WEST GALVESTON ISLAND PROPERTY OWNER'S ASSOCIATION

LETTER TO GALVESTON CITY COUNCIL

October 21, 2003

to: Galveston City Council

from: Gil Langley, CAE

subject: West End Beach Cleaning

date: 10/21/03

cc: Galveston Park Board of Trustees

One of the most important responsibilities performed by the Galveston Park Board of Trustees, for the enjoyment of visitors and residents alike, is year-round beach cleaning. We clean 32 miles of Galveston Beaches at a cost of over $1.7 million annually.

We also have a fiscal responsibility to operate within a balanced budget. As we finalized our balanced budget for FY2004, a number of tough decisions had to be made, including modifications to our beach cleaning schedule for the entire island – including the West End. Our goal is to continue to maintain an acceptable level of cleanliness for our beaches while operating within our means.

I understand that there have been questions raised concerning our Beach Cleaning Plan for FY2004. Most of the questions I’m aware of are from residents on the West End who are concerned about reductions in the services we provide on the beaches from 103rd Street to San Luis Pass. Although we have altered our beach cleaning plans for next year across the entire island, my staff and I believe we will deliver better service than ever before, while maintaining our fiscal integrity.

Beach Cleaning Budget

As stated above, the vast majority of our beach services are supported by user fees paid by our guests, either in the form of hotel occupancy taxes or parking revenues at our parks. Additionally, we receive a $250,000 grant from the GLO and contract revenues from the City and County totaling $50,000. Unless they visit our parks or stay in a hotel, Galveston residents enjoy the benefits provided by the Park Board without their tax dollars being used to pay for beach cleaning, beach patrol, park maintenance, and other services.

Over the past year, the Park Board spent over $480,000 in garbage pickup and handpicking of litter on West End beaches (Zone 1). This is almost 48% of the total annual Park Board expenditure of $965,758 for those services for the entire island. The $480,000 figure comprises roughly 27% of our total beach cleaning budget of $1.7 million. That $480,000 amount, which includes operations and overhead, is provided to the Park Board as the result of an examination of our finances by the independent firm of Maximus. There are no charges accessed to the West End for services not performed there, such as raking of seaweed.

Importantly, that figure does not include the additional services covered by an emergency $200,000 budget adjustment in June, 2003 to cover expenditures in Fall, 2002 related to tropical storm cleanup. This increase also includes a schedule adjustment made in June, 2003 increasing beach cleaning from three (3) days to five (5) days this summer on the West End to achieve a new level of beach cleanliness. Our direct costs for labor in Zone 1 in FY2003 were budgeted at $232,862, while our actual costs will be $341,137. Total expenditures for the year just ended for all beach cleaning services will be over $1.95 million.

Based on an examination of the hotel taxes on the island, the West End generated a total of $846,094 over a 12 month period ending June 30th, 2003, which is 13.5% of the total amount of tax collected. By law $119,073.67 is earmarked for beach cleaning. If we allocated the $250,000 grant from the GLO according to miles of beach, $100,000 would be available in the budget for use on the West End, bringing the total revenue stream to just over $269,000, 15.1% of total revenue and enough to pay for just 56% of the budgeted services actually delivered (not including the $200,000 supplemental). The shortfall is covered by transferring money from beach user fees in other areas and hotel taxes generated across the island. For example, the area between 103rd and Stewart Beach generates 60.5% of the revenue available for beach cleaning, but costs only 33% of the total for garbage and hand picking.

A Plan to Maintain Cleanliness on West End Beaches

For FY2003, our original West End beach cleaning plan called for deploying 15 people for three (3) days of hand picking and three days of garbage barrel service from Dellanera Park to San Luis Pass, the same as in FY2002. Shortly after my arrival, I asked our staff to increase the service to five (5) days of hand picking, using 15 people, and four (4) days of garbage barrel service. Our original budget proposal to the Board of Trustees called for maintaining that same level of service in FY2004. To cover the additional costs, we allocated nearly 2/3 of net revenues from paid parking along the seawall. When the Board decided not to allocate those revenues, our budget was adjusted to provide the normal level of service experienced and planned for in previous years.

Although returning to a three (3) day per week service for both garbage barrel service and hand picking, we plan to double the number of staff servicing the West End Beach on Saturdays and Mondays from 15 to 30. We will maintain a staffing level of 15 on Thursdays. This will be accomplished by using contracted services through Seaborne Conservation Corps. Should we need to add additional days to the schedule, the costs would be $2,891.32 per day.

In addition to the normal litter and garbage generated by beach usage, The Park Board crews also collect trash deposited in or near Park Board litter barrels on West End beaches. To alleviate the accumulation of trash generated by rental properties and residents at barrels, we will be placing large waste containers facilities at high-use beach access areas. While we have had requests from residents for additional barrels, some residents have informed us we have too many barrels.

Our plan is to meet with representatives of the West Galveston Island Property Owners Association to gather further information and reach a consensus. Also, several developers on the island have approached the Park Board about increasing the amount of service provided near their properties on a contract basis. We also would offer neighborhood associations the opportunity to contract for additional services in their area if desired.

On the remainder of the island, we will be maintaining seven (7) day a week service in season for both garbage barrels and handpicking. However, our handpicking crews will be reduced from fifteen (15) laborers to ten (10) on weekends and eight (8) on weekdays.

As the members of Council are aware, the Park Board priorities for the coming year are fiscal integrity and quality beaches. Our budget plan insures both. Please feel free to contact me should you have further questions.