Loading...
HomeMy WebLinkAboutMinutes - City Council - unsigned - 1992-04-25 - Adjourned Regular Meeting1 04/25/92 City Council, Adjourned Regular Meeting Shasta House 8750 Wonderland Boulevard Redding, California April 25, 1992 8:30 a.m. The meeting was called to order by Mayor Moss with the following Council Members present: Anderson, Arness, Dahl, Kehoe and Moss. City staff present were City Manager Christofferson, Assistant City Manager McMurry, City Attorney Hays, Director of Planning and Community Development Perry, Director of Public Works Galusha, Electric Utility Director Lindley, Director of Finance Downing, Personnel Director Bristow, Director of Information Systems Kelley, Police Services Manager Primrose, Director of Utilities/Customer Service Vokal, Electric Utility Rates & Economics Analyst Graves, Budget Services Officer Starman, Public Information Officer Bachman, and City Clerk Strohmayer. Also present were Mike Martin of the Record Searchlight, Nick Bair of KQMS, and Dave McGeorge, Chairman of Air Show '92. EXCHANGE CLUB OF REDDING - Request for City Services During Air Show '92 (B-130-030) Council Member Anderson stated he has serious concerns about charging volunteer groups for services which generate additional revenue for the City. Mayor Moss opined that the monies required to pay for police overtime is insignificant compared to the amount of additional revenues these events will generate for the City. Council Member Dahl stated that the issue is not whether these activities will be held or not, the issue is funding. Currently, the General Fund has a $450,000.00 deficit, and in order to provide these services, an additional supplemental appropriation would be required. MOTION: Made by Council Member Arness, seconded by Council Anderson, to approve a supplemental appropriation to pay for Police, traffic control, and other required City services for Air Show '92, Rodeo Week '92, and the 1992 July 4th Fireworks Display, and direct staff to prepare the necessary resolution for consideration at the Council meeting on May 5, 1992. Voting was as follows: Ayes: Council Members - Anderson, Arness, Kehoe and Moss Noes: Council Members - Dahl Absent: Council Members - None Council Member Dahl stated the reasoning behind his vote is that the budget is not yet balanced. BUDGET ADJUSTMENTS FOR FISCAL YEAR 1991-92 (B-130-070 & A-170 & R-100-375 & E-090-150 & P-100-320 & C-050-100-040) City Manager Christofferson reviewed his memorandum to City Council dated April 22, 1992, incorporated herein by reference. The following action was taken: (1) Assessment District Transfer of Administrative Cost MOTION: Made by Council Member Anderson, seconded by Council Member Kehoe, to transfer accumulated assessment district penalty funds, totaling approximately $300,000.00, to the General Fund. The Vote: Unanimous Ayes (2) Insurance Pool Rebate MOTION: Made by Council Member Arness, seconded by Council Member Anderson, to reimburse both the Enterprise and General Funds, in the approximate amount of $165,000.00, of which approximately $99,000.00 will be realized by the General Fund, and strive to approach a 60 percent actuarial level over the next three to five years. The Vote: Unanimous Ayes 2 04/25/92 (3) Banking Service Savings MOTION: Made by Council Member Anderson, seconded by Council Member Arness, to approve charging all departments a proportionate share of banking services costs, thereby, saving the General Fund approximately $46,000.00 annually. The Vote: Unanimous Ayes (4) Streetlight Rate Issue MOTION: Made by Council Member Anderson, seconded by Council Member Arness, approving a retroactive effective date of July 1, 1991, for the revised streetlight rates, for City-owned streetlights only, with the stipulation that it not be offset by an electric rate increase. The Vote: Unanimous Ayes (5) Sweep of Departments and Updated Revenue Estimates It was noted that a nominal amount of additional savings can be realized by making further reductions in departmental operations that now appear feasible in view of the fact that only about 60 days remain in the current year. Although the exact magnitude of these savings are still somewhat uncertain, it is estimated to be at least $25,000.00. City Manager Christofferson will prepare the necessary resolution for Council's consideration at its May 5, 1992 meeting. (6) Air Show '92 Item dealt with previously, therefore, no additional action was required. (7&8) Continuation of Selective and Full Hiring Freeze No formal action was taken; Council, however, directed staff to utilize a selective hiring freeze with a diligent attempt to reduce labor costs. Mayor Moss also requested Council Member Kehoe to coordinate with the Personnel Department regarding his suggestions on labor force issues. (9) Reductions in Existing Personnel and Discussion on Corporation Yard In lieu of layoffs, etc. Council Member Dahl suggested reimbursing the $400,000.00 in rental funds which are reserved for the Corporation Yard, back to the General Fund. Council Member Anderson stated that he is not in favor of proceeding with the Corporation Yard project until he is certain that sufficient funds are available to service the necessary debt without increasing taxes. He stated he would like to cease work on the Corporation Yard drawings at the present time and retain the designated monies in the Capital Project Fund. Council Member Dahl related that no matter what type of financing plan the City utilizes, revenue is not currently available to service the debt. It is his intent, during budget study sessions, to discontinue assessing rents to City departments until the City is financially stronger. He concurs with halting early development of the Corporation Yard; however, rather than dedicating the rent funds, he would prefer reimbursing the monies to the appropriate accounts, thereby, increasing the reserve for next fiscal year. Council Member Arness stated that in the absence of a good illustration of the associated costs, he is not in favor of developing a financing plan for the Corporation Yard. He indicated that when a financing plan is developed for the Corporation Yard, he would also like to consider the City Hall, Police Administration building, gun range, etc. He explained that even if the City proceeds with the drawings for the Corporation Yard, they are not the type of plans which would become dated. MOTION: Made by Council Member Arness, seconded by Council Member Dahl, to not proceed with the construction drawings for the Corporation Yard and retain the rent money in the Capital Project Fund. The Vote: Unanimous Ayes 1992-93 BUDGET CRITERIA (B-130-070) Finance Director Downing reviewed the assumptions used to develop the 1992-93 Annual Budget, as indicated in the memorandum to City Council dated April 23, 1992, incorporated herein by reference. Council Member Anderson stated that he would be willing to factor in some inflation with regard to transient occupancy tax and a two percent factor for 3 04/25/92 property taxes; however, he would prefer a no growth approach to other revenue projections. Council Member Dahl stated he does not agree with the assumption that the City will realize a full recovery in the next fiscal year, as there are some serious fundamental problems in the State of California. The City cannot anticipate what types of additional charges State legislature will place upon cities. He recommended that projections for the 1992-93 budget should reflect no growth. Mayor Moss concurred that revenue projections for the upcoming fiscal year should reflect no growth. In addition, assumptions should anticipate that the State will place additional charges upon cities. Council Member Kehoe requested to see the dollar figures associated with assumptions which can be quantified. No formal action was taken, however, it was the consensus of Council to direct staff to use conservative revenue projections, with a flat growth projection, without factoring in any new revenues. BUDGET FORMAT (B-130-070) Finance Director Downing reviewed possible budget format issues for fiscal year 1992-93. Mayor Moss appointed a Subcommittee of Council Members Arness and Anderson to work with the Finance Director in developing a draft budget format to incorporate into the 1992-93 budget. MEDICAL DISPATCH (C-175-825-100 & F-205-600) Chief of Police Blankenship recalled that in 1979, the City entered into an agreement with Northern California Emergency Medical Services, Inc. (NCEMS) to provide medical dispatch services for the Shasta County area. In this contract, the City absorbed the salaries, training, hiring, supervision, liability, as well as, numerous other functions in return for $16,000.00 per year. Over the 12 year period, the City received from NCEMS total compensation in the amount of $27,000.00, while the cost to provide medical dispatch services exceeds $250,000.00 per year. In 1990-92 the Police Department handled 11,963 medical phone calls resulting in 21,281 medical dispatches in the county. Of these dispatches, 11,108 were for ambulance service. The medical dispatch costs for 1990-91 were $277,656, or $13.05 cost per medical dispatch. In 1991, the City terminated the 1979 medical dispatch contract. In an attempt to negotiate a more equitable contract to cover the cost of services, the Police and Finance Departments have met several times with the three ambulance provides and NCEMS representatives. Ambulance providers offered an interim contract of $30,000.00, or $2.70 per medical dispatch. Council needs to consider the consequences of subsidizing Medical Dispatch at the level of the past 13 years. With the fiscal challenges facing the departments funded by the General Fund, it is now necessary to address the "level of service" the City can realistically provide. It is the recommendation of the Police and Finance Departments that both a Full Service Dispatch Fee and a "Drop Line" Fee be established. With these fees established, the ambulance providers can then choose the level of service they desire from the City. MOTION: Made by Council Member Anderson, seconded by Council Member Dahl, to implement a Medical Dispatch fee, and direct staff to prepare fee schedule options for Council's consideration. The Vote: Unanimous Ayes REDDING RODEO ASSOCIATION - Request to Replace Existing Structure (C-070-100 & A-050-250-030) As outlined in a Report to City Council dated April 23, 1992, incorporated herein by reference, City Manager Christofferson related that he received a call from Pete Peters relating to a building which the Redding Rodeo 4 04/25/92 Association is replacing at the Posse Grounds. In effect, it is simply a replacement of an aging and flimsy structure with a more permanent block structure; and unfortunately, the construction was well under way before it was discovered that there were a few issues which had not been addressed. The one which concerns the City Council directly is the section of the lease with the Redding Rodeo Association requiring City approval before any proposed improvements may be constructed. In addition, there is a matter involving a building permit, plan check, inspections, and other related issues. The problem is further compounded by the fact that the Association is attempting to complete the new structure before the rodeo in mid-May. In view of the fact that the necessary arrangements are underway with regard to compliance with building regulations, it would seem prudent for the Council to approve the construction of the building in question. MOTION: Made by Council Member Dahl, seconded by Council Member Arness, to approve the construction of a permanent block structure at the Redding Posse Grounds. The Vote: Unanimous Ayes MAJOR CAPITAL PROJECTS Due to previous action taken with regard to the Corporation Yard, no further action was necessary. HAVEN HUMANE SOCIETY CONTRACT (A-130) In a letter dated April 23, 1992, incorporated herein by reference, City Manager Christofferson explained that the Haven Humane Society is requesting Council's consideration of its proposed fiscal year 1992-93 budget for animal care and regulation services, in the amount of $202,958.00, less projected board and impound fees of $9,980.00, for a net cost of $192,978.00. This budget does not include wages and benefits for the two animal regulation officers employed by the City of Redding. MOTION: Made by Council Member Dahl, seconded by Council Member Anderson, to defer action on Haven Humane Society's budget request until the 1992-93 budget year. The Vote: Unanimous Ayes COUNTY SALES TAX PROPOSAL (T-010-700) MOTION: Made by Council Member Anderson, seconded by Council Member Dahl, to not take a position on Shasta County's Sales Tax Proposal. The Vote: Unanimous Ayes ELECTRIC UTILITY RATES (E-090-100 & E-090-020 & A-150-237) Electric Utility Director Lindley advised Council that the City has been notified by the Western Area Power Authority that it will be modifying the City's capacity charge effective April 1, 1992. The net result of this modification, between April 1, 1992 and June 30, 1993, is approximately a $2,000,000.00 positive impact to the City's cost to purchase power. This will more than offset the impact of the additional cost which was not reflected in the Electric Department projections. As to the action taken regarding streetlight rates, he indicated that he will reduce his proposal by that same amount, approximately $225,000.00, so that it will not have an effect on the electrical rate increase process. In addition, the one time PERS rebate can be utilized to cover this cost this year. The overall impact is that the City will be considering an electrical increase of approximately 8 percent, instead of the projected increase this November of 9.7 percent. In response to Council Member Arness' inquiry as to the status of the electrical reserve, Mr. Lindley related that at this particular point in time, the reserve is lower than what it should be. During times of increasing power costs, he related that, particularly with the rate mechanism, one is always looking at circumstances to be in a position of not having to request an increase of more than 6 percent the following year. The 8 percent increase this fall suggests that, based on the information known today, there will be sufficient revenue to be in the position the following year to not require more than a 6 percent increase. Because of the Western Power rate savings, the ratepayer will realize a 3.5 percent positive spread on his bill. 5 04/25/92 In response to Council Member Arness, Mr. Lindley related that acquisition costs for PG&E facilities typically amount to approximately $400,000.00 annually, depending upon the amount of annexation activity. He explained that the acquisition costs for facilities were previously borne out of revenue, however, these are now paid for by the 1989 Electric System Project. In response to Council Member Dahl, Mr. Lindley stated that while there are no acquisition costs associated with annexations involving bare land, capital improvements are required as the land is improved. As indicated in his memorandum to City Council dated April 24, 1992, incorporated here in by reference, Mayor Moss related that the Local Agency Formation Commission (LAFCO), on April 23, 1992, approved the Tierra Oaks Annexation. He stated, however, that LAFCO formally requested the City of Redding to provide, within the next 30 days, a policy regarding the City's costs to provide services to newly annexed areas in light of the new property tax exchange agreement. He suggested that Council conduct a special meeting, in which to discuss this issue in depth, after further research has been conducted on the Mello Roos device. This was an information item and no action was required. COST OF COMMISSIONS AND COUNCIL LIAISONS (B-080- ) City Manager Christofferson related that the Cost of Commission Report was prepared at the request of Council, who subsequently requested that it be discussed at a later date. Council Member Dahl stated that the Traffic and Parking Commission is comprised of high caliber individuals; however, he suggested that it be consolidated into the Planning Commission, as traffic and planning are interrelated. He related that the Traffic and Parking Commissioners should be asked if they are interested in serving on another commission when a vacancy occurs. In addition, he suggested that the City sever the River and Waterways Commission, thereby, allowing the individuals to form their own association. He opined that the River and Waterways Commission represents duplication, which exceeds costs, such as additional staff time, red tape, etc., and that the necessary work could be performed by an advocacy group. Council Member Arness indicated that he tried unsuccessfully for years, as the Public Works Director, to eliminate the Traffic and Parking Commission. He stated that the current system is more responsive to addressing immediate problems, and concurred with the movement of the Traffic and Parking Commission functions to the Planning Commission. Council Member Anderson commented that he has heard complaints from Traffic and Parking Commissioners regarding the Commission's lack of issues. In addition, he questioned the feasibility of consolidating the River and Waterways Commission with the Planning Commission. He commented, that while he is not in favor of having the River and Waterways Commission under the City's umbrella, it would be logical to have it serve as an advisory ad-hoc committee to the Recreation and Parks Commission and the Planning Commission. Council Member Kehoe stated that the issue surrounding commissions/committees is their ability to promote the efficiency and effectiveness of government. He explained that when the Traffic and Parking Commission met jointly with the City Council, the Commission requested that it be assigned some projects of substance or abolish it. He opined that there are some important jobs which the Commission could perform; however, if staff is unwilling to support the concept, he endorses its abolishment. The Community Needs Assessment Survey revealed that one of the major problems facing the City today is traffic congestion, which is a clear indication that the City is not doing its job in this area. He questioned whether the Planning Commission would have the necessary time in which to properly scrutinize developments coming into the City as to its circulation element. With regard to the River and Waterways Commission, Council Member Kehoe offered Shasta 2000 as a successful, fairly objective, ad-hoc group which meets on a quarterly or semi-annual basis, establishes a report and then publishes it. 6 04/25/92 Planning and Community Development Director Perry explained that the Traffic and Parking Commission is currently staffed by the Public Works Department. He stated that several years ago, staff was given authority to make administrative decisions regarding certain functions, thereby, reducing the Commission's scope of duties. He indicated that the Planning Commission has the ability to absorb additional duties if some of the routine issues could be dealt with at staff level. He opined that, from an administrative standpoint, the consolidation would streamline procedures. Mayor Moss indicated that commissions, which are not mandatory in nature, are costing the City approximately $190,000.00 annually. Out of that, the Electric Utility Commission costs $66,200.00. Like the Planning Commission, he opined that the Electric Utility Commission provides insight and opportunity to the planning process which Council has neither the expertise nor time to perform. Mayor Moss related a need for a committee such as the River and Waterways Commission to review issues surrounding the river and waterways. He opined that the cost figure associated with such a committee/commission could be reduced to $10,000.00. He explained that the Commission is willing to provide assistance without staff involvement. He expressed a need to retain a linkage between the river and waterways and the City's Planning Commission. He conveyed that in his thirteen years on the Planning Commission, rivers and waterways were not considered a major issue, which was a weakness of the Commission. There are certain concepts, such as setback requirements on streams, etc., which require the input of a group such as the River and Waterways Commission. He stated that Salt Creek and Middle Creek have basically disappeared as viable steelhead spawning streams. Because of a culvert placed on Salt Creek, the migration of salmon stops approximately 150 yards from the river. In speaking with Public Works Director Galusha, he indicated that staff was not aware of the culvert's existence. The River and Waterways Commission, on its own, is now attempting to go through the proper procedures to have the culvert removed. He commented that if the Commission is abolished, it is likely that the City would revert to a position of considering environmental issues only from environmental advocates. He recommended referring occasional items affecting a development to the Commission for recommendation, with the rest of its time devoted to working on other fishery and river and waterways issues. He does not want to see the elimination of the Commission viewed as the City no longer having responsibilities for the Sacramento River and tributaries thereof. He commented that the entire Central Valley Project is now being managed to preserve one species of the Chinook salmon because entities ignored their responsibilities based on recommendations from engineers. In response to Mayor Moss, Mr. Perry opined that the River and Waterways Commission is interested in Regional fishery and water supply issues. He related that some items on the agenda are not related to the Commission's duties. In addition, when the Commission was formed, he was told he would be given two staff people to service it. When the Commission met twice a month, it effectively took one planner and one secretary out of the office. MOTION: Made by Council Member Dahl, seconded by Council Member Anderson, to abolish the Traffic and Parking Commission and the River and Waterways Commission, with those duties being absorbed by the Planning Commission and the Recreation and Parks Commission, and direct staff to prepare the amending ordinance for Council's consideration at the May 5, 1992 Council meeting. The Vote: Unanimous Ayes In response to Mayor Moss, Mr. Perry stated that staff is not clear as to Council's intent regarding the Design Review Board. No appointments have been made to date. MOTION: Made by Council Member Anderson, seconded by Council Member Arness, abolishing the Civic Arts Commission, Civic Auditorium Promotion Committee, Design Review Board, and the Design Review Panel, and direct staff to prepare the amending ordinance for Council's consideration at the May 5, 1992 Council meeting. The Vote: Unanimous Ayes Mayor Moss stated that he strongly advocates retaining the Tourism and Convention Commission and the Airports Commission. Council Members Arness and 7 04/25/92 Dahl concurred. Council Member Dahl specified, however, that the commissions need to provide a function and not represent a duplication of efforts with other associations. Council Member Kehoe related that he is inclined to abolish the Tourism and Convention Commission, primarily because of duplication of effort. As a compromise, he suggested to extend the Commission for a finite period of time in order to allow evaluation of the Commission's role. Mayor Moss indicated that the Chamber of Commerce is on record that it does not want any responsibility for tourism promotion. MOTION: Made by Council Member Arness, seconded by Council Member Dahl, to retain the Tourism and Convention Commission and the Airports Commission, and review how they fit into the City's organization in one year. The Vote: Unanimous Ayes 8 04/25/92 Liaison Committees Mayor Moss indicated that he will make the necessary changes to the Council Liaison list and present his recommendations to Council at a later date. No formal action was taken on this item. REDDING SOFTBALL AND SPORTS COMPLEX - Development by Private Sector (P-050-600-200) Assistant City Manager McMurry reported that the City was approached by investors from Santa Clara County to develop the Sports Complex on the Churn Creek bottom site. He explained their proposal includes leasing land from the City, and the private investors would construct, finance, and operate the Sports Complex. He said the issue before Council is whether Council is interested in private sector construction, and operation, and whether Council desires an Request for Proposal (RFP) process, rather than negotiating with this group. Council deferred action concerning the Softball and Sports Complex pending the outcome of pending litigation. SHASTA COUNTY'S NON-SMOKING ORDINANCE (E-020-010) City Manager Christofferson explained that Shasta County's proposed no-smoking ordinance includes the City and expands the prohibition of smoking to all public places. He felt there was no need for Council action. No action was taken on this item. GENERAL COMMENTS Council Member Anderson requested more financial information be included in the Treasurer's Report, a brief summary page of our budget revenue and expenditures compared to actual revenue and expenditures to date. In addition, a five year budget projection indicating availability of funds in the next five years and the trend over the last ten years. During budget deliberations, Council Member Anderson also requested that the following information be made available: 1) Cost of personnel per capita; and 2) Cost per employee. City Manager Christofferson related that these items had been prepared and he would provide Council with the necessary copies. Council Member Kehoe opined that it is ludicrous for the City to get involved with the litigation being brought by Kip Lee regarding the removal of a barrier. City Attorney Hays opined that the court will more than likely dismiss the suit. Council Member Dahl suggested that an open invitation be extended to the unions to assist the City in coping with the City's presents fiscal plight and consider renegotiating cost-of-living adjustments (COLA's) and step increases. ADJOURNMENT There being no further business, at the hour of 2:20 p.m., Mayor Moss declared the meeting adjourned. APPROVED: ________________________________ Mayor ATTEST: ________________________________ City Clerk 9 04/25/92