HomeMy WebLinkAboutMinutes - City Council - 2011-04-19
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City Council, Regular Meeting
Civic Center Council Chambers
777 Cypress Avenue
Redding, California
April 19, 2011 6:00 p.m.
The Pledge of Allegiance to the Flag was led by Gail Rich.
The Invocation was offered by Lynn Fritz.
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The meeting was called to order by Mayor McArthur with the following Council Members
present: Bosetti, Dickerson, Jones, and Sullivan.
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. The City Manager introduced Department Directors
that were in attendance: Detwiler, Hansen, Hauser, Kersten, Kreitman, Niemer, and Strong.
PUBLIC COMMENT
[L-050-500]
Randall Faulkner and Suann Prigmore opposed the leafleting policy at the Redding
Municipal Library.
[E-120-150-676]
Greg Washburn made a suggestion regarding excess funds budgeted for the Redding Power
Plant Generating Unit No.6.
[A-050-060]
Don Kirk solicited City support for ongoing accommodations for the homeless population
of the community.
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PRESENTATION - Resolution recognizing the 2011 Redding Regional Science Bowl
WInners
[A-050-125/ A-050-060]
Matt Madison, Electric Utility Demand Side Management Coordinator, and Mayor McArthur
presented individual awards to Enterprise High School students and Coach David Peak and
presented a check in the amount of $500 to the winning team, as they travel to Washington
D.C., to participate in the national competition.
A MOTION WAS MADE by Council Member Jones, seconded by Council Member
Sullivan, adopting Resolution No. 2011-41, a resolution of the City Council of the City of
Redding commending Enterprise High School Team 1 for winning Redding's 2011 Regional
Science Bowl competition and thanking all of the participants, sponsors, and volunteers.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Bosetti, Dickerson, Jones, Sullivan, and McArthur
Council Members - None
Council Members - None
Council Members - None
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Resolution No. 2011-41 is on file in the Office of the City Clerk
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CONSENT CALENDAR
The following matters were considered inclusively under the Consent Calendar:
Approval of Minutes - Special Meeting of March 3, 2011
Approval of Payroll and Accounts Payable Registers
[A-050-100-500]
It is the recommendation of the Finance Director that the City Council approve Accounts
04/1912011
63
Payable Register No. 19, for the period of April 1, 2011,through April 15, 2011, for a total
of $5,082,322.78, for check numbers 892127 through 892502, inclusive, ACH Transfer
numbers 7738 through 7762, inclusive, and Wire Transfer numbers 3097 through 3111,
inclusive; and Payroll Register No. 20, for the period March 20,2011, through Apri12, 2011,
in the amount of$2,621,210.43, for electronic deposit transaction numbers 299529 through
300312, inclusive, and check numbers 548829 through 548882, inclusive.
SUMMARY TOTAL: $7,703,533.21
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Grant Applications - Authorize submission of four (4) grant applications to the Indian
Gaming Local Community Benefit Committee
[G-100-09018-080-650-639]
It is the recommendation of the Assistant to the City Manager that the City Council authorize
staff to submit four grant applications to the Indian Gaming Local Community Benefit
Committee for consideration of funding for extrication equipment for the Fire Department,
overtime traffic and DUI enforcement and financial crime investigations for the Police
Department, and a planning study to determine necessary safety improvements for the Public
Works Department.
Resolution - Approving issuance of20 11-12 Tax and Revenue Anticipation Notes (TRANS)
and approve Purchase Agreement
[D-050-430-014]
It is the recommendation ofthe Finance Dir~ctor that the City Council adopt Resolution No.
2011-42, a resolution of the City Council of the City of Redding authorizing and approving:
(1) the borrowing of funds for fiscal year2011-12; (2) the issuance and saleofa2011-12 Tax
and Revenue Anticipation Note; and (3) participation in the California Communities Cash
Flow Financing program, to provide for the cash flow needs ofthe City's General Fund.
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Resolution - Summary Vacation (A-2-11)
[A-010-040]
It is the recommendation of the Public Works Director that the City Council adopt
Resolution No. 2011-43, a resolution ofthe City Council ofthe City of Redding summarily
vacating a portion of an open-space, storm-drainage, and trail-purpose easement (A-2-11)
over the rear yard of property at 1537 Arroyo Manor Drive.
Grant Application - to Caltrans for Federal Highway Bridge Program funding to rehabilitate
or replace the Old Alturas Road Bridge at Chum Creek
[G-100-170/S-070-050]
It is the recommendation of the Public Works Director that the City Council authorize
submission of a minimal application for federal funding from the Highway Bridge Program
for the rehabilitation or replacement of the bridge on Old Alturas Road at the crossing of
Chum Creek.
Council Member Bosetti stated he would abstain from voting on this item because he owned
property in the vicinity of the project.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Dickerson, Jones, Sullivan and McArthur
Council Members - None
Council Members - Bosetti
Council Members - None
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A MOTION WAS MADE by Council Member Jones, seconded by Council Member
Dickerson, that the foregoing items on the Consent Calendar be approved and adopted as
recommended with the exception of the item(s) approved by separate vote as indicated
above. The Vote:
AYES: Council Members - Bosetti, Dickerson, Jones, Sullivan and McArthur
NOES: Council Members - None
ABSTAIN: Council Members - None
ABSENT: Council Members - None
Resolution Nos. 2011-41 through 2011-43 are on file in the Office ofthe City Clerk.
04/19/2011
64
PUBLIC HEARINGS - Elections regarding the formation of Landscape Maintenance
Districts 01-11, 02-11, and 03-11; and
RESOLUTIONS - Confirming and approving the levying and collection of the annual
assessments for fiscal year 2011-12
[A-170-075-090/^A-170-075-0911^A-170-075-092]
Public Works Director Crane recalled the comprehensive overview regarding Landscape
Maintenance Districts (LMDs) that was provided at the March 1, 2011, Council meeting and
briefly summarized three Reports to City Council (staff reports) dated April 8, 2011, with
a PowerPoint presentation, both incorporated herein by reference. He noted proposed annual
assessments for LMD 01-11 in the amount of $97.32, for LMD 02-11 in the amount of
$77.01, and for LMD 03-11 in the amount of $272.36. Mr. Crane recommended that the
Council hold public hearings, accept comment and ballots from property owners, and adopt
resolutions forming three new LMDs, depending on election results.
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*****
Council Member Dickerson stated he would abstain from voting on this item because he
owned property within the proposed LMD.
At. the hour of 6:36 p.m., Mayor McArthur opened the public hearing to consider the
formation of Landscape Maintenance District 01-11 for River Ridge Park, River Ridge
Terrace, and Stanford Manor Subdivisions. .
The following document is on file in the Office of the City Clerk:
Affidavit of Mailing - Notice of Public Hearing
No protests were received.
Mayor McArthur declared the voting regulations and provided opportunity for comments and
submission of final ballots by affected property owners.
Mayor McArthur determined that no one present wished to address this matter, closed the
public hearing, and requested that the ballots be tabulated.
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City Clerk Mize announced the ballot results as follows: of 256 mailed ballots, 157 were
received, of which 69 opposed formation and 88 favored formation; a majority favored
formation ofLMD 01-11 and it may, accordingly, proceed.
A MOTION WAS MADE by Council Member Jones, seconded by Council Member
Sullivan, adopting Resolution No. 2011-44, a resolution of the City Council of the City of
Redding confirming the results of the election of the assessment district; confirming the
assessments contained in the Engineer's Report; ordering formation of territory into a
Landscape Maintenance District to be known as Landscape Maintenance District 01-11; and
approving an annulil assessment in the amount of$97 .32 per benefit unit for fiscal year 2011-
12, pursuant to the Landscaping and Lighting Act of 1972, commencing with Section 22500
ofthe Streets and Highways Code and approving the levy and collection of same for fiscal
year 2011-12. The Vote:
AYES: Council Members - Bosetti, Jones, Sullivan and McArthur
NOES: Council Members - None
ABSTAIN: Council Members - Dickerson
ABSENT: Council Members - None
Resolution No. 2011-44 is on file in th~ Office ofthe City Clerk.
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*****
At the hour of 6:38 p.m., Mayor McArthur opened the public hearing to consider the
formation of Landscape Maintenance District 02-11 for River Park Highlands Subdivision.
The following document is on file in the Office of the City Clerk:
Affidavit of Mailing - Notice of Public Hearing
No protests were received.
04/19/2011
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Mayor McArthur declared the voting regulations and provided opportunity for comments and
submission of final ballots by affected property owners.
Mayor McArthur determined that no one present wished to address this matter, closed the
public hearing, and requested that the ballots be tabulated.
City Clerk Mize announced the ballot results as follows: of 183 mailed ballots, 127 were
received, of which 29 opposed formation and 98 favored formation; a majority favored
formation of LMD 02-11 and it may, accordingly, proceed.
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A MOTION WAS MADE by Council Member Sullivan, seconded by Council Member
Jones, adopting Resolution No. 2011-45, a resolution of the City Council of the City of
Redding confirming the results of the election of the assessment district; confirming the
assessments contained in the Engineer's Report; ordering formation of territory into a
Landscape Maintenance District to be known as Landscape Maintenance District 02-11 ; and
approving an annual assessment in the amount of$77.0 1 per benefit unit for fiscal year 2011-
12, pursuant to the Landscaping and Lighting Act of 1972, commencing with Section 22500
of the Streets and Highways Code and approving the levy and collection of same for fiscal
year 2011-12. The Vote:
AYES: Council Members - Bosetti, Dickerson, Jones, Sullivan and McArthur
NOES: Council Members - None
ABSTAIN: Council Members - None
ABSENT: Council Members - None
Resolution No. 2011-45 is on file in the Office of the City Clerk.
*****
At the hour of 6:40 p.m., Mayor McArthur opened the public hearing to consider the
formation of Landscape Maintenance District 03-11 for River Heights Subdivision and River
Heights Planned Development.
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The following document is on file in the Office of the City Clerk:
Affidavit of Mailing - Notice of Public Hearing
No protests were received.
Mayor MC1\rthur declared the voting regulations and provided opportunity for comments and
submission of final ballots by affected property owners.
Mayor McArthur determined that no one present wished to address this matter, closed the
public hearing, and requested that the ballots be tabulated.
City Clerk Mize announced the ballot results as follows: of 87 mailed ballots, 61 were
received, of which 35 opposed formation and 26 favored formation; a majority opposed
formation ofLMD 03-11 and it may, accordingly, not proceed.
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A MOTION WAS MADE by Council Member Jones, seconded by Council Member
Dickerson, directing staff to meet with affected neighborhoods and return to Council with
a plan to eliminate and/or greatly reduce landscape maintenance and related costs in River
Heights Subdivision and River Heights Planned Development.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Bosetti, Dickerson, Jones, Sullivan and McArthur
Council Members - None
Council Members - None
Council Members - None
PUBLIC HEARING - Regarding Site Development Permit-Director Application SDP-D-5-
11 and Shared Parking Agreement with Bert Boothroyd
[L-OI0-390-750]
'Development Services Director Hamilton summarized the Report to City Council (staff
report) dated April 4, 2011, with a PowerPoint presentation, both incorporated herein by
reference. Mr. Hamilton reviewed the application submitted by Bert Boothroyd regarding
conversion of 8,000 square feet of basement into office space at 1708 East Street and the
related addition of 17 parking spaces needed to meet the City's Parking Ordinance
04/19/2011
66
requirements for the intensified use of the space. Since the property's parking lot cannot
accommodate the 'increased parking demand, Mr. Hamilton recommended that the Council
authorize the Mayor to sign a Shared Parking Agreement with Bert Boothroyd relative to
mutual use of his 50-space private parking lot and the City's nearby Parking Lot No.4, and
approve Site Development Permit-Director Application SDP-D-5-11.
At the hour of 6:48 p.m., Mayor McArthur opened the public hearing to consider a Site
Development Permit-Director Application SDP-D-5-11 by Bert Boothroyd.
The following documents are on file in the Office of the City Clerk:
Affidavit of Publication - Notice of Public Hearing
Affidavit of Mailing - Notice of Public Hearing
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A letter of opposition was received from John Truitt, Viva Downtown Redding Director, on
April 18, 2011, and is incorporated herein by reference.
Keith Hamblin support approval of the recommendation in the staff report.
Mayor McArthur determined that no other individual wished to address this matter and
closed the public hearing.
A MOTION WAS MADE by Council Member Dic~erson, seconded by Council Member
Jones, authorizing the Mayor to sign a Shared Parking Agreement and approving Site
Development Permit-Director Application SDP-D-5-11. The Vote: Unanimous Ayes
APPOINTMENT - Planning Commission
[B-080-300]
A MOTION WAS MADE by Council Member Dickerson, seconded by Council Member
Bosetti, approving the Mayor's recommendation to appoint Dr. Diane Kempley and John
Ryan to serve four-year terms on the Planning Commission, from May 1 , 2011, through May
1,2015. The Vote: Unanimous Ayes
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ORDINANCE - Proposed Ordinance amending Redding Municipal Code Chapter 16.20 -
Development Impact Fees and consider updating the Development Impact Fee Program
[L-01O-045]
City Manager Starman summarized the Report to City Council (staff report) dated April 7,
2011, pertaining to annual Construction Cost Index (CCI) adjustments to Development
Impact Fees. Mr. Starman recalled the extensive presentation given by Mary Machado and
Jerry Wage at the Council meeting on April 5, 2011, requesting elimination of CCI
adjustments for a period ofthree-to-five years. He outlined subsequent action taken by staff
and recommended that the City postpone CCI adjustments for 2011 and 2012, and that the
Council introduce an ordinance (by title only) to amend Redding Municipal Code Chapter
16.20 - Development Impact Fees, waive. the full reading, and conceptually approve an
update of the City's Development Impact Fee program after completion of the new Water
Utility Master Plan and new Wastewater Utility Master Plan.
Mary Machado clarified that the request she submitted for Council's consideration was not
for postponement of fee increases, but for elimination of automatic fee increases annually.
She reiterated that current fees were based on projected growth that did not materialize, made
detailed suggestions for specific word changes, and strongly urged the City Council to amend
the proposed ordinance.
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A discussion period regarding the housing market, development impact fees, policy ideology,
economic recovery projections, and a comprehensive re-evaluation of the development
impact fee program followed.
Kent Dagg, Greg Washburn, and Jerry Wagar expressed opinions and supported the revisions
to the proposed ordinance.
A MOTION WAS MADE by Council Member Jones, seGonded by Council Member
Bosetti, introducing Ordinance No. 2475 for first reading by title only: an ordinance of the
City Council of the City of Redding amending Redding Municipal Code Chapter 16.20 -
04/19/2011
67
Development Impact Fees and implementing a retroactive suspension of inflation
adjustments for all impact fees for 2011 and future suspension of inflation adjustments for
all impact fees for 2012, waiving the full reading ofthe Ordinance, and instructing the City
Attorney to read the full title; and conceptually approved a comprehensive update to the
City's Development Impact Fee program.
The Vote:
AYES:
NOES:
ABSTAIN :
ABSENT:
Council Members - Bosetti, Dickerson, Jones, and McArthur
Council Members - Sullivan
Council Members - None
Council Members - None
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City Attorney Duvernay read the revised full title of the ordinance and revised Sections 1 and
4, as amended on the floor.
BIENNIAL BUDGET FOR FY 2011-13 - Conceptual approval of a comprehensive strategy
to balance the biennial budget
[B-130-070]
City Manager Starman introduced this item with a summary description of recession impacts
to the City's General Fund budget and described a deficit of approximately $3 million due
primarily to significant increases in health insurance premiums and pension funding
requirements. Mr. Starman advised Council of department's (excluding public safety) efforts
to identify cuts that result in one, six, and eleven percent reductions to prior year's operating
budgets.
Assistant City Manager Tippin expounded on the budget process for fiscal years 20 11-12 and
2012-13, and reviewed proposed actions related to closing City Hall two days a month,
temporary closure of the Convention Center, and savings associated with Measure A. Mr.
Tippin recommended that the City Council conceptually approve the comprehensive strategy
detailed in the Report to City Council dated April 14, 2011, incorporated herein by reference,
and direct staffto develop plans and immediately begin working with the impacted employee
organizations.
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Gary Moeckli opined that IBEW 1245 - Maintenance unit employees should be exempted
from current reduction scenarios because they had already given concessions and had not had
pay raises since 2007.
Don Kirk commented on lost jobs, taxes, tourism and opposed locating the Redding Police
Department in the Costco building on Dana Drive.
Christine Mitchell opposed outsourcing and privatization that results in local job losses.
Alan Folino and Bob Frampton opposed closure of the Convention Center.
A question and answer period followed relative to closure of additional facilities, the
potential of closing City Hall more than two days per month, the necessity of layoffs, the
length oftime the Convention Center would remain closed, SEIU and IBEW bumping rights,
and speculation on reasons for declining use of the Convention Center.
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All Council Members provided feedback to City Manager Starman, with a consensus to
support all three concepts as recommended by staffto balance the biennial budget for fiscal
years 2011-13, with the exception'ofMr. Jones' strong opposition to the temporary closure
of the Convention Center.
RESOLUTION - Appropriating funds from the Citywide Traffic Impact Fee Program for
Analysis for the Chum Creek Road North Extension
[G-030-070/T -080-400]
Development Services Director Hamilton summarized the Report to City Council (staff
report) dated April 7, 2011, displayed a graphic depicting road alignment alternatives, both
incorporated herein by reference, and recalled that a northern extension of Chum Creek Road
was part of the General Plan beginning in 1970 but had been eliminated in 2007. Based on
significant public input, Mr. Hamilton opined that it would be an extensive process to re-
establish Chum Creek Road north of SR 299 as a road link in the General Plan and Oasis
RoadSpecific Plan Circulation Elements. Per direction by a Council majority at the March
15, 2011, Council meeting, he recommended that the Council adopt a budget resolution
04/19/2011
68
appropriating $225,00 in Citywide Traffic Impact Fee Program funds to complete initial
environmental reviews and preliminary engineering studies pursuant to state laws governing
planning document amendments.
. Gail Rich, Gerry Beaumont, Phyllis Pollock, and Dennis Bettencourt opposed spending
money on analysis to extend Chum Creek Road.
Diana Peacock, Shirley Plumlee, Jim Perry, and Randall Smith favored extending Chum
Creek Road and associated actions and costs.
Charlie Harper, Bethel Church Administrator, stated that efforts would be made to advise
students and encourage visitors to use Interstate 5 when traveling between the church's two
facnities on Twin View Boulevard and College View Drive, to reduce traffic impacts on
neighborhoods along Hawley Road. .
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Council Members Dickerson and Sullivan opposed the costs and timing of a reconsideration
to reverse the decision the City Council made to amend the Transportation Element of the
General Plan in 2007 and did not support extending Chum Creek Road.
A MOTION WAS MADE by Council Member Jones, seconded by Council Member
Bosetti, approving staff s recommendation as detailed in the staff report dated April 7, 2011,
adopting Resolution No. 2011-46, a resolution of the City Council of the City of Redding
approving and adopting the 39th amendment to City Budget Resolution No. 2009-61
appropriating $225,000 from the Citywide Traffic Impact Fee Program for planning,
environmental review, and preliminary engineering alternatives analysis for the Chum Creek
Road North Extension for fiscal year 2010-11, adding the project to the Citywide Traffic
Impact Fee Program for circulation planning purposes, and authorizing the City Manager to
execute all documents and contracts necessary to administer the allocation of funds for this
project. The Vote:
A YES: Council Members - Bosetti, Jones, and McArthur
NOES: Council Members - Dickerson and Sullivan
ABSTAIN: Council Members - None
ABSENT:. Council Members - None
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Resolution No. 2011-46 is on file in the Office ofthe City Clerk.
RESOLUTION -Authorizing the Electric Utility Director to execute a Renewable Energy
Purchase Agreement with Trinity Public Utilities District
[E-120]
Electric Utility Director Hauser summarized the Report to City Council (staff report) dated
April 6, 2011, and provided three Power Point slides highlighting aspects of Lewis ton Dam,
both incorporated herein by reference. Mr. Hauser explained that the existing 350 kW
hydroelectric generator is too small to effectively capture higher spill volumes resulting from
changes that were made to the original scope and design of the dam, which was initially
intended to regulate flows into the Sacramento River but now diverts a greater amount of
water into the Trinity River to maintain necessary biological flows. He also reported on the
recently passed Senate Bill XI-2 (SBXI-2) that requires 33 percent of California utility's
energy portfolios to come from in-state renewable resources by 2020. He provided details
regarding the agreement between Trinity Public Utilities District (TPUD) and the United
States Bureau of Reclamation that will replace the original generator with a 2,000 kW and
make approximately 10,600 MWh of "excess energy" available to Redding Electric Utility
(REU) annually. Mr. Hauser noted the value of this arrangement to obtain premium "green"
energy and further REU' s ability to meet SBX 1-2 requirements and recommended that the
Council approve an agreement with TPUD to purchase the excess energy (with the associated
Renewable Energy Credits) for a term of28 to 30 years at a total price of $ 84/MWh for the
first year, and up to $ 142/MWh in the 30th year, resulting in an average cost of$l13/MWh,
and allow him to act on behalf of Redding Electric Utility in the routine business of the
agreement.
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A MOTION WAS MADE by Council Member Sullivan, seconded by Council Member
Bosetti, adopting Resolution No. 2011-47, a resolution of the City Council Qfthe City of
Redding approving and authorizing the Electric Utility Director to execute a Renewable
Energy Purchase Agreement between the Trinity Public Utilities District and the Redding.
Electric Utility as described in the staff report dated April 6, 2011.
04/19/2011
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The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Bosetti, Dickerson, Jones, Sullivan, and McArthur
Council Members - None
Council Members - None
Council Members - None
Resolution No. 2011-47 is on file in the Office ofthe City Clerk.
RESOLUTIONS - Relating to entering into International Swaps and Derivatives Association
(ISDA) Master Agreements with Shell Energy North America, BP Energy Company, and Citi
Energy, Inc.
[E-120]
Electric Utility Director Hauser summarized the Report to City Council (staff report) dated
AprilS, 2011, incorporated herein by reference, relating to authorizing the Electric Utility
Director to execute three agreements that would allow Redding Electric Utility (REU) to
trade in financial instruments over physical commodities and acquire natural gas and
electricity positions beneficial to REU ratepayers. Mr. Hauser explained that forward-
purchase physical contracts have benefitted the Utility's customers for the past 11 years and
described changes in the energy trading market that make physical contracts less effective
in providing price certainty. He informed Council of the cost advantages to buying and
selling energy under ISDA agreements and recommended that the Council adopt three
resolutions authorizing him to execute individual agreements with Shell Energy North
America, BP Energy Company, and Citi Energy, Inc., to mitigate future rate increases.
Responding to Council Member Jones, Mr. Hauser stated that Sacramento Municipal Utility
District and the cities of Modesto, Roseville, and Santa Clara have arrangements of this type.
A MOTION WAS MADE by Council Member Jones, seconded by Council Member
Sullivan: (l)adopting Resolution No. 2011-48, a resolution of the City Council ofthe City
of Redding authorizing the Electric Utility Director to execute an ISDA Master Agreement
between Shell Energy North America (U.S.), L.P. and the Redding Electric Utility (REU),
(2) adopting Resolution No. 2011-49, aresolutionofthe City Council of the City of Redding
authorizing the Electric Utility Director to execute an ISDA Master Agreement between the
BP Energy Company and REU, and (3) adopting Resolution No. 2011-50, a resolution of the
City Council of the City of Redding authorizing the Electric Utility Director to execute an
ISDA Master Agreement between Citi Energy, Inc., and REU.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Bosetti, Dickerson, Jones, Sullivan, and McArthur
Council Members - None
Council Members - None
Council Members - None
Resolution Nos. 2011-48 through 2011-50 are on file in the Office ofthe City Clerk.
ADJOURNMENT
There being no further business, Mayor McArthur declared the meeting adjourned at the hour
of 9:42 p.m.
APPROVED:
ATTEST:
04/19/2011