HomeMy WebLinkAboutMinutes - January 4, 1989195
LEAGUE OF CALIFORNIA
CITIES DUES INCREASE
APPROVED The City Council was informed that the League of California
Cities' constitution and by-laws provide for a ratification
CC -7(i) process for dues increase established by the Board of
Directors. By unanimous vote, the Board recommended a dues
increase of 4.7%. The action of the Board needs to be
confirmed by the League's fourteen regional divisions by
January 31, 1989. Failure to respond shall be considered a
ratification of the dues increase.
The City of Lodi's dues will increase from $4,984 to $5,218
annually, an increase of $234.
The City Council approved the action of the Board of
Directors of the League of California Cities to increase
dues by 4.7%.
PLANS AND SPECIFICATIONS
FOR CARNEGIE FORUM
HARDSCAPE, 305 WEST
PINE STREET
APPROVED The City Council approved plans and specifications for the
Carnegie Forum Hardscape, 305 West Pine Street, and
CC -12.1(c) authorized advertising for bids.
This project includes concrete sidewalks with brick edges
matching the front of City Hall and the area between City
Hall and the Carnegie Forum. Landscaping will be done
under a separate contract.
CITY COUNCIL, CITY OF LODI
CITY HALL COUNCIL CHAMBERS
WEDNESDAY, JANUARY 4, 1989
7:30 P.M.
ROLL CALL
Present: Council Members - Hinchman, Olson, Reid,
Snider and Pinkerton (Mayor)
Absent: Council Members - None
Also Present: City Manager Peterson, Assistant City
Manager Glenn, Public Works Director Ronsko,
City Attorney McNatt, and City Clerk Reimche
INVOCATION
The invocation was given by Pastor Loren Stacey, Church of
God, 7th Day.
PLEDGE OF
The Pledge of Allegiance was led by Mayor Pinkerton.
ALLEGIANCE
PRESENTATIONS
There were no awards, proclamations, or presentations
presented at this meeting.
CONSENT CALENDAR
In accordance with report and recommendation of the City
Manager, Council, on motion of Council Member Reid, Olson
second, approved the following items hereinafter set forth.
CLAIMS CC -21(a)
Claims were approved in the amount of $2,338,036.87.
MINUTES
No minutes were presented for approval.
LEAGUE OF CALIFORNIA
CITIES DUES INCREASE
APPROVED The City Council was informed that the League of California
Cities' constitution and by-laws provide for a ratification
CC -7(i) process for dues increase established by the Board of
Directors. By unanimous vote, the Board recommended a dues
increase of 4.7%. The action of the Board needs to be
confirmed by the League's fourteen regional divisions by
January 31, 1989. Failure to respond shall be considered a
ratification of the dues increase.
The City of Lodi's dues will increase from $4,984 to $5,218
annually, an increase of $234.
The City Council approved the action of the Board of
Directors of the League of California Cities to increase
dues by 4.7%.
PLANS AND SPECIFICATIONS
FOR CARNEGIE FORUM
HARDSCAPE, 305 WEST
PINE STREET
APPROVED The City Council approved plans and specifications for the
Carnegie Forum Hardscape, 305 West Pine Street, and
CC -12.1(c) authorized advertising for bids.
This project includes concrete sidewalks with brick edges
matching the front of City Hall and the area between City
Hall and the Carnegie Forum. Landscaping will be done
under a separate contract.
7C)6
Continued January 4, 1989
RESOLUTION ADOPTED
APPROVING APPLICATION
FOR FUNDING FOR PARK
IMPROVEMENTS AT LODI
LAKE, 1301 WEST TURNER
ROAD, UNDER THE PER
CAPITA GRANT PROGRAM
OF THE CALIFORNIA
WILDLIFE, COASTAL AND
PARK LAND CONSERVATION
BOND ACT OF 1988
RES. NO. 89-01 The City Council adopted Resolution No. 89-01 approving
an application for grant funds under the Per Capita Grant
CC -27(c) Program of the California Wildlife, Coastal and Park Land
CC -175 Conservation Bond Act of 1988.
The City Council was informed that under directions of the
Lodi Parks and Recreation Commission and staff, Lodi Lake
has been designated for development under the new Master
Plan. Described below are three projects that -the Parks
and Recreation Department feels have merit, meet a
demonstrated need, and fulfill the requirements for grant
funds. The total project estimate is $167,000 and the
grant funds available are $145,000. The additional $22,000
required will come from the Lodi Lake Enterprise Fund
(10.0-650.0).
Project I - Hughes Beach Group Picnic Facilities
This project will increase the size ot the existing group
facilities to accommodate 100 persons, provide tables,
concrete pad, shade structure, and sewer line.
Project Estimate = $22,000
Project II - North Bend Group Picnic Facilities -
This project provides for a new 50 -person group picnic
facility as shown on the Lodi Lake Master Plan. This
facility will also have a shade structure, concrete pad,
tables, group barbecue, and water/sewer services.
Project Estimate = $22,000
Project III - Expansion of Youth Area Grou Picnic
Faci ities
This project will expand the existing 75 -person structure
to a 350 -person facility by adding a series of satellite
shade structures around the existing structure and will
include concrete pads, tables, barbecues, and water/sewer
services.
Project Estimate = $103,000
Plans & Specifications = 10,000
Engineering & Contingencies = 10,000
Total Estimate = $167,000
Funding Sources
Grant Allocation $145,000
Lodi Lake Enterprise Fund (10.0-650.0) 22,000
$167,000
Continued January 4, 1989
BIDS REJECTED FOR
PURCHASE OF DUMP
TRUCK
CC -12(b)
CC -20
CC -47
197
The City Council rejected all bids for the purchase of a
dump truck for the Public Works Street Division.
The City Council was advised that this project consists of
replacing a 1976 Ford, 23,000 GVWR dump truck equipped with
a mobile radio and emulsion tank used by the Street
Division for daily street maintenance.
Specifications for this project were approved on November
2, 1988. Bids were opened on November 16, 1988 and the
following two bids were received:
Bidder Location Bid
F.B. Hart Company Sacramento $44,202.00
Interstate
International, Inc. Stockton $47,304.89
Both bidders failed to meet the City's required
specifications for a wheel base of 140-150 inches. A
_longer wheel base increases the turning radius of the
vehicle. Because a small turning radius is critical for
the Street Division's operations, but was not specified, it
was recommended that the City Council reject all bids.
REVISED SPECIFICATIONS
FOR -DUMP TRUCK
APPROVED The City Council approved revised specifications for the
purchase of a dump truck and authorized re -advertising for
CC -12.1(b) bids.
The City Council was advised that this project consists of
replacing a 1976 Ford, 23,000 GVWR dump truck equipped with
a mobile radio and emulsion tank used by the Street
Division for daily street maintenance.
Specifications for this project were approved on November
2, 1988. Bids were opened on November 16, 1988 and two
bids were received. Both bidders failed to meet the City's
requirements.
Revised specifications include a longer wheel base and a
maximum turning radius requirement.
PURCHASE AGREEMENT
FOR 232 SOUTH
HUTCHINS STREET
APPROVED The City Council approved the purchase agreement for 232
South Hutchins Street and authorized the City Manager and
CC -27(a) City Clerk to execute the agreement.
The City Council was informed that in June, the City
Council authorized the Public Works Department to proceed
with the acquisition of right-of-way at 228 and 232 South
Hutchins Street. Agreement has been reached with Walter F.
and Charlene Dawson, the property owners, and the City will
pay $5,200 for a 10 -foot strip along the front of their
property.
SPECIFICATIONS FOR
PURCHASE OF 19.5
TONS OF SLOW RELEASE
TURF FERTILIZER
APPROVED The City Council approved the specifications for the
purchase of 19.5 tons of slow-release turf fertilizer, and
CC -12.1(c) authorized the advertisement for bids thereon.
3
198
Continued January 4, 1989
Each year the Parks Department purchases fertilizer for use
on the City's 208 acres of parks. It is the Department's
intent to buy slow release commercial fertilizer which
provides recommended amounts of required nutrients and
maximizes coverage per ton, yet releases nitrogen over an
extended period to reduce the need for re -applications.
The formula required in the specifications is designed to
fulfill those needs at a lower cost per acre per year than
water soluble fertilizers which require more frequent
application.
The estimated cost of this purchase is $12,000, with
delivery requested for March 15, 1989.
COMMENTS BY CITY
COUNCIL MEMBERS The following continents were received under the "Comments by
City Council Members" segment of the agenda:
HAPPY NEW YEAR
WISHES EXTENDED
TO COMMUNITY Council Member Olson wished the community a very happy New
Year.
PRECIOUS WATER
INSERVICE PROGRAM
APPLAUDED Council Member Hinchman congratulated staff on its precious
water inservice program.
FUND RAISER TO BE
HELD FOR NIKKI
ROSTOMILY Mayor Pro Tempore Snider announced that a benefit
fund-raiser will be held at Chaps Restaurant on January 21,
1989 for Nikki Rostomily who recently underwent a liver
transplant.
COUNCIL REQUESTED
TO CONSIDER POLICY
TO RECOGNIZE GREAT
AMERICANS IN U. S.
HISTORY Mayor Pro Tempore Snider suggested that an agenda item be
included on a future agenda to discuss the City's
CC -6 recognizing certain special days during the year and the
CC -37 issue of what the City Council's position should be in
recognizing great Americans in U. S. History.
HAPPY BIRTHDAY WISHES
EXTENDED TO PUBLIC
WORKS DIRECTOR
RONSKO Mayor Pinkerton extended best wishes to Public Works
Director Ronsko on his 50th birthday.
COMMENTS BY THE
PUBLIC ON NON
AGENDA ITEMS There were no persons wishing to speak under the "Comments
by the public on non -agenda items" segment of the agenda:
PUBLIC HEARINGS Notice thereof having been published according to law, an
affidavit of which publication is on file in the office of
the City Clerk, Mayor Pinkerton called for the Public
Hearing to consider adoption of a resolution setting and
establishing rates for water service provided by the City
of Lodi as required by California Government Code Section
5434.5.
4
199
Continued January 4, 1989
AMENDED WATER RATES
ADOPTED
RES. NO. 89-02
Following a brief introduction of the matter by City
Manager Peterson, Assistant City Manager Glenn advised the
CC -6
City Council that dating back to the Budget Message in the
CC -51(a)
1988-89 Operating Budget document promulgated last May, we
CC -56
have been periodically discussing the need to adjust the
CC -183(e)
City's water rate schedule. In fact, this matter has been
informally discussed by the City Council and staff for the
last two years. As the Council is aware, the water rate
schedule for all residential units as well as some
commercial and industrial uses is a flat rate, regardless
of water usage. The current residential rate is $6.00 per
month. This rate was established in 1976, and represented
a 50% increase from the then -existing rate of $4.00. The
1976 adjustment also increased all other rates in the
schedule by a like percentage amount (501.), including
metered commercial and industrial accounts. The last
increase prior to that was in 1965 when the rate was
increased 100%, from $2.00 to $4.00.
The present schedule is rife with inequities. The flat
rate charge in the residential community is applied equally
to the studio apartment, the one -bedroom alley house and
the five -bedroom house with large, landscaped grounds. One
aspect of the current schedule is that the per -apartment
unit rate is less if the landlord pays the bill than if the
tenant pays. The current schedule also includes a
declining block rate for metered customers. This concept
translates to "the more you use, the less it costs." This
schedule, which does nothing to encourage prudent water
usage, is 18 cents per one hundred cubic feet (100 cu/ft)
of water used for the first 50,000 cubic feet; 15 cents per
100 cu/ft for usage between 50,000 and 250,000 cubic feet;
and 12 cents per 100 cu/ft for amounts in excess of 250,000
cubic feet. Further contributing to the list of inequities
are the rates charged to unmetered commercial and
industrial accounts. In some instances the rate is based
on the size of the water service to the property. In
others, the front footage of the building is the
determining factor. In still others, the rate appears to
have been the end product of long -ago negotiations, the
logic of which is beyond recall.
The City is currently producing and delivering water at a
cost in some instances higher than is being charged metered
customers. In 1987, the City produced 66,742,460 cubic
feet of water at a cost of $1,143,695. This computes to a
cost of 17 cents per 100 cubic feet. One hundred cubic
feet of water is equal to approximately 750 gallons. With
block rates ranging from 18 cents down to 12 cents per 100
cu/ft, it is obvious that a comprehensive water rate
schedule adjustment is long overdue.
In 1989, the cost to deliver water, including capital
costs, will be 24 cents per 100 cu/ft. This includes
transfers to the General Fund for both support costs such
as billing, postage, and miscellaneous staff time, and
Water Fund capital expenditures. In addition, there have
traditionally been contributions annually from the Water
Utility Fund to the General Fund.
Obviously, the most accurate and fairest method of charging
for water usage is to meter all services. However, the
cost of purchasing, installing, maintaining and reading
meters throughout the residential community is
240
Continued January 4, 1989
prohibitive. The City is making progress toward this end
in the commercial and industrial communities. The goal is
to meter all such customers by December 31, 1990.
The recommended Water Utility budget for fiscal 1989-90
will approximate $2,330,000. This amount will be necessary
to fund the total cost of the day-to-day maintenance and
operations of the water system; provide for the
accomplishment of the on-going annual minor . capital
improvement work; continue an appropriate amount of
transfers to the General Fund; and provide sufficient
revenue ($600,000) to fund the major Water Capital
Improvement Program on a pay-as-you-go basis. However,
this does not include an undetermined amount for additional
manpower. Adding contributions to the General Fund as has
been done in the past, the total cost will be 27 cents per
100 cu/ft. After extensive review and analysis, staff now
feels confident that this program can be accomplished on a
pay-as-you-go basis over a 10 -year period (rather than the
five-year period envisioned with long-term financing) with
an interfund loan of $1,000,000 from the Electric Utility
Outlay Reserve. This loan will be repaid with interest
over a five-year period. This will eliminate the need to
borrow, and will result in a net savings to the City of
approximately $6.5 million.
Presented below are two options for water rate adjustments
presented by Staff.. The first is the continuation of the
flat, across-the-board percentage adjustments enacted in
the past. The second is the adoption of a water rate
schedule which more closely reflects actual water usage.
OPTION NO. 1
Water rate adjustments have historically been in flat,
across-the-board percentage amounts. This option, applied
uniformly on a flat percentage increase basis, can be used
to generate the funds necessary to support water system
operations in the coming year. The residential flat rate,
as well as the metered rate for certain commercial and
industrial customers, would be increased by 52%.
Additionally, the declining block rate schedule would
remain in effect, and it would be increased by a like
percentage. This schedule of adjustments would generate
approximately $2,455,000, based on anticipated 1987-88
revenues, about 5.4% above the minimum amount needed to
fund the water system operation. The additional $125,000
would be available to fund additional manpower and to
assist in funding capital improvement projects throughout
the City.
OPTION NO. 2
During the Council's review of water rate schedules and
system improvement financing at the "Shirtsleeve" session
of September 20, 1988, comments by some Councilmembers led
staff to conclude that it would perhaps be of value to
develop an alternate approach to these adjustments, while
still maintaining flat rates for all residential units.
Staff developed an alternate approach involving a series of
flat rates which increase with the size of the house and
apartment unit. This approach employs the number of
bedrooms as the determining criteria for rates as we have
utilized for years in the sanitary sewer rate schedule.
This alternate was reviewed in concept with the City
Council at its regular "Shirtsleeve" session of October 4,
1988, and again at the "Shirtsleeve" session of November
15, 1988, and is presented as Option No. 2. This rate
201
Continued January 4, 1989
schedule will also generate approximately $2,350,000 as
with Option No. 1. It uses as a base, from which all other
flat rates have been calculated, the existing 56.00 flat
rate for all residential units. That is, the existing
across-the-board flat rate remains in effect for the
smallest residential unit, the one -bedroom apartment. All
other flat rate charges have been developed from that point.
This option is an alternate that represents a departure
from the basis of water rate schedules in effect in the
City of Lodi for at least the last 30-40 years. It would
put in place a rate schedule for residential units, both
houses and apartments, based on the number of bedrooms in
each. This approach, while certainly less than perfect,
appears to be far more equitable than that presently in
place. Some assumptions were made in the development of
this alternative. These assumptions are:
the number of bedrooms is a valid indicator of water
usage
each bedroom over one will result in an additional water
usage of 20% per bedroom, i.e. a two-bedroom house will
use 20% more water than a one -bedroom house
like dwelling units should be charged the same rate,
i.e. all two-bedroom houses should be on the same rate
schedule; all two-bedroom apartments should be charged
the same in accordance with the apartment rate schedule
a single-family residence will use more water than a
like -size apartment, i.e. residents of a two-bedroom
house will use more water than residents of a
two-bedroom apartment.
The staff believes these assumptions are defensible. The
City already has over the years assembled data on the
number of bedrooms in each and every residence (single
family and apartments). This information has been in the
City's utility billing files for decades since this is the
measure utilized in applying sanitary sewer rates for
residential units. While this approach may not be a 100%
reliable indicator, it does relate to the size of the
residential unit, and the potential for water usage. One
source of information in developing the Option No. 2 water
rate schedule is the City of Manteca. That city meters
residential uses and has determined that on the average,
occupants of a two-bedroom house use 22% less water than
occupants of a three-bedroom house. Thus the 20%
differential set forth in the Option No. 2 schedule appears
to be valid.
With regard to apartments, there is no rationale to water
charges being less if the landlord pays than if the renter
pays. While there is no substantiation of the assumption
that a house uses more water than an apartment each with
the same number of bedrooms; -on the average it is a sound
position to state if for no other reason than the amount of
landscaping usually associated with each. At the present
time, duplexes and triplexes are treated the same as
apartments. That is, if the tenant pays the bill, the
monthly flat rate is $6.00, the same as a single family
residence. If the landlord pays the bill, the monthly flat
rate is $4.20. The rationale here is that the difference
is the result of a vacancy factor. The tenant pays only
when he/she occupies the rental unit. The landlord pays
whether or not the unit is occupied. However, since the
202
Continued January 4, 1989
vacancy factor in the City of Lodi is virtually zero, it is
recommended that apartment units in this option be billed
the same flat rate amount in accordance with the schedule
regardless of who pays. It is also recommended that
duplexes and triplexes be billed the same as single family
residential units. These residences are not unlike
zero -lot line houses except that for the most part zero -lot
line houses are owner -occupied and duplexes and triplexes
are occupied by renters. In most cases the amount of
landscaping is not significantly different area -wise. To
accomplish this conversion will require considerable
research by the Finance Department. Following City Council
approval of this policy change, and after the
implementation of the new schedule, staff will undertake
this major conversion effort.
Until all nonresidential customers are metered, there
exists no equitable schedule on which to base these rates.
In the interim, it is recommended that an across-the-board
adjustment be applied which is equal to the percentage
increase (69%) presented in Option No. 2 for the
three-bedroom house, the largest single category of water
customers. The number of three-bedroom houses in the City
is 6,359. This is 56% of the total number of single family
residential units. The combination of three-bedroom houses
and two-bedroom houses represent 88% of the single family
residence housing inventory. The combined number of five,
six and seven -bedroom houses is approximately 1/2% of the
total number of houses in the City.
The actual numerical breakdown for both houses and
apartments is:
Number of Bedrooms Number of Houses Number of Apartments
490 2,386
3,538 3,202
6,359 697
795
72
4
1
The metered rate of 27 cents per 100 cu/ft presented in
Option No. 2 will have a substantial impact on large water
users such as General Mills and Pacific Coast Producers
(PCP). Using the twelve-month period of October, 1987 to
September, 1988 as a basis for comparison, and applying a
flat metered rate of 27 cents per 100 cu/ft, the new rates
will result in an approximate 100% increase. In the case
of PCP, the increase will be approximately 107%. The
reason for these significant percentage increases is that
as large water users, industries such as these have a
substantial amount of water charges billed at the
12 -cent -per -100 cu/ft rate. It is interesting to note that
the American Water Works Association Journal (September,
1988) cites that the average charge in the western region
of the country for 22,400 gallons of water per month is 62
cents per 100 cu/ft. Nationwide, the average charge is 87
cents per 100 cu/fit. The average metered rate per 100
cu/ft rate for valley cities is 38 cents. Some cities
impose a minimum rate or service charge in addition to the
metered figure. Obviously, the 27 -cent rate discussed
herein for City of Lodi customers is substantially below
these figures.
203
Continued January 4, 1989
Staff conducted a survey of 16 Central Valley cities to
determine prevailing residential monthly water rates. In
conducting this survey the constants used were water usage
for a three-bedroom house, on a 60' X 100' lot, using
18,000 gallons per month, (determined to be average usage)
with a one -inch service connection. The average
residential monthly bill in this survey is $12.26. The
rate for residential units in the City of Lodi in the same
category in Option No. 2 is $10.08, 21.6% below the present
average.
OPTION NO. 1
WATER RATE SCHEDULE
Effective March 1, 1989
-----------------------------------------------------------
-----------------------------------------------------------
Residential
Flat rate $9.12
(single family units and apartment units
paid by tenant)
Flat rate $6.38
(apartment units paid by landlord)
Metered
0-50,000 cubic feet 27 cents per 100 cubic feet
50,000-250,000 cubic feet 23 cents per 100 cubic feet
over 250,000 cubic feet 18 cents per 100 cubic feet
Unmetered Commercial and Industrial
Present rate + 52%
OPTION NO. 2
WATER RATE SCHEDULE
EFFECTIVE MARCH 1, 1989
Residential
Number of bedrooms House Apartment
1 $ 7.00 $ 6.00
2 8.40 7.20
3 10.08 8.64
4 12.10 + 20% for each
additional bedroom
5 14.52
6 17.42
7 20.90
Metered
27 cents per 100 cubic feet
9
244
Continued January 4, 1989
Unmetered Commercial and Industrial
Present rates + 68%
WATER CONNECTION AND SERVICE CHARGE SURVEY
OCTOBER 1988
City Water Connection Fee Monthly Water Service Charge
Chico
CAL Water Company
$16.60
no charge if line available
Vacaville
$3,725.00
$13.26
#
Roseville
2,878.10
9.50
+
Manteca
2,222.00
15.19
#
Sacramento
2,146.00
7.61
+
Fairfield
1,837.00
25.99
#
Tracy
11500.00
19.67
#
Merced
1,042.00
9.69
*
Clovis
905.94
8.20
#
Woodland
886.70
6.75
*
Redding
625.00
12.42
#
Yuba City
600.00
12.77
#
Turlock
454.90
9.00
+
Stockton
359.00
14.98
#
Davis
250.00
8.25
*
Modesto
150.00
6.20
+
Lodi
- 0 -
$ 6.00
+
--------------------------------------------------------------------------------
Average (excluding
Lodi) $1,223.85
$12.26
Median
$ 896.32
$11.06
Lodi -amount below
average $1,223.85
$ 6.26
(51%)
Assumptions: 3 -bedroom
house; lot size 60' x 100';
gross acreage 0.18; usage
18,000
g/mo; 1" service line; fees do
not include cost of lateral
+-Flat monthly rate #-Rate based on meter reading *-Rate based on lot size
The following persons spoke in opposition to the proposed
water rate schedule adjustments:
a) Pastor Paul Donavan, 1330 West Oak Street, Lodi
b) Wilfred Schulte, 408 First Street, Lodi
There being no other persons wishing to speak on the
matter, the public portion of the hearing was closed.
10
205
Continued January 4, 1989
Following discussion with questions being posed to staff,
the City Council on motion of Council Member Hinchman, Reid
second, adopted Resolution No. 89-02 - A Resolution Adopted
Pursuant to Section 13.08.010 of the City Code, Providing
For And Establishing Rates to be Charged for Water Service
(designated as option 2 in the staff presentation). ?he
rates established by this resolution shall be applied to
all billings made for water furnished on or after March 1,
1989.
PLANNING
COMMISSION City Manager Peterson presented the following Planning
Commission Report of the Planning Commission Meeting of
December 27, 1988:
PUBLIC HEARING SET
REGARDING AMENDING
USE ELEMENT,
REZONING AND
CERTIFYING THE
NEGATIVE DECLARATION
CONCERNING 2500 WEST
TURNER ROAD
CC -35
FOR ACTION OF THE CITY COUNCIL
1. Recommended approval of the request of Marc Siegal, c/o
First Fidelity Realty Group to amend the Land Use LAND
Element of the Lodi General Plan by redesignating
the parcel at 2500 West Turner Road (APN 029-030-39,
R.C.A. Global) from Office -Institutional to Commercial.
2. Recommended approval of the request of Marc Siegal, c/o
First Fidelity Realty Group to rezone the parcel at
2500 West Turner Road (APN 029-030-39, R.C.A. Global)
from R -C -P, Residential -Commercial -Professional to
C -S, Commercial Shopping.
3. Recommended certifying the filing of a Negative
Declaration by the Community Development Director as
adequate environmental documentation on the above
projects.
On motion of Council Member Reid, Hinchman second, the
heretofore listed items were set for Public Hearing at the
regular Council Meeting of January 18, 1989.
COMMUNICATIONS
(CITY CLERK)
CLAIMS
On motion of Council Member Hinchman, Reid second, the City
Council denied the following Claims and referred it back to
CC -4(c)
the City's Contract Administrator, ADJUSTCO:
a) Lillian B. Shipley, DOL 8/29/88
ABC LICENSE
APPLICATION
The City Clerk presented the following Alcoholic
Beverage License Application that had been received:
CC -7(f)
Raymond Fong, Wing S. Fong, Judy Hom, executor for the
Estate of Wing H. Hom, Lodi Supermarket, 1411 South
Cherokee Lane, Lodi, CA 95240, Off Sale Beer and Wine
PUC APPLICATION
The City Clerk presented the following PUC application that
had been received:
CC -7(f)
11
206
Continued January 4, 1989
Application of Pacific Gas and Electric Company for
authority, among other things, to increase its rates and
charges for electric and gas service/
RESIGNATION FROM
LODI PARKS AND RECREATION
COMMISSION Following receipt of the letter of resignation from David
J. Reese from the Parks and Recreation Commission, the City
CC -2(h) Council directed the City Clerk to forward a letter of
sincere appreciation to Mr. Reese for his outstanding
commitment to this community in the 32 years he served on
this commission.
ELVERA MELBY
REAPPOINTED TO LODI
PARKS AND RECREATION
COMMISSION On motion of Council Member Reid, Hinchman second, the City
Council concurred with the reappointment by Mayor Pinkerton
CC -2(h) of Elvera Melby to the Lodi Parks and Recreation Commission
to a four year term expiring December 31, 1992. .
CITY CLERK DIRECTED
TO POST FOR VACANCIES
ON VARIOUS BOARDS
AND COMMISSIONS On motion of Council Member Hinchman, Olson second, the
City Council directed the City Clerk to post for the
following vacancies:
CC -2(h) PARKS AND RECREATION COMMISSION FOUR YEAR TERM
Tern xpiring)
12
David J. Reese
(resignation submitted) December 31, 1990
CC -2(f)
PERSONNEL BOARD OF REVIEW FOUR YEAR TERM
Lloyd Kuehne Interim Appointment
Dr. Peter Hetzner Interim Appointment
REGULAR CALENDAR
ADJUSTMENT TO REFUSE
RATE CHARGES TO FUND
STATE -IMPOSED SUR-
CHARGE FOR ULTIMATE
LANDFILL CLOSURES
APPROVED
URGENCY ORDINANCE
NO. 1443 ADOPTED
City Manager Peterson apprised the City Council that the
franchise agreement between the City of Lodi and...Sanitary
CC -6
City Disposal Co., Inc., for waste disposal services in the
CC -54
City provides in part that "the contractor will be'entitled
CC -56
to a rate adjustment immediately based on any dump fee
adjustments."
' J
The County of San Joaquin, responding to a State -mandated
$1.00 per ton surcharge to fund the Statewide landfill
closure program, took action to levy this surcharge at the
Harney Lane Sanitary Landfill following a public hearing on
this matter held in early December. Based on calculations
the County developed, the County concludes that this
translates to a surcharge of approximately 12 cents per can
in the North County area. David Vaccarezza, president of
Sanitary City Disposal Co., Inc., has requested that this
County -developed figure of 12 cents be applied in the City
of Lodi. In accordance with the terms and conditions of
the recently -adopted franchise agreement, as noted above,
12
207
Continued January 4, 1989
the contract hauler is entitled to be immediately
reimbursed for this expense. It is only fair that the
company be so reimbursed and made whole. On the other hand
it is not appropriate that the company make a profit on
this State -mandated surcharge. Thus the basics are: what
is the appropriate surcharge adjustment; how should it be
calculated; and how should it be monitored.
Staff met with Mr. Vaccarezza and other representatives of
Sanitary City Disposal Co., Inc. earlier this week to
discuss in depth how best to arrive at an equitable
adjustment figure. Whatever number is arrived at, the
action will be by urgency ordinance so that it will be
effective with the first group of utility bills to be
prepared and mailed in January, 1989.
Ordinance options were presented for the City Council's
review as follows:
set the 12 cent rate (1.7%) and establish a fund from
which the company would be reimbursed for charges
incurred for total tonnage (residential and commercial)
collected in the City and taken to the transfer station
based on weight figures supplied by the company
require the company to weigh all trucks at the transfer
station to determine actual amounts of residential and
commercial refuse for the purpose of arriving at per can
and per bin surcharge rates
set the 12 -cent per can rate developed by the County (an
equivalent adjustment would be applied to commercial
customers)
set the 12 -cent per can rate with the knowledge that
any portion of this amount not consumed by the
surcharge will be used to assist the company in the
conduct of a comprehensive City-wide, curb -side
recycling program being contemplated by the company.
Of the options set forth above, the first and second come
most close to realizing a dollar -for -dollar reimbursement
for actual costs incurred by the company as a result of the
imposition of this surcharge. They are the options most
consistent with the terms and conditions of the franchise
agreement. Mr. Vaccarezza acknowledges that there is the
potential for the 12 -cent rate to generate revenue in
excess of the County gate fee billings resulting from the
imposition of the surcharge. His response is that any
additional revenue realized by the company will be utilized
to partially offset the cost of the curb -side recovery
program noted above.
With the Board of Supervisors' action in place, the 12 -cent
per can rate and a like adjustment to the commercial rate
will be applied to all refuse customers in the north San
Joaquin County area (except the City of Lodi) effective
January 1, 1989. This is the area served by the Harney
Lane Sanitary Landfill.
A lengthy discussion followed with questions being posed by
the City Council to staff regarding the matter.
On motion of Council Member Hinchman, Reid second, the City
Council adopted Urgency Ordinance No. 1443 hereinafter set
forth in its entirety adjusting refuse rate charges to fund
the State -imposed surcharge for ultimate landfill closures
(Option 1 in the staff report).
13
ung
Continued January 4, 1989
ORDINANCE NO. 1443
AN UNCODIFIED URGENCY ORDINANCE OF THE LODI CITY COUNCIL
ESTABLISHING A SURCHARGE ON REFUSE RATES
TO FUND A STATE -MANDATED PROGRAM
BE IT ORDAINED BY THE LODI CITY COUNCIL AS FOLLOWS:
T111111i109
WHEREAS, effective January 1, 1989, a surcharge of one
dollar ($1.00) per ton on refuse placed in sanitary
landfills has been authorized and required by State statute
(Government Code §66796.22 et seq.); and
WHEREAS, the Harney Lane Sanitary Landfill, owned by
the County of San Joaquin is the location utilized by
Sanitary City Disposal Company, Inc., the City's refuse
collection Franchisee, for disposal of refuse collection in
the City of Lodi; and
WHEREAS, under the agreement between the City of Lodi
and Sanitary City Disposal Company, Inc. for refuse
collection, such increases in direct costs to Sanitary City
Disposal Company, Inc. are subject to adjustment of rates
by the City of Lodi to compensate the Franchisee;
NOW, THEREFORE, BE IT ORDAINED BY THE LODI CITY COUNCIL
pursuant to Health and Safety Code §5471 as follows:
A surcharge of 1.7% of present refuse collection rates
shall be imposed on all residential and commercial refuse
collection accounts in the City to fund the State -mandated
landfill closure program. These funds shall be placed and
retained by the City in a separate revenue account, and
paid to Franchisee on a basis of one dollar ($1.00) per 'ton
of residential and commercial refuse collected, as
established by Franchisee's records.
SECTION 2. All ordinances and parts of ordinances in
conflict herewith are repealed insofar as such conflict may
exist.
SECTION 3. This is an urgency ordinance based on health,
safety and welfare considerations, implementing a
State -mandated program, and shall be effective on all
billings by the City of Lodi, on or after January 1, 1989.
SECTION 4. This ordinance shall be published one time in
the "Lodi News Sentinel", a daily newspaper of general
circulation printed and published in the City of Lodi and
shall be in force and take effect immediately.
Approved this 4th day of January, 1989
JAMES W. P NK RT N, JR.
MAYOR
Attest:
ALICE M. REIMCHE
City Clerk
State of California
County of San Joaquin, ss.
14
209
Continued January 4, 1989
I, Alice M. Reimche, City Clerk of the City of Lodi, do
hereby certify that Ordinance No. 1443 was adopted as an
urgency ordinance at a regular meeting of the City Council
of the City of Lodi held January 4, 1989 and was thereafter
passed, adopted and ordered to print by the following vote:
Ayes:
Council
Members
- Hinchman, Olson, Reid,
CC -45(a)
Council that, based on Vehi-cle Code Section 40802, in order
CC -48(a)
Snider and Pinkerton (Mayor)
Noes:
Council
Members
- None
Absent:
Council
Members
- None
Abstain:
Council
Members
- None
I further certify that Ordinance No. 1443 was approved and
signed by the Mayor on the date of its passage and the same
has been published pursuant to law.
ALICE M. REIMCHE
City Clerk
Approved as to Form
Bob McNatt
City Attorney
The motion carried by a unanimous vote of the City Council.
-A PRESENTATION
ON RECYCLING
PROGRAM A presentation was made by Dave Vaccarezza, California
Waste Removal System regarding the recycling program being
implemented by their company.
RECESS Mayor Pinkerton declared a 5 -minute recess and the City
Council reconvened at approximately 8:55 p.m.
RESOLUTION ADOPTED
AMENDING THE TRAFFIC
RESOLUTION TO APPROVE
SPEED LIMITS ON ALMOND
DRIVE, CRESCENT AVENUE,
HAM LANE, HARNEY LANE,
STOCKTON STREET, AND
TURNER ROAD
RES. NO. 89-03
Following introduction of the matter by City Manager
Peterson, Public Works Director Ronsko advised the City
CC -45(a)
Council that, based on Vehi-cle Code Section 40802, in order
CC -48(a)
to use radar enforcement, it is necessary to conduct
engineering and traffic studies every five years on "non
local" streets. "Non local" streets are the collector and
arterial streets shown on the Federal Aid System Maps. `he
engineering studies include measurement of prevailing
speeds by a radar survey and review of accident data. -he
Public Works staff has recently updated the engineering
studies for eight streets for the reasons noted below. The
recommendations have been reviewed with the Police
Department.
SPEED LIMIT
STREET
LIMITS PROPOSED REASON FOR STUDY/COMMENTS
Almond Drive
W. City Limit - Cherokee 30 New FAU Route ("non -local"
street)
15
210
Continued January 4, 1989
Crescent Avenue
Kettleman - Lodi
35 New FAU Route ("non local"
street);
previous studies indicated
35 mph is appropriate
Ham Lane
Century - Vine
40 Segment not radar
enforceable;
1986 survey not approved
by Council
Harney Lane
WID - Stockton
45 Resurvey required per
Vehicle Code Section
40802(b) - 5 years; Maggio
Industrial Park Annexation
Mills Avenue
Century - Kettleman
35 New FAU Route ("non local"
street)
Stockton Street
Old City Limit - Harney
45 Maggio Industrial Park
Annexation
Tokay Street
Lower Sacramento - Ham
35 New FAU Route ("non
local" street);
Apple Orchard Subdivision
street improvements.
Turner Road
West City Limits -Stockton
40 Traffic signals installed
at Lower
Stockton -East City Limit
45 Sacramento and Church;
street improvements,.Lower
Sacramento to Mills.
Turner east of Ham is
presently not radar
enforceable.
Staff requested that
Council approve the speed' limits
indicated and amend the Traffic Resolution which contains
all the City's speed zones. If Council does not approve
the recommended speed
limits, the street will not be radar
enforceable. Based
on conversations with traffic
enforcement officers,
it is preferable to have .a. higher
limit that is enforceable than an arbitrary lower limit
that cannot be enforced.
Each street was discussed
at length and "voted upon
separately (Resolution
No. 89-03).
STREET
LIMITS
PROPOSED REASON FOR -
STUDY/COMMENTS
Almond Drive
W. City Limit - Cherokee
30 New FAU Route_("nqn
local" street)
On motion of Mayor Pro Tempore Snider, Olson second, the
City Council adopted the heretofore listed speed limit by
the following vote:
Ayes: Council Members
- Olson, Reid, Snider, and
Pinkerton (Mayor)
Noes: Council Members
- Hinchman
Absent: Council Members - None
Crescent Avenue
Kettleman - Lodi
35 New FAU Route ("non
local" street);
previous studies
indicated 35 mph
is appropriate
16
211
Continued January 4, 1989
On motion of Council Member Olson, Snider second, the City
Council adopted the heretofore listed speed limit by the
following vote:
Ayes: Council Members - Olson, Snider, and
Pinkerton (Mayor)
Noes: Council Members - Hinchman and Reid
Absent: Council Members - None
Ham Lane Century - Vine 40 Segment not radar
enforceable;
1986 survey not approved
by Council
On motion of Council Member Snider, Olson second, the City
Council approved the heretofore listed speed limit by the
following vote:
Ayes: Council Members - Olson, Reid, Snider, and
Pinkerton (Mayor)
Noes: Council Members - Hinchman
Absent: Council Members - None
Harney Lane WID - Stockton 45 Resurvey required per
Vehicle Code
Section 40802(b) - 5
years; Maggio
Industrial Park
Annexation
On motion of Council Member Hinchman, Reid second, the City
Council approved the heretofore listed speed limit by the
following vote:
Ayes: Council Members - Hinchman, Olson, Reid, Snider and
Pinkerton (Mayor)
Noes: Council Members - None
Absent: Council Members - None
Mills Avenue Century - Kettleman 35 New FAU Route ("non
local" street)
On motion of Council Member Hinchman, Reid second, the City
Council voted not to change the speed limit on Mills
Avenue, Century - Kettleman by the following vote:
Ayes: Council Members - Hinchman, Olson, Reid, and
Pinkerton (Mayor)
Noes: Council Members - Snider
Noes: Council Members - None
Stockton Street Old City Limit - Harney 45 Maggio Industrial Park
Annexation
On motion of Council Member Hinchman, Olson second, the
City Council approved the heretofore listed speed limit by
the following vote:
17
212
Continued January 4, 1989
Ayes: Council Members - Hinchman, Olson, Reid, Snider, and
Pinkerton (Mayor)
Noes: Council Members - None
Absent: Council Members - None
Tokay Street Lower Sacramento - Ham 35 New FAU Route ("non
local" street);
Apple Orchard
Subdivision street
improvements
On motion of Mayor Pro Tempore Snider, Hinchman second, the
City Council determined to postpone any action concerning
the speed limit on Tokay Street, Lower Sacramento - Ham for
six months. The motion carried by unanimous vote of the
City Council.
Turner Road West City Limits - Stockton 40 Traffic signals
Stockton - East City Limit 45 installed at Lower
Sacramento and Church;
street improvements,
Lower Sacramento to
Mills. Turner east of
Ham is presently not
radar enforceable.
A motion by Council Member Reid, Hinchman second not to
change the speed limits on Turner Road as set forth above
failed to pass by the following vote:
Ayes: Council Member - Reid and Hinchman
Noes: Council Members Olson, Snider, and Pinkerton (Mayor)
On motion of Council Member Olson, Snider second, the City
Council approved the speed limit heretofore set forth by
the following vote:
Ayes: Council Members - Olson, Snider, and
Pinkerton (Mayor)
Noes: Council Members - Hinchman and Reid
Absent: Council Members - None
AWARD CONTRACT FOR
INSTALLATION OF
MECHANICAL EQUIPMENT
AND NEW ROOF ON
CAFETERIA BUILDING
AT HUTCHINS STREET
SQUARE, 600 WEST OAK
STREET
RES. NO. 89-04 The City Council was apprised that this project consists of
re -roofing the cafeteria building with a single -ply roof
CC -12(a) membrane system, locating and tying in two 15 -ton air
conditioning units salvaged from the demolished Hale Park
building, and providing electrical requirements to service
those units.
Bids were opened for this project on Tuesday, December 20,
1988, and three bids were received:
Diede Construction $83,997.00
Don Hughes Construction $93,373.00
Modern Engineering $94,630.00
18
213
Continued January 4, 1989
The cost is higher than the original estimate because of
several reasons:
- Additional structural work is needed to strengthen the
glue -laminated beam over which the air conditioning
equipment is located.
- The re -roof is a single -ply, long-term roof that was
not originally planned for. The original estimate was
for patching the existing roof.
- Structural engineering was necessary.
- Electrical engineering and upgrading of the existing
electrical service is necessary.
It was recommended that the City Council award the contract
to Diede Construction for $83,997.00.
Total funding for the project, including inspection,
contingencies,, architectural fees, and structural
engineering, will be approximately $100,000.
Following discussion, on motion of Council Member Olson,
Reid second, the City Council adopted Resolution no. 89-04
awarding the Contract for the Installation of Mechanical
Equipment and New Roof on Cafeteria Building at Hutchins
Street Square, 600 West Oak Street, to Diede Construction
for $83,997.00 and authorized appropriating the necessary
funds for this project from the General Fund.
ADJOURNMENT There being no further business to come before the
City Council, Mayor Pinkerton adjourned the meeting at
approximately 10:45 p.m.
ATTEST::
Alice M. Reimche
City Clerk
19