HomeMy WebLinkAboutMinutes - March 15, 1972CITY COUNCIL, CITY OF LODI
CITY HALL COUNCIL CHAMBERS
MARCH 15, 1972
A regular meeting of the City Council of the City ot Lodi was held beginning
at 5:00 p.m. on Wednesday, Nlarch 15, 1072 in the City Hall Council
Chambers.
ROLL CALL Present: Councilmen - EHRHARDT, HUGHES,
KIRSIEN, SCHAFFER
and KATNICH (Mayor)
Absent: Councilmen - None
Also present; City Manager Glaves, Assistant
City Manager Peterson, City Attorney Mullen,
Planning Director Schroeder and Public Works
Director Jones.
PLEDGE Mayor Katnich led the Pledge of Allegiance to the
flag.
MINUTES On motion of Councilman Ehrhardt, Hughes second,
the Council approved the ;Minutes of February 16,
1972 as written and mailed.
On motion of Councilman Ehrhardt, Mayor Katnich
second, the Council approved the Minutes of March 1,
1972 as written and mailed.
PUBLIC HEARINGS
SPECIFIC PLAN - Notice thereof having been puolished in accordance
E. LOCKEFORD ST, with law and affidavit of publication and declaration
of mailing oeing on file in the office of the City
RES. NO. 3606 Clerk, Mayor Katnich called for the public hearing
on the recommendation of the Planning Commission
to adopt a Specific Plan for the future development
of East Lockeford Street between Cherokee Lane
and Cluff Road.
Public Works Director Jones presented the recom-
mendation of the Planning Commission, showing
drawings of the proposed street plan.
No one in the audience wished to speak in favor
of the Specific Plan.
Mrs. Dorothy McClaine, 5.135 East Lockeford Street,
spoke concerning the proposal. Mrs. McClaine
stated that East Lockeford Street was badly in
need of repairs and she requested the City to work
with the County in an effort to improve the roadway.
City Manager Glaves explained that this portion
of East LocKeford Street is presently a County
roadway, and he suggested Mrs. McClaine should
contact San Joaquin County Supervisor Dan Parises
concerning this problem, Councilmen Kirsten and
Schaffer suggested City staff should discuss this
complaint with appropriate County officials.
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Minutes of March 15, 1972 continued
There being no other persons in the audience wishing
to speak on the matter, the puolic portion of the
hearing was closed.
After further discussion of the proposed Specific
Pian, Councilman Kirsten moved adoption of
Resolution No. 3606 recommending a Specific Plan
for East Lockeford Street between Cherokee Lane
and Cluff Road. The motion was seconded by
Councilman Schaffer and carried by unanimous
vote.
SPECIFIC PLAN - Notice thereof having been published in accordance
E. VINE STREET with law and affidavit of publication and declaration
of mailing being on file in the office of the City
RES. NO. 3607 Clerk, Mayor Katnich called for the public hearing
on the recommendation of the Planning Commission
to adopt a Specific Plan for the future development
of East Vine Street between the Frontage Road and
the future extension of Myrtle -Wells.
Public Works Director Jones discussed the proposed
Specific Plan and presented a drawing of the street
as proposed.
There being no persons in the audience wishing
to speak on this matter, the public portion of the
hearing was closed.
On motion of Councilman Schaffer, Hughes second,
the City Council adopted Resolution No. 3607 recom-
mending a Specific Plan for East Vine Street between
the Frontage Road and the future extension of Myrtle -
Wells.
NAME CHANGE- Notice thereof having been published in accordance
BECKMAN RD. with law and affidavit of publication and declaration
of mailing being on file in the office of the City
RES. NO. 3608 Clerk, Mayor Katnich called for the public hearing
on the recommendation of the Planning Commission
to change the name of the Frontage Road between
Turner Road and Kettleman Lane to Beckman Road.
There being no persons in the audience wishing to
speak on the matter, the public portion of the
hearing was closed.
After Council discussion, on motion of Councilman
Schaffer, Kirsten second, the City Council adopted
Resolution No. 3608 changing the name of Frontage
Road between Turner Road and Kettleman Lane to
Beckman Road.
PLANNING COMMISSION
The City Manager gave the following report of the
Planning Commiss_on meeting of March 13, 1972:
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Minutes of March 15, 1972 continued
MOLFINO The Planning Commission recommended the
REZONING approval of the modified request of Mr. Lemoin
REQUEST Beckman by T. A. Molfino for the rezoning from
the R-1 Single -Family Residential District to Planned
Development District No. 8 (P -D(8)) for an 8.54 acre
parcel on the north side of Edgewood Drive at Lakewood
Drive between Lot 43 of Willow Glen Subdivision, Unit
No. 1 and Lot 172 et Lakewood Subdivision, Unit No. 3
with certain conditions.
On motion of Councilman Kirsten, Schaffer second,
the above matter was set for public hearing on
April 18, 1972.
In connection with this request the Planning
Commission approved the Tentative Map of the
River Oaks Subdivisi-on with certain conditions.
FLOODPLAIN The Planning Commission recommended that the
PROPERTIES City Council take positive action to acquire the entire
floodplain properties of Mr. Lemoin T. Beckman,
Mrs. Winifred B. Jones, Mrs. Margaret B. Devine
and Mrs. Vivian lvl. Hughes which lie east of Lodi
Lake Park between the City's levee and the Mokelumne
River.
City Manager Glaves reported that the City staff was
presently preparing an application for Federal funds
for acquisition of the aocve properties.
SHEPHARD The Planning Commission recommended the approval
REZONING of the request of Mr. Thz• rnas Shephard for RCA
REQUEST Global Communications Corporation for the prezoning
from the I -PA, Interim Protective Agricultural
District to the C -P. Commercial Professional District
for a 600 -foot by 725 -foot parcel located at the southwest
corner of Lower Sacramento Road and West Turner Road.
Schaffer
On motien of Councilman Kirsten,,, Sitephad second, J�r
the above matter was set for public hearing on
April 5, 1972.
OF INTEREST Other actions of interest to the City Council were
as follows:
1. Approved the request of Sanborn Chevrolet for
a Use Permit for an automobile body and fender
shop in conjunction with a proposed automobile
agency on a 5.13 acre site on the east side of
South Cherokee Lane north of Kettleman Lane
in an area zoned C-2 General Commercial
District with certain conditions.
2. Approved the request of Geweke Ford for a Use
Permit for an automobile body and fender shop
in conjunction with a proposed automobile agency
at the northwest corner of South Cherokee Lane
and Poplar Street in an area zoned C-2, General
Commercial Distr_ct.
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Minutes of March 15, 1972 continued
3. Denied the request of Mr. Brad Frahm for the
prezoning from the GA -5, General Agricultural
District and the I -PA, Interim Protective
Agricultural Distr-ct to Planned Development
District No. 7(P•D(7)) for a 32 acre parcel
located at the southwest corner of West Lane
(South Hutchins Street) and Harney Lane.
4. Denied the request of Mr. Gene Kramer for a
change in zoning from R-1, Single -Family Residential
District to P -D(9), Planned Development District
No. 9 for a 390 -foot by 446 -foot parcel located
on the west side of South Mills Avenue north of
West Lodi Avenue.
5. Approved the request of Mr. Alvin Anderson for
a Variance to reduce the required side yard from
5 feet to 3 feet to permit a room addition at
905 Wellswood Avenue in an area zoned R -MD,
Medium Density Multiple Family Residential.
6, Recommended that the San Joaquin County Board of
Zoning Adjustment approve the request of
Mr. Norman Kaul for a Use Permit to expand
an existing nursery on the south side of Harney
Lane from the centerline of Wells Lane to 660 feet
west of Wells Lane, southeast Lodi, in an area
zoned 1 -PA, Interim Protective Agricultural.
7. Recommended that the San Joaquin County Board
of Zoning Adjustment approve the request of
Mr. Marvin Swan for a Variance to reduce the
required lot width from 60 to 50 feet and the
required side yard from 10 feet to 9 feet to
permit the construction of a duplex on the east
side of Chestnut Street north of Indiana Street,
Town of Woodbridge, in an area zoned R-2,
Residential District.
8. Recommended that the San Joaquin County Board
of Zoning Adjustment approve the request of
Mr. Edwin Prudhel for a Use Permit for the
construction of a 40 -foot by 60 -foot building
for the storage of three trucks (pickups) and
refrigeration units on the east side of Beckman
Road, 430 feet south of Kettleman Lane, southeast
of Lodi in an area zoned I -PA, Interim Protective
Agricultural.
9. Recommended that the San Joaquin County Board
of Zoning Adjustment approve the request of
Mr. Donald B. Phillips for a Use Permit for
a roadside produce stand on the southwest corner
of Harney Lane and West Lane, south of Lodi in
an area zoned I -PA, Interim Protective Agricultural
District.
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Minutes of March 15, 1972 continued
COMMUNICATIONS
413
ABC LICENSE An application for alcoholic beverage license was
received for Martin P, Kuehnert, Lodi Orions,
Lawrence Park, 350 North Washington Street, on -sale
beer seasonal.
- PGE REQUEST A Notice was read of Pacific Gas and Electric
INCREASE Company's request filed with the California Public
Utilities Commission requesting authorization to
adopt a fuel cost adjustment for inclusion in its
electric tariff.
SUN WEST A petition was received from all of the owners of
ANNEXATION the land proposed to be annexed to the City as the
PETITION "Sun West Addition.'' Said annexation was approved
RECEIVED by the Local Agency Formation Commission of San
Joaquin County on January 21, L972. The Local Agency
Formation Commission also granted the City power
to waive notice and hearing on the proposed annexation
pursuant to the provisions of 54797.1 of the Government
Code.
City Manager Glaves explained that the request for
annexation included an area of approximately 27. 56 acres,
which included a 5 -acre parcel to be used for development
of the Sun West Swim and Racquet Club. He said that
the City could not, at this time, provide storm drainage
for this area unless the Master Plan for the storm
drainage program is revised. He said the proponent,
Mr. John Capell, had proposed providing some type
of temporary basin for drainage of the area. Mr. Glaves
said the Sun West Swim and Racquet Club had requested
the City to accept their 3 -acre proposed development
with temporary services for sewer and water for a
two-year period, after which they would connect to
the City's system. They also proposed providing for
their own storm drainage with a ponding basin for
an indefinite period of time. He pointed out that if
the Club develops in the County, the City would have
no control over the development which means it would
not necessarily be developed to meet City standards.
At such time as the property should be annexed this
would create problems for the City. Even though
he felt this was a premature development, he
recommended approval of the annexation for the
reasons stated above.
Councilman Kirsten said he was opposed to haphazard
development in this area to accommodate one developer.
He then reviewed the background of the present City
policy concerning the storm drainage program and
pointed out that when the bond issue was passed the
priorities were established for storm drainage within
the City. He felt these priorities should be met and
said he was against deviation from the City's Master
Drainage Plan.
Public Works Director Shelley Jones discussed the
proposed annexation explaining that the Sun West Swim
and Racquet Club proposed to provide their own septic
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Minutes of March 15, 1972 continued
tank and a temporary water service from City
mains. They would enter into an agreement to
tie into the City's utility system within a two-year
period. He suggested a bond could be furnished
by Sun West if the Council desired this. He also
pointed out that the temporary services being
proposed were not to be furnished to the balance
of the property to be developed by Mr. Capell.
City Attorney Mullen advised the Council that the
request before them was for annexation of a parcel
of land. He pointed out that development by Sun
West Swim and Racquet Club would require a Use
Permit with certain requirements attached thereto.
Mr. John Capell, 324 La Vida Drive, proponent of
the annexation, stated the development was originally
planned in the County. He said the request for the
annexation was subject to facilities being available to
the development by the City of Lodi, and unless he
could share in the benefits of the annexation there
was very little incentive for him to annex.
Public Works Director Jones again pointed out
that the request before the Council at this time was
only for annexation; terms for utility services would
be worked out at the time a Use Permit is issued.
After further discussion by the Council, Councilman
Hughes moved discussion on this matter be continued
to the next regular meeting. The motion was seconded
by Councilman Kirsten and carried by unanimous vote.
REPORTS OF THE CITY MANAGER
CLAIMS Claims in the amount of $178,876.92 were approved
on motion of Councilman Kirsten, Ehrhardt second.
SANITARY CITY City Manager Glaves presented a study prepared by
DISPOSAL CO. the Finance Director relating to rate setting for
sanitary disposal companies. He reviewed the
report and indicated there was a wide variation
in the methods used by other cities in the setting
of rates. In the report the Finance Director had
recommended the City continue to use the 12%
depreciated assets method in determining the rate
of return to the Company. Mr. Glaves suggested
the City Council agree on a procedure to evaluate
the rate of return allowable to the Company and
defer evaluation of profits of the Company until
the new audit report is received, which would be
sometime after March 31, 1972,
Attorney Richard W. Johnson, 1149 North E1 Dorado
Street, Stockton, representing the Sanitary City
Disposal Company, .was in the audience and addressed
the Council concerning Mr. Wilson's report. Mr. Johnsor
said he agreed with the 14% Total Assets Method but
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Minutes of March 15. 1972 continued
questioned if the formula proposed would apply
to the Company's operation in the unincorporated
area. He said he d_d concur with the City Manager's
suggestion to discuss the Company's rates after the
Company's financial statement for 1971-72 fiscal
year has been submitted and studied by the City's
staff. The Company's fiscal year ends March 31, 1972.
For the purpose of the record, the following persons
were present and represented the interests of the
Sanitary City Disposal Company: Mr. Rudolph
Vaccarezza, owner of the Sanitary City Disposal
Company; Mr. Daric DeBenedetti, Business Manager
of the Sanitary City Disposal Company; Mr. Robert
Mertz, Attorney representing Estate�of Alfred Barsotti;
and Mr. Clifton C. Hite, Accountant for the Sanitary
City Disposal Company.
RECESS At 10:02 p.m. the Mayor declared a recess and the
Council reconvened at approximately 10:08 p.m.
SANITARY CITY Councilman Kirsten said there seemed to be some
DISPOSAL CO. misunderstanding about his role in the controversy
(Cont'd.) concerning the Sanitary City Disposal Company's
rates. He said he would like to clarify his position.
He said he has no personal animosity against
Mr. Vaccarezza, who had been a friend for many
years as well as a close business associate. Councilman
Kirsten said he believed Mr. Vaccarezza operates one of
the finest waste disposal operations found anywhere. He
said the Company is a public utility and had experienced
unwarranted profits because it enjoys a monopoly; it
was for this reason he had brought the matter to his
fellow -councilmen's attention.
Councilman Kirsten discussed the Company's past
10 -year profit record and pointed out that profits
had increased sharply over the past few years. He
noted profits of the Company for the past ten years
had been as follows:
1962 -
$25, 535, 75
1967 -
$44,993.98
1963 -
$38,640.65
1968 -
S32,816.35
1964 -
$28,194.05
1969 -
$64,604.07
1965 -
$24,419,16
1970 -
$75,710.13
1966 -
$50,910.78
1971 -
$87,943.94
Councilman Kirsten felt these profits to be somewhat
out of line and he suggested they were due in part
to increases in commercial rates. He suggested that
the formula devised for rate of return to the Company
should be fair to both the people of the City of Lodi .
and to the operators of the Sanitary City Disposal
Company.
In discussing the report submitted by the staff,
Councilman Kirsten said he did not totally agree
with the recommendation made by Mr. Wilson and
Mr. Glaves. He felt the Company should be treated
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Minutes of March 15, 1972 continued
as a unitary business; the Company should not
be allowed to acquire assets totally unrelated to
the operation of the Company; interest should be
deducted from the expenses; and the Company should
continue to submit its tax returns to the City.
Councilman Kirsten also suggested that when the
franchise comes up for renewal, it should be put
out for bid. He agreed the Total Assets Method
outlined by the Finance Director's report would be
acceptable with the above exceptions.
Mr. Clifton C. Hite, Accountant for the Sanitary
City Disposal Company, discussed the "Total Assets
Method" as proposed. He discussed the Company's
increase in profits and attributed the increase to
its operations outside the franchise area as well as
its efficient operation. Mr. Hite also answered
questions of the Council concerning depreciation and
interest expense. He pointed out that the Total Assets
Method allows for deduction of depreciation expense
but not intereest expense.
Attorney Robert Mertz, 121 West Pine Street, said
he felt the Council was losing sight of the fact that
profits vary from year to year. He said the basis
for the formula they were trying to arrive at is to
determine if the Company's rates are comparable
eith other cities. He said the rates appeared to be
neither high nor low but "in between." He felt the
formula established should not be rigid.
After further discussion by the Council, Councilman
Hughes moved adoption of the 14% Total Assets Method
with a five-year moving average. The motion was
seconded by Councilman Ehrhardt.
Councilman Kirsten then moved, as a substitute
motion, that the Council adopt as the City's policy
relating to the rate of return for the Sanitary City
Disposal Company the following formula:
(1) The 127o Total Assets Method with the understanding
that interest will be deducted from the expenses; (2)
assets not not necessary to the direct or indirect
operations of the Sanitary City Disposal Company's
activities will be eliminated from the balance sheet
for the purposes of this calculation; (3) the Company
shall submit to the City of Lodi the tax returns of
the Company, its stockholders and management
employees as well as corrections made by Internal
Revenue Services to the tax returns; (4) the business
of the Sanitary City Disposal Company shall be
considered a unitary business; and (5) five-year
moving average be employed.
The motion was seconded by Councilman Schaffer
and carried with Mayor Katnich voting no.
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Minutes of March 15, 19'•2
AWARD DELAYED - City Manager Glaves recommended deferring the
TURNER ROAD award of the contract for the Turner Road duct and
DUCT & VAULT precast vault until the next Council. He explained
that the necessary easement for installation of the
duct and vault had not as yet been secured and it
was hoped this problem would be resolved before
the next meeting. He also requested the Council
to approve condemnation proceedings, if necessary,
to obtain the easement. City Attorney Mullen said
he concurred with the City Manager's recommendations.
On motion of Councilman Schaffer, Ehrhardt second,
the Council approved deferring award of the contract
for the Turner Road duct and precast vault.
AUTHORIZE The City Council on motion of Councilman Schaffer,
CONDEMNATION Hughes second, then adopted Resolution No. 3609
authorizing condemnation of real property for the
RES. No. 3609 above easement.
AWARD- DUMP City Manager Glaves presented the following bids
TRUCK received for the dump truck and front-end loader:
RES. NO. 3610 Sanborn Chevrolet, Inc. $12,560.37
Peters Pontiac 13, 227.20
Geweke Ford 13, 737.96
The City Manager recommended the award be made
to the low bidder for the amount of the bid.
On motion of Councilman Ehrhardt, Schaffer second,
the Council adopted Resolution No. 3610 awarding the
contract for the furnishing of the dump truck and
front-end loader to Sanborn Chevrolet, Inc. for a
total of $12, 560. 37.
EXTENSION Mr. Glaves told the Council that Mr. Ludwig Veil,
OF RETIREMENT - an employee in the Utilities Department would reach
L. VEIL his 65th birthday on April 7, 1972. The City policy
requires an employee to retire on the first of the
month next succeeding his birthday. Mr. Veil would
complete 25 years of service on June 9, 1972 and
he has asked for an extension of his service until
July 1, 1972 so that he might accomplish this. The
City Manager felt it would be in the best interest
of the City service to approve Mr. Veil's request.
On motion of Councilman Ehrhardt, Schaffer second,
the Council approved the extension of Mr. Veil's
service until July 1, 1972.
FLOOD & On motion of Councilman Kirsten, Ehrhardt second,
MUDSLIDE the City Council adopted Resolution No. 3611 designating
INSURANCE the City Manager as the local official with overall
responsibility, authority and means to implement all
RES. NO. 3611 the commitments made in the application for Federal
flood and mudslide insurance.
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Minutes of March 15, 1972 continued
DRAINAGE City Manager Gla -:es stated the Public Works
FEES Director had recently completed a report on the
current costs for completion of the Master
Drainage Plan and a proposal had been developed
for the institution of a drainage fee to recover
some of the costs for current facilities and provide
funds for continuing the system. He explained that
when the remainder of the storm drainage bond
monies have been expended with the 1971-72 budget,
the City will have to consider financing future storm
drainage improvements with an alternate method. He
said alternates available were: (1) a second bond
issue; (2) pay-as-you-go financing; and (3) a new
source of funds developed that would be keyed to the
City's developing drainage needs. He recommended
the third alternative. He explained that this proposal
calls for a fee of $1,250. per acre to cover costs
of providing drainage basins and trunk lines up to
30 inches. The $1,250. figure is the overall average
per acre cost to provide storm drainage within the
City.
Public Works Director Jones discussed the report
and explained the basis for the $1,250. fee. He
pointed out that, if the program is adopted, the City
Council would continue to set the priorities for storm
drainage facilities as is the present policy. The new
program would just provide some additional funds for
drainage.
City Manager Glaves suggested the discussion of
this matter be continued to an adjourned meeting on
Wednesday, March 22, 1972 in the event there may
be interested persons who might like to present their
views. He also felt that the effective date for a new
rate schedule might be an important factor and suggested
the Council set the effective date at this meeting.
Councilman Schaffer then moved the discussion of the
matter be continued to an adjourned meeting on
March 22, 1972. The motion was seconded by
Councilman Kirsten.
After further discussion concerning the effective
date of a new fee schedule, Councilman Hughes
offered a substitute motion as follows: All devel-
opments for which a Tentative Map of Use Permit
had been approved prior to March 15,1972 would be
subject to the policy then in effect; all development
to be approved subsequent to March 15, 1972 would
be subject to the new fee schedule.
Councilman Hughes' motion was seconded by Councilman
Schaffer and carried by unanimous vote.
The original motion to continue discussion of the storm
drainage fees to Wednesday, March 22, 1972 then
carried by unanimous vote.
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Minutes of March 15, 1972 continued
SCOUT City Manager Glaves reported that he had been
CENTER informed by the Boy Scout Center Committee, both
verbally and by letter, that they wished to terminate
the lease with the City of Lodi for the Boy Scout
Center as of January 1, 1972. The current lease
would expire December 31, 1972. He indicated no
Council action was necessary.
RATE Assistant City Manager Peterson reported he had
INCREASE - recently been informed by the City's insurance carrier
MEDICAL for the employees' medical insurance that it would
INSURANCE be necessary to increase the rates when the plan is
due for renewal on April 1, 1972. The increase is
estimated to be approximately 40%. Mr. Peterson
recommended the Council authorize a transfer of funds
in the amount of $7,650. from the City's group insurance
reserve fund now on deposit with the company, Pacific
Mutual, to the company's operating fund, which would
cover the increase and extend the City's contract to
July 1, 1972 at which time a new contract will be
negotiated.
On motion of Councilman Kirsten, Ehrhardt second,
the City Council approved the transfer of funds as
recommended by Mr. Peterson.
PROCLAMATION Mayor Katnich proclaimed Sunday, March 26, 1972
as "Good News Day'' in the City of Lodi.
ADJOURNMENT
At approximately 12:37 a.m. Mayor Katnich adjourned
the meeting to Wednesday, March 22, 1972 at 8:00 p.m.
Attest: BES'B llkETT�" _
City Clerk
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