HomeMy WebLinkAboutMinutes - October 22, 1952186
CITY COUNCIL CITY OF LODI
COUNCIL CHAMBERS, CITY HALL
OCTOBER 22, 1952
Pursuant to the adjournment taken from its regular meet-
ing of October 15, 1952, the City Council of the City of Lodi
met at 5:00 p.m. of Wednesday, October 22, 1952; Councilmen
Preszler, Richey, 'Zinn, Robinson and Haskell (Mayor) were
present; none absent.
Minutes of the previous meeting of October 5, 1952, were
approved as written and mailed.
COT. IUNICATIONS
From Lodi Aerie No. $35 of the Fraternal Order
of Eagles commending the City Council on the
selection of Police Chief Hunt and urging that
EAGLES COM24END consideration be given to the suggestions con -
COUNCIL ON cerning a traffic squad and the distinctive
SELECTION OF marking of Police Department vehicles made by
POLICE CHIEF Chief Hunt. City Manager Weller stated that
he had already discussed this matter with Chief
Hunt and that he intended to cooperate with
the Chief in establishing any improvements
which appear desirable and practical.
Albert McDonald, Chairman of the Citizens Com-
mittee Against Mass Fluoridation of Lodi City
Water Supply, read a resolution of this group
calling for a display of a can of sodium fluo-
ride along with a medical description of the
material in the City Hall lobby along with the
City's unlabled water display. Councilman
Robinson stated that he did not believe that
A petition from residents in the vicinity of
Rush, Central and Washington streets requesting
a new alley or resurfacing of the old alley
PETITION
between Central and Washington. City Manager
REQUESTING
Weller stated that a check with the City En -
ALLEY
gineer revealed that this alley would be con-
I:YiPROVR,IENT
sidered along with the other alleys in this
area in the resurfacing program. He stated
that he doubted that this alley would be in-
cluded in the program this year; however, it
would receive attention as far as patching
and maintenance are concerned.
Letter from the Placerville Chamber of Commerce
relative to a trans -Sierra all-weather highway.
TRANS -SIERRA
This letter duplicated a letter received from
HIGWdAY
the City of Auburn. The City Manager was asked
to reply that the Council had already adopted
a resolution on this subject.
From Clarence E. Ridley, Executive Director of
LETTER FROM
the International City Managers' Association,
C. E. RIDLEY
expressing his opposition to Proposition No. 10.
From State Division of Parks and Beaches report-
ing that the State Park Commission authorized
LODI LAKE PARK
the appraisal of Lodi Lake Park at its meeting
of October 10.
A resolution from the City Council of the City
of Richmond expressing opposition to the pro -
STATE -WIDE
posal of the County Supervisors Association for
SALES TAX
a State-wide city and county sales tax. On the
motion of Councilman Rinn the matter was tabled.
PUBLIC HEARINGS
Albert McDonald, Chairman of the Citizens Com-
mittee Against Mass Fluoridation of Lodi City
Water Supply, read a resolution of this group
calling for a display of a can of sodium fluo-
ride along with a medical description of the
material in the City Hall lobby along with the
City's unlabled water display. Councilman
Robinson stated that he did not believe that
Minutes of Oct. 22, 1952 continued 137
the display should be of just any can of sodium
fluoride, but that he would recommend a display of
the substance which will be used to fluoridate
the Lodi water. Mayor Haskell expressed his
PROTEST disappointment in the attitude of the McDonald
WATER group in opposing the action of the Council in
DISPLAY setting up this display of unlabled bottles of
water, one containing one part per million of
fluoride. This action, he said, was taken in
the best of faith, believing that people wishing
to make an unbiased comparison of the two samples
of water should be given the opportunity. He
pointed out that one need not taste the water if
he did not so desire. Councilman Richey defended
the Council's display as an excellent opportunity
for the individual to sample and reach his own
decision. Councilman Robinson moved, Preszler
second, that the City Manager be authorized to
display a sample of the fluoride material with
an analysis thereof for the benefit of those who
are interested. The motion was defeated by the
following vote:
AYES: Councilmen Robinson and Preszler
NOES: Councilmen Rinn, Richey and haskell
Continuance of the present display was then
approved by a unanimous vote.
The Council was presented with a petition signed
by residents of Loma Drive calling the attention
PETITION of the members of the Council to poor condition
REQUESTS of pavement on Loma Drive and asking that neces-
REPAIR OF sary action be taken to effect the necessary re-
LOMA DRIVE pairs. Mayor Haskell accepted the petition and
asked for time for consultation with the City
'"'anager and City Engineer.
At the order of Mayor Haskell a public hearing was
then held on the application of Thomas C. Gholson,
operator of the Veteran Cab Co., for an additional
APPROVE taxi cab stand in front of his place of business
TAXI CAB at 33 North Sacramento Street. No objections
STAND were voiced. After determining that there were
no objections presented in the report of the Chief
of Police, Councilman Rinn moved, Preszler second,
that the request be granted. The motion passed.
REPORTS OF THE CITY MANAGER
The City Manager presented specifications for
the purchase of concrete pipe to be used in the
SPECIFICATIONS sanitary sewer construction in Century Nlanor and
CONCRETE PIPE Lorre Village. The estimated cost of the pipe is
$7572. On the motion of Councilman Rinn, Pres-
zler second, the specifications were adopted.
The draft copy of the contract to implement the
policy relative to the extension of utility
facilities to subdivisions as discussed at the
previous meeting was presented. Mayor Haskell
briefed the other members of the Council and the
audience on the background of the problem and the
tentative policy that had been discussed up to
this point. After getting a general agreement
of the policy up to the point of establishing the
UTILITY amount of refund..and the rate of depreciation to
EXTENSION be charged, the Council then discussed these mat -
POLICY ters. Councilman Robinson stated that he felt
that a refund of approximately 50% would.be more
reasonable than the suggested 60%, or specifi-
cally, $3.50 refund per connection rather than
44.20. After a short discussion it was agreed
1.38 Pinutes of Oct. 22, 1952 continued
to refund at the rate of 4-3.50 per connection. On
the motion of Councilman Robinson a depreciation rate
of 10% was established; such depreciation charge
to commence at the termination of a base period
which is arrived at by determining the costs
of installation per lot in the subdivision and
then calculating the minimum time required to
refund said amount at 43.50 per month. This
shall be expressed at the next higher year. It
was unanimously agreed that the refunds should
be in the form of quarterly payments. Mayor
Haskell pointed out that the contract contained
AUTHORIZE provisions which enabled the City to repay the
CONTRACT subdivider earlier than specified if it is the
desire of the City to do so. The contract au-
thorized is essentially as follows:
A G R E E N1 E N T
THIS AGREEMENT made and entered into this day of
, 19_, between the CITY OF LODI, a municipal cor-
poration of the State of California, hereinafter called First
Party, and of
California, hereinafter called Second Party,
W I T N E S S E T H:
WHEREAS, Second Party contemplates the subdivision and
improvement of a certain tract of land known as
and
W'H'EREAS, Second Party is desirous of having First Party
lay and install the necessary water, electricity, and sanitary
sewer utilities to and.within said subdivision; and
WHEREA3, the parties hereto are mutually desirous of pro-
viding for the manner and method of paying the cost of instal-
ling said utilities;
NO:1, THEREFORE, in consideration of the mutual covenants
and conditions herein contained, the.parties hereto do hereby
mutually covenant and agree as follows:
First Party covenants and agrees to bring to and install
within Second Party's subdivision the necessary water, electri-
city, and sanitary sewer lines, the installation within said
subdivision to be within the easements provided for utilities
as shown upon said subdivision map. It is expressly understood
and agreed that this agreement does.not contemplate nor cover
the connections from these utility services to the improvements
to be erected within said subdivision, but only covers the main
lines and laterals to the subdivision and within said subdivi-
sion easements.
II
Second Party does hereby pay to First Party the sum of
4 to cover the estimated cost, as computed by
First Party, of installing said utilities. In the event that
the actual cost of installing said utilities exceeds the amount
of this deposit, then and in that event, Second Party covenants
and agrees to pay to First Party within sixty days after receipt
of a written demand, a sum sufficient to pay the difference
between the amount deposited and the actual cost of the instal-
lations. in the event/that the actual cost of the installation
of the utilities is less than the amount deposited herewith,
then and in that event, First Party covenants and agrees to
refund the difference to the Second Party within sixty days
after the date the utilities have been installed.
119 9
Minutes of Oct. 22, 1952, continued.
III
First Party agrees to refund to Second Party the amount
of money deposited with First Party at the rate of :3.50 per
month, payable quarterly, for each connection made to all the
utilities within the subdivision. For the purposes of compu-
tation, the number of connections in place and in use as of
the end of each quarter shall be the basis upon which the re-
fund for that quarter shall be made. Said payments shall con-
tinue until the entire amount of deposit paid by Second Party
to First Party has been refunded to Second Party, subject,
however, to the conditions hereinafter contained in paragraph
IV. It is expressly understood and agreed that the obligation
of First Party to repay Second Party shall not include the
payment of any interest whatsoever.
For the reason that First Party is making payments to
Second Party from revenue derived solely from the use of the
utilities installed in Second Party's subdivision, it is mutually
understood and agreed that First Party shall be under no obliga-
tion to commence payments to Second Party unless and until the
utilities are not only connected to the improvement in the sub-
division but also that the improvement is used and occupied.
IV
in the event that at the end of years from (six
months from date) , Second Party has not been repaid the
deposit in full, then and in that event, and commencing with
the year and annually thereafter, First Party shall charge
an annual depreciation of ten per cent on the balani e of prin-
cipal then remaining due and owing to Second Party, and the
amount due Second Party shall be reduced accordingly by this
amount of depreciation, as of the start of said year and
continuing annually thereafter. In other words, commencing
with the said year, the obligation of First Party to
repay Second Party shall be reduced in an amount computed at
the rate of ten per cent on the amount of principal due and
owing each year commencing with the year.
V
Nothing in this agreement shall be construed as preventing
First Party, at its option, from repaying Second Party at a
faster rate than the amount provided for herein.
IN WITNESS WHEREOF, the parties hereto have set their
hands the day and year first hereinabove written.
CITY OF LODI
By
Mayor
Attest: First Party
City Clerk Second Party
Councilman Rinn moved, Richey second, that the
policy as implemented by the abode contract be
adopted to apply in all subdivisions or develop-
ments of a residential nature for the extension
of utilities up to the subdivision or development
and into the easements which are cleared by the
developer. The motion was adopted by a unanimous
vote.
Claims in the amount of .88 ,495.51 were arproved
CLAI:S for payment on the motion of Councilman Richey,
Preszler second.
140 Minutes of October 22, 1952 continued
Councilman Preszler recommended that one or two
police patrolmen be put on foot in the central
business district, explaining that he felt that
better police coverage would be achieved in this
DISCUSS manner. He further suggested that better cover -
POLICE age would be achieved by instituting one man
ORGANIZATION Datrols rather than the two man patrols we have
at present. Councilman Robinson suggested that
some steps be taken to reduce the double parking
on the streets in the business district. It was
agreed that these matters should be left for the
Chief of Police to consider.
Mr. Weller then read a letter to the Council which
REPORT ON he had prepared exp4&ining the effects of the
PUC DECISION recent decision of the Public Utilities Commission
on the Cit- of Lodi. The lettar as read a^pears
as follows:
moved the adortion of Resolution
RES. m1704
No. 1704 declaring the intention of the City
INT. TJ ANNE{
Council to annex to the City of Lodi the 104
LAWRENCE
acre tract to be known as the Lawrence Ranch
RANCH
Addition. The date for public hearing was set
ADDITION
for Friday, November 21, 1952 at 12 o'clock noon
in the City Council Chambers of the City Hall.
The motion passed.
The City Manager presented a petition calling
for the annexation to the City of approximately
RIECK
11 acres which lie north of the 40th Addition and
PETITION
west of Hutchins Street. The petition was re -
PRESENTED
ferred to the City Planning Commission on the
motion of Councilman Rinn, Richey second.
Mr. Weller presented the informal bids received for
AWARD
tl-e audit of the City's accounts. Councilman
AUDIT
Richey moved, second Robinson', to award contract
to the low bidder, Lyman Straine & Company. The
motion carried.
A request from Walter Smith for overwidth drive-
ways at the drive-in market under construction
APPROVE
at the corner of Kettleman Lane and South Hutch -
OVER -WIDTH
ins Street was presented. Councilman Preszler
DRIVEWAY
moved, Richey second, that the request be granted
for the construction of a driveway on Kettleman
Lane up to 40 feet and two driveways on Hutchins
Street of widths up to 18 and 22 feet with the
understanding that such widths will be cut down
if possible. The motion carried.
A recommendation from Police Chief Hunt relating
to the traffic problem at Needham School was pre-
sented. Chief Hunt recommended as follows:
1. That the curb be painted yellow for about
150 feet south from Church Street entrance
NEEDHAM
of the school
SCHOOL
2. That a "No Parking" area be established
TRAFFIC
in front of the center and south entrances
on Pleasant Avenue.
The recommendations of the Police Chief were
adopted on the motion of Councilman Richey,
seconded by Councilman Robinson.
To a question by Mayor Haskell relative to the
installation of traffic signals at the corner of
TRAFFIC
School and Pine Streets and at the corner of Oak
SIGNALS
and School Streets, City Manager Weller replied
that some cDnfusion had developed in the ordering
of the equipment; however, it was now straightened
out and the order had been placed.
Councilman Preszler recommended that one or two
police patrolmen be put on foot in the central
business district, explaining that he felt that
better police coverage would be achieved in this
DISCUSS manner. He further suggested that better cover -
POLICE age would be achieved by instituting one man
ORGANIZATION Datrols rather than the two man patrols we have
at present. Councilman Robinson suggested that
some steps be taken to reduce the double parking
on the streets in the business district. It was
agreed that these matters should be left for the
Chief of Police to consider.
Mr. Weller then read a letter to the Council which
REPORT ON he had prepared exp4&ining the effects of the
PUC DECISION recent decision of the Public Utilities Commission
on the Cit- of Lodi. The lettar as read a^pears
as follows:
iL:inutes of Jct. 22, 1952 continued
"To the Honorable :Mayor and
iv.embers of the City Council
Gentlemen:
"You will recall that on July 18, 1952, the Pacific Gas &
Electric Company filed an application before the State Public
Utilities Commission for permission to increase electric rates
by approximately Q37,650,000 per year. Subsequently, in Aug-
ust, the Company filed supplemental requests which raised the
total increase sought to about �45,704,OOC, based on estimated
1952 sales.
"As a part of the proposed increase, the Company proposed
that eates be raised approximately 18�% in the case of all
special contract resale customers with the exception of Redding.
In addition to ourselves, this portion of the application
would have applied to the cities of Biggs, Gridley, Roseville,
healdsburg, Ukiah, Santa Clara, Alameda and Palo Alto, and to
the Sacramento Municipal Utility District and the Plumas-
Sierra Rural Electrification District. At the then -existing
rate of kwh consumption, this proposal would have cost the
City of Lodi approximately 08,000 per year. In addition, the
Company sought inclusion of the so-called 'fuel -oil clause'
in its resale contracts. This is a kind of escalator pro-
vision related to the cost of fuel for diesel electric gen-
eration. Its effect in dollars and cents is difficult to
estimate because it varies with the market price, but with
fuel oil at $2.20 - by no means an impossible figure - the
clause would have cost us an additional sum of about 422,000
per year at then -existing rates of kwh consumption. The total
impact of the Company proposal to Lodi could therefore have
been measured not unreasonably at about w60,000 per year.
Bearing in mind that our power bills increase at the rate of
about 8% per year, it is obvious that the increase proposed
would have amounted to a staggering sum by the end of the
present contract period in September of 1954. Similar figures,
of course, were applicable to the other public agencies in this
consumer group.
"It seemed to me that the Company's application for an
increase in rates for customers served under contract was
arbitrary and that if it were approved by unilateral petition,
it would remove all value from such contracts.
"In July, 1951, I therefore circularized the cities of
Biggs, Gridley, Healdsburg, Ukiah, Roseville, Santa Clara,
Alameda and Palo Alto and the Plumas-Sierra District for the
purpose of suggesting a meeting to discuss the Company appli-
cation. This meeting was held and it was decided to present
joint opposition to the increase before the Commission.
"Considerable preliminary work was done in assembling
pertinent data and we engaged ,"•lr. David I. Wendel of the firm
of Glickman, Orr & Heuring, Oakland, to advise on legal details
of Commission formality and presentation. Protests on behalf
of each agency were then filed with.the Commission.
"The case we submitted was based in general on the follow-
ing points:
1. The City of Redding was entitled to its exemption
by reason of the availability of competitive electric power
through the Bureau of Reclamation. installation at Shasta and
Keswick Dams. However, all of the protesting public agencies
with the exception of Healdsburg and Ukiah were also in the
area to be served by the so-called 'wheeling agreement' and
were accordingly equally eligible to obtain competitive power.
For this reason we contended that all protesting agencies
excepting Healdsburg and Ukiah should receiire treatment on
an equal basis with Redding.
141
s
� 9 Minutes of Oct. 22, 1952 continued
2. The cities of Healdsburg and Ukiah presently were
paying contract rates for electric power which were approxi-
mately 15% above those paid by other agencies. Cost of service
to the Company for these two customers did not appear reasonably
to be any higher and we accordingly asked that the discrimina-
tion against these cities be removed in the future.
3. We contended that the proposed insertion of the
fuel oil clause constituted an essential and fundamental
change in our existing contracts, that it was in any case
inequitable and that it should not be permitted by the Commis-
sion.
4. Each of us had signed contracts for periods of
five years with the Company, under which specific rates for
electricity were stipulated. These rates were a basic part
of the contract and should not be modified except by mutual
consent, even admitting the authority of the Commission to
intervene on its own initiative.
"On February 7, 1952, the Company moved for an interim
increase pending final judgment on the case. We opposed this
motion, along with other protestants, and on April 8 the Com-
mission denied it. In the light of the decision finally handed
down by the Commission, I believe that our protest weighed
heavily in the rejection of interim relief.
"A total of 36 days of hearings were held before the Com-
mission between November 7, 1951, and July 25, 1952. Due to
the complexities of the case, the Commission decision was not
handed down until October 15, 1952.
"Under this decision, as you no doubt know, a general
increase to other consumers of approximately 12% was granted.
�Iith respect to the four points raised by our group, these were
the Commission rulings:
1. On our objection to special treatment for Red-
ding: The Commission ruled that Redding in the future would
be considered on an equal basis with other special contract
resale customers.
2. On our objection to differential rates for Healds-
burg and Ukiah: The Commission ruled that these cities would
in the future be considered on an equal basis.
3. On our objection to the fuel oil clause: The
Commission ruled that this clause v.would not be inserted.
4. On our contention that existing contracts should
not be amended except by mutual consent: The Commission ruled
that our present contracts would not be disturbed and that
present rates would be continued.
"However, at the same time the Commission established a
new filed tariff, Schedule "R", approximately 25% higher than
our existing contract rates. This schedule will be the basis
for future contracts. The decision reads, in part: 'It is
the Commission's opinion that the present resale Schedules
P-6 and P-31 (ours) would create unreasonable burdens upon
other customers if continued in the future at present rate
levels.... (Nie are) of the opinion that an opportunity should
be afforded the parties to renegotiate these contracts, should
(the parties) so determine.' In other words, the Commission
consideres our present rates too low, offers the opportunity
for renegotiation between the Company and the customer, but
does not compel it.
"I feel that our group has in this case won a very sub-
stantial victory. The decision establishes, at the very least,
an extreme reluctance on the part of the Commission to inter-
fere with a bilateral contract entered into for a term of
Minutes of Oct. 22, 1952, continued 143
years in good
faith. It eliminates the threat of the inequit-
able and random effect of the fuel oil clause. It removes
basic inequities in the treatment of the various special con-
tract resale
customers. And, finally, it saves our rate -payers
a very large
sum of money. At present levels of consumption,
the continuation of our contract rate would mean a saving of
at least .*140,000 from November of this year through Septem-
ber, 1954. Our costs for legal representation and preparation
of exhibits,
pro -rated among the cooperating agencies on the
basis of the
number of electric meters in use, aggregated
4426.06. I believe that this had been money well spent.
Respectfully submitted,
H. D. WELLER
City Manager"
A motion expressing the appreciation of the City
Council on behalf of the citizens of Lodi to
CITY MANAGER
City b'Ianager Weller for his efforts in opposing
COY11ENDED
the increase in the rates for electricity re-
quested by the P. G. do E., and commending him
for the notable success achieved by his efforts,
was made by Councilman Rinn, Preszler second.
The motion carried unanimously.
Councilman Rinn moved,Robinson second, that the
City Clerk be directed to write a letter of
COUNTY CLERK
appreciation to County Clerk R. E. Graham for
THANKED
the aid extended by him to the City Clerk in
preparation of the fluoridation question for
the consolidated election to be held November
4. The motion was passed with a unanimous vote.
On the motion of Councilman Robinson, Rinn
RES. #1705
second, Resolution 1705 endorsing the passage
ENDORSES
of the bond issues for the County Court House
COUNTY COURT
and Jail and proposing a joint city -county com-
HOUSE BONDS
mittee to study sites for the location of the
Court House was adopted.
ORDINANCE NO. 467, "APPROVING THE ANNEXATION OF
LOWE'S ADDITION TO THE CITY OF LODI AND DECLARING
THAT THE SAME IS ANNEXED TO AND MADE PART OF THE
CITY OF LODI", having been introduced after pub-
lic hearing on October 1, 1952, was brought up
ORD. NO. 467
for passage on motion of Councilman Richey, Rinn
ADOPTED
second, second reading omitted by unanimous con-
sent, after reading by title,and them passed,
adopted and ordered to print by the following
vote:
AYES: Councilmen, Preszler, Richey, Rinn,
Robinson and naskell
NOES: Councilmen, None ABSENT: None
Mayor Haskell then signed Ordinance No. 467 in
approval thereof.
ORDINANCE NO. 468, "APPROVING THE ANNEXATION OF
45TH ADDITION, LOTS 41 THROUGH 46 OF THE GERARD
TRACT, TO THE CITY OF LODI AND DECLARING THAT THE
SAI�iE IS ANNEXED TO AND MADE A PART OF THE CITY OF
LODI", having been introduced after public hearing
on October 1, 1952, was brought up for passage on
ORD. NO. 468
motion. of Councilman Preszler, Rinn second, second
ADOFTED
reading omitted by unanimous consent, after reading
- by title, and then passed, adopted and ordered to
print by the following vote:
AYES: Councilmen, Preszler, Richey, Rinn,
Robinson and haskell
NOES: Councilmen, None ABSENT: None
."•',ayor Haskell then signed Ordinance No. 468
in approval thereof.
144 �'inutes of Oct. 22, 1952, continued
The Council then discussed the advisability of
accepting the well in the Lowe's Addition
offered by J. J. Mangusto. Councilman Robinson
urged that the City either accept this well or
ACCEPTANCE OF request another more suitable site from the
MATER WELL developer. City Manager Meller stated that the _
DI30USSED present well could not be used by the City in
its present condition. Councilman Rinn stated
that he felt that the City should get some sort
of well site because such a site will be needed.
On the suggestion of Mayor Haskell it was agreed
that the City Manager be instructed to determine
the needs of the City from the Superintendent
of Utilities before further action is taken.
The meeting was adjourned at 10:55 o'clock p.m.
on the motion of Councilman Rinn.
Attest: , I I
�(
Cit Clerk