HomeMy WebLinkAboutMinutes - City Council - 1999-05-04 108
City Council, Regular Meeting
Council Chambers
1313 California Street
Redding, California
May 4, 1999, 7:00 p.m.
The Pledge of Allegiance to the Flag was led by Mr. Clay McLain.
The Invocation was offered by Pastor Al Cassel of St. James Lutheran Church.
The meeting was called to order at 7:00 p.m. by Mayor Anderson with the following Council
Members present: Cibula, Kight, Pohlmeyer, and McGeorge.
Also present were City Manager Warren, Assistant City Manager Perry, Deputy City
Manager Starman, City Attorney Wingate, Director of Public Works August, Director of
Development Services Swanson, Director of Electric Utility Feider, Chief of Police
Blankenship, Fire Chief Wagner, Support Services Director Kersten, Community Services
Director Gorman, Electric Group Manager Russell, Electric Program Supervisor Graves, City
Treasurer Clark, Finance Officer Strong, Administrative Services Director Bachman, Deputy
City Attorney Frediani, City Clerk Strohmayer, Assistant City Clerk Moscatello, and
Executive Secretary Miller.
RESOLUTION - Just Say No/Youth Power Week
(A-050-060-600)
It is recommended that a resolution be adopted designating the week of May 3 through May
7, 1999, as "Just Say No/Youth Power Week.
MOTION: Made by Council Member McGeorge, seconded by Council Member Cibula, that
Resolution No. 99-68 be adopted, a Resolution of the City Council of the City of Redding
designating the week of May 3 through May 7, 1999, as "Just Say No/Youth Power Week.
Voting was as follows:
Ayes: Council Members - Cibula, Kight, McGeorge, Pohlmeyer, and Anderson
Noes: Council Members -None
Absent: Council Members -None
Abstain: Council Members -None
Resolution No. 99-68 is on file in the office of the City Clerk.
A group of students from Cypress Elementary School, accompanied by their teacher, gave
a brief presentation regarding Just Say No and Youth Power Week.
INTRODUCTION OF RODEO QUEEN
(R-006-250)
Council Member Kight introduced Miss Redding Rodeo Robyn Westin.
Miss Redding Rodeo Westin thanked City Council for the opportunity to introduce herself
She stated that rodeo brings many benefits to the City. Ms. Westin briefly described her
duties and said that she appears at various events representing the Redding Rodeo
Association.
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PRESENTATION TO MEMBERS OF SPORTS COMPLEX COMMITTEE
(B-080-600)
Mayor Anderson thanked the members of the Sport Complex Committee for their
commitment and cited the goals achieved by the Committee. Softballs autographed by the
City Council were presented to Committee members Dave Andrade,Kent Dagg,Burt Meyer,
Chris Kempster, and Leonard Morrow.
PRESENTATION - re Consideration of Budgeting for a "Big Bike Cruise"
(R-006-250)
Howard Stubblefield,Chair of Kool April Nights,gave a presentation regarding a request to
the City to budget a motorcycle event in June 2000 called"Redding Big Bike Weekend." He
stated that the festivities are tentatively scheduled for the weekend of June 16 and 17,2000,
and would be a benefit for business and the City's General Fund through transient occupancy
tax and tourism. Mr. Stubblefield conveyed that events will include a motorcycle cruise on
Hilltop Drive for which Police and Public Works Department staff will be required. He
outlined their proposal to register an estimated 1,000 motorcycles and bring in approximately
$20,000 in registration fees to pay for City expenses in the estimated amount of$12,000.
Mr. Stubblefield asked Council to earmark$12,000 in next year's budget so they may begin
marketing the event.
In response to Mayor Anderson,Mr. Stubblefield conveyed that he would be happy to Chair
a volunteer committee to direct the event. He said he has spoken with and has the support
of Community Services Director Gorman as well as the business community.
City Manager Warren related that staff can work with the volunteer committee. He said he
can budget $12,000 for the event since Mr. Stubblefield has indicated the funds will be
reimbursed through registration fees. Mr.Warren reported that he looks to the Police Chief,
the Community Services Director, and the Director of Public Works to ensure the weekend
is managed as well as Kool April Nights.
Mayor Anderson deemed that the proceeds of the event,after reimbursing the City for police
protection and any other costs incurred, should be donated as the committee chooses. He
stressed that the committee must be vigilant to ensure no violence occurs, and Mr.
Stubblefield agreed.
Scott Warner, 7008 Hermosa Way, related that he represents the National Smokejumpers
Committee,which has scheduled a reunion to take place in Redding on the weekend of June
16 and 17, 1999, with an estimated 1,500 attendees. Mr. Warner indicated that their group
believes the two events can occur simultaneously without conflict.
MOTION:Made by Council Member McGeorge,seconded by Council Member Kight,that
the City Manager be directed to work with Howard Stubblefield as Chair and a volunteer
committee of the Community Services Advisory Commission to implement the "Redding
Big Bike Weekend" in Redding in June 2000; and directing that funds in the approximate
amount of$12,000 to cover City expenses be considered in the budget, with the stipulation
that the City be reimbursed through the proceeds of the event. The Vote: Unanimous Ayes
CONSENT CALENDAR
The following matters were considered inclusively under the Consent Calendar:
Approval of Minutes - Regular Meeting of April 20, 1999
Approval of Payroll and Accounts Payable Register
(A-050-100-500)
It is recommended that Accounts Payable Register No. 20, check numbers 251605 through
268011 inclusive,in the amount of$2,202,998.55,for the period April 20 through April 30,
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1999, be approved and paid, and Payroll Register No. 21, check numbers 460151 through
460479 inclusive, and electronic deposit transaction numbers 60349 through 61310, in the
amount of$1,393,337.97, for the period April 4 through April 17, 1999, be approved.
TOTAL: $3,596,336.52
Treasurer's Report - March 1999
(A-050-100-600)
Total Treasurer's Accountability - $106,974,861.01
Total City of Redding Funds, Funds Held in
Trust, and Funds of Related Entities - $165,620,124.93
ACR133 and Cash Reconciliation Report - March 1999
(F-205-095-650)
It is the recommendation of the Deputy City Manager that the ACR133 Report and the Proof
of Cash Reconciliation for March 1999 be accepted.
ORDINANCE NO. 2242 - Adding Redding Municipal Code Chapter 15.06 re Weed
Abatement
(A-030-100, A-030-040, F-205-600)
It is recommended that Ordinance No. 2242 be adopted,an ordinance of the City Council of
the City of Redding adding Chapter 15.06 (Abatement-Weeds and Rubbish) to Title 15
(Abatement) of the Redding Municipal Code.
ORDINANCE NO. 2243 - Amending Redding Municipal Code Chapter 4.12 re Transient
Occupancy Tax
(T-010-600)
It is recommended that Ordinance No. 2243 be adopted,an ordinance of the City Council of
the City of Redding amending Redding Municipal Code Sections 4.12.060 and 4.12.070-D
of Title 4.12, Transient Occupancy Tax.
ORDINANCE NO. 2244 - re Correction to Redding Municipal Code re Public Parks -
Prohibited Activities and Special Events
(A-110-070, P-050)
It is recommended that Ordinance No.2244 be adopted,an ordinance of the City Council of
the City of Redding correcting code references in Redding Municipal Code Sections
10.20.040.B.2.a. (Possession or Consumption of Alcoholic Beverages in City Parks) and
11.44.030 (Use of City Park and Recreational Facilities-Permit).
Property Status Report
(C-070)
It is the recommendation of the Assistant City Manager that City Council accept the Property
Status Report as of April 1999,which includes the following: (1) Surplus City Property;(2)
Leases/Renewal of Leases of City Land; (3) Offers to sell land to the City; and (4) City-
initiated purchases of land.
Amendment to Agreement with Caltrans - Reimbursement for Removal of Asbestos and
Lead Paint
(C-050-025, C-070-010)
It is the recommendation of the Assistant City Manager that City Council approve the First
Amendment to District Cooperative Agreement No. 02-006 (Contract No. 3463 - Return
Title of Caltrans Property to City of Redding),to reimburse the City for removal of asbestos
and lead paint, estimated to cost up to $25,000.
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Agreement with Mountain Gate Community Services District - Removal of Metal Building
from Caltrans Property
(C-050-025)
It is the recommendation of the Assistant City Manager that City Council approve an
agreement with Mountain Gate Community Services District for the removal of the easterly
130 feet of Building A and all of Building D as shown in the contract sketch, incorporated
herein by reference; authorize staff to sell the cottage on the property (Building C) for
removal if the buyer agrees to remove it by July 1, 1999; and authorize staff to sell or trade
any remaining metal buildings (remainder of Building A and all of Building B) for removal.
Street Improvements for Extension of Sonoma Street
(T-080-400, S-070-100)
It is the recommendation of the Assistant City Manager that City Council approve the
following course of action regarding additional street improvements for the extension of
Sonoma Street:
1. Direct staff to acquire a right of way necessary to accommodate a new
sidewalk, estimated to cost $2,500, or trade a strip of City land for the same
value;
2. Enter into an agreement with Plastic Surgery Associates providing for a
$20,700 credit against Traffic Impact Fees (TIF) in exchange for constructing
additional street improvements as part of their development; and
3. Approve repayment of the TIF funds from proceeds of the sale of future
parcels on Sonoma Street.
Resolution - Setting Date for Public Hearing re Landscape Maintenance District A
Resolution - Setting Date for Public Hearing re Landscape Maintenance District B
Resolution - Setting Date for Public Hearing re Landscape Maintenance District C
(A-170-075-050, A-170-075-051, A-170-075-052)
It is the recommendation of the Support Services Director that Resolution No. 99-69
regarding Landscape Maintenance District "A" be adopted, a Resolution of the City Council
of the City of Redding approving the Report of the Engineer as filed, and declaring its
intention to:
1. Annex Unit 2 of the Bonnyview Estates Subdivision into Area 3 of the
District;
2. Annex Unit 17 of the Ravenwood Estates Subdivision into Area 5 of the
District; and
3. Levy and collect assessments for Fiscal Year 1999-2000 pursuant to the
Landscaping and Lighting Act of 1972, commencing with Section 22500 of
the Streets and Highways Code, and set a public hearing for July 6, 1999.
It is recommended that Resolution No. 99-70 regarding Landscape Maintenance District "B"
be adopted, a Resolution of the City Council of the City of Redding approving the Report of
the Engineer as filed, and declaring its intention to levy and collect assessments for Fiscal
Year 1999-2000 pursuant to the Landscaping and Lighting Act of 1972, commencing with
Section 22500 of the Streets and Highways Code, and set a public hearing for July 6, 1999.
It is recommended that Resolution No. 99-71 regarding Landscape Maintenance District "C"
be adopted, a Resolution of the City Council of the City of Redding approving the Report of
the Engineer as filed, and declaring its intention to levy and collect assessments for Fiscal
Year 1999-2000 pursuant to the Landscaping and Lighting Act of 1972, commencing with
Section 22500 of the Streets and Highways Code, and set a public hearing for July 6, 1999.
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1998 Surface Mining and Reclamation Act Lead Agency Award
(L-010)
It is the recommendation of the Development Services Director that City Council accept the
1998 Surface Mining and Reclamation Act Lead Agency Award from the State Department
of Conservation for demonstrating its commitment to balancing environmental integrity and
economic growth.
License Agreement with Experimental Aircraft Association and Hillside Aviation. Inc. - Use
of Portion of Benton Airpark for Aviation Day '99
(A-070-080, A-090-020)
It is the recommendation of the Development Services Director that City Council approve a
license agreement with the Experimental Aircraft Association and Hillside Aviation, Inc., for
the use of a portion of Benton Airpark to conduct Aviation Day '99 on June 20, 1999.
Letter to California Energy Commission - re Waiver of"Power Content Label" Reporting
Requirement
(E-120)
It is the recommendation of the Electric Utility Director that City Council authorize the
Mayor to sign a letter to the California Energy Commission requesting a waiver of the 1998
"Power Content Labeling" regulation due to the Utility's inability to identify each specific
generating unit supplying power to its customers.
Award Request for Proposal No. 3265 - Phase I for Heat Recovery Steam Generator Study
at Redding Power Plant
(B-050-100, E-120-150)
It is the recommendation of the Electric Utility Director that City Council award Phase I of
RFP Schedule 3265, to provide an engineering study of the feasibility and design criteria for
a combined-cycle repowering project for the Redding Power Plant, to Black & Veatch
Corporation in the amount of$27,000; and authorize staff to negotiate with Black & Veatch
Corporation and Duke Engineering and Services to define the final scope and a firm price for
Phase II work subject to award by the City Council.
Potential Divestiture of Pacific. Gas & Electric's Hydroelectric Facilities - Response to
Regional Council of Rural Counties' Request for Qualifications
(E-090-080, E-120-070, E-120-400)
It is recommended that City Council authorize the Electric Utility to participate with the
Northern California Power Agency for the development of a response to the Regional Council
of Rural Counties' Request for Qualifications (RFQ) for provision of hydroelectric-related
services in the matter of potential divestiture of Pacific, Gas & Electric's hydroelectric
facilities, as well as prepare its own response to the RFQ as an individual respondent.
Resolution - Establishing Fees for Abatement Hearing Officer and Appeal Fee re Weed
Abatement and Authorizing Publication of Summary Ordinance No. 2242, Abatement -
Weeds and Rubbish
(F-205-600, A-030-100, A-030-040)
It is the recommendation of the Fire Chief that Resolution No. 99-72 be adopted, a
Resolution of the City Council of the City of Redding amending the Schedule of Fees and
Service Charges for Abatement Hearing Officer and Appeal Fees pursuant to Redding
Municipal Code Chapter 15.06, Abatement - Weeds and Rubbish; and that City Council
authorize publication of a summary of Ordinance No. 2242 retroactively.
Environmental Systems Research Institute Liveable Communities Grant
(G-100, G-040)
It is the recommendation of the Chief of Police that City Council approve submission of a
grant under the Environmental Systems Research Institute Liveable Communities Grant series
Law Enforcement Grant Program in the amount of $5,680, with no matching funding
requirement, to provide compatible software with the existing Geographical Information
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System and provide enhanced mapping capabilities for Investigators, Patrol Officers, and the
Crime Prevention Unit.
McConnell Foundation Grant Request - Redding Police Explorer Post
(G-100, P-150-150)
It is the recommendation of the Chief of Police that City Council approve submission of a
grant to the McConnell Foundation for equipment and travel expenses for the nonprofit
volunteer organization, Redding Police Explorer Post, in the amount of$3,708, with no
matching funding requirement.
McConnell Foundation Grant Request - Police Department Digital Cameras
(G-100, P-150-150)
It is the recommendation of the Chief of Police that City Council approve submission of a
grant to the McConnell Foundation in the amount of$68,107, with no matching funding
requirement, for the purchase of digital cameras, computers, printers, and software, to be
used by officers and investigators as an investigative tool.
Opposition to Senate Bill 402 - Employer-Employee Relations: Law Enforcement Officers
and Fire Fighters
(L-040-300, P-100-050-050, P-100-050-120)
It is the recommendation of the Administrative Services Director that City Council take a
position of opposition to Senate Bill 402, which would create a State mandate to settle
contract disputes between local public agencies and public safety unions by the method of
binding interest arbitration, and authorize the Mayor to actively oppose this legislation.
Award of Bid-Bid Schedule No. 3258, Parkview Meandering Sidewalk and American with
Disabilities Act Ramp Project
(B-050-020, S-070-100)
It is the recommendation of the Public Works Director that Bid Schedule No. 3258 (Job Nos.
8649 and 8650), Parkview Meandering Sidewalk and American with Disabilities Act Ramp
Project, be awarded to Joe Carter Construction of Shasta Lake City in the amount of
$72,378.75, and an additional $7,000 be approved to cover the cost of engineering and
inspection fees, and $5,200 be approved to provide a construction contingency fund, for a
total of$84,578.75.
Award of Bid - Bid Schedule No. 3262, Two 10-Wheel Dump Trucks
(B-050-100)
It is the recommendation of the Director of Public Works that Bid Schedule No. 3262, Two
10-Wheel Dump Trucks, be awarded to Riverview International, in the amount of
$170,531.79.
Resolution Accepting Streets - Acceptance of Improvements for Country Heights
Subdivision, Unit 15, Phase 2 (S-8-94), by Signature Northwest Partnership
(S-070-230 & S-100-108)
It is the recommendation of the Director of Public Works that Resolution No. 99-73 be
adopted, a resolution of the City Council of the City of Redding accepting for maintenance
and operation Wild Lilac Court, Eden Ridge Court, Singing Wind Court, Sunglow Court,
Resting Fawn Court, and Autumn Mist Lane in Unit 15, Phase 2, of the Country Heights
Subdivision.
It is also recommended that City Council accept the improvements in Country Heights
Subdivision, Unit 15, Phase 2, as satisfactorily completed and that the City Clerk be instructed
to return the securities to the developer.
MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, that
all the foregoing items on the Consent Calendar be approved and adopted as recommended.
Voting was as follows:
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Ayes: Council Members - Cibula, Kight, McGeorge, Pohlmeyer, and Anderson
Noes: Council Members -None
Absent: Council Members -None
Abstain: Council Members -None
Resolution Nos. 99-69, 99-70, 99-71, 99-72, and 99-73 are on file in the office of the City
Clerk.
RESIGNATION AND APPOINTMENT TO THE IMPACT FEE ADVISORY
COMMITTEE
(B-080-600)
Mayor Anderson stated that the recent appointment of Allyn Clark as City Treasurer has
made it necessary for her to relinquish her position as member of the Impact Fee Advisory
Committee due to a conflict of interest.
MOTION: Made by Council Member Kight, seconded by Council Member Pohlmeyer, to
accept the resignation of Allyn Clark from the Impact Fee Advisory Committee. The Vote:
Unanimous Ayes
Mayor Anderson recommended that Dick Green be appointed to fill the vacated position on
the Impact Fee Advisory Committee.
MOTION: Made by Council Member McGeorge, seconded by Council Member Kight, that
Dick Green be appointed to fill the position on the Impact Fee Advisory Committee vacated
by City Treasurer Allyn Clark. The Vote: Unanimous Ayes
REFINANCING OF ELECTRIC UTILITY 1993A BONDS
(D-050-200-007)
Electric Utility Director Feider provided an overview of the Report to City Council dated
April 22, 1999, regarding the proposed refinancing of a portion of the Utility's 1993A debt.
He explained that the proposed financing structure would use a "synthetic fixed rate
refunding" to refinance approximately $40 million of existing fixed rate debt with variable rate
debt. The City would enter into an agreement with a counter party who would make a
floating rate payment sufficient to cover the new variable rate debt payment. At the same
time, the City would pay the counter party a fixed rate payment considerably less than the
current fixed rate payment on the existing debt. Mr. Feider advised that this is a relatively
common financing technique known as an interest rate swap arrangement, using a floating-to-
fixed interest rate swap to achieve enhanced interest rate savings.
Mr. Feider related that although the Utility could simply refund the existing fixed rate 1993A
bonds with new fixed rate bonds at the current lower interest rates, there is minimal added
risk with the floating-to-fixed interest rate swap financing structure. He opined that for the
most part the risk can be mitigated, and the benefit of accelerating elimination of the interim
rate surcharge by several months is well worth the small added risk.
He said it is also proposed that the bond covenants associated with the refunding be less
restrictive than the existing covenants in order to provide more financial/operating flexibility.
Since the new debt would be insured it would already have a AAA rating, and the additional
flexibility is very desirable for the Utility to compete more effectively in the restructured
electric utility industry.
Dan Hartman of Public Financial Management, the Electric Utility's Financial Advisor, gave
a presentation regarding the proposed refinancing via overhead slides, incorporated herein by
reference.
It is the recommendation of the Electric Utility Director that City Council authorize staff and
the financing team to develop: 1) the necessary bond documents in order to facilitate the
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issuance of approximately$40 million of Series 1999A variable rate bonds to advance refund
a portion of existing fixed rate 1993A bonds; 2) the floating-to-fixed interest rate swap
agreement to convert the variable rate 1999A bonds into synthetic fixed rate bonds; and 3)
the structuring of bond documents for the refunding bonds that include more flexible bond
covenant language as recommended by the financing team.
Council Member Cibula questioned how the City can mitigate risk. Mr. Hartman stated that
the termination value on the swap agreement would leave the City unharmed, and should the
second party's credit deteriorate, the agreement can be terminated prior to the time the
company is unable to perform its obligations. Mr. Hartman indicated they will attempt to
build an automatic renewal, or "evergreen provision," into the document. He added that an
index swap eliminates tax risk.
Council Member Pohlmeyer asked for further information. Mr. Hartman explained that with
staffs refinancing recommendation, the City would achieve a true savings of about $1 million
plus the release of monies that otherwise would not be available until 2019. He stated that
the savings could rise from $1 million to $3.2 million under the interest rate swap transaction,
which is the basis of that recommendation. Mr. Hartman advised that measures have been
taken to eliminate or mitigate what he opined to be minimal risk. He said that the City will
receive a variable rate payment from a second party which will pay the variable rate bond
holders, leaving one fixed rate payment. He noted that over time the City will receive
payment from other parties with which to pay the bond holders, and if there is no tax reform
which affects the City, it should not matter whether interest rates fluctuate.
Further discussion ensued regarding taxable indexes and risk.
In response to Mayor Anderson, Mr. Feider indicated that he is comfortable with the lower
reserve balance requirement than that of the current bond covenant.
Mayor Anderson asked how much the interest rate could increase before making the
refinancing unfeasible, and Mr. Hartman reported that a half percent increase would cause
significant deterioration of the transaction economics. At that point, he said, it would be up
to Council whether they wish to reconsider.
In response to Council Member Kight, Mr. Feider estimated that the interim rate surcharge
may be shortened by as much as six months due to the refinancing. Council Member Kight
commented that could mean significant savings for Utility customers, and is especially
important in minimizing the impact of recent utility rate increases.
Mr. Feider conveyed that staff is requesting conceptual approval to develop the bond
documents and will return to Council in approximately six weeks for final approval.
City Manager Warren indicated that he, City Treasurer Clark, and the Finance Division are
in concurrence.
Council Member McGeorge expressed concern with regard to locking in a favorable interest
rate when Council meetings occur every two weeks. Mr. Hartman explained that once the
bond documents are approved and parameters are set as to certain savings goals, the City
Manager and the Utility Director would be authorized to implement the locked-in rate.
In response to Council Member Pohlmeyer, Mr. Hartman explained that Alternative No. 1
would cost approximately $30,000 more in legal fees than Alternative No. 2.
MOTION: Made by Council Member Kight, seconded by Council Member McGeorge, that
staff and the financing team be directed to develop necessary bond documents in order to
facilitate:
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1)The issuance of approximately $40 million of Series 1999A variable rate bonds to
advance refund a portion of existing fixed-rate 1993A bonds;
2) The floating-to-fixed interest rate swap agreement to convert the variable rate
1999A bonds into synthetic fixed-rate bonds; and
3) The structuring of bond documents for the refunding bonds that include more
flexible bond covenant language as recommended by the financing team;
and that staff be directed to return at later dates for Council to consider final authorization
to complete the refunding. Voting was as follows:
Ayes: Council Members - Cibula, Kight, McGeorge, and Anderson
Noes: Council Members - Pohlmeyer
Absent: Council Members - None
Abstain: Council Members -None
MONTHLY FINANCIAL REPORT - Electric Utility, March 1999
(B-130-070)
Electric Utility Director Feider provided an overview of the Report to City Council dated
April 15, 1999, incorporated herein by reference, regarding the Electric Utility's Monthly
Financial Report for March 1999. Retail power sales revenue through March 1999 is almost
0.9%, or $475,560, above projections, and wholesale power sales to date are 18.8%, or
$4,313,172, above projections. Total operating revenue is 8.7%, or $6,618,435, above plan,
and operating revenue after energy costs is a strong 17.3%, or $5,365,593 above projections.
Mr. Feider advised that the total cost of electricity through March 1999 was $1,252,842
above projections. The Utility's earnings before interest, depreciation, and amortization were
24.9%, or $6,033,635, above the projected year-to-date level. The current outstanding
balance for the Debt Reduction Program is $136.6 million.
It is the recommendation of staff that the report be accepted as presented.
MOTION: Made by Council Member Kight, seconded by Council Member McGeorge, to
accept the Electric Utility's Monthly Financial Report and the Electric Utility Industry
Activities Update for March 1999 as presented. The Vote: Unanimous Ayes
PUBLIC BENEFITS PROGRAM STATUS AND PROPOSAL FOR NEW PROGRAM
ACTIVITIES
(E-090-100)
Electric Utility Director Feider provided an overview of the Report to City Council dated
April 28, 1999, relating to Assembly Bill 1890 (AB 1890), which requires public and investor-
owned utility companies to develop a Public Benefits Program as a part of California's
electric industry restructuring legislation. He related that following funding guidelines, the
City has about $1,700,000 annually for the program and has the flexibility to determine how
the funds are allocated. Mr. Feider revealed that execution of the existing program equates
to approximately$1,331,000, leaving a balance of about $272,000 in funding dollars to spend
for new programs. The current program includes the following five activities: 1. Lifeline
Rate; 2. Demand Side Management; 3. Customer Assistance and Program Administration;
4. Public Education Efforts; and 5. Low-Interest Loans for Energy Efficiency.
Mr. Feider cited the following list of additional activities recommended by staff for future
funding:
1. Demand Side Management: Including lighting options for the Downtown
parking structure, Convention Center retrofit, Water Utility - Foothill
Treatment, Water Utility - Buckeye Treatment, traffic signals, Wastewater -
Clear Creek Treatment Plant, and future energy-efficiency programs.
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2. Research, Development, and Demonstration: Including the School Partnership
Program and Fantasy Fountain.
3. Renewable Energy Sources: Including electric generation from methane or
landfill gas.
It is the recommendation of the Electric Utility Director that City Council approve expansion
of the Electric Utility's Public Benefits Program activities in order to further educate the
public on the benefits of alternative energy sources and reduce operating costs of City
facilities.
MOTION: Made by Council Member Kight, seconded by Council Member Cibula, that
expansion of the Electric Utility's Public Benefits Program activities be approved as outlined
in order to further educate the public on the benefits of alternative energy sources and reduce
operating costs of City facilities. The Vote: Unanimous Ayes
MONTHLY FINANCIAL REPORT - General Fund, March 1999
(B-130-070)
Administrative Services Director Bachman highlighted the Report to City Council dated April
26, 1999, incorporated herein by reference, concerning the General Fund's Monthly Financial
Report for March 1999. Total revenue to date is $26.7 million, or $931,254 (3.6 percent),
above staff's original cash flow estimate. Expenditures to date total $28,534,157, or
$1,706,949 (5.7 percent), below staff's original cash flow projection.
It is the recommendation of staff that the City Council accept the Monthly Financial Report
for March 1999.
MOTION: Made by Council Member McGeorge, seconded by Council Member Kight, to
accept the General Fund's Monthly Financial Report for March 1999. The Vote: Unanimous
Ayes
NEXT REGULAR GENERAL MUNICIPAL ELECTION DATE
(E-070-050)
City Clerk Strohmayer provided an overview of the Report to City Council dated April 26,
1999. She advised City Council of the need to review the next regular general municipal
election date, which is currently scheduled for April 11, 2000. Ms. Strohmayer said that the
established General Municipal Election date is the second Tuesday in April of even-numbered
years; however, the State legislature has moved the statewide primary election to the first
Tuesday in March. She explained that because the County uses a votomatic ballot style, the
blanket primary election created by Proposition 198 in which all political party candidates are
listed on the same ballot has caused the County to indicate they will not accommodate cities
for a March 7, 2000, consolidation. Ms. Strohmayer stated that in moving the statewide
primary to March, the State also eliminated the June election date from the Elections Code;
and while there is pending legislation to reinstate the June date, it will be designated
exclusively for special elections. As a result, she stated that the City may not establish its
general municipal election date in June of even years.
Ms. Strohmayer advised Council of the following three options relative to its next regular
municipal election:
1. Consolidate with the November 2, 1999, Unified District Election Law
(UDEL) election. This alternative would shorten elective terms by five
months. It is estimated to cost $40,000 or more.
2. Consolidate with the November 7, 2000, General Election. This option would
lengthen elective terms by seven months and is estimated to cost about
$28,000 to $33,000.
3. Hold the next regular election as scheduled on April 11, 2000. This choice
would leave the existing elective terms intact, and estimated costs would be
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approximately $43,000. The County would not be able to provide timely
election services to the City because election dates are so close together.
It is the recommendation of the City Clerk that City Council make a decision as to its
preference for the next regular municipal election date, so that appropriate steps can be
undertaken within the prescribed timelines.
In response to Council Member Cibula, Ms. Strohmayer indicated it would be difficult for the
County to change their voting method to accommodate City elections since they have a large
investment in equipment and computer programming. She confirmed that should the June
election be reinstated, it would be only for special elections.
Mayor Anderson requested information on voter turnout. Ms. Strohmayer said that
traditionally turnout is in the range of 25% for stand-alone City elections and there was
approximately 45%turnout when the City consolidated with the statewide primary in 1996.
She indicated that if the City does not consolidate with the County, an additional 800 or more
hours of staff time would be necessary to run the election, and it would be necessary to hire
part-time temporary personnel to process absentee ballots.
In response to Council Member Cibula, Ms. Strohmayer agreed that while there is no data
available, there is probably greater voter turnout for the primary elections in November of
even-numbered years when compared to UDEL elections of odd-numbered years.
Council Member Cibula expressed concerns with regard to voter expectations as to City
Council terms as well as the closeness of the next election. He said he would be willing to
consider more information but that he had reservations about lengthening City Council terms.
He suggested that a long-term consolidation plan be identified which would not interfere with
voter expectations.
Ms. Strohmayer advised that if Council is interested in the November 1999 date, the County
needs to be notified by June 28, 1999, and the City needs to revise its ordinance prior to that
time.
Mayor Anderson stated that at some point it makes sense to convert over to consolidation,
as he believed there would be economic savings.
According to Council Member Pohlmeyer, voter turnout should be the main consideration.
Council Member Cibula reiterated his main concern about extending Council terms.
In response to Mayor Anderson, Ms. Strohmayer advised that many cities are consolidating
their elections with County-run elections.
Council Member McGeorge stated that if the savings and voter turnout would be greater for
November 2000, that would be his recommendation.
Ms. Strohmayer related that the City may be open for criticism if it held its election so close
to the statewide primary.
MOTION: Made by Council Member McGeorge, seconded by Council Member Kight, that
staff be directed to prepare an Ordinance changing the date of the City's General Municipal
Election to November of even-numbered years, and authorize consolidation with the
November 7, 2000, General Election. Voting was as follows:
Ayes: Council Members - Kight, McGeorge, Pohlmeyer, and Anderson
Noes: Council Members - Cibula
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119
Absent: Council Members -None
Abstain: Council Members -None
ORAL COMMUNICATIONS
(E-070-050)
Mary Stegall, 845 Dawson Court, commented that when the City Council made the City
Council Member appointment in January, the community believed it would be for a few
months, but that has now been extended. She related that while consolidation is an option,
Council should have considered holding the election as expected in April 2000. She stated
that the people in the process of mounting a campaign for City Council now have to wait for
many months, and she said this is discouraging.
(W-030)
City Manager Warren announced that this week is Water Awareness Week. He stated that
the Water Utility is putting on a display at the Mt. Shasta Mall, and he invited the public to
attend.
CLOSED SESSION
At the hour of 8:38 p.m., Mayor Anderson announced that Council will adjourn to closed
session to discuss the following:
CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION
Initiation of litigation pursuant to subdivision (c) of Government Code
Section 54956.9: 1 case
Closed Session pursuant to California Government Code Section 54956.8
CONFERENCE WITH REAL PROPERTY NEGOTIATOR
Property: APN Nos. 0544900211, 0542001311, 0542200111 & 0542200211
Negotiating Parties: Michael Warren, Joe Sanders, Sanders Allison Family
Trust
Under Negotiation: Price, terms and conditions
(C-070-010)
Closed Session pursuant to California Government Code Section 54956.9(a)
CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
Finley, et al. v. City of Redding, et al., Shasta County Superior Court No.
133663
(L-100)
At the hour of 8:38 p.m., Mayor Anderson reconvened the meeting to regular session. He
stated that no action was taken.
ADJOURNMENT
There being no further business, at the hour of 9:25 p.m., Mayor Anderson declared the
meeting adjourned.
APPROVED
ayor
ATTEST
yir
City Clerk /
05/04/99