HomeMy WebLinkAboutMinutes - City Council - 2003-02-04
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City Council, Regular Meeting
Civic Center Council Chambers
777 Cypress Avenue,
Redding, California
February 4,2003, 7:00 p.m.
The Pledge of Allegiance to the Flag was led by Council Member Stegall.
The Invocation was offered by Reverend Bill Johnson, Bethel Assembly of God Church.
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The meeting was called to order by Mayor Cibula with the following Council Members
present: Kight, Mathena, Pohlmeyer, and Stegall.
Also present were City Manager Warren, Assistant City Manager Perry, Deputy City
Manager Starman, City Attorney Fuller, Development Services Director Hamilton, Electric
Utility Director Feider, Administrative Services Pirector Bachman, Support Services
Director Kersten, Community Services Director Niemer, City Clerk Strohmayer, and
Executive Secretary Stribley.
PRESENTATION - John Reginato and Mark Woodward
(B-080-600-100)
Mayor Cibula presented engraved wooden clocks to John Reginato and Mark Woodward in
appreciation for their service on the Community Development Advisory Committee. He
noted that Mr. Reginato was appointed to the Committee in 1997; and, in addition to his
service on the Committee, he is also a strong advocate for revitalization of some ofthe City's
aging neighborhoods. Mayor Cibula stated that Mr. Woodward was appointed to the
Committee in 1998 and served as Chair and Vice-Chair during his tenure. He noted that Mr.
Woodward is very active in service clubs and community volunteer work and is a 1995
graduate of Leadership Redding.
On behalf of the City Council, Mayor Cibula thanked John and Mark for their service to the
community.
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Approval of Minutes - Regular meeting of January 21,2003.
Approval of Payroll and Accounts Payable Registers
(A-050-100-500)
It is recommended that Accounts Payable Register No. 14, check numbers 803682 through
804044 inclusive, in the amount of $3,030,829.52, for the period of January 21, 2003,
through January 31, 2003; Wire Transfers for the period of January 16, 2003, through
January 31, 2003, in the amount of$3,150,746.81; and Payroll Register No. 15, electronic
deposit transaction numbers 119887 through 120559 and check numbers 502346 through
502608 inclusive, in the amount of$2, 147,527.83, for the period of January 5, 2003, through
January 18, 2003, be approved.
TOTAL: $8,329,104.16
Treasurer's Report - December 2002
(A-050-100-600)
Total Treasurer's Accountability
$117,921,377.54
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Total City of Redding Funds, Funds Held in
Trust, and Funds of Related Entities
$165,473,664.97
ACR133 Report and Cash Reconciliation
(F-205-095-650)
It is the recommendation of the Administrative Services Director that the ACR133 Report
and the Proof of Cash Reconciliation for December 2002 be accepted.
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Resolution - Approving a grant application to the California Department of Water Resources
for the Clover Creek Preserve Project
(0-100-170/S-060-150-165/R-030-200-600)
It is the recommendation of the Deputy City Manager that Resolution No. 2003-12 be
adopted, a resolution of the City Council of the City of Redding approving the application
for grant funds for the Flood Protection Corridor Program (FPCP) under the Costa Machado
Water Act of2000 through the California Department of Water Resources (CDWR) for the
Clover Creek Preserve Project in the approximate amount of $5 million.
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Resolution - Declaring March 10 - 14, 2003, as Arbor Week and March 14, 2003, as
Community Tree Planting Day, and recognizing Tree Line U.S.A. Utility Award & Tree City
U.S.A. Award
(P-OS9 220 613) I ~it..o..so -(!)td) -",00
It is the recommendation of the Support Services Director that Resolution No. 2003-13 be
adopted, a resolution of the City Council of the City of Redding declaring March 10 through
14,2003, as Arbor Week, March 14,2003, as Community Tree Planting Day (Arbor Day),
and recognizing the awards to the City of Redding of Tree Line U.S.A. Utility Award for the
22nd consecutive year and Tree City U.S.A. Award for the ninth consecutive year.
Consulting and Professional Services Agreement - Mead & Hunt, Inc. for the Airport
Marketing and Strategic Business Plan for the Redding Municipal Airport
(A-090-100)
It is the recommendation ofthe Supports Services Director that the City Council approve the
Agreement with Mead & Hunt to provide an Airport Marketing and Strategic Business Plan
for the Redding Municipal Airport in the amount of $79,982 to be completed by May 30,
2003. The Plan will identify travel patterns, route analysis, and a strategy to bring additional
air service to the City.
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Encroachment Agreement - Sherry Parham Muncrief
(A-070-045 & P-050)
It is the recommendation of the Community Services Director that the City Council authorize
the mayor to execute an encroachment agreement with Sherry Parham Muncrief for the
continued use of a 500-square foot portion of Indian Hill Park located in her backyard
adjacent to Starlight Boulevard for a term of 30-years.
Resolution - Authorizing a grant application to the State Department of Boating and
Waterways for improvements near the Convention Center/Turtle Bay boat ramp
(G-l 00-170 & P-050-650)
It is the recommendation of the Community Services Director that Resolution No. 2003-14
be adopted, a resolution ofthe City Council of the City of Redding approving application for
grant funds to the California Department of Boating and Waterways (DBW) under the
Boating Trails Program in the amount of $94,500 for restroom and canoe/raft access
improvements near the Convention Center and Turtle Bay Exploration Park boat ramp. If
successful, the City will be required to match funds in the amount of$40,000 for design and
inspection expenses.
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Consulting Agreement - Chuck Byard; and
Resolution - Appropriating funds to provide technical services in the Police Department
(B-130-070 & P-150-150)
It is the recommendation of the Chief of Police that the City Council authorize execution of
an agreement with Chuck Byard to provide technical support services in an amount not-to-
exceed $50,000 for a one-year term. It is further recommended that Resolution No. 2003-15
be adopted, a resolution of the City Council of the City of Redding approving and adopting
the 80th amendment to City Budget Resolution No. 2001-104 appropriating $32,500 to
provide consulting services for fiscal year 2002-03.
Grant Extension - Office of Traffic Safety for DUI (Driving Under the Influence)
Enforcement, Education, and Prevention (DEEP) Program
(G-100-170 & P-150-150)
It is the recommendation of the Chief of Police that the City Council accept the DUI (Driving
Under the Influence) Enforcement, Education, and Prevention (DEEP) Program grant
extension to September 30,2004, from the California Department of Justice through the
Office of Traffic Safety in the amount of$50,000.
2/4/2003
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MOTION: Mad~ by Council Member Kight, seconded by Council Member Pohlmeyer, that
all the foregoing items on the Consent Calendar be approved and adopted as recommended.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Kight, Mathena, Pohlmeyer, Stegall, and Cibula
Council Members - None
Council Members - None
Council Members - None
Resolution Nos. 2003-12, 2003-13,2003-14, and 2003-15 are on file in the Office of the City
Clerk.
UPDATE ON MAJOR PROJECTS - Development of Browning Street
(A-050-080)
Deputy City Manager Starman recalled that mid-year 2002, the Redding Redevelopment
Agency (Agency) appropriated $2 million to extend Browning Street east of Hilltop Drive
to Canby Road and provide an important circulation element in a busy commercial area.
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Mr. Starman advised that necessary environmental documentation is in place and most ofthe
right-of-ways needed for construction are secured or in final stages of negotiation. He stated
that final design of the project is nearing completion and staff is moni~oring coordination of
the Browning Street Extension and the Browning Street Traffic Signal Projects. The bid
process is anticipated to begin in late March for both projects and completion is expected by
the end of the calendar year.
No action was required on this informational item.
ZUCKER REPORT IMPLEMENT A nON PLAN
(A-050-122)
Deputy City Manager Starman recalled that Zucker Systems was retained by the City in 2001
to provide an objective review of its development-related processes and provide
recommendations for improved service to the public. In March 2002, the City Council I
accepted the Zucker Report (Customer Servicefor Development-related Processes), directed
staff to develop timelines, procedural steps, and costs to implement the Report
recommendations and that an Ad Hoc committee be formed to provide a comprehensive
implementation plan. He added that the City Council also directed that he serve as
"ombudsman" to review and oversee development project issues in order to facilitate
resolution. In his role as ombudsman, Mr. Starman observed that 70% of all complaints
lodged against City staff were not substantiated and review of these incidents revealed that
staffhad, in fact, often gone the "extra mile" to provide excellent service. However, some
minor complaints did merit attention and eventually produced procedural changes to better
serve the public. He thanked the members of the Implementation Committee: Council
Member Stegall, Development Services Director Hamilton, Assistant Development Services
Director Nagel, Greater Redding Chamber of Commerce President Frank Strazzarino, Shasta
Builders' Exchange Executive Director Kent Dagg, Ms. Shelly Kibler of Kibler Architects,
and Mr. Gus McEntire of McEntire Landscaping for their hard work and dedication to the
process.
Mr. Starman cautioned that some recommendations come with significant costs attached and
suggested that those items be discussed at the next biennial budget review. He also noted
that the Implementation Report recommends appointment of the Economic Development
Director to permanently serve as ombudsman to the Development Services Department, but
indicated that he is willing to continue in this role until the Economic Development Director I
position is filled.
Mr. Starman recommended acceptance of the recommendations of the Zucker Report
Implementation Committee.
Council Member Stegall thanked the private sector Committee members for their service and
diligence to complete the Report and Development Services staff for assisting the
Committee.
MOTION: Made by Council Member Stegall, seconded by Council Member Mathena,
accepting the report entitled "Recommendations of the Zucker Report Implementation
Committee" dated December 19,2002. The Vote: Unanimous Ayes
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ANNEXATION - Anderson Cottonwood Irrigation District's request to annex land within
the City to the District
(W -030-700-010)
City Manager Warren stated that a request was received from the Anderson Cottonwood
Irrigation District (ACID) to annex land within the City to the ACID in order to provide
water for irrigation purposes to the Gore Ranch located outside the City limits north of Clear
Creek Road.
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Assistant City Manager Perry, highlighting the Report to City Council dated January 27,
2003, advised that the proposed annexation also includes the Redding Power Plant. He
explained that because LAFCO is generally reluctant to support annexations that form islands
of service, it is necessary for the ACID to annex some City property into its special district
along with the Gore Ranch in order to supply irrigation water.
Mr. Perry stated that benefits to the City are protection of local water rights by utilizing
ACID surplus water locally, the ability to use ACID water instead of City-treated water to
irrigate agricultural land, and possible developplent of future cooperative projects between
the ACID and the City. The disadvantages of the annexation would occur only if the ACID
attempts to compete with City services such as domestic water or electricity. However, he
emphasized the proposal at this time is for irrigation water purposes only. He added there
is no property tax exchange agreement and proposed ACID customers such as the Gore
Ranch will be on a user-fee basis while property owners within the City limits will bear no
additional costs.
Mr. Perry recommended that the City Council authorize the City Manager to support
annexation of City property in the area of Clear Creek Road and the Gore Ranch (including
the Redding Power Plant) to the Anderson Cottonwood Irrigation District (ACID) to obtain
water for irrigation purposes. He added that should parameters ofthe agreement change, the
issue will be returned to the City Council for further consideration.
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City Manager Warren cautioned that because the ACID is a taxing district, it could propose
a tax for its district, but a majority vote by those within the district would be required to
impose such a tax.
MOTION: Made by Council Member Pohlmeyer, seconded by Council Member Stegall,
authorizing the City Manager to support annexation of City property in the area of Clear
Creek Road and the Gore Ranch (including the Redding Power Plant) to the Anderson
Cottonwood Irrigation District (ACID) to obtain water for irrigation purposes.
The Vote: Unanimous Ayes
MONTHL Y FINANCIAL REPORT - Electric Utility
(B-130-070)
Electric Utility Director F eider provided an overview of the Report to Council, dated January
24, 2003, advising that retail revenue is 1.2%, or $411,992 above projections, reflecting
current weather conditions. He pointed out that wholesale revenue through December is
$3,738,926 or 30.2% below projections, due to the ongoing weakness in wholesale spot-
market conditions. Year-to-date operating revenue after energy costs is $782,737 or 4.9%
above expectations. The total cost of electricity through December is $3,695,204 or 11.7%
below year-to-date projections.
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Mr. Feider noted that the Redding Electric Utility (REU) continues to oppose "Standard
Market Design" which, as proposed, will be a national rule maker. He stated that REU
promotes local and independent utility control to ensure economic and reliability protection
for customers, but also believes that the Federal Energy Regulatory Commission (FERC)
should make reforms with regard to inefficient monopolies and create a workable approach
to standardization.
Mr. Feider recommended approval of the Electric Utility's Monthly Financial Report.
MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer,
accepting the Electric Utility's Monthly Financial Report for December 2002.
The Vote: Unanimous Ayes
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SET PUBLIC HEARING - February 18, 2003, to consider an electric rate adjustment
(E-090-100)
Mr. Feider recalled that the electric base rate has not been increased in 15 years and in 1996,
the City Council decided to withhold rate increases due to imposition of the 23% electric
utility surcharge. However, when the City Council ended the 23% electric utility rate
surcharge in July 1, 2002, it was acknowledged that there would be a need to raise the
underlying base rate that remained static since 1996. He stated that the 6.9% proposed
increase includes 2.85% to provide funding for the 1998 State-mandated Public Benefits
Program, 1.6% in the customer service charge to provide basic services such as meter reading
and billing, and 2.45% to offset inflation on Redding Electric Utility's (REU) ongoing
operations. He advised that deregulation and the probable loss of low-cost power over the
next few years are also contributory factors of the need for increased rates.
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Mr. Feider recommended that the City Council set a public hearing for February 18,2003,
to consider a 6.9% electric and cost-of-doing business rate adjustment.
Council Member Stegall asked that a cost comparison be provided during the public hearing
depicting other communities' electric rates.
In response to Council Member Mathena, Mr. Feider explained that of the average $5.63
increase per month per customer (based on 6.9% increase), approximately $2.00 would
provide funding for the State-mandated Public Benefits Program.
Mayor Cibula requested that staff provide alternative rate increases for the City Council to
consider at the public hearing.
Richard Johnson, Redding resident, urged the City Council to review cost cutting measures
and form a citizens' committee to assist staff in review of the proposed rate increase and the
underlying assumptions before implementation of a rate increase.
MOTION: Made by Council Member Pohlmeyer, seconded by Council Member Kight,
setting a public hearing for February 18, 2003, to consider an electric and cost-of-doing
business rate adjustment for the Redding Electric Utility. The Vote: Unanimous Ayes
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JOINT MEETING OF THE CITY COUNCIL AND REDDING JOINT POWERS
FINANCING AUTHORITY
At the hour of7:46 p.m., Chair Cibula convened the Special Meeting of the Redding Joint
Powers Financing Authority for a joint meeting with the City Council.
RESOLUTION - Approving issuance of 1993 Water Refunding Revenue Bonds, 2003 Series
A, the Water Utility's portion of the 1993 Solid Waste and Corporation Yard Revenue
Bonds, and the EDA Drought Relief Program Loan and related documents
(D-050-200-003/R-015-300-950/W -030)
Administrative Services Director Bachman provided higWights ofthe Report to City Council
dated January 29, 2003, stating that positive interest rates at this time make it feasible to
refinance approximately $17 million in Water Utility debt that will save up to $500,000 over
the life of the loan.
Mr. Bachman recommended approval of a resolution approving issuance of 1993 Water
Refunding Revenue Bonds, 2003 Series A, the Water Utility's portion of the 1993 Solid
Waste and Corporation Yard Revenue Bonds, and the EDA Drought Relief Program Loan
and related documents in an amount not-to-exceed $17 million.
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City Manager Warren and Administrative Services Director Bachman acknowledged Finance
Director Strong and Financial Management Specialist Sundin for enabling the City to save
significant interest costs in its loans.
2/4/2003
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MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer,
adopting Resolution No. 2003-16, a resolution of the City Council of the City of Redding,
approving the form of an Amended and Restated Installment Sale Agreement, an Official
Statement, and a Continuing Disclosure Agreement concerning the acquisition of certain
municipal water system improvements and authorizing execution and delivery thereof, and
approving the issuance by the Redding Joint Powers Financing Authority of a not-to-exceed
aggregate principal amount of$17 million Water Refunding Revenue Bonds, 2003 Series A,
and related actions and matters.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Kight, Mathena, Pohlmeyer, Stegall, and Cibula
Council Members - None
Council Members - None
Council Members - None
At the hour of7:50 p.m., Chair Cibula adjourned the Special Meeting ofthe Redding Joint
Powers Financing Authority.
PUBLIC COMMENT
(A-050-060 & A-050-220-075)
Support Services Director Kersten announced that the City will be providing 500 tree
seedlings this year in honor of Arbor Day and on February 14th there will be a ceremony on
the south lawn of City Hall commemorating Arbor Day and all are invited.
ADJOURNMENT
There being no further business, atthe hour of7: 5 3 p.m., Mayor Cibula declared the meeting
adjourned.
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APPROVED
ATTEST:
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City Clerk ( ~
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2/4/2003