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HomeMy WebLinkAboutMinutes - City Council - 2000-06-06 101 I City Council, Regular Meeting Council Chambers 777 Cypress Avenue Redding, California June 6, 2000 7:00 p.m. Tr'~ Pledge of Allegiance to the Flag was led by Council Member Pohlmeyer. The Invocation was offered by Pastor Bruce Blake of the Neighborhood Church of Redding. The meeting was called to order by Vice Mayor McGeorge with the following Council Members present: Cibula, Kight, and Pohlmeyer. Mayor Anderson was absent. Also present were City Manager Warren, Assistant City Manager Perry, Deputy City Manager Starman, City Attorney Wingate, Director of Public Works August, Director of Development Services Hamilton, Director of Electric Utility Feider, Fire Chief Wagner, Information Systems Manager Erwin, City Treasurer Clark, City Clerk Strohmayer, and Executive Secretary Miller. I [( PRESENT A nON OF APPRECIA nON PLAOUE TO DAVE RUTLEDGE (B-080-300) Vice Mayor McGeorge acknowledged Dave Rutledge for service on the Redding Planning Commission. CONSENT CALENDAR The following matters were considered inclusively under the Consent Calendar: Approval of Minutes - Special Joint Meeting of February 22,2000, .and Regular Meeting of May 16, 2000 Approval of Payroll and Accounts Payable Register (A-050-100-500) It is recommended that Accounts Payable Register No. 22, check numbers 278082 through 278520 inclusive, in the amount of$3,365,547.12, for the period May 16 through May 30, 2000, be approved and paid; Payroll Register No. 23, check numbers 471093 through 471404 inclusive, and electronic deposit transaction numbers 75854 through 76405, in the amount of$1,496,218.69, for the period April 30 through May 13, 2000, be approved; and Payroll Register No. 24, check numbers 464361 through 471759 inclusive, and electronic deposit transaction numbers 76412 through 76964, in the amount of$1,508,104.43, for the period May 14 through May 27,2000, be approved. TOTAL: $6,369,870.24 I Treasurer's Report - April 2000 (A-050-100-600) Total Treasurer's Accountability - $75,822,219.08 Total City of Redding Funds, Funds Held in Trust, and Funds of Related Entities - $113,903,014.86 06/06/2000 102 ACR133 and Cash Reconciliation Report - April 2000 (F-205-095-650) It is the recommendation ofthe Administrative Service Director that the ACR133 Report and the Proof of Cash Reconciliation for April 2000 be accepted. Property Status Report (C-070) It is the recommendation of the Assistant City Manager that City Council accept the ProP';lty Status Report as of May 30,2000, which includes the following: (1) Surplus City Property; (2) Leases/Renewal of Leases of City Land; (3) Offers to sell land to the City; and (4) Ci1y- initiated purchases of land. I Resolution - Appropriating Funds, Change Order for Bid Schedule No. 3204, Civic Center Project, for Walkway Along the Anderson-Cottonwood Irrigation District (A.C.LD.) Canal (B-050-020, B-130-070, C-050-025) It is the recommendation of the Assistant City Manager that Resolution No. 2000-101 be adopted, a Resolution of the City of Redding approving and adopting the Thirty-Eighth Amendment to City Budget Resolution No. 99-93 1) appropriating $30,000 for the construction of a walkway along the A.C.LD. Canal as included in the Civic Center Project and 2) accepting $30,000 in revenue for Fiscal Year 1999-2000; and approve amendment of the contract with Allen L. Bender, Inc., to construct the walkway in the amount of$141,422 for earthwork, drainage, and night lighting. Ground Lease with Hawes River Acres. Inc.. for Farm Land at Reddin~ Municipal Airport (C-070-100, A-090-100) It is the recommendation of the Support Services Director that City Council approve combining two leases into one ground lease with Hawes River Acres, Inc., for farm land to grow crops and pasture livestock at designated areas of Redding Municipal Airport. The term ofthe lease is three years with one three-year option to extend, in an amount of$3,630 in the first year and a 2 percent increase each year thereafter. I Monthly Financial Report - Electric Utility (B-130-070) It is the recommendation of the Electric Utility Director that City Council approve the Electric Utility's Monthly Financial Report for April 2000. Retail power sales revenue was $3,661,787, or 6.1 percent, below projections, and wholesale power sales to date were $9,311,158, or 37.0 percent, above projections. Operating revenue after energy costs was $706,571, or 1.9 percent, above projections. The total cost of electricity through April 2000 was $5,115,452, or 10.4 percent, above plan. The Utility's earnings before interest, depreciation, and amortization were 6.0 percent, or $1,723,978, above plan. The current outstanding balance for the Debt Reduction Program is $102.3 million. Award of Bid - Bid Schedule No. 3372, Treated Wood Poles (B-050-100) It is the recommendation of the Electric Utility Director that Bid Schedule No. 3372, Treated Wood Poles, be awarded to McFarland Cascade, in the evaluated amount of$109,215, for the specified period of July 1, 2000, to June 30, 2001. The contract allows a one-year extension at the same prices, terms, and conditions if mutually agreeable to the vendor and the City. Right-of-Way License Agreement with Bureau of Rec1amation for Sacramento River Trail Extension Proiect (Hilltop Drive Bum Dump Area) (P-050-460-700) It is the recommendation of the Community Services Director that City Council approve a Right-of-Way License Agreement with the Bureau of Reclamation for a strip ofland adjacent to and on the Wintu Pump Plant access road for an extension ofthe Sacramento River Trail between Hilltop Drive and the Redding Arboretum. The license shall remain in effect so long as it is considered to be expedient and not detrimental to the public interest. I 06/06/2000 103 1998-1999 Annual Report of the Redding Fire Department (P-100-050-050) It is the recommendation of the Fire Chief that City Council approve the 1998-1999 Annual Report of the Redding Fire Department, including response and performance data and status of Department goals and objectives. I Excess Workers' Compensation Insurance Policy with United States Fidelity & Guaranty (R-100-375-325) It is the recommendation of the Administrative Services Director that City Council approve the purchase of a three-year excess workers' compensation insurance policy with United States Fidelity & Guaranty at a rate of$O.l 050 per $1 00 of payroll, plus an annual policy fee of $4,000, or approximately $40,000, guaranteed for a three-year term through Fiscal Year 2002-2003. Recruitment for Community Services Director (P-100-320) It is the recommendation ofthe Administrative Services Director that the City Manager be authorized to begin an in-house recruitment process for the position of Director of Community Services to provide a replacement for this position for 60 days prior to the separation of service of the current Community Services Director, who is on leave of absence until his retirement date in September. I Resolution - Approving Changes to the Executive Management Pay- for-Performance Salary Plan for the Police Chief and Deputy City Attorney (P-100-320) It is the recommendation of the Administrative Services Director that Resolution No. 2000- 102 be adopted, a Resolution of the City Council of the City of Redding amending the Executive Management Pay-for-Performance Salary Plan by extending the salary ranges for the Police Chief by 3.5 percent and the Deputy City Attorney by 14 percent, effective May 28,2000, and again May 27,2001. Monthly Financial Report - General Fund (B-130-070) It is the recommendation ofthe Administrative Services Director that City Council approve the General Fund's Monthly Financial Report for April 2000. Total revenue to date ($36.4 million) is $2,199,998 (6.4 percent) higher than staffs original cash flow estimate. Expenditures' to date total $36,475,586, or $2,842,509 (7.3 percent) lower than staffs original cash flow projection. . Resolution - Adopting Candidate Guidelines for the November 7, 2000, General Municipal Election (E-070-050) It is the recommendation of the City Clerk that Resolution No. 2000-103 be adopted, a Resolution of the City Council of the City of Redding adopting regulations for candidates for elective office in the consolidated General Municipal Election to be held in Redding on Tuesday, November 7,2000, pertaining to materials submitted to the electorate and the costs thereof. D I Award of Bid - Bid Schedule No. 3371, One Asphalt Patch Truck for the Streets Division (B-050-100) It is the recommendation of the Public Works Director that Bid Schedule No. 3371, One Asphalt Patch Truck, be awarded to Riverview International of Redding, in the amount of $113,600.81. 06/06/2000 104 Notice of Completion - Bid Schedule No. 3171, Energy Retrofit for the Redding Convention Center (B-050-020, C-050-050) It is the recommendation of the Public Works Director that Bid Schedule No. 3171 (Job No. 2122), awarded to Aircon Energy of Sacramento, be accepted as satisfactorily completed, and the City Clerk be authorized to file a Notice of Completion. The final contract price was $520,437. Although the contract work associated with the retrofit was completed in September 1999, the final punch list was not completed until recently, causing the City to incur $6,000 in additional staff time. To offset these costs, Aircon has entered into a deductive change order in the amount of $6,000. I Resolution - re Summary Vacation of Portions of Rio Street Right-of-Way (A-010-040) It is the recommendation of the Public Works Director that Resolution No. 2000-104 be adopted, a Resolution of the City Council of the City of Redding summarily vacating the portions of the Rio Street right-of-way that are excess right-of-way in the hammerhead turnaround (A-3-00). MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that all the foregoing items on the Consent Calendar be approved and adopted as recommended. Voting was as follows: Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, McGeorge, and Pohlmeyer Council Members - None. Council Members - Anderson Council Members - None Resolution Nos. 2000-101,2000-102,2000-103, and 2000-104 are on file in the office ofthe City Clerk. I PUBLIC HEARING - re Abandonment Application A-2-2000, by Ron Munk and Richard Downs, Portion of North Court Street Right-of-Way Adjacent to 1075 Court Street (A-010-100) The hour of7:00 p.m. having arrived, Vice Mayor McGeorge opened the public hearing re Abandonment Application A-2-2000. The following documents are on file in the office of the City Clerk: Affidavit of Mailing - Notice of Public Hearing Affidavit of Publication - Notice of Public Hearing Planning Commission recommendation dated April 25, 2000 City Clerk Strohmayer advised that no written protests were received. Development Services Director Hamilton provided an overview of the Report to City Council dated May 23, 2000, incorporated herein by reference, regarding Abandonment Application A-2-2000. He stated that applicants Ron Munk and Richard Downs submitted the application for the purpose of increasing the usable land area of the adjoining property for the development of a mini warehouse project. In conjunction with the abandonment request, the applicants propose to regrade the existing cut bank above the street for reduction ofthe slope, landscape the area at the top of the slope, landscape the slope across the street, and assume maintenance of all landscape. Additionally, Mr. Hamilton noted that the applicants agree to City approval of the building elevations visible from Court Street. I Mr. Hamilton said that staffhas evaluated the future need for this right-of-way, and although additional lanes on Court Street are not warranted in the foreseeable future, staff cannot absolutely rule out such a need in the 30- to 50-year future. 06/06/2000 105 I It is the recommendation of the Development Services Director that City Council deny the abandonment request and direct the City Attorney to develop an agreement with the applicant to allow the use of 10 feet of Court Street right-of-way for building and landscape improvements for up to a 30-year period. At that time, should the City have determined a use for the right-of-way, the applicant shall, at his election, either remove the encroaching building improvement or construct a retaining wall to facilitate the City's use of the remainder of the right-of-way, or alternatively, the agreement may be extended. Richard Downs, 1110 Shasta Street, stated that he and Mr. Monk were approached by staff with regard to abandonment of the right-of-way. Noting that landscaping the abandoned right-of-way will cost them additional funds, Mr. Downs said they support the idea and agree it would make the project more attractive. Vice Mayor McGeorge determined there was no one else present wishing to address this matter and closed the public hearing. MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, to deny Abandonment Application A-2-2000, and that the City Attorney be directed to develop an agreement with Ron Munk and Richard Downs to allow the use of 10 feet of Court Street right-of-way for building and landscape improvements for up to a 30-year period. The Vote: Unanimous Ayes I CONTINUED PUBLIC HEARING - re Rezoning Application RZ-8-99 and Tentative Subdivision Map Application S-3-00, by Creative Living, Inc. (L-OI0-230, S-100-705-900) The hour of7:00 p.m. having arrived, Vice Mayor McGeorge opened the public hearing re Rezoning Application RZ-8-99, a request to rezone property located at 160 Quartz Hill Road to "PD" Planned Development District and "OS" Open Space District, and Tentative Subdivision Map 2-3-00, Stanford Hills Subdivision. The following documents are on file in the office of the City Clerk: Affidavit of Posting - Notice of Continued Public Hearing Planning Commission recommendation dated April 21, 2000 City Clerk Strohmayer advised that no written protests were received. Development Services Director Hamilton provided an overview of the Report to City Council dated May 30, 2000, incorporated herein by reference, regarding Rezoning Application RZ-8-99 and Tentative Subdivision Map Application S-3-00. He related that the public hearing of May 16, 2000, was continued so that staff and the developer could meet with property owners to discuss concerns about the project. I Mr. Hamilton summarized that Stanford Hills Subdivision (S-40-90) was approved by the Planning Commission in September 1993, and that subdivision map is valid through September 2002. The development allowed the creation of298 single-family residential lots, and six lots of Phase I have been recorded within the site area to date. He indicated that the current proposal would create a maximum density of 49 lots within an area where originally 78 lots were approved; thus, the maximum density would be less within the proposed development than that currently in place. Mr. Hamilton noted that staffis recommending the waiver of in-lieu park fees in exchange for the lands being dedicated for the trail and parking area, and that the developer receive credit for the 49-lotpark development fees in exchange for the trail improvements. He indicated that a private homeowners' association will be responsible for street and drainage facilities maintenance. Mr. Hamilton noted that a meeting was held with residents on May 25,2000, who related concerns regarding maintenance of the drainage channel within Lake Redding Estates and areas within open space near the entrance of the drainage facility; however, a report that 06/06/2000 106 maintenance has been scheduled to occur this summer alleviated those concerns, and at the conclusion of the meeting, the residents were satisfied with the quality of the project and with the conditions in place. It is recommended that the City Council make the appropriate findings with regard to rezoning and tentative subdivision map as a planned development, approve the addendum to the original Negative Declaration for S-40-90, and offer an ordinance for first reading approving Rezoning Application RZ-8-99 and S-3-00, Stanford Hills Subdivision Planned Development, allowing creation of the 49-lot planned development and rezoning of the property to "PD" Planned Development District and "OS" Open Space District. I Vice Mayor McGeorge determined there was no one pres~nt wishing to address this matter and closed the public hearing. MOTION: Made by Council Member Pohlmeyer, seconded by Council Member Kight, to make the following necessary findings associated with Planned Development District: 3. The project's tentative map is consistent with the General Plan. The project's tentative map is consistent with the requirements of the "PD" Planned Development District, including areas of private and common open space and area suitable for general multi-purpose recreational use. The project will be compatible with surrounding land uses; and approve the addendum to the Negative Declaration regarding Rezoning Application RZ- 8-99 and Tentative Subdivision Map S-3-00 authorized by the Department of Development Services, which states; a) there aJ.l~ no substantial changes in the project or project circumstances which requi;'e revisions to the previous negative declaration due to new or substantial ,I increased environmental effects; b) there is no new information of substa.,tial importance which was not known or could not have been known at the :ime the previous negative declaration was adopted; and c) a minor modi:ication to the project was made. The Vote: Unanimous Ayes. I 1. 2. Council Member Pohlmeyer offered Ordinance No. 2270 for first reading, an ordinance of the City Council of the City of Redding amending Section 18.06.020 of the Redding Municipal Code relating to the rezoning of property at 160 Quartz Hill Road to "PD" Planned Development District and "OS" Open Space District and Tentative Subdivision Map S-3-2000 (Stanford Hills Subdivision), by Creative Living (RZ-8-99). MOTION: Made by Council Member Pohlmeyer, seconded by Council Member Kight, that the full reading of Ordinance No. 2270 be waived and the City Attorney be instructed to read the full title. The Vote: Unanimous Ayes Council Member Kight commended staff for working with property owners to resolve rezoning issues and make this project possible. PUBLIC HEARING and RESOLUTION - Ordering the Levy and Collection of Assessments for Fiscal Year 2000- 2001 in Landscape Maintenance District "A" (A-170-075-050) The hour of7:00 p.m. having arrived, Vice Mayor McGeorge opened the public hearing re Landscape Maintenance District "A." The following document is on file in the office ofthe City Clerk: I Affidavit of Publication - Notice of Public Hearing City Clerk Strohmayer advised that no written protests were received. 06/0612000 107 I Parks and Facilities Manager Masingale provided an overview ofthe Reportto City Council dated June 1, 2000, incorporated herein by reference, regarding Landscape Maintenance District "A." He announced that the assessment proposed for Fiscal Year 2000-2001 is $29.64 per lot and will affect 16 subdivisions consisting of 1,762 lots. Mr. Masingale stated that the assessment has remained the same since Fiscal Year 1997-1998 due to the quality of work performed by the landscape maintenance contractor, and the fact that the contractor has agreed to an equal level of maintenance for next fiscal year with only a four percent cost increase. There are sufficient reserves and built-in contingencies to cover the increase without raising assessments. It is the recommendation of staffthat City Council adopt a resolution confirming the diagram of the assessment district contained in the engineer's report and ordering the levy of the annual assessments for Fiscal Year 2000-2001. Vice Mayor McGeorge determined there was no one present wishing to address this matter and closed the public hearing. MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that Resolution No. 2000-105 be adopted, a Resolution ofthe City Council of the City of Redding confirming the diagram of the assessment district contained in the engineer's report; and ordering the levy of the annual assessments for Fiscal Year 2000-2001 in the amount of $29.46 per lot pursuant to the Landscaping and Lighting Act of 1972 (commencing with Section 22500 ofthe Streets and Highways Code). Voting was as follows: I Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, McGeorge, and Pohlmeyer Council Members - None Council Members - Anderson Council Members - None Resolution No. 2000-105 is on file in the office of the City Clerk. PUBLIC HEARING and RESOLUTION - re Assessments in Landscape Maintenance District "B" (A-170-075-051) The hour of7:00 p.m. having arrived, Vice Mayor McGeorge opened the public hearing re Landscape Maintenance District "B." The following document is on file in the office of the City Clerk: Affidavit of Publication - Notice of Public Hearing City Clerk Strohmayer advised that no written protests were received. I Parks and Facilities Manager Masingale provided an overview ofthe Report to City Council dated June 1, 2000, incorporated herein by reference, regarding Landscape Maintenance District "B." He announced that assessments are proposed for Fiscal Year 1999-2000 in the amount of$71.00 per lot, affecting 17 subdivisions consisting of718 lots. Mr. Masingale stated that the assessment has remained the same since Fiscal Year 1997-1998 due to the quality of work performed by the landscape maintenance contractor, and the fact that the contractor has agreed to an equal level of maintenance for next fiscal year with only a four percent cost increase. There are sufficient reserves and built-in contingencies to cover the increase without raising assessments. He added that staff proposes the annexation of Unit 1 of the Copper Creek Subdivision into Area 12 of the District. It is the recommendation of staffthat City Council adopt a resolution ordering the annexation of Unit 1 of the Copper Creek Subdivision into Area 12 of the Landscape Maintenance District "B", confirming the diagram of the assessment district contained in the engineer's report, and ordering the levy of the annual assessments for Fiscal Year 2000-2001. 06/06/2000 108 Vice Mayor McGeorge determined there was no one present wishing to address this matter and closed the public hearing. MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that Resolution No. 2000-106 be adopted, a Resolution ofthe City Council of the City of Redding ordering the annexation of Unit I of the Copper Creek Subdivision into Area 12 of Landscape Maintenance District "Boo, confirming the diagram of the assessment district contained in the engineer's report, and ordering the levy of the annual assessments for Fiscal Year 2000-2001 in the amount of$71.00 per lot pursuant to the Landscaping and Lighting Act of 1972 (commencing with Section 22500 of the Streets and Highways Code). Voting was as follows: I Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, McGeorge, and Pohlmeyer Council Members - None Council Members - Anderson Council Members - None Resolution No. 2000-106 is on file in the office ofthe City Clerk. PUBLIC HEARING and RESOLUTION - re Assessments in Landscape Maintenance District "C" (A-170-075-052) The hour of7:00 p.m. having arrived, Vice Mayor McGeorge opened the public hearing re Landscape Maintenance District "C." T~e following document is on file in the office of the. City Clerk: Affidavit of Publication - Notice of Public Hearing City Clerk Strohmayer advised that no written protests were received. I Parks and Facilities Manager Masingale provided an overview ofthe Report to City Council dated June I, 2000, incorporated herein by reference, regarding Landscape Maintenance District "C." He announced that assessments are proposed for Fiscal Year 1999-2000 in the amount of$7.46 per lot, affecting seven subdivisions consisting of30910ts. Mr. Masingale stated that the assessment has remained the same since Fiscal Year 1997-1998 due to the quality of work performed by the landscape maintenance contractor, and the fact that the contractor has agreed to an equal level of maintenance for next fiscal year with only a four percent cost increase. There are sufficient reserves and built-in contingencies to cover the increase without raising assessments. It is the recommendation of staff that City Council adopt the resolution levying assessments for Fiscal Year 2000-2001 in Landscape Maintenance District "c." Vice Mayor McGeorge determined there was no one present wishing to address this matter and closed the public hearing. MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that Resolution No. 2000-107 regarding Landscape Maintenance District "C" be adopted, a Resolution of the City Council of the City of Redding confirming the diagram of the assessment district contained in the engineer's report, and ordering the levy of the annual assessments for Fiscal Year 2000-2001 in the amount of $7.46 per lot pursuant to the Landscaping and Lighting Act of 1972 (commencing with Section 22500 of the Streets and Highways Code). Voting was as follows: I Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, McGeorge, and Pohlmeyer Council Members - None Council Members - Anderson Council Members - None 06/06/2000 109 Resolution No. 2000-107 is on file in the office of the City Clerk. I PUBLIC HEARING and RESOLUTION - Proposed Amendments to the 1999-2000 Action Plan and Citizen Participation Plan for Community Development Programs (G-1 00-030-1 00) Vice Mayor McGeorge abstained from discussion and voting on this matter. The hour of7:00 p.m. having arrived, Mayor Pro Tern Kight opened the public hearing re the 1999-2000 Action Plan and Citizen Participation Plan. The following document is on file in the office of the City Clerk: Affidavit of Publication - Notice of Public Hearing City Clerk Strohmayer advised that no written protests were received. Deputy City Manager Starman provided an overview of the Report to City Council dated June 6, 2000, incorporated herein by reference, regarding the Consolidated Plan and, specifically, proposed amendments to the 1999-2000 Action Plan and Citizen Participation Plan. He said that updated language in the Action Plan would identify Community Development Block Grant (CDBG) funds as a potential source for the proposed renovation and development of the Redding Hotel as a residential senior housing facility, as well as clarifying economic development efforts pertaining to the Budget Reservation Call Center approved by City Council on May 18, 2000. Mr. Starman related that the Citizen Participation Plan (CPP) is being modified to clarify the City's current CDBG process and . to set forth criteria for a "substantial amendment" in order to meet new program regulations. I It is the recommendation of the Deputy City Manager that a resolution be adopted approving the proposed amendments to the Action Plan, assuring City compliance with Department of Housing and Urban Development program regulations, and streamlining the Citizen Participation Plan. Mayor Pro Tern Kight determined there was no one else present wishing to address this matter and closed the public hearing. MOTION: Made by Council Member Pohlmeyer, seconded by Council Member Cibula, that Resolution No. 2000-108 be adopted, a Resolution of the City Council of the City of Redding accepting both the revised 1999-2000 Action Plan and revised Citizen Participation Plan, and authorizing the City Manager to sign all the necessary documents and submit the revised plans to the United States Department of Housing and Urban Development. Voting was as follows: Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, and Pohlmeyer Council Members - None Council Members - Anderson Council Members - McGeorge Resolution No. 2000-108 is on file in the office of the City Clerk. I RECESS At the hour of8:10 p.m., Vice Mayor McGeorge recessed the City Council Meeting for the purpose of conducting a meeting of the Redding Redevelopment Agency. 06/06/2000 110 JOINT PUBLIC HEARING WITH THE REDDING REDEVELOPMENT AGENCY - re Adoption of the Redevelopment Plan for Buckeye Redevelopment Project; RESOLUTION - Approving Final Environmental Impact Report EIR-1-97 and Adopting a Mitigation Monitoring Plan; RESOLUTION - Making Findings re Use of Taxes from the Buckeye Redevelopment Project; and ORDINANCE - Approving and Adopting the Redevelopment Plan for the Buckeye Redevelopment Project (R-030-030) The hour of7:00 p.m. having arrived, Vice Mayor/Chair McGeorge opened the joint public hearing ofthe Redding City Council and the Redding Redevelopment Agency (Agency). He explained that the purpose of the meeting was to conduct ajoint public hearing to consider and act upon the Redevelopment Plan for the Buckeye Redevelopment Project. I Vice Mayor/Chair McGeorge asked for the record that the City Clerk call the roll of the members of the City Council and the members of the Agency. Mayor/Agency Member Anderson was absent. Deputy City Manager Starman noted that the Vice Mayor/Chair and staff would be reading from a formal script. He related that the Buckeye Redevelopment Project follows the Lake Boulevard and Oasis Road corridor. He stated that the Shasta County Board of Supervisors and the Shasta County Redevelopment Agency would be holding similar hearings on July 3, 2000. Senior Redevelopment Project Coordinator Haddox entered into the record the following documents: Affidavit of Publication of Notice of the joint public hearing, published once a week for four successive weeks in the Redding Record Searchlight as required by Sections 33349 and 33361 ofthe Health and Safety Code (Exhibit 1). I Certificate of Mailing Notice of the joint public hearing, together with a map indicating properties potentially subject to acquisition by the Agency, to each assessee of land in the Project Area as shown on the last equalized assessment roll as required by Section 33349 and 33350 of the Health and Safety Code (Exhi"oit 2). Certificate of Mailing Notice ofthe joint public hearing to the governing bomes of each taxing agency within the Project Area as required by Sections 33349 of the Health and Safety Code (Exhibit 3). Certificate of Mailing Notice of the joint public hearing to all residents and business within the Project Area, as required by Sections 33349 ofthe Health and Safety Code (Exhibit 4). Vice Mayor/Chair McGeorge noted that these documents would be made a part ofthe record. Vice Mayor/Chair McGeorge explained that the State law under which the bodies were acting was the Community Redevelopment Law of the State of California. He related that the law required that certain procedures, some of them formal, be followed in the conduct of the joint public hearing. I Vice Mayor/Chair McGeorge conveyed that persons making statements and giving testimony would be subject to questions through the Vice Mayor. All persons desiring to speak would be given an opportunity to do so. He noted that staff making presentations this evening would be Deputy City Manager Starman and Senior Redevelopment Project Coordinator Haddox. 06/06/2000 111 Vice Mayor/Chair McGeorge requested a show of hands of those in the audience desiring to speak on the matter. He requested that speakers give their name, address, and organization, if any, they represented. He explained that the order of procedure would be as follows: 1. Staff would present the Redevelopment Plan and evidence and testimony in support of the Redevelopment Plan. I 2. Any written comments would be received. 3. Any evidence or oral testimony from those present concerning the Redevelopment Plan would be received. 4. Following the introduction of all evidence and testimony, the public hearing would be closed and then the Redevelopment Plan would be considered and acted upon. If written objections on the Redevelopment Plan were received from property owners or affected taxing entities prior to the close of the public hearing, final action upon the Redevelopment Plan would be delayed until the City Council meeting of June 20, 2000, in order to provide time for staff to prepare a written response to the objections for the Agency's and the City Council's consideration. Vice Mayor/Chair McGeorge asked if staff had any comments to make at this time. Ms. Haddox stated that the purpose of the hearing was to consider evidence and testimony for and against the adoption of the Redevelopment Plan. She indicated that evidence would be introduced for consideration by the City Council and the Agency in connection with the following findings and determinations that would be made in the adoption of an ordinance adopting the Redevelopment Plan. She noted that these findings and determinations were contained in Section 33367 ofthe Health and Safety Code and were generally as follows: I 1. The Project Area met the legal qualifications set forth by the Legislature for a blighted area, the redevelopment of which was necessary to effectuate the public purposes described in the Community Redevelopment Law. 2. The Redevelopment Plan would redevelop the Project Area in conformity with the law and in the interests of the public peace, health, safety, and welfare. 3. The adoption and carrying out of the Redevelopment Plan was economically sound .and feasible. 4. The Redevelopment Plan conformed to the General Plan ofthe community. 5. The carrying out of the Redevelopment Plan would promote the public peace, health, safety, and welfare of the community and would effectuate the purposes and policies of the Community Redevelopment Law. 6. The condemnation of real property, as provided for in the Redevelopment Plan, was necessary to the execution of the Redevelopment Plan, and adequate provisions had been made for payment for properties to be acquired as provided by law. I 7. Inclusion of any lands, buildings, or improvements which were detrimental to the public health, safety, or welfare was necessary for the effective redevelopment ofthe whole area which they were a part, and any such area included was necessary for effective redevelopment and was not included for the purpose of obtaining the allocation of tax increment revenues from such area without other substantial justification for its inclusion. 8. The elimination of blight and the redevelopment of the Project Area could not reasonably be expected to be accomplished by private enterprise acting alone without the aid and assistance of the Agency. 06/0612000 ~ 112 Ms. Haddox noted that there were other statements and determinations set forth in the proposed ordinance adopting the Redevelopment Plan, but the foregoing were the major evidentiary findin~s. Vice Mayor/Chair McGeorge stated that the City Council! Agency would proceed with the receipt of evidence and testimony. Ms. Haddox requested that a Certification of Certain Official Actions that had been taken by the City Council, City Planning Commission, and the Agency in connection with the preparation of the Redevelopment Plan for the Buckeye Redevelopment Project be entered into the record. I Vice Mayor/Chair McGeorge stated that hearing no objections, the certification as Exhibit 5 would be made part of the record. He requested staff to proceed with their comments. Ms. Haddox asked to make some introductory background comments about the Project Area, some of the deficiencies that presently exist in the Project Area, and the benefits hoped to seen from the redevelopment process as a means to correct these deficiencies. Ms. Haddox recalled that in late 1996, the formation of the proposed Buckeye Redevelopment Proj ect was initiated as a j oint effort between the City of Redding and Shasta County. In January 1997, a Project Formation Agreement was executed between the City and the County authorizing the Redding Redevelopment Agency to act as lead agency in the establishment of the project along the Lake Boulevard/Oasis Road corridors. The primary purpose of the proposed project was to address and eliminate certain physical and economic conditions in the area that were believed to be preventing the area from realizing its full economic potential. She noted that the proposed project area was depicted on the large wall map. Ms. Haddox indicated that since January 1997, the following actions had occurred: I 1. In April 1997, consultants were engaged to prepare the primary redevelopment and environmental documentation for the proposed project area. 2. In September 1997, the Planning Commission of the two Participating Jurisdictions adopted the Preliminary Plan for the Buckeye Project Area. 3. The draft Environmental Impact Report (EIR) for the Project was completed and circulated in March 2000. 4. The Redding Planning Commission held a public hearing on the draft EIR during April 1998. 5. The Preliminary Report for the Project was completed and circulated in March 2000. 6. Staffheld numerous consultation meetings with the affected taxing entities from the Project Area, as well as meeting with property owners and businesses from the Project Area. 7. In May 2000, Redding Planning Commission and the Shasta County Planning Commission reviewed the General Plan consistency of the final proposed Redevelopment Plan for the Project Area. The Plan was unconditionally recommended for adoption at that time. I Ms. Haddox stated that as part of the feasibility analysis ofthe proposed Project, the entire area was surveyed to identify deficiencies and to formulate potential activities that would address these deficiencies. Many of the identified impediments to full and effective utilization of the area had to do with deficiencies in existing public infrastructure including 06/0612000 113 I streets, drainage, bridges, and traffic control features in the area. In order for the area to realize its full economic potential, a considerable number of public improvements would be required. Major activities proposed for the Project Area included, but were not limited to, the improvement ofthe Oasis Road/I-5 interchange; numerous signalizations along the Lake Boulevard and Oasis Road corridors; improvement of the water delivery system serving the Project; storm drainage improvements; and bridge improvements. Other projects included pedestrian safety improvements, economic development activities, and housing activities. Ms. Haddox explained that the list ofprojects contained both in the Redevelopment Plan and the Report to the Legislative Bodies was meant to be illustrative ofthe types ofprojects that would be considered rather than all inclusive. Some ofthe projects on the list might not be accomplished during the lifetime of the Plan. Most would require additional funding from other public and private sources in order to implement. The total estimated cost of the proposed public improvements was approximately $34 million. It was anticipated that over the life of the Project, Buckeye would be able to contribute approximately $11 million or one-third of the funding needed for these projects. An additional $6.5 million was anticipated to be available for improving housing opportunities within the territory ofthe two jurisdictions. Finally, an additional $2 million was anticipated' to be available to assist with other identified blight-reducing activities such as improvement of parks and open space, economic development, and land assembly. Ms. Haddox noted that it was through a combination of these efforts and activities, as well as through additional private development occurring in the area over the life ofthe Project, that the redevelopment of the area would be accomplished. I Ms. Haddox asked to refer to and briefly summarize pertinent parts of the Report of the Agency to the Legislative Bodies, which was the basic supporting documentation for the Redevelopment Plan and the Ordinance which would adopt the Redevelopment Plan. Since this Report was previously submitted to and reviewed by the Agency and the City Council and was available for public inspection, she indicated that she would only cover pertinent parts of the Repo~ in detail. She stated that her testimony would also supplement the facts contained in the Report and would be considered as part of the Report. Ms. Haddox related that the Report on the Buckeye Redevelopment Project was prepared pursuant to the provisions of Section 33352 of the Health and Safety Code of the State of California. Major sections of the Report included a description of the reasons for the selection of the Project Area; a description of the physical and economic conditions that existed in the area that caused the project area to be blighted; a description of specific activities proposed by the participating agencies; a description of how these projects would improve or alleviate the identified blight conditions; and an explanation of why the elimination of blight and the redevelopment of the Project could not be accomplished by private enterprise acting alone or by the use of financing al ternatives other than tax increment financing. Other sections included a description of the proposed method of financing the redevelopment ofthe Project Area and an Implementation Plan that described a program of actions and expenditures proposed to be made during the first five years ofthe Project. Ms. Haddox conveyed that some ofthe primary blighting conditions present in the Project Area were: I 1. Structures that exhibit deterioration, dilapidation, defective design, and unsafe construction; 2. Presence of faulty or inadequate public utilities; 3. Presence of sensitive and nonconforming uses exposed to excessive noise; 4. Presence of improvements exhibiting substandard design that prevented or substantially hindered the economically viable use or capacity ofthe building or lot; 06/0612000 114 5. Presence of subdivided parcels under multiple ownership of inadequate size for proper utilization; 6. Presence of incompatible land uses; 7. Presence of stagnant and declining property values; I 8. Presence of impaired investments; 9. Presence of abnormally high vacancy rates and low lease rates; 10. Lack of neighborhood supporting commercial facilities; and 11. Presence of residential overcrowding. Ms. Haddox stated that the Report proposed a variety of projects that would address the above conditions by: 1. Stimulating the development and/or redevelopment of underutilized properties; 2. Strengthening of retail and commercial functions in the Project Area; 3. Improving public infrastructure which would act as a catalyst to further private investment in the area; and 4. Improving housing conditions and opportunities for low- and moderate-income residents of the area. I Ms. Haddox indicated that Section 1, Chapter V of the Report discussed the proposed method of financing the redevelopment ofthe Project Area. The principal method proposed to be utilized by the participating agencies was tax-increment financing. In addition to tax increment revenues, other potential funding sources to assist with anticipated Project costs included: loans, grants and contributions from the Participating Jurisdictions, other local entities, State or Federal sources, and from private developers; proceeds from the sale or lease of property; repayment of redevelopment loans and advances; financing proceeds base;cf upon revenues from redevelopment bond issues; and developer fees. Neither thtt: Participating Jurisdictions, other public entities, nor private developers would be able to ful:;" assume the combination of costs associated with new development, site assembl::i, rehabilitation, or the costs of infrastructure improvements anticipated and needed in t1 W Project Area, without the establishment of the Project Area. The provision for tax incremeli* financing in the Redevelopment Plan was necessary to cover the estimated shortfall between the anticipated improvement costs and these potential funding sources. Ms. Haddox related that Sections 6 and 9 ofthe Report detailed the efforts made during the Project formation to consult with both the general public and all affected taxing entities within the Project Area. Project informational notices were mailed to asses sees of record within the Project and business owners and residents within the Project; a public meeting to discuss the Project was held, and numerous consultations with the taxing entities potentially affected by the establishment of the Project were held. To date, no protects were filed in opposition to the adoption of the Project Area. I Ms. Haddox stated that this concluded her testimony on the Report to the Legislative Bodies. Vice Mayor/Chair McGeorge related that persons desiring to question staff on any of their evidence would have an opportunity to do so through the Vice Mayor when public comment was requested. He asked whether there were any questions by members of the City Council 06/0612000 115 or the Agency. There being no objections, the Report ofthe Agency, Exhibit 6, was made part of the record, along with the testimony and documents just received. I Ms. Haddox said she would refer to and briefly summarize the Final Environmental Impact Report on the Redevelopment Plan. This was also part of the Report of the Agency to the Legislative Bodies on the Redevelopment Plan. The Redding Redevelopment Agency was the "lead agency" in the preparation of the EIR. On Tuesday, April 14, 1998, the Planning Commission of the City of Redding held a public hearing on the Draft EIR prepared for the Buckeye Project. All comments received through that date were incorporated into the Final EIR. Ms. Haddox noted that comments received during the public comment period were informational in nature and did not raise substantiative environmental issues. Comments were received from the California Department of Transportation or Caltrans, Shasta County Department of Resource Management, the Governor's Office of Planning and Research, and the City of Redding Electrical Utility. Following the Planning Commission public hearing held in April 1998, staffwas directed to preparethe Final EIR which was included as part of the Report to the Legislative Bodies and separately as Exhibit 7. Prior to the City Council's final action on the Redevelopment Plan, the Redding Redevelopment Agency, as lead agency under the California Environmental Quality Act, would be asked to certify the adequacy of the Final EIR and adopt the required Mitigation and Monitoring Plan. Vice Mayor/Chair McGeorge asked whether there were any questions by members of the City Councilor the Agency on the Final Environmental Impact Report. There being no objections, the Final Environmental Impact Report, as submitted, was made part of the record as part of the Report of the Agency, Exhibit 7. I Ms. Haddox indicated that she would refer to and briefly summarize the Redevelopment Plan. She stated that the Redevelopment Plan provided certain authority to the Redding and Shasta County Redevelopment Agencies and to the Participating Jurisdictions to implement a program of redevelopment, rehabilitation, and revitalization of the land area within the boundaries ofthe Project. While the Redevelopment Plan contained the specific goals and objectives ofthese entities as they pertain to the redevelopment ofthe Project Area, it did not require that these be undertaken or accomplished in any specific manner. It provided certain financing tools, including the ability to receive tax increment, to accomplish these objectives. It also authorized other financing tools, such as loans from the Participating Jurisdictions and provided for certain bonding authority. It gave property owners and tenants within the Project Area, certain rights which were guaranteed by law. It provided authority to acquire and dispose of real property, and it authorized the use of eminent domain, if necessary, under certain circumstances. She stressed that eminent domain was not authorized, however, for use on properties on which people reside. The Redevelopment Plan also guaranteed relocation assistance and payments required by law. Finally, the Plan set forth the time limits imposed on the Project by law. Those were: 12 years for the use of eminent domain, 20 years for the establishment of debt, 30 years for the accomplishment of activities, and 45 years for the repayment of debt. Ms. Haddox noted that this concluded a brief description of the Redevelopment Plan. I There being no questions or objections, Vice Mayor/Chair McGeorge entered the Proposed Redevelopment Plan into the record (Exhibit 8). He indicated that if there was any written comments received on the Redevelopment Plan it would be placed into the record at this time. Ms. Haddox noted that no written comments had been received to date on this proceeding. Vice Mayor/Chair McGeorge stated that the City Council and Agency would now hear any statements or ~estimony from those present regarding the Redevelopment Plan. He requested that the speakers identify themselves for the record. 06/0612000 116 George Wainwright, 21420 Gaines Lane, Anderson, stated that he was representing the W oggon Family Trust dated 10-16-97. He requested that the W oggon Family Trust property in the vicinity of McElroy and Woggon Lanes be included in the proposed Project Area. Mr. Starman explained that any amendment to the project boundaries would delay the project's adoption, however, ifthe boundaries were subsequently amended, the request could be considered at that time. Ms. Haddox added that the establishment of the project area boundaries was one of the first steps in the adoption of a project area. She explained that adoption of a project required that there be a balance between urbanized and non urbanized parcels within the Project Area, with 80 percent or more considered urbanized. She related that properties on the edge of the Project Area still had the ability to benefit from the redevelopment of adjoining properties. I Curtis Brown, 12053 Beltline Road, questioned the location of parks/greenbelt. He pointed out 53 plus acres located directly across the street from his property which backed up to the railroad tracks and asked why they had not been included within the Project Area. He stated there had previously been two residences on the property, one which had burned and one moved from the property. He indicated that the property owner was also in the process of splitting off a five-acre portion for the construction of a residence. Ms. Haddox believed that this particular property had probably been considered vacant, non urbanized land. She explained that a Project Area could not contain more than 20 percent non urbanized land, therefore, it had probably not been included for that reason. The park discussed in the Plan is the existing Buckeye Park located down from Buckeye Elementary School and the large area of Bureau of Land Management (BLM) property directly behind it. The report had assumed the utilization of the Project Area's resources to develop the BLM land into a more regional facility. The Plan did not identify additional open space, however, she reiterated that the Plan supported the preservation of open space in conjunction with the City and County's General Plan Policies. The two Planning Commissions considered the Plan and the proposed activities and made a determination that it was currently consistent with the respective General Plans and was not proposing any land use changes. I Mr. Brown stated that he had attended a meeting in the Buckeye area regarding the removal of vegetation to control fires and several properties several blocks down Oasis Road from the fire station had been cleared. He also noted that the City owned some property behind the electrical substation on Oasis Road and the Electric Department had indicated that they had no use for the property other than as a buffer zone. He questioned whether this information was accurate. Electric Utility Director Feider confirmed that the property was intended as a buffer zone which was a common practice along large public improvements. Monta Dwelling, 12053 Oakleaf Lane, asked whether those properties currently outside the City would be annexed and whether property densities would increase. She also questioned the long-term plans for Oasis Road. Ms. Haddox related that those properties currently located in the County would not be annexed into the City by the adoption ofthis Project Area. In addition, the General Plan for the appropriate jurisdiction would be applied to each individual property. Assistant City Manager Perry interjected that the long-term plan for Oasis Road was for it to become a four-lane road connecting Lake Boulevard to Interstate 5. I Carol Swenson, 12310 Stone Drive, questioned what impact the Project Area would have on the ownership of livestock. Ms. Haddox reiterated that the General Plan and zoning were not affected, therefore, iflivestock were currently permitted, it would continue to be allowed. 06/0612000 117 Vice Mayor/Chair McGeorge asked if there was anyone else present wishing to speak on the matter. There being none, he entertained a motion to close the public hearing. MOTION: Made by Council! Agency Member Kight, seconded by Council! Agency Member Pohlmeyer, to close the joint public hearing regarding the Buckeye Redevelopment Project. The Vote: Unanimous Ayes I Vice Mayor/Chair McGeorge stated that the joint public hearing of the City Council and the Agency was closed. He related that the Agency would now consider and act on the matters before it. The first was a resolution certifying and making findings as to the Final Environmental Impact Report on the Redevelopment Plan for the Buckeye Redevelopment Project prepared for consideration by the Agency. He asked that the City Clerk read the title of the resolution. City Clerk Strohmayer indicated that the title of the resolution was as follows: "A resolution of the Redding Redevelopment Agency certifying the completion of and making findings as to the Final Environmental Impact Report for the Redevelopment Plan for the Buckeye Redevelopment Project and adopting a mitigation monitoring plan." MOTION: Made by Agency Member Kight, seconded by Agency Member Pohlmeyer, that Resolution No. 2000-12 be adopted, a resolution of the Redding Redevelopment Agency certifying the completion of and making findings as to the Final Environmental Impact Report for the Redevelopment Plan for the Buckeye Redevelopment Project and adopting a Mitigation Monitoring Plan. Voting was as follows: I Ayes: Noes: Absent: Abstain: Agency Members: Agency Members: Agency Members: Agency Members: Cibula, Kight, Pohlmeyer & McGeorge None Anderson None Resolution No. 2000-12 is on file in the office of the Redding Redevelopment Agency. Vice Mayor/Chair McGeorge related that the second item of business before the Agency for consideration was a resolution finding that the use of taxes allocated from the Project Area for the purpose of improving and increasing the community's supply oflow- and moderate- income housing outside the Project Area will be of benefit to the Project. He requested that the City Clerk read the title of the resolution. City Clerk Strohmayer indicated that the title of the resolution was as follows: "A resolution of the Redding Redevelopment Agency finding that the use of taxes allocated from the Buckeye Redevelopment Project for the purpose of improving and increasing the community's supply oflow- and moderate-income housing outside the Project Area will be of benefit to the Project." I MOTION: Made by Agency Member Kight, seconded by Agency Member Pohlmeyer, that Resolution No. 2000-13 be adopted. A resolution of the Redding Redevelopment Agency finding that the use of taxes allocated from the Buckeye Redevelopment Project for the purpose of improving and increasing the community's supply oflow- and moderate-income housing outside the Project Area will be of benefit to the Project. Voting was as follows: Ayes: Noes: Absent: Abstain: Agency Members: Agency Members: Agency Members: Agency Members: Cibula, Kight, Pohlmeyer & McGeorge None Anderson None 06/06/2000 118 Resolution No. 2000-13 is on file in the office of the Redding Redevelopment Agency. Vice Mayor/Chair McGeorge stated that the City Council, in session, would consider and act on the matters before it. The first was a resolution making findings as to the Final Environmental Impact Report for the Buckeye Redevelopment Project. He requested that the City Clerk read the title of the res~lution. City Clerk Strohmayer indicated that the title of the resolution was as follows: "A resolution of the City Council ofthe City of Redding making findings as to the Final Environmental Impact Report for the Redevelopment Plan for the Buckeye Redevelopment Project and adopting a mitigation monitoring plan." I MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that Resolution No. 2000-109 be adopted, a resolution ofthe City Council of the City of Redding making findings as to the Final Environmental Impact Report for the Redevelopment Plan for the Buckeye Redevelopment Project and adopting a mitigation monitoring plan. Voting was as follows: Ayes: Noes: Absent: Abstain: Council Members: Council Members: Council Members: Council Members: Cibula, Kight, Pohlmeyer & McGeorge None Anderson None Resolution No. 2000-109 is on file in the office of the City Clerk. Vice Mayor/Chair McGeorge stated that the second item of business was a resolution finding that the use of taxes allocated from the Project Area for the purpose of improving and increasing the community's supply oflow- and moderate-income housing outside the Project Area would be of benefit to the Project. He requested that the City Clerk read the title of the resolution. I City Clerk Strohmayer indicated that the title ofthe resolution was as follows: "A resolution of the City Council of the City of Redding finding that the use of taxes allocated from the Buckeye Redevelopment Project for the purpose of improving and increasing the community's supply oflow- and moderate-income housing outside the Project Area will be of benefit to the Project." MOTION: Made by Council MemberKight, seconded by Council Member Pohlmeyer, that Resolution No. 2000-110 be adopted, a resolution of the City Council of the City of Redding finding that the use of taxes allocated from the Buckeye Redevelopment Project for the purpose of improving and increasing the community's supply oflow- and moderate-income housing outside the Project Area will be of benefit to the Project. Voting was as follows: Ayes: Noes: Absent: Abstain: Council Members: Council Members: Council Members: Council Members: Cibula, Kight, Pohlmeyer & McGeorge None Anderson None Resolution No. 2000-110 is on file in the office of the City Clerk. I Vice Mayor/Chair McGeorge stated that the last item of business was the ordinance approving the Redevelopment Plan and asked the City Clerk to read its title. City Clerk Strohmayer related that the title of the ordinance was as follows: "An ordinance of the City Council of the City of Redding, California approving and adopting the Redevelopment Plan for the Buckeye Redevelopment Project." 06/06/2000 119 I Council Member Kight offered Ordinance No. 2271 for first reading, an ordinance of the City Council of the City of Redding, California approving and adopting the Redevelopment Plan for the Buckeye Redevelopment Project. MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that the full reading of Ordinance No. 2271 be waived and the City Attorney be instructed to read the full title. The Vote: Unanimous Ayes Deputy City Manager Starman expressed appreciation to Senior Redevelopment Project Coordinator Haddox for her hard work on the formation of this Project Area. Vice Mayor McGeorge reconvened the meeting of the City Council at the hour of 8: 15 p.m. INCREASING WASTE DIVERSION REPORT (S-020, S-020-550) Assistant City Manager Perry provided an overview of the Report to City Council dated May 26,2000, regarding an update on the City's increasing waste diversion program. He related that the City's estimated waste diversion rate for 1999 was 40 percent, and State mandate requires that it be 50 percent in the year 2000. Staffis currently conducting a customer waste audit with the collection of second, third, and fourth recycling containers, and the gains in waste diversion and savings in disposal costs has been the cost for equipment and personnel to collect and process the recyclables. I Mr. Perry noted that a ten-year funding plan has been developed to automate the collection of green waste and recyclables from single-family households and duplexes to increase efficiency by collecting more with fewer people, reduce workers' compensation claims and injuries caused by lifting and getting in and out of trucks, and to collect more, thereby diverting waste from the landfill, reducing customer costs to dispose of waste, and increasing waste diversion. Mr. Perry advised that savings will be achieved utilizing these measures and no increase in rates is predicted. City Manager Warren advised that a report regarding issuing a bond to fund the automation of green waste and recyclables is forthcoming. This was an information item and no action was taken. DOWNTOWN GRADE SEP ARA TION PROJECT (T -100-300, S-070-100) Deputy City Manager Starman provided an overview of the Report to City Council dated May 26, 2000, regarding the need for a second grade separation, underpass or overpass, across the Union Pacific Railroad in the downtown area. This need has increased, Mr. Starman noted, with the merging of Southern Pacific and Union Pacific Railroads causing increased rail traffic and resulting in more congestion and traffic delay in the downtown area. He pointed out there may be a significant increase in response times for fire and emergency vehicles secondary to train delays. Mr. Starman stated that the City has attempted to secure State funds to assist with the project since 1978 and is currently on a statewide priority list; however, he related it is unlikely to be funded in the foreseeable future. I Mr. Starman advised that a Project Study Report (PSR) was prepared by DeLeuw, Cather and Associates, which was submitted to the Regional Transportation Planning Agency (RTP A) in 1998 in an attempt to secure State Transportation Improvement Program (STIP) funds. He said that the cost was estimated to be between $4.7 and $7.6 million. This funding attempt was unsuccessful. Mr. Starman related that the City will be eligible to compete for Congestion Mitigation Air Quality (CMAQ) funds in 2001, and must submit an application for these funds to the R TP A later this year. He said that in order to access any of these funds, it would be prudent to 06/06/2000 120 update the PSR, complete the necessary environmental work, and complete the preliminary design work, at an estimated cost of $150,000 over six months. He added that a portion of discretionary STIP funds may be used to fund these tasks. It is the recommendation of the Deputy City Manager that City Council direct staff to actively work on the grade separation project by issuing a Request for Proposals. Once proposals and associated fees have been secured, the City would then request that the R TP A program the necessary STIP funds to accomplish the preliminary work. I City Clerk Strohmayer advised that a letter of support was received from President Frank Strazzarino on behalf of the Greater Redding Chamber of Commerce In response to Council Member Pohlmeyer, Mr. Starman stated that the plan is to complete the preliminary design and environmental work to identify what needs to be done and determine the cost before going before the R TP A. Council Member Cibula agreed with the need for a second grade separation in the downtown area, and that with proper attention given to preparation of the project, the more likely the City is to receive funding. He suggested that staff work with the railroad as the two may have common goals. In response to Council Member Kight, Mr. Starman said that CMAQ funds total $1 million per year. Mr. August pointed out that $1 million is the total received for Shasta County and the City must compete with other agencies for these funds. Vice Mayor McGeorge, noting that a second grade separation in downtown was an important issue to former Mayor Pat Anderson, supported the project. MOTION: Made by Council Member Cibula, seconded by Council Member Kight, that staff be directed to work actively on a downtown. grade separation project by issuance of a Request for Proposals, and request that the RTP A program necessary STIP funds for completion of preliminary work on the project. The Vote: Unanimous Ayes I RESOLUTION - re Transfer of Tax Revenue for Annexation No. 2000-1, Tarmac/Abernathy Area, and RESOLUTION - Requesting Local Agency Formation Commission to Initiate Proceedings for Reorganization of Territory, Annexation No. 2000-1, Tarmac/Abernathy Area (T-010-650, A-150-259) Assistant City Manager Perry provided an overview of the Report to City Council dated May 24, 2000, regarding Annexation No. 2000-1 , Tarmac/Abernathy Area. He related that all land owners in the southern portion of a peninsula along Abernathy and Tarmac, two parcels on Viking Way, and two parcels for the Sport Complex, were surveyed in 1999, and the results indicated the area willing to annex at that time; however, recently several property owners on the north side off Tarmac have reversed their initial position which makes feasible a second annexation to the west of Abernathy and to the north of Tarmac. He noted that the balance of the peninsula still does not have enough support to be annexed. Mr. Perry indicated that the property tax agreement is consistent with that entered into with the County in 1999. Mr. Perry advised that a recent recheck of registered voters in the proposed annexation area revealed that not all of the land owners were polled; therefore, that particular section must be deleted from the annexation proposal, and the map and agreement have been updated to reflect that change. I In response to Council Member Cibula, Mr. Perry explained that the surrounding area in the peninsula is slated to be surveyed for annexation to determine whether the property owners are interested, with the intent of having the entire area annexed in five to ten years. 06/0612000 121 It is the recommendation of the Assistant City Manager that annexation proceedings commence for those areas as approved by land owners, and that resolutions, as amended, be adopted providing for the transfer oftax revenue and requesting LAFCO initiate proceedings for the reorganization ofterritory, Annexation No. 2000-1, Tarmac! Abernathy Area. Be also requested permission to begin surveying property owners in the surrounding areas for the purpose of future annexations. I MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that Resolution No. 2000-111 be adopted, a Resolution ofthe City Council of the City of Redding providing for the transfer of tax revenues for a reorganization proposal, Annexation No. 2000-1, Tarmac/Abernathy Area; and that Resolution No. 2000-112 be adopted, a Resolution of Application by the City Council of the City of Redding requesting the Local Agency Formation Commission to initiate proceedings for the reorganization ofterritory, Annexation No. 2000-1, Tarmac/Abernathy Area; and that staffbe directed to survey property owners of surrounding areas to determine if there is interest in annexing to the City and meet with LAFCO regarding the tax exchange agreement. Voting was as follows: Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, McGeorge, Pohlmeyer Council Members - None Council Members - Anderson Council Members - None Resolution Nos. 2000-111 and 2000-112 are on file in the office of the City Clerk. I PUBLIC BENEFITS PROGRAM UPDATE AND REQUEST FOR PROGRAM ENHANCEMENTS (E-090-100) Electric Utility Director Feider provided an overview of the Report to City Council dated May 26, 2000, regarding the 2001 Public Benefits Program. He detailed a list of new programs being offered for City Council consideration, as follows: 1. Partnering with local building and trade contractors for energy-efficient heating and air-conditioning equipment incentives; 2. Participation in the Energy Star national appliance rebate program; 3. Installation of solar-photovoltaic energy resource for the Civic Center; 4. Sponsoring of educational energy program for schools; and 5. Participation in a hybrid electric vehicle demonstration. Mr. Feider explained that during Fiscal Year 2000, the Utility budgeted $687,000 in expenditures for the Public Benefits Program and $900,000 in electric-rate discounts for a total Public Benefits Program budget of approximately $1.6 million, or 2.85 percent of the Utility's retail revenue. It is forecast that actual Public Benefits Program-related expenses for the current fiscal year will be approximately $1.5 million. I Mr. F eiderrelated that Public Benefits Program expenditures for Fiscal Year 1999 underwent initial peer review through an agreement with the National Resources Defense Council (NRDC); however, at the suggestion of the NRDC, and in order to ensure retention oflocal control of the programs designed to serve customer interests and the entire Redding community, staff feels it is in the City's best interest to agree in principle to transition away from reliance on time-of-use (TOU) electric rate discounts in Fiscal Year 2001 as an authorized Public Benefits Program expense. It is the recommendation of the Electric Utility Director that City Council accept the report of Public Benefits Program update and enhancements, and approve the transfer of$287,800 from electric distribution capital and $287,800 out of the Independent Service Operator's account under Electric Resources into Public Benefit Program accounts. MOTION: Made by Council Member Poh1meyer, seconded by Council Member Cibula, to accept the Public Benefits Program update report, approve the request for program 06/06/2000 122 enhancements, and approve the transfer of $287,800 from electric distribution capital and $287,800 from the Independent Service Operator account under Electric Resources into Public Benefit Program accounts. The Vote: Unanimous Ayes CLOSED SESSION At the hour of8:47 p.m., Mayor Anderson stated that Council will adjourn to closed session to discuss the following: Closed session pursuant to California Government Code Section 54956.9(c): CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION One (1) case (L-I00) I Closed session pursuant to California Government Code Section 54956.9(a): CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION Patricia Sansom v. City of Redding, et aI., USDC No. CN S-98-1353 LKK GGH PS (L-I00) At the hour of 8:47 p.m., Mayor Anderson adjourned the regular meeting to closed session. At the hour of 9:04 p.m., Mayor Anderson reconvened the meeting to regular session. He stated that no reportable action was taken. ADJOURNMENT There being no further business, at the hour of 9:05 p.m., Mayor Anderson declared the meeting adjourned. APPROVED ~ecU-~ -'Mayor I ATTEST: ~~ I 06/06/2000