HomeMy WebLinkAboutMinutes - City Council - 2011-03-03 - Special Meeting
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City Council, Special Meeting
Council Chambers
777 Cypress Avenue
Redding, California
March 3, 2011 3:00 p.m.
The meeting was called to order by Mayor McArthur with the following Council Members
present: Bosetti, Dickerson, Jones, and Sullivan.
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Also present were City Manager Starman, City Attorney Duvernay, Assistant City Manager
Tippin, Public Works Director Crane, Development Services Director Hamilton, City Clerk
Mize, and Executive Assistant Grimm.
Priority Proiect Setting Workshop and possible determination of City Priorities
[B-130-070/^A-050-060]
City Manager Starman summarized the following goals of the Priority Setting Workshop:
1) Purpose ofthe workshop; 2) Review the City's Vision Statement and Mission Statement;
3) Review the City's current financial position; 4) Review current projects and priorities;
5) Introduce potential themes for the upcoming two-year budget period; 6) Determine City
Council's project priorities for the next biennial budget period; and 7) Discuss additional
projects/priorities from the City Council and the community.
Purpose of the Workshop
[B-130-070/ A-050-060]
City Manager Starman acknowledged that the tone and focus of the workshop would be
different than a regular Council meeting and outlined the topics to be addressed, as detailed
on the agenda, incorporated herein by reference. Mr. Starman recalled that priority setting
workshops are held every other year as the Council and staff prepare for the biennial budget
process. He stated that the main purpose of the workshop was to discuss projects and
priorities for fiscal years 2011-12 and 2012-13, and to receive direction from Council relative
to budget development.
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Vision Statement and Mission Statement
[B-130-070/ A-050-060]
City Manager Starman affirmed the City's Mission and Vision Statements, to provide context
for the meeting discussion, and invited Council's assessment and suggestions.
Mayor McArthur noted that Council was satisfied with the current Statements.
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Current Financial Position
[B-130-070/ A -050-060]
City Manager Starman observed that a mid-year budget review was performed and reported
to Council on February 15, 2011, and that adjustments were made to ensure the General Fund
reserve remains at or above five percent, per Council's mandate. He pointed out that
Council was already very familiar with the City's current financial position and cited rising
health care premiums and CalPERS rates, state budget impacts, and three years of continuous
stafflbudget reductions in the face of declining revenues as challenges staffis struggling with
as departments prepare budget recommendations. Mr. Starman opined that the current
economy is fairly stagnant and, although he did not expect any further dramatic reductions
in revenues, he noted significant upward pressures from the aforementioned areas and
anticipated a difficult budget process. Mr. Starman addressed potential impacts if Governor
Brown's proposals relative to a $26 billion state deficit go through, specifically those seeking
to eliminate booking fee funding, COPS grants, library funding, and disbanding
redevelopment agencies across the state, for an approximate aggregate total of $660,000,
which would have to be absorbed by the City's budget. He restated that due to the financial
outlook, new projects will not be introduced.
Current Proiects and Priorities
[B-130-070/^ A-050-060]
City Manager Starman advised that city staff is extremely busy, in spite of recessionary
impacts, and has an ambitious capital project program totaling $60 million in 2011 for items
listed on Attachment B, incorporated herein by reference. Updates were given on the Oasis
Road Interchange project, a new police facility, the Redding Municipal Airport Expansion
project, and the Stillwater Business Park.
03/03/2011
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. Oasis Road Interchange Project
[B-130-070/^G-030-110]
Public Works Director Crane provided a PowerPoint presentation, incorporated herein by
reference, that detailed progress made on Phase 1 ofthis project, which included obtaining
American Recovery and Reinvestment Act funding, coordination of a Developer/
Caltrans/Citypartnership, construction of a southbound loop on-ramp and signals, relocation
ofthe southbound off-ramp, and installation of soil-nail retaining walls. Mr. Crane stated that
the ramp was 75 percent complete and anticipated completion by early Mayor June, weather
dependent. He also outlined the "next steps" of the project, which include ongoing traffic
monitoring and analysis in early August 2011, determination of remaining capacity within
the interchange, and defining the scope of the next interchange along with funding sources.
Mr. Crane remarked that actual traffic counts are expected to be much lower than 2005
projections.
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Police Facility
[B-130-070/^ A-050-270]
City Manager Starman relayed that Redding Redevelopment Agency (RRA) Board is
scheduled to meet to consider a letter of intent with Castco relative to a police facility
project. Mr. Starman recollected that a new police facility is a very high Council priority that
has been subjected to an extensive consideration process over many years that included
potential site selection, construction of a new facility, retrofitting an existing building, an
RFP process, and review by a citizen's committee. He stated that progress had stalled due
to a lack of available funding, exacerbated by a poor economy. Mr. Starman reported that
Costco maintains continued interest in a new store in Redding, is working in earnest to move
forward with plans they have had for several years, and has obtained a letter of intent with
Levenson Development relative to a site in the Oasis Road Interchange area. He advised that
the RRA had sufficient funds and could acquire the old Costco building on Chum Creek
Road prior to June 30,2011. Mr. Starman acknowledged that retrofit funding sources would
remain a unresolved challenge.
Redding Municipal Airport Expansion
[B-130-070/^A-090-100]
Support Services Director Kersten provided a PowerPoint presentation, incorporated herein
by reference, depicting changes to the ticket counter and screening/passenger/baggage areas
on the first floor and office/conference/storage space and a partial restaurant remodel on the
second floor of the Redding Municipal Airport. Mr. Kersten noted that 90 percent of
funding for the $6 million/8,000 square foot addition and remodeling project will be
provided by the Federal Aviation Administration (FAA). He relayed plans to begin
advertising in April or May 2011, with the intent to award a contract in summer 2011, and
anticipated that construction may take up to 24 months.
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Mr. Kersten and Airports Manager Dinger responded to questions from Council Members
relative to design, traffic flow, restaurant debt obligation, and glass separation issues on the
building facade.
City Manager Starman augmented with additional project updates relative to runway safety
improvements at Benton Airpark and early stage planning for construction of a third runway
at Redding Municipal Airport, largely due to impacts on FAA thresholds by air traffic
generated from significant growth of the IASCO flight training academy.
Stillwater Business Park
[B-130-070/^E-050-500]
City Manager Starman recollected that Southern Aluminum Finishing (SAF) had recently
selected Redding as the site for a new manufacturing facility in the Stillwater Business Park
(SBP), that staff is working with them on their site improvement plans, and that they had
hired a local general contractor that will construct their new facility. Mr. Starman also noted
that Southwest Paper continues to consider SBP for a new plant, although he did not
anticipate any near-term activity.
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Public Works Director Crane provided a PowerPoint overview highlighting the completion
of Phase 1A park construction and the scope, cost and schedule for the Phase 1B Project,
incorporated herein by reference. Mr. Crane relayed details regarding the Phase I B proj ect
that will provide secondary access to the park and includes a two-mile access road (including
a 441 foot long/three-span bridge over Stillwater Creek) that ties the park into Fig Tree Lane
on the south end. The project also provides improvements to the park entrance, which
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includes widening of Rancho Road, and extending distribution gas to the park. He offered
an early estimate of$6,940,000 for project costs, which would be funded equally by federal
Economic Development Agency grant and city bond resources. Mr. Crane submitted a
project schedule beginning with advertising in April 2011 and ending construction in May
2012.
John Dixon questioned the suitability of Southwest Paper as a tenant of Stillwater Business
Park. Mr. Starman emphasized that all projects would be subject to the standard building
permit process and be thoroughly examined and analyzed.
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Olney Creek
[B-130-070/^F-200-090]
Mr. Starman, Mr. Crane, and Development Services Director Hamilton responded to Council
Member Bosetti with updates on Olney Creek Levee and FEMA's flood plain remapping.
Mr. Crane relayed efforts to find funding sources to replace the Sacramento Drive bridge,
including the federal bridge replacement program. He explained that Caltrans does biennial
inspections to determine the sufficiency ratings that qualify bridges for replacement funding.
At the City's request, Caltrans re-assessed the Sacramento Drive bridge and assigned a 74
percent sufficiency rating, which qualifies it for rehabilitation funding. Mr. Crane stated that
he would be submitting additional data to CalTrans, i.e. traffic increases, and was hoping for
a determination that bridge replacement would be more cost-effective than rehabilitation; if
achieved, this determination would qualify the project for federal highway bridge funding.
He noted that Caltrans had agreed to fund the preliminary engineering study and steps had
been taken to get the project into the federal transportation improvement program. Mr.
Crane responded that, although improvements to the bridge would help, they would not
resolve all impacts on the homeowners in the area that had been affected by the Federal
Emergency Management Agency's flood plain remapping action.
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Mr. Starman reiterated that bridge improvements would contract the flood plain area but
would not fully mitigate or eliminate issues because the structural soundness ofthe levee was
still unaddressed.
Vice Mayor Dickerson noted that Mayor McArthur had recused herself due to property
ownership in the area under discussion.
Development Services Director Hamilton informed Council that the state has not released
Prop 84 grant funding, as expected, and reiterated that the City has no direct funding source
to complete work on the levee. He relayed that the state would be in Redding, accepting
local comment relative to the grant funding program, on March 8, 2011, and he expected
final guidelines to be released in April. He stated that proposed guidelines allow up to $5
million for critical levee repair on individual projects, as well as allowing monies expended
prior to grant approval for preliminary engineering studies, etc., to be included in the grant
application. Mr. Hamilton noted that the proposed guidelines were significantly better and
broadened the scope of allowable work on levees from repair only to include other
modifications, i.e. extension of an existing levee. He expected to submit grant applications
in late spring 2011.
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Shasta View Roundabout
[B-130-070/^S-070-1 00- 700]
Responding to Council Member Bosetti, Mr. Crane advised that a bid opening for the Shasta
View Roundabout project had just occurred. He reported that utility relocation is a little
behind and that road construction may not begin as soon as planned due to weather
constraints, but he anticipated the project would be completed in time for school openings
in mid-August.
Potential Themes for the New Biennial Budget
[B-130-070/^A-050-060]
City Manager Starman relayed results of the senior staff leadership team workday in
November 20 1 0 and summarized five of seven key strategic areas they identified, noting they
were not mutually exclusive. He requested direction from Council relative to: (1) Economi~
development and job creation; (2) Long-range planning; (3) Core services; (4) Quality of life;
and (5) Connecting with the community. Mr. Starman summarized the written information
attached to the meeting agenda, incorporated herein by reference.
03/03/2011
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Economic Development and Job Creation
[B-130-070/^E-050]
Mr. Starman cited a 16 percent unemployment rate in Shasta County and recognized the
national scope of unemployed and underemployed people. He acknowledged the efficiency
of a regional approach and the collaborative relationships the City has with several
community stakeholders, as listed in the aforementioned documentation. He observed that
the City benefits, regardless of where jobs are created, because Redding is the shopping hub
of the county. Mr. Starman postulated that filling the vacant Economic Development
Director position at some point in the future could enhance the City's ability to pro actively
participate in this vital area.
Council Member Bosetti cited a business-unfriendly state culture and California's restrictive
environmental regulations as obstacles to economic development. He supported local
measures, e. g., development design and fee structures, that the City has taken to mitigate
negative conditions and encourage large-scale/job-producing companies to locate to Redding.
Mr. Starman affirmed the challenges presented by the state's reputation and offered local
benefits such as locally-owned public power, a robust labor pool, and west-coast logistical
needs of potential companies as marketable amenities of the City.
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Council Member Dickerson contended that the state's reputation is motivation to try harder
to create and provide a business-friendly climate in the north state, and acknowledged and
encouraged all those making effort in that arena to continue to pursue the goal and overcome
the difficulties.
Mr. Starman called the Council's attention to existing economic development policies and
celebrated the City's nimble ability to customize incentives that can attract companies like
Southern Aluminum Finishing, Blue Shield, and Captive Air to Redding. He recommended
reviewing the City's current position to ensure competitive, attractive, and mutually
beneficial policies and incentives.
Mr. Starman noted that the contract for marketing the Stillwater Business Park would be
expiring soon, which creates an opportunity to examine and assess current partners, past
performance, and future efforts.
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He emphasized the importance of encouraging the retention/expansion of existing businesses
and suggested a renewed focus on this element and its ability to create jobs and stimulate the
local economy.
Noting the importance of the sales tax that funds public safety and all other General Fund
service/support departme~ts, Mr. Starman remarked that continued action was necessary to
partner with community groups that promote and encourage local retail activity.
Additionally, he described the Oasis Road/Interstate 5 interchange as a major retail hub that
is expected to generate revenue to the City and advised that continued effort would be
required to complete full build-out in the area.
Mr. Starman concluded by mentioning the critical economic development components of
regional tourism, creative branding/marketing of the greater Redding area, and potential
expansion/use of social media networking sites such as Facebook, Twitter, and MySpace.
He summarized the City's role as a facilitator/partner in this area and asserted that the private
sector must also actively participate.
Council Member Sullivan suggested streamlining the City's permit process and property
inventory/availability, and improving the level of "user-friendliness," particularly for out-of-
state companies considering the area.
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Council Member Jones opined that promoting retail activity is imperative and advocated
creating a business-friendly reputation for the City throughout the state.
Long-Range Planning
[B-130-070/^ A-050-060]
City Manager Starman acknowledged the natural human tendency to react to immediate
circumstances, such as financial challenges, looming budget deficits, and a national
recession, and affirmed Council's awareness that current decisions and actions will impact
the community for many years. He introduced the concept of consultant services for
community surveying, organizing community meetings and/or focus groups on specific
03/03/2011
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issues, development of a formal, community-based five-year strategic plan, and/or a team-
building session/retreat for Council and staff members.
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Core Services
[B-130-070/^A-050-060]
City Manager Starman advised that this topic is critical to budget development and asked for
Council's immediate response. Mr. Starman recalled that over the past three years,
approximately $17 million (25 percent) has been cut from the General Fund budget. He
reiterated that difficult decisions had been made, which resulted in layoffs and closure of one
fire station. He opined that further cuts to public safety personnel were inadvisable. Mr.
Starman counseled that differentiation of core services and non-core services was needed.
He defined core services as public safety and municipal utilities and recommended that the
order of budget priority focus be on core services, then support services that keep core
services operational, then non-core services. Mr. Starman offered the alternative to make
across the board cuts and asked for Council's direction.
Peggy O'Lea expressed dismay over ranking the library as a non-core service and cautioned
against unintended consequences of reductions to library funding and/or services.
Gary Cadd directed Council to re-staff public safety departments, reopen fire station number
two, and stop giving raises to city employees.
Council Member Sullivan shared concerns about reducing library services, and opined that
it would be better to develop and position Redding as the best place for new businesses
instead of the cheapest place. She emphasized that parks and trails are very important to the
quality of life in Redding and related the availability of non-core services directly to
economic development and crime prevention. Ms. Sullivan stressed that thorough
contemplation of priority ratings was essential.
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Council Member Bosetti highlighted the library as a successful example of public-private
partnerships and directed staff to identify other areas of city operations that could partner
with private business.
Council Member Jones supported protecting core services and asked where future cuts would
be made, if necessary. Mr. Starman answered that support services and non-core services
would have to be cut further. Responding to Mr. Jones' inquiry about merging departments
and privatizing support services, Mr. Starman noted that the Municipal Utilities department
had merged with Public Works in 2010 and gave other examples of past practice such as
RABA, library services, and dog licensing. He recalled that, in addition to a detailed study
performed by the Privatization Exploratory Committee, Council had directed staffto research
park maintenance basic services and also recollected that tourism and marketing services
previously performed by City visitor's bureau staff had been outsourced recently.
Council Member Dickerson underscored the difficulty of weighing core services against non-
core services and emphasized that community infrastructure and city services are equally
important. Mr. Dickerson did not support reducing non-core services in an unbalanced
manner, and was concerned about such actions being a detriment to a vibrant community.
Sharon Waranius commented on library services.
Greg Washburn commented on photo traffic signals.
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Lorraine Dector commented on the Shasta County Art Council.
Mayor McArthur stated support for a well-rounded community, which she defined as more
than good streets, clean water, and police and fire protection services.
Quality of Life
[B-130-070/^ A-050-060]
City Manager Starman outlined three focus topics pertainil).g to improving the quality oflife
forresidents: (1) complete streets; (2) the Sacramento River Parkway; and (3) the City's trail
system. Mr. Starman described two ways that the state-mandated "complete streets" concept
could be incorporated into the circulation element of the General Plan, which must serve
pedestrians, bicyclists, transit riders and drivers and take into account the needs of people
with disabilities, older people, and children.
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Mr. Starman noted the City's outstanding Sacramento River trail system and offered an
option to explore a parkway designation for the Sacramento River corridor that could
potentially provide access to grant funds that are not currently within reach.
Alan Cost encouraged Council to keep sight of the vision statement and diligently maintain
the quality oflife elements that may be considered non-core services but significantly affect
the health of the community. He supported the parkway designation, a better brochure on
the trail system and complete streets, and opposed extending Chum Creek Road north
through the wetlands.
Mary Shrank, speaking on behalf of the Shasta Cascade Bicycle Coalition, supported the
complete streets concept, including the trail system, as an infrastructure priority.
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Responding to Mayor McArthur, Development Services Director Hamilton explained that
the complete streets component of the law dictates that the City must plan for all modes of
transportation when designing streets. He advised that the complete streets concept is a
mandatory facet of the General Plan and must be included in the circulation element to
qualify for state and federal grants in the future. Public Works Director Crane expounded
that state and federal gas tax revenues are not tied to complete streets, but discretionary
funding associated with state transportation improvement program and other earmark
opportunities could be affected. City Manager Starman noted examples of new projects
incorporating a complete street design approach such as the recently completed Cypress
Avenue Bridge and the Dana-to-Downtown project. He observed that retrofitting existing
neighborhoods is more challenging and requested direction or a decision related to amending
the circulation element, which would be a significant undertaking.
Council Member Sullivan supported safety for bicyclists and alternative forms of
transportation. Ms. Sullivan affirmed the necessity of community involvement and private
property owners maintenance of walking spaces. She promoted partnership efforts to
enhance accessability and encouraged walking and bicycling as positive solutions to rising
gas prices and clean air quality standards compliance.
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Connecting with the Community
[B-130-070/^ A-050-060]
City Manager Starman recollected that the City had a Public Information Officer in the past,
and relayed that a significant amount of time continues to be spent on distributing
information and providing access for the public, i.e. press releases, utility newsletters,
participation at community events and service club functions, and providing meeting videos
on the City's website. Mr. Starman suggested three areas that the City could refocus existing
resources: (1) direct contact with citizen's; (2) providing answers; and (3) reaching out, all
outlined in the agenda document. He submitted specifics such as forming a database for
aggregate email notifications/newsletters; incorporating better use of social media technology
like Facebook and blogging coupled with more face-to-face interaction with community
members on a regular basis; utilizing the newly acquired URL - CityofRedding.info - for
simple access to City information; creating or updating department F AQ web pages, updating
the Customer Inquiry Referral Guide, and standardizing the City's web pages while utilizing
the home page as a portal for citizens to find answers; establishing and promoting a voluntary
Speakers Bureau comprised of department directors willing to serve as key contacts;
appearances by City staff on radio shows, TV interview programs, and other forums geared
to specific themes, held periodically to allow direct public interaction and access to key City
employees, possibly including "live" 60-minute online community forum meetings.
John Dixon stated his opinion and expressed uneasiness relative to equal consideration of
citizen input and city staff reports by the City Council.
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Council Member Sullivan asserted that she spends many hours interacting with citizen's
listening to concerns and ideas and expressed distress over Mr. Dixon's commentS. She
rebutted that it was unreasonable for a small number of the City's 90,000 residents who
regularly attend Council meetings to expect Council to do every thing they want. Ms.
Sullivan explained that she listens to dozens of people with various opinions, reads and
researches topics, judges the input, and then uses her own moral compass to make the best
decisions for the community as a whole. She also acknowledged her fellow Council
Members for similar efforts.
03/03/2011
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Council Member Dickerson observed that Council had been very responsive to citizen's
input and provided examples such as the Radical 1 0 in ' 10 list, the Charter City Exploratory
Committee (CCEC), and the request to video-record CCEC meetings and post them on the
City's website.
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Funding Priorities for 2011-12/2012-13 Biennial Budget
[B-130-070/^A-050-060]
Having previously described projects both verbally and in documents attached to the agenda
that identify potential costs/amounts of staff time/funding sources, City Manager Starman
reviewed the following scoring matrix that the City Council would use to provide direction
to staff relative to the projects and programs that the Council would like staff to aggressively
pursue. He asked that Council Members rank them in priority preference order, and
reiterated that the rankings will serve as a basis for staff as it begins preparation of the
upcoming biennial budget.
Priority'l -
Very High Priority. Add this topic to the City's current list of
priorities. The City should use any discretionary resources to fund
this project, program, or initiative as soon as feasible. Direct staffto
work on this issue and report back to the City Council before the City
adopts its next Biennial Budget.
Priority 2 -
High Priority. Add this topic to the City's current list of priorities,
but only if additional resources are available. The City Council will
discuss this topic again before the City adopts its next Biennial
Budget.
Priority 3 -
Medium Priority. The City Council may add this topic to the City's
list of priorities at a later date, but only after the City has completed
some of its other priority projects.
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Priority 4 -
Low Priority. The City does not intend to work on this topic at this
time.
Proiects & Programs for Consideration
Scoring Matrix
In order of ranking by the City Council
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Topics Mayor Vice Council Council Council Total Avg
McArthur Mayor Member Member Member Score
Dickerson Bosetti Jones Sullivan
Complete Streets 1 2 2 4 1 10 ' 2.0
Chum Creek Road 1 4 1 1 4 11 2.2
Extension
Privatization of 2 3 1 1 4 11 2.2
City Services
Sacramento River 1 3 3 4 2 13 2.6
Parkway
Designation
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Mayor Vice Council Council Council Avg
Topics Mayor Member Member Member Total
McArthur Dickerson Bosetti Jones Sullivan Score
Community 3 3 2 4 2 14 2.8
Outreach 1
Communication
Strategic Planning 2 4 2 4 2 14 2.8
Hilltop Drive - 3 3 4 4 3 17 3.4
Corridor - Specific
Plan
South Street- 1 4 4 4 4 17 3.4
Railroad Grade
Separation Project
Team Building for 4 3 3 4 3 17 3.4
City Council 1
Leadership Team
Union Pacific 2 3 4 4 4 17 3.4
Property
Community 4 4 2 4 4 18* 3.6
Branding
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Churn Creek Road - North Extension
[B-130-0701^G-030-070]
Gail Rich opposed spending any City funds on this project, citing an exhaustive study that
concluded it was not needed and its subsequent removal from the General Plan, and she
asserted that the City is facing other funding issues that are more pressing priorities.
Privatization of City Services
[B-130-0701^A-050-060]
Council Member Bosetti relayed results of his research relative to public-private partnerships
and the city of Centennial, CO, stating that a city of 107,000 had 57 employees and 7-8
"partners." He promoted exploring opportunities and a financial benefit analysis of similar
public-private partnerships for the City of Redding.
Mayor McArthur favored consideration and analysis of a few departments, but did not
support an extensive effort to privatize city services.
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Council Member Sullivan reported that she had also contacted the city of Centennial and
discovered that their call center was run by CH2M Hill. She pointed out that Centennial was
a wealthy suburb of Denver and, unlike Redding, had been designed from the beginning as
a new city without a public works department. Citing the same financially challenging
personnel costs, Ms. Sullivan questioned the likelihood that private companies could provide
the same levels of service, add a profit, and still be more cost-effective. Recognizing the
consequences of further demoralization of existing city employees, she opposed asking staff
to spend time and effort researching privatization.
03/03/2011
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Council Member Dickerson applauded Mr. Bosetti for his research and acknowledged the
differences between the two cities as described by Ms. Sullivan. Alternatively, Mr.
Dickerson suggested looking at existing cities that had made successful transitions to
contracted services.
There being no further business, at the hour of 6:05 p.m., Mayor McArthur declared the
meeting adjourned.
APPROVED:
ATTEST:
~~
City Clerk
03/03/2011