylor Reimann (she): We checked in with the boulder chamber, and while the Chamber has supported previous statewide increases, they would oppose any minimum wage increase without thorough review of impacts and benefits that engage the Boulder Chamber membership and other business stakeholders to support the time needed for engagement and review. Their preference is for later implementation and a regional approach. 482 01:34:02.350 --> 01:34:09.030 Taylor Reimann (she): checking in with Cu as a State entity. Legally, they're not required to comply with cities, minimum wage laws. 483 01:34:09.410 --> 01:34:24.740 Taylor Reimann (she): and in light of their recent wage raise anything below. $16 really wouldn't have an impact to them. They do have a strong desire to meet or exceed any cinema city minimum wage to stay competitive and ensure that employees are adequately, adequately compensated. 484 01:34:24.750 --> 01:34:37.410 Taylor Reimann (she): and they want to work with city leaders. throughout the county. If this were pursued on on anything going on, because, you know, implementing increases and and planning those those items does take a long time to plan. 485 01:34:39.200 --> 01:34:47.430 Taylor Reimann (she): And as I mentioned, the Boulder County self- efficiency coalition is advocating for their proposal, and and the quickest timeline 486 01:34:48.100 --> 01:34:49.490 Taylor Reimann (she): that we can manage. 487 01:34:52.580 --> 01:35:14.930 Taylor Reimann (she): So this draft timeline is part of what prompted our check in with council. It was drafted by Boulder County. It lays out steps needed to implement a new wage. On January first, 2,024 was the was the proposal. And and this is what brought us to check in with council. understanding that there are a lot of different needs in our different communities. We. 488 01:35:15.020 --> 01:35:29.289 Taylor Reimann (she): We appreciate the timeline in that it lays out sort of the chunk steps that are needed to get to implementation. But we want to be mindful that we need to check in with all of our communities on when that implementation date might be 489 01:35:29.870 --> 01:35:41.890 Taylor Reimann (she): scoping and community engagement is a next step, and moving forward does not commit us to any outcome. At any point in the process. Any of our local governments would retain the option of going forward separately. 490 01:35:41.910 --> 01:35:44.929 Taylor Reimann (she): We're stepping out of a regional effort as desired. 491 01:35:45.640 --> 01:36:10.829 Taylor Reimann (she): And so, as I understand it, from conversations, from attorneys. What would need to happen is in the legal sense. We dropped an mou, and then we would create a model ordinance and shop at around to communities and get a consensus on the parts of a model ordinance, and then we would adopt an ordinance as an item with an Iga. And that's how a regional approach would be pursued 492 01:36:15.310 --> 01:36:23.499 Taylor Reimann (she): while we work together to understand the legislation, outline the needs and get an early sense of stakeholder views. The scope has not yet been fully defined 493 01:36:23.570 --> 01:36:51.650 Taylor Reimann (she): for our city. The scope may include the items listed here. And most notably, we'll need community engagement, equity and financial analyses, drafting agreements and ordinance language. There's also opportunities for creative resourcing and sharing the work. If other communities take the lead on deliverables, seeking outside help from consultants or university partners. going in on on different rfps, you know, between multiple communities, those costs could be shared. 494 01:36:56.950 --> 01:37:15.190 Taylor Reimann (she): And finally, we present you with these council questions tonight, does Council wish to continue with this regional effort towards the establishment of a regional minimum wage and have staff scope. This item for addition to the existing work plan, should scope consider implementation of 2024 or 2025 495 01:37:15.230 --> 01:37:19.210 Taylor Reimann (she): would Regional Participation Impact Council's will to pursue an approach? 496 01:37:19.390 --> 01:37:26.619 Taylor Reimann (she): And if Council would like us to continue moving forward? Does Council have any feedback on the timeline or engagement approach. 497 01:37:27.810 --> 01:37:36.810 Junie Joseph: Thank you, Taylor. We have council questions at this time. Please raise your hand if you have any. We see right now, Bob. And then, Matt. 498 01:37:37.250 --> 01:37:50.910 Bob Yates: Thanks, Judy, thanks, Taylor. That was a great presentation. Thanks, Lauren. Just 2 questions. Now. I was in comments in second with 2 questions, one, what I didn't hear in the presentation. It was I heard a lot of advocacy. Sounds like a lot of people are advocating for various things. 499 01:37:50.920 --> 01:37:54.429 Bob Yates: but I didn't hear a whole lot of 500 01:37:54.500 --> 01:38:03.590 Bob Yates: economic analysis by independent economists. What work has been done around that, as far as what impacts there would be on 501 01:38:03.770 --> 01:38:16.379 Bob Yates: businesses, local economy employees, and all sorts of stakeholders. What? What what work has been done with the kind of with neutral economists to evaluate those things. And where are those reports? If that's been done? 502 01:38:18.540 --> 01:38:21.969 Great question. Bob and I can jump in on this one. So 503 01:38:22.590 --> 01:38:30.309 Taylor Reimann (she): the most recent self-sufficiency wage report in 2,022 is is one piece of data that we have, and 504 01:38:30.420 --> 01:38:37.870 Taylor Reimann (she): as we consider next steps, one of the things that we might look into is what those analyses would require. 505 01:38:37.870 --> 01:39:03.370 Taylor Reimann (she): which jurisdictions they would include. and figuring out how we could get a sense of, where is the local economy? Who does make the minimum wage? What businesses would this impact, and who would not be impacted? What's a benefit cliff, perhaps of raising the minimum wage and then pushing people out of eligibility for certain benefits. Those things certainly need to be studied. but we're we're not quite at that point. It'd be a next step. 506 01:39:03.890 --> 01:39:24.480 Bob Yates: Yeah, that you you hit on, Taylor. You did a great job of getting on any of the questions that I would have for an economist, and it sounds like the answer is, we haven't, or or the the regional consortium hasn't hired in an economist to do that work unless, Lauren are you? Where is is that some of the things that Taylor mentioned, and probably a few others, has that been done by independent. I'm not about advocacy. I'm talking about 507 01:39:24.620 --> 01:39:31.080 Bob Yates: independent analysis, you know something by like a ritual, but kind of see you or somebody like that, who doesn't have you know, dog on the phone 508 01:39:31.390 --> 01:39:32.710 Lauren Folkerts: right? 509 01:39:33.020 --> 01:39:48.670 Lauren Folkerts: the. We haven't taken that step to look at Boulder yet in the implementation of Denver's ordinance. They had to have the State actually reviewed all the data that they had available. and were able to. 510 01:39:48.670 --> 01:40:04.300 Lauren Folkerts: They they published a report on sort of the effect that Denver's wage had on their economy and their businesses. Now that was during Covid. So If they make a note about that being a little bit hard to extrapolate out. But there is some data in terms of 511 01:40:04.450 --> 01:40:09.539 Lauren Folkerts: implementation in nearby cities 512 01:40:09.570 --> 01:40:33.540 Bob Yates: great, great. So it sounds like Denver is already kind of created, at least the the the data that collected may not be relevant. Is it because it's Denver, or because it was during Covid, or because it was a few years ago, but it sounds like they've at least Dan Denver's at least created roadmap for the types of things that then economists would look at. So that's great. And in the State enabling legislation, it's actually part of what's required. So 513 01:40:33.540 --> 01:40:45.740 Bob Yates: right, I think you mentioned it. It sounds like Denver had been working on that for for quite some time, even before they passed their their ordinance. So what would be the? There was a very aggressive timeline. I'll come in on that second. But 514 01:40:45.750 --> 01:40:49.710 but I'm just trying to understand it still saying questions like what we're in that 515 01:40:50.340 --> 01:40:58.979 Bob Yates: timeline. That was really only about 6 or 7 months long? Would that economic work be done? What we? Where would that be done like next month or the month after? How long would that take? 516 01:41:01.900 --> 01:41:05.520 Taylor Reimann (she): That's a great question. So I know Fort Collins did a 517 01:41:05.830 --> 01:41:31.210 Taylor Reimann (she): worked with a consultant to survey employers. I it wasn't a market analysis, but it was an employer survey of where where things stood and that costs, for that was around 20 or $30,000. We'd have to check in with them and see how long they took to do to do that. But I imagine that would inform community engagement, and probably either have to coincide with community engagement or go before it. 518 01:41:31.740 --> 01:41:34.430 Bob Yates: Yeah, no, I think you're right, Taylor. I think it it either. 519 01:41:34.550 --> 01:41:47.650 Bob Yates: I suppose it could be done in parallel, but in a perfect world. It would be great if it was done before, because then that that probably was informed some of the questions you would ask the community and business businesses. That's great. But that was just kind of one line of questions. The second line questions, is 520 01:41:48.010 --> 01:42:03.849 Bob Yates: again, the timeline look really, really, really tight there and had 2 months for community engagement. we got hundreds of businesses. And we're talking about hundreds of millions of dollars here. So it's just kind of wondering, and we got a a letter from the chamber that said they really had that, you know, somebody's checked in with them, but they really haven't been fully engaged. 521 01:42:03.860 --> 01:42:24.460 Bob Yates: What's the I know the 2 months we'll set aside in that timeline for community engagement. what's the community engagement plan during that 8 or 9 weeks? with with all the hundreds of businesses that would be affected. What can you me want to lab right on what the community engagement plan is because if it's that's going to happen in 2 months, and it sounds like it's going to be like July and August. So you must be pretty far along and are thinking about what that engagement would look like. 522 01:42:25.350 --> 01:42:34.589 Taylor Reimann (she): So that's part of why we're all so checking in with you is because that that is an aggressive timeline. We we acknowledged that accomplishing that timeline would take a lot. And 523 01:42:35.790 --> 01:43:02.010 Taylor Reimann (she): if we were to have a 24 implementation, we'd we'd really need to hit the ground running on community engagement. And that's also assuming in a regional approach that all of our other partners would want to hit the ground running and doing that, too. Boulder County has offered to host some joint forums, and so again to sharing the work a little bit. we we could all come together and share some of the community engagement needs and and the other scoping needs. But 524 01:43:02.450 --> 01:43:06.540 Taylor Reimann (she): if we had a little bit longer of a timeline, we'd be able to 525 01:43:06.690 --> 01:43:11.090 Taylor Reimann (she): maybe flesh out. a longer amount of time dedicated to that. 526 01:43:11.310 --> 01:43:28.389 Bob Yates: Yeah, that sounds like a great idea, Taylor to to coordinate with the county and with the other cities, because we do have employers that are in multi cities. So I think that's a really really small idea whether we do that in 2 months or not. I don't know what we'll talk about that in a second. But but it sounds like, you guys are certain to think about the right things as far as this process, so that those are the questions I had 527 01:43:30.100 --> 01:43:38.309 Junie Joseph: great. Thank you, Bob. I just want to make sure I get the names right, is it? Mark is next 528 01:43:38.500 --> 01:43:41.680 Mark Wallach: your next mark? 529 01:43:43.690 --> 01:43:56.390 Mark Wallach: What is the implication? First of all? Thank you for the presentation, both Lauren and the and you know both of you and and Taylor. 530 01:43:57.500 --> 01:44:00.510 Mark Wallach: What's the implication of Fort Collins 531 01:44:00.660 --> 01:44:08.270 Mark Wallach: not approving and saying they want a regional approach. I don't see them listed as one of the cooperating cities, are they? 532 01:44:09.330 --> 01:44:10.799 Mark Wallach: Are they part of the mix? 533 01:44:12.330 --> 01:44:29.070 Taylor Reimann (she): No, they're not part of our effort. We have been re meeting with them on a regular basis, just to continue to be appraised of what we have going on. We they sort of voted on their item last week, and we had an update this week. So it made a lot of sense for us to check in on where things were at their council 534 01:44:29.090 --> 01:44:46.550 Taylor Reimann (she): really like the idea of a regional approach, and gave their staff direction that they didn't want to do this in isolation. I I know Fort Collins has done a little bit of leg work and trying to build coalition partners across layer more and weed. They haven't gotten a ton of traction on that yet. but 535 01:44:46.600 --> 01:44:49.429 Taylor Reimann (she): we'll see in the future if if those those 536 01:44:49.690 --> 01:44:52.350 Taylor Reimann (she): ideas change. The other thing that we 537 01:44:52.380 --> 01:45:19.029 Taylor Reimann (she): Fort Collins received direction to do was to pursue an amendment to the current legislation that would allow more flexibility for exemptions around small businesses and tipped workers, because in for cons at least their biggest feedback from the business community. And the pushback was around those 2 items. So if there was a little bit more flexibility, and being able to implement a law it might be more advantageous for their community and and perhaps others to pursue. 538 01:45:19.100 --> 01:45:23.629 Mark Wallach: So we're engaged with them and and hopefully working with them, going forward. 539 01:45:23.850 --> 01:45:26.969 Taylor Reimann (she): Yep, gotta check in with them tomorrow morning. Let them know what happens tonight 540 01:45:27.090 --> 01:45:33.129 Mark Wallach: and again. Thank you both for the work. It's This is a great presentation. Appreciate it. 541 01:45:34.930 --> 01:45:37.880 Junie Joseph: thanks, Mark Rachel. And then, Matt. 542 01:45:38.250 --> 01:45:48.340 Rachel Friend: thanks everyone. Just 2 questions. And I I think from Bob's questions. I probably know the answers. But have we done any analysis on the city budget 543 01:45:48.390 --> 01:45:49.780 Rachel Friend: with the proposal? 544 01:45:50.730 --> 01:45:56.389 Rachel Friend: What it would mean for us as a city, because we have a lot of employees. I don't know that any of them make 545 01:45:56.400 --> 01:45:57.880 Rachel Friend: minimum wage, but 546 01:45:57.910 --> 01:46:05.979 Rachel Friend: dovetailing with my next question. Often you're trying to be a bit above minimum wage is to different job categories. So just wondering if we looked at that. 547 01:46:06.880 --> 01:46:16.560 Kara Skinner: I will let Finance answer that question. Hi, Kara, good evening cars and our chief financial officer. We have done some preliminary analysis. 548 01:46:17.060 --> 01:46:30.259 Kara Skinner: and it it would definitely have a budget impact. But again, that's a consideration that Council would need to weigh against other goals of of a program like this. But there would definitely be a minimum wage impact 549 01:46:30.440 --> 01:46:33.869 because we do have. seasonal attempts are not 550 01:46:34.100 --> 01:46:47.109 Kara Skinner: subject to our living wage. So it's again that that same group. so it's largely in our parks and recreation, and open space and mountain park and transportation funds that would be impacted. 551 01:46:48.330 --> 01:46:55.029 Rachel Friend: Thanks. And then my second question, probably to Taylor. And I've talked about it a bit with Lauren. I worked 552 01:46:55.370 --> 01:47:04.330 Rachel Friend: I I I suppose I I gravitate towards companies that that are in the non profit sector and don't have a lot of money above minimum wage. So I worked at a company that 553 01:47:04.410 --> 01:47:17.460 Rachel Friend: provided direct care staffing sort of a health care setting for people with developmental disabilities and people exiting homelessness. And when the minimum wage was hiked by the Federal Government in around 2,000, 554 01:47:17.820 --> 01:47:29.749 Rachel Friend: that 8, maybe It was a real hit to the organization, because we always tried to stay like $2 above minimum wage. And so just wondering, has there been any analysis on how this would impact 555 01:47:30.080 --> 01:47:44.589 Rachel Friend: nonprofits particularly, but but health care settings that are really reliant on Medicaid dollar reimbursements where they can't. Just, you know, charge clients, or make up the difference some other way. So what is the analysis? Been for? companies that that 556 01:47:44.740 --> 01:47:59.220 Rachel Friend: it can't can't again charge more for their services, really, and a reliant on Government contracts, and I don't know if that's She been shown how it played out in Denver. I think 557 01:47:59.510 --> 01:48:12.380 Rachel Friend: one thing that we would not want to do is especially with a an aging population on the horizon drive, drive out a workforce that we're really gonna need to to provide for our most vulnerable. 558 01:48:12.600 --> 01:48:14.350 Rachel Friend: Is there an analysis there? 559 01:48:15.090 --> 01:48:27.019 Taylor Reimann (she): So no analysis in Boulder? we do know again, from our partners over in Fort Collins that this was a major area of concern in their efforts I'm not sure quite what Denver did, but 560 01:48:28.190 --> 01:48:36.279 Taylor Reimann (she): the known issue areas, tipped workers, the health care settings, small businesses would be part of what 561 01:48:36.320 --> 01:48:47.129 Taylor Reimann (she): informs our community engagement plans. We'd probably want to have very specific questions around those. If those concern areas and try our best to create something that would accommodate 562 01:48:47.530 --> 01:48:51.470 Taylor Reimann (she): knowing that there are some steps for limitations laid out in the Bill. 563 01:48:51.660 --> 01:49:04.599 Rachel Friend: Okay? And is that something that we can specifically ask for you to make sure that we're looking at for Boulder, you know, with regard to other cities that have done it like. what? What are the ripple effects? on on those settings? Okay, thanks. 564 01:49:05.650 --> 01:49:26.979 Nuria Rivera-Vandermyde (she/ella): If I may add to that just before we move on. It is something that I know. Council Member Focus has asked us to think about. But if the direction today is to move forward and and make this a work plan. Item, as we think about the partners that Taylor mentioned like, see you or other consultants to make sure we're thinking about it and and looking at it. Specific industries where we know 565 01:49:26.980 --> 01:49:36.419 Nuria Rivera-Vandermyde (she/ella): the impacts and the ramifications may be different. And so I just wanted to lift that up, that I know constant number 4 versus flag, that for us to continue to look at 566 01:49:36.610 --> 01:49:43.489 Rachel Friend: thanks. And in case I didn't make it clear, like a reason that you have to stay a couple of dollars an hour over minimum wage for those jobs is that 567 01:49:43.640 --> 01:49:49.919 Rachel Friend: people don't want to do those jobs like you. You really have to drop people to do those jobs. And so we just have to be mindful of 568 01:49:49.980 --> 01:50:01.329 Rachel Friend: you know, if you can work it at fast food or a cafe or something which are also highly needed jobs. If we can't get those above whatever we set as minimum wage, we're gonna have really hard time filling those thanks 569 01:50:01.390 --> 01:50:14.610 Nuria Rivera-Vandermyde (she/ella): absolutely. And having done this in Minneapolis, when we did this in 2,016 nursing homes were a big issue because of that Federal reimbursement, the Medicare reimbursement. So something to pay particular attention to and So we'll be 570 01:50:14.690 --> 01:50:20.639 Nuria Rivera-Vandermyde (she/ella): looking if that is the will of Council to continue to to go deeper into those specific industries. Thanks. 571 01:50:22.450 --> 01:50:25.789 Junie Joseph: thank you on, Matt. You're next. 572 01:50:27.330 --> 01:50:44.399 Matt Benjamin: Thanks, Jenny. appreciate the really the deep work Lauren that you're doing on this on behalf of us. That's it's really awesome that you're sinking into this really deeply and and helping lead the way. And Taylor. Thanks for supporting that. My question kind of has to do with how do we define regionality? 573 01:50:44.610 --> 01:50:52.400 Matt Benjamin: you know we we. We define regions for different things at different radii, more or less from our community. And so I'm just curious in this instance. 574 01:50:52.680 --> 01:51:01.739 Matt Benjamin: you know, I I I guess really my my question concern is, is Boulder County not quite regional enough to really actually meet the 575 01:51:01.740 --> 01:51:26.729 Matt Benjamin: the intended goals, or that sort of, you know, a broad breath of it necessary to keep competitive playing field. Even among some of our sister communities. I think of the hospitality industry. And I'm worried like, okay, if we do this? Do do some of our restaurants and hospitality businesses fleet to Ourvada and Jefferson County. Do they go north to 4, Colin? So those are all pretty lateral transitions. And so I'm I'm just wondering what, what, how are we defining that room? 576 01:51:26.730 --> 01:51:38.499 Matt Benjamin: Regional approach, and and how are we bringing those folks like Adams, Laramie, Jefferson, into the mix. And in that sense, or are they working independently? So I'm just kind of curious how we define regionality for a project like this. 577 01:51:39.740 --> 01:51:41.380 Taylor Reimann (she): Thanks Matt. 578 01:51:41.670 --> 01:51:54.040 Taylor Reimann (she): and actually outlined in the legislation. As I said, there's a 10% cap on who can enact but P. Folks in an Iga would only count as one in that calculation, but it has to be 579 01:51:54.110 --> 01:52:00.359 Taylor Reimann (she): folks within the county that count as that one in the calculation, and so I think that 580 01:52:01.160 --> 01:52:03.730 Taylor Reimann (she): I'm not sure how it would work out. 581 01:52:04.040 --> 01:52:21.150 Taylor Reimann (she): If not, like Fort Collins could necessarily join our effort or another community, let's say, outside of Boulder County joined our effort. How that would work in the 10% calculation. But the way it's laid out in the State Bill, it makes it most advantageous for regionality to be defined by county. 582 01:52:21.760 --> 01:52:28.839 Matt Benjamin: No, that. Okay, that that that's helpful context. And certainly if if one county has a Iga counts as just one. 583 01:52:28.950 --> 01:52:47.520 Matt Benjamin: Then I'm I guess I'm curious that as a unit, how are we then reaching out to those other sort of single Iga units that border our county to again maintain that level playing field. In that sense, so are we having those I would assume for calls would be part of the Laramie and and others. So are are we trying to have 584 01:52:47.560 --> 01:53:05.249 Matt Benjamin: that geographic spread in our outreach to one either know they're interested? Or is there a way that even though we're doing our own thing, can we kind of work from a even playing field? So I'm just wondering if those higher level conversations among would be separate. Igas, more or less, is is occurring, or is there intent to do so? 585 01:53:07.590 --> 01:53:13.170 Lauren Folkerts: I think so, because this effort sort of originated with the 586 01:53:13.430 --> 01:53:20.779 Lauren Folkerts: consortium of cities. That's really why we've been focusing on Boulder and Boulder County. 587 01:53:22.740 --> 01:53:31.640 Lauren Folkerts: I've been having conversations with other communities outside of this, as you know as other people are as well, and it's 588 01:53:32.370 --> 01:53:44.110 Lauren Folkerts: There hasn't been a community yet that's been really on board, and asked if they could join sort of our working group. I think that we would probably be open to that But 589 01:53:44.990 --> 01:53:56.959 Lauren Folkerts: it just. We haven't had that conversation yet, because there sort of isn't. While other people are. All the other communities are also looking at this that are outside of Boulder County. it hasn't been 590 01:53:57.110 --> 01:53:58.840 Lauren Folkerts: clear that they're 591 01:53:59.010 --> 01:54:04.390 Lauren Folkerts: is enough momentum for them to join with just yet. And so 592 01:54:04.560 --> 01:54:10.200 Lauren Folkerts: I think it's a good question, and something we'll keep trying to pursue to. I think you know the more 593 01:54:11.860 --> 01:54:18.529 Lauren Folkerts: the more we can co coordinate with the surrounding communities. I think that only serves to benefit 594 01:54:19.030 --> 01:54:20.710 Lauren Folkerts: all of us. But 595 01:54:20.900 --> 01:54:22.360 Lauren Folkerts: it's just 596 01:54:22.520 --> 01:54:31.090 Lauren Folkerts: it's not quite there yet, and I have a feeling that if once this gets more momentum we might see increased interest from surrounding communities as well. 597 01:54:33.810 --> 01:54:48.350 Junie Joseph: Great. Thank you, Matt. Are there any other questions from council at this time? Seeing none. The question for council? Do you wish to continue with this regional effort. 598 01:54:48.380 --> 01:54:54.110 Junie Joseph: and and have staff scope this item. 599 01:54:54.540 --> 01:55:00.900 and should the scope be considered for implementation in 2024 or 2525 600 01:55:01.200 --> 01:55:16.740 Junie Joseph: and would regional participation impact councils well to pursue an approach. That's the first question, and then the second. If Council would like us to continue to move forward this council have any feedback on the timeline or engagement 601 01:55:16.910 --> 01:55:20.299 Junie Joseph: or approach Now I see, Bob. 602 01:55:20.680 --> 01:55:23.970 Bob Yates: Yeah, I'll answer. I'll start with with the questions, thanks. 603 01:55:24.190 --> 01:55:32.640 Bob Yates: so absolutely. This should be a regional effort. I'm happy that we're that we're talking to our our partners, at least in the county. I think Matt raises a really really good point 604 01:55:32.740 --> 01:55:55.339 Bob Yates: about the fact that so many of of the people who actually make minimum wage or near minimum wage in our city probably don't necessarily live in the county, so I think we need to be looking for the south and farther east. They don't want to join us. They don't join us, but I don't know those legal constraints there as well, but it is gonna feel a little artificial to just draw the boundaries around the Boulder county limits. 605 01:55:55.440 --> 01:56:14.509 Bob Yates: and I think we're gonna miss the mark a little bit. And and we may have some unintended economic consequences we started to talk about. And I want to elaborate more about the the very, very big importance of doing an economic analysis here. It sounds like there's been little done, at least regionally around that. And so that's a super big, I I would think, almost next step 606 01:56:14.570 --> 01:56:20.429 Bob Yates: for this regional, whatever whatever the definition originally is, regional approach 607 01:56:20.440 --> 01:56:32.130 Bob Yates: and then then the engagement is going to be super super important. I mean, there's there's 2 ways we could do this the hard way and easy way. The hard way is just to jam it down throats of of hundreds of businesses. And Rachel, I think, started to touch on some of the businesses 608 01:56:32.240 --> 01:56:41.259 Bob Yates: that really would not have the ability to pass along this extra expense to their calling customers, sometimes their patients. 609 01:56:41.370 --> 01:57:04.739 Bob Yates: and so I think we have to be very, very thoughtful and careful about community engagement. There is no way that we can do adequate communication in 2 months. I'd be surprised if we do it in 2 years, but 2 months. That's just crazy. So I'm I'm moving on to the second question. Absolutely not 20. January 1, 2,024 is just a jam. There's been little or no economic analysis and little or no like 610 01:57:04.740 --> 01:57:13.389 Bob Yates: I mean engagement. And Matt raises a really really great point about who even is the region. So I I think it's great to be talking about this. And I I really commend 611 01:57:13.430 --> 01:57:37.549 Bob Yates: Staff and Lauren for leaving the charge in this. It should be regional. There's a ton of work ahead of us. I hope we get something done here. I don't want to back into an artificial number. I know some of where I have to get started at $25, and did the math on what it would take to get there. I think we need to go from the bottom of, not the top down and start an artificial number. I think we need economists to tell us what the appropriate wages can be and should be. 612 01:57:37.910 --> 01:57:44.430 Bob Yates: and the impacts on businesses, both businesses that can pass along those costs and in businesses and nonprofits. They can't 613 01:57:44.500 --> 01:58:13.209 Bob Yates: And so that's the first step. And it seems to me I don't know if that takes 2 weeks, 2 months, 2 years, but it's going to be done. And then, second, we do have to have adequate engagement. We got a letter from our chamber which represents hundreds of our businesses, both small and large, that said that they really hadn't been adequately engaged, and if they were forced into a situation where there was some artificial date put out there and says, All right, we're going to do this. On January one. Come kind of ha! Hell or high water that they were going to be opposed. That is, that would just be absolutely horrible in our community 614 01:58:13.210 --> 01:58:33.170 Bob Yates: to say, All right. January 1, 2,024. We're going to do this. We don't really care what people think. So we need to slow down. This is great work. a scale of one to 10. We're about step 2 And so we got lots more steps ahead of us. Here. This could. It might happen 2025. I don't know. But let's let it. Take the time it it takes 615 01:58:33.220 --> 01:58:43.830 Bob Yates: with the economic analysis and the community engagement. If that takes 2 months. Great, I doubt it. 2 years. That's fine, too. I I just simply don't know. But we need to to take a deep breath 616 01:58:43.890 --> 01:58:51.339 Bob Yates: and and do the analysis. Otherwise we're gonna in the same places for calling it, which will sound like it was a rush to effort. And this this council just says 617 01:58:51.560 --> 01:59:03.599 Bob Yates: fully and I don't want to end it with fully as an answer. I want us to get to a good answer, but do it in a way that's thoughtful and deliberate, and and inclusive of of all members of our community. Thanks. 618 01:59:04.730 --> 01:59:08.200 Junie Joseph: thank you, Bob Mark. And then, Aaron. 619 01:59:09.310 --> 01:59:11.899 Mark Wallach: I think Fooey is a great answer. No. 620 01:59:11.950 --> 01:59:18.649 Mark Wallach: I am very supportive about moving forward with this, I think we're in the right direction. 621 01:59:18.670 --> 01:59:33.839 Mark Wallach: I I have to agree with Bob that trying to do this in the next 6, 7 months is just not realistic. Something is going to be cut short, and I suspect it will be the community engagement portion of the process. it would probably 622 01:59:33.910 --> 01:59:44.960 Mark Wallach: curtail the economic analysis that we need. But I don't want that to the track. From the fact that we ought to move forward on this and and build that coalition. Try to make the region 623 01:59:44.980 --> 02:00:04.439 Mark Wallach: as comprehensive as we can that, you know, that was talking about regionalization. I I'd like to see that as as robust as is possible. so that we're not in creating a situation where one community doesn't buy in and tries to attract. You know, businesses at at lower wage levels. 624 02:00:04.710 --> 02:00:19.580 Mark Wallach: but I think it's good. I think we're we're we're moving and trending in the correct direction. I just think we need to be a little bit realistic about it. all of those steps are not going to be taken completed rather in in the next couple of months and 625 02:00:20.160 --> 02:00:34.239 Mark Wallach: So with that in mind I I I still think we need to be doing the work that we're doing. Lauren, you know it's it's great work that you're doing, Taylor. I think we just need to keep going and and keep 626 02:00:34.480 --> 02:00:35.310 Mark Wallach: you know. 627 02:00:35.600 --> 02:00:47.910 Mark Wallach: pushing the thing along. so My answer is yes to everything. But realistically, the 2,025 is the inception date that I would support. 628 02:00:48.180 --> 02:00:56.600 Mark Wallach: so that everybody gets a chance to be heard, and we can formulate whatever exceptions we want and go from there. Thank you. 629 02:00:58.030 --> 02:01:02.170 Junie Joseph: Thank you, Aaron. You're next. And then. Nicole. 630 02:01:02.620 --> 02:01:12.929 Aaron Brockett (he/him/él): Well, first, I just want to give an enormous thank you to Lauren for working really really hard on this. with our regional potential partners over the last year, plus 631 02:01:12.930 --> 02:01:37.109 Aaron Brockett (he/him/él): So no, it's not been easy and but you're you're bringing people along really well, and also to Taylor for helping out from the staff perspective and doing a huge amount of work on this as well. So I I know Council hasn't heard a lot about this, you know, recently. But, the these processes have been on under way for quite some time. They've been a lot of conversations going on for a lot of time. So they're starting to bear fruit 632 02:01:37.110 --> 02:01:42.349 Aaron Brockett (he/him/él): which is exciting. So thanks for all you've done to make that happen and get us to this point. 633 02:01:42.420 --> 02:01:58.680 Aaron Brockett (he/him/él): I do very much want to see is continue to take a a regional approach that we put a lot of work in to bring into working with partners and seeing how we can come along and and work together. I think when we work together recently, then, our 634 02:01:58.680 --> 02:02:23.119 Aaron Brockett (he/him/él): residents and workers share and the benefits, and then our businesses have shared common expectations and apartments as well. So I think it's all to the better to have the regional approach. So let's keep at that, and as as broad as we can make it the better. And so let's keep on that I'll I'll take a different, a little bit of a different approach from my previous 2 colleagues here in terms of timing, though, because I I'd like us to keep the possibility 635 02:02:23.120 --> 02:02:50.079 Aaron Brockett (he/him/él): of January 2024. And in mind and I want to make the point that the enabling legislation from the State really constrains our choices here, so we we can't elevate by an enormous amount in one year, and we can't carve out all kinds of exceptions, because it doesn't allow that. And it does mandate a certain level of outreach and analysis. So great points about the need for economic analysis. It's incredibly important that we do outreach to 636 02:02:50.080 --> 02:03:06.319 Aaron Brockett (he/him/él): our community, particularly the business community, and particularly to hear from our local small businesses and our local nonprofits to Rachel's point that could be impacted and have challenges with additional rates. But just keep in mind that the 637 02:03:06.320 --> 02:03:11.719 Aaron Brockett (he/him/él): there's only so much we can do this year. So if we are focused in our outreach. 638 02:03:11.720 --> 02:03:36.670 Aaron Brockett (he/him/él): and we do a great job with that, and we do listen to folks, and we may have the opportunity to go ahead and establish a modest additional wage that's allowed they could start getting some people in those lowest wage brackets a little bit of help. as long as we're doing the outreach to to bring people along in the meantime. So I'd still like to have that as as a potential goal. And hey, you know, if if it needs more time. If we're getting, you know, through maybe 3 months from now. We say you know what 639 02:03:36.750 --> 02:03:47.310 Aaron Brockett (he/him/él): it. It's just not doable this year. Then, you know, we can work with that. But I'd like us to keep that option on the table to see if we can move forward and in at the end of this year. 640 02:03:47.890 --> 02:03:49.140 Aaron Brockett (he/him/él): Thanks very much. 641 02:03:49.350 --> 02:03:53.330 Junie Joseph: Thank you, Aaron. Now we have Nicole, and then Matt. 642 02:03:55.800 --> 02:04:02.970 thank you. And just wanna echo everybody's thanks Taylor and Lauren for all of your work on this. Really appreciate it. 643 02:04:03.150 --> 02:04:11.790 Nicole Speer, Boulder City Councilmember (she/ella): so yes, to the first question. I think that we we really 644 02:04:11.820 --> 02:04:41.140 Nicole Speer, Boulder City Councilmember (she/ella): just kind of need to keep the scope as it's needed to get to where we need to be. So I think, you know, taking a little more time to make sure that we are Doing this appropriately and and helping the people that we're trying to help is is going to be really important. frankly, regional participation doesn't affect my interest in this. I think it's great if we can get it. And there's a lot of folks in our community that need need some support right now. So for me, that regional participation 645 02:04:41.260 --> 02:04:50.419 Nicole Speer, Boulder City Councilmember (she/ella): doesn't impact my desire to pursue an approach. So it would be good and as far as 646 02:04:50.950 --> 02:04:53.360 Nicole Speer, Boulder City Councilmember (she/ella): feedback from moving forward. 647 02:04:53.430 --> 02:05:11.540 Nicole Speer, Boulder City Councilmember (she/ella): I think you know, the reason that we're going in this direction is because we have more and more people in our community who are really struggling to meet their basic needs. housing and other cost of living keep going up at rates that are much, much higher than wages. And it's leaving more and more people in very precarious economic positions. 648 02:05:11.540 --> 02:05:26.659 Nicole Speer, Boulder City Councilmember (she/ella): I don't think we need an economic analysis to tell us this. We're really seeing record numbers, that our food banks, we see rising evictions. We see rental costs that keep going up every year, and we see businesses that are having a hard time. recruiting and retaining workers. 649 02:05:26.660 --> 02:05:36.200 Nicole Speer, Boulder City Councilmember (she/ella): so I think this aspect of increasing wages. It really is something that we need to do to try to get people to stay in our city and be able to work here. And 650 02:05:36.280 --> 02:06:01.720 Nicole Speer, Boulder City Councilmember (she/ella): ideally. We go as fast as as far as possible, and I don't want to rush and lose a really important opportunity to hear from people who are most impacted, like the families that groups like F serve. you know, we. We also got a letter from Efa today. They have hundreds and hundreds of families that they're serving. I think they're up to now 600 individuals a week. So also a very important constituency for us to be hearing from and 651 02:06:02.420 --> 02:06:25.999 Nicole Speer, Boulder City Councilmember (she/ella): if we can't kind of get to the self sufficiency wage stage and and do that at a rational level. I think getting to just matching what Denver is doing to me feels like a a good place to move forward. But I really don't want to do 2 years of engagement, but taking this year to do some engagement and getting to a sustainable long term plan so that wages can stop falling so far behind. 652 02:06:26.000 --> 02:06:37.320 Nicole Speer, Boulder City Councilmember (she/ella): the cost of basic human needs, like housing and child care and food and everything else that we need to keep ourselves living and safety and dignity. that that to me is the most important part. Thanks. 653 02:06:37.970 --> 02:06:41.659 Junie Joseph: Thank you, Nicole. Do you support 2024, 2025? 654 02:06:41.950 --> 02:07:06.030 Nicole Speer, Boulder City Councilmember (she/ella): I I think it really depends on the engagement that we can do for me doing this right is more important than in doing it in a way that's going to allow us to get to something that we can carry forward in future years, so that we're not having to come back every year to and Redo. This discussion, I think, is is critical. So I'm going to have a non answer for that question. 655 02:07:06.090 --> 02:07:14.779 Nicole Speer, Boulder City Councilmember (she/ella): you know, as as as long as it takes to hear from the folks in the community who are going to benefit from this. I think that is. 656 02:07:14.910 --> 02:07:24.749 Nicole Speer, Boulder City Councilmember (she/ella): that's my biggest thing. But it doesn't seem like. We necessarily need 2 years of engagement to to do that either. So if I have to put a timeline on it like 657 02:07:25.050 --> 02:07:35.060 Nicole Speer, Boulder City Councilmember (she/ella): 6 to 9 months of engagement. Maybe it seems like we could. We could have an idea by then. which probably wouldn't lend itself to a 2024 in 658 02:07:35.140 --> 02:07:38.979 Nicole Speer, Boulder City Councilmember (she/ella): implementation unless we were to implement mid year or something like that. 659 02:07:40.110 --> 02:07:42.679 Junie Joseph: Thank you, Nicole Matt. 660 02:07:44.250 --> 02:07:48.220 Matt Benjamin: I appreciate that. yeah. Interesting comments. 661 02:07:48.650 --> 02:08:04.939 Matt Benjamin: I think one, I mean staying. The course is is fine by me. I think we've sort of laid out a good track. on this so far. I appreciate Aaron's optimism and hope of 2,024. I I just don't see how we do that. So 662 02:08:05.000 --> 02:08:26.350 Matt Benjamin: I mean, I share that optimism. But I think, pragmatically speaking, is it's going to be 25, I mean, even with you know where the call was going with regards to outreach. If we, if our if our start. Time is January one every year, and that's by that's by law. It's 2025 is the earliest. We're going to do this meaningfully. so I think that that's kind of a foregone conclusion in that in that capacity. I I think one of my 663 02:08:26.460 --> 02:08:36.740 Matt Benjamin: I I I think regional participation kind of needs to be kind of a prerequisite here. I understand the the great need, and the letter from Fos is heartbreaking. 664 02:08:37.140 --> 02:08:45.820 Matt Benjamin: But I, my big concern, is if we're boosting wages at the expense of either losing businesses or them laying people off. 665 02:08:45.950 --> 02:08:57.829 Matt Benjamin: we're actually creating more harm for a lot of individuals who need those wages, because now I have no wage at all. And so I want to be very careful that we're on sort of a nice edge of how we throttle 666 02:08:57.830 --> 02:09:22.830 Matt Benjamin: that legislation to meet the need? and I think we have to be really intentional about that, and I'll just pick on the hospitality industry. In particular, they are far behind every other industry in terms of coming back after Covid, and they are on more of a nice edge than anything, and and I've already talked to a few restaurant owners in town about this. And and they are very concerned because they're already on tiny, tiny margins and a 12% per year 667 02:09:22.830 --> 02:09:46.749 Matt Benjamin: will cost increase. W. W. Would devastate many of our hospitality businesses in our community. So I I I don't want to be taking that that we have to cater completely to that. But I I we need some intentionality and and need some better understanding of how we're going to have those impacts, because ultimately, I think, to one of the points was made. We want this to last, as Nicole said, and so to doing so, we need both those who are going to benefit, but also those who are going to be harmed and in the business. And we heard 668 02:09:46.750 --> 02:10:10.570 Matt Benjamin: to really all be on board, and we need that momentum to make sure this last and has proper staying power. because I think this has a great potential to improve a lot of people's lives, but we gotta make sure it's done so in a way that doesn't then create just as much harm on the back end. So I I think that that that regional approach to me seems like partly one of the better ways to get there. and so Anyway, those are. Those are my thoughts on that. 669 02:10:11.430 --> 02:10:13.660 Junie Joseph: Thank you, Matt. Rachel. 670 02:10:14.050 --> 02:10:16.759 Rachel Friend: Thanks, Shirley. 671 02:10:16.960 --> 02:10:21.720 Rachel Friend: yeah, for the 2,024 versus 2,025. I I do think. 672 02:10:22.030 --> 02:10:43.570 Rachel Friend: because my understanding is, it's we can only like fully trigger for effective January first, and that leaves us just 6 months. That's tricky at this point. And it's nobody's fault like we started this work in in 2019. We're just coming to us right now. So that's a bummer timing, because I would think by the time we vote on something to get it implemented. January first. 673 02:10:43.780 --> 02:10:49.229 Rachel Friend: regionally, especially. So it's multiple cities doing multiple steps and and outreach like I. 674 02:10:49.240 --> 02:11:01.349 Rachel Friend: It seems pretty infeasible, and I certainly not opposed to it if everything was done properly and correctly. But or adequately, that that it seems like that would be a a a tall order today. 675 02:11:01.480 --> 02:11:18.289 Rachel Friend: I'm not opposed to it, though, if it could happen. And and again, I just want to reiterate like I I would be very worried about doing something without extensive analysis and engagement with the nonprofits, who, I think. 676 02:11:18.480 --> 02:11:29.640 Rachel Friend: serve the most vulnerable in our community. So I I agree with Nicole. We need to look at at the individuals that that is supporting. And also we want to make it that that sort of 677 02:11:29.790 --> 02:11:51.259 Rachel Friend: the the organizations that staff, those organizations are still here. So we I don't want to. I I don't want us not to be able to to staff a homeless shelter, or Fraser Meadows, or any other number of places where people do work that that are most vulnerable, and probably all of us are gonna need as we age. 678 02:11:51.290 --> 02:12:02.899 Rachel Friend: so it it just I. I don't think that the economic analysis is is going to tell me whether I want to raise the minimum wage. It's what is sustainable and feasible for a raised minimum wage. So that's 679 02:12:02.950 --> 02:12:09.459 Rachel Friend: that's the analysis I want and it. And again, I just really think it needs to include all the facets of of nonprofits 680 02:12:09.610 --> 02:12:24.169 Rachel Friend: abilities to to remain viable as well as other businesses. and then I would be a little bit worried about not doing a regional approach. I think I would want an economic analysis of that if we were going to go the other way with it. I know that we. 681 02:12:24.370 --> 02:12:48.220 Rachel Friend: you know it's already a little bit hard for us to be competitive with some of the businesses that are not in boulder due to some some different structures here. And so I would not, wanna, you know, go to $20 an hour. Minimum wage over the course of X years, or plan for that, knowing that you know the L's and and the other surrounding cities are going to be more like 15. And then all of our product prices go up, and and 682 02:12:48.220 --> 02:13:02.950 Rachel Friend: I just don't know how that's economically sustainable for us as a city, and I don't think we can be dismissive of that. So if if we were gonna pull out of a regional approach, I think that I would want just to understand what the ripple effects would be, and and whether we are 683 02:13:03.000 --> 02:13:09.029 Rachel Friend: viable and sustainable as a as a in the business world. If if we were to do that. 684 02:13:09.520 --> 02:13:11.980 Rachel Friend: that answer all the questions I needed to. Jenni. 685 02:13:12.400 --> 02:13:14.670 Junie Joseph: Yes, thank you. 686 02:13:14.930 --> 02:13:27.930 Junie Joseph: Thank you, Rachel. I'd like to add as well, if there is no one else we would like to add anything else at this time. I fully support the regional approach. 687 02:13:28.170 --> 02:13:42.539 Junie Joseph: I would like and thank you both Lauren and Taylor, for all the work that you've been doing on this particular project. and as far as implementation. 688 02:13:43.300 --> 02:13:45.190 Junie Joseph: When I first 689 02:13:45.250 --> 02:14:13.040 Junie Joseph: prior to council, I was closer to 2,024, but after hearing the conversation here today, it makes sense to move closer to 2,025, because again, we've just talked about we don't want to push this forward at the expense of community engagement. So I welcome those comments made my by my colleagues. so 2025 makes more sense at this time. And please do 690 02:14:13.310 --> 02:14:22.540 Junie Joseph: push for the regional approach. And yeah, and I want to summarize a little bit of what I heard. 691 02:14:22.910 --> 02:14:29.990 Junie Joseph: I know the first Mayor rocket. Aaron mentioned 2024 692 02:14:30.430 --> 02:14:50.899 Junie Joseph: But so far what I've heard closer to 2,025, which is not too far from what you your question, what was, should school consider implementation in 2,024, 2,025. So I think, based on what I heard tonight. It's closer to 2,025. Matt mentioned 2,025 693 02:14:50.950 --> 02:15:03.979 Junie Joseph: looked at the timeline in 2,024. This did not seem to be the right timeline Bob mentioned. Take as much time needed or necessary, and also do the economic research. 694 02:15:03.980 --> 02:15:22.089 Junie Joseph: And also Matt mentioned the research to not do harm to the communities that we want to support and help as well. And throughout we've heard the regional approach from Rachel, and the fact that a more realistic timeline would be 2,025, 695 02:15:22.090 --> 02:15:40.040 Junie Joseph: and also do the research necessary to ensure that we take into account the different businesses in our community, whether it's nonprofit or other businesses. And I also wanted to know that one of the things that I heard earlier. 696 02:15:40.040 --> 02:15:58.699 Junie Joseph: even though you intend to do this economic research. I heard you mentioned that you've been working with our current chamber, and the chamber is a big resource when it comes to businesses, and I hope you will lean on that as well as part of the work that you are doing. Thank you. And I'll pass it on to Norea. 697 02:15:59.560 --> 02:16:27.240 Nuria Rivera-Vandermyde (she/ella): Yeah, just I I think Jenni did a wonderful job, and thank you so much for summarizing that I see Lauren has her hand up, and I want to make sure that Taylor gets what she needs. But in essence, as I think about it, what I'm hearing is a yes, put that on the work plan staff so that we can get Taylor some additional support as she is moving forward cause. I know Carl, and Laurel Witt and Cao. Others have been hoping. But this is a bigger 698 02:16:27.240 --> 02:16:42.500 Nuria Rivera-Vandermyde (she/ella): conversation, and to continue to work regionally with our partners, to figure out and come back to you with a little bit more of a scoping, because that may be dependent on what resources we use, what funding we may need if we're doing economic analysis. 699 02:16:42.500 --> 02:17:04.650 Nuria Rivera-Vandermyde (she/ella): all right consultants, or if that is shared across the region as we move forward. So we will continue to work, obviously with Council member focus as we move forward. But the fundamental question I've heard is just is, yes, move forward as a work plan, item, scope appropriately with partners, and keep all the caveats and What you have told us in mind as we're moving forward. 700 02:17:04.799 --> 02:17:11.449 Nuria Rivera-Vandermyde (she/ella): council member folks and Taylor just wanna make sure you all got what what you needed. 701 02:17:13.209 --> 02:17:18.260 Lauren Folkerts: Yeah, I did. Thank you, Marianne. Thank you, Taylor, and thank you. Everyone for 702 02:17:18.690 --> 02:17:23.749 Lauren Folkerts: weighing in on this and helping provide direction for us to move forward. And we really appreciate it. 703 02:17:25.070 --> 02:17:48.289 Taylor Reimann (she): and I'll just chime in on that. Thank you so much. Counsel the work of the last year. is very much helped out with your feedback and direction tonight we'll be sure to circle back with our municipal partners. As I said, we gotta check in with Longmont in a couple of weeks, and we'll also circle back with our stakeholders, who weighed in early and let them know how we're moving forward the next steps. Really appreciate it. 704 02:17:49.410 --> 02:17:53.270 Junie Joseph: Thank you. Both Taylor and Lauren 705 02:17:53.389 --> 02:18:02.649 Junie Joseph: for this great presentation. And also I wanted to know Council Member Weiner is in here with us so welcome, and thank you for being here 706 02:18:03.219 --> 02:18:12.970 Junie Joseph: and actually, that ends this portion of our meeting. Are there any last comments business that we would like to discuss Nicole. 707 02:18:13.680 --> 02:18:36.709 Nicole Speer, Boulder City Councilmember (she/ella): Thank you. I was ready to go really fast this time with that little hand. Raise. Thanks, Jenny. I I just kind of wanted to mention, because I think you know this issue of wages, and how how many people are struggling right now, I think, is one that we're becoming more and more sensitive to in many different discussions. And one thing that was clear to me in the course of our discussion about the minimum wage 708 02:18:36.990 --> 02:18:55.470 Nicole Speer, Boulder City Councilmember (she/ella): increase tonight is that there really are multiple ways of getting people to self sufficiency. I think anything that we can do to decrease housing utility costs offset child care and health care costs, helping people with food and other basic needs. some of which, you know, we're already starting to think about and do. But I 709 02:18:55.721 --> 02:19:20.620 Nicole Speer, Boulder City Councilmember (she/ella): just hope that you know, as we move forward with other kinds of policies that we're already working on that are farther along this year. We can kind of keep that in mind that we don't have to put all our eggs in one basket. We've got lots of ways that we can try to adjust the ability for people to live with safety and dignity in our community. And I just, I appreciate that we're starting to have more of these conversations. So, thanks to to everybody and and staff for continuing to elevate this issue. 710 02:19:21.320 --> 02:19:25.600 Junie Joseph: thank you, Nicole. Are there any other comments at this time 711 02:19:25.920 --> 02:19:29.310 Junie Joseph: any further comment. I'll just wait a minute. I know I move too fast. 712 02:19:30.850 --> 02:19:31.940 Junie Joseph: Aaron. 713 02:19:32.150 --> 02:19:36.949 Aaron Brockett (he/him/él): Great meeting Juni done at 8 19. It's setting the bar high. 714 02:19:37.230 --> 02:19:45.580 Junie Joseph: Oh, thank you. I could not have done it without you and all the other council members, so if there is no further business. 715 02:19:45.590 --> 02:19:54.580 Junie Joseph: thank you so much. I hope you have a great night, and this concludes our meeting at 8 20 pm. Thank you so much. Have a wonderful rest of your night Council. 716 02:19:56.320 --> 02:19:58.250 Nicole Speer, Boulder City Councilmember (she/ella): Thanks, Jenny, thanks. Everyone.