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HomeMy WebLinkAboutMinutes - City Council - unsigned - 1992-09-011 09/01/92 City Council, Regular Meeting City Council Chambers Redding, California September 1, 1992 7:00 p.m. The Pledge of Allegiance to the Flag was led by City Attorney Hays. The Invocation was offered by Pastor John Retzer, Mountain Gate Community Church. The meeting was called to order by Mayor Moss with the following Council Members present: Arness, Dahl, Kehoe and Moss. Council Member Anderson was absent. Also present were City Manager Christofferson, Assistant City Manager McMurry, City Attorney Hays, Director of Public Works Galusha, Director of Electric Utility Lindley, Director of Planning and Community Development Perry, Electric Utility Operations Manager Ryan, Fire Chief Bailey, Police Captain McKinnie, Director of Community Services Gorman, Public Works Operations Manager Russell, Director of Parks and Recreation Riley, Director of Information Systems Kelley, Director of Personnel Bristow, Senior Planner King, Assistant Finance Director Sundin, Director of Utilities/Customer Service Vokal, Associate Planner Morgon, Transportation Coordinator Duryee, Services Officer Starman, Public Information Officer Bachman, Assistant City Clerk Moscatello, City Clerk Strohmayer, and Secretary to the City Council Rudolph. PRESENTATION BY TOURISM AND CONVENTION COMMISSION - re Commission's Action Plan for Fiscal Year 1992-93 (B-080-540) Duane Lyons, Vice Chair of the Tourism and Convention Commission, submitted the Tourism and Convention Commission's Action Plan for Fiscal Year 1992-93 which fully describes the purpose of the Commission, and outlines specific directions to be taken by the Commission in the areas of tourism and convention marketing, facility development and administration, and tourism awareness programs. Mr. Lyons noted that Steve Gaines, Chair of the Tourism and Convention Commission, was the recipient of the Virgil Covington Award at the Redding Chamber of Commerce's Annual Industrial Barbecue, which focused on the theme of tourism and recreation. In addition, John Gorman accepted a special award, on behalf of the Redding Tourism and Convention Bureau for its service to the tourism industry. Council Member Kehoe applauded the Commission's efforts in putting together such a comprehensive statement. In response to Council Member Kehoe, Mr. Lyons indicated that the Commission's proposed activities would be completed within the current budget. Mayor Moss noted that the City's Transient Occupancy Tax finances the activities of the Tourism and Convention Bureau. MOTION: Made by Council Member Kehoe, seconded by Council Member Dahl, to accept the Tourism and Convention Commission's Action Plan for Fiscal Year 1992-93 as presented. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson PEDESTRIAN PROTECTION PROGRAM AWARD - Presented by Frank Stevenson, AAA- California State Automobile Association (P-150-150) Frank Stevenson, of the American Automobile Association (AAA)-California State Automobile Association, related that the Pedestrian Protection Program has focused on pedestrian traffic safety since 1937. He expressed pleasure in presenting the City with a special citation for its outstanding pedestrian program activities and its promotion of safety and protection of life. He indicated that the City of Redding's 1991 record of fatalities, injuries, how 2 09/01/92 they occurred, enforcement, engineering and education programs were compared to 2,300 cities of similar size across the nation. Police Captain Jess McKinnie accepted the award on behalf of the City. RESOLUTION - Commending Officer Donald Ostendorf for Contributions to the City and to the Citizens and Youth of Redding (A-050-060 & A-050-270) MOTION: Made by Council Member Arness, seconded by Council Member Dahl, that Resolution No. 92-371 be adopted, a resolution of the City Council of the City of Redding commending Officer Donald Ostendorf for twenty years of outstanding service as a Redding Police Officer and for his many contributions to the community. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe, and Moss Noes: Council Members - None Absent: Council Members - Anderson Resolution No. 92-371 is on file in the office of the City Clerk. City Manager Christofferson advised that the resolution would be formally presented to Officer Ostendorf at his retirement dinner. CONSENT CALENDAR The following matters were considered inclusively under the Consent Calendar: Approval of Payroll and Accounts Payable Register (A-050-100-500) It is recommended that Accounts Payable Register No. 4, check numbers 184707 through 185215 inclusive, in the amount of $3,882,302.60, be approved and paid, and Payroll Register No. 4, check numbers 342843 through 343622 inclusive, in the amount of $901,638.60, and Automatic Payroll Deposits in the amount of $230,466.15, for a total of $1,132,104.75, for the period of August 2, 1992 through August 15, 1992, be approved. TOTAL: $5,014,407.35 Resolution - re Appropriation Limit for Fiscal Year Ending June 30, 1993 (B-130-070) It is the recommendation of the Finance Director that Resolution No. 92-372 be adopted, a resolution of the City Council of the City of Redding establishing the appropriation limit for fiscal year 1992-93 for the City of Redding at $68,257,099.00. Tentative Subdivision Map S-3-91 - Argyle West Estates, by John Saca (South of Hartnell Avenue and east of future Goodwater Avenue) (S-100) Council accepted the report containing the map and conditions of approval for Tentative Subdivision Map S-3-91 approved by the Planning Commission granting permission to subdivide 29.5 acres into 56 single-family residential lots and 5 duplex residential lots for a total of 66 units on property located south of Hartnell Avenue and east of future Goodwater Avenue. Tentative Subdivision Map S-6-92 - Victor Estates, by Kaufman and Broad (East of unopened portion of Victor Avenue and west of current terminus of El Vista Street) (S-100) Council accepted the report containing the map and conditions of approval for Tentative Subdivision Map S-6-92 approved by the Planning Commission granting permission to create 163 single-family residential lots on 54.4 acres located east of the unopened portion of Victor Avenue and west of the current terminus of El Vista Street. Set Public Hearing - re General Plan Amendment GPA-4-92 and Rezoning Application RZ-12-92, by Jeff Mora and the City of Redding (Adjacent to Twin Tower Drive and south of Winter Way) (G-030-010 & L-010-230) It is the recommendation of the Planning and Community Development Director that a public hearing be set for 7:00 p.m., September 15, 1992, to consider GPA-4-92 and RZ-12-92, a request to reclassify property from "Residential, 0.2, 1.0 and 3.5 units per acre" to "Residential, 2.0 and 3.0 units per acre" 3 09/01/92 and "Greenway and prezoning the properties to "R1-B20" and "R1-BFM" Single Family Residential Districts. Resolution - Ordering Boundary Change re Annexation 90-17, Stillwater Treatment Plant, Conducting Authority Proceedings and Certify EIR-1-84 (A-150-239) It is the recommendation of the Planning and Community Development Director that Environmental Impact Report EIR-1-84 be certified as adequate in addressing the environmental impacts of the annexation and that Resolution No. 92-373 be adopted, a resolution of the City Council of the City of Redding ordering territory designated as "Annexation 90-17, Stillwater Treatment Plant" annexed to the City of Redding. Set Public Hearing - re 1991/92 Community Development Block Grant Grantee Performance Report (G-100-030-020 & G-100-030-036) It is the recommendation of the Planning and Community Development Director that a public hearing be set for 7:00 p.m., September 15, 1992, to provide for comment on the performance of the Community Development Block Grant Program. Set Public Hearing - re Draft Amended Housing Element GPA-17-91 (G-030-070) It is the recommendation of the Planning and Community Development Director that a public hearing be set for 7:00 p.m., September 15, 1992, to consider the draft Amended Housing Element, GPA-17-91. Set Public Hearing - re Land Use Element Update (G-030-070) It is the recommendation of the Planning and Community Development Director that a public hearing be set for 7:00 p.m., October 6, 1992, to consider the City's Land Use Element update. 4 09/01/92 Resolution - re Advance to PG&E for Redding Power Natural Gas Delivery System Engineering (E-120-300-700) It is the recommendation of the Electric Utility Director that Resolution No. 92-374 be adopted, a resolution of the City Council of the City of Redding authorizing (1) the City Manager to execute and forward the attached letter agreement dated September 1, 1992, to Pacific Gas and Electric; and (2) upon execution thereof by PG&E, the advancement of $100,000.00 to PG&E for engineering work associated with upgrading natural gas facilities to serve the Redding Power Site. Funds for this request are available in the 1992 Electric Utility project financing, 9146-38. Resolution - re Contract with Economic Sciences Corporation for Professional Services Related to the California Energy Commissions ER94 Process (E-090-160) It is the recommendation of the Electric Utility Director that Resolution No. 92-375 be adopted, a resolution of the City Council of the City of Redding approving and authorizing the City Manager to sign the letter agreement dated August 11, 1992, between the City of Redding and Economic Sciences Corporation to perform services pertaining to the California Energy Commission's Common Forecasting Methodology Proceedings for ER94, in an amount not to exceed $155,000.00. Funds for this proposal are available in the Electric Department's 1992-93 budget, Job Order No. 9719-20. Resolution - re Council Policy Regarding Meter Tampering (A-050-060-555 & A-050-700) It is the recommendation of the Utility/Customer Service Director that Resolution No. 92-376 be adopted, a resolution of the City Council of the City of Redding adopting a revenue protection policy regarding meter tampering. Resolution - Agreement with Hodges & Shutt for Preparation of Update to Redding Municipal Airport Master Plan (A-090-100) It is the recommendation of the Airports Director that Resolution No. 92-377 be adopted, a resolution of the City Council of the City of Redding approving and authorizing the Mayor to execute the Agreement for Professional Services between the City of Redding and Hodges & Shutt for preparation of an update to the Redding Municipal Airport Master Plan, at a fixed fee of $144,314.00. This project is being funded with FAA grant monies. Resolution - Appropriating Funds Resolution - Authorizing Purchase of Radio Communication Equipment from Motorola, Inc. * (B-130-070 & B-050-100 & C-175-750) It is the recommendation of the General Services Director that Resolution No. 92-378 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 16th amendment to City Budget Resolution No. 92-306 appropriating $9,670.00 for debt service associated with the purchase of new communication equipment. It is further recommended that Resolution No. 92-379 be adopted, a resolution of the City Council of the City of Redding authorizing the bypass of the formal bidding process; awarding a contract to Motorola, Inc. (single vendor) for the purchase of new MHZ trunked radio equipment for Solid Waste, at a cost of $92,108.00, and 900 MHZ Digital radio equipment for the City-wide paging system, at a cost of $51,217.00; and authorizing the City Manager to sign the necessary documentation. Debt service to Solid Waste will be in the range of $1,449.00 per month and approximately $338.00 per month for the General Fund's share of the paging equipment, thereby providing minimal impact. This cost would be absorbed by General Fund departments and, as a result, will not have an impact on General Fund reserves. Resolution - re Destruction of Certain Documents (A-050-055-750) It is the recommendation of the City Clerk that Resolution No. 92-380 be adopted, a resolution of the City Council of the City of Redding authorizing the destruction of certain records. Request to Sell Alcohol - by Asphalt Cowboys at Annual Barbecue at Lake Redding Park (A-110-100) 5 09/01/92 It is the recommendation of the Recreation and Parks Director that Council grant the Asphalt Cowboys permission to sell alcohol at its 39th Annual Barbecue to be held in Lake Redding Park on September 13, 1992. Award of Bid - Bid Schedule No. 2679, Jenny Creek Trail and Ratify Negative Declaration (B-050-020 & P-050-460-700) It is the recommendation of the Public Works Director that Council make the following findings regarding Environmental Determination ED-5-92: 1. Project is compatible with the Redding General Plan; 2. Project will not significantly alter existing land form; 3. Project is compatible with surrounding land use; 4. Project is compatible with the Code of the City of Redding, California; and ratify the Negative Declaration authorized by the Board of Administrative Review on July 29, 1992. It is further recommended that Bid Schedule No. 2679 (Job No. 9206), Jenny Creek Trail, be awarded to the low bidder, Bobby Martin Construction, in the amount of $41,992.00, an additional $6,008.00 be approved to cover the cost of engineering and inspection fees, and $4,000.00 be approved to cover the cost of contract change orders, for a total of $52,000.00. The project is being funded by a private donation. Notice of Completion - Bid Schedule No. 2528, Traffic Signal Installation at Court Street and South Street (B-050-020 & T-080-700 & G-100-070-100) It is the recommendation of the Public Works Director that Bid Schedule 2528 (Job No. 9003), traffic signal installation at Court Street and South Street, awarded to Northern Industrial Electric, be accepted as satisfactorily completed, and the City Clerk be authorized to file a Notice of Completion. The final contract price is $92,465.00. Resolution - Appropriating Funds in Support of Developer-Paid Work Tasks * (B-130-070 & A-050-300) It is the recommendation of the Public Works Director that Resolution No. 92- 381 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 14th amendment to City Budget Resolution No. 92-306 authorizing the receipt of $50,000.00 in revenue and appropriating $50,000.00 to fund minor developer-reimbursed work tasks for Division 503 of the Public Works Department for the 1992-93 fiscal year. Resolution - Summarily Vacating 50-foot Utility Easement on the Westerly 50 Feet of Parcel 1, Lying Northerly on Tarmac Road (A-010-040) It is the recommendation of the Public Works Director that Resolution No. 92- 382 be adopted, a resolution of the City Council of the City of Redding summarily vacating a 50-foot easement for public utility purposes on the westerly 50 feet of Parcel 1, lying northerly of Tarmac Road, as shown on that certain map filed for record in Book 17 of Parcel Maps at Page 48, Shasta County Records. MOTION: Made by Council Member Dahl, seconded by Council Member Kehoe, that all the foregoing items on the Consent Calendar be approved and adopted as recommended. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson Resolution Nos. 92-372, 92-373, 92-374, 92-375, 92-376, 92-377, 92-378, 92- 379, 92-380, 92-381 and 92-382 are on file in the office of the City Clerk. WRITTEN COMMUNICATIONS Letter from Haven Humane Society - re Budget and Contract Renewal (A-130) City Manager Christofferson indicated that a letter was received from Haven Humane Society requesting Council to reconsider the amount allocated to Haven Humane Society for fiscal year 1992-93. It was also noted in the letter that the current contract expires on November 30, 1992, and discussions regarding funding allocations and contract renewal should begin as soon as possible. 6 09/01/92 It was the consensus of Council to defer discussion on Haven Humane Society's request until such time as the budget is finalized. Mayor Moss assured Mr. Little that Council would work closely with staff and be actively involved with upcoming contract negotiations. CONTINUED PUBLIC HEARING - re General Plan Amendment GPA-7-92, by Christopher Wheeler (2265 Park Marina Drive) (G-030-010) The hour of 7:00 p.m. having arrived, Mayor Moss opened the continued public hearing regarding General Plan Amendment GPA-7-92. The following documents are on file in the office of the City Clerk: Affidavit of Posting - Continued Public Hearing Planning Department recommendation dated August 26, 1992 Planning and Community Development Director Perry related that the applicant's representative, Len Wingate, has requested that the public hearing be continued for an additional two weeks. It is the recommendation of staff that the public hearing be continued until September 15, 1992. It is further recommended that notice be sent to the adjoining property owners. Mayor Moss determined there was no one present wishing to speak on the issue. MOTION: Made by Council Member Dahl, seconded by Council Member Arness, that the public hearing regarding General Plan Amendment GPA-7-92, by Christopher Wheeler, be continued to September 15, 1992, and notice regarding the continued public hearing be sent to adjoining property owners. 7 09/01/92 Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson PUBLIC HEARING - re Amendment to Planned Development PD-1-88, by Escorial Development (2111 Airpark Drive) (L-010-210) Council Member Kehoe abstained from discussion and voting on this item. The hour of 7:00 p.m. having arrived, Mayor Moss opened the public hearing regarding the Amendment to Planned Development PD-1-88. The following documents are on file in the office of the City Clerk: Affidavit of Mailing - Notice of Public Hearing Affidavit of Publication - Notice of Public Hearing Planning Commission recommendation dated August 26, 1992 City Clerk Strohmayer advised that no protests were received. Planning and Community Development Director Perry explained that the Planning Commission, at its August 11, 1992, meeting, recommended approval of an amendment request to add 2,800 square feet of additional medical office space and three additional postage-stamp lots. The medical office complex, as currently approved, provides up to 32,000 square feet divided into ten buildings on ten separate parcels (A through I). Mr. Perry stated that as a common-interest office subdivision, the individual owners collectively maintain the parking lots and landscape areas. The applicant is requesting to amend Lot D development plans from one large 6,800- square-feet, single-story structure to three smaller two-story structures of approximately 3,000 square feet each. The smaller two-story structures would be more consistent to the other structures on the site in terms of bulk and height. In addition to replacing the one large building with three smaller ones, the applicant is also proposing to divide Parcel D into three separate parcels (D1, D2, and D3). In addition, Parcel F would be subdivided into Parcel F-1 with 3,500 square feet and Parcel F-2 with 2,040 square feet. The proposed site plan also includes 15 additional parking spaces proposed on the adjoining Catholic Church property. These spaces are necessary to meet the City's minimum space requirements for the additional 2,800 square feet of medical office space. To address the primary issues of adequate parking and fire safety, the applicant has agreed to proposed new Condition Nos. 40, 41, 42, 43, and 44. It is the opinion of staff that the proposed conditions of approval are the most reasonable solutions to the applicant's request for additional square footage. Staff is also of the opinion that the use of 15 off-site parking spaces for the medical offices is reasonable given the proximity of the Catholic Church's parking lot and its lack of use during the normal business hours for the medical offices. It is the recommendation of the Planning Commission and staff that Council approve the request with the additional conditions noted in the Report to City Council dated August 26, 1992, incorporated herein by reference. He noted that if the recommendation is conceptually approved, staff would need to bring back for consideration an ordinance regarding the rezoning. Richard Bates, attorney for the applicant, questioned the addition of Condition No. 45, concerning the construction of five feet of additional sidewalk along the project's Airpark Drive frontage, as it was not originally agreed to by the applicant as part of the proposed amendment. Mr. Perry replied that staff became aware that the sidewalk had not been constructed at the time it was developing conditions for the parcel to the south. It was determined that this was an obligation inherent with the original planned development and either through an oversight on the part of City staff or the developer, or both, had been overlooked and never developed. Mayor Moss determined that there were no additional persons wishing to speak on the issue and closed the public hearing. 8 09/01/92 MOTION: Made by Council Member Arness, seconded by Council Member Dahl, to conceptually approve the amendment to Planned Development PD-1-88 to add 2,800 square feet of additional medical office space and three additional postage- stamp lots subject to the additional conditions 40 through 45 as noted in the Report to City Council dated August 16, 1992. Voting was as follows: Ayes: Council Members - Arness, Dahl and Moss Noes: Council Members - None Absent: Council Members - Anderson Abstain: Council Members - Kehoe APPOINTMENTS AND REAPPOINTMENTS (B-080-150 & B-080-350 & B-080-540) MOTION: Made by Council Member Arness, seconded by Council Member Dahl, that the following appointments and reappointments be made: 1) Reappoint Richard Downs and George Lewellen to the Economic Development Corporation for two-year terms 9 09/01/92 expiring June 30, 1994; 2) Appoint Pat Moty to the Recreation and Parks Commission for a four-year term expiring May 1, 1996; and 3) Appoint Gary Burks to the Tourism and Convention Commission for an unexpired term ending January 1, 1995. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson ORDINANCE NO. 2021 - re Park and Recreational Land Dedications and In-Lieu Fees -Reducing Park Fund Areas from Six to Four (L-010-100 & P-050) MOTION: Made by Council Member Dahl, seconded by Council Member Arness, that the full reading of Ordinance No. 2021 be waived and the City Attorney be instructed to read the full title. The Vote: Unanimous Ayes MOTION: Made by Council Member Dahl, seconded by Council Member Kehoe, that Ordinance No. 2021 be adopted, an ordinance of the City Council of the City of Redding amending Redding Municipal Code Chapter 17.42, Park and Recreational Land Dedications and In-Lieu Fees, by amending Section 17.42.060 C pertaining to the formula for fees in lieu of land dedication, specifically reducing park fund areas from six to four. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson Ordinance No. 2021 is on file in the Office of the City Clerk. CLOSING THE BUDGET GAP (B-130-070 & P-100-320 & P-100-050-100) City Manager Christofferson reviewed the Report to City Council dated August 25, 1992, incorporated herein by reference, which proposes to close the $1,160,000.00 budget gap as follows: 1) Eliminate 14 full-time and part-time positions - Representing savings of $236,320.00; 2) Utilize miscellaneous budget savings previously identified, sequestered, and not utilized - Representing savings of $133,960.00; 3) Utilize balance of Restricted Reserve established to offset targeted personnel savings - Representing savings of $582,000.00; and 4) Utilize a portion of excess year-end balance over budgeted amount - Representing savings of $207,720.00; for a grand total of $1,160,000.00. Mr. Christofferson recommended that if Council utilizes the proposed solution, staff be permitted to continue to explore and negotiate other options presently under consideration, such as the two-tier retirement system, defined contribution retirement system, and economies that may be achieved in the health insurance plan as a way of addressing the long-term objectives of the City. With regard to the State gap, he commented that it seems preferable to solve the problems over which the City has some measure of control and deal with the State issue when it can be identified. In addition, Mr. Christofferson noted that clarification is needed on the policy regarding step increases. He noted that only in those instances in which there is no Memorandum of Understanding (MOU) or an evergreen provision, the City has been in a position to withhold salary increases, and this has been applied notably to the unrepresented employees. In a similar manner, pay-for-performance increases have been withheld in the belief that they are essentially the same as step increases. It is recommended that Council adopt the resolution implementing the proposed solution to the $1,160,000.00 budget gap. It is further requested that Council authorize staff to proceed with the salary increases and pay-for- performance increases for those individuals not covered by a MOU or an evergreen provision on the premise that freezes represent an uneven application of personnel policy. In response to Mayor Moss, Mr. Christofferson indicated that 13 of the authorized positions proposed to be eliminated are vacant and budgeted for in the 1992-93 budget, thereby, enabling a savings to be realized. The Management Analyst position in the Finance Department has been eliminated and the individual transferred to the Water and Sewer Department. 10 09/01/92 In response to Council Member Arness, Mr. Christofferson explained that there are several other positions which are currently vacant but are in the process of being filled, such as the Safety Specialist. Mayor Moss inquired what a full year's savings would be with regard to the positions being eliminated. Budget Services Officer Starman related that the proposed $236,320.00 savings is over a 12-month period, and the figure for the 1993-94 fiscal year would be similar. He indicated that a straight average of the salaries is misleading as many of the positions are part-time. In response to Council Member Kehoe, Mr. Christofferson clarified that the proposed positions would be abolished. 11 09/01/92 Council Member Dahl indicated that in view of possible furloughs and layoffs, this report represents good news and he favors the adoption of the proposed resolution. He stated that the proposal represents a short-term solution until the State's budget impacts are known; however, long-term issues still need to be addressed. He opined that it is premature to discuss step increases until issues regarding the State budget are resolved. With regard to step increases, Mr. Christofferson noted that staff's main objective was to make the issue known and allow Council an opportunity to review it. Council Member Dahl empathized with staff and the problems associated with the unrepresented employees and acknowledged that it is not fair. He expressed disappointment that the bargaining units have not been more cooperative. He indicated that this is a problem which needs to be dealt with on a long-term basis. Mr. Christofferson explained that the initial stages of the meet-and-confer process have been completed and are at a point of addressing the meaningful issues. A meet-and-confer session is scheduled for Friday and staff will focus on those items which are felt to be the most achievable goals. Council Member Arness provided an overview of the City's current budget and income projections through 1997-98 and the need to provide for capital outlay expenditures, such as street maintenance, painting of fire engines, replacement of police vehicles, roof repair, etc. He also noted that since October, 1991, the City has replaced 21 fulltime positions, 14 within General Fund Departments, and 7 in Enterprise Departments. He related that if Council were to consider personnel freezes, two alternatives are available: 1) Add no more bodies; or 2) Not fill a position when it becomes vacant. These alternatives would provide funds for capital outlay projects. As much as it may be needed, he does not see this Council approving revenue enhancements. He opined that the City's long-term budgeting has been inferior and he cannot understand why it takes so long for the Finance Department to provide meaningful year-end numbers. In addition, he stated that careful consideration should be given to long-term compensation. Mr. Christofferson related that staff is also frustrated. Staff has been instructed to prepare a plan to live within its means and there are a number of things which obviously cannot be completed. He explained that Council Member Arness made an excellent case for the fact that the Enterprise funds tend to be well financed because of rate increases which the bondholders demand. There are no bondholders taking care of the General Fund. In order to meet the demands regarding capital expenditures, consideration needs to be given to the possibility of revenue growth. He stated that it is important that this issue be dealt with at some point. MOTION: Made by Council Member Kehoe, seconded by Council Member Dahl, that Resolution No. 92-383 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 14th amendment to City Budget Resolution No. 92-306 adjusting various personnel-related appropriations as follows: 1) Eliminate 14 fulltime and part-time positions - Representing savings of $236,320.00; 2) Utilize miscellaneous budget savings previously identified, sequestered, and not utilized - Representing savings of $133,960.00; 3) Utilize balance of Restricted Reserve established to offset targeted personnel savings -Representing savings of $582,000.00; and 4) Utilize a portion of excess year-end balance over budgeted amount - Representing savings of $207,720.00; for a grand total of $1,160,000.00. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson Resolution No. 92-383 is on file in the Office of the City Clerk. Mayor Moss believed, if followed through, little will be seen in the way of layoffs and probably very little in the way of furloughs. He stated that Council needs to take some strong steps and provide strong guidance to staff with regard to future personnel policies. He indicated that there has been reference that because the represented employees, while their contracts are in effect, will receive step increases, it would be unfair for the unrepresented 12 09/01/92 to be denied step increases. He stated that it is unfortunate but not something he cannot live with morally. He believed step increases and pay- for-performance increases should be frozen for the present time. He also indicated a willingness to discuss a total hiring freeze until the City's flow of personnel costs matches its current flow of income. He did not view this as being a long-term problem unless something is introduced by a governmental authority like the State, which is possible. Council needs to start laying the ground work to set aside funds for such things as slurry sealing, roof repairs, and other non-personnel related projects. He asked Council Members for their comments regarding a freeze on salary step increases wherever the City has authority and is not bound by terms of a contract, including pay-for- performance increases and COLA's. The City has had a pattern in the past of providing the unrepresented employees the same salaries and benefits as the represented. He suggested that the represented employees be placed in front in a leadership role at the present time, with the understanding that when it comes down to negotiation time Council is not going forward with any substantial pay increases until its finances are back in order. He favored incrementally working out of the present situation as suggested. He noted that this may take a couple of years, however, if the City stringently pulls back on any further increases in personnel costs per employee, the economy should assist the City in pulling out of its present situation. He advocated taking a stiff posture with regard to any further salary increases and hiring. Council Member Arness concurred with Mayor Moss' suggestion with regard to step increases, pay-for-performance increases and COLA's. He indicated that currently $22,000,000.00 out of $30,000,000.00 goes toward labor and that percentage needs to be changed. While he does not want to be a party to any firing or furloughs, he stressed the importance of placing some money within the capital arena. Council Member Kehoe questioned where the $95,000.00 would be obtained for the proposed step increases and pay-for-performance increases. Mr. Christofferson indicated that if Council conveyed it wanted to proceed with the increases, he would bring something back for consideration at the next meeting. Council Member Kehoe stated that on May 22nd or 23rd, he wrote a memorandum outlining what he believes to be a positive step in managing the work force, the development of a Work Force Management Plan and cogent organizational charts. In the same memorandum, he also argued for not leveling a decrease in step increases and pay-for-performance increases as they tend to be selective and diminish morale. As a matter of equity, he favored going forward with step increases and pay-for-performance increases. Council Member Dahl did not see how Council could consider step increases at this time without knowing what the State's budget impacts would be, unless someone is entertaining the notion of imposing a tax. He opined that next year will be even more difficult and Council will need to rethink the entire organization, the services being provided, and whether or not the public can afford the services. In response to Council Member Dahl, Mr. Christofferson indicated that staff estimates the impacts from the State budget to be between $500,000.00 and $1,000,000.00. Staff does not propose to utilize the 3 percent reserve to close the budget gap created by the State. Council Member Dahl opined that Council has already taken what action it can until the State acts on its budget. Mayor Moss explained that he would like staff to leave with a clear indication on how Council views step increases, pay-for-performance increases, and COLA's, and whether or not to continue work in the area of benefit programs. With regard to a hiring freeze, Mr. Christofferson indicated that the selective hiring freeze which is currently in place is probably the wisest course of action. He related that if Council had previously implemented a hiring freeze, the summer recreational program would not exist today, as he had 95 appointments on his desk that would not have been permitted. He suggested that Council maintain its current selective hiring freeze policy. 13 09/01/92 Council Member Dahl concurred with Mr. Christofferson. Mr. Christofferson indicated to Council Member Arness that staff is willing to justify each of the positions filled since October, 1991, as they have been carefully reviewed and justified in terms of maintaining services staff believed Council desired to maintain. If a firm hiring freeze were implemented and a person leaves, then that particular program vanishes. MOTION: Made by Council Member Dahl, seconded by Council Member Arness, directing staff to freeze all step increases, pay-for-performance increases, COLA's, for those employees not covered by an effective Memorandum of Understanding for fiscal year 1992-93 and continue reviewing benefit package options. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson NON-PAYMENT OF UTILITY BILLS BY STATE OF CALIFORNIA (U-500 & S-050) City Manager Christofferson explained that the State of California has been consistently slow in paying its utility bills, and the current state budget crisis has contributed nothing to its promptness. As a courtesy to state and federal agencies, as well as the County of Shasta and school districts, the City does not issue the usual "first notice" or turnoff notice that other customers receive after the prescribed times; and as a practical matter, the City has never turned off the power of a governmental agency. The State of California has a total of 127 accounts. Many of these accounts are now in a arrears, with the current balance due in excess of $51,000.00. If staff were to follow normal procedures, even for governmental agencies, we would be terminating service for some accounts on September 1. It would be serious business to terminate electrical service to any of these agencies, particularly public safety agencies such as the California Highway Patrol and the State Division of Forestry. He indicated that the City enjoys very favorable working relationships with the personnel of these agencies, and has no desire to terminate service, but at the same time the City needs to come to grips with the question of just how much tolerance to provide government agencies that are chronically delinquent in their payment. Such delinquency is not fair to other rate payers who implicitly must carry agencies that are delinquent. In addition, the state is withholding the City's payments of gas tax, Motor Vehicle In-Lieu Tax, and cigarette tax. Mr. Christofferson stated that since it is obviously a very significant act to terminate service to essential state functions, the issue is whether the Council wants to proceed with such action or provide some additional margin on the assumption that the state budget crisis will be resolved in the immediate future. He indicated that unless otherwise directed by Council, staff would be inclined to afford another two or three weeks leeway to state offices before terminating service and would appreciate Council's reaction to this approach. Mayor Moss conveyed that the City is in a situation where it must continue furnishing utilities until the state solves its current budget situation. He suggested that Council continue providing utility services for the duration of the state's budget crisis. In response to Council Member Kehoe, Mr. Christofferson related that the City's current policy does not provide for a late payment charge on utility bills. Council Member Arness questioned whether it might be appropriate to adopt an emergency ordinance which would apply a late payment charge on utility bills. City Attorney Hays indicated that while the City does not currently utilize a late payment charge on utility bills, it does impose a fee to re-establish service once power has been turned off. 14 09/01/92 MOTION: Made by Council Member Dahl, seconded by Council Member Kehoe, to defer action regarding the State of California's non-payment of utility bills for 60 days. The Vote: Unanimous Ayes FIRE DEPARTMENT REVENUE ENHANCEMENTS (A-050-140 & F-205-600) Assistant Finance Director Sundin recalled that as part of the 1992-93 budget process, Council expressed interest in having the Finance Department review possibilities for revenue enhancement within the Fire Department for services provided to the public. She reviewed the list of services, along with the associated costs, as indicated in the Report to City Council dated August 26, 1992, incorporated herein by reference. Staff estimates potential revenue from these services to be approximately $532,200.00, with estimated collectible revenue at $371,880.00. Ms. Sundin reviewed other areas which the Finance Department is continuing to work on with the Fire Department, such as a payroll accounting that would cross-charge for services provided to other departments and divisions within the City, hazardous materials situations, and false fire alarms. It is the recommendation of the Finance and Fire Departments that Council approve the revenue enhancements as outlined by staff. In response to Council Member Dahl, Ms. Sundin explained that staff intends to collect the fire inspection fee at the time the business license is renewed each year. The business could then assume that the Fire Department would visit their premises some time during the year to perform an annual fire inspection. The Fire Department feels it is important to continue this service, as it prevents potential problems and makes the business owner aware of potential fire hazards. Based on the facility, the Fire Department would determine the appropriate annual fee. Staff, however, anticipates an average inspection to take approximately one-half hour, resulting in a charge of approximately $36.00. She commented that with any fee there would be a certain amount of associated administrative costs. Council Member Dahl questioned whether or not the Fire Department is receiving payment for services to Enterprise Fund Departments. Ms. Sundin related that there are a number of services the Fire Department provides to Enterprise Fund Departments for which it is not being compensated. The Fire Department has, however, been encouraged to cross-charge for services to the Enterprise Funds. Council Member Dahl commented that several issues have been raised this evening, such as administrative costs and license fee, for which staff needs to provide further details. In addition, the business community needs to be aware of these proposed fees. MOTION: Made by Council Member Dahl, seconded by Council Member Kehoe, directing staff to work with the Chamber of Commerce and articulate its position on revenue enhancements for the Fire Department and bring the issue back to Council for consideration in the form of public hearing. The Vote: Unanimous Ayes RESOLUTION - re Payment for Services in Newly-Annexed Areas and Formation of Mello-Roos Districts * (B-130-070 & A-150 & T-010-650) Planning and Community Development Director Perry recalled that in May, 1992, Council appropriated $5,000.00 for legal fees to form a Mello-Roos District. Unfortunately, the appropriation was not carried over to the new budget; thus for staff to proceed, the funding needs to be reappropriated. Mr. Perry provided a copy of the study prepared to identify a minimum fee level for the Mello-Roos District, as indicated in the Report to City Council dated August 25, 1992, incorporated herein by reference. The purpose of the study was to fold other forms of development into the equation and see if the overall level of fee for single-family residence could be reduced. Once Council establishes a fee, the equation can be completed. Staff has calculated the minimum level of the fee to be $190.00 per unit for the City to maintain its position on what was given up on property tax, plus the additional administrative costs, and the high- end fee to be $300.00. 15 09/01/92 Mr. Perry also presented a draft Council policy on payment for City services in areas annexed after January 1, 1992, and on the establishment of an urban service and maintenance fee for Council's consideration. The purpose of the policy would be to clarify Council's directives regarding this process. It is the recommendation of staff that Council approve a resolution appropriating $5,000.00 for legal services, set a fee for a single-family residence for 1992-93 at $250.00, direct staff to form the Mello-Roos District and modify the draft policy accordingly and resubmit it for consideration and adoption. Mayor Moss suggested that the Mello-Roos District provide for some type of systematic step increases or be tied to an index figure. Mr. Perry related that for those districts formed prior to January 1, 1993, the fee could be increased at a rate not to exceed four percent per year. For those districts formed after January 1, 1993, the district would be subject to pending State legislation at two percent per year. In response to Council Member Kehoe, Mr. Perry related that Council originally provided staff with a fee range of $250.00 to $300.00. Recognizing the fact that the direct replacement cost plus administrative costs is $190.00, the fee was established at $250.00 for the following reasons: 1) There would be a certain amount of delinquencies; 2) Someone would be forced into annexation either by LAFCO or the City, and may not be subject to the fee; 3) The base is small to start with and costs are tighter in the earlier years; 4) Upon annexation if land is vacant, minimal fire, police, and street support would be required; 5) Economic development; and 6) Additional income would be required for capital expenditures in the newly-annexing areas, such as construction of a fire station and expanding fire personnel. MOTION: Made by Council Member Dahl, seconded by Council Member Kehoe, that Resolution No. 92-384 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 15th amendment to City Budget Resolution No. 92-306 appropriating $5,000.00 for professional services relating to the creation of Mello-Roos Assessment Districts, establish a fee for a single- family residence for 1992-93 at $250.00, direct staff to form the district, and direct staff to modify the draft policy accordingly and resubmit it for consideration and adoption. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson Resolution No. 92-384 is on file in the Office of the City Clerk. RESOLUTION - re Authorization to Sign Amended Memorandum of Understanding with Redding Police Officers' Association (P-100-050-120) Personnel Director Bristow recalled that the Memorandum of Understanding signed by the Redding Police Officers Association (RPOA) in June, 1989, specified four areas to be discussed as part of the reopener process: 1) Formulation and implementation of performance standards for all ranks in the bargaining unit; 2) Formulation and implementation of a substance abuse policy; 3) Formulation of a pre-employment agreement with reimbursement to the City of training expenses if an employee leaves the City prior to completing a specified term of employment; and 4) Formulation of a light-duty policy. Mr. Bristow noted that during the reopener negotiations, the RPOA also requested that changes to the existing grievance procedure be considered and City representatives concurred. Mr. Bristow stated that since the City and RPOA representatives were unable to reach agreement on a light duty policy, it was eliminated from further consideration. Staff believes it is important to start to close this chapter on the re-opener and is requesting authorization to sign an amended Memorandum of Understanding which essentially provides the following elements: 1) Performance standards for the classes of Police Officer, Police Corporal, and Police Sergeant; 2) A pre-employment agreement which specifies that if a police officer ceases employment within two years from the hire date and 16 09/01/92 accepts employment with another law enforcement agency within two years from such cessation, the department would be reimbursed of all expenses incurred as a result of hiring and training; and 3) A streamlined grievance procedure to facilitate communication between the RPOA and management by removing unnecessary. 17 09/01/92 MOTION: Made by Council Member Dahl, seconded by Council Member Arness, that Resolution No. 92-385 be adopted, a resolution of the City Council of the City of Redding (1) Approving amendments to the Memorandum of Association between the City of Redding and the Peace Officers Association of Redding, as indicated in the Report to City Council dated August 26, 1992; and (2) Authorizing execution thereof by the designated representatives of the City of Redding; to be effective on the date said amendments are ratified and executed by the designated representatives of the Peace Officers Association of Redding. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson Resolution No. 92-385 is on file in the Office of the City Clerk. REQUEST FOR FIVE ACRES OF CITY OF REDDING/BUREAU OF LAND MANAGEMENT LAND LEASE -by Lake Boulevard Baptist Church (C-070-200 & P-050-070) Recreation and Parks Director Riley recalled that in 1983, the City entered into an agreement with the Bureau of Land Management (BLM) for 59.17 acres to the northeast and southwest of the existing Buckeye Park. The original plan called for pedestrian paths, footbridges, picnic areas, an additional parking lot, a playground, and other park amenities. A pedestrian path and footbridge were constructed three years ago. Due to the budgetary constraints, the City relinquished 43 acres to the BLM in 1990, and the other park improvements have been placed on hold until the economy becomes more positive. The City is now responsible for approximately 17 acres of the original parcel. Mr. Riley explained that at the Recreation and Parks Commission meeting on August 19, 1992, the Lake Boulevard Baptist Church requested the Commission to release the five most-northerly acres of the 17 acre parcel so that a church, pre-school, and day-school facility could be constructed. The Commission discussed the proposed facility and how it would relate to the needs of a future community park for the residents of the Buckeye area. After thoroughly discussing the proposal by the Lake Boulevard Baptist Church, the Commission recommended to not release the five most-northerly acres in the original City/BLM lease agreement for the church project. It is the recommendation of the Recreation and Parks Commission and staff that the Lake Boulevard Baptist Church's request to utilize five acres of the future Buckeye community park for a church, pre-school, and day-care facility be denied. In response to Council Member Dahl, Mr. Riley indicated that it is difficult to predict when the funds would be available to develop the park. He estimated, however, that the City should have a community park in place for that area within seven years. Vi Klaseen, Vice Chair of the Recreation and Parks Commission, related that during her 28 years of teaching at the adjacent school, she annually utilized the area in question. The Kindergarten class conducts a walk each year which goes through the five-acre parcel which the church is requesting. The parcel contains a creek which would provide a real blend when the park is developed. She indicated that, in the next eight to ten years, the value of the property would be greater. She is reluctant to see the City relinquish any of that land as it would be needed for future development of the park. Mayor Moss stated that he does not want to see the City lose any future options because of current budget constraints. He does not believe that maintaining the property would place the General Fund under any unrealistic pressure. He noted that open space in the future would be much more valuable than it is today. Council Member Kehoe stated that as long as the City has a demonstrated need, the City is not in a position to relinquish the property. Pastor George Gunn, Lake Boulevard Baptist Church, related that the City was granted a 20-year lease from the BLM in 1983 on the subject property. The original plan presented to the BLM called for full development of the portion of property north of Oasis Road by 1992. To date, a pedestrian path has been 18 09/01/92 developed, with the majority of the acreage remaining undeveloped. Since the Recreation and Parks Commission meeting, the church has rethought some of its ideas and would be willing to consider obtaining four acres in the northwest corner and not involve the creek area. He provided Council with a series of photos of the area in question. He related that the proposal would provide the following: 1) Further develop the public facilities in the area by structuring something needed within the community; 2) Alleviate some of the City's financial burden; and 3) The church would obtain four acres of land which is sufficient for its purposes and leave enough land available for the City to expand its park when money is available. In response to Council Member Dahl, Planning and Community Development Director Perry replied that the City has a patent easement. At the end of 25 years if the BLM requirements have been satisfied, it reverts to fee title to the City. There is not a lease payment. 19 09/01/92 Council Member Dahl favored upholding the Recreation and Parks Commission's recommendation, as the proposal presented this evening is totally different than that presented to the Commission. He indicated that with some reprioritization of park funds, this park could be developed sooner than anticipated. MOTION: Made by Council Member Arness, seconded by Council Member Dahl, to uphold the Recreation and Parks Commission's recommendation and deny the Lake Boulevard Baptist Church's request to utilize five acres of the future Buckeye Community Park for a church, pre-school, and day-care facility. The Vote: Unanimous Ayes NORTHRIDGE GARDENS NEIGHBORHOOD PARK PROJECT (P-050) Recreation and Parks Director Riley recalled that Council at its July 7, 1992, meeting referred the Northridge Gardens Park Project back to the Recreation and Parks Commission for a recommendation as to how to finance operating and maintenance costs after the two-year maintenance period has expired. Jim Elkins, Chair of the Recreation and Parks Commission, explained that the Recreation and Parks Commission at its meeting of August 19, 1992, recommended that the proposed Northridge Park be maintained the same way all the other City parks are maintained, i.e., through the General Fund. Understanding the fiscal impact on the General Fund for park maintenance expenditures, it would be desirable for Council to provide guidance to the Commission for future park dedication. If future park maintenance funding would create budgetary concerns, the City should inform developers that land for park dedication would not be a requirement when submitting tentative subdivision maps. Mr. Elkins related that the Commission does not consider individual landscape maintenance districts or Mello-Roos Districts appropriate for maintaining future parks. These districts may be a satisfactory short-term solution, however, in the long-term those individuals who ultimately pay these increased fees would see they are paying for the same services other parts of the City are not required to pay. Some long-term maintenance options include the General Fund and increased taxes. Council may desire to make a policy decision to no longer construct the smaller neighborhood parks and concentrate on the larger parks, such as Buckeye, Enterprise, and Caldwell. The Commission determined that any long-term park maintenance policy should be on a City-wide basis for all parks. Council Member Dahl was disappointed that the Commission did not provide a usable recommendation. He personally opposed dropping the neighborhood parks. It is also not realistic for the General Fund to provide the necessary funding. He suggested turning the issue over to the Council sub-committee. In the meantime, he favored going forward with this particular project, with the Recreation and Parks Department absorbing the necessary costs. Mr. Elkins explained that this project was placed ahead of other park projects because of the contractor's willingness to construct the park and maintain it for two years. Council Member Kehoe suggested the possibility of dovetailing the park issue into the volunteer project Mayor Moss and he are currently developing. MOTION: Made by Council Member Arness, seconded by Council Member Dahl, to accept the contractor's proposal to construct the Northridge Gardens Neighborhood Park and maintain the park site for two years after completion. The Vote: Unanimous Ayes STREET SWEEPING SERVICE LEVEL REDUCTION (S-070-200) Public Works Director Galusha related that the Street Department currently sweeps 85 curb miles of arterials on a once per week schedule and 325 curb miles of residential streets on a once per two-week schedule with two street sweepers. The Street Department has maintained two sweepers and operators since the 1960's when the City had a total of 50 street miles. Mr. Galusha explained that a recent in-house analysis of the street sweeping operations indicates three sweepers and operators are needed to maintain the 20 09/01/92 current level of service. Sweeper operators must now sweep at higher than recommended speeds to complete their daily routines which creates more dust complaints. To maintain the current sweeping frequency and level of service, an additional sweeper and operator is needed. The cost of this new sweeper would be $140,000.00 and the annual personnel cost would be $45,000.00, for an annualized cost of $65,000.00 per year, assuming a seven-year life for the sweeper. If an additional sweeper and operator cannot be obtained, sweeping frequency should be reduced to allow operators to sweep their designated routes properly. A sweeping schedule of once per week can be maintained for arterial streets but residential sweeping would have to be reduced from twice to once per month. Mr. Galusha related that another part of the street sweeping function is the leaf vacuum program. That program is staffed by the temporary employees hired for the summer and fall months. Because no temporary employees were hired this budget year, there is not enough personnel to staff this program. Approximately half of the existing Street Department employees are not available now because they are doing work for other departments through cross charges to relieve the General Fund. With these employees not available for Street Department work, adequate Public Works maintenance personnel would not be available to perform the leaf vacuum program this fall. It is the recommendation of staff that Council maintain street sweeping of arterials at once per week, reduce street sweeping in residential areas to once per month, and discontinue the leaf vacuum program for fiscal year 1992- 93. In response to Mayor Moss, Mr. Galusha indicated that part of the reason the leaf vacuum program was originally initiated was to prevent clogging of the storm drains. The leaf vacuuming program has grown as people are now raking their yards and having the City vacuum them up and dispose of them, particularly in the Garden track and the Kutras track. He related that if this were not being done, the once a month sweeping would probably be sufficient. He indicated he would have to further investigate the possibility of recovering some costs from the Solid Waste Division. MOTION: Made by Council Member Dahl, seconded by Council Member Kehoe, to maintain street sweeping of arterials at once per week, reduce street sweeping in residential areas to once per month, and discontinue the leaf vacuum program for fiscal year 1992-93. The Vote: Unanimous Ayes PROPOSED PROJECT LIST FOR PROPOSITION 116 FUNDING (T-080) Public Works Director Galusha recalled that approximately two years ago Proposition 116 was passed and provided $6,853,766.00 to the Shasta County Regional Transportation Planning Agency (RTPA) for eligible projects. These funds must be programmed for expenditure by the year 2000, thereby limiting some project opportunities. Projects eligible for use of these funds are: railroad projects, purchase of accessible paratransit vehicles, capital facilities, bicycle projects, and pedestrian improvement projects. Mr. Galusha related that the RTPA has allocated these funds on the basis of population among the two cities and the county. This provides the City of Redding with approximately $3,200,000.00 in funds to spend on eligible projects. The deadline for applying to the state for these projects is before the end of this calendar year. The actual approval of what projects will be applied for lies with the RTPA, which is scheduled to meet on September 22, 1992, to review and discuss agency project submittals. It is the recommendation of the Public Works Department that the City spend the funds for commuter bike paths that serve the east/west bicycle route as indicated in the Report to City Council dated August 26, 1992, incorporated herein by reference. This route widens Cypress Bridge and the approaches, provides paving/signing/striping on Hartnell Avenue and Park Marina Drive and constructs a river crossing at the Convention Center to connect to the bike path system into Lake Redding Estates. Once completed, the path would provide bicycle/pedestrian access from Hartnell at Victor to Quartz Hill at Benton. These improvements are estimated to cost $3,223,000.00. It is further recommended that staff be directed to forward the project list to the RTPA for 21 09/01/92 consideration. Final project approval rests with the RTPA and then the California Transportation Commission (CTC). Transportation Coordinator Duryee provided a detailed overview of the proposed projects. He related that there is a five percent cap on the amount of funds which the City can spend for engineering. Normally a $3,000,000.00 project would have a contingency of approximately 15 percent for construction engineering and preliminary engineering. Mr. Galusha stated that the City would need to find additional funding for the engineering of the bridge near the Convention Center, possibly from the sale of the Benton Ranch property to the McConnell Foundation. Council Member Dahl asked when staff would know if the CTC approved the project. Mr. Duryee replied that it would probably be in March or April, 1993. In addition, if the RTPA approves the City's project, each agency would be required to submit the projects independently to the CTC prior to December 30, 1992, along with an outline of the projects, the scope, the funding, and how the City proposed to implement the plan within the next eight years. In response to Council Member Dahl, City Attorney Hays related that previous direction given to staff was to have some flexibility with regard to the McConnell Foundation funds because of this possible source of funding. In response to Council Member Kehoe, Mr. Duryee related that the public should have ample opportunity to provide input at the RTPA meeting on September 22, 1992. MOTION: Made by Council Member Dahl, seconded by Council Member Kehoe, approving the proposed project list, totaling $3,223,000.00, for Proposition 116 funds as indicated in the Report to City Council dated August 26, 1992, and directing staff to forward the project list to the Regional Transportation Planning Agency (RTPA) for consideration. The Vote: Unanimous Ayes 22 09/01/92 CLOSED SESSION - re Potential Litigation (L-100) Mayor Moss announced that pursuant to California Government Code Section 54956.9(c), Council would adjourn to closed session to discuss potential litigation. At the hour of 10:16 p.m., Mayor Moss declared the meeting adjourned to closed session. At the hour of 10:35 p.m., Mayor Moss reconvened the meeting to regular session. MOTION: Made by Council Member Dahl, seconded by Council Member Arness, authorizing suit against the appropriate defendants to recover damages and costs associated with failures of polybutylene pipe water services. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson MOTION: Made by Council Member Dahl, seconded by Council Member Arness, authorizing negotiations with Attorney Ed Kurth of San Antonio, Texas, to handle the case regarding polybutylene pipe water services. Voting was as follows: Ayes: Council Members - Arness, Dahl, Kehoe and Moss Noes: Council Members - None Absent: Council Members - Anderson ROUTINE REPORTS AND COMMUNICATIONS Alcoholic Beverage License Applications (A-110-140) Perko's (Dynaco, Inc.) 10 Hartnell Avenue ADJOURNMENT There being no further business, at the hour of 10:35 p.m., Mayor Moss declared the meeting adjourned to 5:15 p.m., September 2, 1992, at the City Hall Conference Room #A, 760 Parkview Avenue, Redding, California. APPROVED: ____________________________ Mayor ATTEST: _______________________________ City Clerk