Speaker 1: Thank you very much. And we'll be hearing the next item, which is a 1919.
Speaker 0: Report from Technology and Innovation, Financial Management and Public Works recommendation to amend contract with plenary properties. Long Beach for critical technology needs infrastructure in an amount not to exceed 4.3 million, execute multiple lease purchase agreements and authorize related financing documents with Bank of America citywide.
Speaker 1: Thank you very much. The motion of the second councilman, Mongo?
Speaker 8: Yes. If city staff could provide a little bit of detail, I know that officers have received questions and I appreciate staff providing the answers to us. But I think it important to be a part of the public record regarding the use of ACP funds on the media wall and that that funding is not eligible for uses such as street repair, sidewalk repair, any of the other kinds of things that we are always looking for funding for.
Speaker 1: Sure. Absolutely. Mayor Councilmembers. This is the last breath effort to get us into the city hall and July 4th when we cut the ribbon. So this is the last piece of one time dollars that will need to to wrap up the facility. I'm going to turn it over to our technology innovation director, Lia Erickson, along with Jason Lee and our public.
Speaker 0: Works directors here as.
Speaker 1: Well. Craig Beck So whoever can respond to those questions.
Speaker 9: Council women. Mongo Yes, I'll answer the question regarding the use of the special advertising and promotion funds that that is funded from a portion of our hotel transit occupancy tax, and that is restricted for communications and marketing of the city's facilities and art and public relations projects. It can't be spent on street repairs and other purposes. I also wanted to say that we do have a public art component. This is our public art component, this video high definition media wall. And so this project, this funding with the special advertising promotion funds, goes to fulfill our commitment to our percent for the arts program.
Speaker 3: Right.
Speaker 1: Thank you, Councilwoman Vice Mayor Andrews. Oh. But you're okay?
Speaker 4: Yes.
Speaker 1: Okay. Katherine Austin.
Speaker 6: So thank you very much. I was just kind of caught off guard by this and was not a. Made aware that we actually had so much money in our AP fund. And if staff could really explain what the timing of this issue is and the is there some time sensitivity on this particular item?
Speaker 9: But so we are in the middle of Construction Council member Austin two for the project and we do need to make this commitment to keep on schedule so we can open the building and move in on time. And this particular component, there will be some time to program that that media wall and have it ready for for July four, when the building will open. So that is why this is time sensitive and why we recommend moving forward. At this time.
Speaker 6: I don't believe that the media war was part of the original plan. Was it or is this something that just just came up as a great idea?
Speaker 1: Councilmember Austin That's correct. The media law was an enhancement that was added to the building. As we look towards a 21st century city hall, we look to 21st century technology and experiences. And having this media wall is an opportunity to really engage our whole community. I mean, if you think about the opportunities to have a webcam from a playground or a webcam at the beach or to show videos from different neighborhoods and in art displays from different communities, in allowing us to engage with our university, really the opportunities are almost endless when you think about what can actually be displayed on the video wall. Not to mention it becomes a very useful device on those evenings where we have controversial items and we have overflow from the council chambers and we could actually have the council meeting being displayed on the video wall, and that would allow our residents or participants in the council meeting to kind of be engaged through through that wall in the lobby and even into the courtyard of the new Civic Center project. So this is an enhancement, we do believe it's a it's an important element to having a building that really represents where the city will be now and for the next 40 plus years.
Speaker 6: Well, I appreciate you put it in. I'm sorry I'm putting it into context, as well as talking a little bit about the functionalities of this this wall. And, you know, the irony of this situation that we are talking about building a wall at Long Beach. But that said, I I'm really curious about the the appropriation from the SJP fund because as a member of the Budget Oversight Committee, I was not aware that we actually had this this this extra reserve or these funds available. And so perhaps Miss Erickson can explain to us how that how we're getting this money.
Speaker 9: Councilmember Austin. I'll put my budget hat back on. Yeah, that's okay. No. Yeah. So we do have if you actually look in the budget book, we do have a description of every fund and the how much funds available is in the fund. And so there was a funds available in the special advertising promotion fund, as I said earlier, because of the restrictions for its use and also the funding source, the transit occupancy tax. We have to make sure we're using it for the proper purposes. And for instance, if we want to make sure it's structurally balanced, so it's actually the funds available is appropriate for one time purposes like this, using money for equipment, but building in use of the structure, the special advertising promotion fund for ongoing budget operations. If their revenue is not there to cover their costs, that would not have been recommended. So it probably didn't come up explicitly in the budget process because there wasn't extra structural revenue per se. But this the surplus was this funds available was shown in the budget book under the this fund.
Speaker 6: Okay. So I raised that because it seems like you went through too quite a bit to just secure $25,000 out of the S&P fund for for something that there was a lot of haggling to make that happen. And so had I known there was more money available, I think we would have been a little bit more ambitious with funding. You know, one of the the projects that this community lined up, you know, out the door to to support, and that was the the creation of African-American arts and cultural center here in the city. So I'm willing to hear from my colleagues again, this was kind of an unplanned thing. I understand that. You know, it's an element that's going to, you know, make our downtown or city hall look a lot nicer and feel more 21st century. But, you know, the building in itself, I think, accomplishes that without a 60 foot billboard. Thanks. And Councilmember, if I can just add to that, for the African-American Culture Museum.
Speaker 1: If I remember the discussion, it was less about.
Speaker 0: The dollar amount and was more about.
Speaker 1: The finding the right way to use that money. We did 25,000 in general fund. And then just recently in the in the Fy18 adoption, we actually did find a way to use.
Speaker 6: An additional 25,000 of SRP for that project to get it to a 50,000. So that's been allocated and that's.
Speaker 0: That's moving forward.
Speaker 1: Thank you, Councilmember Schubert.
Speaker 7: I'll defer to Councilwoman Mongo and then I'll speak after her.
Speaker 1: Councilwoman Mongo?
Speaker 8: Yes. Just as another point of information, since we do have the art component, this amount was already envisioned to be something art related. And so I think that the choice of what was utilized is really great. I think that it's important when we talk about broadcasting the council meetings on the media while we talk about also that it would be for visitors, that they would also be able to see and experience our meetings as. When I went to Australia, I had the great opportunity to see councilors from the Australian Government conduct business. And so as long as it continues to align, and I appreciate Mr. Modica reminding us about the discussion, because while we would even be able to potentially a lot additional funds, they have to be specific utilizations of those in a meaningful way. The other thing that I would say is, especially since we're so conservative on the Budget Oversight Committee with the public funding, we only try to utilize the funds that are coming in that particular year in the allocation process. It is we have not as a budget oversight committee since I've been on BMC, drawn from funds available ever. We've continued to stockpile that for the upcoming Olympics and other things that we've seen to be a major priority and we have not yet had to dip into it. We actually have been so conservative that this year's the first year that we think we probably expended the entire amount available. And I think that part of the questions coming from the community about CEP funds and how they're available for general fund is that first the funds come in, then they're bifurcated in half. 50% of it goes into available for city uses. And then the other 50% is what's restricted. And this is a great use of those kinds of restricted funds. Additionally, through the budget adjustment earlier tonight and through a item that came from Councilman Gonzales, his office earlier in the year when funding of general fund is moved over. We really appreciate when the Budget Office transforms that money and frees up more general funds. So we think that you guys are doing a great job in that. I mean, I know that's really nerdy accountant talk, but it's what I love to do. And so I just want you to know that I have dug into the numbers and I think that they're doing a great job. And anyone who would like to discuss them at length, I'm happy to grab a cup of coffee and discuss them at any time. Thank you.
Speaker 1: Thank you, Councilwoman. Councilman Schubert.
Speaker 7: Okay. Now that we had a count and talk and this is a low level conversation at this point, just to reiterate that these are not in general fund dollars. And I know the general fund has now been mentioned multiple times. It hadn't before. So I think we have to make that clear. And also the unique part of this project, as I see it, that that Craig Beck brought up. I can't think of another art project that has a dual purpose of a to an accessory to our council meeting. So thank you.
Speaker 1: Thank you, Councilwoman Price.
Speaker 2: I agree. I appreciate the clarification from staff. I have to say I was concerned when I saw the item because we didn't I at least I didn't ask for, nor did I receive a special briefing on this. And when I saw it, I thought, that's a little much. I mean, I don't that's just my personal opinion, like media hopeful. It just seems a little not consistent with at least my vision of what we should be doing as public servants and as a city. I just wanted to make sure that it's not flashy. And so I appreciate hearing from Mr. Beck that we are going to be using this as an extra opportunity for us to show council meetings when we do have overflow. And I have to say, that statement right there completely changed my mind on the whole thing. What I would have a problem with is if we've got, you know, flashy signs promoting all the great work we're all doing that I would not like. That's just not at all. What I want us to be spending money on is promoting ourselves. So thank you.
Speaker 1: Thank you, Katherine Austin.
Speaker 6: Okay. You guys have convinced me that this is probably in the best interest of the city to do it, and so I'll support it. But I do. Well, we'd like to just add to Councilmember Price's comments in terms of the use of the board in the wall, in terms of imaging and promotion of of of of elected leaders and things of that nature. I think that we need to establish some some policies and some some some guidelines in terms of what is what kind of content goes there. Because, I mean, if we don't, you know, it can can can get get out of control. So I think that said, I will be supporting this item with the with the understanding. I'm looking at a lot of nodding heads that my colleagues agree that that we may have to look at some parameters.
Speaker 1: Absolutely. And I and I agree with I think it's been my my interpretation that the wall essentially is like art or you'd have rotating art pieces, creations from the community that it would be kind of a welcoming. Hopefully not advertising. I think nobody wants a bunch of advertising for anything or for events or a bunch of things. But I, I'm assuming that I'm imagining I've seen some of these before. And so I'm thinking that these things are kind of like these permanent art pieces that they can change. They can, you know, they're more it's more of a welcoming thing. And then obviously you can use them, like you said, practically, to ensure that there's information for the public when there is when there's overflow. So I think those are all good. I agree with what everybody said up here. Things are all good. Good comments. And is there a public comment on this? Hi, Mr. Mayor, and congratulations on your upcoming nuptials. And I just want to say I had so many ups and downs in the past few minutes about whether I'm going to get up and speak. This, I think, jumps off of the, I believe, of $7.3 million that also was needed for, I guess, an anticipated critical technology need infrastructure some months ago. And I just hope that wasn't some sort of over overlooked the fact that you guys needed to have technology needs in that building. But anyway, you talk about the advertising and that brings up the thought, if I'm not mistaken, with the way things are going to work, plenary properties is going to be in some major. They're going to be playing some major role in the management of the City Hall Building as a as a piece of infrastructure, infrastructure in itself . And so what I'm not hearing I heard concern about whether there would be, for example, advertising or what type of promotion there might be on this wall, but who's going to control that? And it was going to be plenary controlling that. Then that's one thing. It's going to be you guys controlling that. Then what is the mechanism for you to control that if plenary is in fact the manager of the building? I think it's a good question. Thank you. Thank you. And our final speaker.
Speaker 8: Hello, Mayor, Vice Mayor Council? Kuzma asked. And there was a great concern that you brought up. $4.3 million. That's a lot of money. We say as far as advertisement is concerned, it kind of seems like it's a contradiction because we have art in the city. We also can see these council meetings by going to Long Beach TV. So I'm a little confused as to why we need a specification.
Speaker 5: Of a wall.
Speaker 8: To highlight what we can already pull up. $4.3 million. That's a lot of money. And I think that should be tabled.
Speaker 5: I think that should be tabled.
Speaker 8: To be reconsidered, to look at are we doing.
Speaker 4: The right thing?
Speaker 8: $4.3 million. I love also what Councilwoman Mongeau said. I thought what Councilwoman Price said as well with regards to, yeah, we may have the extra, but just because we have the extra, how are we spending that? So let's keep that list. Let's keep stand our ground on that. Like, do we really this a need that we need to spend $4.3 million? That's a lot of money. That's a lot of money to say, hey, we want to highlight the meetings and because another country has done it, oh, this is wonderful. You know, as a U.S. veteran, I've been overseas in advertising is not one of the things that we're too concerned about. We can see this, like I said, on Mommy's TV. So let's just really table this for a minute. Go back. And just really consider like I said before, Councilman Austin, I was with you when you said, wait, wait, wait, wait, wait a minute. You know, and then when you go back and you do an amendment or to change the original submission, that was like, okay, we're going to do this, but let's add this on because we can kind of pull this revenue some more because now we can justify it.
Speaker 5: $4.3 million is a lot of money.
Speaker 8: Let's just think about it. Thank you.
Speaker 1: Thank you. Members. Reese Castro Rhodes.
Recommendation to authorize City Manager, or designee, to execute the necessary documents to amend Contract No. 34242 with Plenary Properties Long Beach, LLC, of Los Angeles, CA, for critical technology needs infrastructure, in an amount not to exceed $4,300,000; 

Authorize City Manager, or designee, to execute multiple lease-purchase agreements, in a total principal amount of up to $1,600,000, and authorize related financing documents with Banc of America Public Capital Corporation, of San Francisco, CA, for the financing of critical technology needs infrastructure, in an aggregate amount not to exceed $1,975,000 including principal, interest, and escrow fees, payable over a term not to exceed ten years;

Increase appropriations in the General Services Fund (IS 385) in the Technology and Innovation Department (TI) by $3,300,000, offset by lease-purchase financing and funds available; and

Increase appropriations in the Special Advertising and Promotion Fund (SR 133) in the Technology and Innovation Department (TI) by $1,000,000, offset by funds available.  (Citywide)