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HomeMy WebLinkAboutMinutes - City Council - unsigned - 1994-12-061 12/06/94 City Council, Regular Meeting City Council Chambers 1313 California Street Redding, California December 6, 1994 7:00 p.m. The Pledge of Allegiance to the flag was lead by City Attorney Hays. The invocation was offered by Pastor Roland Lehnhoff, Redding Seventh Day Adventist Church. The meeting was called to order by Mayor R. Anderson with the following Council Members present: P. Anderson, McGeorge, Murray and R. Anderson. Council Member Kehoe was absent. Also present were Interim City Manager McMurry, City Attorney Hays, Director of Public Works Galusha, Director of Electric Utility Lindley, Director of Planning and Community Development Perry, Police Chief Blankenship, Director of Finance Downing, Principal Planner Keaney, Director of General Services Masingale, Director of Information Systems Kelley, Director of Personnel Bristow, Principal Planner King, Assistant Planner Morgon, Budget Services Officer Starman, Airports Operations Manager Dinger, City Clerk Strohmayer, and Secretary to the City Council Rudolph. CONSENT CALENDAR The following matters were considered inclusively under the Consent Calendar: Approval of Minutes - Special Meeting of October 18, 1994 Regular Meeting of October 18, 1994 Approval of Payroll and Accounts Payable Register (A-050-100-500) It is recommended that Accounts Payable Register 10, check numbers 213647 through 214275 inclusive in the amount of $6,163,384.84, be approved and paid and Payroll Register 11, check numbers 388958 through 389913 inclusive, in the amount of $1,213,151.72, for the period of November 6, 1994, through November 19, 1994, be approved. TOTAL: $7,376,536.56 Treasurer's Report - October 1994 (A-050-100-600) Total Treasurer's Accountability - $ 57,274,289.14 Total City of Redding Funds, Funds Held in Trust, and Funds of Related Entities - $215,399,433.49 Cash Reconciliation Report - October 1994 (F-205-095-650) It is the recommendation of the Finance Director that the Cash Reconciliation Report for October 1994 be accepted. Payroll Deduction - re City Employees' Voluntary Participation in the California Public Employees Retirement System Long-Term Care Program (LTC) (P-100-230) It is the recommendation of the Director of Finance that the City Council approve a payroll deduction feature for employees' voluntary participation in the California Public Employees Retirement System Long- Term Care (LTC) Program. Resolutions Setting Public Hearing - re Abandonment Application A-6-94 by SBP Partners (North side of Old Alturas Road and east of Edgewood Drive) (A-010-100) It is the recommendation of the Director of Planning and Community Development that Resolution No. 94-334 be adopted, a resolution of the 2 12/06/94 City Council of the City of Redding declaring its intention to vacate and abandon that portion of the Old Alturas Road right-of-way shown on the map as Parcel 1 and described in Exhibit B attached, and lying adjacent to properties located at 2130 to 2138 Old Alturas Road (on the north side of Old Alturas Road and east of Edgewood Drive) (A-6-94 - Parcel 1) and setting a public hearing for 7:00 p.m. January 17, 1995. It is further recommended that Resolution No. 94-335 be adopted, a resolution of the City Council of the City of Redding declaring its intention to vacate and abandon that portion of the Old Alturas Road right-of-way declared surplus shown on the map and described in Exhibit A attached, and lying adjacent to properties located at 2130 to 2138 Old Alturas Road (on the north side of Old Alturas Road and east of Edgewood Drive) (A-6-94 - Parcel 2) and setting a public hearing for 7:00 p.m. January 17, 1995. Set Public Hearing - re Rezoning Application RZ-10-94, by Dennis Mihalka (375 and 381 Parkview Avenue) (L-010-230) It is the recommendation of the Director of Planning and Community Development that a public hearing be set for 7:00 p.m., December 20, 1994, to consider a request to rezone properties located at 375 and 381 Parkview Avenue from "CO-15-F-FP" Office District with a 15-foot- minimum, front-yard setback to "CO-F-FP" Office District with a 10-foot- minimum, front-yard setback. Tentative Subdivision Map S-7-94 - King James Estates, by Frank Giordano (South of College View Drive and east of Churn Creek) (S-100-383) Council accepted the report containing the map and conditions of approval for Tentative Subdivision Map S-7-94 approved by the Planning Commission granting permission to subdivide 9.6 acres into 15 single- family residential lots on property located south of College View Drive and east of Churn Creek Road. Resolution - Establishing One Housing Technician Position Provided in the Approved Housing Authority Budget Resolution - Adjusting Various Accounts in the Housing and Community Development Division to Reflect the Additional Position * (B-130-070 & P-100-060 & A-050-250-070) It is the recommendation of the Director of Planning and Community Development that Resolution No. 94-336 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 27th amendment to City Budget Resolution No. 94-199 establishing a Housing Technician Position. It is further recommended that Resolution No. 94-337 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 28th amendment to City Budget Resolution No. 94-199 adjusting various accounts in the Housing and Community Development Division to reflect the addition of a Housing Technician position. Award of Bid - Bid Schedule No. 2893, Primary Splice Boxes (B-050-100) It is the recommendation of the Director of Electric Utility that Bid Schedule No. 2893, primary splice boxes, be awarded to Cook Concrete Products, Inc. in the evaluated amount of $115,460.00, for the period of January 1, 1995, to December 31, 1995. Funds for these purchases are included in the 1994-95 budget. Award of Bid - Bid Schedule No. 2894, Electric Utility Trench & Excavation (B-050-100) It is the recommendation of the Director of Electric Utility that Bid Schedule No. 2894, electric utility trench and excavation, be awarded to California Property Marketing, in the evaluated amount of $109,996.00, for the period of January 1, 1995, through December 31, 1995. Funds for this work are included in the 1994-95 budget. City Airports Liability Insurance for 1995 (R-100-375-100) 3 12/06/94 It is the recommendation of the Risk Manager that the City Council authorize the placement of the City's airport liability insurance for 1995 with American Eagle Insurance at a premium of $33,160.74 for limits of $50,000,000 per occurrence. Resolution - Authorizing Execution of Amendment of Public Employees' Retirement System Contract to Include Third Level of 1959 Survivor Benefits for Redding Peace Officers (P-100-050-120 & P-100-230) It is the recommendation of the Director of Personnel that Resolution No. 94-351 be adopted, a resolution of the City Council of the City of Redding approving entering into an agreement between the Board of Administration of the Public Employees' Retirement System and the City Council of the City of Redding stating that the assets and liabilities of the City of Redding and its covered employees, on account of the benefits provided under Article 6, commencing with Section 21380, shall be pooled pursuant to the provisions of Government Code Section 21382.4 - Third Level of 1959 Survivor Benefits - for local police members only. Resolution - Establishing new Executive Management Pay-for-Performance Salary Plan for Unrepresented Employees Resolution - Establishing new Classification Schedule and Salary Plan for Hourly Unrepresented Employees Resolution - Establishing new Miscellaneous Employee Benefit Policies for Unrepresented Employees (P-100-320 & E-120-150) It is the recommendation of the Director of Personnel that Resolution No. 94-338 be adopted, a resolution of the City Council of the City of Redding rescinding Resolution No. 94-300 as of midnight, December 3, 1994; deleting the classification of Electric Utility Assistant Systems Operator; and establishing a new Executive Management Pay-for- Performance Salary Plan for unrepresented employees effective December 4, 1994. It is also recommended that Resolution No. 94-339 be adopted, a resolution of the City Council of the City of Redding rescinding Resolution No. 94-250 as of midnight, December 3, 1994, and establishing a new Employee Classification Schedule and Salary Plan to add the classification of Electric Utility Assistant Systems Operator effective December 4, 1994. It is further recommended that Resolution No. 94-340 be adopted, a resolution of the City Council of the City of Redding (1) rescinding Resolution No. 94-186 effective midnight, December 3, 1994, and (2) establishing new Miscellaneous Employee Benefit Policies for Unrepresented Employees not covered by a Memorandum of Understanding, effective December 4, 1994. Award of Bid - Bid Schedule No. 2891, Vehicle Tow and Secure Storage Service (B-050-100) It is the recommendation of the Police Chief that Bid Schedule No. 2891, vehicle tow and secure storage service, be awarded as follows: Primary Service Provider for private tow service contract - Ken Robertson's Twin View Towing; Secondary Service Provider for private tow service contract - Keith Stark, Keith's Towing; and Private Tow Service Contract for Heavy Duty and Super Heavy Duty Towing to Redding Lumber Transport, Professional Towing. Resolution - Permit for Commercial Activities at Redding Municipal Airport with Phoenix Leasing Corporation, dba Reno Air Express (C-070-100 & A-090-100-712) It is the recommendation of the Airports Director that Resolution No. 94-341 be adopted, a resolution of the City Council of the City of Redding approving the permit for Commercial Activities (aircraft maintenance associated with air travel and air cargo service) at Redding Municipal Airport between the City of Redding and Phoenix Leasing Corporation, dba Reno Air Express, and authorizing the Mayor to sign same. 4 12/06/94 Set Public Hearing - re Application for Limousine Owner's Permit from Leonard C. Carter dba Diamond Limousine Service (T-100-150) It is the recommendation of the City Clerk that a public hearing be set for 7:00 p.m., December 20, 1994, to consider the application for a Limousine Owner's Permit from Leonard C. Carter dba Diamond Limousine Service. Resolution - Appropriating Funds for Meadow Creek Subdivision Park * (B-130-070 & P-050) It is the recommendation of the Recreation and Parks Director that Resolution No. 94-342 be adopted, a resolution of the City Council of the City of Redding approving and adopting the 26th amendment to City Budget Resolution No. 94-199 appropriating $20,000 for Meadow Creek Park. Resolution Accepting Streets and Acceptance of Final Map and Improvements - Stillwater Heights Subdivision, Unit 2 * (S-070-230 & S-100-706-300) It is the recommendation of the Director of Public Works that Resolution No. 94-343 be adopted, a resolution of the City Council of the City of Redding accepting for maintenance and operation Lynbrook Loop in the Stillwater Heights Subdivision, Unit 2. It is also recommended that the improvements in Stillwater Heights Subdivision, Unit 2, developed by Eckelman, Scarbrough and Mygrant, be accepted as satisfactorily completed and the City Clerk be instructed to file the Map with the Shasta County Recorder. Resolution - Amendment to Contract Change Order No. 1 with Sharrah Dunlap Sawyer, Inc. for Surveying Services re Buckeye Water Treatment Plant (W-030-600) It is the recommendation of the Director of Public Works that Resolution No. 94-344 be adopted, a resolution of the City Council of the City of Redding approving entering into Public Works Contract Modification (Change Order) No. 1 dated November 30, 1994, between the City of Redding and Sharrah Dunlap Sawyer, Inc. (Contract No. C-3106) in the amount of $15,211, in connection with performing additional tasks for the Buckeye Water Treatment Plant Project. Transfer of Funds - re Design of Left Turn Pocket, Churn Creek Road at Shasta Hills Estates (S-070-100) It is the recommendation of the Director of Public Works that the City Council authorize the transfer of $5,000 from the Churn Creek/Victor/Rancho intersection design to design street improvements on Churn Creek Road at Shasta Hills Estate to allow for the installation of a left-turn pocket. Modification Agreement - City of Redding v. Rochlitz (L-100) It is the recommendation of the City Attorney that the City Council approve the Modification Agreement between the City of Redding, John and Helen Bones and Don Rochlitz, Inc. Resolution - Releasing Abatement Proceedings on Property Located at 542 Branstetter Lane, owned by Phillip Allen (A-030-070) It is the recommendation of the City Attorney that Resolution No. 94-345 be adopted, a resolution of the City Council of the City of Redding releasing the proceedings of abatement under Chapter 9.36 of the Redding Municipal Code on certain real property in the City of Redding located at 542 Branstetter Lane, owned by Phillip E. Allen. MOTION: Made by Council Member McGeorge, seconded by Council Member P. Anderson, that all the foregoing items on the Consent Calendar be approved and adopted as recommended. Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson Noes: Council Members - None 5 12/06/94 Absent: Council Members - Kehoe Resolution Nos. 94-334, 94-335, 94-336, 94-337, 94-338, 94-339, 94-340, 94-341, 94-342, 94-343, 94-344, 94-345 and 94-351 are on file in the Office of the City Clerk. - - - - - - - - - - REQUEST BY FRANK COUGHLIN - re City Policies and Ordinances Relating to the Ownership and Maintenance of the City Sewer Utility (W-020) Frank Coughlin discussed the following viewgraphs, incorporated herein by reference, relating to the City's policies and ordinances concerning ownership and maintenance of the City Sewer Utility: a) City Resolution No. 92-18 - Standard Subdivision Conditions; b) Standard City Subdivision Agreement which states that title to, and ownership of, all improvements constructed by subdivider shall vest absolutely in City, upon completion and acceptance of such improvements by City; c) Excerpts from Subdivision Map Act, Sections 66475.4, 66419, and 66477.1; d) Redding Municipal Code Section 17.41.040; e) Redding Municipal Code Section 13.04.020; f) Excerpt from City of Redding 1994-95 Fiscal Year Budget regarding the Wastewater Utility; g) Redding Municipal Code Section 14.16.020 and 14.16.060; h) Excerpt from City of Redding Public Works Construction Standards regarding Polyvinyl Chloride (PVC) Sewer Pipe; i) Standard Specifications for Public Works Construction (Green Book); j) Graph depicting standard sewer hookup for single-family residence; k) Definition of House Connection Sewer and House Sewer from the Green Book; l) Excerpt from Uniform Plumbing Code regarding definition of private sewer; m) Excerpt from Section 114 of the Uniform Plumbing Code regarding definition of main sewer and building sewer; n) Excerpt from City of Redding Public Works Construction Standards depicting Typical House Connection; o) Excerpt from Redding Municipal Code Section 14 regarding definition of sewer connection and sewer system; p) Excerpt from Redding Municipal Code Section 14.16.160; q) Excerpt from Redding Municipal Code Section 17.40.040; r) City of Redding Residential Utility Service Contract; s) Diagram depicting situation relating to claim involving property on Churn Creek Road Mr. Coughlin cited a recent incident where a break was detected in a sewer line. Upon inspection, the City informed the property owner that he was responsible for this particular portion of the line. The property owner paid the associated charges and proceeded to file a claim with the City which was later denied based on the premise that the house connection sewer belongs to the property owner. Mr. Coughlin contended that the property owner only owns the house sewer under the building to the connection. Public Works Director Galusha clarified that the City's policy basically states that the City is responsible from the point of connection and the property owner is responsible from the point of connection into the sewer system to the residence. The City is also responsible for the main line, including the "T" or "Y" that was originally installed for the residence. City Attorney Hays suggested that the City Council afford staff an opportunity to prepare a response based upon the information presented by Mr. Coughlin. He clarified that the City only accepts those items which appear on the subdivision final map. With regard to water, Council Member Murray related that the homeowner is typically responsible from the house to the meter and the City is responsible from the meter backwards. He requested that staff's 6 12/06/94 response include an explanation as to why sewer and water responsibilities are not treated equally. Mr. Coughlin explained that a set of improvement drawings is developed following the tentative subdivision map stage which detail sewer connections, water lines, etc. The City is accepting the improvement drawings by virtue of a final map. Mayor R. Anderson asked that staff provide Mr. Coughlin a copy of its response prior to distribution to the City Council. Mr. Coughlin requested that the matter be reconsidered at a regular meeting of the City Council. It was the consensus of the City Council to refer the matter back to staff for a recommendation. PUBLIC HEARING - re Abandonment Application A-7-94 by Elmer Swanson, Jr. (3000 Stonecrest Place) The hour of 7:00 p.m. having arrived, Mayor R. Anderson opened the public hearing regarding Abandonment Application A-7-94. 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 November 29, 1994 City Clerk Strohmayer advised that no protests were received. Director of Planning and Community Development Perry related that the Planning Commission, at its meeting of October 11, 1994, recommended approval of a request to abandon a portion of an open-space easement encumbering property located at 3000 Stonecrest Place. The easement was originally created with the subdivision because of its close proximity to the head of a canyon and an area which exceeds 20 percent slopes. A field visit and data submitted by the applicant demonstrate that the area requested for abandonment is less than 20 percent slope. The area is intended to be used for a larger backyard or a swimming pool. It is the recommendation of both the Planning Commission and staff that the City Council make the necessary findings, ratify the Negative Declaration and adopt the necessary resolution approving Abandonment Application A-7-94. MOTION: Made by Council Member Murray, seconded by Council Member McGeorge, make the following findings regarding Abandonment Application A-7-94: 1) That no public purpose will be served by keeping the land as open space; 2) That the abandonment is not inconsistent with State laws regulating open-space easements; 3) That the abandonment is consistent with the General Plan; and 4) That the abandonment is necessary to avoid a substantial financial hardship to the landowners due to involuntary factors unique to them. The Vote: Unanimous Ayes MOTION: Made by Council Member Murray, seconded by Council Member McGeorge, that the City Council make the following findings regarding Abandonment Application A-7-94: 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 September 12, 1994. The Vote: Unanimous Ayes MOTION: Made by Council Member Murray, seconded by Council Member McGeorge, that Resolution No. 94-346 be adopted, a resolution of the City Council of the City of Redding ordering the vacation and abandonment of a portion of open space easement on Lot 9 (3000 Stonecrest Place) dedicated to the City of Redding with the recording of Unit 11 of the Country Heights Subdivision (A-7-94). Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson 7 12/06/94 Noes: Council Members - None Absent: Council Members - Kehoe Resolution No. 94-346 is on file in the office of the City Clerk. ORDINANCE NO. 2100 - re Rezoning Application RZ-9-94 by James Crummett and the City of Redding (1276 and 1290 West Street) (L-010-230) MOTION: Made by Council Member McGeorge, seconded by Council Member Murray, that the full reading of Ordinance No. 2100 be waived and the City Attorney be instructed to read the full title. The Vote: Unanimous Ayes MOTION: Made by Council Member McGeorge, seconded by Council Member P. Anderson, that Ordinance No. 2100 be adopted, an ordinance of the City Council of the City of Redding amending Section 18.06.020 of the Redding Municipal Code relating to the rezoning of certain real property in the City of Redding to "CO" Office District (RZ-9-94). Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson Noes: Council Members - None Absent: Council Members - Kehoe Ordinance No. 2100 is on file in the office of the City Clerk. ORDINANCE NO. 2101 - Amendment to Contract with Board of Administration of the California Public Employees' Retirement System (P-100-230 & P-100-050-120) MOTION: Made by Council Member McGeorge, seconded by Council Member Murray, that the full reading of Ordinance No. 2101 be waived and the City Attorney be instructed to read the full title. The Vote: Unanimous Ayes MOTION: Made by Council Member McGeorge, seconded by Council Member P. Anderson, that Ordinance No. 2101 be adopted, an ordinance of the City Council of the City of Redding authorizing an amendment to the contract between the City Council of the City of Redding and the Board of Administration of the California Public Employees' Retirement System regarding Third Level of the 1959 Survivors Benefit for employees covered in the Peace Officers Association of Redding Memorandum of Understanding. Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson Noes: Council Members - None Absent: Council Members - Kehoe Ordinance No. 2101 is on file in the office of the City Clerk. MONTHLY FINANCIAL REPORT - October, 1994 (B-130-070) Budget Services Officer Starman provided an overview of the Report to City Council dated November 29, 1994, incorporated herein by reference, detailing the October 1994 Monthly Financial Report. In response to Council Member P. Anderson, Mr. Starman stated that all of the categories are within budget at this point in the year, but merely differ from cashflow projections. He explained that cashflow projections are prepared approximately three months prior to the adoption of the budget and are not revised throughout the year. He indicated the budget is, however, amended to provide for any project carryovers. Mayor R. Anderson suggested that the cashflow projections be adjusted after budget adoption to reflect any budget carryovers. Mr. Starman did not know if this would be possible to accomplish this fiscal year, but indicated that the process would be implemented in the upcoming fiscal year. Director of Finance Downing suggested that the cashflow projections also be revised to reflect supplemental appropriations which occur throughout the year. 8 12/06/94 Mr. Starman also suggested the report be modified to include the percent of budget expended. This was an informational item and no action was required. SUBSTITUTION OF TRUSTEE - 1989 and 1992 Electric Certificates of Participation and 1989 and 1992 Wastewater Revenue Bonds (D-005-250-004 & D-050-250-005 & D-050-200-004 & D-050-200-006) Director of Finance Downing related that in May 1993, the City selected First Trust California to provide corporate trust services for new debt issues of the City for the next three to five years. Prior to the selection process, the City awarded corporate trust services to Bank of America and Security Pacific National Bank (subsequently purchased by Bank of America). Bank of America is currently the trustee for four debt issues of the City. Ms. Downing explained that the City could benefit from transferring the trust accounts with Bank of America to First Trust California for the following reasons: the fees the City is currently paying Bank of America for such services are higher than what would be paid to First Trust California; it would be more efficient to have all corporate trust services provided by the same financial institution; and staff has encountered problems with corporate trust service Bank of America has provided. Ms. Downing indicated that First Trust California has agreed to waive all acceptance fees and to cover all transfer costs. It is, therefore, the recommendation of staff that the City Council approve the appointment of First Trust California as the substitute trustee for the City's debt issues and authorize the City Manager to enter into the necessary agreements to facilitate such a change. MOTION: Made by Council Member Murray, seconded by Council Member P. Anderson, to appoint First Trust California as the substitute trustee for the City's debt issues and authorize the City Manager to enter into the necessary agreements to facilitate such a change. The Vote: Unanimous Ayes ROAD CONSTRUCTION AND REIMBURSEMENT AGREEMENT FOR BUENAVENTURA BOULEVARD - by Signature Northwest and the City of Redding (S-070-100-065 & A-070-300) Director of Planning and Community Development Perry provided an overview of the Report to City Council dated November 3, 1994, incorporated herein by reference, concerning the Road Construction and Reimbursement Agreement for Buenaventura Boulevard, by Signature Northwest and the City of Redding. Mr. Perry explained that pursuant to the agreement, Signature Northwest has completed the engineering and obtained bids for the construction of the road. The City has also obtained an appraisal on the property. The cost differential is $694,000 when contingencies and engineering are added. In order to proceed with the project, the City must have $694,000 in cash or other surplus land available to pay the difference between the construction cost and the land value. Mr. Perry indicated that if the City Council wants to proceed with the road construction at this time, it must determine the following: 1) What source of funds will be used to provide the cash; 2) Whether or not to push back some projects scheduled for this year to free up more Traffic Impact Fund (TIF) money now; and 3) Which, if any, surplus property should be used in lieu of cash. He noted that the only sources available to fund the project are: Capital Project Fund, Traffic Impact Fee Funds, General Fund revenues received in excess of budgeted predictions; and reserves. It is the recommendation of staff that the City Council authorize proceeding with the project and make the necessary budget amendments to allocate the funds. Since the project is included in the current ten- year TIF program, staff would recommend the project be funded by TIF. Staff, therefore, recommends using only TIF funds to pay the cash 9 12/06/94 differential and determine if the Redding Redevelopment Agency will divert its bond proceeds from the realignment of Railroad Avenue or the North Court Street extension to buy the fire station and use those proceeds to finance Buenaventura Boulevard. If the City Council concurs, it should refer the project to the Redevelopment Agency to determine if the Agency will buy the fire station and also increase its participation in the Bonnyview overcrossing. Once this information is obtained, a final recommendation can be made to the City Council. It is further recommended that the City Council authorize acquisition of a portion of the Roger Whipp property at the intersection of Canyon Creek Road and Buenaventura Boulevard. Council Member Murray inquired whether the City Council could defer action on the matter until the City Council considers all the City's capital projects in January 1995. Mr. Perry replied that the City needs to respond to the exchange agreement and he did not know how long the bids would be valid. In response to Council Member P. Anderson, Mr. Perry explained that the City property to the north in the Blue Gravel canyon had an active gold mine until the 1940s or 1950s. The Phase I environmental assessment noted the possibility that mining deposits or materials may have washed down stream as a product of extracting and separating the minerals but did not recommend any additional studies to identify heavy metals. Paul Edgren, representing Signature Northwest, indicated that the mining operation in the Blue Gravel Canyon was more of a washing operation and, in all probability, did not involve the use of chemicals. He noted that the Whipp property did not border the canyon itself, therefore, in all likelihood, the property would not be affected by any of the washings coming down the canyon. He provided the City Council with a history of the Buenaventura Boulevard extension project which started with the development of Country Heights Subdivision. He noted the project was originally expected to cost approximately $1,100,000; however, changes to the traffic signal at Placer and Buenaventura and the design of the potential overpass across Placer increased the costs. He explained that cost savings may be possible through the reclamation of asphalt and base rock. He highlighted the following benefits the extension of Buenaventura Boulevard will provide to the residents of the City of Redding: a) reduce traffic on Court Street; b) provide alternate access across the railroad track; c) positive impact on air quality through reduced start and stop traffic and a walking/bicycle trail which would eventually connect to the Sacramento River Trail; d) provide for closure of the fire station at Canyon Creek; e) allow for sale of the Live Oak School site; and e) permit commercial development in the area. Mr. Edgren stated that he has two parties interested in purchasing the City-owned property at Placer Street contingent upon the completion of the extension of Buenaventura Boulevard. He indicated that the working drawings for the project are complete and Signature Northwest will negotiate all of the contracting work, thereby saving the City considerable time and money in preparing bid specifications, etc. He stated that the bid process was very aggressive, with less than $50,000 separating the two low bidders. He explained that the Road Construction and Reimbursement Agreement represents Signature Northwest's attempt to provide a solution to the completion of Buenaventura Boulevard. Mayor R. Anderson questioned whether Signature Northwest would be interested in acquiring additional City-owned surplus property. Mr. Edgren expressed interest in the property located at Sonoma Street, as well as the property provided for in the Option Agreement. He indicated the Placer Street property would be appraised as if Buenaventura Boulevard were completed. He stated the eight acres would accommodate approximately 100,000 feet of commercial space, thereby generating approximately $2.70 per foot ($270,000) in traffic impact fees. Council Member Murray acknowledged the importance of Buenaventura Boulevard to the redevelopment of the south Redding area, however, he preferred the City Council deferring its decision until the City's capital projects are prioritized. 10 12/06/94 Mr. Edgren stated that the oil and asphalt prices had not been fluctuating, however, he was not certain how long the contractor would be willing to honor his bid. Interim City Manager McMurry recommended that the City Council refer the matter to the Redding Redevelopment Agency (RRA) in order to keep the process moving forward. MOTION: Made by Council Member McGeorge, seconded by Council Member P. Anderson, to authorize the City Attorney to proceed with the acquisition of a portion of the Roger Whipp property located at the intersection of Canyon Creek Road and Buenaventura Boulevard. The Vote: Unanimous Ayes MOTION: Made by Council Member P. Anderson, seconded by Council Member McGeorge, to refer the Buenaventura Boulevard road project to the Redding Redevelopment Agency (RRA) to determine the Agency's interest in purchasing the Canyon Creek fire station and increasing its participation in the Bonnyview overcrossing. The Vote: Unanimous Ayes TELECOMMUNICATIONS AIR QUALITY GRANT (G-100 & E-020-010) Director of Planning and Community Development Perry recalled that the City Council, at its meeting of September 20, 1994, authorized staff to file a grant request with the Shasta County Air Quality Management District for air quality funds to purchase computer equipment and software for an interactive computer-based telecommunications center. The City has passed the first-stage grant approval and has been invited to submit a second stage application. Mr. Perry explained that one of the grant requirements of the second- stage application is the adoption of a resolution by the City Council authorizing the filing of the grant. It is, therefore, the recommendation of staff, that the City Council adopt the necessary resolution and authorize staff to obtain proposals to furnish the operating software. In response to Council Member P. Anderson, Mr. Perry and Information Systems Director Kelley indicated the ongoing operational costs could be built into the budget. MOTION: Made by Council Member P. Anderson, seconded by Council Member McGeorge, that Resolution No. 94-347 be adopted, a resolution of the City Council of the City of Redding approving the filing of a second- stage application for grant funds through the Shasta County Air Quality Grant Program, Air Quality Management Division, Grant Year 1994/95, Second Cycle, in the amount of $39,200 to be used to purchase computer equipment and software for an Interactive Computer-Based Telecommunications Center (Project). Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson Noes: Council Members - None Absent: Council Members - Kehoe Resolution No. 94-347 is on file in the office of the City Clerk. MOTION: Made by Council Member P. Anderson, seconded by Council Member McGeorge, authorizing staff to obtain proposals to furnish the operating software necessary for the Interactive Computer-Based Telecommunications Center. The Vote: Unanimous Ayes ORDINANCES AMENDING TIME LIMITATIONS PERTAINING TO CANBY-HILLTOP-CYPRESS AND MARKET STREET REDEVELOPMENT PLANS (R-030) Director of Planning and Community Development Perry explained that California Assembly Bill 1290, which became law January 1, 1994, required that every redevelopment plan adopted on or before December 31, 1993, comply with certain time limitations on the incurring and repaying of debt, the duration of redevelopment plans, and the use of agency authority including the power of eminent domain within these time limits. Section 33333.6 of the Health and Safety Code provides that 11 12/06/94 unless a redevelopment plan already contains limitations which comply with the new time limitations, the appropriate legislative body shall adopt an ordinance by December 31, 1994, to amend the redevelopment plan to bring it into compliance with the law. It is the recommendation of both the Redding Redevelopment Agency and staff that the City Council offer the necessary ordinances for first reading amending certain time limitations pertaining to both the Canby- Hilltop-Cypress Redevelopment Project Area and the Market Street Redevelopment Project Area as required by Health and Safety Code Section 33333.6. Council Member Murray offered Ordinance No. 2103 for first reading, an ordinance of the City Council of the City of Redding amending Ordinance No. 974, as amended by Ordinance Nos. 1173, 1295, 1299, and 1923, establishing and amending certain limitations with respect to the Redevelopment Plan for the Market Street Redevelopment Project. Council Member Murray offered Ordinance No. 2104 for first reading, an ordinance of the City Council of the City of Redding amending Ordinance No. 1552, as amended by Ordinance No. 1942, establishing and amending certain limitations with respect to the Redevelopment Plan for the Canby-Hilltop-Cypress Redevelopment Project. USE OF CITY LAND FOR EXPANSION OF THE PALO CEDRO SEWAGE TREATMENT PLANT (L-010-075-575) Director of Planning and Community Development Perry recalled that the City Council previously directed staff to submit a position paper on Shasta County's proposal to expand the Palo Cedro Sewage Treatment Plant. The plant is located on the plateau between Stillwater Creek and Cow Creek east of the Redding Municipal Airport within the Redding sphere of influence. A letter was forwarded to the County identifying certain environmental issues which staff believed should be addressed in the environmental impact report. The City's main issue, however, is that the expansion plan includes the use of 61 acres owned by the City for land irrigation disposal of wastewater. In addition, the land is within the service area of the City's Stillwater Treatment Plant and will relate to the financing of a sewer trunk line in Stillwater Creek. Mr. Perry explained that the City has not yet been formally approached by the County regarding the acquisition or use of the City property for the plant expansion, however, staff believes the City Council should determine, as early as possible, if the City would permit the property to be used for this purpose. If not, the County should be advised so that other project alternatives could be considered while the project is still in the environmental review process. Mr. Perry stated that staff is of the opinion that the use of City-owned property to provide an urban service for an outlying rural community is incongruous with the likely expansion of the City. This inconsistency is amplified by the location of the site within the City's sphere of influence and the service area of the Stillwater Treatment Plant. From staff's perspective, the plant expansion will encourage sprawl, will be an impediment to development of sewer service in the Stillwater basin, and will utilize land that should be reserved for future urbanization within the Redding sphere of influence. Although cooperation between the City and County is desirable, there does not appear to be any overriding benefit to be realized by the City; therefore, it is recommended that staff be directed to forward a letter to the County, stating that the City is not interested in the use of City property for expansion of the Palo Cedro Sewage Treatment Plant. Council Member McGeorge questioned if there was other property that could be utilized by the County. Mr. Perry stated that this is the only public property in the area and he was not certain if private property is available for acquisition. In response to Council Member Murray, City Attorney Hays explained that in order for the County to exercise its powers of eminent domain on the City's property, it would have to show that its use is a more paramount 12 12/06/94 use than the City. The City is utilizing this property in meeting the community's needs in terms of the airport. Council Member Murray asked if the City had a general plan for the area east of Stillwater Creek. Mr. Perry stated that the area north of Highway 299 is covered by the Upper Stillwater Creek Plan, the area between Highway 299 and Highway 44 is included in the Middle Stillwater Creek Plan, which is scheduled for the Planning Commission's consideration in January, and the area south of Highway 44 is included in the Municipal Airport Area Plan. He indicated that the Upper Stillwater Creek Plan is primarily urban, and because of the interest received in forming a sewer assessment district, the Middle Stillwater Creek Plan is expected to be urban in nature. In response to Council Member Murray, Mr. Perry explained that staff primarily focused on the risk of contamination to the property and the potential cashflow the City could receive from industrial development on the property, which would in turn benefit the airport. MOTION: Made by Council Member P. Anderson, seconded by Council Member R. Anderson, directing staff to forward a letter to the County of Shasta advising that the City is not interested in the use of City property for the expansion of the Palo Cedro Sewage Treatment Plant. Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge and R. Anderson Noes: Council Members - Murray Absent: Council Members - Kehoe PROPOSED STILLWATER ASSESSMENT DISTRICT AND ANNEXATION (A-150) Director of Planning and Community Development Perry stated that Sharrah Dunlap Sawyer, Inc. is attempting to put together a sewer assessment district, annexation, and Mello-Roos district on the east side of Redding in the Upper and Middle Stillwater Creek area. The tentative district comprises roughly 3,500 acres and includes some lands that are already within the City limits. Current City Council policy requires lands outside the City to annex and form a Mello-Roos district in order to receive sewer service. Mr. Perry indicated that the purpose of the assessment district is to finance the construction of a sewer trunk line to serve those properties participating in the district. Preliminary estimates place the cost per household equivalent between $850 to $1,000. Properties outside the district that would want to connect to the sewer in the future would need to form their own assessment district and install a new parallel line. Mr. Perry explained that property owners in the area have been surveyed twice since last March to determine the level of interest in forming an assessment district with the understanding that annexation to the City and formation of a Mello-Roos district are prerequisites to receiving sewer service. Following the surveys, Sharrah Dunlap Sawyer, Inc. hosted an informational meeting at Shasta College with area property owners to explain the proposed district and to answer questions. Staff from both the Public Works Department and the Planning Departments were in attendance, as well as Sam Sperry, the City's special bond counsel. Mr. Perry related that survey results indicate there is adequate support to form the assessment district or districts in the area based on a minimum sign up of 60 percent of the land area. In order to form the assessment district to provide for the orderly extension of the sewer, some properties would have to be included against their will. While it would be desirable to have 100 percent support, it is not possible for a project of this magnitude. The same holds true for the creation of a coterminous annexation boundary and Mello-Roos district. The formation of a Mello-Roos district requires support from two-thirds of the registered voters or land owners (one acre - one vote). Mr. Perry stated that Sharrah Dunlap Sawyer, Inc. is asking whether the City Council will approve the filing of an annexation with LAFCO that does not have 100 percent support of annexation and a Mello-Roos 13 12/06/94 district. They are also requesting that all fees and costs associated with the processing of the annexation and formation of the Mello-Roos district be deferred until the sewer assessment district is formed. The costs would then be included in the assessment district costs. Mr. Perry explained that the issue before the City Council is whether it wishes to support the formation of a sewer assessment district even though some properties will be included in the assessment district, annexation, and Mello-Roos district against their will and defer all annexation and Mello-Roos costs until the sewer assessment district is formed. It is the recommendation of staff that the City Council support the continued effort to form a sewer assessment district and direct staff to submit a budget resolution to front the cost of the annexation and Mello-Roos district with the understanding that the costs will be recaptured if the assessment district is formed. While this is contrary to policy, there are too many property owners involved in the project, and annexation of an area that will urbanize is in the long term interest of the community. Mr. Perry noted that staff will be working on obtaining maximum participation in the assessment district, annexation and Mello-Roos District and will adjust the boundaries accordingly, with the goal of acquiring the number of voters required to avoid an election or defeat an annexation. Council Member Murray asked if there was an analysis which shows that $250 per parcel is sufficient to pay for police and fire service to the area. Mr. Perry replied that staff is assuming the per capita spending would be comparable to existing residents. He noted that in addition to the $250 per parcel, the City would receive the tax from Fire Protection District No. 1, plus any subventions received from the State based on population and sales tax generated by future residents. Council Member Murray indicated that the City's population has grown approximately 30 percent in the last six or seven years with virtually no increase in the police force other than through grant funds. He questioned whether the $250 per parcel would generate the funds necessary to provide protection to the area. Mr. Perry stated that he would provide the City Council with the background information utilized in arriving at the established fee. In response to Council Member P. Anderson, Public Works Director Galusha related that the Stillwater Sewer Line would be constructed in stages with Clover Creek Trunk Line being utilized in the interim. He explained that a segment of the Clover Creek Trunk line was oversized to accommodate the staging process. The proposed pump station would have a 15 to 25 year useful life before being abandoned. Bill Kennicott, 11235 Old Oregon Trail, said the FEMA map depicts four acres of his property within the 100 year floodplain. However, every winter approximately six to seven acres sheet flood from West Stillwater. He expressed concern that future development would provide further flooding problems for residents in the area. Mr. Perry explained that according to City policy, new development would not be permitted to increase the flows to existing creeks. In addition to the FEMA map, the City would also be required to undertake a 100-year floodplain study for Stillwater Creek to determine where development could occur. He cautioned that the City could not control development on areas located outside the City. Council Member McGeorge questioned whether the City should conduct the 100-year floodplain study before attempting to form an assessment district, thereby ensuring the residents know the development potential of their property. 14 12/06/94 Mayor R. Anderson asked whether Sharrah Dunlap Sawyer, Inc. had informed the residents that the densities of their property were subject to change. Chris Kraft, representing Sharrah Dunlap Sawyer, Inc., stated that the residents are only aware of the 100-year floodplain as depicted on the FEMA map. Mr. Perry clarified that the assessment district spreads will produce some of that necessary information prior to residents agreeing to become part of the assessment district. Council Member Murray opined that infrastructure should not be the only reason to approve an annexation, but the City as a whole should be considered. He suggested that the Police and Fire Departments review the proposed boundary areas and provide input as to whether these areas can be adequately served. Mr. Kraft provided the City Council with the background leading up to the request to form an assessment district. He viewed this as an opportunity for the City to obtain control of the planning decisions within its Sphere of Influence. He noted that, to date, there has been a tremendous amount of interest shown in the proposed assessment district. At this point, however, the City Council needs to determine whether it will require individuals to become part of a Mello-Roos District and whether it is willing to front the necessary annexation and assessment district fees until the assessment district is formed. Mayor R. Anderson reaffirmed the City Council's position that there would be no annexations without a Mello-Roos District. He explained that without the Mello-Roos district, existing residents would bear the burden of paying for police and fire protection to the area. He was not certain whether he could support the annexation if only 51 percent of the property owners were in support. Given the amount of area involved, Council Member McGeorge suggested that the Police and Fire Departments prepare a report regarding the proposed annexation. He also requested the report include the number of residences that could ultimately be developed in the area. In response to Council Member McGeorge, Mr. Kraft believed the final spread sheets for the assessment district would adequately depict the developable areas. Mr. Kennicott stated that the residents in the area have not been informed the densities may ultimately differ from that depicted on the FEMA map or that detention basins may be required. He stressed the importance of ensuring the information is conveyed to the property owners. Interim City Manager McMurry explained that the necessary studies would be completed before the assessment spreads are done. This will enable the residents to know the amount of developable area available prior to voting on the assessment district. MOTION: Made by Council Member Murray, seconded by Council Member McGeorge, directing staff to go forward in facilitating the long-range utility plan for the Stillwater area and submit a resolution appropriating the necessary funds to cover all annexation and Mello-Roos costs until the sewer assessment district is formed, with the understanding that the City Council has expressed a willingness to include opposed property owners in an annexation boundary. The Vote: Unanimous Ayes At the hour of 9:20 p.m., Mayor R. Anderson declared the meeting recessed. At the hour of 9:30 p.m., Mayor R. Anderson reconvened the meeting to regular session. ACQUISITION OF PROPERTY - 9749 Abernathy Lane (C-070-010) 15 12/06/94 Director of Planning and Community Development Perry explained that a parcel near the intersection of Abernathy Lane and Tarmac Road is for sale with an asking price of $150,000. The property is currently occupied by an elderly gentlemen who has a life estate interest in the property and his adult daughter. Mr. Perry related the property is located in the unincorporated area of Shasta County and is adjacent to City-owned property designated as a possible softball complex site. While a specific use for the property has not been identified, possible uses include additional land to accommodate a sports complex or other City facilities. If the City Council is interested in acquiring this parcel, the action would be to authorize staff to prepare a purchase offer for signature by the Mayor subject to: a purchase price of $150,000 or fair market value whichever is less; a determination by the Planning Commission that acquisition would be consistent with the Redding General Plan; the property being free of environmental hazards; and the property being delivered to the City free and clear of all encumbrances. Staff would also need to obtain an appraisal and an environmental assessment, determine relocation benefits, and develop a financing plan for the City Council's consideration. The approximate cost for an appraisal and an environmental assessment is $5,000. In response to Council Member Murray, Mr. Perry advised that the listing agent has indicated that the beneficiaries of the life estate have agreed to vacate the life estate upon acquisition. Council Member Murray questioned why the City would be required to pay relocation expenses if the property is voluntarily sold. City Attorney Hays explained that State statue mandates that relocation is an aspect of acquisition of private property by a governmental agency. He noted in some instances a governmental agency might be required to relocate trespassers. Council Member Murray saw no benefit in performing an environmental assessment until a purchase price is agreed upon. He suggested that the City write an offer based on the appraised value or the offered price, whichever is less, including any relocation benefits, subject to an appraisal and an environmental assessment. MOTION: Made by Council Member Murray, seconded by Council Member McGeorge, authorizing staff to prepare a purchase offer subject to the following: purchase price of $150,000 or fair market value, whichever is less; a determination by the Planning Commission that acquisition would be consistent with the Redding General Plan; the property being free of environmental hazards; and the property being delivered to the City free and clear of all encumbrances. Staff is further authorized to obtain an appraisal and an environmental assessment, determine relocation benefits, and develop a financing plan for the City Council's consideration. The Vote: Unanimous Ayes REQUEST TO PURCHASE CITY SURPLUS PROPERTY - 4800 Mountain Lakes Boulevard by Michael Burke (C-070-200) Council Member Murray abstained from discussion and voting on this matter. Director of Planning and Community Development Perry stated that Michael Burke has proposed to purchase approximately 87,000 square feet of City surplus land located at 4800 Mountain Lakes Boulevard. Mr. Burke is in the process of acquiring the adjacent parcel to the south on Mountain Lakes Boulevard on which he plans to construct three buildings for general industrial purposes. The purpose of acquiring the City property would be to allow for more parking and to enhance circulation for the large trucks that will be accessing the property after development. It is the recommendation of staff that the City Council refer the request to departments and to the Planning Commission prior to selling the property as requested. It is possible that by selling only the area 16 12/06/94 requested by Mr. Burke, the remainder could have little value or marketability for some time in the future. However, given the location of the property and the current real estate market, it may be some time before the entire parcel would be sold. There may also be some benefit in looking at parcel configurations other than that requested. MOTION: Made by Council Member P. Anderson, seconded by Council Member McGeorge, directing staff to refer the request of Michael Burke to purchase City surplus property at 4800 Mountain Lakes Boulevard to City departments and the Planning Commission. Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge and R. Anderson Noes: Council Members - None Abstain: Council Members - Murray Absent: Council Members - Kehoe RESOLUTION - Change of City's Group Medical Third-Party Administrator from CoreSource to Acordia (P-100-150-030) Director of Personnel Bristow explained that the City uses a third-party administrator, CoreSource, to pay claims submitted by City employees in conformance with the designed benefit plan. The performance of CoreSource has deteriorated to an unacceptable level and, in some instances, has been so unacceptable that employees had been referred to collection agencies because of a failure to pay claims in a timely manner. Based on the recommendation of the City's employee benefit broker consultant, Business Insurance Services, and his knowledge of the insurance market, staff is not confident the situation with CoreSource will improve over the long run. Mr. Bristow stated that the City's employee benefit broker has researched the market for third-party administrative services and considered five firms prior to recommending that the City switch to Acordia effective January 1, 1995. Staff, therefore, believes the research serves as a reasonable substitute for a more formal request for proposal process. The consultant has also conducted a background review of Acordia's level of service. The negotiated contract will also result in a lower fee than is currently being paid to CoreSource, thereby reducing the City's cost by approximately $17,000. It is the recommendation of staff that the City Council adopt the resolution approving the change in the City's third-party administrator from CoreSource to Acordia effective January 1, 1995. In response to Council Member Murray, Interim City Manager McMurry stated that the City maintains an annual contract with Business Insurance Services to serve as the City's employee benefit broker and shop the market for various kinds of insurance required by the City. The process followed by the consultant basically serves as a Request for Proposal. MOTION: Made by Council Member P. Anderson, seconded by Council Member McGeorge, that Resolution No. 94-348 be adopted, a resolution of the City Council of the City of Redding approving entering into a one-year contract with the Acordia Company as the City's Group Medical Third- Party Administrator, effective January 1, 1995; and authorizing the Mayor to execute the necessary documentation. Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson Noes: Council Members - None Absent: Council Members - Kehoe Resolution No. 94-348 is on file in the office of the City Clerk. RESOLUTION SETTING PUBLIC HEARING- Request by Downtown Mall Association to Reduce Parking and Business Improvement Area District Assessment (M-010-200-050) City Clerk Strohmayer stated that the Downtown Mall Association submitted a request to reduce the Parking and Business Improvement Area Assessment which is imposed on businesses within the benefit district by 20 percent. She indicated that the Parking and Business Improvement 17 12/06/94 Area District was established in 1971 to fund advertising, decorations and promotional activities in the Downtown Mall. The City collects the revenue quarterly for the merchants and retains an annual $2,000 administrative fee. Ms. Strohmayer related Redding Municipal Code Section 6.18.110 provides that the City Council may make changes in the rate by an ordinance adopted after a public hearing. Ms. Strohmayer explained that in order to proceed with the implementation of the request, the City Council must adopt a resolution of intention to decrease the assessment rate by 20 percent and set a public hearing for January 3, 1995. In response to Council Member Murray, City Attorney Hays explained that the purpose of the hearing is to consider the proposed rate adjustment. He emphasized the monies collected are used for promotional activities at the Downtown Mall. Ms. Strohmayer reiterated that all proceeds collected by the City are returned to the Downtown Mall Association, with the exception of a $2,000 administrative fee. MOTION: Made by Council Member P. Anderson, seconded by Council Member Murray, that Resolution No. 94-349 be adopted, a resolution of the City Council of the City of Redding in the matter of a decrease in rate in the Parking and Business Improvement Area established pursuant to the provisions of the Parking and Business Area Improvement Law of 1965 and the provisions of Chapter 6.18 of the Redding Municipal Code and setting a public hearing for 7:00 p.m., January 3, 1995. Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson Noes: Council Members - None Absent: Council Members - Kehoe Resolution No. 94-349 is on file in the office of the City Clerk. RESOLUTION - Approving Contract Change Order No. 2 with Pace Engineering for Inspection Services, Convention Center Roof * (B-130-070 & C-050-050) Director of Public Works Galusha provided an overview of the Report to City Council dated December 1, 1994, incorporated herein by reference, concerning the renovation of the roof on the Redding Convention Center. He explained that in October 1993, the construction contract was complete and the final punch list items were being completed when it was discovered that the tapered foam boards under the foam roof in the lower roof area were pulling loose from the concrete roof deck. Upon investigation by Pace Engineering, it was learned that the tapered boards were not properly sealed down to the concrete deck and the contract was put on hold for completion until this rather significant problem could be addressed by the contractor. At this point, the roof was considered under warranty for water tightness and the contract performance bond was still in effect. Unfortunately for the contractor, major repair work on a foam roof has to be done in hot and dry weather which meant the repair work could not be undertaken until the summer of 1994. Mr. Galusha stated that the contractor's foam subcontractor tried several ways to "re-glue" the tapered foam board back to the concrete deck during the summer of 1994. By the end of summer, several methods had been tried and were unsuccessful. It was at this point that staff had Pace Engineering notify the contractor that he would have to totally remove those areas of the roof that had the tapered foam board and replace the removed areas with solid foam material as was originally specified in the contract. The contractor's subcontractor is still researching ways to "re-glue" the tapered board but there apparently is no industry standard for this type of situation. Staff is still insisting on the complete removal and replacement of the defective area. 18 12/06/94 Mr. Galusha indicated that because of the added engineering time that Pace Engineering has spent on the analysis and inspection of the defective roof areas, the contingency fund has been exhausted. Pace Engineering will be required to spend more time on engineering analysis and field inspection of the replacement of the defective roof areas. Staff estimates this added cost will be about $5,000. It is the recommendation of staff that the City Council authorize a change order with Pace Engineering in the amount of $5,000. There are sufficient funds available within the 1993 Lease Purchase financing to cover the cost of this work. In response to Council Member P. Anderson, Director of Finance Downing related that the project was financed through the Joint Powers Financing Authority. There are still funds available from this financing which are eligible to be utilized to cover engineering costs associated with the roof repair. Mayor R. Anderson noted that the Report to City Council dated December 1, 1994, incorporated herein by reference, indicates that Pace Engineering allowed the recommended work to be completed and questioned why the City should be required to pay more toward inspections. Mr. Galusha stated that the problem is believed to be associated with either something in the material or the workmanship. The contractor, Pace Engineering, and Assistant City Engineer Aasen had a meeting and agreed that the advice of an independent expert should be sought. He noted that the roof is not currently leaking, but there is a concern with high wind. Staff is not willing to accept the roof in the current condition, however, is working with the parties to obtain a solution and then require the contractor to do the necessary work. Council Member Murray questioned why the City did not require the contractor to pay directly for the costs associated with the extra work. Interim City Manager McMurry noted that everyone has been cooperative in mutually searching for a solution to this difficult problem and recommended that the City Council not complicate the matter further. Mr. Galusha explained that part of the $5,000 would be utilized to obtain an independent opinion, as well as compensate Pace Engineering for their time. If it is determined that the error is on the part of the contractor, all associated costs to repair the defective work will be recouped from the contractor. MOTION: Made by Council Member Murray, seconded by Council Member McGeorge, that Resolution No. 94-350 be adopted, a resolution of the City Council of the City of Redding approving entering into Public Works Contract Modification (Change Order) No. 2 dated November 14, 1994, between the City of Redding and Pace Engineering (Contract No. C-3035) in the amount of $5,000, in connection with performing additional tasks for the Convention Center Reroofing Project. Voting was as follows: Ayes: Council Members - P. Anderson, McGeorge, Murray and R. Anderson Noes: Council Members - None Absent: Council Members - Kehoe Resolution No. 94-350 is on file in the office of the City Clerk. CLOSED SESSION - City Attorney Discussion (A-050-05) Mayor R. Anderson stated that the City Council would adjourn to closed session pursuant to Section 54957 of the California Government Code to discuss the employment of a City Attorney. At the hour of 9:56 p.m., Mayor R. Anderson adjourned the meeting to closed session. At the hour of 10:33 p.m., Mayor R. Anderson reconvened the meeting to regular session. 19 12/06/94 MOTION: Made by Council Member Murray, seconded by Council Member McGeorge, authorizing the Mayor to negotiate with Leonard Wingate from the Law Firm of Wells, Wingate, Small & Graham for the purpose of providing contract legal services on an interim basis until such time as the City Council can recruit and hire a permanent City Attorney. The Vote: Unanimous Ayes Council Member Murray requested Interim City Manager McMurry to prepare a report reflecting the costs of regular legal services for the City Council's consideration on December 20, 1994. He was hopeful that at that point in time, the City Council could begin the process of hiring a permanent City Attorney. ROUTINE REPORTS AND OTHER COMMUNICATIONS Letter from FERC to Portland General Electric Company re Docket No. ER94-1420-000 Notice of Filing - Portland General Electric Company re Docket No. ER95- 152 (S-050-350) ADJOURNMENT There being no further business, at the hour of 10:35 p.m., Mayor R. Anderson declared the meeting adjourned. APPROVED: ________________________________ Mayor ATTEST: ______________________________ Connie Strohmayer