HomeMy WebLinkAboutMinutes - July 21, 2010LODI CITY COUNCIL
REGULAR CITY COUNCIL MEETING
CARNEGIE FORUM, 305 WEST PINE STREET
WEDNESDAY, JULY 21, 2010
C-1 Call to Order / Roll Call - N/A
C-2 Announcement of Closed Session - N/A
C-3 Adjourn to Closed Session - N/A
C-4 Return to Open Session / Disclosure of Action - N/A
A. Call to Order / Roll call
The Regular / Special Joint meeting of the Lodi City Council and the Industrial Development
Authority of July 21, 2010, was called to order by Mayor Katzakian at 7:00 p.m.
Present: Council Member Hansen, Council Member Johnson, Council Member Mounce, Mayor
Pro Tempore Hitchcock, and Mayor Katzakian
Absent: None
Also Present: Interim City Manager Bartlam, City Attorney Schwabauer, and City Clerk Johl
B. Pledge of Allegiance
C. Presentations
C-1 National Night Out Proclamation (PD)
Mayor Katzakian presented a proclamation to Interim Police Chief Gary Benincasa in recognition
of National Night Out 2010 to be held on Tuesday, August 3, 2010.
D. Consent Calendar (Reading: Comments by the Public: Council Action)
Council Member Hansen made a motion, second by Council Member Mounce, to approve the
following items hereinafter set forth, except those otherwise noted, in accordance with the
report and recommendation of the City Manager.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, Council Member Mounce, Mayor
Pro Tempore Hitchcock, and Mayor Katzakian
Noes: None
Absent: None
D-1 Receive Register of Claims in the Amount of $11,460,624.58 (FIN)
Claims were approved in the amount of $11,460,624.58.
D-2 Approve Minutes (CLK)
The minutes of June 16, 2010 (Regular Meeting), June 29, 2010 (Shirtsleeve Session), July 6,
2010 (Shirtsleeve Session), July 7, 2010 (Regular Meeting), and July 13, 2010 (Shirtsleeve
Session) were approved as written.
Continued July 21, 2010
D-3 Adopt Resolution Awarding Contract for Asphalt Materials for Fiscal Year 2010/11 to
George Reed, Inc., of Lodi ($27,785) (PM
Adopted Resolution No. 2010-118 awarding contract for asphalt materials for fiscal year 2010/11
to George Reed, Inc., of Lodi, in the amount of $27,785.
D-4 Adopt Resolution Approving Lease Agreement with Head Start Child Development
Council, Inc., for the Lodi Look Building (PR)
Adopted Resolution No. 2010-119 approving the lease agreement with Head Start Child
Development Council, Inc., for the Lodi Look Building.
D-5 Adopt Resolution Approving Task Orders No. 21 and 22 with Treadwell and Rollo, of
Oakland, for Southern, South Central/Western, and Northern PCE/TCE Plumes Workplan
Preparation and Monitoring ($446,400) and Appropriating Funds ($500,000) (PW)
This item was pulled by Mayor Pro Tempore Hitchcock for a brief presentation.
Public Works Director Wally Sandelin gave a brief presentation regarding the status of the
PCE/TCE workplan preparation and monitoring. Mr. Sandelin specifically discussed the history of
the PCE/TCE contamination, plume overview, wells for extraction, treatment methods, cost
estimates for clean-up in four plume areas, Regional Quality Control Board support of program for
monitored natural attenuation, and the relevant task orders for consideration.
Mayor Pro Tempore Hitchcock made a motion, second by Council Member Mounce, to adopt
Resolution No. 2010-120 approving Task Orders No. 21 and 22 with Treadwell and Rollo, of
Oakland, for Southern, South Central/Western, and Northern PCE/TCE Plumes workplan
preparation and monitoring in the amount of $446,400 and appropriating funds in the amount of
$500,000.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, Council Member Mounce, Mayor
Pro Tempore Hitchcock, and Mayor Katzakian
Noes: None
Absent: None
E. Comments by the Public on Non -Agenda Items
THE TIME ALLOWED PER NON -AGENDA ITEM FOR COMMENTS MADE BY THE
PUBLIC IS LIMITED TO FIVE MINUTES. The City Council cannot deliberate or take any
action on a non -agenda item unless there is factual evidence presented to the City Council
indicating that the subject brought up by the public does fall into one of the exceptions
under Government Code Section 54954.2 in that (a) there is an emergency situation, or (b)
the need to take action on the item arose subsequent to the agenda's being posted.
Unless the City Council is presented with this factual evidence, the City Council will refer
the matter for review and placement on a future City Council agenda.
None.
F. Comments by the City Council Members on Non -Agenda Items
Council Member Johnson asked that staff bring back to Council information regarding how the
last Parks and Recreation rate increase affected the Boosters of Boys/Girls Sports organization
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Continued July 21, 2010
and its usage of the Grape Bowl facility.
G. Comments by the City Manager on Non -Agenda Items
None.
H. Public Hearinas
H-1 Public Hearing to Consider Resolution Adopting Final Engineer's Annual Levy Report for
Lodi Consolidated Landscape Maintenance Assessment District No. 2003-1, Fiscal Year
2010/11, and Ordering the Levy and Collection of Assessments (PW)
Notice thereof having been published according to law, an affidavit of which publication is on file
in the office of the City Clerk, Mayor Katzakian called for the public hearing to consider resolution
adopting Final Engineer's Annual Levy Report for Lodi Consolidated Landscape Maintenance
Assessment District No. 2003-1, Fiscal Year 2010/11, and ordering the levy and collection of
assessments.
Interim City Manager Bartlam briefly introduced the subject matter of the proposed resolution
adopting the annual levy report for the landscape and maintenance district.
Public Works Director Wally Sandelin provided a brief report regarding the proposed resolution
adopting the annual levy report for Landscape Maintenance Assessment District No. 2003-1 and
ordering the levy and collection of assessments. Specific topics of discussion included the 16
zones, an annual collection of $157,000, the low bidder for the current year and last year, and an
overview of the program which maintains a variety of landscaping areas throughout the City.
Council Member Mounce made a motion, second by Council Member Johnson, to adopt
Resolution No. 2010-121 adopting Final Engineer's Annual Levy Report for Lodi Consolidated
Landscape Maintenance Assessment District No. 2003-1, Fiscal Year 2010/11, and ordering the
levy and collection of assessments.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, Council Member Mounce, Mayor
Pro Tempore Hitchcock, and Mayor Katzakian
Noes: None
Absent: None
H-2 Public Hearing to Consider the Certification of the Final Mitigated Negative Declaration for
the Surface Water Treatment Facility (CD) NOTE: This item is a quasi-judicial hearing and
requires disclosure of ex parte communications as set forth in Resolution No. 2006-31
Notice thereof having been published according to law, an affidavit of which publication is on file
in the office of the City Clerk, Mayor Katzakian called for the public hearing to consider the
certification of the Final Mitigated Negative Declaration for the surface water treatment facility.
Interim City Manager Rad Bartlam provided a PowerPoint presentation regarding the Final
Mitigated Negative Declaration for the surface water treatment facility. Specific topics of
discussion included the vicinity map, aerial map, California Environmental Quality Act (CEQA)
application to project, environmental review process, areas of impact, findings of Initial Study, and
implementation of mitigation measures reducing the impacts to less than significant.
In response to Mayor Pro Tempore Hitchcock, Mr. Bartlam stated scenic highways is a traditional
Continued July 21, 2010
CEQA view and the City often looks more broadly at what the public view is.
In response to Mayor Pro Tempore Hitchcock, Mr. Bartlam stated from the lakeview the berm is
above the walk way grade and the building will not necessarily be visible from the Lake.
In response to Mayor Katzakian, Mr. Bartlam stated the berm will stay in place except near the
driveway access point.
In response to Council Member Johnson, Mr. Bartlam stated fill is being brought in to raise the
site facility above flood plain by approximately six inches to a foot.
In response to Council Member Mounce, Mr. Sandelin confirmed approximately 20 trees were
removed and the replacement is four to one.
In response to Council Member Mounce, Mr. Sandelin stated there will be no noise escaping the
building. Mr. Sandelin stated the pump noise is similar to existing City wells and when the motors
become too loud they will be replaced.
In response to Council Member Hansen, Mr. Sandelin stated security mandates have changed
since 9/11 and it would be fiscally irresponsible to run a program from the facility that would
require a 24-hour security staff presence and similar features.
In response to Council Member Johnson, Mr. Sandelin stated 9 out of the 13 total acres remain at
the Lake for other uses.
Council Member Johnson made a motion, second by Council Member Hansen, to adopt
Resolution No. 2010-122 certifying the Final Mitigated Negative Declaration for the surface water
treatment facility.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, and Mayor Katzakian
Noes: Council Member Mounce, and Mayor Pro Tempore Hitchcock
Absent: None
H-3 Public Hearing to Consider Adopting Resolution Setting Usage -Based and Flat Water and
Wastewater Rates for Residential. Commercial, and Industrial Customers and Tabulate
Proposition 218 Protests (PW)
Notice thereof having been published according to law, an affidavit of which publication is on file
in the office of the City Clerk, Mayor Katzakian called for the public hearing to consider adopting
resolution setting usage -based and flat water and wastewater rates for residential, commercial,
and industrial customers and tabulate Proposition 218 protests.
Interim City Manager Rad Bartlam provided a brief introduction to the subject matter of the water
and wastewater rates.
Public Works Director Wally Sandelin provided a PowerPoint presentation regarding the water
and wastewater rates. Specific topics of discussion included recommended action, water rates,
recommended water flat rates, metered water rates, local rate comparison, recommended
wastewater rates, wastewater metered rates, rate comparison, other agencies, and proposed
wastewater flat rates.
In response to Mayor Katzakian, Mr. Sandelin stated the water usage for the current
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Continued July 21, 2010
year determines the following year estimated cost.
In response to Council Member Johnson, Mr. Sandelin stated the Council previously discussed
the phased rate increase over a period of years.
In response to Council Member Johnson, Mr. Sandelin confirmed there was a difference in the
model from 20% to 12% and the City did change consultants.
In response to Mayor Pro Tempore Hitchcock, Mr. Sandelin stated staff is suggesting the
Council adopt the study and increases and defer implementation to review options for water.
Mr. Bartlam and Mr. Sandelin confirmed staff has expended time and effort on the process to
allow for threshhold decisions to be made tonight and staff will return with implementation
options.
In response to Mayor Pro Tempore Hitchcock, Mr. Sandelin stated staff has not explored ways for
putting water and wastewater funds together.
In response to Council Member Mounce, Mr. Sandelin stated the proposed $41.09 for
water includes base, IRP, and PCE, and the comparison numbers are based on existing flat rates
and not proposed metered rates.
In response to Mayor Pro Tempore Hitchcock, Mr. Sandelin stated the proposed cost for the
surface water treatment plant is $42 million.
In response to Mayor Pro Tempore Hitchcock, Mr. Bartlam stated staff will be bringing to Council
the policy discussion and decision regarding billing for single-family rental homes.
Norma Gates spoke in opposition of the proposed recommended action based on the downturn in
the economy and current financial hardships of the community.
In response to Council Member Johnson and Mayor Pro Tempore Hitchcock, Mr. Schwabauer
confirmed that the Proposition 218 process would need to be redone if certain actions were not
taken tonight.
City Clerk Johl reported that the number of protests received was less than 1 % of that required
and insufficient to sustain the protest.
Council Member Hansen made a motion, second by Mayor Katzakian, to adopt Resolution
No. 2010-123 setting usage -based and flat water and wastewater rates for residential,
commercial, and industrial customers.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, and Mayor Katzakian
Noes: Council Member Mounce, and Mayor Pro Tempore Hitchcock
Absent: None
I. Communications
1-1 Monthly Protocol Account Report (CLK)
Council Member Mounce made a motion, second by Council Member Hansen, to approve the
cumulative Monthly Protocol Account Report through June 30, 2010.
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Continued July 21, 2010
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, Council Member Mounce, Mayor
Pro Tempore Hitchcock, and Mayor Katzakian
Noes: None
Absent: None
J. Regular Calendar
J-1 Approve Plans and Specifications and Authorize Advertisement for Bids for Lodi Surface
Water Treatment Facility Project (PW)
Public Works Director Wally Sandelin provided a PowerPoint presentation regarding the surface
water treatment plant. Specific topics of discussion included groundwater in downtown Lodi,
superior water quality, Delta protection, recharge is slow, Stockton benefits, costs for recharge
versus direct use, timing issues, layout of raw water pump station, project location, layout of the
surface water treatment facilities, schedule, project budget, contractor pre -qualification, and
proposed recommended action.
In response to Council Member Mounce, Rich Stratton stated the warranty on the membrane is
ten years, although they do typically go a bit longer. He stated there are approximately 1,600
modules, the cost per module is $2,000, and the replacement costs are calculated into operations
and maintenance.
In response to Mayor Pro Tempore Hitchcock, Mr. Stratton stated the plant is operational
with eight persons for the first year and can drop to four or six persons in subsequent years
based on numbers from other plants with similar operations.
In response to Mayor Pro Tempore Hitchcock, Mr. Sandelin stated the projected annual operating
cost for the first year is $1.7 million and it will drop yearly after that.
In response to Council Member Hansen, Mr. Stratton suggested the plant be monitored by video
surveillance by personnel 24 hours a day and a fiber optic system could be used to accomplish
the same.
In response to Council Member Hansen, Mr. Sandelin stated that, based on the engineer's
estimate, the cost of the membrane system would be approximately $3.5 million and any savings
would come from the construction of the plant.
In response to Council Member Johnson, Mr. Sandelin stated all ten firms had specific water
treatment facilities construction experience.
Roy Bitz spoke in opposition to the construction of the proposed plant based on the economy and
the lack of a current need to build.
In response to Council Member Hansen, Mr. Bartlam stated within the surrounding basin the
State is looking at overdraft conditions, it is monitoring adjudicated basins now, and additional
monitoring is expected for overdraft purposes.
In response to Mayor Pro Tempore Hitchcock, Mr. Bartlam stated staff will bring back bond
financing options to Council at a future date.
In response to Mayor Pro Tempore Hitchcock, Mr. Sandelin stated the estimated debt payment is
$2.8 million per year over the course of the bond.
Continued July 21, 2010
In response to Council Member Hansen, Mr. Sandelin stated if Council does not move forward
with the proposed project, there will be revenue lost from the banked water and the City will
be jeopardizing future water rights through the Woodbridge Irrigation District (WID).
In response to Mayor Pro Tempore Hitchcock, Mr. Schwabauer stated the City does have a 40 -
year contract for the purchase of water, WID is concerned that if the water is not beneficially used
water rights will be lost to another party, and the State determines final water rights through
administrative hearings.
In response to Council Member Mounce, Mr. Sandelin stated a capacity charge is proposed
for new development and payment from new development will defer future rate increases.
Council Member Johnson made a motion, second by Council Member Hansen, to approve the
plans and specifications and authorize advertisement for bids for the Lodi surface water treatment
facility project.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, and Mayor Katzakian
Noes: Council Member Mounce, and Mayor Pro Tempore Hitchcock
Absent: None
J-2 Adopt Resolutions of the Lodi City Council and Industrial Development Authority
Authorizing the Execution of an Exercise of Powers Agreement and Establishing the Lodi
Public Financing Authority (CA) NOTE: Joint action of the Lodi City Council and Industrial
Development Authority
City Attorney Schwabauer provided a presentation regarding the purpose of the creation of the
proposed financing authority, certificates of participation (COPS), Build America bonds, and
enterprise bonds.
In response to Mayor Pro Tempore Hitchcock, Mr. Schwabauer and Deputy City Manager Jordan
Ayers stated they are not aware of any legal limitations to the City's borrowing of COPs as the
decision is primarily dependent upon credit ratings.
In response to Mayor Pro Tempore Hitchcock, Mr. Schwabauer stated COPs are probably not
the most cost effective model at this time in the market and the proposed action simply leaves all
options open without committing to any specific option.
In response to Mayor Katzakian, Mr. Schwabauer confirmed that all financing options would be
available at the time of financing.
In response to Council Member Hansen, Mr. Schwabauer stated a combination of different
financing methods could also be used to finance the project.
In response to Council Member Johnson, Mr. Ayers stated the Build America bonds could be
extended although reduced for next year.
Council Member Hansen made a motion, second by Council Member Johnson, to adopt
Resolution No. 2010-124 of the Lodi City Council and No. IDA -32 of the Industrial Development
Authority Authorizing the execution of an Exercise of Powers Agreement and establishing the
Lodi Public Financing Authority.
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Continued July 21, 2010
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Hansen, Council Member Johnson, Council Member Mounce, Mayor
Pro Tempore Hitchcock, and Mayor Katzakian
Noes: None
Absent: None
K. Ordinances - None
L. Adjournment
There being no further business to come before the City Council, the meeting was adjourned at
9:55 p.m.
ATTEST:
Randi Johl
City Clerk
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