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HomeMy WebLinkAboutMinutes - City Council - 2004-07-06 144 City Council, Regular Meeting Civic Center Council Chambers 777 Cypress Avenue, Redding, California July 6, 2004 The Pledge of Allegiance to the Flag was led by John Di Perry, Board Member of the Turtle Bay Museum and Exploration Park. The Invocation was offered by Police Chaplain Betty Harrison-Smith. I The meeting was called to order by Mayor Pohlmeyer with the following Council Members present: Cibula, Kight, Mathena, and Stegall. Also present were City Manager Warren, Assistant City Manager Perry, Assistant City Manager Starman, Deputy City Manager Bachman, Interim City Attorney Frediani, Assistant City Attorney DeWalt, Development Services Director Hamilton, Electric Utility Director Feider, City Clerk Strohmayer, and Executive Secretary Stribley. ----------------~-- Approval of Minutes - Regular City Council Meeting of June 15,2004, and Special City Council Meetings of June 8 and 15,2004. Approval of Payroll and Accounts Payable Registers (A-050-100-500) It is recommended that Accounts Payable Register No. 24, check numbers 819291 through 819945 inclusive, in the amount of$9,159,414.60, for the period ofJune 15,2004, through June 30, 2004; and Payroll Register No. 26 electronic deposit transaction numbers 146525 through 147266 and check numbers 516222 through 516557 inclusive, in the amount of $2,045,802.42, for the period of June 6, 2004, through June 19,2004, be approved. TOTAL: $11,205,217.02 I Treasurer's Report - May 2004 (A-050-100-600) Total Treasurer's Accountability $130,036,790.34 Total City of Redding Funds, Funds Held in Trust, and Funds of Related Entities $200,065,134.20 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 May 2004 be accepted. Ordinance - Establishing and amending certain limitations re the Canby-Hilltop-Cypress Redevelopment Project Area Plan (R-030-050) It is the recommendation ofthe Assistant City Manager that Ordinance No. 2332 be adopted, an ordinance of the City Council of the City of Redding amending ordinances establishing I and amending certain limitations with respect to the Redevelopment Plan for the Canby- Hilltop-Cypress Redevelopment Project Area. Ordinance - Establishing and amending certain limitations re the Market Street Redevelopment Project Area Plan (R-030-145) It is the recommendation ofthe Assistant City Manager that Ordinance No. 2333 be adopted, an ordinance of the City Council of the City of Redding amending ordinances establishing and amending certain limitations with respect to the Redevelopment Plan for the Market Street Redevelopment Project Area. 7/612004 145 Council Member Cibula advised he will abstain from voting on this matter due to family holdings in the area. The Vote: AYES: NOES: ABSTAIN: ABSENT: Council Members - Kight, Mathena, Stegall, and Poh1meyer Council Members - None Council Members - Cibula Council Members - None I Ordinance - A4ding Redding Municipal Cod,e Chapter 4.23, Debarment of Contractors (B-050) It is the recommendation of t~e City of Attorney that Ordinance No. 2334 be adopted, an ordinance of the City Council of the City of Redding addiJ1g Chapter 4.23 (Debarment of Contractors) to Title 4 (Revenue and Finance) of the Re~ding Municipal Code. Renewal Funding and Consulting Services Agreement - Economic Development Corporation of Shasta County (B-130-030-045) It is the recomm~ndation of the City Manager that the City Council approve renewal of the Funding and Consulting Services Agreement with the Economic Development Corporation of Shasta County (ED C) in the amount of $140,000 annually. Quarterly Property Status R~port (C-070) It is the recommendation of the Assistant City Manager that the City Council accept the . ' Quarterly Property Status Report as of June 25, 2004, which includes the following: 1) Surplus City Property; 2) Leases of City Land; 3) Offers to sell L~d to the City; and 4) City- Initiated Purchases of Land. I Resolution - Making adjustments to the Sports Complex budget and appropriating funds (B-130-070 & P-050-600-200) It is the recommendation of the Assistant City Manager that Resolution No. 2004-103 be adopted, a resolution ofthe City Council ofthe City of Redding approving and adopting the 62nd amendment to City Budget Resolution No. 2003-103 appropriating $326,000 for the Sports Complex for fiscal year 2004-05. Report - Sports Complex soccer fields (P-050-690 & P-050-600-200) It is the recommendation of the Assistant City Manager that the City Council accept the report regarding the Sports Complex soccer fields for June 2004.' Pre-Development Funding Agreement - Resources for Rural Community Development, Inc. (G-1 00-075-1 01) I It is the recommendation ~f the Assistant City Manager that the City Council approve a Pre- Development Funding Agreement with Resources for Rural Community Development, Inc. (RRCD) in an amount not-to-exceed $35,000 for pre-development activities necessary for the affordable housing development ofR~CD property lo~ated ~t 3173 Bechelli Lane. I Lot Line Adiustment - Lot 15A at the Redding Municipal Airport Business Park (L-010-150-750 & A-090-100) It is the recommendation ofthe Support Services Director that the City Council conceptually approve a lot line adjustment for Lot 15A at the Redding Municipal Airport Business Park requested by Sharrah Dunlap Sawyer, Inc. relating to a potential property sale. Air Show 2004 - Redding Exchange C,lub; License Agreement - Redding Exchange Club; and Resolution - Prohibiting parking at Air Show 2004 (A-090-100 & P-030-250) , It is the recommendation of the Support Services Director that the City Council approve th~ request by the Redding Exchange Club to hold "Air Show 2004" at the Redding Municipal Airport, and approve the License Agreement for use of the Airport on October 9 and 10, 2004. 7/6/2004 146 It is further recommended that Resolution No. 2004-104 be adopted, a resolution ofthe City Council of the City of Redding prohibiting parking at "Air Show 2004" on October 9 and 1 0, 2004, at the Redding Municipal Airport on Airport Road from Rancho Road to Meadow View Drive, and on Old Oregon Trail from Rancho Road to the North Gate of the Redding Municipal Airport from 7:00 a.m. to 7:00 p.m. Second Amendment to Authorization of Services Contract - Mead & Hunt; and Resolution - Appropriating Passenger Facility Charges Program funds for same (A-090-100 & B-130-070) It is the recommendation ofthe Support Services Director that the City Council approve the Second Amendment to the Authorization of Services Contract with Mead & Hunt for increased engineering services for capital projects at Redding Municipal Airport in the amount of $60,000 for a total of$280,000 and provide 65 days oftechnical observation for the project. I It is further recommended that Resolution No. 2004-105 be adopted, a resolution of the City Council ofthe City of Redding approving and adopting the 58th amendment to City Budget Resolution No. 2003-103 appropriating $60,000 for engineering services related to reconstruction of the GA Apron at Redding Municipal Airport for fiscal year 2004-05. Land Acquisition Agreement - Vernon & Gloria Randall; Land Acquisition Agreement - Michael G. Walker; and Resolution - Appropriating funds for same (C-070-010/ A-090-100/B-130-070) It is the recommendation of the Support Services Director that the City Council approve the Land Acquisition Agreement with Vernon and Gloria Randall for approximately 12 acres located on Fig Tree Lane in the amount of$246,000, and a Land Acquisition Agreement with Michael G. Walker for approximately 0.5 acres located on Mimosa Lane in the amount of $19,000 to provide runway approach protection at Redding Municipal Airport and allow for possible future expansion of aviation-related commerce. It is further recommended that Resolution No. 2004-106 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 57th amendment to City Budget Resolution No. 2003-103 appropriating $271,700 for land acquisition at Redding Municipal Airport for fiscal year 2004-05. I Award of Bid - Bid Schedule No. 3720, installation of 115/12kV transformer Bank No.2 at Moore Road Substation (B-050-020 & E-090-140-475) It is the recommendation of the Electric Utility Director that Bid Schedule No. 3720, installation of 115/12kV transformer Bank No.2 at Moore Road Substation be awarded to Cal Electro in the amount of$674,000 for installation of a second transformer at Moore Road Substation; the Mayor be authorized to execute a Public Works Agreement; and the City Manager be authorized to approve project construction change orders in a total amount not- to-exceed $67,400. Award of Bid - Bid Schedule No. 3747, three-phase, pad-type distribution transformers (B-050-100) It is the recommendation of the Electric Utility Director that Bid Schedule No. 3747, three- phase, pad-type distribution transformers be awarded to Pauwels Transformers in the amount $522,606 for the term of August 1, 2004 through July 31, 2005; and the Purchasing Officer be authorized to extend the bid one additional year if mutually agreeable. Monthly Financial Report - Electric Utility (B-130-070) It is the recommendation of the Electric Utility Director that the City Council approve the Electric Utility's Monthly Financial Report for May 2004. Retail power sales revenue is 1.5%, or $946,937 below projections and wholesale power sales through May are $19,096,938, or 93.8% above projections. Operating revenue after energy costs is $5,756,695 or 17.6% above year to date expectations. The total cost of electricity through May 2004 was $13,196,854 or 24.8% above projections. The Utility's net operating results through May is $10,986,662 or $7,950,679 (261.9%) above plan for the period. I 7/6/2004 147 Award of Bid - Bid Schedule No. 3732, single-phase, pad-type distribution transformers (B-050-100) It is the recommendation of the Electric Utility Director that Bid Schedule No.3 732, single- phase, pad-type distribution transformers be awarded ~o WESCO Distribution in the amount of$239,582.84 for the t~rm of August 1,2004, to July 31,2005; and the,P~rchasing Officer be authorized to extend the bid one additional year if mutually agreeable. I Notice of Completion - Bid Schedule No. 3368, engin~er, fVrnish, ~nd. install Generating Unit No.5 at the Redding Power Plant (B-050-020 & E-120-150-675) It is the recommendation of the Electric Ut~lity Director that Bid Sched~le No, 3368, (Job No. 9859-11), to engineer, furnish, and ,nstall Generating Unit No.5 at the Redding Power Plant awarded to Alstom Power Incorporated (now Siemens DDITI) be accepted as s~tisfactorily completed for a fiD;al contract amount of$43,266, 160, aIld that the City Clerk . . be authorized to file a Notice of Completion. Funding and Lease Agreements - Shasta County Arts Council (B-130-030 & C~070-100) It is the r~commendation of the Community Services Director that the City Council approve the Funding Agreement with the Shasta County Arts Council to provide funding support in the amount of$22,28.5, building ~d groun4s m.aintenance service for Old City Hall, utility expenses (not including telephone) for Old City Hall, printing of a bimonthly newsletter and activities calendar, and a City staff person to se.rve ,as ex-officio member on the Board of Directors for the period of July 1, 2004, through June 30, 2005. It isa~~o recommended that the Lease Agreement with the Shasta County Arts Council for the Old City Hall be approved for the period July 1, 2004 through June 30, 2005. I Renewal of Funding Agreement - Shasta-Cascade W ond~rl~d Association (B-130-030-700) . , It is the recommendation of the Community Services Director that the Funding Agreement with Shasta-Cascade Wonderland Associa~~on be approved in the amount of $52,000 to promote outdoor recre~tion throughout the seven-county Shasta Cascade Region for the period July 1, 2004 through June 30, 2005. R~solution - Proclaiming August 3,2004, as "National Night Out" (A-050-060-600 & P-150-150) It is the r~commendation of the Police Chief that Resolution No. 2004-107 by adopted, a resolution of the City Council of the City of Redding supporting crime and drug prevention efforts in Redding, and proclaiming Tuesday, August 3, 2004; as "National Night Out." Resolution - Accepting a grant from tp,e Californ,a Alcohol Beverage Control Department; and ! , Resolution - Appropriating grant funds for same (G-100-170/B-130-070/P-150-150) , It is the recommendation of the Police Chief that Resolution No. 2004-108 be aqopted, a resolution of the City Council of the City of Redding authorizing acceptance of a gt:ant from the California Department of Alcohol Beverage Control and the Office, of J:uvenile Justice and Delinquency Prevention througtl the "E~forcing the Underage Drinking Law,s Discretionary Program: Community Trials Initiative" in th~ mnount of$75,000 in an effort to reduce underage drinking. I It is further recommended that Resolution No. 2004-109 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 59th amendment City Budget Resolution No. 2003-103 accepting and appropriating $75,000 for a grant from the Department of AlcohOlic Beverage Control for fiscal year 2004-05. Monthly Financial Report - General Fund (B-130-070) i It is the recommendation of the Adm~~istrative Services Dtrector that the City Coun~il accept the General Fund's Monthly Financi~l Report (or May 2004. Total revenue at the end of May is $48.4 million or $269,022 (0.5%) ab~ve staffs c~sh flow projection. Expenditures at month end, excluding encumbrances, total $49,829,311 or $7,369,895 (12.9%) below staffs original cash flow projection. EncUl:nbr~nces total $2,580,312. 7/6/2004 148 Increasing Contingency Fund - Bid Schedule No. 3717, Martin Luther King, Jr.(MLK) Memorial Park Area Improvement Project (B-050-020 & P-050-350) It is the recommendation of the Development Services Director that the construction contingency fund for Bid Schedule No. 3717 (Job No. 8649-93), Martin Luther King, Jr. (MLK) Memorial Park Area Improvement Project, be increased by $3,200 for a total amount of $14,017 and the administration and inspection fees be increased by $2,500 for a total amount of $13,317. The total project amount is now increased to $135,501.30. Notice of Completion - Bid Schedule No. 3677, Market Street water main replacement from Tehama Street to Trinity Street I (B-050-020 & W-030-725) It is the recommendation of the Development Services Director that Bid Schedule No. 3677 (Job No. 2203), Market Street water main replacement from Tehama Street to Trinity Street awarded to Bobby Martin Construction be accepted as satisfactorily completed and that the City Clerk be authorized to file a Notice of Completion with the Shasta County Recorder. The final price is $228,730.32. Council Member Cibula advised he will abstain from discussion and voting on this matter due to perceived conflict of interest with his business. The Vote: AYES: NOES: ABSTAIN: ABSENT: Council Members ~ Kight, Mathena, Stegall, and Pohlmeyer Council Members - None Council Members - Cibula Council Members - None Notice of Completion - Bid Schedule No. 3709, Caterpillar 12-inch water main (B-050-020 & W -030-725) It is the recommendation of the Development Services Director that Bid Schedule No. 3709 (Job No. 2216), Caterpillar 12-inch water main awarded to Bobby Martin Construction be accepted as satisfactorily completed and that the City Clerk be authorized to file a Notice of Completion with the Shasta County Recorder. The final price is $412,655.24. I Award of Bid - Bid Schedule No. 3737, Parkview Avenue street lighting project (B-050-020 & E-090-150) It is the recommendation of the Development Services Director that Bid Schedule No.3 73 7 (Job Nos. 8649-32 and 4009-16), Parkview Avenue street lighting project be awarded to Bobby Martin Construction, Inc. in the amount of$161,431 with an additional $16,000 for administration, inspection, and outside services materials testing, and an additional $24,000 construction contingency fund for a total of $201,431. Award of Bid - Bid Schedule No.3 73 8, Redding Municipal Airport Runway 12-30 and West GA Apron reconstruction; and Resolution - Appropriating interim funding for said project (B-050-020 & A-090-1 00) It is the recommendation of the Development Services Director that Bid Schedule No. 3738 (Job Nos. 2207 and 9394), Redding Municipal Airport Runway 12-30 and We~t GA Apron reconstruction including Additive Alternate No.1 be awarded to Tullis, Inc. in the amount of$4,013,164.25, with an additional $25,000 for administration, inspection, and materials testing, and an additional $200,000 for a construction contingency fund for a total amount of$4,238,164.25. It is further recommended that Resolution No. 2004-110 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 60th amendment to City Budget Resolution No. 2003-103 appropriating $974,680 to reconstruct GA Apron at the Redding Municipal Airport for fiscal year 2004-05. I Resolution - Summarily vacating a portion of an electric utility easement on property located at 2600, 2640, 2650, 2660, 2670, 2750, and 2790 Park Marina Drive (A-010-040) It is the recommendation of the Development Services Director that Resolution No. 2004- III be adopted, a resolution ofthe City Council of the City of Redding summarily vacating a portion of an easement for an electric light and power transmission pole line on property 7/6/2004 149 located at 2600, 2640, 2650, 2960, 2670, 2750, and 2790 Park Marina Drive (A-5-04) granted to the Northern Light and Power Co~pany in 1908 and acquired by the City in 1921 , ", as requested by prop~rty owner The June Girard Fund Limited Li~biUty Company bec~use the easement has not been used for the purposes for which it was dedicated or acquired for at least five years. I Final Map and Subdivision Agreement - Quail Run Subdivi~ion (S-101-060) It is the recommendation ofthe Develop~ent Services Director that the City Council approve the final map for Quail Run Subdivision (S-l 0-03), l~cated on Marlene Avenue, west of Alt~ Mesa Drive, by Corpac Development, Inc., th~t the Mayor be authorized to execute the Subdivision Agreement, and that the City Clerk be instructed to file the map with the Shasta County Recorder. Water Delivery Agreement - City of Shasta Lake (W-030-500) It is the n:commendation of the Assistant City Manager that the City Council approve an agreement with the City of Shasta Lake to allow the City of Redding to transfer ownership of all water delivery facilities and 37 service connections in the Summit City Pressure Zone to the City of Shasta Lake with a net $2,100 annual increase in water costs, but ~limination of capital cost obligations for the area. Resolution - Approving Workers' Compensation Insurance with ACE Insurance Company (R-100-375-325) It is the recommendation of the Personnel Director that Resolution No. 2004-112 be adopted, .. . . a resolution of the City Council of the City of Redding selecting Ace Insurance Company as the carrier of the City's excess Work~rs' Compensation insurance in the amount of $301,061.16 for fiscal year 2004-05. I Resolution - Approving amendments to Memorandum of Understanding (MOU) with Redding Peace Officers Association (RPOA) - Miscellaneous Employees (P-I00-050-120) It is the recommendation of the Personnel Director that Resolution No. 2004-113 be adopted, a resolution of the City Council of the City of Redding approving the provisions of the Memorandum of Understanding with the Redding Police Officers Association of Redding- Miscellaneous Employees, effective June 5, 2004, with a five-year term expiring June 4, 2009. Resolution - Approving adjustments to the Executive Management Pay-for-Performance Salary Plan for unrepresented employees (P-100-320 & P-l OQ-050-1 00) It is the recommendation ofthe Personnel Director th~t Resolution No. 2004-114be adopted, a resolution ofthe City Council of the City of Redding amending the Executive Management Pay- for-Performance Sa,lary Plan for UIl!epresen,ted fmployees"tf) provide ,salary adjustments over a two year period effective July 4, 2004. I MOTION: Made by Council Member Kight, seconded by Council Member Stegall, that all the foregoing items on the Consent Calendar be approved and adopted as recommended with the exception of the items approved by separate vote as indicated above. The Vote: AYES: NOES: ABSTAIN: ABSENT: Council Members - Cibula, Kight, Mathena, Stegall, and Pohlmeyer Council Members - None Council Members - None Council M~bers - None Ordinance Nos. 2332, 2333, and 2334, and Resolution Nos. 2004-103,2004-104,2004-105, 2004-106,2004-107,2004-10~,2004-109,2004-110,2004-111,2004-112,2004-113, and 2004-114 are on file in the Office of the City Clerk. ----------------~-- 7/612004 150 UPDATE ON MAJOR PROJECTS - Electric Utility power supply for Summer 2004 (A-050-080 & E-120) Electric Utility Director Feider related that Redding Electric Utility (REU) has an adequate power supply available and will be able to meet peak summer demand. He stated that the California Energy Commission's forecast for the rest of the state is that power supplies will probably be adequate for the summer unless there is a heat wave which could mean rolling blackouts. In the event of a statewide emergency, he said REU customers will be asked to conserve energy so that REU can assist the state with power needs on an emergency basis. He recognized the City Council and previous City Councils for the foresight in providing the City with adequate power. I No action was required on this informational item. MID-BIENNIAL BUDGET REVIEW; and RESOLUTION - Approving budget adjustments for fiscal years 2003-04 and 2004-05 (B-130-070 & C-070-250-250) Assistant City Manager Bachman summarized the Report to City Council dated June 28, 2004, incorporated herein by reference, advising that the total adjustment to the budget is approximately $8 million. Ofthat amount, approximately $6 million has been allocated from Utility Funds and $2 million from the General Fund. The proposed General Fund amendments are: 1) $785,100 for street paving, 2) $400,000 for Turtle Bay Museum & Exploration Park operations, 3) $125,000 for maintenance ofthe Sundial Bridge, 4) $200,000 for personnel to staff the new Fire Station No.8, 5) various other items including $100,000 for recreation programming and the Aquatic Center, which generated $170,000 in additional revenue for the past fiscal year and is anticipated to generate more revenue this year than the expenditure request. Mr. Bachman pointed out that the effect of these amendments to the General Fund 10- Year Financial Plan will be three years at the minimum 5% reserve set by the City Council. He pointed out that the state will be taking $2.2 million over the next two years, and noted that the City Manager has asked for fiscal caution when considering requests that would put pressure on the General Fund. Mr. Bachman added that the largest non- General Fund request is $5,150,000 for capital projects allocated from the Wastewater Funds. Mr. Bachman recommended approval of the fiscal year 2003-05 Mid-Biennial Budget Review report and adoption of a budget resolution appropriating additional funds as set forth in the report. I Council Member Kight expressed concern that construction of Fire Station No. 8 will not begin until October when an early rainy season could significantly impact construction. Mr. Bachman explained that construction of the station is similar to housing construction in that once the foundation is poured and the roof is in place the remainder of the structure can be completed regardless of the weather. Council Member Cibula pointed out that later in this evening's meeting the City Council will be asked to consider funding a position at the U.S. Army Corps of Engineers ' Redding Office and asked if monies are included in the budget for that position. Mr. Bachman responded that specific project funds will be utilized for that position and brought back in the form of a budget amendment. Jay Gibson, representing Greater Redding Chamber of Commerce, expressed support for continued funding of the Turtle Bay Museum and Exploration Park. He pointed out that management has changed and decisions have been made to regain financial stability. He requested that the City Council consider long-term financial assistance for Turtle Bay so that it can continue providing benefits to the community. City Manager Warren interjected that the General Fund 10- Y ear Financial Plan includes $400,000 annually that Council may use, at its discretion, for Turtle Bay, the Library, and/or other worthy endeavors. I Council Member Kight expressed concern regarding excessive pressure being placed on the General Fund in the form of funding requests and allocations to various projects such as $250,000 for the new Library which is not included in the budget or the 10-Year Financial Plan and $400,000 in annual funding to Turtle Bay Museum (Museum), with an additional $155,000 to cover insurance and maintenance for the newly-constructed Sundial Bridge. He asked if maintenance costs for the Sundial Bridge were included in the 10- Year Financial Plan. Mr. Bachman responded that it would be part of the budget plan upon acceptance of the report. Mr. Kight recalled that funding for the Museum was originally approved based on assurances that funding reductions would occur as the Museum developed financial 7/6/2004 151 stability, but to date that has not occurred. He predicted that at some point, funding requests from the Museum, the Library and other projects will collide and he urged a reduction in the funding level for Turtle Bay. . Mayor Pohlmeyer concurred with Council Member Kight and although he expressed support for funding Turtle Bay in the short term, he urged that other funding sources be identified for long-term allocation. He voi~ed strong support on behalf of the City Council for the new Library, but pointed out that it is a Sha~ta County facility, not a City ~ibrary. I In response to Council Member Mathena, Mr. Bachman expla~ned that the proposed Mid- Biennial Budget and the General Fund 10- Year Financial Plan make the assumption that funds taken by the state now will be returned in a couple of years. Council Member Kight cautioned that return of those funds by the state is not guaranteed. Council Members Stegall and Cibula strongly urged support for Turtle Bay funding believing that it is critical to continue support for such an important element of the community and suggested that staff seek alternatives to fund the Library in the 10- Year Plan. Mr. Warren suggested that the City Council consider allocating $400,000 for Turtle B~y in the 10- Year Financial Plan and that staffbe directed to investigate altern,atives to provide an additional $250,000 when the Library is completed in 2006, so that these two important projects do not compete for funding in the future. Council Member Mathena was nqt in favor of commttting $400,000 over a five, or ten-year period and recommended that funding be reviewed annually. He urged more support for road maintenance. I MOTION: Made by Council Member Stegall, secQnded by Council Member Mathena, adopting Resolution No. 2004-115, a resolution of the City Council of the City of Redding approving and adopting the 56th amendment to City Budget Resolution No. 2003-103 appropriating $239,000 for fiscal year 2003-04 and $7,770,920 for fiscal year 2004-05 and accepting the Mid-Biennial Budget Review. The Vote: AYES: Council Members - CiJ)UI~, Mathena, Stegall, and Pohlmeyer NOES: COl;lncil Members - Kight ABSTAIN: Council Members - None ABSENT: Council Members - None Resolution No. 2004-115 is on file in the Office of the City Clerk I AIRPORT BUSINESS PARK INTERNAL LOANS (D-050-025-0 10) City Manager Warren related that the Redding Municipal Airport Business Park (Business Park) was developed with funding provided through the Federal Economic Development Administration and the City's Airport Fund. The Airport Fund received internal loans in the amount of$647,200 from the Gen~ral Fund and tpe Water and Wastewater Utility Funds for the Business Park project, and additional monies were provided by the General Fund for ongoing Airport operations. Mr. Warren explained that as parcels in the ,Business Park were sold, proceeds were utilized to pay on internal project loans and the recent sale of Lot 5 will not only provide sufficient revenue to retire the internal debt but purchase needed equipment at the Airport. Future sales of remaining Business Park lots will provide repayment of internal loans from the General Fund for ongoing operations at the Airport. It was the consensus of the City Council to accept the report regarding retirement of internal loans to the Airport Fund in the amount of $647,200. Q FUNDING AGREEMENT - U.S. Army Corps of Engineers position (P-I00-060) . , , Deputy City Manager Bachman provided an overview of the Report to City COUl:Wil dated June 25, 2004, explaining that numerous major projects such as the Stillwater Business Par~, South Bonnyview Road Widening, Sports COlTIpl~x Soccer Fields, Clover Creek Preservation Park, and others require U.S. Army CO,rps of Engineers (Corps) involvement, generally for issuance of a 404 Permit (Wetlands Mitigation). He poit;lted out that the Corps is experiencing staffing shortages and, at this time, only one employee is available at the 7/6/2004 152 Redding Corps Office which heavily impacts the permit process for City projects. As an alternative, Mr. Bachman stated that federal law (Section 214 of the Water Resources Development Act of 2000) allows public agencies to enter into agreements with the Corps to augment staffing at the Corps offices in order to advance projects. Mr. Bachman explained that if the City entered into a memorandum of understanding (MOU) with the Corps to provide one additional staff person for one year, it would expedite the process. City projects would be prioritized 'in a specific order: I) City of Redding projects 2) City-sponsored projects such as Economic Development or Redevelopment, and 3) private development within the City on a first-come-first-served basis. Additionally, he suggested that if the workload warranted, the City could allow utilization of the City-paid Corps staff I person by other entities on an hourly fee basis payable to the City. He added that discussions with the Corps have been favorable. Mr. Bachman recommended that the City Manager be authorized to execute an MOU with the Corps for one additional full-time staff person at the Redding Corps Office in the amount of approximately $120,000 to $130,000 (including salary benefits and administrative overhead) for a 12-month period. He noted that funding would come primarily from project budgets and then the General Fund. Council Member Cibula urged that Senators Feinstein and Boxer and Representative Herger be contacted to develop alternative solutions rather than obligate the City to fund federal employees. Mr. Bachman explained that the City has sought alternatives by competing for available grant funding and has received direct assistance from its representatives during the regulatory processes on various proj ects. He noted, however, that while representatives have been very responsive, asking them to initiate funding for another Corps position would inevitably delay current projects by at least 12 months because additional funds cannot be allocated until the next federal fiscal budget in 2005-06. Council Member Cibula also asked ifthere were oversight safeguards in place to ensure that City funds will be spent on City projects. He also questioned why the City did not hire its own engineer. Mr. Bachman responded that project turn-around goals will be incorporated into an MOU to ensure that the City-funded Corps employee will work on City projects. Additionally, he advised that City engineering staffis extremely busy with other City projects and unable to provide assistance and/or the expertise necessary to assist in the Corps office. He advised that benefits to the City will be in the form of accelerated processes for permits which will result in savings in time and money. I MOTION: Made by Council Member Kight, seconded by Council Member Mathena, approving funding of one additional full-time U.S. Army Corps of Engineers employee in the Corp's Redding Office in the amount of $120,000 to $130,000 for a minimum of 12 months and authorizing the City Manager to execute a Memorandum of Understanding with the Corps regarding this position. The Vote: Unanimous Ayes ENGINEERING DIVISION STAFFING - Implementation of2004-05 Capital Improvement Program (A -050-122) City Manager Warren explained that Redding is a fast-growing community and could possibly spend as much as $35 million annually on capital projects over the next 10 years. Successful projects require careful planning, design, construction and implementation with engineers overseeing construction. Current staffing in the City's Engineering Division, however, is inadequate to handle that type of workload in addition to the day-to-day work generated by the public. In order to meet demands, he said it will be necessary to augment engineering staff with an additional ten employees (to be hired over the next two years) and contract with outside engineers for the balance of the work. Mr. Warren emphasized that funding for these employees will be through the various projects and should not affect the General Fund. I Mr. Warren recommended that the City Council approve hiring five additional engineering employees for fiscal year 2004-05 (2-Project Coordinators, I-Survey Party Chief, I-Assistant Engineer, and I-Engineering Technician), and five additional staff members in fiscal year 2005-06, (2-Associate Engineers, 1 Assistant Engineer, and 2 Engineering Technicians) for a total ten. 7/6/2004 153 Council Member Cibula favored hiring only five persons until a report dytermines the program's success. Mr. Warren responded that a report will be brought to the City Council after the first year's hiring to determine its effectiveness. I Given the $800,000 price tag for these new positions, Council Member Kight questioned how General Fund monies would not be affected. Development Services Director Hamilton explained that the projects will provide funding through various City Utilities and engineering services are built into all project budgets. City Engineer Tippen pointed out that a project such as the South Bonnyview Road Widening could utilize five employees for an entire year, so that type of project would be more efficiently handled by (:onsultant engineers. He emphasized that utilizing in-house staff on smaller projects and contracting out larger projects is more effective in serving the community's needs. MOTION: Made by Council Member Cibula, seconded by Council Member Stegall, authorizing preparation of a budget amendment for fiscal year 2004-05 to augment design and inspection staffing with five new positions in the Engineering Division of the Development Services Department and to return with a report to the City Council during budget discussions regarding hiring an additional five positions for fiscal year 2005-06 in the Engineering Division. The Vote: Unanimous Ayes I SUBDIVISION AGREEMENT - Vista Ridge Estates Subdivision Unit 2 (S-100-778) Development Services Director Hamilton provided highlights of the Report to City Council dated July 2, 2004, incorporated herein by refer~nce, explaining that at its meeting of June 21, 2004, the City Council approved the final map and subdivision agreement for Vista Ridge Estates Subdivision Unit 2 (S-2-02), located north of Tanglewood Village Planned Development, by Hilltop Development (Opus Development) contingent upon certain language being included identifying responsibilities associated with obtaining the right-of- way for the secondary access for the subdivision, and authorized the Mayor to execute the Agreement. Mr. Hamilton related that the requested language has been included in the Agreement and he recommended that the City Council accept the revised and fully executed Subdivision Agreement for the Vista Ridge Estates Subdivision Unit 2 (S-2-02). Walt McNeill, attorney for Tanglewood Homeowners, opined that the Subdivision Agreement was approved after the final subdivision map. He summarized points made in a letter presented to the City Council this evening contending that the issue before Council this evening was to approve the Subdivision Agreement for Vista Ridge and questioned why it had already been signed. He further alleged that City Council Policy No. 1703 (Resolution No. 90-598) was not followed and that building permits should not be issued until subdivision off-site improvements that require eminent domain are completed and/or acquired. He cautioned that it was not prudent to allow occupancy of homes in a subdivision that has pending litigation. . I Mr. McNeill informed the City Council that although he had not received notification of tonight's meeting, he had only just received the information requested lilst month under the Public Records Act. Assistant City Attorney DeWalt explained that the Public Records Act (Act) requires that a response to a specific request is due within ten days of its receipt informing the requesting party of its intention to comply. However, there is an exception in the Act with regard to documents which are in a negotiable or temporary phase (which is the case of the Vista Ridge Subdivision Agreement) and are not subject to the Public Records Act until they are final. Mr. DeWalt stated that the Subdivision Agreement was final on Friday, July 2,2004, and Mr. McNeill received it on Tuesday, July 6, 2004. He pointed out that approval of a Subdivision Agreement is separate from Eminent Domain Policy and one is not subject to the other. He stated that the Subdivision Agreement was placed on the agenda, as directed by the City Council, because language regarding identification of responsibilities associated with obtaining'a right-of-way was added. Mr. DeWalt further explained that Government Code 66462 referenced by Mr. McNeill relates to approval of a subdivision agreement as a precondition to finaling a map, which the City Council did at the meeting of June 21,2004, because the subdiv~der was required to execute a subdivision agreement and the City Council gave authority to the Mayor to sign that agreement when negotiated. : 7/6/2004 154 Council Member Cibula expressed concern that Mr. McNeill was not notified that the Vista Ridge issue would be before Council this evening. Mr. DeWalt explained that if an interested party would like to receive notification of meetings regarding certain issues, a written request for notification is made to the City Clerk. A record ofthat request is kept and agendas are mailed to the interested party when that item appears on an agenda. He advised that after checking with the City Clerk, no such request was made by Mr. McNeill. In response to Council Member Cibula, Mr. Hamilton explained that the intent and purpose of City Council Policy No. 1703 is to ensure that there is access to subdivisions and to inform the City Council, in advance, if there is a possibility that eminent domain will be necessary to acquire that access. The Policy also states that the City shall not issue building permits to a property where there is no access in place, however, there is a fully-improved public street to Vista Ridge Estates Subdivision. Secondly, if a developer acquired the right- of-way for access to a subdivision but the improvements were not completed at the time of recordation of the final map, then the Policy allows only 10% of the lots in the subdivision to receive building permits with no occupancy certificates issued until the fully-improved public access is in place. I In response to Council Member Cibula, Development Services Director Hamilton explained that in the event the secondary access is not acquired, the Map Act dictates that the City J cannot preclude development of the project, and other access points are available. MOTION: Made by Council Member Kight, seconded by Council Member Mathena, accepting the revised and fully executed Subdivision Agreement for Vista Ridge Estates Subdivision Unit 2 (S-2-02), by Hilltop Development (Opus Development). The Vote: Unanimous Ayes ADJOURNMENT There being no further business, at the hour of 8:37 p.m., Mayor Pohlmeyer declared the meeting adjourned. I APPROVED ATTEST: ~,~ City Clerk I 7/6/2004