HomeMy WebLinkAboutMinutes - City Council - 1996-08-06 196
City Council, Special Meeting
City Council Chambers
1313 California Street
Redding, California
August 6, 1996 5:30 p.m.
The Pledge of Allegiance to the Flag was led by Council Member Murray.
The Invocation was offered by Pastor John Wiseman, Neighborhood Church.
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, City Attorney Wingate, City Treasurer Linville, Director
of Administrative Services Starman, Director of Public Works Galusha, Police Chief Blankenship,
Fire Chief Wagner, Development Services Director Swanson, Police Captain Byard, Principal Planner
Keaney, Public Works Operations Manager Russell, Human Resources Manager Bachman, Senior
Accountant Maxwell, Assistant Planner Thompson, Assistant City Clerk Moscatello, and Secretary
to the City Council Rudolph.
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. 2, for the period July 16, 1996, through July
30, 1996, check numbers 234979 through 235641 inclusive, in the amount of$3,891,271.64, and
Payroll Register No. 1, electronic deposit transaction numbers 30723 through 31007 inclusive, and
check numbers 421275 through 422347 inclusive, totaling $1,503,963.04, for the period June 30,
1996, through July 13, 1996, and Payroll Register No. 2, electronic deposit transaction numbers
31008 through 31297 inclusive, and check numbers 422348 through 423023 inclusive, for the period
July 14, 1996, through July 27, 1996, totaling $1,268,217.88, be approved.
TOTAL: $6,663,452.56
Treasurer's Report - June 1996
(A-050-100-600)
Total Treasurer's Accountability - $ 83,621,648.07
Total City of Redding Funds, Funds Held in Trust
and Funds of Related Entities - $214,531,875.53
ACR133 Report and Cash Reconciliation
(F-205-095-650)
It is the recommendation of the Finance Officer that the ACR133 Report and Cash Reconciliation for
June 30, 1996, be accepted.
Ordinance No, 2155 -Repealing Redding Municipal Code Section 10.26.040 re Sacramento River
Area Regulations
(R-200-600)
It is recommended that Ordinance No. 2155 be adopted, an ordinance of the City Council of the City
of Redding amending Redding Municipal Code Chapter 10.26 entitled Sacramento River Area
Regulations by deleting Section 10.26.040 relative to personal watercraft.
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Ordinance No. 2156 - Amending Redding Municipal Code Section 4.12.140 pertaining to Transient
Occupancy Tax
(T-010-600)
It is recommended that Ordinance No. 2156 be adopted, an ordinance of the City Council of the City
of Redding amending Section 4.12.140 of Title 4, Revenue and Finance, of the Redding Municipal
Code pertaining to Transient Occupancy Tax, specifically the deposit of said proceeds into the City's
General Fund.
Resolution Setting Public Hearing - re Intention to Disestablish Parking and Business Improvement
Area District for Downtown Mall
(M-010-200-050)
It is the recommendation of the Assistant City Manager that Resolution No. 96-143 be adopted, a
resolution of the City Council of the City of Redding declaring its intention to disestablish the Parking
and Business Improvement Area established in Section 6.18.150 of the Redding Municipal Code and
setting a public hearing for 7:00 p.m., September 3, 1996.
Response to 1995-96 Final Grand Jury Report
(B-080-600-800)
It is the recommendation of the Assistant City Manager that the Mayor be authorized to forward the
letter dated August 7, 1996, as depicted in the Report to City Council dated July 22, 1996,
incorporated herein by reference, in response to the 1995-96 Final Grand Jury Report.
Property Status Report
(C-070)
It is the recommendation of the Assistant City Manager that the City Council accept the Property
Status Report as of July 1996 which includes the following: (1) Surplus City Property; (2) Offers to
Sell Land to the City; (3) City Initiated Purchases of Land; and (4)Lease of City Land.
Acquisition of Property - Across from Old City Hall
(C-070-010)
It is the recommendation of the Assistant City Manager that consideration to acquire the property
across from Old City Hall for a potential parking lot be postponed until such time as funds are
available for the acquisition or commitments have been entered into.
Surplus Property - Acquisition by Robert Meissner (Nordona Lane, north of Redding Municipal
Airport)
(C-070-200)
It is the recommendation of the Assistant City Manager that the City-owned property located on
Nordona Lane north of Redding Municipal Airport be declared as surplus property subject to a lot
line adjustment to merge the parcels, retention of an aviation easement over the entire area to be
relinquished, retention of electrical easements, approval by the Federal Aviation Administration
(FAA) of the sale, and authorize staff to negotiate with Robert Meissner to exchange a portion of this
property for equal area to provide access to the other City parcel east of Electro Way.
Transaction Listing- Second Quarter 1996
(B-050-100)
It is the recommendation of the Administrative Services Director that the listing depicting transactions
between $5,000 and $25,000 approved by the City Manager during the second quarter of 1996 be
accepted.
Resolution - Conversion of Positions in Finance Division
* (B-130-070 & A-050-135)
It is the recommendation of the Administrative Services Director that Resolution No. 96-144 be
adopted, a resolution of the City Council of the City of Redding approving and adopting the 4th
amendment to City Budget Resolution No. 96-130 (1) establishing one new full time Accountant I
position; (2) eliminating one part time Accountant I position and one part time Accountant II
position; and (3) reducing appropriation by $1,000 for part-time employees. Said changes are to
occur in the Finance Division's budget.
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Resolution - Appropriating Funds for 1996-97 Community Development Block Grant Program
* (B-130-070 & G-100-030-041)
It is the recommendation of the Development Services Director that Resolution No. 96-145 be
adopted, a resolution of the City Council of the City of Redding approving and adopting the 3rd
amendment to City Budget Resolution No. 96-130 (1) appropriating $825,505 for the Community
Development Block Grant Program; and (2) authorizing the receipt of$685,543 in revenue.
Set Public Hearing - re Appeal of Revocation of Home Occupation Permit HO-283-95, by Gregg
Hitchcock (3097 Sunglow Drive)
(L-010-130)
It is the recommendation of the Development Services Director that a public hearing be set for 7:00
p.m., August 20, 1996, to consider the appeal by Gregg Hitchcock concerning the revocation of
Home Occupation Permit HO-283-95 at 3095 Sunglow Drive.
Set Public Hearing - re Rezoning Application RZ-4-96, by Jaxon Enterprises (Southwest corner of
the intersection of Browning Street and Churn Creek Road)
(L-010-230)
It is the recommendation of the Development Services Director that a public hearing be set for 7:00
p.m., August 20, 1996, to consider the request to rezone a one-acre portion of a larger parcel located
at the southwest corner of the intersection of Browning Street and Churn Creek Road from "R3-20-
F" Multiple-Family Residential District with Site Plan Review Combining District to "C2-F" Central
Commercial District with Site Plan Review Combining District.
Set Public Hearing-re Amendment to Redding Municipal Code Chapter 18.78 re Zoning Code and
General Plan Amendment Requirements
(L-010-500-050 & G-030)
It is the recommendation of the Development Services Director that a public hearing be set for 7:00
p.m., August 20, 1996, to consider the proposed amendments to Chapter 18.78 of the Redding
Municipal Code, whereby the City Clerk would have the responsibility of setting a public hearing.
Stand-By Emergency Fire Department Services
(P-150-070-700)
It is the recommendation of the Fire Chief that the City Council approve the Win River Casino Tribal
Council's request for the City to provide a standby engine and crew for emergency purposes when
high occupancy special events are scheduled at Win River Casino and find that said service would not
be in conflict with City Council Policy 1401. It is also recommended that staff enter into a letter
agreement with Win River Casino Tribal Council for said services.
Resolution - re Revisions to Executive Management Pay-for-Performance Salary Plan
(P-100-320)
It is the recommendation of the Human Resources Manager that Resolution No. 96-146 be adopted,
a resolution of the City Council of the City of Redding establishing a new Executive Management
Pay-for-Performance Salary Plan for unrepresented employees, effective August 11, 1996, specifically
the deletion of the Director of Planning and Community Development, Director of Parks and
Recreation, Police Services Manager, and Science Museum Manager classifications; removal of the
City Manager and City Attorney contract classifications; renaming of Director of Information Systems
to Information Systems Manager; renaming of Director of Airports to Airports Manager; addition
of Deputy Fire Chief classification; and increasing the Chief of Police and Director of Community
Services salary ranges.
Set Public Hearing- re Wastewater Rate Increase
(W-020-590)
It is the recommendation of the Public Works Director that a public hearing be set for 7:00 p.m.,
September 3, 1996, to consider the proposed wastewater rate increase.
Set Public Hearing - re Water Rate Increase
(W-030-400)
It is the recommendation of the Public Works Director that a public hearing be set for 7:00 p.m.,
September 3, 1996, to consider the proposed water rate increase.
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Notice of Completion - Bid Schedule No. 2914, Construction of the South Airport 115/12kV
Transmission Line
(B-050-020 & E-090-160-600)
It is the recommendation of the Public Works Director that Bid Schedule No. 2914 (Job No. 9285-
15), construction of the South Airport 115/12kV Transmission Line, awarded to Cal Electro, Inc.,
be accepted as satisfactorily completed, and the City Clerk be authorized to file a Notice of
Completion. The final contract price is $977,300.
Award of Bid - Bid Schedule No. 3029, Clear Creek Lift Station Expansion Project
(B-050-020 & W-020-560)
It is the recommendation of the Public Works Director that the City Council make the following
findings regarding the Clear Creek Lift Station Expansion Project:
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 May 24, 1995.
It is further recommended that Bid Schedule No. 3029 (Job No. 2058), Clear Creek Lift Station
Expansion Project, be awarded to Rutherford & Smith, Inc. in the amount of $2,509,220, an
additional $150,000 be approved to cover the cost of engineering and inspection fees, and an
additional $250,000 be approved to provide a construction contingency fund, for a total of
$2,909,220.
Update - re Redding Area Water Supply Management Study
(W-030-420)
It is the recommendation of the Director of Public Works that the City Council accept the Report to
City Council dated July 29, 1996, incorporated herein by reference, as an update on the progress of
the Redding Area Water Supply Management Study.
Resolution - Approving Program Supplemental Agreement No. 36 re Lake Redding Bridge
Replacement Project
(G-100-070-100 & S-070-050-100)
It is the recommendation of the Public Works Director that Resolution No. 96-147 be adopted, a
resolution of the City Council of the City of Redding approving entering into Program Supplement
No. 036 to Local Agency - State Agreement for Federal-Aid Project 02-5068, BRLS-5068(008),
E.A. 02-453154, between the City of Redding and the State of California, Department of
Transportation, for the Lake Redding Bridge Replacement for Federal matching funds in the
estimated amount of$6,383,977.
MOTION: Made by Council Member P. 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
Resolution Nos. 96-143, 96-144, 96-145, 96-146, 96-147 and Ordinance Nos. 2155 and 2156 are
on file in the office of the City Clerk.
RESOLUTION-Releasing Abatement Proceedings on Property at 1448 Old Alturas Road, owned
by Ruby Smith
(A-030-070)
Council Member Murray abstained from discussion and voting on this matter.
MOTION: Made by Council Member Kehoe, seconded by Council Member R. Anderson, that
Resolution No. 96-148 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 1448 Old Alturas Road, owned by Ruby Smith.
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Voting was as follows:
Ayes: Council Members - P. Anderson, R. Anderson, Kehoe and McGeorge
Noes: Council Members -None
Absent: Council Members - None
Abstain: Council Members - Murray
Resolution No. 96-148 is on file in the office of the City Clerk.
RESOLUTION -Proclaiming August 6, 1996, as"National Night Out"
(A-050-060-600 & P-150-150)
Mayor McGeorge explained that the purpose of convening this evening's meeting at 5:30 p.m. was
to allow the City Council an opportunity to participate in "National Night Out." He related that this
annual event promotes cooperative, police-community crime and drug prevention efforts.
MOTION: Made by Council Member Kehoe, seconded by Council Member Murray, that Resolution
No. 96-149 be adopted, a resolution of the City Council of the City of Redding supporting crime- and
drug-prevention efforts in Redding and proclaiming August 6, 1996, as "National Night Out."
Voting was as follows:
Ayes: Council Members - P. Anderson, R. Anderson, Kehoe, Murray and McGeorge
Noes: Council Members - None
Absent: Council Members -None
REQUEST FOR CITY WATER SERVICE - by Ed and Susan Green (12099 Tennessee Drive)
(W-030-500)
Public Works Director Galusha provided an overview of the Report to City Council dated August
1, 1996, incorporated herein by reference, concerning Ed and Susan Green's request to obtain City
water service at 12099 Tennessee Drive. Mr. Galusha explained that the property is located off Oasis
Road between Lake Boulevard and Interstate 5, and is outside both the City limits and the Buckeye
Water District boundary. He stated that the property is, however, within the City's service boundary.
Mr. Galusha explained that the Green's property is the only developed parcel in this area which is not
currently receiving City water. He related that the request for service is considered a health and
safety issue because the well on the Green's property is failing and producing less than one gallon of
water per minute. In order to receive City service, he noted that the Green's would be required to
install a meter and pay connection fees amounting to approximately $7,000.
Mr. Galusha related that in 1994, the property owners in this area responded favorably to an
annexation survey, but the annexation did not go forward. He noted there was an uninhabited
annexation which occurred in this area, however, the Green's property was not included.
Mr. Galusha indicated that the City Council has made exceptions to its policy of not providing
service to properties located outside the City limits. He related that when such exceptions are made,
the property owners are required to sign an annexation agreement which requires their participation
in any future annexation that may occur near their parcel.
It is the recommendation of staff that the City Council authorize water service to the Green's
property subject to the Greens signing an annexation agreement that would require their participation
in any future annexation which may occur near their parcel.
City Manager Warren related that the City could charge a premium for providing a service outside
its normal service area. He explained that residents within the City are paying off general obligation
bonds for system improvements and the premium would compensate the City for providing service
outside its limits and creates equity between ratepayers within and outside the City limits. He
questioned whether the City Council would like staff to explore this possibility further.
Given the fact that this is an enterprise fund, Council Member Murray questioned whether a premium
charge was legal.
City Attorney Wingate related that there is a case which states a premium can be charged based on
the concept a utility is entitled to a reasonable rate of return on its financial investment. He noted,
however, that this particular case dealt with a limited set of facts which the City might not be able to
meet. He also noted that there is legislation concerning the relation of fees to the cost of service
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being provided. Mr. Wingate indicated that he would need to research the matter further and he
recommended proceeding with caution.
Council Member Murray was not interested in staff spending time on the issue of charging a premium
except in the framework of the overall annexation program and the consultant-prepared annexation
report.
In response to Council Member Kehoe, Mr. Galusha stated that staff does not anticipate any future
development on the subject parcel. He indicated that water service would not be provided until the
required meter and connection fees had been paid.
Ed Green stated that he has no future plans to develop the property. He noted, however, that his
mother-in-law is ill and may have to move in with them.
In response to Council Member Kehoe, Council Member Murray related that, under current County
policy, if the Greens wanted to put a second facility on the property for the care of their mother-in-
law, it would be permitted with a doctors permission.
Mr. Galusha related that should this occur, the City would only become involved if the property were
split; otherwise, the water could be brought from the house.
As far as establishing a premium rate, Council Member R. Anderson stated he was not willing to take
a position until he knew the approximate dollar amount involved. Mr. Warren stated that staff would
provide information relative to the number of parcels outside the City currently receiving City service.
It was the consensus of the City Council to direct staff to determine whether a premium fee was
worth pursuing.
MOTION: Made by Council Member R. Anderson, seconded by Council Member P. Anderson,
directing staff to prepare an annexation agreement for the City Council's consideration on August
20, 1996, thereby requiring Mr. and Mrs. Ed Green's participation in any future annexation which
may occur near the subject parcel and allowing water service to be provided at the same rate as
service is currently being provided to other parcels outside the City limits. The Vote: Unanimous
Ayes
WAIVER OF INTEREST AND PENALTIES - Tierra Oaks Assessment District
(A-170-050-750)
Council Member Murray abstained from discussion and voting on this matter.
City Attorney Wingate provided an overview of the Report to City Council dated July 30, 1996,
incorporated herein by reference, concerning MoneyVest's request for the City to waive penalties,
relative to the Tierra Oaks Assessment District, totaling $130,434.25, imposed on the owner for
nonpayment. He explained that MoneyVest acquired the subject property through foreclosure
proceedings and such action was delayed due to the fact that the property was in bankruptcy. He
related that during the bankruptcy proceedings, the lender was discussing the situation with the City
and trying to develop alternatives which would ensure that the assessment bonds would be paid.
Mr. Wingate indicated that normally the City would require the payment of these penalties; however,
the City's bond counsel, Sam Sperry, indicated that it is legitimate for public agencies, as part of a
workout plan to get a project going again, to waive the penalties. Mr. Wingate noted that the lender
has a number of lots in escrow ready to close and will be able to meet the August 29, 1996, payment
deadline and bring the delinquencies current by October 1, 1996.
Mr. Wingate related that the City did incur$5,000 in expenses while the property was in bankruptcy.
In addition, he noted that the City's obligation to build a fire station in the area is behind schedule;
and under the current agreement, the City is obligated to have this station built by 1998. He
explained that the City is not certain that this is the ideal location for a fire station. Based upon
conversations with City staff, MoneyVest will be speaking with the developer to determine whether
they would be willing to waive this condition of the agreement.
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It is the recommendation of staff that the City Council waive penalties, except for $5,000, provided
that all delinquent payments are made no later than October 1, 1996 and that not less than
$232,996.25 be paid no later than August 29, 1996 in order to make the principal and interest
payment to bondholders due September 2, 1996.
Jeff Britton, representing MoneyVest, explained that the foreclosure action and subsequent
bankruptcy precluded MoneyVest from protecting its assets. He indicated that MoneyVest is
prepared to move forward, they support the City Attorney's recommendation, and arrangements are
in place to ensure that the required time lines are met. Mr. Britton indicated that they will be putting
12 reservations into escrow and are currently negotiating on an additional seven lots. With regard
to the City's obligation to construct a fire station, he indicated they would not be averse to allowing
additional time or leaving the matter to the City's discretion.
In response to Council Member Kehoe, Mr. Britton provided a list of the current reservations, as well
as a packet of information regarding the subdivision.
In response to Council Member R. Anderson, Mr. Wingate stated that in a Chapter 11 bankruptcy
proceeding, the parties do not know what the judge is going to do until it is actually signed.
Therefore, it is not typical for the lender to step in and put in additional monies until the bankruptcy
is resolved.
Council Member R. Anderson stated he favored waiving the penalties only if the noted time lines are
met.
Council Members Kehoe and R. Anderson suggested that the condition relative to the construction
of the fire station be removed entirely from the agreement.
MOTION: Made by Council Member R. Anderson, seconded by Council Member P. Anderson, to
approve the waiver of penalties associated with the Tierra Oaks Assessment District subject to the
following conditions being met: (1) Payment of not less than $232,996.25 no later than August 29,
1996, in order to make the principal and interest payments to bondholders due September 2, 1996;
(2)Receipt of all delinquent assessment payments by October 1, 1996; (3) Receipt of reimbursement
in the amount of $5,000 to cover City's out-of-pocket expenses incurred during bankruptcy
proceedings; and(4)Removal of the condition regarding the grant of real property for exclusive use
as a fire station by a certain date.
Voting was as follows:
Ayes: Council Members - P. Anderson, R. Anderson, Kehoe and McGeorge
Noes: Council Members - None
Absent: Council Members -None
Abstain: Council Members -None
ADJOURNMENT
There being no further business, at the hour of 6:13 p.m., Mayor McGeorge declared the meeting
adjourned.
APPROVED:
Ar
Mayor
ATTEST:
"-AUL_ Lam!!
Assistant City Cle
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City Council, Regular Meeting
City Council Chambers
1313 California Street
Redding, California
August 6, 1996 7:00 p.m.
The Regular Meeting of the Redding City Council was cancelled and moved to 5:30 p.m., August 6,
1996, due to the City Council and staff participation in "National Night Out."
dove-Ar.e:c.,
City Clerk
08/06/96