AGENDA
CITY OF RANCHO PALOS VERDES
REGULAR MEETING OF THE FINANCE ADVISORY COMMITTEE

September 18, 2002
7:00 P.M.

CITY HALL
COMMUNITY ROOM

1. Roll Call.
2. Approval of Agenda.
3. Approval of Draft Minutes for the meeting conducted August 14, 2002.
4. Proposed Long Point Resort Project – Status Report (Wolowicz, McLean)
5. Financing Alternatives update. (McLean)
6. Reports by Liaisons. (Wolowicz)
7. Public Comments.
8. Adjournment.

TO: HONORABLE CHAIR AND MEMBERS OF THE FINANCE ADVISORY COMMITTEE
FROM: DENNIS McLEAN, FINANCE DIRECTOR
DATE: SEPTEMBER 18, 2002
SUBJECT: FINANCING ALTERNATIVES

The Vice Chair Becky Clark, Gina McLeod of the Finance Advisory Committee (the "FAC"), Deputy City Attorney Mark Mandell, Richards Watson & Gershon and the Finance Director met on August 19, 2002 to discuss several issues regarding the Financing Alternatives project. Upon completion of the discussion, the following was decided regarding the direction of the Financing Alternatives project:

• Present a draft financing alternatives matrix suitable for presentation at a future City Council meeting to the FAC at the next meeting;
• Postpone pursuit of financing of the Sunnyside Ridge storm drain project separately; and
• Consider recommending the adoption of a debt policy by the City.

The draft Financing Alternatives Matrix intends to present a one-page overview of the several different alternatives for:

• Debt financing methods of future infrastructure improvements;
• Related revenue sources required to re-pay term debt; and
• Some general information about the different financing methods.

Staff has invited Joan Cox, consultant with Harris & Associates and Mark Mandell, the Deputy City Attorney to join the October 2002 meeting of the FAC. Staff offers the following ideas for discussion topics this evening regarding the Financing Alternatives Project:

• The general content of FAC’s report to the City Council;
• Financing the Sunnyside Ridge storm drain project;
• The integration of the Financing Alternatives project with the City Council’s assignment to the Open Space, Planning And Park And Recreation Task Force regarding the City’s recreational facilities and open space needs;
• The expected timeline for completion of the sewer study included in the FY 2002-2003 budget for a preliminary evaluation of the City’s sewer infrastructure;
• The expected timeline for completion of the citywide storm drain study included in the FY 2002-2003 budget for a preliminary evaluation of the City’s storm drain infrastructure over and above the facilities along PVDE;
• Providing information to the City’s residents regarding the condition of the City’s infrastructure needs;
• Conducting a benchmark survey to determine how comparable cities finance infrastructure needs;
• The risk of the possible loss of about $1.6 Million of VLF backfill in FY 2003-2004 and years thereafter; and
• Inclusion of utility undergrounding financing in the Financing Alternatives Project.

Staff encourages discussion, comments and ideas in anticipation of the October 2002 FAC meeting possibly followed by a report to the City Council in November 2002.

Respectfully submitted,

Dennis McLean
Finance Director