If everyone is moving forward together, then success takes care of itself
— Henry Ford

#12. Your Agenda and Priorities

 #12A) Past CAMPAIGN PROMISES

Question to be answered by Incumbents

Background: As all of us know, whether becoming a parent or serving on a city council, that it is one thing to have a theoretical knowledge of something and quite another to have direct experience with it. With that in mind, please respond to the following:

Question: What were your top 3 campaign promises and do you believe you made good on those promises? Please give specifics including whether there were difficulties to overcome in order to achieve your promised goals. If any of your campaign promises could not be achieved, what were the factors that kept you from accomplishing those promises including whether you changed your views in the interim?

Responses:

 

Michael Kemps

MICHAEL KEMPS (incumbent)
”During this term, I contributed to numerous accomplishments on behalf of our residents. Additional payments were sent to CalPERS totaling $1.82MM, paying down debt. A pension funding policy was developed. The policy pays $250K per year minimum towards pension debt within budget. It contributes 30% of annual surplus dollars towards pension debt by policy. Medical insurance brokers were changed to reduce costs. Insurance costs are now reimbursed by concessions. I led efforts as Mayor to negotiate a balanced Agreement with the Palos Verdes Police Officers Association that increased employee contributions to the maximum legally allowed, shifted compensation reducing pensionable benefits with stipends and special pay changes, eliminated pensionable overtime pay back shifts, and capped sick leave hours and cash out maximums. The City Manager intends to commence Zero Based Budgeting during next budget cycle.
In support of our residents, initiated and contributed to an ad hoc committee focused on the proposed Butcher Hill development. I worked with a team of stakeholders to deliver a response to the Draft EIR document, which led to causing the developer to step back from the project. I collaborated with PVHA around processes to block SB9-enabled lot splits, defending CC&R’s.
Our city needs upgraded and integrated technology applications. This will automate information sharing without manual intervention. A public portal into a new accounting system would allow residents to seek information without manual imports. The city’s records portal is active but needs staff resources and/or volunteers to manually import backlogged documents.”
 

Victoria Lozzi

VICTORIA LOZZI (incumbent)
”The main focus of my last campaign was to develop a long-range financial plan to ensure the City is financially stable into the future. In addition to that plan, I promised to attack our unfunded pension liability and to develop a capital improvement plan and set aside reserves to fund those projects. I think I fulfilled all three of those objectives, but there is more work to be done. The Long-Range Financial Plan has been developed. Some may argue that there are more tweaks that can be done, but I think the model does what we need it to do – project revenue and expense growth for normal operations for the next 10 years using realistic/conservative assumptions. I advocated for a Pension Funding Policy that considered various methodologies for paying down our unfunded pension liability from surplus funds when available. That policy was adopted by Council this year. The capital improvement plan continues to evolve. City Council was given a plan that in my view wasn’t really a plan, but rather a laundry list of projects. We need to prioritize that list by what must be done and what would be nice to have, put a timeline on those and then a funding strategy so that funds are available when the projects come up for completion. I am running for re-election so I can continue the momentum of what I’ve accomplished with my fellow councilmembers.”
 

David McGowan

DAVID MCGOWAN (incumbent)
”Fiscal Integrity has improved but not to the level necessary. Financial leadership has improved but PVE’s antiquated accounting systems create huge obstacles in achieving the desired results. The City Council and Financial Advisory Committee are working with staff to define the requirements of a new accounting system and an Enterprise Resource Planning (ERP). We anticipate that this significant improvement will not be completed for approximately 12 to 18 months. This improvement will enhance and simplify data management for the entire city.

A Long-Range Plan is still “work in process”. Progress has been made in understanding and projecting operational expenditures, infrastructure needs, and strategies dealing with the pension obligations. Work is in process but incomplete regarding the capital improvement requirements. As previously discussed, work is currently being done on the cash flow timeline requirements for infrastructure, fire mitigation and parklands tree maintenance - all critical components. As this data is compiled, we will need to additionally focus on potential funding sources. A committee is currently working on these needs in a parallel effort.

Once the Long-Range Plan is completed it will become the baseline for future City Councils and be updated annually.

A Charitable Foundation, titled the Palos Verdes Estates Foundation was created in December of 2019, under my leadership as a 501(c) (3) public service charity. To date the PVE Foundation has raised over one million dollars and provided various grants to fund needs within PVE. The Foundation will be continuing as a non-tax revenue source to supplement City funds.”
 

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