HomeMy WebLinkAboutMinutes - City Council - 1996-06-18 141
City Council, Regular Meeting
City Council Chambers
1313 California Street
Redding, California
June 18, 1996 7:00 p.m.
The Pledge of Allegiance to the Flag was led by City Manager Warren.
The Invocation was offered by Principal Planner Keaney.
The meeting was called to order by Mayor McGeorge with the following Council Members present:
P. Anderson, R. Anderson, Kehoe, Murray and McGeorge.
Also present were City Manager Warren, Assistant City Manager Perry, City Attorney Wingate,
Director of Public Works Galusha, Director of Electric Utility Lindley, Police Chief Blankenship, Fire
Chief Wagner, Director of Development Services Swanson, Director of Administrative Services
Starman, Principal Planner Keaney, Human Resources Manager Bachman, Acting Airports Director
Dinger, City Clerk Strohmayer, and Secretary to the City Council Rudolph.
PRESENTATION OF PLAQUE- In Appreciation of the City's Support and Assistance with "Kool
April Nites"
(A-050-060-600)
Mayor McGeorge noted the following contributions which"Kool April Nites" has made to the City:
$125,000 to Turtle Bay Park & Museum; pledged an additional $150,000 to Turtle Bay Park &
Museum over the next five years; pledged $50,000 over the next five years to Redding Dragstrip; and
considering the funding of a water feature at Enterprise Community Park.
Neal Roberts presented the City Council with a plaque expressing Kool April Nites' appreciation to
the City for its support. He indicated that this annual event would not be possible without the City's
assistance.
No action was required.
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. 23, for the period June 4, 1996, through June
13, 1996, check numbers 233607 through 234069 inclusive, in the amount of$2,753,795.78, and
Payroll Register No. 25, check numbers 419226 through 419936 inclusive, and electronic deposit
transaction numbers 29884 through 30160, totaling $1,322,124.16, for the period May 19, 1996,
through June 1, 1996, be approved.
TOTAL: $4,075,919.94
Ordinance - re Amending Redevelopment Plan for Market Street Redevelopment Project Area
(R-030-145)
It is recommended that Ordinance No. 2150 be adopted, an ordinance of the City Council of the City
of Redding, California, amending Ordinance No. 2103 establishing and amending certain limitations
with respect to the amended Redevelopment Plan for the Market Street Redevelopment Project Area.
Resolution- Agreement with Habitat for Humanity Shasta County re Acquisition of Lot within City
(G-100-030-041)
It is the recommendation of the Assistant City Manager that Resolution No. 96-119 be adopted, a
resolution of the City Council of the City of Redding approving the agreement, for the period June
18, 1996, through June 18, 1998, in an amount not to exceed $10,000.00, between the City of
06/18/96
142
Redding and the Habitat for Humanity Shasta County for the acquisition of a lot in the City of
Redding, and authorizing the City Manager to sign same.
Request to Acquire City Property - by Bob Meissner (North of Redding Municipal Airport)
(C-070-200)
It is the recommendation of the Assistant City Manager that Bob Meissner's request to acquire City
property located north of the Redding Municipal Airport be referred to City departments, the Housing
Authority, the Planning Commission, the Airports Commission, and the Recreation and Parks
Commission for review and recommendation.
Resolution - Extension of Cooperation Agreement with Redding Redevelopment Agency
(R-030-010 & R-030-060)
It is the recommendation of the Assistant City Manager that Resolution No. 96-120 be adopted, a
resolution of the City Council of the City of Redding authorizing the extension of the Cooperation
Agreement with the Redding Redevelopment Agency to June 30, 1997.
Resolution - Amending Memorandum of Understanding with Redding Employees Organization of
the Service Employees International Union, Clerical, Technical and Professional Unit
(P-100-050-124)
It is the recommendation of the Administrative Services Director that Resolution No. 96-121 be
adopted, a resolution of the City Council of the City of Redding approving Amendment No. 1 to the
Memorandum of Understanding (MOU) between the City of Redding and the Redding Employees
Organization of the Service Employees International Union - Clerical, Technical and Professional
Employees' Unit, thereby extending the term of the existing MOU to June 30, 1997; providing a 3.5
percent salary increase; and adding a section addressing the use of the City's volunteers.
Excess Worker's Compensation Insurance Policy
(R-100-375-325)
It is the recommendation of the Administrative Services Director that the City Council approve a
two-year policy for excess workers' compensation insurance with Employers Reinsurance
Corporation at a rate of$0.1186 per $100 of payroll, representing a 1.2 percent reduction over the
1995-96 period.
Resolution - Appropriating Funds for Community Special Events
* (B-130-070 & B-130-030)
It is the recommendation of the Administrative Services Director that Resolution No. 96-122 be
adopted, a resolution of the City Council of the City of Redding approving and adopting the 43rd
amendment to City Budget Resolution No. 95-153 appropriating an additional $25,800 for
community special events.
Resolution - Appropriating Funds for Outside Legal Services
* (B-130-070 & L-100)
It is the recommendation of the Administrative Services Director that Resolution No. 96-123 be
adopted, a resolution of the City Council of the City of Redding approving and adopting the 44th
amendment to City Budget Resolution No. 95-153 appropriating $49,490 for outside legal services.
Assembly Bill 1191
(L-040-300)
It is the recommendation of the Administrative Services Director that the City Council take a position
in support of Assembly Bill 1191, thereby clarifying sales tax distribution, and authorizing the Mayor
to send a letter to the appropriate legislators stating this support.
Development Services Department's Monthly Activity Report - May 1996
(A-050-250)
It is the recommendation of the Development Services Director that the Development Services
Department's Monthly Activity Report through May 1996 for the following work areas be accepted:
(1) Zoning, Subdivision, and General Plan Amendments; (2) Building and Population; (3) Housing
Assistance and Rehabilitation; and (4) General Plan Update.
06/18/96
143
Tentative Subdivision Map S-7-95 -Eastridge Estates Subdivision, by Bill Van Nes (19300 Lexington
Avenue)
(S-101-018)
It is recommended that the City Council accept the report containing the map and conditions of
approval for Eastridge Estates Subdivision (S-7-95) approved by the Planning Commission granting
permission to create 15 single-family residential lots on property located at 19300 Lexington Avenue.
Tentative Subdivision Map S-9-95 - East Brook Subdivision, by SBP Partners (2550 Old Alturas
111 Road)
(S-101-020)
It is recommended that the City Council accept the report containing the map and conditions of
approval for East Brook Subdivision (S-9-95) approved by the Planning Commission granting
permission to create nine single-family residential lots on property at 2550 Old Alturas Road.
Air Quality Emissions Credits
(E-020-010)
It is the recommendation of the Development Services Director that the City Council direct the
Mayor to send a letter to the Shasta County Air Pollution Control Board requesting that the
emissions banking rule be amended to allow for the banking of emission credits from mobile sources
by public agencies.
Set Public Hearing - re Rezoning Application RZ-10-95, by Bill Van Nes (19300 Lexington Lane)
(L-010-230)
It is the recommendation of the Development Services Director that a public hearing be set for 7:00
p.m., July 2, 1996, to consider the request to rezone property located at 19300 Lexington Lane from
"R1-B15" Single-Family Residential District to "R1-BFM" Single-Family Residential District.
Resolution Setting Public Hearing-re Abandonment Application A-2-96, by the City of Redding (Del
Monte Street Right-of-Way Adjacent to 2185 Churn Creek Road)
(A-010-100)
It is the recommendation of the Development Services Director that Resolution No. 96-124 be
adopted, a resolution of the City Council of the City of Redding declaring its intention to vacate that
portion of the Del Monte Street right-of-way lying adjacent to property located at 2185 Churn Creek
Road (A-2-96) and setting a public hearing for 7:00 p.m., July 16, 1996.
Participation in HOME Investment Partnership Program
(G-100-075-200)
It is the recommendation of the Development Services Director that the City continue its participation
in the HOME Program on the State level and not obtain Federal Participating Jurisdiction status at
this time.
Resolution - Contract with Department of Energy, Western Area Power Administration
(E-120-900)
It is the recommendation of the Electric Utility Director that Resolution No. 96-125 be adopted, a
resolution of the City Council of the City of Redding approving Exhibit A, Revision 1, to Contract
No. 94-SAO-00004 with the Department of Energy, Western Area Power Administration, retroactive
to January 1, 1996, thereby reducing the City's energy losses 1.5 percent on the cost of power from
any resource delivered over Western's System.
Resolution - Approving Fiscal Year 1996-97 Budget for Shasta Interagency Narcotics Task Force
(P-150-150)
It is the recommendation of the Police Chief that Resolution No. 96-126 be adopted, a resolution of
the City Council of the City of Redding approving the Fiscal Year 1996-97 budget for the Shasta
Interagency Narcotics Task Force in the amount of$68,300.
Agreement - re Insurance Benefit Consulting Services for 1996-97
(P-100-150)
It is the recommendation of the Human Resources Manager that the City Council authorize entering
into a contract with The Epler Company for insurance benefit consulting services for the 1996-97
fiscal year at a fixed cost of$14,500.
06/18/96
144
Award of Bid -Bid Schedule No. 3013, Solid Waste Containers and Cardboard Recycling Containers
(B-050-100)
It is the recommendation of the General Services Director that Bid Schedule No. 3013, solid waste
containers and cardboard recycling containers, be awarded to Consolidated Fabricators of Galt, CA
for $50,138.30.
Award of Bid - Bid Schedule No. 3018, Regent Avenue/Placer Street Drainage Improvements
Resolution - Appropriating Funds
* (B-130-070 & B-050-020 & S-101-108)
111
It is the recommendation of the Public Works Director that Bid Schedule No. 3018 (Job No. 9048-
12), Regent Avenue/Placer Street Drainage Improvements, be awarded to River City Construction
in the amount of$91,377, an additional $6,000 be approved to cover the cost of engineering and
inspection fees, and $10,000 be approved to provide a construction contingency fund, for a total of
$107,377.
It is also recommended that Resolution No. 96-127 be adopted, a resolution of the City Council of
the City of Redding approving and adopting the 45th amendment to City Budget Resolution No. 95-
153 appropriating $10,000 for the Regent Avenue/Placer Street Drainage Improvement Project.
It is further recommended that the Council make the following findings regarding ED-1-96:
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 March 6, 1996.
Acceptance of Final Map-Country Heights, Unit 16, Phase 1 (S-6-95) (end of Wasatch Drive, south
of Placer Street)
(S-100-108)
It is the recommendation of the Public Works Director that the Final Map for Country Heights
Subdivision, Unit 16, Phase 1, be approved, the Mayor be authorized to sign the Subdivision
Agreement, and the City Clerk file the Map with the Shasta County Recorder.
Award of Bid - Bid Schedule No. 3025, Benton Landfill Well Abandonment and Construction
(B-050-020 & S-020-300)
It is the recommendation of the Public Works Director that Bid Schedule No. 3025 (Job No. 2015-
76), Benton Landfill well abandonment and construction, be awarded to Diamond Core Drilling, in
the amount of$38,371.91, an additional $5,550 be approved to cover the cost of engineering and
inspection fees, and $6,450 be approved to provide a construction contingency funds, for a total of
$50,376.
Notice of Completion-Bid Schedule No. 2916, Anti-Spawning Mat Placement - Sacramento River
(B-050-020 & S-070-050-100)
It is the recommendation of the Public Works Director that Bid Schedule No. 2916 (Job No. 9882-
28), anti-spawning mat placement - Sacramento River, awarded to DRS Marine, Inc., be accepted
as satisfactorily completed and the City Clerk authorized to file the Notice of Completion. The final
contract price is $34,689.
Notice of Completion-Bid Schedule No. 2987, Renovation of Shasta Cascade Wonderland Building
(B-050-020 & C-050)
It is the recommendation of the Public Works Director that Bid Schedule No. 2987 (Job No. 9107-
71), renovation of Shasta Cascade Wonderland Building, awarded to Shasta Construction of Redding
be accepted as satisfactorily, and the City Clerk authorized to file a Notice of Completion. The final
contract price is $80,893.54.
MOTION: Made by Council Member R. Anderson, 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 -P. Anderson, R. Anderson, Kehoe, Murray& McGeorge
Noes: Council Members - None
Absent: Council Members - None
06/18/96
145
Resolution Nos. 96-119, 96-120, 96-121, 96-122, 96-123, 96-124, 96-125, 96-126, 96-127 and
Ordinance No. 2150 are on file in the Office of the City Clerk.
LETTER OF RESIGNATION - Senior Citizens Facility Advisory Commission Representative
LaVonne Schaul
(B-080-450)
MOTION: Made by Council Member R. Anderson, seconded by Council Member Kehoe, to accept
LaVonne Schaul's resignation from the Senior Citizens Facility Advisory Commission effective June
4, 1996. The Vote: Unanimous Ayes
At the hour of 7:05 p.m., Chair Kehoe convened the adjourned special meeting of the Redding
Redevelopment Agency with the following Members present: P. Anderson, R. Anderson, Murray and
Kehoe.
CONTINUED JOINT PUBLIC HEARING - re SHASTEC Redevelopment Area Project
(R-030-200)
The hour of 7:00 p.m. having arrived, Mayor McGeorge opened the joint public hearing with the
Redding City Council and the Redding Redevelopment Agency (Agency) regarding the SHASTEC
Redevelopment Area Project.
Mayor McGeorge stated the purpose of the meeting was to continue the public hearing to consider
and act upon the Redevelopment Plan for the SHASTEC Redevelopment Project.
Associate Planner Haddox entered into the record the Report and Recommendation of the Redding
Planning Commission, Report and Recommendation of the Anderson Planning Commission, and the
Report and Recommendation of the Shasta County Planning Commission which are to be included
as part of the Report to the Legislative Bodies previously submitted as Exhibit 6.
Mayor McGeorge stated that the City Council and the Agency are acting under the Community
Redevelopment Law of the State of California which requires that certain procedures, some of them
formal, be followed in the conduct of the joint public hearing. He related that a transcript of the
hearing would be made and any persons making statements and giving testimony would be sworn in
and subject to questions through the Mayor. He indicated that all individuals wishing to speak would
be given an opportunity to do so.
Mayor McGeorge asked for a show of hands of those in the audience who wished to speak. No one
indicated a desire to speak on the matter.
Assistant City Manager Perry indicated that he and Ms. Haddox had previously been sworn in,
therefore, it was not necessary to do it again.
Mayor McGeorge outlined the order of procedure as follows: (1) Written comments submitted since
June 4, 1996, would be received; (2) Receipt of any evidence or oral testimony from those present
concerning the Redevelopment Plan; and (3) Following the introduction of all evidence and
testimony, the public hearing would be closed and then consideration and action would be given to
all objections and act upon the Redevelopment Plan, unless written objections on the Redevelopment
Plan had been received from property owners or affected taxing entities, in which case, these
objections would be considered and acted upon and then act upon the Redevelopment Plan at the
Agency and City Council meetings of July 2, 1996.
Mayor McGeorge asked if staff had any further comments.
Ms. Haddox noted that staff had no further comments at this time. She related that there had been
no written comments received to date.
Mayor McGeorge determined that there was no one present wishing to speak for or against the plan
and closed the public hearing.
06/18/96
146
Council Member Murray referenced page 13 of the Findings on Significant Effects, particularly the
section dealing with electricity and gas, and questioned whether the 100 feet referenced is within
PG&E's easement.
Associate Planner Morgon believed the 100 feet was within PG&E's easement. Council Member
Murray asked staff to provide a definite answer as to whether this 100 feet is within PG&E's
easement.
Chair Kehoe stated that the Agency would now act on the matters before it.
Mr. Perry read into the record the title of the resolution certifying and making the findings as to the
Final Environmental Impact Report on the Redevelopment Plan for the SHASTA Redevelopment
Project.
MOTION: Made by Agency Member R. Anderson, seconded by Agency Member Murray, that
Resolution No. 96-15 be adopted, a resolution of the Redding Redevelopment Agency adopting
findings as to the Final Environmental Impact Report for the Redevelopment Plan for the Shastec
Redevelopment Project and adopting a mitigation monitoring plan.
Voting was as follows:
Ayes: Agency Members - P. Anderson, R. Anderson, Murray and Kehoe
Noes: Agency Members - None
Absent: Agency Members - None
Resolution No. 96-15 is on file in the office of the Redding Redevelopment Agency.
Mr. Perry read into the record the title of the resolution finding that the use of taxes allocated from
the Project Area for the purpose of improving and increasing the community's supply of low- and
moderate-income housing outside the Project Area will be of benefit to the Project.
MOTION: Made by Agency Member Murray, seconded by Agency Member R. Anderson, that
Resolution No. 96-16 be adopted, a resolution of the Redevelopment Agency of the City of Redding
finding that the use of the taxes allocated from the Shastec Redevelopment Project for the purpose
of improving and increasing the community's supply of low- and moderate-income housing outside
the project area will be of benefit to the project.
Voting was as follows:
Ayes: Agency Members -P. Anderson, R. Anderson, Murray and Kehoe
Noes: Agency Members - None
Absent: Agency Members- None
Resolution No. 96-16 is on file in the office of the Redding Redevelopment Agency.
There being no further business, at the hour of 7:15 p.m., Chair Kehoe declared the meeting of the
Redding Redevelopment Agency adjourned.
Mayor McGeorge stated that the City Council would now consider and act on the matters before it.
City Clerk Strohmayer read into the record the title of the resolution making findings as to the Final
Environmental Impact Report for the SHASTEC Redevelopment Project.
MOTION: Made by Council Member Kehoe, seconded by Council Member Murray, that Resolution
No. 96-128 be adopted, a resolution of the City Council of the City of Redding making findings as
to the Final Environmental Impact Report for the Redevelopment Plan for the Shastec
Redevelopment Project and adopting a Mitigation Monitoring Plan.
Voting was as follows:
Ayes: Council Members - P. Anderson, R. Anderson, Kehoe, Murray and McGeorge
Noes: Council Members - None
Absent: Council Members - None
Resolution No. 96-128 is on file in the office of the City Clerk.
06/18/96
147
City Clerk Strohmayer read into the record the title of the resolution finding that the use of taxes
allocated from the Project Area for the purpose of improving and increasing the community's supply
of low- and moderate-income housing outside the Project Area will be of benefit to the Project.
MOTION: Made by Council Member P. Anderson, seconded by Council Member R. Anderson, that
Resolution No. 96-129 be adopted, a resolution of the City Council of the City of Redding finding
that the use of taxes allocated from the SHASTEC Redevelopment Project for the purpose of
improving and increasing the community's supply of low- and moderate-income housing outside the
project area will be of benefit to the project.
Voting was as follows:
Ayes: Council Members - P. Anderson, R. Anderson, Kehoe, Murray and McGeorge
Noes: Council Members -None
Absent: Council Members - None
Resolution No. 96-129 is on file in the office of the City Clerk.
City Clerk Strohmayer read into the record the title of the ordinance approving and adopting the
Redevelopment Plan for the Shastec Redevelopment Project.
Council Member R. Anderson offered Ordinance No. 2151 for first reading, an ordinance of the City
Council of the City of Redding, California, approving and adopting the Redevelopment Plan for the
Shastec Redevelopment Project.
MOTION: Made by Council Member R. Anderson, seconded by Council Member Murray, that the
full reading of Ordinance No. 2151 be waived and the City Attorney be instructed to read the full
title. The Vote: Unanimous Ayes
PUBLIC HEARING- re Rezoning Application RZ-13-95, by Azi Barzin (11489 Ridgewood Drive)
(L-010-230)
The hour of 7:00 p.m. having arrived, Mayor McGeorge opened the public hearing regarding RZ-13-
95.
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 June 3, 1996
City Clerk Strohmayer advised that no protests were received.
Principal Planner Keaney provided an overview of the Report to City Council dated June 3, 1996,
incorporated herein by reference, regarding the request to rezone property located at 11489
Ridgewood Drive from "R1-B15" and"R1-B20" Single-Family Residential Districts to "R1-BFM"
Single-Family Residential District. He noted that the rezoning is necessitated by the fact that the
North Brook Subdivision does not conform with the City's zoning.
It is the recommendation of both the Planning Commission and staff that the City Council ratify the
Negative Declaration, approve the rezoning as recommended, offer the necessary ordinance for first
reading, and waive the full reading of said ordinance.
Randy Franck, P.O. Box 493696, opined that the City should not be allowing lots which are smaller
than one-half acre.
Mayor McGeorge determined that there was no one else present wishing to speak on the matter and
closed the public hearing.
06/18/96
148
MOTION: Made by Council Member Kehoe, seconded by Council Member R. Anderson, that the
City Council approve the rezoning as recommended and make the following findings regarding RZ-
13-95:
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 Planning Commission on May 14, 1995. The Vote:
Unanimous Ayes
Council Member Kehoe offered Ordinance No. 2152 for first reading, 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 "RI-BFM" Single-Family
Residential District (RZ-13-95).
MOTION: Made by Council Member Kehoe, seconded by Council Member R. Anderson, that the
full reading of Ordinance No. 2152 be waived and the City Attorney instructed to read the ordinance
by title only. The Vote: Unanimous Ayes
REAPPOINTMENT - Senior Citizens Facility Advisory Commission
(B-080-480)
MOTION: Made by Council Member R. Anderson, seconded by Council Member Murray, to
reappoint Linda Davis to serve as the Recreation and Parks Commission's representative to the
Senior Citizens Facility Advisory Commission for a two-year term expiring May 1, 1998. The Vote:
Unanimous Ayes
APPOINTMENT - General Plan Task Force
(G-030-010)
MOTION: Made by Council Member Kehoe, seconded by Council Member P. Anderson, to appoint
William Cox to the General Plan Task Force. The Vote: Unanimous Ayes
CONVENTION CENTER ACCESS - Request by Albert Hribar
(C-050-050)
City Manager Warren related that Albert Hribar had contacted the Fire Marshal, the Fire Chief, and
the Community Services Director to discuss the need for additional ingress and egress to the
Convention Center area. He explained that staff has been considering Mr. Hribar's suggestion for
an additional exit south of the posse grounds onto Eureka Way via the cemetery. He indicated the
following issues need to be considered: 1) Would the City be required to take land from the posse
grounds; 2) Are there artifacts on the property and would the City be able to perform the necessary
paving; and 3) The owner of the cemetery would need to concur. In conversations with the cemetery
owner, the City indicated that the access would be only used in the following instances: in emergency
situations; as an exit for night-time events; and during a number of events which would be
predetermined with at least five working days advanced notice. He stated that security would be
provided to eliminate problems within the cemetery area, and the City would replace any square
footage taken from the posse grounds.
Mr. Warren stated that Mr. Hribar believes this to be a high priority due to the safety issue and
wanted the project completed within three months. He indicated that he informed Mr. Hribar that
the process could take longer than three months to complete. He recommended that the City Council
direct staff to continue working on this matter and bring back a report for the City Council's
consideration which outlines associated costs.
Albert Hribar read into the record his concerns, as outlined in his letter to the City Manager dated
June 7, 1996, incorporated herein by reference, concerning the lack of additional ingress and egress
to the City's Convention Center. He requested the City to close this area to public access
immediately, as the City is in violation of its own ordinances and laws, particularly its Fire Ordinance.
He urged the City Council to view this situation as a crisis and convey the urgency to City staff. He
proposed constructing a pedestrian exit in the cemetery which would allow pedestrians to walk
through the posse grounds, up the pedestrian walk, and out onto Eureka Way, while emergency
vehicles would travel north bound on Continental Street into the rodeo grounds. He stated that only
a small maintenance garage on Continental Street would need to be relocated. Since he viewed this
06/18/96
149
as an emergency situation, he believed there would be risk management funds available for the
necessary improvements.
Mayor McGeorge conveyed the City's appreciation to Mr. Hribar for his suggestion. He noted that
it does take a certain amount of time to accomplish projects such as this, however, he believed staff
understood the urgency of the situation.
Council Member P. Anderson commended Mr. Hribar for his innovative suggestion. She conveyed
that she has also been concerned about the single entrance to the Convention Center.
Council Member Murray expressed his appreciation to Mr. Hribar, however, he stressed that the
cemetery property does not belong to the City. He acknowledged the City Council's sentiment to
resolve this situation, but he believed that discussions regarding the acquisition of this property at
tonight's meeting should be limited and possibly held in closed session.
Mr. Hribar stated that the City obtains easements from private parties all the time and this situation
should be no exception. He did not believe the City should hesitate in approaching the property
owner regarding the acquisition of the necessary property. He indicated that these improvements
need to be done or the City should close it to public use,just like it would require a private company
to do.
MOTION: Made by Council Member Kehoe, seconded by Council Member R. Anderson, to refer
the need for additional access to and from the Convention Center and surrounding area to the City
Manager and staff for analysis and recommendation. The Vote: Unanimous Ayes
CONTRACT FOR CIVIC CENTER PROJECT MANAGER
(C-050-025 D-050)
City Manager Warren noted that the Civic Center project is currently on schedule. He indicated that
the items before the City Council represented an off ramp whereby the project could be stopped. He
stated that the City has factored into the Ten-Year Financial Plan potential revenue sources and
expenditures relative to the Civic Center. He stressed that a business plan is no guarantee as to the
City's future financial position given such things as Proposition 62 and the Jarvis Initiative. He
explained that staff plans to bring an item back to the City Council for its consideration prior to the
November election regarding the Civic Center's bond issue. He acknowledged that the Jarvis
Initiative would not affect the Certificates of Participation, but it may affect the bond market in
general. He stressed that the City also needs a clear understanding of the ramifications associated
with Proposition 62 with regard to the transient occupancy and business license tax increases on the
Civic Center project and general fund operations.
Mr. Warren recommended that the City Council move forward slowly, but surely with the Civic
Center project, especially with regard to the bond underwriter and bond counsel. He explained that
the City needs legal counsel to determine how Proposition 62 will affect the bond issue and a review
of the entire general fund to ascertain the ability of the general fund to withstand the effects of
Proposition 62 and the Jarvis Initiative.
Mr. Warren's Report to City Council dated June 11, 1996, incorporated herein by reference,
contained a copy of a draft contract with Nadon Management to serve as the Civic Center project
manager. The contract provides for a fixed fee of$245,000 and includes an additional $15,000 if the
project is completed on time and an additional $15,000 if the project is completed within budget. It
was noted that without the incentives, the fee is equivalent to 1.67 percent of the project. The
contract also contains a 30-day cancellation clause. He stressed that a project manager is essential
to ensure that the project is done correctly, is completed on time, and is completed at or under
budget.
It is the recommendation of staff that the City Council retain Nadon Management as the project
manager for the Civic Center and the Mayor be authorized to sign said contract when approved by
the City Attorney.
06/18/96
150
Council Member Kehoe stated that he would support staff's recommendation with the understanding
that there are still off ramps where the project can be stopped depending on the City's financial
situation.
Council Member Murray believed that the contract should contain a clause which addressed how
change orders approved by the City would impact the contractor's project bonus or how acts beyond
the contractor's control would affect the bonus. Mr. Warren replied that the contractor would not
be penalized if the City has approved the changes.
Council Member Murray still believed the contract needed additional clarification. He recommended
that the following sentence be added to the end of Paragraph 21: "Early termination, for any reason,
would be considered a forfeiture of any right or claim to all performance bonuses." He also clarified
that the $112.50 referenced in Exhibit E was the recommended price per square foot in 1995 and was
to be adjusted by a formula recommended by the Civic Center Committee to provide for inflation.
Assistant City Manager Perry interjected that any time line extension would require an addendum to
the contract. He added that if the project were frozen, the contract would need to be amended to add
days onto the time line as non-working days.
MOTION: Made by Council Member R. Anderson, seconded by Council Member P. Anderson, to
approve the contract with Nadon Management in the amount of$245,000 to serve as project manager
for the Civic Center Project and authorize the Mayor to sign said contract. The Vote: Unanimous
Ayes
UNDERWRITER AND FINANCIAL ADVISOR FOR CIVIC CENTER BOND ISSUE
(C-050-025 & D-050)
City Manager Warren's Report to City Council dated June 7, 1996, incorporated herein by reference,
recommended that the City Council move forward with preparation for the sale of bonds to finance
the Civic Center project and directed staff to proceed with selecting an underwriter and a financial
advisor. It is further recommended that the City Council direct staff to develop a request for
proposals for both underwriter and financial advisory services.
In response to Council Member Kehoe, Administrative Services Director Starman explained that
recently the City has not utilized the service of a financial advisor, but relied upon City staff. He
related that staff is proposing to issue a Request for Proposals (RFP) to determine the cost of a
financial advisor, however, the firm would be utilized in a very narrow sense. He indicated this would
allow an independent party to look at the information and determine if the City is obtaining the most
cost-effective rate possible.
In response to Mayor McGeorge, Mr. Starman stated that the City Council is only being requested
to authorize the issuance of an RFP. He explained that if the bonds are issued and the Civic Center
is not constructed, there is the risk of negative arbitrage, whereby the investments may not generate
sufficient funds to cover the debt service over the term of the bonds. He stated that the bond
proceeds would have to be utilized for the Civic Center project. He noted the only exception would
be after the project's completion, at which time a percent of the issue could be used for other
purposes.
Council Member Murray noted that the City Council has an off ramp to stop the project up until the
day the construction contract is signed.
MOTION: Made by Council Member Murray, seconded by Council Member P. Anderson, to direct
staff to proceed with selecting an underwriter and financial advisor regarding the sale of bonds to
finance the Civic Center and develop a Request for Proposals (RFP) for both underwriter and
financial advisory services. The Vote: Unanimous Ayes
DISPOSITION OF SURPLUS PROPERTY
(C-070-200)
Assistant City Manager Perry provided an overview of the Report to City Council dated June 4,
1996, incorporated herein by reference, which contained recommendations relative to City-owned
properties which were being recommended for disposition and/or retention.
06/18/96
151
City Manager Warren identified the following four City-owned parcels which he believed were
extremely important not only to the surrounding neighborhood, but the community as a whole: East
Street, Airpark Drive and Placer Street, Buenaventura Boulevard, and across from CH2M Hill. He
recommended that these properties be sold with deed restrictions to control the type of development
which occurs on the property.
Council Member R. Anderson opposed the placement of additional deed restrictions on any properties
to be sold by the City. He opined that these types of restrictions lower the property's value. He
related that if the City is not satisfied with development which is occurring, the City's entire zoning
ordinance should be addressed and not just select projects.
Council Member Kehoe questioned whether the sale of the property at Airpark Drive and Placer
Street would compromise the integrity of the air operation at Benton Airpark.
Assistant City Manager Perry explained that the City would still retain an air easement over the
property, which is located outside both the approach and clear zones. He indicated that the proposed
use of the property would be office.
Council Member Kehoe questioned whether a location had been selected to relocate the park and if
the necessary monies were available. Mr. Perry replied that staff has a tentative location, however,
the Recreation and Parks Commission had not yet considered the matter.
In response to Council Member Kehoe, Mr. Warren stated that the City has a parcel on the west side
of the airport which is two to three times the size of the current park. He estimated it would cost
approximately $5,000 to till the soil, plant grass, and construct a small fence around the area.
Brent Owen, P.O. Box 2483, recalled that City Councils since the early 1970s have made it a public
policy to acquire property along the Sacramento River in an attempt to control development along
the river. He related that the river provides considerable open space and he opposed the sale of any
111 of the City's riverfront property, which he described as a precious nonrenewable resource.
Council Member R. Anderson clarified that the riverfront properties were being recommended for
retention.
Vi Klaseen objected to the park on Placer Street being declared as surplus property.
Council Member Murray saw no need to retain two parcels for the relocation of Fire Station No. 2.
He also favored the sale of the parking lots.
MOTION: Made by Council Member Murray, seconded by Council Member P. Anderson, to declare
the following properties as surplus: Eastside Road adjacent to Jiffy Mart (Property No. 1); Eastside
Road south of Clear Creek(Property No. 2); across from CH2M Hill (Property No. 13); and Churn
Creek Road (Property No. 15). The Vote: Unanimous Ayes
MOTION: Made by Council Member Murray, seconded by Council Member Kehoe, directing staff
to declare the following properties as surplus with the noted conditions: Heather Lane property
(Property No. 5)provided the Electric Department's staff is relocated; Airpark and Placer (Property
No. 12) provided a specific relocation site for the park is designated and an appropriate funding
mechanism is identified; and north of Clear Creek Road(Property No. 16) with the understanding any
historical sites are to be retained. The Vote: Unanimous Ayes
MOTION: Made by Council Member Murray, seconded by Council Member P. Anderson, to declare
a portion of the area southwest of Buenaventura Boulevard (Property No. 12) as surplus. The Vote:
Unanimous Ayes
06/18/96
152
MOTION: Made by Council Member Murray, seconded by Council Member R. Anderson, to declare
Parking Lot Nos. 1, 2, and 3 as surplus properties.
Voting was as follows:
Ayes: Council Members - P. Anderson, R. Anderson, Murray and McGeorge
Noes: Council Members - Kehoe
Absent: Council Members - None
Motion made by Council Member Murray to declare the properties on Latona Road (Property No.
3) and Riverland Drive (Property No. 4) as surplus properties for the purpose of finding a suitable
exchange with the Bureau of Land Management (BLM) and that these properties would not be sold
to anyone other than the BLM, died due to lack of a second.
Council Member Murray said he does not philosophically believe the City should own property
outside the City limits and noted that the BLM is aggressively pursuing ownership of riverfront
properties.
LEASE AGREEMENT - Redding Aero Enterprises, Inc. re Lease of Evergreen Facility at Redding
Municipal Airport
(C-070-100 & A-090-100)
Development Services Director Swanson provided an overview of the Report to City Council dated
June 10, 1996, incorporated herein by reference, concerning the proposed lease agreement with
Redding Aero Enterprises, Inc. for the lease of the Evergreen Facility at Redding Municipal Airport.
He explained that the proposed lease is for ten years with two additional five-year term options. He
stated that the rental rate would begin at $2,500 per month the first year and end with $5,500 in the
fifth year and continue until year ten. If the lease is extended, the rental rate would then be adjusted
in accordance with the terms outlined in the contract.
Mr. Swanson explained that staff is recommending the following changes to the lease agreement
contained in the Report to City Council: (1) Amending Section 5.03(a) to read: The monthly rent
during the first extended term shall be determined by an appraisal to estimate the fair market rent paid
for by Lessor. The monthly rent during the years two through five of the first extended term shall
be adjusted to the Consumer Price Index for all Urban Consumers published by the Bureau of Labor
Statistics of the U.S. Department of Labor for U.S. city average, all items; (2) Amending Section
Section 5.03(b) to read: The monthly rent during the seconded extended term shall be determined
by an appraisal to estimate the fair market rent paid for by Lessor. Thereafter, the monthly rent shall
be adjusted to the Consumer Price Index for all Urban Consumers published by the Bureau of Labor
Statistics of the U.S. Department of Labor for U.S. city average, all items; (3) Section 9.04: Last
sentence should read: Lessee shall promptly report to Lessor any subleases of the premises and
Lessee shall furnish Lessor with a copy of the sublease agreement which shall be approved by Lessor.
Such approval shall not be unreasonably withheld; and (4) Addition of Section 5.07 regarding the
resolution of appraisal disputes. He related that Redding Aero Enterprises has indicated that they
would like to have a written procedure, whereby an appraisal acquired by the City could be contested.
He stated that the City Attorney would be working jointly with Redding Aero Enterprises' legal
counsel to develop this language.
Council Members Kehoe and R. Anderson stressed the importance of bringing a finished product
before the City Council. It was recommended that when situations like this occur, that the item be
removed from the agenda and brought back at a subsequent meeting.
MOTION: Made by Council Member Murray, seconded by Council Member P. Anderson, to approve
the lease agreement with Redding Aero Enterprises, Inc. with the following modifications and
authorize the Mayor to execute said lease following the City Attorney's approval and review for
technical accuracy: (1) Amending Section 5.03(a)to read: The monthly rent during the first extended
term shall be determined by an appraisal to estimate the fair market rent paid for by Lessor. The
monthly rent during the years two through five of the first extended term shall be adjusted to the
Consumer Price Index for all Urban Consumers published by the Bureau of Labor Statistics of the
U.S. Department of Labor for U.S. city average, all items; (2) Amending Section Section 5.03(b) to
read: The monthly rent during the seconded extended term shall be determined by an appraisal to
estimate the fair market rent paid for by Lessor. Thereafter, the monthly rent shall be adjusted to the
Consumer Price Index for all Urban Consumers published by the Bureau of Labor Statistics of the
U.S. Department of Labor for U.S. city average, all items; (3) Section 9.04: Last sentence should
06/18/96
153
read: Lessee shall promptly report to Lessor any subleases of the premises and Lessee shall furnish
Lessor with a copy of the sublease agreement which shall be approved by Lessor. Such approval shall
not be unreasonably withheld; and (4) Addition of Section 5.07 regarding the resolution of appraisal
disputes. The Vote: Unanimous Ayes
EMPLOYEE GROUP INSURANCE
(P-100-150 & P-100-150-055)
Human Resources Manager Bachman provided an overview of the Report to City Council dated June
11, 1996, incorporated herein by reference, regarding the renewal of the following group insurance
contracts: (1) stop loss, aggregate stop-loss, and conversion; (2) employee and dependent life,
accidental death and dismemberment; and (3) long-term disability insurance.
Mr. Bachman explained that subsequent to the preparation of the staff report, it was determined that
waivers could not be obtained from Security Life of Denver for specific stop loss, aggregate stop-
loss, and conversion insurance due to an employee's pending liver transplant. He stated that it would,
therefore, be necessary to renew the contract with Connecticut General in the amount of$164,672
for this coverage. He also noted that staff is recommending that the City renew its contract with
Connecticut General for employee and dependent life, and accidental death/dismemberment insurance
at a cost of$168,180. In addition, he recommended that the City enter into a two-year contract with
U.S. Life for long-term disability insurance at a cost of$124,862 per year.
MOTION: Made by Council Member Murray, seconded by Council Member R. Anderson, to
approve the following: (1) renewal of the contract with Connecticut General for one year, in the
amount of $164,672, for specific stop-loss, aggregate stop-loss, and conversion insurance; (2)
renewal of the contract with Connecticut General for one year in the amount of $168,180 for
employee and dependent life and accidental death/dismemberment insurance; and (3) enter into a
contract with U.S. Life for two years at a cost of$124,862 per year for long-term disability insurance.
The Vote: Unanimous Ayes
ROUTINE REPORTS AND OTHER COMMUNICATIONS
LETTER FROM GENE KNAEBEL - re Risk Management and Recreation and Parks Divisions
(A-050-400 & A-050-220)
City Clerk Strohmayer read Gene Knaebel's letter dated June 5, 1996, incorporated herein by
reference, into the record. Mr. Knaebel commended personnel Risk Management and Recreation and
Parks Divisions staff for their timely and efficient manner in handling downed trees and property
damage at this residence.
This was an information item only.
LETTER FROM SHASTA MOSQUITO & VECTOR CONTROL DISTRICT
(B-080-480)
City Clerk Strohmayer read the letter from the Shasta Mosquito and Vector Control District dated
June 11, 1996, incorporated herein by reference, into the record. The letter discussed the proposed
replacement of the Mosquito Surveillance and Control Flat Rate Service Charge with a benefit
assessment charge to fund mosquito control programs.
This was an informational item only.
PUBLIC COMMENT
(T-010-600 & S-020-550 & P-050-460)
Randy Franck, P.O. Box 493696, opined that according to Proposition 62, the increase in the
transient occupancy tax from 8 percent to 10 percent in 1990 was illegal. He also asked for
information regarding the City's sale of mulch. He recommended that the City construct a pedestrian
path on Quartz Hill Road to allow children to travel from the surrounding neighborhoods to the park.
He stressed the importance of a trail, particularly in light of the additional development occurring in
the area and the increased traffic volume. He did not believe this would be costly, and even noted
the possibility that the project could be completed utilizing volunteers and donations from businesses.
06/18/96
154
ADJOURNMENT
There being no further business, at the hour of 9:02 p.m., Mayor McGeorge declared the meeting
adjourned to 2:00 p.m., Wednesday, June 19, 1996, in City Hall Conference Room A, 760 Parkview
Avenue, Redding, California, regarding the analysis and audit of the City's Electric Utility.
APP E D:
Mayor
ATTEST:
dr.4e -
City Clerk
06/18/96