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than the current inflation rate in the Bay Area. Financial Services Director Ponty explained the property tax distribution as well. • Council Questions /Comments /Public Comment Council Member Hartnett spoke regarding volatility of sales tax and software sales and stated that companies may be more aggressive in bypassing sales tax necessitating closer attention to be paid with possible second year adjustments to the budget. He further stated the need to be more regionally involved in regional and statewide efforts relative to education local legislators and others in the implications of the evasion of sales tax by software companies. Finance Committee Chairperson Ira commended Mr. Ponty on staying abreast of the issue. He further stated Council Member Jordan will be attending a legislation seminar and recommended that cities should unite through the League of California Cities as they are pursuing the issue. Finance Committee Member Claire asked about recouping monies taken by the State. City Manager Everett indicated the League is not expecting to pursue at this point. Council Member Jordan stated appreciation for the presentation on collaborations, entrepreneurial ventures, efficiencies and doing more with less and would like to - see a report with outside consultants and costs. She requested a report on outside consultants to be provided at the next budget session. Finance Committee Chairperson Ira asked for explanation of areas of expertise being contracted for and not present on staff. Public Comment: Pete Hughes passed out a letter dated June 5, 2000. He stated that there is a 45% increase in General Fund Revenues and the expenditures are up 50 %. He made several points outlined in the letter. One specific point he made was the hope that the Bayfront storm drainage plan be locked in for phases 3, 4 and 5 into the future. IV) Performance Measures and Objectives (by Peter Ingram, Public Works Services Director); Mayor Ruskin mentioned the first event was the Neighborhood Services Survey and then the ICMA Performance Measurements STUDY SESSION MINUTES JUNE 5, 2000 PAGE 5 MINUTES Book No.58 Page NO. 123