HomeMy WebLinkAboutMinutes - City Council - 1997-03-18 60
Redding City Council,Regular Meeting
City Council Chambers
1313 California Street
Redding, California
March 18, 1997 7:00 p.m.
The Pledge of Allegiance to the flag was led by Jennifer Minnich of Enterprise High School.
The invocation was offered by Pastor Lyndall Cheeves, Church of Christ.
The meeting was called to order by Mayor McGeorge with the following City Council Members
present: R. Anderson, Kehoe, Murray and McGeorge. Council Member P. Anderson's absence was
excused.
Also present were City Manager Warren, Assistant City Manager Perry, City Attorney Wingate,
Police Chief Blankenship, Development Services Director Swanson, Deputy City Manager Starman,
Community Services Director Gorman, General Services Director Masingale, Finance Officer Strong,
Assistant City Engineer Russell, Assistant City Engineer Curtis, Principal Planner Keaney, Human
Resources Manager Bachman, Transportation Manager Duryee, Senior Planner Hanson, Associate
Electrical Engineer Ahern, Cif), Clerk Strohmayer, and Secretary to the City Council Rudolph.
REDDING REGIONAL SCIENCE BOWL WINNERS -Enterprise High School
(A-050-125)
Assistant City Manager Perry introduced Associate Electrical Engineer Ahern who was responsible
for coordinating this year's Science Bowl in Redding.
Mr. Ahern provided an overview of the Science Bowl. He explained that the Science Bowl was
developed to promote the study of science and mathematics and also showcase those students who
excel in these fields. He related that there were 12 teams competing from seven north state schools.
He stated that Enterprise High School won by winning 13 of 14, head-to-head matches. He indicated
that the winning team will be traveling to Washington, D.C. to represent the north state in the national
finals May 2-5, 1997. He noted that the winner of the national finals will receive a trip to Australia.
Mike Stuart, principal of Enterprise High School, stated that Enterprise High School's Science
Department has a long history of excellence and thanked the City Council for the opportunity to
recognize the students at the City Council meetings.
Rob Payton, coach of the Enterprise High School Science Bowl team, thanked the City for its
sponsorship of the Science Bowl. He introduced the members of the winning team: Brent Sindorf,
Matt Slocum, Jennifer Minnich(captain), Spencer Hardy, and Michael Lee. Each team member asked
the City Council and staff members one of the questions he or she answered correctly during the team
competition.
It was the consensus of the City Council that the Mayor be authorized to sign the letter as depicted
in the Report to City Council dated March 11, 1997, incorporated herein by reference, to the City's
Federal representatives and the Secretary of Energy expressing support of the program, given its
positive impact on north state education, and urging continued funding for the program.
RESOLUTION - Designating Week of April 21 through 27, 1997, as"Kool April Nites" Week
(A-050-060-600)
MOTION: Made by Council Member Kehoe, seconded by Council Member R. Anderson, that
Resolution No. 97-048 be adopted, a resolution of the City Council of the City of Redding
designating April 21 through 27, 1997, as"Kool April Nites" Week.
Voting was as follows:
Ayes: Council Members - R. Anderson, Kehoe, Murray, and McGeorge
Noes: Council Members -None
Absent: Council Members - P. Anderson
'Resolution No. 97-048 is on file in the office of the City Clerk.
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CONSENT CALENDAR .
Approval of Minutes - Regular Meeting of November 19, 1996
Special Meeting of December 3, 1996
Regular Meeting of December 3, 1996
Approval of Payroll and Accounts Payable Register
(A-050-100-500)
It is recommended that Accounts Payable Register No. 18, for the period March 4, 1997, through
March 14, 1997, check numbers 245341 through 245769 inclusive, in the amount of$3,505,907.71,
and Payroll Register No. 18, for the period February 23, 1997, through March 8, 1997, check
numbers 433407 through 433951 inclusive, and electronic deposit transaction numbers 36120
through 36472, totaling $1,238,345.01, be approved.
TOTAL: $4,744,252.72
Ordinance No. 2172 - re Rezoning Application RZ-12-96, by the City of Redding (2335 Airpark
Drive)
(L-010-230)
It is recommended that Ordinance No. 2172 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-B20-F" Commercial Office District with Site Plan
Review Combining District and "OS" Open Space District (RZ-12-96).
Ordinance No. 2173 - re Rezoning Application RZ-11-96, by the City of Redding (2050 Airpark
Drive)
(L-010-230)
It is recommended that Ordinance No. 2173 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 "C-O-F" Office District with Site Plan Review
Combining District (RZ-11-96).
•
Agreement-Forward Redding Foundation, Inc. re Leadership Redding Light-the-River Trail Project
(B-080-600-243 & P-050-460-700) •
It is the recommendation of the City Manager that the Mayor be authorized to sign the Installation
Agreement with the Forward Redding Foundation, Inc. for the installation of lights along the
Sacramento River Trail by the Foundation and the Leadership Redding Class of 1994-96.
Resolution - re Purchase of Vehicles for Electric Department
(B-050-100 & A-050-125)
It is the recommendation of the Assistant City Manager that Resolution No. 97-049 be adopted, a
resolution of the City Council of the City of Redding authorizing the purchase of two new
intermediate-sized sedans for the Electric Department through the Department of General Services
of the State of California at a cost of$31,530. Funds for this purchase are available in the Rolling
Stock Fund.
Decline Offer to Acquire Property-Northeast of Redding Municipal Airport
(C-070-010)
It is the recommendation of the Assistant City Manager that the City Council authorize staff to advise
Don VanDyke that the City is not interested in acquiring 483 acres of property located northeast of
Redding Municipal Airport.
Surplus Properties -Eastside Road
(C-070-200)
It is the recommendation of the Assistant City Manager that the City Council authorize staff to offer
the City-owned properties on Eastside Road adjacent to Jiffy Mart and the former Westwood Manor
sewer ponds located on Eastside Road to the adjacent property owners at the fair market value. If
the adjacent property owners are not interested in acquiring the properties, it is recommended that
the 4.9 acre parcel(former Westwood Manor sewer ponds)be offered for bid at 80 percent of market
value and that the property next to•the Jiffy Mart be retained.
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Resolution - Renewal of Worker's Compensation Claims Administration Agreement for 1997-98
(R-100-950)
It is the recommendation of the Deputy City Manager that Resolution No. 97-050 be adopted, a
resolution of the City Council of the City of Redding extending the term of the agreement for
workers' compensation claims administration service between the City of Redding and Claims
Management, Inc. through March 31, 1998, for a total fee of$83,112.
Resolution - Abatement of Property at 40 Hilltop Drive, owned by Tri-Counties Bank (formerly
owned by Lois Marsh)
(A-030-070)
It is the recommendation of the Development Services Director that Resolution No. 97-051 be
adopted, a resolution of the City Council of the City of Redding approving the report and findings
of the Board of Appeals and ordering the abatement of the unsafe and unsightly building and debris
on property at 40 Hilltop Drive, owned by Tri-Counties Bank.
Resolution - Abatement of Property at 2786 South Market Street, owned by Grant G. Griffith
(A-030-070)
It is the recommendation of the Development Services Director that Resolution No. 97-052 be
adopted, a resolution of the City Council of the City of Redding approving the report and findings
of the Board of Appeals and ordering the abatement of the unsafe and unsightly building and debris
on property at 2786 South Market Street, owned by Grant G. Griffith.
Resolution - Abatement of Property at 837-845 Fell Street, owned by Todd & Diane Milanese
(A-03 0-070)
It is the recommendation of the Development Services Director that Resolution No. 97-053 be
adopted, a resolution of the City Council of the City of Redding approving the report and findings
of the Board of Appeals and ordering the abatement of the unsafe and unsightly building and debris
on property at 837-845 Fell Street, owned by Todd and Diane Milanese.
Amendment to Housing Rehabilitation Loan Policy
(G-100-080-380)
It is the recommendation of the Development Services Director that the Housing Rehabilitation Loan
Policy be amended to include Section 13 - Contractor Performance Standards.
Agreement - re July 4, 1997, Freedom Festival Fireworks Display with Boom Boom Productions
(C-050-050 & B-050-100)
It is the recommendation of the Community Services Director that the City Council approve the
agreement with Boom Boom Productions in the amount of$40,000 for the provision of pyrotechnic
services for the July 4, 1997, Freedom Festival Fireworks Display.
Award of Bid -Bid Schedule No. 3067, Hilltop Drive Waterline Replacement Project
(B-050-020 & W-030-725)
It is the recommendation of the Public Works Director that Bid Schedule No. 3067, Hilltop Drive
waterline replacement project, be awarded to River City Construction in the amount of$139,446, an
additional $10,000 be approved to cover the cost of engineering and inspection fees, and $20,000 be
approved to provide a construction contingency fund, for a total of$169,446.
MOTION: Made by Council Member Kehoe, seconded by Council Member R. Anderson, that all the
foregoing items on the Consent Calendar be approved and adopted as recommended.
Voting was as follows:
Ayes: Council Members - R. Anderson, Kehoe, Murray and McGeorge
Noes: Council Members -None
Absent: Council Members- P. Anderson
Resolution Nos. 97-049, 97-050, 97-051, 97-052, and 97-053, and Ordinance Nos. 2172 and 2173
are on file in the office of the City Clerk.
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LETTER OF RESIGNATION - Planning Commissioner Jerry Theisen
(B-080-300)
MOTION: Made by Council Member R. Anderson, seconded by Council Member Kehoe, to accept
Jerry Theisen's letter of resignation from the Planning Commission effective immediately. The Vote:
Unanimous Ayes
LETTER OF RESIGNATION -Planning Commissioner Don Rehn
(B-080-300)
MOTION: Made by Council Member R. Anderson, seconded by Council Member Kehoe, to accept
Don Rehn's letter of resignation from the Planning Commission effective May 1, 1997. The Vote:
Unanimous Ayes
PUBLIC HEARING - re Rezoning Application RZ-17-96, by Paul Edgren (Country Heights
Subdivision, Units 14, 15, and 16)
(L-010-230)
The hour of 7:00 p.m. having arrived Mayor McGeorge opened the public hearing regarding
Rezoning Application RZ-17-96.
The following documents are on file in the office of the City Clerk:
Affidavit of Publication -Notice of Public Hearing
Affidavit of Mailing -Notice of Public Hearing
Planning Commission recommendation dated March 6, 1997
City Clerk Strohmayer advised that no protests were received.
Development Services Director Swanson provided an overview of the Report to City Council dated
March 6, 1997, incorporated herein by reference, regarding the rezoning of property within Units 14,
15, and 16 of the Country Heights Subdivision from"R-1" Single-Family Residential District and "U"
Unclassified District to "R-1-B10" Single-Family Residential District, "R-1-BFM" Single-Family
Residential District, and "OS" Open Space District. He noted that the rezoning application was
submitted as required by the conditions of the three approved tentative maps and is consistent with
the General Plan and compatible with the surrounding land uses.
It is the recommendation of both the Planning Commission and staff that the City Council approve
the Negative Declaration, approve the rezoning as recommended, offer the necessary ordinance for
first reading, and waive the full reading of said ordinance.
Mayor McGeorge determined that there was no one present wishing to speak on the matter and
closed the public hearing.
MOTION: Made by Council Member Kehoe, seconded by Council Member Murray, that Rezoning
Application RZ-17-96 be approved as recommended and that the City Council make the following
findings:
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 approve
the Negative Declaration authorized by the Development Services Department. The Vote:
Unanimous Ayes
Council Member Kehoe offered Ordinance No. 2174 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 "R-1-BFM" Single-Family
Residential District; "R-1-B10" Single-Family Residential District; and "OS" Open Space District.
MOTION: Made by Council Member Kehoe, seconded by Council Member Murray, that the full
reading of Ordinance No. 2174 be waived and the City Attorney be instructed to read the full title.
The Vote: Unanimous Ayes
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PUBLIC HEARING- Amendment to Redding Municipal Code Chapter 18.20, "C-O" Office District
(L-010-500-050)
The hour of 7:00 p.m. having arrived, Mayor McGeorge opened the public hearing regarding the
amendment of Redding Municipal Code Chapter 18.20, "C-O" Office District.
The following documents are on file in the office of the City Clerk:
Affidavit of Publication - Notice of Public Hearing
Affidavit of Mailing - Notice of Public Hearing
Planning Commission recommendation dated February 27, 1997
City Clerk Strohmayer advised that no protests were received.
Development Services Director Swanson highlighted the Report to City Council dated February 27,
1997, incorporated herein by reference, regarding the proposed amendment to the "C-O" Office
District portion of the Zoning Ordinance relative to building height. He explained that the
amendment would allow a building greater than 40 feet upon approval of a use permit and restrict
building height to one story within 30 feet and two stories within 75 feet of a single-family residential
district.
It is the recommendation of both the Planning Commission and staff that the City Council approve
the Negative Declaration, offer the necessary ordinance for first reading implementing the proposed
amendments, and waive the full reading of said ordinance.
Mayor McGeorge determined that there was no one present wishing to speak on the matter and
closed the public hearing.
MOTION: Made by Council Member R. Anderson, seconded by Council Member Kehoe, approving
the proposed amendment and that the City Council make the following findings:
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 approve
the Negative Declaration authorized by the Development Services Department. The Vote:
Unanimous Ayes
Council Member Kehoe offered Ordinance No. 2175 for first reading, an ordinance of the City
Council of the City of Redding amending Redding Municipal Code Section 18.20.040 of Chapter
18.20, "C-O" Office District, relative to building height.
MOTION: Made by Council Member R. Anderson, seconded by Council Member Kehoe, that the
full reading of Ordinance No. 2175 be waived and the City Attorney be instructed to read the full
title. The Vote: Unanimous Ayes
OFFER TO EXCHANGE PROPERTY - by Brian Burk(Riverland Drive - former softball complex
area)
(C-070-200 & C-070-010)
Assistant City Manager Perry provided an overview of the Report to City Council dated March 10,
1997, incorporated herein by reference, regarding Brian Burk's interest in exchanging property on
Riverland Drive that the City owns (former softball complex site) for 80 acres Mr. Burk owns west
of Airport Road. He stated that Mr. Burk's plan would be to develop a lagoon or inlet along the river
and develop the upper portion of the property with a recreational vehicle park.
Mr. Perry noted that Shasta County has also expressed an interest in a portion of this property for
use as a Sheriff's substation.
Mr. Perry recalled that in June 1996, the City Council decided to retain the property along the river.
Since nothing has changed to date, it is recommended that Mr. Burk's proposal be declined.
Council Member Murray did not believe the action taken by the City Council in June 1996 should be
construed to mean that the City would at no time sell the property. He found Mr. Burk's proposal
appealing in that it only dealt with approximately one-third of the property and provided for 3,000
feet of river trail, dock, restroom, lagoon, and access to the river, not currently available, at Mr.
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Burk's expense. He opined that ownership of the riverfront property is tied in part to improvements
which will provide the greatest benefit to the community. He believed the proposal should be pursued
further and additional details obtained.
Council Member R. Anderson concurred that he did not want the City Council's June action taken
to mean that the City would not entertain an offer to sell this property. He did not, however, see how
the City would better its position by trading river front property for property near the airport.
Council Member Murray stated he did not know whether Mr. Burk's property would provide some
long-term benefit, as it is located adjacent to the City's industrial park and was concerned about
rejecting the offer without thoroughly reviewing it.
MOTION: Made by Council Member Murray, seconded by Council Member Kehoe, to refer Brian
Burk's proposal to exchange 80 acres of property he owns west of Airport Road for City-owned
property located on Riverland Drive back to staff for further consideration. The Vote: Unanimous
Ayes
STATE AND FEDERAL LOBBYING EFFORTS RE ELECTRIC INDUSTRY
RESTRUCTURING
(E-090-058)
Assistant City Manager Perry provided an overview of the Report to City Council dated March 12,
1997, incorporated herein by reference, regarding state and federal lobbying efforts regarding the
electric industry restructuring. He explained that the City is often asked to send letters of support
for public power positions to Congress, to the President, and to federal regulatory agencies on very
short notice relative to the restructuring of the electric industry. He stated that staff is proposing,
given the volatility of the topic, that the Mayor,the City Manager, the City Attorney, and the Electric
Director, as appropriate, sign such responses on behalf of the City. He noted that the City Council
would receive a copy of any such correspondence for its information.
City Manager Warren noted that one of the recommendations in the Electric Utility Audit was that
the City needed to move swiftly regarding the industry restructuring matters in order to compete with
the private sector.
MOTION: Made by Council Member Kehoe, seconded by Council Member R. Anderson, authorizing
staff to respond to utility issues as outlined in the Report to City Council dated March 12, 1997, and
authorize the Mayor, the City Manager, the City Attorney, and the Electric Utility Director, as
appropriate, to sign such responses-on behalf of the City. The Vote: Unanimous Ayes
PARTICIPATION IN INDEPENDENT SYSTEM OPERATOR(ISO'l
(E-090-058)
Assistant City Manager Perry highlighted the.Report to City Council dated March 12, 1997,
incorporated herein by reference, regarding the City of Redding Electric Utility's participation in the
Independent System Operator (ISO). He explained that it is the intention of the legislature that
California's publicly-owned electric utilities and investor-owned electric utilities commit control of
their transmission facilities to the ISO. The ISO will be responsible for ensuring reliability of the
State's electric transmission system through the operation of a state-wide control area. He stated that
a state-wide generation market pool known as the Power Exchange (PX) is to be established in
conjunction with the ISO. He noted that while publicly-owned utilities are not required by law to join
either the ISO or PX, strong incentives were established to encourage participation.
Mr. Perry indicated that the Electric Department has concluded, based on current information, that
California will have an ISO/PX in place by January 1, 1998. Ultimately, all utilities will belong to an
ISO, whether it is the one developed in California or one modified by the Federal Energy Regulatory
Commission (FERC) to serve a larger region. He related that the schedule the California Public
Utilities Commission(CPUC)has placed upon the investor-owned utilities (IOU) for implementation
of an ISO/PX are extremely short and result in a poorly developed and one-sided ISO/PX structure.
He explained that it will be necessary for FERC and the intervenors to shape an ISO/PX that provides
equitable treatment for all affected parties.
It is the recommendation of staff that the City Council approve the following: (1) go on record as
being generally supportive of the ISO, but opposed to the ISO for the reasons noted in the Report
to City Council and perhaps others with the result being that the City would not initially join until its
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concerns are clearly addressed; (2) authorize staff to comment and participate in the FERC process
concerning the ISO/PX to work toward: safeguarding Redding's existing contracts and rights;
ensuring true independence of the ISO/PX; providing equitable cost treatment for all affected parties;
and(3) direct staff to work in conjunction with the Transmission Agency of Northern California and
the Modesto-Santa Clara-Redding Public Power Agency to secure similar resolution of the issues
associated with tax-exempt financing of the City's Joint Powers Agency transmission assets and other
common issues.
Council Member Murray opined that not joining the ISO is a bold statement and may be counter
productive. He recommended modifying the recommendation to say, "not join at this time." He
feared that no one would listen to Redding's concerns if the City Council opted not to join.
MOTION: Made by Council Member R. Anderson, seconded by Council Member Murray, directing
that the City go on record as being generally supportive of the ISO, but opt, under the current ISO
rules and procedures, not to join at this time; authorizing staff to comment and participate in the
FERC process concerning the ISO/PX to work toward: safeguarding Redding's existing contracts
and rights; ensuring true independence of the ISO/PX; providing equitable cost treatment for all
affected parties; and directing staff to work in conjunction with the Transmission Agency of Northern
California and the Modesto-Santa Clara-Redding Public Power Agency to secure similar resolution
of the issues associated with tax-exempt financing of the City's Joint Powers Agency transmission
assets and other common issues. The Vote: Unanimous Ayes
RESOLUTION- Approving Documents for the Sale of the Bond to Finance the Construction of the
Civic Center Project
(D-050-175-001 & C-050-025)
City Manager Warren provided an overview of the memorandum to the City Council dated March
13, 1997, incorporated herein by reference; concerning the Civic Center project. He stressed that
while the budget is extremely tight and is being monitored very closely, he believed the project could
be managed very well.
Mr. Warren recalled that in 1995, the Civic Center Committee provided recommendations on a new
Civic Center with certain parameters: design of the Civic Center should culminate in a building that
would be no more than$112.50 per square foot in 1996 dollars and adjusted at 2.6 percent each year
thereafter for inflation. He stated that for a 99,000 square foot building, this represented a cost of
$11,137,500. He related the committee also identified additional necessary costs, which included
consultants, site improvements (parking and landscaping), permits/fees, utilities, fixtures/equipment,
street improvements, moving expenses, demolition of City buildings, removing trailers, demolition
of Caltrans structures, resurfacing existing parking, and acquisition of Caltrans property. He
indicated that the total for the building and the aforementioned items is $16,300,625 in 1996 dollars.
When adjusted for inflation for two years at 2.6 percent per year, the total project budget, as
identified by the Civic Center Committee is $17,043,000.
Mr. Warren explained that as the architect finished the design of the Civic Center, the City retained
a cost estimator who went through each part of the Civic Center to assure that the design was in fact
within the Civic Center Committee's parameters of$118.43 per square foot. The estimator came
back with a price of$111.09 per square foot, or a savings of$7.34 per square foot. He related that
the building is 104,670 square feet, or 5,670 larger than the design goal, primarily as a result of
making the Council Chambers building larger for more community use, filling in a third floor opening,
and some other small changes. He stated that the overall cost is $139,000 less than the Civic Center
Committee had anticipated. He indicated that the current cost estimate, including all the items in the
aforementioned paragraph and a $540,000 construction contingency totals $16,995,257. He noted
that this figure, when compared to the total projected budget (adjusted for inflation) of$17,043,000
is $47,743 less, not including a 5 percent bid contingency.
Mr. Warren pointed out the four funding sources for the Civic Center: existing City resources - $3.3
million;Redevelopment Agency- $2.0 million; internal loan - $2.0 million; and bonds - $11.2 million,
for a total of$18.5 million. He noted that the internal loan has been reduced from $4 million to $2
million, as the Electric Utility intends to draw down its cash reserve in order to reduce debt,
therefore, there will be less funds in pooled cash to make an internal loan.
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Mr. Warren recommended that the City Council direct staff to proceed with the bond issuance. He
stated that the annual debt service will be approximately $865,000 per year, with the General Fund's
share being approximately $400,000.
Deputy City Manager Starman conveyed that the bond proceeds would be used as follows:
construction fund - $11,200,000; reserve account - $865,000; insurance - $151,000; and cost of
issuance- $130,000, for a total of$12,346,000. He explained that the parameters which have been
established for the bond sale are as follows: total bonds are not to exceed $13,700,000 and the true
interest cost is not to exceed 7 percent. He related that the established parameters allow the
underwriter flexibility when marketing the bonds and provides options if it is necessary to repackage
the bond issue. In today's market place, he anticipated a $12,300,000 issue with a true interest cost
of 5.7 percent.
Deputy City Manager Starman stated that the City would be retaining MBIA Insurance Corporation,
at a cost of 58 basis points, which would result in a AAA bond issue rating and interest savings. He
further recommended that the City not participate in the revenue intercept program, as the cost
benefit analysis indicated that it was not cost effective.
Mr. Starman pointed out that if the project comes in under budget, excess funds could be used to
reduce the amount of the internal loan; applied to debt service; or used on weighted projects which
have been deferred.
Mr. Starman stressed that this is one of the final off ramps, if not the last off ramp, to halt the
construction of the Civic Center.
In response to Council Member Murray, Rob McIntire, representing A.G. Edwards & Sons, Inc.,
reiterated that the proposed parameters allow flexibility in marketing the bonds. He did not anticipate
the bond issue coming close to $13,700,000. He stated that the 7 percent will provide flexibility in
pricing, but limiting the bond issue to $12,300,000 could potentially limit the buyers and increase
costs slightly.
In response to Council Member Murray, Mr. McIntire explained that the bonds will have a ten-year
call date, therefore, he did not see any cost benefit of paying the bonds down prior to that date.
Mr. Starman interjected that the City would be better off holding the funds and generating additional
interest. Given the $2,000,000 internal loan and the $865,000 in annual debt service, he believed
there would be areas where excess funds could be applied without paying down the bond issue prior
to the ten-year call date.
Mr. McIntire stated that increased rates are anticipated after the Federal Reserve meets on March 25,
1997. He recommended waiting to go to market with the bonds until after the market has a few days
to settle down and stabilize.
Council Member Murray expressed concern regarding the proposed parameters recommended with
regard to the true interest cost and the maximum borrowing limit.
Council Member R. Anderson pointed out that any excess proceeds could be used to repay the
internal loan and he was inclined to provide the parameters requested by staff.
Council Member Kehoe stated that he has opposed this project from the onset, and he would not
support the assumption of any additional debt. He believed that the citizens of Redding like and
demand a frugal government. He opined that the proposal this evening represented government in
expansion. He related that approving this recommendation would demonstrate that the City
Council's number one priority is the construction of the Civic Center and he believed there are more
pressing needs which deserve the City's attention.
Mayor McGeorge concurred that there are other needs in the community, however, he believed the
efficiencies achieved through the construction of the Civic Center will allow the City to address those
other needs.
It was the consensus of the City Council that any excess bond proceeds would be used to retire debt,
including internal loans, and would not be used for any extra amenities.
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MOTION: Made by Council Member Murray, seconded by Council Member R. Anderson, that
Resolution No. 97-054 be adopted, a resolution of the City Council of the City of Redding approving
the issuance by the Redding Joint Powers Financing Authority of not to exceed $13,700,000
aggregate principal amount of Civic Center Project Lease Revenue Bonds; approving the forms of
and authorizing execution and delivery of an acquisition agreement, a facilities lease and a purchase
contract in connection with certain municipal improvements; and authorizing related actions and
matters,with the following modifications: maximum true interest cost is not to exceed 6 percent and
strike language relative to the revenue intercept program in the bond documentation.
Voting was as follows:
Ayes: Council Members - R. Anderson, Murray, and McGeorge
Noes: Council Members -Kehoe
Absent: Council Members - P. Anderson
Resolution No. 97-054 is on file in the office of the City Clerk.
At the hour of 8:27 p.m., Mayor McGeorge adjourned the meeting to a Special Meeting of the
Redding Joint Powers Financing Authority.
At the hour of 8:31 p.m., Mayor McGeorge reconvened the Regular Meeting of the Redding City
Council.
CONTINUATION OF SACRAMENTO RIVER MANAGEMENT PLAN AD HOC COMMITTEE
(R-200-600)
Senior Planner Hanson provided an overview of the Report to City Council dated March 10, 1997,
incorporated herein by reference, regarding the continuation of the Sacramento River Management
Plan Ad Hoc Committee. He summarized that staff is recommending that the City Council assign the
responsibility of completing the River Management Plan to a subcommittee of the General Plan Task
Force and direct that the subcommittee sunset with the completion of the General Plan update. He
stated that the General Plan Task Force would have the responsibility of carrying out the scope of
work themselves, or more likely, through the use of a subcommittee selected by the General Plan
Task Force.
Mayor McGeorge noted that the ad hoc committee, at its first meeting, received a binder addressing
river issues, including concerns regarding tributaries and their effect on the river and the City's
General Plan. Due to the magnitude of this task, he recommended seeking the General Plan Task
Force's input before making a decision.
It was the consensus of the City Council to defer action for two weeks relative to the continuation
of the Sacramento River Management Plan Ad Hoc Committee in order to obtain input from the
General Plan Task Force regarding the proposed scope of work.
RESOLUTION - Appropriating Funds to Repair the Heating, Ventilating, Air-Conditioning Units,
and the Energy Management Control System at the Corporation Yard
* (B-130-070 & C-050-100-040)
Director of General Services Masingale's Report to City Council dated March 11, 1997, incorporated
herein by reference, outlined numerous problems with the design and installation of the heating,
ventilating, air-conditioning, and the Energy Management Control System at the Corporation Yard.
Capital Engineering Consultants, Inc., at the request of staff, determined that it would cost $23,000
to eliminate problems associated with piping and system-hunting, supply air distribution, and climate
control.
It is the recommendation of staff that the City Council adopt the necessary resolution appropriating
$23,000 from the Building Maintenance and Construction Division Fund to perform this work and
authorize MMPI, the City's contract HVAC maintenance service provider, to correct the HVAC
problems at the Corporation Yard.
Council Member Murray questioned whether the City could pursue legal action against the contractor
who built the Corporation Yard to recoup expenses associated with correcting these problems.
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City Attorney Wingate stated that the City must first have the necessary work completed in order to
determine the actual cost to correct the problem. He indicated that once the work is completed, the
contractors will be invited to provide the City reimbursement for the associated expenses or face
court action.
MOTION: Made by Council Member Murray, seconded by Council Member R. Anderson, that
Resolution No. 97-055 be adopted, a resolution of the City Council of the City of Redding approving
and adopting the 29th amendment to City Budget Resolution No. 96-130 to appropriate $23,000 to
correct the HVAC system at the Corporation Yard and authorize MMPI to make the necessary
corrections to said system.
Voting was as follows:
Ayes: Council Members -R. Anderson, Kehoe, Murray, and McGeorge
Noes: Council Members - None
Absent: Council Members - P. Anderson
Resolution No. 97-055 is on file in the office of the City Clerk.
MODIFICATIONS TO CYPRESS/ATHENS/PARK MARINA INTERSECTION AND
ABANDONMENT OF A PORTION OF AKARD AVENUE
(A-010-100 & S-070-100)
Council Member R. Anderson requested that given the recent staff report and multi-page letter
received this evening, that the matter regarding the modifications to the Cypress Avenue/Athens
Avenue/Park Marina Drive intersection and the abandonmentof a portion of Akard Avenue be
deferred until the April 1, 1997, meeting, to allow the City Council time to review the additional
material.
It was the consensus of the City Council to defer action regarding the modifications to the Cypress
Avenue/Athens Avenue/Park Marina Drive intersection and the abandonment of a portion of Akard
Avenue until the April 1, 1997, meeting.
LETTERS OF APPRECIATION
(A-050-125)
Mayor McGeorge stated that a letter was received from the Trinity County Public Utility District
thanking the City's Electric Utility Department for its assistance following the last series of storms.
He also related that Robert Russell had called complimenting the Electric Utility Department's tree
crew for their quality workmanship, professionalism, and politeness.
CLOSED SESSION - re Anticipated Litigation
(L-100)
Mayor McGeorge indicated that the City Council would be adjourning to closed session pursuant to
California Government Code Section 54956.9(b) for a conference with legal counsel to discuss one
case of anticipated litigation.
At the hour of 8:54 p.m., Mayor McGeorge adjourned the meeting to closed session.
At the hour of 9:10 p.m., Mayor McGeorge reconvened the meeting to regular session.
No action was taken.
• ADJOURNMENT
There being no further business, at the hour of 9:10 p.m., Mayor McGeorge declared the meeting
adjourned.
AP' :VED:
•
• Mayor / /
ATTEST:
City Clerk
03/18/97