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HomeMy WebLinkAboutMinutes - July 18, 2001LODI CITY COUNCIL REGULAR CITY COUNCIL MEETING CARNEGIE FORUM, 305 WEST PINE STREET WEDNESDAY, JULY 18, 2001 C-1 CALL TO ORDER / ROLL CALL The City Council Closed Session meeting of July 18, 2001 was called to order by Mayor Nakanishi at 5:46 p.m. Present: Council Members — Hitchcock, Howard, Land, Pennino and Mayor Nakanishi Absent: Council Members — None Also Present: City Manager Flynn, City Attorney Hays, and City Clerk Blackston C-2 ANNOUNCEMENT OF CLOSED SESSION a) Prospective acquisition of real property located at 21 E. Elm Street, Lodi, CA (APN 043-082-03); the negotiating parties are City of Lodi and Craig C. and Ann H. Peden; Government Code §54956.8 b) Actual litigation: Government Code §54956.9(a); one case; In Re: Enforcement of City of Lodi. California. City Council of Certain Subpoenas, Superior Court, County of San Joaquin, Case No. CV002615 C-3 ADJOURN TO CLOSED SESSION At 5:47 p.m., Mayor Nakanishi adjourned the meeting to a Closed Session to discuss the above matters. C-4 RETURN TO OPEN SESSION / DISCLOSURE OF ACTION At 7:02 p.m., Mayor Nakanishi reconvened the City Council meeting, and City Attorney Hays disclosed the following actions. In regard to item C-2 (a), the City Council gave direction to its negotiators to contact the property owners Craig C. and Ann H. Peden regarding acquisition of property at 21 E. Elm Street, Lodi. In regard to item C-2 (b), there was no reportable action taken; however, City Attorney Hays noted that a related item would be brought back to Council for consideration at the first regularly scheduled meeting in August. A. CALL TO ORDER / ROLL CALL The Regular City Council meeting of July 18, 2001 was called to order by Mayor Nakanishi at 7:02 p.m. Present: Council Members — Hitchcock, Howard, Land, Pennino and Mayor Nakanishi Absent: Council Members — None Also Present: City Manager Flynn, City Attorney Hays, and City Clerk Blackston B. INVOCATION The invocation was given by Executive Pastor Marianne Vick, Heartland Community Church. C. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Mayor Nakanishi. D. AWARDS / PROCLAMATIONS / PRESENTATIONS D-1 Awards — None D-2 Proclamations — None D-3 (a) Jeff Jauregui, member of the Greater Lodi Area Youth Commission, acknowledged the Teen of the Month, Jennifer Israel from Tokay High School. Continued July 18, 2001 D-3 (b) Mayor Nakanishi presented a proclamation to Pastor Dale Edwards and Pastor Glenn Foo Sum from Century Assembly Church in celebration of Century Assembly's 75th Anniversary. Council Member Land commented that hundreds of individuals from Century Assembly Church recently volunteered to clean up areas on the east side of the City and disposed of 21 tons of trash. Pastor Glenn Foo Sum thanked Community Development Director Bartlam and Community Improvement Manager Joseph Wood for their assistance with the project and noted that in addition to cleaning they repaired fences and painted two homes. D-3 (c) Public Works Director Prima thanked Management Analyst Sharon Blaufus for her 39 years of dedicated service to the City of Lodi. Mayor Nakanishi presented a Resolution of Appreciation to Sharon Blaufus as she retires from the City of Lodi. D-3 (d) Rob Lechner, Manager of Customer Programs, reported that the Public Benefits Program has been in place since 1998. Annually, $860,000 is collected from utility bills for the program. State law requires that the money be expended back to the community in four program categories: 1) Demand Side Management (a.k.a. energy conservation); 2) Assistance for Low Income Customers; 3) Renewables; and 4) Research, Demonstration, and Development Services. Mr. Lechner described the following programs: • Energy Efficient Window and Shade Screen Program • Cooling Cash Rebate • Air Duct Testing and Attic Insulation Rebate Program • Appliance Rebate Program • Energy Survey Program • Lawnmower Rebate Program • Small Business Better Lighting Project • Small Business Energy Services Partnership • Energy Services Partnership Program • Lodi Best Project Mr. Lechner reported that three municipal projects are currently underway: 1) a ribbon cutting event is scheduled for July 25 to dedicate the new Lodi Solar Port and Electric Vehicle Charging Station; 2) Electric Utility will provide up to 28 covered parking stalls (using solar panels) in the downtown parking structure; and 3) will be purchasing and installing up to $100,000 worth of high -efficiency lighting for the new skate park. E. CONSENT CALENDAR In accordance with the report and recommendation of the City Manager, Council, on motion of Mayor Pro Tempore Pennino, Land second, unanimously approved the following items hereinafter set forth except those otherwise noted: E-1 Claims were approved in the amount of $8,832,229.51. E-2 The minutes of May 8, 2001 (Shirtsleeve Session), May 15, 2001 (Shirtsleeve Session), May 22, 2001 (Shirtsleeve Session), June 12, 2001 (Shirtsleeve Session), June 19, 2001 (Shirtsleeve Session), June 26, 2001 (Shirtsleeve Session), July 3, 2001 (Shirtsleeve Session), and July 4, 2001 (Regular Meeting) were approved as written. E-3 "Approve plans and specifications and authorize advertisement for bids for the construction of an outdoor skate park facility at Kofu Park, 1145 S. Ham Lane" was removed from the Consent Calendar and discussed and acted upon under the Regular Calendar. N Continued Judy 18, 2001 E4 Approved the specifications for bids for 216 175 -watt metal halide pulse -arc lamps manufactured by Philips Lighting, for installation in streetlight fixtures on Cherokee Lane and authorized advertisement for bids. E-5 Approved the specifications for asphalt material for fiscal year 2001/02 and authorized advertisement for bids. E-6 Adopted Resolution No. 2001-167 rejecting all bids, approving revised specifications, and authorizing re -advertisement for bids for Roget Park site improvements (Phase 1). E-7 "Adopt resolution rejecting all bids and approve revised specifications and authorize re -advertisement for bids for truck hauling services for asphalt concrete, asphalt concrete grindings, and spoils" was removed from the Consent Calendar and discussed and acted upon under the Regular Calendar. E-8 Adopted Resolution No. 2001-168 awarding the bid for the purchase of 40 single-phase and 14 three-phase padmount transformers to the bidders whose proposals and equipment met City of Lodi specifications, and whose transformers are expected to yield the lowest overall life -cycle costs: Howard Industries, Laurel, MS 20 ea. 37.5kVA 240/120V 1 -phase $ 18,705.00 15 ea. 75kVA 240/120V 1 -phase $ 23,752.13 3 ea. 112.5kVA 208Y/120 3-phase $ 11,210.10 2 ea. 150kVA 208Y/120V 3-phase $ 8,286.10 4 ea. 225kVA 208Y/1 20V 3-phase $ 20,850.70 3 ea. 300kVA 208Y/1 20V 3-phase $ 18,124.50 2 ea. 500kVA 480Y/277V 3-phase $ 16.987.15 $117,915.68 Central Moloney, Pine Bluff, AR 5 ea. 100kVA 240Y/1 20V 1 -phase $ 7,073.50 $124,989.18 E-9 Adopted Resolution No. 2001-169 awarding the bid for the purchase of 36 single-phase conventional polemount transformers to the bidders whose proposals and equipment met City of Lodi specifications, and whose transformers are expected to yield the lowest overall life -cycle costs: Kuhlman Electric, Versailles, KY 10 ea. 25kVA 120/240V Conv. $ 4,945.00 ERMCO, Dyersburg, TN 10 ea. 37.5kVA 120/240 Conv. $ 6,869.25 6 ea. 25kVA 277V Conv. $ 3.270.15 $ 10,139.40 Wesco Distribution, 4 ea. 37.5kVA 277V Conv. $ 2,734.80 San Francisco Central Moloney, Pine Bluff, AR 6 ea. 50kVA 277V Conv. 4,347.30 $ 22,166.50 E-10 Adopted Resolution No. 2001-170 awarding the contract for Type II Polymer Modified Slurry Seal for Various City Streets, 2001, to Intermountain Slurry Seal, of Loomis, in the amount of $74,918.37. E-11 "Adopt resolution awarding contract for towing services for vehicle abatement to Plummer Towing, Lodi" was pulled from the agenda pursuant to staffs request. E-12 Accepted the improvements under the "Well 26 Pump and Motor, 1020 Bridgetown Drive" contract and directed the City Engineer to file a Notice of Completion with the County Recorder's office. 3 Continued July 18, 2001 E-13 Accepted the improvements under the contract for Emergency Fiberglass Repair Work of Enze Pool at Blakely Park, 1050 S. Stockton Street. E-14 Accepted the abatement action under the "Asbestos Removal, Demolition, Clearing, and Grading at 220 E. Pine Street" contract and directed the Community Improvement Manager to file a Notice of Completion with the County Recorder's office. E-15 Adopted Resolution No. 2001-171 granting permission for the City Manager to execute an agreement between Lodi Police Department and San Joaquin County, through its Data Processing Division, for Fiscal Year 2001-02 to provide data processing services and access to Automated Message Switching/CJIS Systems for an estimated annual cost of $8,627.70. E-16 "Adopt resolution authorizing the City Manager to enter into a lease agreement for 210 W. Pine Street, approve purchase of Office Systems Furniture, and appropriate funds in the amount of $69,200" was removed from the Consent Calendar and discussed and acted upon under the Regular Calendar. E-17 "Amend Traffic Resolution by adopting a resolution authorizing the City Manager to modify the parking restriction duration in the vicinity of Pacific Coast Producers, 32 East Tokay Street" was removed from the Consent Calendar and discussed and acted upon under the Regular Calendar. E-18 Adopted Resolution No. 2001-172 vacating the public utility easement at 801 Black Diamond Way and 520 N. Beckman Road. E-19 "Adopt resolution authorizing the City Manager to execute a professional services agreement with West Yost & Associates for engineering services to prepare a predesign of Phase I Improvements to the White Slough Water Pollution Control Facility; and appropriate funds in the amount of $450,000 for the project" was removed from the Consent Calendar and discussed and acted upon under the Regular Calendar. E-20 Adopted Resolution No. 2001-173 authorizing the City Manager to execute a professional services contract with Pacific Municipal Consultants for the services of a part-time Code Enforcement Officer within the Community Development Department. E-21 Adopted Resolution No. 2001-174 authorizing the City Manager to provide funding in the amount of $42,481.77 to fund the Public Benefits Program Grant — Stadium Cinema 12 F&H Construction Demand-side Management Project (energy efficiency improvements and upgrades will be incorporated into the new downtown Lodi Stadium Cinema 12). E-22 Adopted Resolution No. 2001-175 naming the recently completed electric vehicle charging station located at the Municipal Service Center the "Jim Porter Memorial Solar Port & Electric Vehicle Charging Station." E-23 Approved the issuance of subpoenas based upon the recommendation of the Contamination Advisory Committee. F. COMMENTS BY THE PUBLIC ON NON -AGENDA ITEMS • Wilbert Ruhl asserted that the parking garage on Sacramento Street is being built for the purpose of the new theater. He objected to Measure K funds being used on the project and stated that the City is in violation of regulations, which require that a sign be posted on projects in which Measure K funds are used. He felt that the City should not have approved construction of the theater without adequate parking. 4 Continued July 18, 2001 Public Works Director Prima replied that if a sign has not been placed on the site of the project, they would do so as soon as possible. Measure K funds were approved for the parking garage by the appropriate parties. The parking garage will be an integral part of the transit station; however, it is expected that there will be a shared use of all public facilities in the downtown area. City Manager Flynn explained that the purpose for the parking structure was to promote public transportation, the use of Amtrak, the City's bus system, and for use as a park-and-ride facility. Community Development Director Bartlam reported that the Downtown Parking District was formed in the late 1950s and has a boundary that includes the theater site. The Parking District alleviates any parking requirements within the boundary in lieu of public parking that is provided within City lots that are distributed throughout the downtown. G. PUBLIC HEARINGS G-1 Notice thereof having been published according to law, an affidavit of which publication is on file in the office of the City Clerk, Mayor Nakanishi called for the Public Hearing to consider adopting the update of Lodi's Urban Water Management Plan. Public Works Director Prima explained that the Urban Water Management Plan is a state requirement that has been in place for over a decade. Plans must be updated every five years. He reported that Lodi averages 17 inches of rainfall each year. Data is available that indicates the groundwater has been declining since the 1900s. The entire eastern San Joaquin basin is being overdrafted, and it is a problem that will worsen over time. The county has begun to address the issue through a comprehensive water management plan. Frank Beeler, Assistant Water/Wastewater Superintendent, reported that Lodi uses over 16,000 -acre feet of water per year and relies entirely on groundwater. The Urban Water Management Planning Act requires that cities look at best management practices, which include water conservation and education. He stated that one of the best water saving methods is water metering of residential customers. In the late 1970s Lodi began metering commercial water users. In 1992 Council took action to stop the program and consequently there are approximately 300 commercial customers that are not metered. Also in 1992, the state required that all new residential homes have water meters. Council decided that the City would collect the money to pay for water meters on new homes, and hold it in an account until such time as it was decided to install them. Currently there are approximately 1,520 homes in Lodi that have paid for meters, and the City has collected a total of $300,000. Mr. Prima made the following recommendations to Council: • Adopt the Urban Water Management Plan. • Continue participation with San Joaquin County and other water interests to try and bring additional water supplies into the county, with a goal of establishing a sustainable (i.e. using no more water than nature replenishes) use of groundwater in this area. Mr. Prima warned that a saline intrusion problem is occurring in the central part of the county. • Work with the Planning Commission on developing mitigation measures for new development so that further depletion of the groundwater basin does not occur. • Begin installing water meters on new homes and install meters on homes that have already paid for them. Mr. Prima stated that water service is now charged as a flat rate according to the number of bedrooms in a home. Currently, there are 16 water meters installed on homes of willing participants, which staff checks quarterly to track what the consumption has been. They have discovered that there is no more correlation of the amount of water use 5 Continued July 18, 2001 between the size of the lots, than there is with the number of bedrooms, or the number of people living in the home. Staff feels that from the standpoint of fairness, water meters would be the best way to charge customers. As rates increase, customers will be more concerned with paying only for what they actually use. It has been estimated that consumption will be reduced by 20% if water meters are installed. In reply to Council Member Hitchcock, City Manager Flynn clarified that staff is requesting approval to install meters on new homes and those who have already paid for them, set a rate structure, and begin charging customers with meters. In answer to Ms. Hitchcock, Mr. Prima stated that the cost of metering the entire City would be approximately $7-$12 million. Mr. Flynn noted that the cost would be incorporated into the water rates. In response to questions by Council Member Howard, Mr. Prima stated that all water meters in the City could be installed within two years if funds were available. The cost per meter, including installation, would be $195. For homes in areas where the entire service would have to be rebuilt, the cost to install a water meter would be $1,000. Council Member Land acknowledged that the Water Plan was dedicated in memory of former Water Conservation Officer Orson Laam. He expressed his disappointment with the quality of the Plan and questioned whether it could have been done in-house, thereby saving the ratepayers its $25,000 cost. He pointed out that most of the Plan contents merely refer to data and practices that the City already had available to them. Council Members Hitchcock, Land, and Pennino expressed concern regarding the equity issue in metering and charging only the 1,500 homes that have paid for water meters. Mayor Pro Tempore Pennino stated that he was opposed to installing water meters with the exception of the ones where development had already paid for them. To collect meter data, he suggested enlisting a Delta College student or a local high school student as part of a senior project. Savings from not hiring City staff to read the water meters could be used toward infrastructure on the eastside. Mr. Prima stated that the water meters would be in the same route as electric meters, which are already being read by Finance employees, and consequently the additional effort to read water meters would be minimal. The meter data of at least a few hundred are needed to establish a rate that provides equity to customers. He noted that according to recent reports by the County, Lodi is the highest water user in the county per acre of developed land. Mayor Pro Tempore Pennino suggested that staff compare Lodi's water usage with the same survey cities that are used for salary range comparisons. Mayor Nakanishi expressed opposition to installing water meters. Council Member Hitchcock felt that installing water meters should be done Citywide, as metering is the only guaranteed conservation method. Mayor Pro Tempore Pennino pointed out that Lodi is geographically located on the side of a hill, in a bowl, with the bottom being in Stockton near the port area. Considering its location, he raised the question as to what impact Lodi has actually had on the depletion of groundwater. Mayor Nakanishi commented that he has served on the Water Advisory Board for three years. He stated that if San Joaquin County goes into a drought, Lodi would be the last impacted by it. Continued July 18, 2001 Council Member Land warned that saline in wells has occurred as close as seven miles from Lodi. City Manager Flynn emphasized that water is our most important resource and is becoming more scarce. Benefits of water meters include equity for customers and a tool for conservation. As a minimum measure, he supported installing meters in homes that have already paid for them. He pointed out that rates are based upon cost of operation. Hearing Opened to the Public • Dennis Haugan questioned the accuracy of $197.37 per meter, as he felt it would be much higher. He noted that 15 to 20% contingency is normally added to engineering projects and asked where this money would come from. Mr. Flynn replied that all costs associated with meter installation would be incorporated into the total cost of operation and allocated out to customers. Mr. Prima reported that water meters used for residential property are 3/. inch plastic meters that last 7 to 10 years. • Wilbert Ruhl recalled that he spoke to the City Council many years ago and emphasized the importance of getting surface water. Water conservation alone will not solve Lodi's water problem. The City runs its pumps continuously, which brings the water level down and does not allow an opportunity for it to re -percolate and come back up. He urged the Council to work diligently in obtaining surface water. John Beckman stated that data clearly indicates that water is being overdrafted. On an annual average, 12,000 acre-feet of water has been recharged, and for the past 10 years, 14,787 acre-feet has been pumped out. He suggested offering conservation rebate programs, such as for low water landscaping. Mokelumne River provides 20,000 acre-feet of water every year, yet only 2,000 to 4,000 acre-feet is used in wet years. He suggested working aggressively with the North San Joaquin Water District to capture this unused water to replenish Lodi's groundwater supply. He outlined other options, which included capturing (via a pipeline) the water that goes out to White Slough, and/or storing and recharging park storm basin water. He felt that water meters would not be needed if supplies were captured and agreed with Council Member Land that the Urban Water Management Plan was not worth $25,000. Council Member Land pointed out that the Plan addresses bringing water back from White Slough and estimated the cost to be $7.8 million. The surface water solution would likely require a treatment plant. Mr. Beckman noted that surface water must be percolated through the ground, which would take hundreds of acres of land. He reported that the state has been monitoring 26 wells in the Lodi area since 1960, and since that time the average drop has been 18 feet. Public Portion of Hearing Closed Council Member Howard agreed with staffs recommendation as a proactive measure to Lodi's water supply problem and reasonable method to begin to study how much water is being used. 7 Continued July 18, 2001 MOTION 01): Council Member Howard made a motion, Hitchcock second, to adopt Lodi's updated Urban Water Management Plan and provide policy direction to: • Continue the City's participation in countywide efforts to provide supplemental water to the area, and work to identify conjunctive use or other projects that would reduce Lodi's groundwater consumption to sustainable levels. • Direct staff to work with the Planning Commission on development of mitigation measures to reduce the impact to the groundwater caused by new development. • Begin installing and reading water meters on all new development. • Begin installing and reading water meters on developments that have paid for meters, but have not yet been installed. DISCUSSION: Council Member Land and Mayor Pro Tempore Pennino suggested that this item be considered with separate motions. Mayor Pro Tempore Pennino commented that it is not the meters that conserve water, but rather, it is the rate structure that causes consumers to conserve. VOTE: The above motion (Motion #1) failed by the following vote: Ayes: Council Members — Hitchcock and Howard Noes: Council Members — Land, Pennino and Mayor Nakanishi Absent: Council Members — None MOTION / VOTE (#2): The City Council, on motion of Council Member Land, Pennino second, unanimously adopted Lodi's updated Urban Water Management Plan. MOTION (#3): Further, Mayor Pro Tempore Pennino made a motion, Land second, to provide the following policy direction: • Continue the City's participation in countywide efforts to provide supplemental water to the area, and work to identify conjunctive use or other projects that would reduce Lodi's groundwater consumption to sustainable levels. • Direct staff to work through public meetings with the development community and the Planning Commission on development of mitigation measures to reduce the impact to the groundwater caused by new development. DISCUSSION: Council Member Hitchcock commented that with the rapid pace of technology changes, it would be more prudent to wait on the purchase and installation of water meters until such time as they would actually be used. Council Member Howard felt that the City needs to look at specific steps to begin addressing water issues and is missing an opportunity this evening by not adopting all of staffs recommendations. VOTE: The above motion (Motion #3) carried by a unanimous vote. 11 Continued July 18, 2001 H. COMMUNICATIONS H-1 On recommendation of the City's contract administrator, Insurance Consulting Associates, Inc. (ICA), and Human Resources staff, the City Council, on motion of Council Member Land, Howard second, unanimously rejected the following claims: a) Lucia Avalos for Francisco Avalos III (a minor), date of loss 4/13/01 b) Agustin Flores, date of loss 10/9/00 C) Joe Garcia, date of loss 5/1/01 H-2 Reports: Boards/Commissions/Task Forces/Committees — None H-3 The following postings/appointments were made: a) The City Council, on motion of Mayor Pro Tempore Pennino, Hitchcock second, unanimously posted for the following vacancy: Planning Commission John Borelli Term to expire June 30, 2004 H-4 The City Council received for information only the cumulative Protocol Account report through June 30, 2001. Mayor Pro Tempore Pennino pointed out that the ending balance of $4,468.32 in the Protocol Account is a positive figure and should not have been placed in parenthesis. RECESS At 9:08 p.m., Mayor Nakanishi called for a recess, and the City Council meeting reconvened at 9:20 p.m. REGULAR CALENDAR 1-1 "Review and reset Market Cost Adjustment (MCA) billing factor related to electric rates" NOTE: Due to a potential conflict of interest, Mayor Pro Tempore Pennino abstained from discussion and voting on this matter and vacated his seat. Electric Utility Director Vallow noted that when he reported to Council in April he had anticipated the probability of 30 days of blackouts in northern California during the summer months. Prices at that time were in the range of $200 to $400 per megawatt hour. In current conditions, both the power and gas markets are declining on the forward markets. Pacific Gas and Electric is in bankruptcy and Southern California Edison is near bankruptcy. There is a great deal of legislative and regulatory uncertainty. On June 19, the Federal Energy Regulatory Commission imposed soft price caps that will be in effect through September 30, 2002. This translates into a $10 million loss of revenue from the wholesale of energy sales that Electric Utility had budgeted. Mr. Vallow outlined Electric Utility actions that have been taken to date: • Bought long to ensure stability and avoid a $19 million winter market exposure; • Implemented a tiered market cost adjustment applied to residential customers in a way that promoted conservation; • Sold surplus during the spring; • Made $270 a megawatt hour during the summer that helped offset higher gas prices from the winter, and retained it to ensure that Lodi would not have rolling blackouts, Council Member Hitchcock asked for clarification on whether the excess power was sold. Mr. Vallow explained that Electric Utility bought a 25 -megawatt strip of power that went for one year beginning on January 1, 2001. It was used to prevent blackouts in Lodi and some of the surplus was sold in January, February, and March. During April, May, and June, Electric Utility sold the entire strip forward in the second quarter market at $270 a megawatt hour. Continued July 18, 2001 Mr. Vallow made the following rate increase recommendations: • Residential customers 8%; • Low income customers — no increase; • G-1 customers 8%; • G-2 customers 8%; • G-3 and G-4 customers 16%; • G-5 customers 14%; • Contract and 1-1 rates — no increase. Mr. Vallow noted that the recommended rate increases would only address half of the $10 million deficit. Council Member Hitchcock asked where the other $5 million would come from. Mr. Vallow replied that changes in operations, budget cuts, strategic power sales, renegotiating, and possibly an early buyout of the $173 contract should ameliorate the situation, and Electric Utility will report back to Council in September on its progress. He noted that an appropriate reserve is a six-month power supply, and currently, Electric Utility has less than that. Council Member Howard recalled that approximately a year ago staff came before Council recommending a 5% savings in electric rates for specific areas in the community. Council approved a 20% savings. Ms. Howard suggested that taking into consideration the current financial situation with Electric Utility, it may be beneficial for Council to decrease the amount back to the 5% that staff originally recommended. She also expressed concern about increasing the rates for residential customers again. Mr. Vallow pointed out that businesses subsidize residential customers. Much of the reason that the general fund transfer is possible, is due to the large businesses that have moved to Lodi and support the electric system and rates. Lodi has a small industrial base and a large residential base. In reference to Ms. Howard's comments related to the business incentive, Mr. Vallow stated that staff would look at how effective the program has been and report back to Council. MOTION: Council Member Land made a motion, Hitchcock second, to adopt Resolution No. 2001-176 authorizing a revision in the Market Cost Adjustment schedule and billing factor related to electric rates. DISCUSSION: Mayor Nakanishi stated that price caps are going to be detrimental to the future of the state and City. Seventy percent of California residents are under the misconception that price caps are beneficial. VOTE: The above motion carried by the following vote: Ayes: Council Members — Hitchcock, Howard, Land and Mayor Nakanishi Noes: Council Members — None Absent: Council Members — None Abstain: Council Members — Pennino 10 Continued July 18, 2001 1-2 "Adopt resolution approving the Joint Powers Agreement, authorizing the imposition of a $1 vehicle registration fee and the establishment of a Service Authority for abandoned vehicle abatement, and appointing a Council representative to the San Joaquin County Abandoned Vehicle Abatement Service Authority' Community Improvement Manager Joseph Wood reported that this matter was originally brought before Council in April. The purpose of the Service Authority is to provide a funding source derived from a $1 vehicle registration fee to supplement vehicle abatement done within each jurisdiction. The amount generated from the vehicle registration fee in Lodi will be $50,000, with estimated total projected revenues being returned to Lodi of $30,000 to $40,000. Mr. Wood explained that half of the money brought in by the Service Authority is distributed back to the jurisdictions based on population. At 10% of the population of the county, Lodi's portion would be $22,000. The second 50% of the money is distributed to the jurisdictions based on performance — the number of vehicles abated. Lodi's activity would be 3 to 8% of the total activity in the county, amounting to $7,000 to $20,000 in revenue. The county and all other jurisdictions have agreed to participate in the formation of the Service Authority, which would cause the $1 fee to be assessed regardless of Lodi's participation. The decision before Council this evening is whether to join the Service Authority, which would allow revenues to be returned to the City. City Manager Flynn clarified that if Lodi does not join the Service Authority the $1 vehicle registration fee would still be deducted; however, no revenue would be returned to the City. At the request of Council Member Land, Mr. Wood described the City's vehicle abatement process. Community Development Director Bartlam noted that it is the State Vehicle Code that sets the procedure for how the revenue is split between the jurisdictions. In answer to questions by Council Member Howard, Mr. Wood stated that the Council representative to the San Joaquin County Abandoned Vehicle Abatement Service Authority is not a paid position. Under the Service Authority, Lodi retains the ability to decide whom to contract with to remove vehicles. Mayor Nakanishi recalled that when this matter was originally brought forward by San Joaquin County and the City of Stockton, it seemed fair and reasonable. In now understanding how the revenue is apportioned, it appears that Lodi taxpayers will pay a disproportionate amount. He disapproved of the tax and pointed out that it penalizes everyone, rather than only those that are causing the problem. Council Member Land noted that he was absent during the initial consideration of this issue by Council in April. Though he was not in favor of the tax, he pointed out that if Lodi does not join the Service Authority it would lose $35,000 in revenue. Mr. Bartlam stated that there are provisions within the Joint Powers Authority not to move forward, and suggested that Council could appoint a representative to convince the majority to disband. Mayor Pro Tempore Pennino recalled that he voted against this issue when it was considered in April and remains adamantly opposed to the $1 vehicle registration fee. Council Member Hitchcock reiterated the fact that if Lodi does not join the Service Authority it would lose $35,000. 11 Continued July 18, 2001 MOTION / VOTE (#1): Council Member Hitchcock made a motion, Land second, to adopt a resolution approving the Joint Powers Agreement, which establishes the Service Authority for abandoned vehicle abatement in San Joaquin County, appoint Mayor Nakanishi to serve on the Service Authority, and authorize the imposition of a $1 vehicle registration fee. The motion failed by the following vote: Ayes: Council Members — Hitchcock and Land Noes: Council Members — Howard, Pennino and Mayor Nakanishi Absent: Council Members — None Mayor Pro Tempore Pennino recommended that staff work with the Service Authority to allow for Lodi to fund its portion out of the general fund, or find a strategy where Lodi can participate without taxing good citizens to abate abandoned vehicles. City Attorney Hays stated that once the Authority is formed they have no other method for raising funds aside from a vehicle registration fee. He offered a possible solution of instituting a rebate program wherein vehicle owners could bring in their proof of vehicle registration payment and have the $1 fee returned to them by the City. MOTION / VOTE (#2): The City Council, on motion of Mayor Pro Tempore Pennino, Hitchcock second, voted to reconsider the subject matter. The motion carried by the following vote: Ayes: Council Members — Hitchcock, Land, and Pennino Noes: Council Members — Howard and Mayor Nakanishi Absent: Council Members — None MOTION (#3): Mayor Pro Tempore Pennino then made a motion to adopt a resolution approving the Joint Powers Agreement, which establishes the Service Authority for abandoned vehicle abatement in San Joaquin County, authorize the imposition of a $1 vehicle registration fee, and bring back to Council a method to rebate Lodi citizens the $1 per vehicle registration. The motion died for lack of a second. MOTION / VOTE (#4): Further, Council Member Hitchcock made a motion, Land second, to adopt a resolution approving the Joint Powers Agreement, which establishes the Service Authority for abandoned vehicle abatement in San Joaquin County, and authorize the imposition of a $1 vehicle registration fee. The motion failed by the following vote: Ayes: Council Members — Hitchcock and Land Noes: Council Members — Howard, Pennino and Mayor Nakanishi Absent: Council Members — None 1-3 "Downtown Trip Reduction Program Report" was pulled from the agenda pursuant to staff's request. City Manager Flynn noted that this item would come back to the City Council at a Shirtsleeve Session. VOTE TO CONTINUE WITH THE REMAINDER OF THE MEETING The City Council, on motion of Mayor Pro Tempore Pennino, Howard second, voted to continue with the remainder of the meeting following the 11:00 p.m. hour. The motion carried by the following vote: Ayes: Council Members — Hitchcock, Howard, Pennino and Mayor Nakanishi Noes: Council Members — Land Absent: Council Members — None 12 Continued July 18, 2001 REGULAR CALENDAR (Continued) 1-4 "Review amendment to Northeastern San Joaquin County Groundwater Banking Authority Joint Powers Agreement and authorize financial contributions to the Authority up to $20,000 per year' Public Works Director Prima reported that the County has asked members of the Groundwater Banking Authority to participate in funding. Mr. Prima stated that Lodi has been budgeting $20,000 per year over the last several years for this purpose. The amendment to the Joint Powers Agreement pertains to requests to join the Authority from the Central Delta Water Agency and the South Delta Water Agency. Each of these agencies has differing interests in terms of water supply issues. In response to Council Member Land, Mr. Prima stated he believed the goal of the Delta agencies is to make sure that a project is created that provides a significant benefit to the delta area. Specifically, they want to ensure that any water that comes into the county is used for conjunctive use and possibly exported into the delta, rather than into East Bay Municipal Utility District pipelines and shipped to the Bay Area. Council Member Land stated that he supports authorization of the financial contribution to the Authority, but is opposed to the agreement amendment. In reply to Council Member Hitchcock, Mr. Prima reported that the Delta agencies include Woodbridge Irrigation District, North San Joaquin Water Conservation District, City of Lodi, Stockton East Water District, City of Stockton, Central San Joaquin Irrigation District, San Joaquin County, and the associate member of Cal Water. In response to Council Member Howard, Mr. Prima stated that funding of the Authority goes toward activities of the organization, and mainly consulting fees. MOTION / VOTE: The City Council, on motion of Council Member Land, Nakanishi second, unanimously authorized financial contributions to the Northeastern San Joaquin County Groundwater Banking Authority up to $20,000 per year. Further, the City Council tabled review of the amendment to the Northeastern San Joaquin County Groundwater Banking Authority Joint Powers Agreement for one month. 1-5 "Adopt resolution approving the job specification and salary range for the position of City Planner' Human Resources Analyst Amy Flores reported that the position of City Planner was approved in the 1997-99 budget. It was not previously filled by the Community Development Department due to the lack of office space and the pending establishment of the Lodi Redevelopment Agency. Community Development Director Bartlam explained that the Department has been organized in three separate divisions since the initiation of the Community Improvement Division six years ago. The position of City Planner would manage the Planning Division and have full supervisory function over the Senior Planner and two existing Associate Planners. The position would be equal to the Building Official and Community Improvement Manager in terms of management function within the Department, as well as participation on the City's Management Team. Mayor Pro Tempore Pennino stated that he would prefer management and supervisory personnel to manage more than two or three people. 13 Continued July 18, 2001 Mr. Bartlam replied that it is not a quantity issue, but rather a quality issue in the Department. There are a number of things not getting accomplished under the current organization. MOTION /VOTE: The City Council, on motion of Mayor Pro Tempore Pennino, Hitchcock second, unanimously adopted Resolution No. 2001-177 approving the job specification and the following salary range for the position of City Planner. A B C D E $5,457.81 $5,730.70 $6,017.23 $6,318.10 $6,634.00 E-3 "Approve plans and specifications and authorize advertisement for bids for the construction of an outdoor skate park facility at Kofu Park, 1145 S. Ham Lane" Council Member Hitchcock expressed support for approving the plans and specifications; however, she asked that the record note she is opposed to the location of Kofu Park for the skate park. MOTION: Council Member Hitchcock made a motion, Pennino second, to approve the plans and specifications for the construction of an outdoor skate park facility at Kofu Park, 1145 S. Ham Lane, and authorized advertisement for bids. DISCUSSION: Council Member Howard announced that the hours for the operation of the skate park have been confirmed and are: Sunday, Monday, Tuesday, and Wednesday open no later than 9:00 p.m.; and Thursday, Friday, and Saturday open no later than 10:00 p.m. In reply to Council Member Howard, City Manager Flynn acknowledged that inquiries have been received about building a wall in the vicinity of the park. A letter was prepared for the Mayor's signature that was sent back to the inquiring parties, which stated that the City was moving forward with construction of the skate park and would conduct another assessment as to what if any noise impact the skate park had on the adjacent neighborhood. Pursuant to the results, a decision would then be made regarding the necessity of a wall. Council Member Howard stated that she was in favor of a wall based on the information Council was previously given. She recognized that the majority of the noise is coming from the traffic sound off Ham Lane; however, she felt that it is important for the City to be a good neighbor. She did not see the need of waiting until another study is done and hoped that the issue of a wall could be brought before Council at a future meeting for discussion and possible action. Mayor Pro Tempore Pennino stated that he was strongly in favor of waiting to discuss the wall issue until after facts were available to determine if the skate park was actually impacting the residents. He explained that unless there is justification such as a noise impact to mitigate, the City would be treating one part of the community differently than others if it constructs a wall. Council Member Land concurred with Mr. Pennino and noted that he asked residents present at the public hearing if they were interested in a wall and no one indicated that they were. Mayor Nakanishi stated that he was supportive of a wall being built; however, he preferred to wait until after the skate park was constructed. 14 Continued July 18, 2001 Council Member Hitchcock agreed with Ms. Howard and stated she was confident that the skate park would have a noise impact on the neighborhood. She too expressed favor for the wall being constructed, but agreed that to do so prior to the results of the study would set a precedence that would not be desirable for the City, and consequently she agreed to delaying its consideration. VOTE: The above motion carried by a unanimous vote. E-7 "Adopt resolution rejecting all bids and approve revised specifications and authorize re - advertisement for bids for truck hauling services for asphalt concrete, asphalt concrete grindings, and spoils" City Manager Flynn reported that a request was received from Frank Alegre of Alegre Trucking to reschedule this item, as he wished to address the issue, but was unable to appear at this meeting. Alegre Trucking was the sole bidder for the services and the bid came in significantly higher than the estimate for the project. Staffs recommendation is to rebid the project. Council Member Howard spoke in favor of rescheduling the item to the next regular meeting allowing Mr. Alegre an opportunity to address his concerns. Public Works Director Prima suggested that due to time constraints, if Council is inclined to accept a single bid for the services it would be more desirable to do so at this meeting than to hold the item over. MOTION / VOTE: Mayor Pro Tempore Pennino made a motion, Howard second, to adopt Resolution No. 2001-178 awarding the bid for truck hauling services for asphalt concrete, asphalt concrete grinding, and spoils to Frank C. Alegre Trucking, Inc., of Lodi, at the rate of $90.00 per hour per truck. DISCUSSION: Council Member Howard wanted to ensure that Mr. Alegre would not be under the impression that Council voted in favor of awarding the contract to him solely due to timing issues. She stated that she is supporting the award of the contract to Alegre Trucking because they met and followed all the requirements of the bid specifications. Council Member Hitchcock felt that the Council was making an exception to the typical process of rejecting bids when they come in well above the engineer's estimate. She noted that she would vote in favor of awarding the bid, due to the Department's time constraint. VOTE: The above motion carried by a unanimous vote. E-16 "Adopt resolution authorizing the City Manager to enter into a lease agreement for 210 W. Pine Street, approve purchase of Office Systems Furniture, and appropriate funds in the amount of $69,200" Mayor Pro Tempore Pennino asked for confirmation that Envision will not "double dip" the City on this lease, and that it would deduct this from the billing. City Attorney Hays replied in the affirmative and stated that it is a net figure. 15 Continued July 18, 2001 MOTION: Mayor Pro Tempore Pennino made a motion, Land second, to adopt Resolution No. 2001-179 authorizing the City Manager to sign a lease agreement with Envision Law Group, LLP, for the use of 210 W. Pine Street, approving the purchase of Office Systems Furniture and other incidental items to furnish the City's portion of leased space, and appropriate funds in the amount of $69,200 according to staff recommendation. DISCUSSION: Council Member Hitchcock questioned the necessity for this to be funded from the contingency account and asked why it was not included in the normal budget process. Deputy City Manager Keeter explained that staff began working on this proposal prior to the conclusion of the last budget year. There were delays in the lease process with Envision, and staff did not have time to add it to this year's budget. Council Member Hitchcock stated that the contingency fund should be used only for unexpected items and pointed out that this matter was known well in advance. Mayor Pro Tempore Pennino asked if this issue arose between June 27 and today. Ms. Keeter acknowledged that it had not arose during that time period and it should have been included in the budget. VOTE: The above motion carried by a unanimous vote. E-17 "Amend Traffic Resolution by adopting a resolution authorizing the City Manager to notify the parking restriction duration in the vicinity of Pacific Coast Producers, 32 East Tokay Street' Council Member Howard noted that communications related to this item were received by Council from residents. She summarized that no parking restrictions would be reduced to a four-month period of time from June 1 through October 15. One of the communications questioned whether or not the Council should consider rationing the number of permits per household to five or six. City Manager Flynn explained that the limitation was established several years at a town hall meeting. The issue of changing the number of cars that are allowed to be parked by a single household in a neighborhood, should be discussed at a time when interested parties are available to provide their comments and concerns. MOTION / VOTE: The City Council, on motion of Mayor Nakanishi, Pennino second, unanimously voted to continue the item regarding the modification of the parking restriction duration in the vicinity of Pacific Coast Producers, 32 East Tokay Street, to the City Council meeting of August 1, 2001. E-19 "Adopt resolution authorizing the City Manager to execute a professional services agreement with West Yost & Associates for engineering services to prepare a predesign of Phase I Improvements to the White Slough Water Pollution Control Facility; and appropriate funds in the amount of $450,000 for the project' In response to Council Member Hitchcock, Public Works Director Prima explained that according to the permit, they must have tertiary in operation by June 2004. Staff is recommending that the next step of design be done on the common improvements. A significant number of improvements need to be made to the existing secondary plant, irregardless of whether they go to tertiary, land disposal, or some combination of discharge to the delta and land disposal. Predesign is the first set of calculations, which will assist in obtaining better cost estimates. It is prudent to allow for tertiary in the event Continued July 18, 2001 that at some point in the future it becomes a requirement. Staff is not recommending a full predesign on tertiary at this time due to its cost of an additional $30,000. Months ago staff submitted a new permit request to look at land disposal or a combination of land disposal and discharge to Bishop Cut; however, no reply has been received. Council Member Hitchcock reported that according to discussions she has had, an increasing number of cities are going toward land disposal rather than tertiary due to changing guidelines that have become more strict. Mr. Prima replied that some cities thought they could do land disposal; however, they have found that groundwater impacts are extremely sensitive and expensive issues to address. He reported that staff has started an extensive monitoring program to look at percolation rates, and the results have not been favorable. Staff has increased their estimate of acreage needed for land disposal from 400, to up to 800 acres of land. Land disposal may not be a viable option from an economic standpoint. MOTION / VOTE: The City Council, on motion of Council Member Hitchcock, Pennino second, unanimously adopted Resolution No. 2001-180 authorizing the City Manager to execute a professional services agreement with West Yost & Associates for engineering services to prepare a predesign of Phase 1 improvements to the White Slough Water Pollution Control Facility; and appropriate funds in the amount of $450,000 for the project. ORDINANCES None. K. COMMENTS BY CITY COUNCIL MEMBERS ON NON -AGENDA ITEMS • Council Member Hitchcock thanked staff for coordinating the memorial service for former City Manager Henry Glaves. She asked whether a Shirtsleeve Session has been scheduled for a presentation on fluoridating the City's water. City Manager Flynn replied that it has been scheduled for September 11, and Dr. Bradshaw has been contacted. COMMENTS BY THE CITY MANAGER ON NON -AGENDA ITEMS • City Manager Flynn announced that Information Systems Manager Stan Helmle's birthday is August 3. He commented that the Mayor recently hosted a meeting with Oregon City Council Members to discuss redevelopment issues. M. ADJOURNMENT There being no further business to come before the City Council, the meeting was adjourned at 12:17 a.m., Thursday, July 19, 2001. ATTEST: Susan J. Blackston City Clerk 17