HomeMy WebLinkAboutMinutes - City Council - 1998-06-02 133
City Council, Regular Meeting
Council Chambers
1313 California Street
Redding, California
June 2, 1998 7:00 p.m.
The Pledge of Allegiance to the Flag was led by Mr. Clay McClain.
The Invocation was offered by Reverend Dick McBride, North Valley Baptist Church.
The meeting was called to order by Mayor Kehoe with the following Council Members present:
Anderson, Cibula, Kight, McGeorge, and Mayor Kehoe.
Also present were City Manager Warren, Assistant City Manager Perry, Deputy City Manager
Starman, City Attorney Wingate, Assistant City Attorney Tranberg, Public Works Director August,
Director of Development Services Swanson, Electric Utility Director Feider, Community Services
Director Gorman, Administrative Services Director Bachman, Support Services Director Kersten,
Police Chief Blankenship, Fire Chief Wagner, Finance Manager Strong, Economic Development
Asset Manager Hiller, Senior Planner King, Landscape Technician Eachus, City Clerk Strohmayer
and Executive Secretary Sherman.
PRESENTATION OF 1997 ASSURING COMPLIANCE WITH ENERGY STANDARDS
AWARD
(A-050-250-030)
Building Official Nagel announced that the City of Redding's Building and Code Enforcement
Division has been awarded the 1997 State of California, California Energy Commission Compliance
with Energy Standards(ACES) Award for the second consecutive year. Mr. Nagel reported that the
Building Division's dedication to community involvement, enhanced enforcement practices, and a
commitment to high standards during plan checks and inspections are a few of the factors considered
by the Commission when selecting the award recipient.
Mr. Nagel introduced Valerie Hall, Office Manager for the Energy Efficiency Division of the
California Energy Commission, to present the award. Ms. Hall commended the Building Division
staff for their efforts to promote the health and safety of the community, and for making the City of
Redding a leader in energy efficiency. Ms. Hall thanked the Council for affording her the opportunity
to present the award.
Mayor Kehoe congratulated the Building and Code Enforcement Division staff for an outstanding
achievement.
CONSENT CALENDAR
The following matters were considered inclusively under the Consent Calendar:
Approval of Minutes - Regular Meeting of April 7, 1998
Approval of Payroll and Accounts Payable Register
(A-050-100-500)
It is recommended that Accounts Payable Register No. 22, for the period May 19, 1998, through May
28, 1998, check numbers 258592 through 258957 inclusive, in the amount of$1,238,674.62, and
Payroll Register No. 23, check numbers 449472 through 449910 inclusive, and electronic deposit
transaction numbers 49004 through 49467, totaling $1,364,321.38, for the period May 3, 1998,
through May 16, 1998, be accepted.
TOTAL: $2,602,996.00
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Treasurer's Report - April 1998
(A-050-100-600)
Total Treasurer's Accountability - $ 77,295,423.79
Total City of Redding Funds, Funds Held in
Trust, and Funds of Related Entities - $ 138,626,542.44
ACR133 and Cash Reconciliation Report - April 1998
(F-205-095-650)
It is the recommendation of the Deputy City Manager that the ACR133 Report and the Proof of Cash
Reconciliation for April 1998, be accepted.
Ordinance No. 2214- Amending California Public Employees' Retirement System Contract
(P-100-230)
It is recommended that Ordinance No. 2214, be adopted. An ordinance of the City Council of the
City of Redding authorizing an amendment to the contract with the Board of Administration of the
California Public Employees' Retirement System providing Fourth Level Survivor Benefits for local
safety members.
Ordinance No. 2215 - Amending Development Agreement with Shasta View Investments
(S-100-535-700)
It is recommended that Ordinance No. 2215, be adopted. An ordinance of the City Council of the
City of Redding approving an amended and restated development agreement with Shasta View
Investments relative to development of the Oak Meadow Estates Subdivision.
Ordinance No. 2216 - Rezoning Property at 1350 Spinnaker Drive
(L-010-230)
It is recommended that Ordinance No. 2216, be adopted. An ordinance of the City Council of the
City of Redding rezoning property at 1350 Spinnaker Drive and areas generally south of Quartz Hill
Road, to"R-1" and"R-1-B2A" Single-Family Residential Districts, "OS" Open Space District, and
"OS-I" Open Space Combining District; (RZ-7-97), by Herb McGetrick.
City Council Liaison/Representatives
(B-080-650)
It is the recommendation of the Mayor that Council approve the City Council liaison/representative
assignments to departments, commissions, committees and agencies as indicated in the attachment
to the Report to City Council dated May 29, 1998, incorporated herein by reference.
Property Status Report - May 1998
(C-070)
It is the recommendation of the Assistant City Manager that the Report to City Council dated May
20, 1998, incorporated herein by reference, regarding the following areas be accepted: 1) Surplus
City property; 2)Leases of City land; 3)Offers to sell land to the City; and 4) City-initiated purchases
of land.
Agreement for Resident Inspector Services for the Civic Center Project
(C-050-200)
It is the recommendation of the Assistant City Manager that Council approve the agreement with D.
Baugh Construction as Resident Inspector for the Civic Center project, and authorize the Mayor to
execute the agreement for an estimated cost not to exceed $136,000, and for a term commencing
June 15, 1998, and expiring upon completion and occupancy of the Civic Center building.
Surplus Property - 2199 Singletree Lane
(C-070-200)
It is recommendation of the Assistant City Manager that Council declare a .4 acre parcel of property
located at 2199 Singletree Lane as surplus, subject to retention of water and electric utility easements.
It is further recommended thai Council authorize staff to obtain a Broker's Opinion of Value for the
property, and negotiate its sale to Paul and Sharon Weaver and John and Gale Hall who own
adjoining parcels of land.
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Use of City-Owned Property - Southeast Corner of Churn Creek Road and Denton Drive
(C-070 & P-030-200)
It is the recommendation of the Assistant City Manager that Council authorize the owner of the Fly
Shop, located at 4140 Churn Creek Road, to apply for a use permit for a City-owned parcel of land
(currently used as a sewer lift station)located on the corner of Churn Creek Road and Denton Drive,
for use as a parking lot for his business. It is further recommended that Council authorize staff to
obtain neighborhood input and determine the conditions of approval of the use permit prior to sale
or lease of the property to the Fly Shop
Resolution - Appropriating Funds for Unanticipated Expenditures in the Parks Division
(B-130-070 & A-050-220)
It is the recommendation of the Support Services Director that Council adopt Resolution No. 98-72,
appropriating $31,000 for severance pay expenses for the Recreation& Parks Division.
Resolutions - Ordering Abandonment of Property on Old Alturas Road
(A-010-040)
It is the recommendation of the Development Services Director that Council adopt Resolution No.
98-74, ordering vacation of a portion of Old Alturas Road right-of-way shown as Parcel 1, and lying
adjacent to properties located at 2130 to 2138 Old Alturas Road (on the north side of Old Alturas
Road, east of Edgewood Drive). (A-6-94)
It is further recommended that Council Adopt Resolution No. 98-75, ordering the vacation of that
portion of Old Alturas Road right-of-way shown as parcel 2, and lying adjacent to properties located
at 2130 to 2138 Old Alturas Road(on the north side of Old Alturas Road, east of Edgewood Drive).
(A-6-94)
Lease Agreement - Jim & I Aviators
(C-070-100- & A-090-100)
It is the recommendation of the Development Services Director that Council approve the Lease
Agreement with Jim& I Aviators to lease the new 50' X 80' hangar/office complex located at 6030
Old Oregon Trail to perform commercial activities, for a monthly sum of$950, commencing on or
about October 1, 1998, to September 30, 2003.
Resolution - Releasing Abatement Proceedings
(A-030-070)
It is the recommendation of the Development Services Director that Council adopt Resolution No.
98-76, releasing the proceedings of abatement on certain real property located at 2697 Bunker Street,
previously owned by Kenneth and Harriet Scott, currently owned by Ken Jones.
Award of Request for Proposal (RFP) - RFP Schedule No. 3189, Chemical & Consulting Service,
Boiler& Cooling Tower Related Chemicals, Storage& Equipment for Redding Power Plant
(B-050-100 & E-120-150)
It is the recommendation of the Electric Utility Director that RFP Schedule No. 3189, Chemical &
Consulting Service, Boiler & Cooling Tower Related Chemicals, and Storage & Equipment for
Redding Power Plant be awarded to Nalco Chemical Company in the amount of$30,565.88 for a
two-year period.
Resolution - Authorizing Amendment to Western Shasta Rewind Contract
(E-120-900)
It is the recommendation of the Electric Utility Director that Council adopt Resolution No. 98-77,
authorizing the signing of Amendment No. 1 to Contract No. 94-SAO-00047, and Letter of
Agreement No. 98-SNR-00048 with Western Shasta Rewind for purchase of additional firm power;
It is further recommended that Council authorize payment of the invoice from the United States
Bureau of Reclamation(USBR)for an amount not to exceed $37,000 for the delay of the Shasta Unit
No. 5 maintenance outage, and an additional $8,000 be authorized as a contingency toward the
purchase of additional CVP capacity and energy.
Resolution - Appropriating Funds for Reimbursement of Emergency Replacement Costs
(B-130-070 & C-050-450)
It is the recommendation of the Support Services Director that Council adopt Resolution No. 98-78,
appropriating; 1) $14,185 for a sewage pump system at the City of Redding Recreation Offices; and
2) $8,195 for an air conditioner compressor at the Redding Museum of Art and History.
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136
Resolution- Approving Fiscal year 1998-99 Budget for the Shasta Interagency Narcotics Task Force
(SINTF)
(B-130-070 & P-150-150)
It is the recommendation of the Chief of Police that Council adopt Resolution No. 98-79, approving
the Fiscal Year 1998-99 Budget for the Shasta Interagency Narcotics Task Force in the amount of
$96,400 for operations and equipment.
Award of Bid - Bid Schedule No. 3191, Test and Repair Cross-Connection Control Devices
(B-050-100)
It is the recommendation of the Public Works Director that Bid Schedule No. 3191, Test and Repair
of Cross-connection Control Devices, be awarded to Northwood Backflow Testing in the amount
of$34,200.
Resolution - Summarily Vacating a Portion of Easements at 980 East Cypress Avenue
(A-010-040)
It is the recommendation of the Public Works Director that Council adopt Resolution No. 98-80,
summarily vacating a portion of two existing utility easements for sewer purposes granted to the City
of Redding on property located at 980 East Cypress Avenue. (A-6-98)
MOTION: Made by Council Member Anderson, seconded by Council Member McGeorge, that all
the foregoing items on the Consent Calendar be approved and adopted as recommended. Voting was
as follows:
AYES: Council Members - Anderson, Cibula, Kight, McGeorge and Kehoe
NOES: Council Members - None
ABSTAIN: Council Members -None
ABSENT: Council Members -None
Resolutions Nos. 98-73, 98-74, 98-75, 98-76, 98-77, 98-78, 98-79 and 98-80, and Ordinances Nos.
2214 and Exhibit, 2215 and Exhibit, and 2216 are on file in the Office of the City Clerk.
PUBLIC MEETING - Annexation of Monterey Springs Subdivision, Unit 2, into Landscape
Maintenance District "B"
(A-170-075-051)
The hour of 7:00 p.m. having arrived, Mayor Kehoe opened the Public Meeting to receive testimony
regarding annexation of Monterey Springs Subdivision, Unit 2, from Landscape Maintenance District
"C", into Landscape Maintenance District "B", by City of Redding.
The following document is on file in the Office of the City Clerk:
Affidavit of Publication -Notice of Public Meeting
City Clerk Strohmayer advised that no protests were received.
Support Services Director Kersten recalled that on May 5, 1998, Council initiated the annual
proceedings to levy landscape maintenance assessments for the three maintenance districts in Redding
affecting approximately 2,600 lots in various subdivisions throughout the City. Mr. Kersten explained
that Public Hearings for all three maintenance districts will be held on July 7, 1998; however, a Public
Meeting is also required for annexations into established landscape maintenance districts to provide
residents with an opportunity to give public testimony. Mr. Kersten related that two informal
meetings were previously held at City Hall in which the 49 residents of the Monterey Springs Unit
2 Subdivision, were invited to attend and ask questions of staff; however, none of the residents
affected by the annexation chose to attend. Mr. Kersten related that Monterey Springs, Unit 2 is
currently assigned to Landscape Maintenance District "C" which serves as a holding district only.
Residents who live in subdivisions where landscaping has not been installed or completed are charged
a nominal administration fee until such time as landscaping is developed and maintenance is required.
Once the landscaping is in place, the residents of the subdivision are moved from Maintenance District
"C"to an established Maintenance District such as "A" or"B", and their assessment is increased to
the amount paid by other residents in the district.
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It is the recommendation of staff that Council hold the public meeting to receive public testimony.
Mayor Kehoe determined that no one present wished to speak on the matter, and closed the public
meeting.
Mr. Kersten advised that no further action is required at this time.
APPOINTMENTS - Impact Fee Advisory Committee
(B-080-600)
Mayor Kehoe requested Council's concurrence in the appointments of Paul Edgren, James Gilmore,
Randy Memeo, Mary Machado, Dr. Greg Lomas, Allyn Clark, and Mark Lasalles to the Impact Fee
Advisory Committee.
MOTION: Made by Council Member Kight, seconded by Council Member Cibula approving the
appointments of Paul Edgren, James Gilmore, Randy Memeo, Mary Machado, Dr. Greg Lomas,
Allyn Clark, and Mark Lasalles to serve on the Impact Fee Advisory Committee. The Vote:
Unanimous Ayes.
CITY MOTTO
(A-050-080)
City Manager Warren explained that a City motto or slogan is an idea which has been considered for
quite sometime, and he pointed out the importance of continually improving and polishing the image
that Redding presents to its customers. Mr. Warren related that City employees were invited to
submit suggestions for a motto which is descriptive of what the City wants to project to its
customers. Mr. Warren advised that a staff committee reviewed the suggestions submitted and
selected nine entries(as listed in the Report to City Council dated May 21, 1998, incorporated herein
by reference) which best illustrate the image Redding wants to present to the public.
It is the recommendation of staff that Council select one motto from the nine entries listed for
implementation on City vehicles and field personnel uniforms in order to provide an identity for
Redding apart from other public agencies.
In response to Mayor Kehoe, Mr. Warren responded that the cost will not exceed $3,000, and
implementation will be accomplished incrementally as new vehicles and uniforms are purchased.
Council Member Kight applauded the idea of a City Motto and the fact that City employees were
afforded the opportunity to submit suggestions.
It was the consensus of Council that entry No. 9 best portrayed the City's commitment to its
customers. However, Council agreed that the motto "City of Redding - Working Together to
Improve our Community" should be slightly modified by omitting the words, "City of Redding,"
because it is understood.
MOTION: Made by Council Member Kight, seconded by Council Member McGeorge, approving
the new City of Redding Motto to be, "Working Together to Improve our Community." The Vote:
Unanimous Ayes.
DRAFT GENERAL PLAN COMMUNITY OUTREACH PROGRAM
(G-030)
Development Services Director Swanson reported that after working diligently for more 21/2 years,
the General Plan Task Force has completed the Public Review Draft General Plan which addresses
all mandatory items required by state law, and areas of critical concern to Redding residents. The
Task Force will release its work for public review and comment prior to presentation and
recommendation to the Planning Commission and Council for the formal public hearings process and
consideration.
Mr. Swanson related that the goal of the Outreach Program is to generate broad public interest in the
General Plan Update and provide an opportunity for meaningful community input. Mr. Swanson
explained that in order to accomplish this, the Draft General Plan Public Outreach Program - a
multifaceted approach for printed and electronic media and personal presentations to community
groups - illustrates the steps necessary for the public to participate in the process, and should be
available for distribution in June.
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It is the recommendation of staff that Council accept the report as prepared and authorize staff to
proceed with the Draft General Plan Community Outreach Program when the Draft Plan is ready for
publication.
Council Member Cibula suggested that staff contact sports-oriented groups in the community for their
input with regard to the hiking and biking trails incorporated in the Plan.
Mayor Kehoe invited comments on the plan from the audience. No comments were received.
MOTION: Made by Council Member Anderson, seconded by Council Member Kight accepting the
Draft General Plan Community Outreach Program as presented, and authorizing staff to proceed with
the Outreach Program when the Draft Plan is ready for publication. The Vote: Unanimous Ayes.
MARKETING OF AIRPORT PROPERTY
(C-070-200 & A-090-100)
Development Services Director Swanson explained that the Airports Division is charged with
administrative responsibility for a large variety of land and buildings for sale or lease at and around
Redding Municipal Airport, the Airport Business Park and Benton Airport. Mr. Swanson stated that
the Airports Division has only two professional positions to handle all real estate matters, in addition
to managing the day-to-day airport operations. Mr. Swanson reported that the 1997 Federal Aviation
Administration's (FAA) decision to allow sale of Airport Business Park property, coupled with the
improving industrial and aviation business climate, have significantly increased interest in airport
property. Unfortunately, Airport staff has reached the limit of its ability to effectively manage the
operational aspects of the airport system and mange the extensive real estate portfolio.
It is staffs recommendation that Council authorize listing of selected Airports' properties with a real
estate brokerage firm to be selected through a competitive process based on relevant experience,
qualifications, quality of the marketing proposal and proposed commission structure.
In response to Council Member Anderson,Mr. Swanson explained that a small committee comprised
of staff members will be given the responsibility of establishing the selection criteria for a brokerage
firm, but a good reputation in the real estate business, familiarity with airport properties, and a good
marketing plan will be high on the list of selection priorities.
Council Member Cibula asked if the entire process of sale and/or lease of airport property will be
handled by the brokerage firm. Mr. Swanson explained that staff would set the sale or lease price and
terms, manage the negotiations through the broker and approve or reject offers. The broker will
complete details of contract preparation subject to approval, and hopefully increase exposure of
Airports properties and their rate of sale or lease. Mr. Swanson went on to explain that currently,
staff responds to public inquiries regarding the possible lease or purchase of City-owned property,
but there are no advertising funds in the budget.
Mr. Swanson explained, in response to Council Member Anderson, that when the brokerage firm is
responsible or involved in a sale of property, it will receive a commission; however, staff will specify
the properties available for sale by the broker.
Council Member Kight suggested that Economic Development Asset Manager Hiller, and members
of the Economic Development Corporation be included on the committee to establish the criteria for
qualifying brokerage firms.
Mayor Kehoe agreed conceptually with property sales through a brokerage firm, but questioned the
incremental process of selling only airport property through a broker, suggesting that all city-owned
property should be sold through the same process. City Manager Warren explained that staff is
considering expanding the process city-wide, but would like to evaluate the process on a smaller scale
before implementing it for JI city-owned property. Mr. Warren pointed out that Assistant City
Manager Perry is currently handling the sale of other City properties and is doing an excellent job.
Council Member Cibula cautioned a too conservative approach and emphasized the need for a
coordinated effort throughout the City.
Mr. Swanson clarified that the bid will be open to all qualified firms regardless of their locale.
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MOTION: Made by Council Member Kight, seconded by Council Member McGeorge authorizing
staff to list selected Airports' properties with a real estate brokerage firm to be selected through a
competitive process, based on the relevant experience and qualifications, the quality of the marketing
proposal, and the proposed commission structure. The Vote: Unanimous Ayes.
STATE MANDATED PUBLIC BENEFIT PROGRAM AND STATUS UPDATE ON LIFELINE
RATE PROGRAM
(E-090-100)
Electric Utility Director Feider related that as part of California's electric restructuring legislation,
public and investor-owned utility companies are required to develop a Public Benefit Program (PBP)
which provides programs in one or all of the following areas: 1) Services provided for low-income
customers; 2) Energy efficiency and demand side management; 3) Research, Development and
Demonstration; and 4) Renewable Energy Facilities. Mr. Feider continued that legislation also
outlines funding guidelines for the PBP, including a nonbypassable, state-mandated Public Benefit Fee
(PBF). Redding's PBF is calculated to be approximately $1,700,000 annually, and thus far, has been
absorbed by the Electric Department in light of the debt reduction surcharge. However, because the
fee is nonbypassable, customers who choose to buy power from another supplier, must pay the fee.
Mr. Feider advised that Redding has the flexibility to determine how funds are allocated under the
PBP categories and ensure that the money spent stays in the Redding community. Mr. Feider
explained that staff has identified five primary activities which qualify for the PBP, several of which
are on-going activities to which the City committed prior to the restructuring legislation: 1) Lifeline
Rate; 2) Demand side Management (DSM); 3) Customer Assistance and Program Administration;
4) Public Education; and 5) Low interest Loans for Energy Efficiency. Mr. Feider stated that staff
believes these programs are the appropriate application to benefit the community, and adhere to the
mandates of Assembly Bill 1890.
It is the recommendation of staff that Council adopt the outlined Public Benefit Program activities
and direct staff to return to Council with a detailed package on the newly-proposed PBP initiative for
low-interest loans.
In response to Council Member Anderson, Mr. Feider stated that the low interest loan rate will be
less than 6%, and advised that staff will address the question of loan securities in the detailed proposal
when it is brought back before Council.
MOTION: Made by Council Member Kight, seconded by Council Member Anderson, adopting the
outlined Public Benefit Program activities to include 1) Lifeline Rate; 2) Demand Side Management
(DSM); 3) Customer Assistance and Program Administration; 4) Public Education Efforts; and 5)
Low Interest loans for Energy Efficiency; and return to Council with a detailed package on the newly-
proposed initiative for low-interest loans. The Vote: Unanimous Ayes.
MONTHLY FINANCIAL REPORT -Electric Utility
(B-130-070)
Electric Utility Director Feider provided an overview of the Report to City Council dated May 22,
1998, incorporated herein by reference, regarding the Electric Utility Monthly Financial Report for
April 1998. Retail power s:.les revenue through April is 8.0%, or $5,024,701 below projections.
Wholesale power sales to date are 21.4%, or$4,679,297, above projections. Other revenue to date
is $1,307,373 above projections. Total operating revenue is 1.1%, or $961,969 above plan, and
operating revenue after energy costs is 0.9%, or $429,758 below projections.
Mr. Feider advised that the total cost of electricity through April is 3.8%, or $1,391,728, above plan.
The net income after energy costs, other operating expenses and net nonoperating revenues and
expenses is 17.3% or $1,933,012, above plan.
Mr. Feider related that the initial debt reduction goal was approximately $200 million, and by
December 1997, the normal amortization of outstanding principal had reduced the outstanding total
to $190 million. The first sweep of funds from the rate reduction account into irrevocable escrows
to permanently terminate debt occurred March 31, 1998, and left the Utility's outstanding direct debt
at $161.7 million. The rate reduction account is on track with expectations.
It is the recommendation of staff that the report be accepted as presented.
In response to Council Member Kight, Mr. Feider responded that the inclimate weather which
occurred in the month of May, proved to be devastating to the Utility with regard to energy sales, but
a benefit to the consumer.
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MOTION: Made by Council Member McGeorge, seconded by Council Member Anderson accepting
the Electric Utility Monthly Financial Report for April 1998. The Vote: Unanimous Ayes
RESOLUTION - Incorporating the Economic Attraction Service into City of Redding Municipal
Utility's Schedule of Rates
(E-090-100)
Electric Utility Director Feider recalled that on September 21, 1993, Council incorporated the
Economic Development Service into the City's Schedule of Rates to provide an incentive to attract
large businesses and encourage existing businesses to expand. Mr. Feider explained that under the
existing Economic Development Service, an eligible customer is not required to fall within any
particular business or industry category as long as they bring 100kW of new load into the City;
however, the proposed complimentary Economic Attraction Service is structured as an individualized,
negotiated, incentive-based rate for manufacturing and industrial customers only. Mr. Feider stated
that it is believed the service will attract new industry to Redding and enhance the economic vitality
of the City through increased jobs, tax receipts, and increased electric revenues which will contribute
to the Utility's debt reduction fund.
It is recommended that Council authorize staff to negotiate the incentive-based rates for
manufacturing and industrial customers, and authorize the City Manager to sign Economic Attraction
Service contracts where the final rate falls between the defined upper and lower rate limits. It is
further recommended that Council adopt the resolution incorporating the Economic Attraction
Service into the City's Municipal Utility's Schedule of Rates.
In response to Council Member Anderson, Mr. Feider responded that the Utility's paramount concern
is to maintain flexibility for the customer, and ensure that power is not sold below cost. Mr. Feider
advised that if the customer is willing to entertain an indexing off of market prices for power on the
wholesale level, then it is advantageous to have the ability to offer that flexibility.
Council Member Cibula quesjoned what criteria will be used to determine the rate under which the
customer will be charged. Mr. Feider advised that if the customer is utilizing the City's distribution
system, and tying into the City's existing grid, they will be charged the full cost for distribution and
the full cost for transmission.
In response to Council Member Cibula, City Manager Warren clarified that he, along with Electric
Utility Director Feider, Economic Development/Asset Manager Hiller and City Attorney Wingate will
review the types and quality of the jobs generated by the businesses taking advantage of the Service,
and will ultimately report back to Council.
Mayor Kehoe asked if approval of the Economic Attraction Service will have any negative impact
on the City's residential or small business customers relative to rate structure. Mr. Feider assured
Council that the Service was structured in such a way that there will be no negative impact.
Council Member Kight applauded the concept of the Economic Attraction Service as an important
tool to support economic development in the City.
MOTION: Made by Council Member Kight, seconded by Council Member Cibula approving
Resolution No. 98-81, adopting an Economic Attraction Service into the City's Electrical Municipal
Utility Schedule of Rates to provide a flexible, customized rate as an economic development tool to
attract manufacturing and industrial customers to the City of Redding, effective July 1, 1998. The
Vote: Unanimous Ayes.
Resolution No. 98-81 is on file in the Office of the City Clerk.
MONTHLY FINANCIAL PEPORT - General Fund
(B-130-070)
Administrative Services Director Bachman highlighted the Report to City Council dated May 26,
1998, incorporated herein by reference, regarding the General Fund Monthly Financial Report for
April 1998. Total revenue to date is $27.8 million or$54,991 (.01%) above staffs revised cash flow
estimate. Expenditures through April 1998 (excluding encumbrances) total $31,219,726 or
$1,814,692 (5.5%) below staffs original cash flow projection.
It is the recommendation of staff that the report be accepted as presented.
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MOTION: Made by Council Member Anderson, seconded by Council Member McGeorge accepting
the General Fund Monthly Financial Report for April 1998. The Vote: Unanimous Ayes.
RESOLUTION - Amending the Employee Benefit Policies for Unrepresented Employees
(P-100-3#0) oSO-\0O
Administrative Services Director Bachman explained that the City's Employee Benefit Policies for
unrepresented employees not covered by a Memorandum of Understanding (MOU), was last revised
in March of 1996. Since that time, bargaining agreements with recognized labor organizations and
a change in management for the Personnel Division led to a comprehensive review and proposed
clean-up of the Employee Benefit Policies. The changes incorporated are in three basic categories:
1) Administrative - to clarify existing practice and use consistent terminology; 2) Catch-up -
provisions were added to include unrepresented employees in benefits obtained by represented
employees through negotiations; and 3) Other - increased mileage reimbursement from .250 to .300
per mile; a clarification of dealing with salaried employees' work hours; raising the maximum long-
term disability amount from $3,000 to $5,000 per month; provide retiree health, dental, and vision
insurance for the City Manager, City Attorney and City Council Members who retire after at least
eight (8) years of service to the City.
It is the recommendation of staff that Council adopt the resolution amending the benefit policies for
unrepresented employees as Gatlined in the Report to City Council dated May 28, 1998, incorporated
herein by reference.
Mayor Kehoe stated that he was in accord with the provisions of the amended benefit policy with the
exception of the portion dealing with group insurance which provides that the City shall pay 100%
of group health insurance coverage for persons holding the position of City Council Member, retiring
after eight or more years of service with the City.
Council Member Cibula also expressed concern with this portion of the policy and suggested that a
separate vote be conducted on the portion dealing with group insurance for retired City Council
Members.
MOTION: Made by Council Member Anderson, seconded by Council Member Cibula adopting
Resolution No. 98-82, establishing new City of Redding Employee Benefit Policies for unrepresented
employees, excluding that portion of the policy providing for 100% City-paid group insurance
benefits for retired Council Members having eight years or more of service with the City, effective
June 14, 1998. The Vote: Unanimous Ayes.
MOTION: Made by Council Member Anderson, seconded by Council Member Kight adopting
Resolution No. 98-83, establishing new City of Redding Employee Benefit Policies for unrepresented
employees, including that portion of the policy providing for 100%City-paid group insurance benefits
for retired Council Members having eight or more years of service with the City, effective June 14,
1998. The Vote:
AYES: Council Members: Anderson, Kight and McGeorge
NOES: Council Members: Cibula and Kehoe
ABSTAIN: Council Members: None
ABSENT: Council Members: None
Resolutions Nos. 98-82 and 98-83 are on file in the Office of the City Clerk.
AMENDMENT TO LEASE AGREEMENT - For Pasture Land on Riverside Drive with Alton O.
Chatham
(C-070-100)
Public Works Director August explained that since 1991, a 16-acre parcel of land located at the east
end of the Diestelhorst Greenway, has been leased to Alton O. Chatham for use as a cow pasture.
Mr. August related that while no revenue is realized from this lease, the lessee's maintenance of the
property has been established as consideration by relieving the City from maintenance costs. Mr.
August explained that in order to satisfy environmental mitigation requirements for the Lake Redding
Bridge, Court Street Extension and South Bonnyview Bridge projects, four acres of the leased parcel
has been fenced off to create the mandated habitat requirement, and to prevent grazing activity in the
recently planted area. Mr. August advised that a lease amendment is required to reflect the reduction
in pasture acreage.
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It is the recommendation of staff that Council approve the lease amendment with Mr. Chatham which
describes the pasture acreage now available; update the provisions of the lease agreement to current
conditions, and reflect the excluded four acre portion of property no longer available for grazing.
Mayor Kehoe questioned the value of the pasture land in correlation with the value of the
maintenance provided by the Lessee.
Assistant City Manager Perry responded that while the value of the pasture land is unknown at this
time, the City benefits by leasing this property until a permanent use can be developed. Mr. Perry
explained that Mr. Chatham's cows effectuate weed abatement, and it is also advantageous to have
someone act as a caretaker to prevent illegal uses such as dumping, etc.
Mayor Kehoe asserted that knowing the value of the pasture land is necessary before it can be
determined if, or how much, rent is required.
Mr. August advised that terminating the lease requires a 90-days prior notification by either party.
MOTION: Made by Council Member McGeorge, seconded by Council Member Anderson directing
staff to provide Mr. Chatham with the required 90-days notice of termination of the lease agreement,
for the pasture land on Riverside Drive, and to proceed with the competitive bid process for use of
the property in question; and directing staff to establish the value of the property. The Vote:
Unanimous Ayes.
City Attorney Wingate took the opportunity to introduce the new Assistant City Attorney David
Tranberg who was welcomed by Council and staff.
PUBLIC COMMENT
(L-010-300)
Fran Jenkins, 2652 Sharon Street, expressed concern regarding the distribution of political handbills
on vehicle windshields at a religious gathering she recently attended, and asserted that the City should
regulate the practice. City Ck,rk Strohmayer explained that while religious and political handbills may
be distributed to persons willing to accept them without benefit of a Handbill Permit, Section
6.36.060 of the Redding Municipal Code strictly prohibits the dissemination of any handbill or flyer
on vehicle windshields within the City limits. Ms. Strohmayer collected the handbill sample provided
by Ms. Jenkins and assured her that the responsible party will be contacted and informed of the
Handbill Ordinance.
CLOSED SESSION
(L-100)
Mayor Kehoe stated that the City Council will adjourn to a Closed Session pursuant to Government
Code Section 54956.9(a) to discuss the following:
CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
City of Redding vs. Tierra Oaks, LLC, et al.; Shasta County Superior Court Case No.
135064.
At the hour of 8:12 p.m., Mayor Kehoe adjourned the regular meeting to closed session.
At the hour of 8:59 p.m., Mayor Kehoe reconvened the meeting to regular session.
No action was taken.
ADJOURNMENT
There being no further business, at the hour of 9:00 p.m., Mayor Kehoe declared the meeting
adjourned.
APPROVED:
Mayor
ATTEST:
City Clerk
06/02/98