HomeMy WebLinkAboutMinutes - City Council - 2006-05-02
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City Council, Regular Meeting
Civic Center Council Chambers
777 Cypress Avenue,
Redding, California
May 2, 2006 7:00 p.m.
The Pledge of Allegiance to the Flag was led by Shasta College student, Sasha Trully.
The Invocation was offered by Police Chaplain Skip Tyler.
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The meeting was called to order by Mayor Murray with the following Council Members
present: Dickerson, Mathena, Pohlmeyer and Stegall.
Also present were Interim City Manager Starman, City Attorney Duvernay, Electric Utility
Director Feider, Deputy City Manager Bachman, Development Services Director Hamilton,
Police Chief Moty, Community Services Director Niemer, Airports Manager Dinger,
Community Projects Manager McGrath, City Clerk Strohmayer, Assistant City Clerk
Sherman, and Executive Assistant Stribley.
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PRESENTATION - Shasta Mosquito & Vector Control District
(B-080-480)
William Hazeleur, District Manager of the Shasta Mosquito & Vector Control District
(District), reported that mosquitos pose a serious health hazard to both humans and animals
by spreading diseases such as eastern and western encephalitis and the potentially-deadly
West Nile Virus. He explained the many methods the District employs to track the
population of mosquitoes and the eradication tactics used to keep the population in check.
Mr. Hazeluer also provided information on the many ways the public can discourage a
mosquito infestation in their area by spraying and eliminating standing water where mosquito
larvae thrive. He said that while 2005 saw a substantial reduction in West Nile virus cases,
the prediction for 2006 is that the Sacramento to Redding area may be the epicenter for
contracting the virus.
CONSENT CALENDAR
The following matters were considered inclusively under the Consent Calendar:
Approval of Minutes - Regular and Special Meetings of April 18, 2006
Approval of Payroll and Accounts Payable Registers
(A-050-100-500)
It is recommended that Accounts Payable Register No. 20, check numbers 839853 through
840246 inclusive, in the amount of $6,680,749.53, for the period of April 17 , 2006, through
April 28, 2006; and Payroll Register No. 22, electronic deposit transaction numbers 183812
through 184575 and check numbers 529762 through 530042 inclusive, in the amount of
$2,436,838.86, for the period of April 9, 2006, through April 22, 2006, be approved.
TOTAL: $9,117,588.39
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Treasurer's Report - March 2006
(A -050-100-600)
Total Treasurer's Accountability
$144,152,380.48
Total City of Redding Funds, Funds Held in
Trust, and Funds of Related Entities
$231,832,472.30
ACR133 Report and Cash Reconciliation
(F- 205-095-650)
It is the recommendation of the Deputy City Manager that the ACR133 Report and the Proof
of Cash Reconciliation for March 2006 be accepted.
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Ordinance - Amending the Redding Municipal Code Zoning Map by approving Rezoning
Application RZ-1-0 1, Stillwater Business Park
(L-010-230 & E-050-500)
It is the recommendation of the Deputy City Manager that Ordinance No. 2365 be adopted,
an ordinance of the City Council of the City of Redding amending the Redding Municipal
Code Zoning Map by approving Rezo~ing Application RZ-1-0 1, rezoning certain areas of
the Stillwater Business Park (Park) from "OS" Open Space District, "GI-PD" General
Industry District with Planned Development Overlay District and "OS-PD" Open Space
District with Planned Development Overlay District to "GI-PD" General Industry District
with Planned Overlay Development District, "OS-PD" Open Space District with Planned
Development Overlay District, "OS" Open Space District, "HI" Heavy Industry District, and
"RE" Resiqential Estate District, and making findings that EIS/EIR -1-00, with mitigation,
and the subject rezoning will not have a significant effect on the environment with the
exception of Overriding Findings made for unavoidable cumulative air quality impacts, that
the Park is compatible with the Redding General Plan, that the Park will not significantly
alter existing land form, that the Park is compatible with surrounding land use, and that the
Park is compatible with the Redding Municipal Code and as approved by the EIS/EIR -1-00.
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Amendment to Agreement - Pacific Municipal Consultants
(L-01O-075 & S-101-068)
It is the recommendation of the Development Services Director that the City Council
authorize the City Manager to execute an amendment to the Agreement with Pacific
Municipal Consultants for preparation of an Environmental Impact Report for the West
Ridge Master Plan Project extending the completion date to August 30, 2006.
Renewal of Agreement - Shasta County Department of Social Services reelder abuse
investigative services (C-3728)
(P-150-150)
It is the recommendation of the Police Chief that the City Council authorize the Mayor to
execute a renewal of the Agreement with the Shasta County Department of Social Services
to provide a Redding Police Officer to perform elder abuse investigative services in the
amount of $117,848 for fiscal year 2006-07.
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Authorization of Service #06-02 - Coffman Associates
(A-090-100)
It is the recommendation of the Deputy City Manager that the City Council approve
Authorization of Service #06-02 with Coffman Associates for preparation of an
environmental assessment for acquisition of land for approach protection at Redding
Municipal Airport in the amount of $25,368.
Authorization of Service #06-03 - Coffman Associates
(A-090-100)
It is the recommendation of the Deputy City Manager that the City approve Authorization
of Service #06-03 with Coffman Associates for preparation of a new Passenger Facility
Charge application to the Federal Aviation Administration (FAA) for the Redding Municipal
Airport $25,000.
License Agreement - Exchange Club of Redding for "Air Show 2006"
, (A-090-100)
It is the recommendation of the Support Services Director that the City Council authorize the
Mayor to execute a License Agreement with Exchange Club of Redding to hold "Air Show
2006" and for use of Redding Municipal Airport on September 30, and October 1 , 2006, with I
a cost to the City in stafftime of approximately $15,110.
License Agreements - Experimental Aircraft Association (EAA) and Hillside Aviation, Inc.
for "Aviation Day 2006" at Benton Airpark
(A-090-020 & A-070-080)
It is the recommendation of the Support Services Director that the City Council authorize the
Mayor to execute License Agreements with Experimental Aircraft Association and Hillside
Aviation, Inc. for use of a portion of Benton Airpark to conduct "Aviation Day 2006" on
June 18,2006, from 7:00 a.m. to mid-afternoon. The City will not receive any revenue nor
incur any costs from this event.
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Resolution - Authorizing grant application to 'the Federal Aviation Administration (FAA)
for capital improvement projects at Redding Municipal Ailport; and
Resolution - Authorizing grant application to the Federal Aviation Administration (FAA) for
capital improvement projects at Benton Ailpark
(G-I00-070-095/ A-090-100/A-090-020)
It is the recommendation of the Deputy City Manager that Resolution No. 2006-62 be
adopted, a resolution ofthe City Council of the City of Redding authorizing grant application
to the Federal Aviation Administration (FAA) for Entitlement and Discretionary Ailport
Improvement Program (AlP) Grant funds for capital improvement projects at Redding
Municipal Ailport and authorizing the City Manager, Assistant City Manager, or Deputy City
Manager to execute the application and necessary documents.
It is further recommended that Resolution No. 2006-63 be adopted, a resolution of the City
Council of the City of Redding authorizing grant application to the Federal Aviation
Administration (FAA) for Entitlement and Discretionary Ailport Improvement Program
(AlP) Grant funds for capital improvement projects at Benton Ailpark and authorizing the
City Manager, Assistant City Manager, or Deputy City Manager to execute the application
and necessary documents.
Final Map and Subdivision Agreement - Pioneer Park Subdivision
. (S-101-059 & L-01O-21O)
It is the recommendation of the Development Services Director that the City Council approve
the Final Map and authorize the Mayor to execute a Subdivision Agreement for Pioneer Park
Subdivision (S-9-03/PD-3-03), located on the north side of Pioneer Lane, by Memory Park
Development, Inc., and that the City Clerk be instructed to file the map with the Shasta
County Recorder.
Council Member Pohlmeyer advised would abstain from the vote on the Pioneer Park
Subdivision issue because of a perceived conflict of interest.
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The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Dickerson, Mathena, Stegall, and Murray
Council Members - None
Council Members - Pohlmeyer
Council Members - None
Amendment to Consultant Services Agreement - Quincy Engineering
(S-070-100 & S-050-100)
It is the recommendation of the Transportation and Engineering Director that the City
Council authorize the Mayor to execute an amendment to the Consultant Services Agreement
with Quincy Engineering for additional design and technical report preparation services for
the Hilltop Widening Over State Route 44 Project in an amount not-to-exceed $46,816.
Resolution - Accepting streets and improvements in Henry Avenue Subdivision
(S-070-230 & S-101-087)
It is the recommendation of the Transportation and Engineering Director that the
improvements for the Henry Avenue Subdivision (S-3-05), located at the end of Henry
Avenue, by Habitat for Humanity Shasta Cascade be accepted as satisfactorily completed and
that Resolution No. 2006-64 be adopted, a resolution of the City Council of the City of
Redding, accepting streets in the Henry Avenue Subdivision for maintenance and operation,
and the City Clerk be instructed to return the securities to the developer.
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Resolution - Accepting streets and improvements in Terra Vista Subdivision
(S-070-230 & S-101-046)
It is the recommendation of the Transportation and Engineering Director that the
improvements for the Terra Vista Subdivision (S-9-02), located on the east side of Churn
Creek Road at Lorna Vista Street, by Red Rock Investments, L.P. be accepted as
satisfactorily completed and that Resolution No. 2006-65 be adopted, a resolution of the City
Council of the City of Redding, accepting streets in the Terra Vista Subdivision for
maintenance and operation, and that the City Clerk be instructed to return the securities to
the developer.
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Resolution - Accepting streets and improvements in Sunset Avenues Subdivision Units 1 &
2
(S-070-230 & S-101-064)
It is the recommendation of the Transportation and Engineering Director that the
improvements for the Sunset Avenues Subdivision Units 1 & 2 (S-14-03), located on
Buenaventura Boulevard north of Eureka Way, by Sunset Avenues, LLC, be accepted as
satisfactorily completed and that Resolution No. 2006-66 be adopted, a resolution of the City
Council of the City of Redding, accepting streets in the Sunset Avenues Subdivision Units
1 & 2 for maintenance and operation, and that the City Clerk be instructed to return the
securities to the developer and retain the security for the Eureka Way improvements.
Award of Request for Proposals - Request for Proposals No. 3919 North Market Lift Station
Replacement Project; and
Consultant Services Agreement - Water Works Engineers
(B-050-100 & W-020-560)
It is the recommendation of the Transportation and Engineering Director that the City
Council award Request for Proposal No. 3919, North Market Lift Station to Water Works
Engineers to provide final design services for the Project in an amount not-to-exceed
$235,000 and directing staff to negotiate an Agreement and authorizing the Mayor to execute
same.
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Accept Report - Infiltration and Inflow issues and Remediation program
(S-060/W -020-61 O/w -010-450)
It is the recommendation of the Municipal Utilities Director that City Council accept the
Report regarding infiltration and inflow issues (storm water entering the sewer system) and
the remediation program outlined in the Report.
Resolution - Appropriating Wastewater Utility funds for bid process for Phase I of the Clear
Creek Wastewater Treatment Plant Rehabilitation and Expansion Project
(B-130-070 & W -010-450)
It is the recommendation ofthe Municipal Utility Director that Resolution No. 2006-67 be
adopt~d, a resolution ofthe City Council of the City of Redding, approving and adopting the
34th amendment to City Budget Resolution No. 2005-77 appropriating $4,300,000 for Phase
I of the Clear Creek Wastewater Treatment Plant Rehabilitation and Expansion Project for
fiscal year 2005-06 to begin the bid process
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MOTION: Made by Council Member Stegall, seconded by Council Member Dickerson,
that all the foregoing items on the Consent Calendar be approved and adopted as
recommended with the exception oftlle item approved by separate vote as indicated above.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Dickerson, Mathena, Pohlmeyer, Stegall, and Murray
Council Members - None
Council Members - None
Coum~il Members - None
Ordinance No. 2365 and Resolution Nos. 2006-62,2006-63,2006-64,2006-65,2006-66, and
2006-67 are on file in the Office of the City Clerk.
PUBLIC HEARING - Community Development Block Grant (CDBG), and the Home
Investment Partnerships (HOME) Program
RESOLUTION - Approving 2006-07 Action Plan and funding recommendations
(G-l 00-030-1 OO/G-l 00-030-051 /G-l 00-075) I
The hour of7:00 p.m. having arrived, Mayor Murray opened the public hearing regarding
the 2006-07 Action Plan and funding recommendations for the Community Development
Block Grant (CDBG) Program and the Home Investment Partnerships (HOME) Program.
The following document is on file in the Office of the City Clerk:
Affidavit of Publication - Notice of Public Hearing
City Clerk Strohmayer advised that no protests were received.
Interim City Manager Starman advised that, as an "entitlement city," Redding is required
each year, by the Department of Housing and Urban Development (HUD) , to develop and
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101
implement plans, programs, and projects that provide decent housing and economic
opportunities for low- and moderate-income individuals and families. The Community
Development Advisory Committee (CDAC) recently concluded its review process and
finalized recommendations for use of Community Development Block Grant (CDBG) and
Home Investment Partnerships (HOME) Programs funds for the 2006-07 program year and
has submitted an Action Plan (Plan) for consideration.
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Mr. Starman related that this year, the total amount available for CDBG allocations is
approximately $880,888 which includes $21,548 in unspent funds from previous CDBG
recipients for reallocation. Mr. Starman reviewed allocated funding amounts for various
activities: $128,901 is available for Public Service Activities, $306,940 for Housing
Management Services, $85,934 for Program Administration, $20,000 for Long-Range
Planning, and $339,113 for other eligible public activities.
Mr. Starman stated that the City will receive $562,599 in HOME funds of which $506,339
is allocated for various affordable housing programs and projects and $56,260 for general
administration.
Mr. Starman pointed out that included in the Action Plan is a proposed grant of $300,000
from the City's CDBG Revolving Loan Fund to partially finance the expansion of the Shasta
Community Health Center on Placer Street.
Mr. Starman stated that the CDAC and staff recommend that the City Council adopt a
resolution accepting the proposed 2006-07 Action Plan and funding recommendations
regarding the CDBG program, HOME funds contained in the Action Plan, and authorize the
City Manager to execute all necessary papers and file the Action Plan with HUD.
Mayor Murray determined that no one wished to address this matter and closed the public
hearing.
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MOTION: Made by Council Member Stegall, seconded by Council Member Dickerson,
adopting Resolution No. 2006-68 a resolution of the City Council of the City of Redding
accepting the 2006-07 Action Plan and funding recommendations relating to the Community
Development Block Grant (CDBG) Program and the Home Investment Partnerships
(HOME) Program and authorizing the City Manager to execute all necessary documents and
submit the Action Plan to the U.S. Department of Housing and Urban Development (HUD).
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members: Dickerson, Mathena, Pohlmeyer, Stegall, and Murray
Council Members: None
Council Members: None
Council Members: None
Resolution No. 2006-68 is on file in the Office of the City Clerk.
REAPPOINTMENT - Redding Planning Commission
(B-080-300)
MOTION: Made by Council Member Mathena, seconded by Council Member Dickerson,
reappointing Bert Meyer to the Planning Commission to serve an additional four-year term
expiring May 1,2010.
The Vote: Unanimous Ayes
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UPDATE ON MAJOR PROJECTS - Redding Municipal Airport Enplanement
(A-050-080 & A-090-100)
Airports Manager Dinger reported that Redding Municipal Airport (Airport) passenger
enplanements have increased 13 % since 2002 and fuel flowage for 2005 has increased 10 %
over the previous year. He pointed out that the Airport moves an average of 4.2 million
pounds of cargo each year and that the partnership with Horizon Air for service to Los
Angeles is proving to be quite successful. He related that interest in private corporate hangar
development has increased with one new hangar constructed this year and four more in
development. He added that both the Redding Municipal Airport and Benton Airpark enjoy
100 % occupancy for City owned hangars.
No action was required on this informational item.
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102
UPDATE ON MAJOR PROJECTS - Sculpture Park
(A-050-080 & P-050-435)
Community Projects Manager McGrath proviged a Powerpoint presentation depicting
various stages of the Civic Center Sculpture Park (Park) showing the construction process
. from June 2005, to preparations for the grapd opening May 13,2006. She explained the
symbolism and architectural interpretation in various areas of the Park which is comprised
of the Mediterranean Garden, the California Garden, the Plum Tree Arch, and the Sculpture
Qal~ery .
Community Services Director Niemer continued the Powerpoint Presentation depicting the
sculpture work on display in the Sculpture Garden. She pointed out works by artists Y ongjin
Han, Zak Zakovi, and Bryan Tedrick. She stated that a work by Johnson & Sons Fine Art
and a park bench (tribute to Mike Warren) by ,Colleen Barry have not arrived in the Park but
are expected by opening day. Ms. Niemer adtied t~at Turtle Bay Exploration Park is
completing a Mosiaculture sculpture "Freedom in Flight" which will also be installed at the
Sculpture Park. She added that the Sculpture Gallery will display donated art works and
rotate in new displays every 18 months.
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Ms. Nierrier invited all to attend the Sculpture Park Grand Opening on Saturday, May 13,
2006, 10:00 a.m. to 2:00 p.m.
No action was required on this informational item.
MONTHLY FINANCIAL REPORT - Electric Utility for March 2006
(B-130-070)
Electric Utility Director Feider reported that Redding Electric Utility retail power sales
revenue was 2.0%, or $1,~48,759 below projections. Operating revenue after energy costs
was $5,314,066 or 25.9% above expectations. The total cost of electricity through March
2006 was $12,750,242 or23.8 % above projections. He stated that the Utility's net operating
results through March was $4,194,830.
Mr. Feider related that Senate Bill 1554, designed to keep the California Public Utilities
Commission from imposing a surcharge on customers located in newly-annexed areas, was
heard today by the Senate Energy Committee and has made it out of Committee. He felt this
was a very positive step.
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Mr. Feider recommended that the City Council approve the Electric Utility's Monthly
Financial Report for March 2006.
MOTION: Made by Council Member Stegall, seconded by Council Member Mathena,
approving the Electric Utility's Monthly Financial Report fo.r March 2006.
The Vote: Unanimous Ayes
RESOLUTION - Authorizing execution of a Power Purchase Agreement with RLC
Industries for renewable biomass energy
(E-120-300)
Electric Utility Director Feider related that RLC Industries (the parent company of Roseburg
Forest Products located in Weed, California) produces veneer for plywood and is considering
installation of a steam generator for its power to be fueled by utilizing the waste products
from its wood operation. The steam generator is anticipated to produce 8 to 10 megawatts,
run 85 % of the time, and could service approximately 5,000 homes in the City. He said it
also qualifies as a renewable resource using biomass fuels. Mr. Feider explained that I
Redding Electric Utility (RED) has negotiated a Power Purchase Agreement with Roseburg
for a term of 15 years commencing July 2007, with a price that will equate to about 6-112
cents per kilowatt hour for the first five years, and then drop to 6 cents per kilowatt hour for
the next ten years paid on a delivery basis. He pointed out that this would provide REU with
a renewable energy source to add to its portfolio pursuant to SB 1078 requiring California
investor-owned utilities to supply 20% of customer need from renewable resources by the
year 2017.
Mr. Feider recommended adoption of a resolution authorizing the Electric Utility Director
to execute a long-term Power Purchase Agreement with RLC industries for procurement of
biomass-generated renewable energy.
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103
MOTION: Made by Council Member Dickerson, seconded by Council Member Pohlmeyer,
adopting Resolution No. 2006-69, a resolution of the City Council of the City of Redding,
authorizing the Electric Utility Director to execute a long-term Power Purchase Agreement
with RLC Industries for procurement of biomass-generated renewable energy.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Dickerson, Mathena, Pohlmeyer, Stegall, and Murray
Council Members - None
Council Members - None
Council Members - None
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Resolution No. 2006-69 is on file in the Office of the City Clerk
RESOLUTION - Authorizing Amendment to the Power Sale Agreement with AEP
Corporation
(E-120-150-600)
Electric Utility Director Feider related that in 2002, AEP Corporation (AEP) accepted
assignment of the Enron-Redding Electric Utility 25 Megawatt Agreement (Agreement)
which provided for a term of November 1, 2004, to October 31, 2014, at a price of $40.25
per megawatt hour. He pointed out that this contract comprised 17% of Redding Electric's
(REU) portfolio.
Mr. Feider stated that AEP has since decided to withdraw from the power market on the
West Coast and requested that REU allow early termination of the Agreement, effective
December 31 , 2010 (almost four years earlier than anticipated). After lengthy negotiations,
he advised that AEP will pay the City a one-time amount of $6.4 million (net present value)
in compensation for the early termination. He added that REU will begin looking for
replacement power. for the years beyond 2010.
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Mr. Feider recommended adoption of a resolution authorizing the Amendment to the Power
Sale Agreement with AEP Corporation, modifying the contract termination date from
October 21,2014 to December 31,2010, and accepting the one-time payment of $6.4 million
for early termination.
MOTION: Made by Council Member Mathena, seconded by Council Member Pohlmeyer,
adopting Resolution No. 2006-70, a resolution of the City Council of the City of Redding,
authorizing the Electric Utility Director to execute an amendment to the current AEP Power
Sale Agreement shortening the termination date from October 31,2014, to December 31,
2010, in exchange for the one-time payment of $6.4 million.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Dickerson, Mathena, Pohlmeyer, Stegall; and Murray
Council Members - None
Council Members - None
Council Members - None
Resolution No. 2006-70 is on file in the Office of the City Clerk
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RESOLUTION - Proclaiming May 4 & 5, 2006, as "California Peace Officers' Memorial
Days," May 11,2006, as "Shasta County Peace Officers' Memorial Day," and May 14 - 20,
2006, as "National Peace Officers' Week"
(A-050-060-600/P-150-150/P-0 1 0-050)
Police Chief Moty stated that the City joins the nation each year to honor law enforcement
officers who have died in the line of duty. He related that in 2005, 155 officers were slain
nationwide, 18 in California. He said that the Shasta County Peace Officers' Memorial
Committee will hold a ceremony in front of the Shasta County Court House on Thursday,
May 11,2006, at noon.
Chief Moty recommended that a resolution be adopted proclaiming May 4 & 5, 2006, as
"California Peace Officers' Memorial Days," May 11, 2006, as "Shasta County Peace
Officers' Memorial Day," and May 14 - 20, 2006, as "National Peace Officers' Week."
Council Member Dickerson related that during his tenure as a police officer for the City of
Riverside, three officers were killed in the line of duty within one year, and he hoped that the
community will support and acknowledge the memorial service.
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104
MOTION: Made by Council Member Dickerson, seconded by Council Member Stegall,
adopting Resolution No. 2006-71, a resolution ofthe City Council of the City of Redding,
proclaiming May 4 & 5, 2006, as "Californi.a Peace Officers' Memorial Days," May 11,
2006, as "Shasta County Peace Officers' Memorial Day," and May 14 - 20, 2006, as
"National Peace Officers' Week" in the City of Redding.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Dickerson, Mathena, Pohlmeyer, Stegall, and Murray
Council Members - None
Council Members - None
Council Members - None
Resolution No. 2006-71 is on file in t4e Offi~e of the City Clerk
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MONTHLY FINANCIAL REPORT - General Fund
(B-130-070)
Deputy City Manager Bachman reported that total revenue for the General Fund at the end
of March is $43.7 million or $1,135,373 (2.6%) above staffs cash flow projection. He
related that expenditures at month end, excluding encumbrances, total $53,045,069 or
$2,745,820 (5.0%) below staffs original projection. Encumbrances total $1,517,303. He
pointed out that overall the figures are within or slightly below the projected budget amounts.
Mr. Bachman recommended that the City Council accept the General Fund's Monthly
Financial Report for March 2006.
MOTION: Made by Council Member Pohlmeyer, seconded by Council Member Dickerson,
accepting the General Fund Monthly Financial Report for March 2006.
The Vote: Unanimous Ayes
RESOLUTION - Approving issuance of Tax and Revenue Anticipation Notes
(D-050-430-014 & B-130-070)
Deputy City Manager Bachman provided highlights of the Report to City Council dated April
14, 2006, stating that staff began preliminary arrangements to participate in the California
Statewide COIIlI~1Unities Development' Authority's (CSCDA) pooled Tax and Revenue
Anticipation Notes (Trans) program. He explained that the City receives its General Fund
property tax revenue in two installments with the first installment received in January,
halfway through the fiscal year which begins on July 1st. He stated that a similar situation
occurs with receipt of 25 % of the City's sales tax revenue. Mr. Bachman pointed out,
however, that expenditures paid from this fund are due on a monthly basis and create a cash
flow problems. Utilizing Trans will alleviate the situation.
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Mr. Bachman related that cities have been utilizing CSCDA pooled Trans program funds for
twenty years. There are 40 participants with an approximate issue amount of $800 million.
If the City participates in the note issue, $4 million in notes will be sold at an interest rate of
3.5 %. Although the maximum borrowing amount would be $5 million with a maximum
interest rate of 12 %, the 12 % intt(rest rate provides flexibility for the underwriter
Mr. Bachman recommendeci that a resolution be adopted authorizing participation in CSCDA
and issuance and sale of a 2006-07 Tax and Revenue Anticipation Note through the
California Communities Cash Flow Financing Program in an amount not-to-exceed $5
million with a minimum interest rate of 3.5 % and a maximum interest rate of 12 %,
approving the Purchase Agreement, and authorizing the Mayor, City Manager, or Deputy
City Manager to sign necessary documents for same.
MOTION: Made by Council Member Mathena, seconded by Council Member Dickerson,
adopting Resolution No. 2006-72, a resolution of the City Council of the City of Redding
authorizing and approving borrowing funds for fiscal year 2006-07, issuance and sale of a
2006-07 Tax and Revenue Anticipation Note, participation in the California Communities
Cash Flow Financing Program, approving the Purchase Agreement, and authorizing the
Mayor, City Manager, or Deputy City Manager to execute necessary documents.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
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Council Members - Dickerson, Mathena, Pohlmeyer, Stegall, and Murray
Council Members - None
Council Members - None
Council Members - None
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105
Resolution No. 2006-72 is on file in the Office of the City Clerk
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GRANT FUNDS - U.S. Department of Housing and Urban Development for the Stillwater
. Business Park
(G-100-070 & E-050-500)
Deputy City Manager Bachman related that Senator Feinstein and Congressman Herger have
been instrumental in several federal grants for the Stillwater Business Park. Most recently,
they have procured a Transportation, Treasury, Housing and Urban Development, the
Judiciary, the District of Columbia, and Independent Agencies Act, 2006 grant in the amount
of $247,500 through the Housing and Urban Development (RUD) Economic Development
Initiative (EDI) funds for the Stillwater Business Park Project. He pointed out that, to date,
the Stillwater Project has received approximately $3.5 million in federal funds.
Mr. Bachman recommended that the City Council accept the HUD grant in the amount of
$247,500 for the Stillwater Business Park project.
MOTION: Made by Council Member Pohlmeyer, seconded by Council Member Stegall,
accepting the Department of Housing and Urban Development (HUD) grant in the amount
of $247,500 for development of the Stillwater Business Park and authorizing the City
Manager to execute necessary documents.
The Vote: Unanimous Ayes
COUNCIL ATTENDANCE AT CONFERENCES/MEETINGS
(A-050-060)
Council Member Stegall reported that she attended the Northern California Power Industries
lobbying week in Washington D.C. from April23rd to April 27,2006.
Mayor Murray reported attendance at Sacramento Host Committee events in Sacramento on
April 24, and 25, 2006, with the Governor and the Leadership of the State Chamber of
Commerce.
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ADJOURNMENT
There being no further business, at the hour of 8:22 p.m., Mayor Murray declared the
meeting adjourned.
APPROVED
ATTEST:
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City Clerk t i?1
5/2/2006