Edition 21 | April 3, 2024

A New Stable Revenue Source

Until I came to St. Helena, I probably had not heard about a transfer tax, but the term has been part of the local political lexicon for quite a while. In fact, in 2022 both mayoral candidates identified it as a possible solution for the City’s financial woes. The reason the transfer tax has been considered by the City’s elected officials to be an option for about a decade is the realization that the amount of funding needed to address the infrastructure and other needs is so significant that adding a couple of stores, and/or restaurants, would not suffice.

Over the last 30 years there has been an obvious underinvestment in the City’s built environment. This has caused serious issues particularly with our water, wastewater, and stormwater systems. The frequent pipe leaks, sewage spills, state fines for polluting local waterways, and brown water coming out of faucets are costly results. The dilapidated condition of our sidewalks, parks, and streets, is another visible reminder of the historic underinvestment. Recently, residents have applauded the paving of certain streets such as Grayson Avenue and the Pope Street bridge. But the uptick in investment has not come from our normal annual revenues, it has been the result of the City Council’s strategic decision to dip into our reserves to improve local streets. Using our reserves has also enabled investments in technology and the development of plans which will make our streets and sidewalks safer for pedestrians, bicyclists, and vehicles; enhance economic vibrancy; help with disaster response; provide predictability for investors and homeowners; and help comply with complex state regulations revolving around housing. While these are worthy purposes and allow us to stay comfortably above the 30% reserve requirement, we cannot keep withdrawing from a finite source – we need a new stable revenue source.

Sufficiently large alternate source(s) of revenue don’t come-by easily. Based upon the BakerTilly study, the City needs almost $7 million dollars annually to be able to address infrastructure needs, stabilize staffing, and fund Capital needs. This is because even when we have sufficient funding for Capital expenditures, such as the rate-increase generated funding for water-wastewater infrastructure, we need staff to manage and do the work. Replacing obsolete vehicles and equipment is nice, but we still need humans to deliver services. The community also needs staff for ancillary and backroom functions such as in the planning department, code enforcement, and accounting, to manage development, account for the community’s monies (track revenues and expenditures), etc.

The fact is that other forms of revenue are difficult, insufficient, or unpalatable. Residents have historically been split on hotel development and previous estimates for revenue from hotels was about $1.5 million per hotel. At that rate, the City would need at least four hotels to meet the basic revenue needs – an unlikely scenario. Even if the community was willing to support the development of four to five hotels, there would be a five-to-eight-year time lag for revenue to be received by the City. Other options such as a 1% increase in the TOT would only generate $450,000 per year and a 0.5% sales tax increase would generate $2.3 million which would be unpopular since local residents would pay it all the time as opposed to a one-time payment like a real property transfer tax. This is why previous elected officials have gravitated toward the transfer tax and is also the reason the current City Council members see the transfer tax as the best solution to address our fiscal needs. 

At the direction of the City Council, staff has been working methodically on the complex series of steps to place the transfer tax on the ballot. Part of that process is to determine the willingness of the community to tax itself to address our City’s many needs. Only a small number of residents will be contacted on a randomized basis as part of a community poll being conducted right now. [This poll should not be confused with the City’s FlashVote option which enables residents to respond to questions periodically posed by City staff. Click to sign up for FlashVote] Assuming there is sufficient support in the community for such a tax, the City Council will likely provide direction to place the tax (and move to Charter City) on June 11th for the November 5th ballot enabling the City to receive a steady source of revenue.

We are all seeing the results of additional funding while driving on our streets and when turning on our faucets. Further progress needs to be made on a number of fronts and requires sufficient funding to do so.

Yours in Service,

Anil Comelo

City Manager

City of St. Helena

New Fire Engine at Station 17

The St. Helena Fire Department recently received a new fire engine that will continue to protect our community. Engine 17 is a frontline Type 1 pumper used as the "first out" vehicle for all emergency and non-emergency calls, including wildland fires, structure fires, traffic collisions, medical calls, and more. The engine was built by Pierce Manufacturing in Appleton, Wisconsin over a two-year period. The engine pumps 1,500 gallons per minute and holds 750 gallons of water. Additional equipment includes vehicle extrication equipment, rope rescue equipment, ladders, EMS medical, wildland firefighter hose and equipment, and more.

Grayson Avenue was repaved in mid-February and the City owned portion of Silverado Trail along with the Pope Street Bridge were repaved in late March. Additional newly paved streets include Allyn Avenue, White Sulphur Springs Road, Dowdell Lane, Mills Lane, and La Fata Street. Work on Vallejo will happen soon and work on St. James will be completed after storm drain rehab work is complete. Beginning in July, additional streets will be repaved (PDF), including the Sylvaner neighborhood, Pratt Avenue, Birch Avenue, Edwards Street, Hunt Avenue, and Spring Street. Photos: Pope Street Bridge on March 25 after paving and before striping. Part of an aging storm drain pipe removed (and replaced) from St. James Street.

March 26, 2024

• Proclaiming March Sexual Assault Awareness Month (PDF) and recognizing NEWS Domestic Violence and Sexual Abuse Services for serving in Napa County for 42 years.
• There was a staff briefing on Permitting Efficiencies (PDF). Watch the presentation.
• Consent Items:
• The City will begin working on a new Emergency Operations Plan (PDF), a requirement of the California Emergency Services Act, this follows the creation of an Emergency Evacuation Plan last year. The plan will address the challenges and responsibilities the City holds with respect to preparation, response, mitigation, and recovery from hazards associated with emergencies. It will be a collaborative project between the consultant and Police Department, Fire Department, Public Works Department, and City Manager's Office.
• Resolution adopted to support the Napa Valley Transportation Authority’s (NVTA) Vision Zero Plan (PDF). The plan identified a variety of focus areas throughout the Napa Valley and then called out 10 representative projects for further development, two of those projects are in St. Helena (Main Street from Charter Oak Avenue to Pratt Avenue and Deer Park Road/Sanitarium Road). Watch the discussion about the Vision Zero Plan.
• Some Public Works and Fire Department equipment was declared as surplus (PDF) allowing the City to begin the process of transferring, trading, or selling the equipment.
• Authorization for engineering services associated with a CIP project to provide plans, specifications, and construction cost estimates for upsizing water mains at various locations to improve fire flow (PDF) as identified in the 2021 Integrated Utility Master Plan.
• Resolution authorizing Pavement Restoration Project (PDF).
• Approved NVTA proposal for Measure U (PDF) that would replace the existing Measure T and would allow transportation sales tax revenues to work better for residents, visitors, and the workforce by improving roadway conditions and reducing traffic congestion. Watch the discussion on Measure U with NVTA. Read more in the St. Helena Star.
• Approved resolution for additional funding of the Vine Trail segment from St. Helena to Calistoga (PDF). This funding could be reimbursed or reduced depending on final construction costs and a claim between the Vine Trail and PG&E. Read more about how funding for the Vine Trail helps the City receive its Measure T funds for roadway repairs. Watch the discussion on funding the Vine Trail segment from St. Helena to Calistoga.
• New Business
• Energy Friendly Permit Sale and Rebates (PDF) that will waive building permit fees for EV Chargers (June 1, 2024 to November 30, 2024) and Greywater Systems (October 1, 2024 to March 31, 2025) while also establishing rebates. Watch the Energy Friendly Permit Sale and Rebates discussion.
• Adopted the Vehicle Miles Traveled (VMT) ordinance that has metrics for new development. This is a key metric for determining whether mobility and transportation related greenhouse gas (GHG) reductional goals are behind achieved. Watch the VMT discussion.
• Formation of a committee to prepare for the City’s Sesquicentennial in 2026 (PDF). Sesquicentennial presentation (PDF). Watch the Sesquicentennial discussion.
• Provided direction to staff regarding the formation of a new department (PDF) with oversight of Arts, Culture, Library, Parks & Recreation, Grants, and Community Engagement. Formation of New Department presentation (PDF). Watch the Formation of New Department discussion.
• Review the complete meeting agenda and watch the meeting.
• Did you know that you can sign up to have agendas emailed to you in advance of every City Council, Commission, and Board Meeting?

Click the underlined event names for more information.

• St. Helena Calendar: Learn more about our business community’s upcoming community events.

• Being Mortal - Discussing What's Important: Join Frank Mueller, MD, retired Serious Illness and Supportive (Palliative) Care specialist, in a series of discussions about what's really important as we age and approach our death. Rianda House, Mondays in April, 3 p.m. to 4:30 p.m.

• Napa County Behavioral Health Board Meeting: Learn about expanded behavioral health services in the Up-Valley, including St. Helena, Calistoga, and surrounding areas. Carnegie Building, April 8 at 4 p.m.

• Artist Reception - Sharon Gmelch: After conducting anthropological research, teaching, and writing for forty years, Sharon Gmelch is now a fledgling painter, and has taken courses with local artists Karen Ingles, Deirdre Shibano, and Michael Bartlett. She works in acrylics and oil and tries to capture—often playfully--the essence of the landscapes and people she paints. She lives in Oakville with her husband George, two cats (Fergal and Milo), and Nubian goats Ambrose and Samosa. St. Helena Public Library, April 11 at 4:30 p.m.

• Afternoon in the Vineyards: A yearly program for Napa County residents to tour and learn about the unique vineyards in their neighborhood. Connect with your local agricultural community and spend the afternoon with those that tend the vines and make the wines. Hear about what makes the Napa Valley such a unique winegrowing region and leader in land stewardship and learn about topics relevant to you — sustainable vineyard practices, wildfire preparedness, pest management and more. This event is hosted by the Napa Valley Grapegrowers and the Napa Valley Vintners. Various Locations on April 13 from 1 p.m. to 3 p.m. 

• Gravenstein Mandolin Ensemble (GME): Formed in 2006 in Sebastopol, a town famous for its Gravenstein apples. Directed by Gus Garelick, the GME’s eclectic repertoire reflects music from Argentina to Russia, Italy to Ireland, the Classical Era to Ragtime and beyond. The 14-member ensemble includes the entire mandolin family: mandolins, mandolas, and mandocellos, with the addition of guitar, bass, percussion and other surprise guests. The ensemble has performed for numerous audiences in California, as well as San Francisco, Portland, Seattle, and the national convention of the Classical Mandolin Society of America. St. Helena Public Library, April 16 at 4:30 p.m.

• First Presbyterian Church of St. Helena and UpValley Family Centers Anniversary Celebration and Open House: Celebrate the 150th Anniversary of the First Presbyterian Church of St. Helena and the 25th Anniversary of the UpValley Family Centers. There will be a special focus on the history of the church and its contributions to our community, including the many organizations and nonprofits that have used the church facilities. In addition, the UpValley Family Centers, located on the church property, will be open for touring the expansion of their offices and program space. The family center will also have a community mosaic project and other interactive activities for all ages. The event is free and open to all members of the community. RSVP requested. 1428 & 1440 Spring Street. April 18 from 4 p.m. to 6 p.m.

• Save the Date - Fentanyl Safety Event: The City of St. Helena and UpValley Family Centers will present Song for Charlie - The New Drug Talk, a 30-minute film outlines the dangers of fentanyl and fake pills. The film will be followed by an expert panel discussion focused on learning how to keep loved ones safe. Cameo Cinema, April 24 at 5 p.m.

• Save the Date - Rib Feed & Ag Mechanics Auction: The St. Helena Ag Boosters will be hosting the event that includes happy hour, dinner, and auction. All proceeds benefit the St. Helena High School Agriculture Education Program and FFA Chapter. Native Sons Hall, April 24 beginning at 5:30 p.m.

• Save the Date - Napa Climate Solutions Showcase: Designed to help local renters, home owners, small businesses, developers, property managers, real estate agents, representatives of community organizations (e.g., Fair Housing), and others gain a greater understanding of the resources available to make homes more efficient and save money. American Legion Hall. 1240 Pearl Street, Napa. April 27 from 12 p.m. to 3 p.m.

• Save the Date - Dinner at the Museum: Enjoy a paella dinner among artifacts that document the region’s history dating back 10K years to the area’s native people, the Wappos. Look forward to tapas, Gerard’s Paella, salad, dessert from the CIA, and Napa Valley wines. St. Helena Historical Society and Museum (1255 Oak Avenue), July 20 at 5:30 p.m.

City of St. Helena

1088 College Avenue

St. Helena, CA 94574