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HomeMy WebLinkAboutMinutes - March 1, 2017LODI CITY COUNCIL REGULAR CITY COUNCIL MEETING CARNEGIE FORUM, 305 WEST PINE STREET WEDNESDAY, MARCH 1, 2017 C-1 Call to Order / Roll Call The City Council Closed Session meeting of March 1, 2017, was called to order by Mayor Kuehne at 6:02 p.m. Present: Council Member Chandler, Council Member Johnson, Council Member Mounce, Mayor Pro Tempore Nakanishi, and Mayor Kuehne Absent: None Also Present: City Manager Schwabauer, City Attorney Magdich, and City Clerk Ferraiolo NOTE: Council Member Johnson participated via teleconference. C-2 Announcement of Closed Session a) Actual Litigation: Government Code §54956.9(a); One Case; James Smith v. City of Lodi, U.S. District Court, Eastern District of California, Case No. 2:14-CV-01318-TLN-AC (CA) b) Conference with Legal Counsel - Anticipated Litigation - Significant Exposure to Litigation Regarding Homeowner Encroachment along Lodi Lake Nature Area, (APN 039-100-21), Pursuant to Subdivision (b) of Section 54956.9, One Case; Pursuant to Government Code 54956.9(b)(3)(A) Facts, Due to Not Being Known to Potential Plaintiffs, Shall Not Be Disclosed (PW) c) Exposure to Litigation Pursuant to Government Code §§54956.9(d)(2) and 54956.9(e)(1); One Case; Shall Not Be Disclosed, Due to Facts and Circumstances Not Yet Known to Potential Plaintiffs (CA) C-3 Adjourn to Closed Session At 6:02 p.m., Mayor Kuehne adjourned the meeting to a Closed Session to discuss the above matters. The Closed Session adjourned at 6:44 p.m. C-4 Return to Open Session / Disclosure of Action At 7:00 p.m., Mayor Kuehne reconvened the City Council meeting, and City Attorney Magdich disclosed the following actions. Items C -2a) and C -2b) were discussion and direction only with no reportable action. Item C -2c) was discussion only with no reportable action. A. Call to Order / Roll Call The Regular City Council meeting of March 1, 2017, was called to order by Mayor Kuehne at 7:00 p.m. Present: Council Member Chandler, Council Member Mounce, Mayor Pro Tempore Nakanishi, and Mayor Kuehne Absent: Council Member Johnson Also Present: City Manager Schwabauer, City Attorney Magdich, and City Clerk Ferraiolo 1 B. Presentations B-1 National Nutrition Month Proclamation (CLK) Mayor Kuehne presented a proclamation to Lodi Memorial Hospital Clinical Nutrition Supervisor Chad Edwards proclaiming the month of March 2017 as "National Nutrition Month" in the City of Lodi. Mr. Edwards stated the theme of this year's event is "Put Your Best Fork Forward," which stresses that everyone has the ability, power, and tools in hand to make the right choices. He further stated that Lodi Memorial Hospital will have a wellness fair for its employees next week. C. Consent Calendar (Reading; Comments by the Public; Council Action) Council Member Mounce made a motion, second by Council Member Chandler, 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 Chandler, Council Member Mounce, Mayor Pro Tempore Nakanishi, and Mayor Kuehne Noes: None Absent: Council Member Johnson C-1 Receive Register of Claims in the Amount of $5,072,597.43 (FIN) Claims were approved in the amount of $5,072,597.43. C-2 Approve Minutes (CLK) The minutes of January 31, 2017 (Shirtsleeve Session), January 31, 2017 (Special Meeting), February 1, 2017 (Regular Meeting), February 7, 2017 (Shirtsleeve Session), February 14, 2017 (Shirtsleeve Session), and February 14, 2017 (Special Meeting) were approved as written. C-3 Approve Plans and Specifications and Authorize Advertisement for Bids for 2017 DeBenedetti Park Trail and Parking Lot Improvements (PW) Approved plans and specifications and authorized advertisement for bids for 2017 DeBenedetti Park Trail and Parking Lot Improvements. C-4 Approve Plans and Specifications and Authorize Advertisement for Bids for 2017 Finance Parking Lot Resurfacing Project (PW) Approved plans and specifications and authorized advertisement for bids for 2017 Finance Parking Lot Resurfacing Project. C-5 Approve Plans and Specifications and Authorize Advertisement for Bids for Lawrence Avenue Accessible Parking Improvements (PW) Approved plans and specifications and authorized advertisement for bids for Lawrence Avenue Accessible Parking Improvements. C-6 Adopt Resolution Awarding Contract for Hutchins Street Square Holz Room Flooring Replacement to Alex Business Group, Inc., dba Carpetland, of Stockton ($18,740) (PW) Adopted Resolution No. 2017-25 awarding the contract for Hutchins Street Square Holz Room Flooring Replacement to Alex Business Group, Inc., dba Carpetland, of Stockton, in the amount of $18,740. 2 C-7 Adopt Resolution Approving Memorandum of Understanding between City of Lodi and San Joaquin Council of Governments for State/Federal Transit Planning and Programming, and Authorizing City Manager to Execute Agreement (PW) Adopted Resolution No. 2017-26 approving Memorandum of Understanding between City of Lodi and San Joaquin Council of Governments for State/Federal Transit planning and programming, and authorizing the City Manager to execute the agreement. C-8 Adopt Resolution Authorizing City Manager to Execute Professional Services Agreement for Ergonomic and Fire Suppression Upgrades for Lodi Electric Utility Operations Center and SCADA Control Room with WMB Contractors, of Oakland ($300,000) (EU) Adopted Resolution No. 2017-27 authorizing the City Manager to execute a Professional Services Agreement for Ergonomic and Fire Suppression Upgrades for Lodi Electric Utility Operations Center and SCADA Control Room with WMB Contractors, of Oakland, in the amount of $300,000. C-9 Adopt Resolution Authorizing City Manager to Sign the Mutual Aid Agreement between City of Lodi Fire Department and Cosumnes Community Service District Fire Department (FD) Adopted Resolution No. 2017-28 authorizing the City Manager to sign the Mutual Aid Agreement between City of Lodi Fire Department and Cosumnes Community Service District Fire Department. C-10 Adopt Resolutions Authorizing City Manager to Execute Amended and Restated Joint Exercise of Power Agreement Creating the San Joaquin County Regional Fire Dispatch Authority and Appointing the Fire Chief and Alternate to Serve on the San Joaquin Regional Fire Dispatch Authority Board of Directors (FD) Adopted Resolution No. 2017-29 and No. 2017-30 authorizing the City Manager to execute Amended and Restated Joint Exercise of Power Agreement creating the San Joaquin County Regional Fire Dispatch Authority and appointing the Fire Chief and alternate to serve on the San Joaquin Regional Fire Dispatch Authority Board of Directors. C-11 Authorize City Attorney to Issue "Comfort Letter" to TSH, Inc., a California Corporation, in Connection with the Purchase of Property Located at 210 West Pine Street, and 1 and 11 South Church Street (CA) Authorized the City Attorney to issue "Comfort Letter" to TSH, Inc., a California Corporation, in connection with the purchase of property located at 210 West Pine Street, and 1 and 11 South Church Street. C-12 Adopt Resolution Authorizing Destruction of Certain Citywide Records in Accordance with the Government Code and the City's Records Management Policy (CLK) Adopted Resolution No. 2017-31 authorizing the destruction of certain Citywide records in accordance with the Government Code and the City's Records Management Policy. C-13 Set Public Hearing for April 5, 2017, to Consider Adopting Resolution Reducing the Amount of Low -Density Residential Growth Management Allocations Currently Available in the Program (CD) Set public hearing for April 5, 2017, to consider adopting resolution reducing the amount of Low - Density Residential Growth Management Allocations currently available in the program. C-14 Set Public Hearing for March 15, 2017, to Consider Adopting Resolution Certifying a Mitigated Negative Declaration for the City of Lodi White Slough Water Pollution Control 3 Facility Storage Expansion and Surface, Agricultural, and Groundwater Supply Improvement Project (CD) This item was removed from the Consent Calendar at the request of a member of the public. Mike Lusk stated that the pond project at the White Slough Water Pollution Control Facility is estimated to cost $3 million, 75 percent of which is to be paid by a State grant and the other 25 percent by the City of Lodi. He questioned how the City will pay for its 25 percent obligation, as well as any preliminary engineering and survey costs, and whether that will go directly into the wastewater budget or be absorbed afterwards through impact mitigation fees. He stated the pond is being constructed for expansion of the City and the extra wastewater that will be imported into the system; therefore, he believed it should be categorized as an impact fee. Mr. Lusk stated he previously raised questions about the land used for this project and the potential conflict because it is a general fund asset but a wastewater capital improvement project. City Manager Schwabauer explained that the project is not being built to expand wastewater capacity; rather, it is to handle existing treated wastewater, to reduce the need to discharge to the Delta, and to create a saltwater curtain to address saltwater intrusion at the location. Mr. Lusk stated his understanding of Proposition 218 is that the utility enterprises are to be revenue neutral without conflicts with the general fund and he believed there was a conflict since this land is a City general fund asset and the pond will be a wastewater fund asset. Mr. Schwabauer stated the land has historically been used to dispose of treated wastewater by the City without charge and the expectation is it would continue that way; therefore, he sees no conflict. In further response, Mr. Schwabauer reiterated that the City's 25 percent responsibility for the project will be paid out of the wastewater system, not by impact fees, because it is not related to growth. Council Member Mounce questioned if there will be rate increases in the future for this project, to which Public Works Director Charlie Swimley stated that staff will return to Council in July after an assessment of needs is completed and will bring forth a recommendation. Whatever the recommendation, it will be in accordance with the ten-year plan. Council Member Mounce stated that the public hearing on March 15, 2017, will be conducted while she is away on League business and she highlighted her concern about the project, stating she believes no further improvements should be done to the plant until the City meets with Snider Electric to discuss its proposed energy- and cost-saving upgrades that could save the City half a million dollars a year. She stated the City already missed an opportunity to meet with the company and to apply for grants. Council Member Mounce stated she will submit her concerns in writing to the City Clerk to be presented for the record at the public hearing. Mr. Lusk further stated that the staff report for this item indicates there is no fiscal impact and he questioned if that was a mistake. Mr. Schwabauer stated there is no fiscal impact at this time because the recommended action is only to move forward with the environmental documentation. Mayor Kuehne stated that the environmental documentation passed easily at the San Joaquin Council of Governments level. Council Member Chandler made a motion, second by Mayor Pro Tempore Nakanishi, to set public hearing for March 15, 2017, to consider adopting resolution certifying a Mitigated Negative Declaration for the City of Lodi White Slough Water Pollution Control Facility Storage Expansion and Surface, Agricultural, and Groundwater Supply Improvement Project. VOTE: The above motion carried by the following vote: Ayes: Council Member Chandler, Mayor Pro Tempore Nakanishi, and Mayor Kuehne Noes: Council Member Mounce Absent: Council Member Johnson 4 C-15 Set Public Hearing for April 5, 2017, to Consider the Appeal of Wild Horses Four Wheel Drive Regarding the Decision of the Public Works Director Relating to Construction Application No. 20162787 at 1045 South Cherokee Lane, Lodi (CLK) Set public hearing for April 5, 2017, to consider the appeal of Wild Horses Four Wheel Drive regarding the decision of the Public Works Director relating to Construction Application No. 20162787 at 1045 South Cherokee Lane, Lodi. D. 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. Public comment may only be made on matters within the Lodi City Council's jurisdiction (Government Code Section 54954.3, Lodi City Council Protocol Manual Section 6.31). The Council cannot take action or deliberate on items that are not on this agenda unless there is an emergency and the need to take action on that emergency arose after this agenda was posted (Government Code Section 54954.2(b)(2)). All other items may only be referred for review to staff or placement on a future Council agenda. Mike Lusk commented on the proposed budget sheets for the projected impact mitigation fees, which were presented at the last meeting relating to water rates, stating that he felt the amounts for the total possibility of impact fees that will be collected between now and 2019/20 were minimal. One of the budget items listed was $2 million for the southwest water tank, and he stated he believes this project is a result of increased construction in Lodi and should fall under the impact mitigation fee categories. A majority of the new homes cannot be built in the next three years, and he suggested that the fees associated with those developments be prepaid by developers before the deadline and put into the impact mitigation fee accounts in anticipation of next year's water rate discussion; otherwise, if the funding is not there to cover the $2 million water tank project, he believed the project should be removed from the budget to reduce expenditures. Spencer Dayton announced that March is DeMolay Month and presented information relating to the organization's "Ceremony of Light" (filed). He stated that DeMolay, which is a premier youth organization, has been in Lodi for 98 years and he has been a member for the last seven years. He requested the City of Lodi proclaim March as DeMolay Month. Mayor Kuehne referred the matter to the City Clerk for handling. Gary Ernest Troutman provided Council with his background, including employment, military, and family history, and requested he be considered for the position of Deputy City Manager before Council takes action on Item 1-2 to appoint Andrew Keys to the position. Mayor Kuehne thanked Mr. Troutman for sharing his experiences and suggested he visit the City's website for information on current job openings. Theresa Johnson expressed complaints with the City's new utility billing system, stating that the system has failed to record her payments, she was charged a late fee after being told the City was not charging penalties at this time, and her mother's bills on the City's payment plan have fluctuated drastically without a reasonable explanation, resulting in her being removed from the plan by mistake. Because of these issues, she or her husband go into the Finance office every month to try to resolve the problems, yet they continue to occur. She expressed frustration and asked how she can correct the situation for both her and her mother's bills. City Manager Schwabauer offered to meet Ms. Johnson at a time convenient for her to try to resolve these issues and provided her with his contact information. He further made a general statement that he hopes those who cannot find a resolution by working with the Finance Department and its supervisors will contact him to see if he can address the problem at his level of authority. E. Comments by the City Council Members on Non -Agenda Items 5 Council Member Mounce expressed disappointment that, during the transition from the old utility billing system to the new one, customers were told there would be no late fees charged; however, the system started penalizing customers. She stated there is confusion at the Finance Department because some of the employees correct the mistake, while others do not. Council Member Mounce stated that she believes there needs to be improved communication with Finance Department staff to ensure consistency and continuity of service and that the City should stick with its promise of not charging late fees if that is what it said it would do. City Manager Schwabauer stated he would look into it. Further, Council Member Mounce thanked those involved with the recent League of California Cities board meeting that was held in Lodi, stating that the consensus of the attendees from across the state was that Lodi is a fine community. She thanked Council Member Chandler for his assistance with the reception at the Wine & Visitors Center; Cheese Central for its cheese tasting at the reception; Lodi Beer Company for the board dinner; City Manager Schwabauer for his presentation to the board regarding the California Public Employees Retirement System issue; and City Clerk Ferraiolo for coordinating various aspects of the two-day event. Mayor Kuehne stated that it has come to his attention there are concerns about bullying on the City Council, which he takes seriously; therefore, he requested staff hire a specialist to provide training for all Council Members by the end of this month or next since it has been over a decade since this was last discussed. Council Member Mounce requested that such training not occur until after tax season since this is her busiest time. Mayor Kuehne stated that the request was reasonable and could be accommodated. Mayor Pro Tempore Nakanishi stated that he believes a session on bullying was unnecessary for all Council Members to attend and instead it should be a meeting between the involved parties. With regard to the incident at the last meeting, he stated he believed both Mayor Kuehne and Council Member Mounce were equally responsible; therefore, those two individuals should concentrate on working out their differences, which is more productive than requiring all five Council Members to participate in training. He stated, however, that he would attend the session if that is Council's direction. Mayor Kuehne stated he will confer with the City Manager and Human Resources Manager to determine the best approach. The training was one of a number of options, and he stated that he wishes to be considerate of all thoughts presented. F. Comments by the City Manager on Non -Agenda Items None. G. Public Hearings G-1 Public Hearing to Consider Adopting Resolution Authorizing City Manager to Execute Reimbursement Agreement RA -16-01 for Public Improvements for Rose Gate Unit No. 1, Tract No. 3785, and Rose Gate Unit No. 2, Tract No. 3813 (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 Kuehne called for the public hearing to consider adopting resolution authorizing the City Manager to execute Reimbursement Agreement RA -16-01 for Public Improvements for Rose Gate Unit No. 1, Tract No. 3785, and Rose Gate Unit No. 2, Tract No. 3813. Public Works Director Charlie Swimley provided a PowerPoint presentation regarding Reimbursement Agreement RA -16-01 for Rose Gate Unit No. 1, Tract No. 3785, and Rose Gate Unit No. 2, Tract No. 3813. Specific topics of discussion included reimbursements for APNs 027-04-001, 027-40-002, and 027-40-015; and improvements included in reimbursements for 6 each parcel. City Manager Schwabauer explained the purpose of a reimbursement agreement is to provide a benefit to others who will ultimately gain from the improvements in the future. In this case, the agreement will allow the developer to charge a future developer of the undeveloped parcels for the improvements made during the course of this project. Costs for this project do not fall to the City. Mayor Kuehne opened the public hearing for public comment. There being no public comments, Mayor Kuehne closed the public hearing. Council Member Mounce made a motion, second by Council Member Chandler, to adopt Resolution No. 2017-32 authorizing the City Manager to execute Reimbursement Agreement RA -16-01 for Public Improvements for Rose Gate Unit No. 1, Tract No. 3785, and Rose Gate Unit No. 2, Tract No. 3813. VOTE: The above motion carried by the following vote: Ayes: Council Member Chandler, Council Member Mounce, Mayor Pro Tempore Nakanishi, and Mayor Kuehne Noes: None Absent: Council Member Johnson G-2 Public Hearing to Consider Introducing Ordinance Amending Lodi Municipal Code Chapter 13.20 - Electrical Service - by Repealing and Re -Enacting Article III, "Rates," in Its Entirety (EU) Notice thereof having been published according to law, an affidavit of which publication is on file in the office of the City Clerk, Mayor Kuehne called for the public hearing to consider introducing ordinance amending Lodi Municipal Code Chapter 13.20 - Electrical Service - by repealing and re-enacting Article III, "Rates," in its entirety. City Manager Schwabauer stated that this item is being continued to the Regular Council meeting of April 5, 2017. Council Member Mounce made a motion, second by Council Member Chandler, to open and continue the public hearing to April 5, 2017, to consider introducing ordinance amending Lodi Municipal Code Chapter 13.20 - Electrical Service - by repealing and re-enacting Article III, "Rates," in its entirety. VOTE: The above motion carried by the following vote: Ayes: Council Member Chandler, Council Member Mounce, Mayor Pro Tempore Nakanishi, and Mayor Kuehne Noes: None Absent: Council Member Johnson H. Communications - None I. Regular Calendar 1-1 Provide Direction Regarding Lawrence Park Tree Impacts Associated with the Lockeford Street Improvement Project (PW) This item was pulled from the agenda. 7 1-2 Ratification of Employment Agreement Entered into Between City Manager Stephen Schwabauer and Deputy City Manager/Internal Services Director Andrew C. Keys (CM) City Manager Schwabauer provided a presentation regarding the ratification of the employment agreement of Deputy City Manager/Internal Services Director Andrew C. Keys. He stated that the City follows the legal process for all of its job openings, stating that this position was posted and open for a specified period, after which the application period was closed. Staff then selected candidates from those who applied during the publicly -posted timeframe and initiated a several - months -long interview process. Mr. Schwabauer stated that he believes staff selected the individual who appears to be most qualified. He reported that the contract calls for a salary of $158,000 with a 3 percent increase after a positive review following one year. Mr. Keys comes from the City of Elk Grove, where he held a series of increasingly responsible positions, including Interim Deputy City Manager, and has the skills and capacity to handle the duties and responsibilities of this position. Council Member Mounce expressed opposition to the six-month severance clause in the contract, stating that the City should not pay salary and health benefits for someone who has been terminated from employment. She believed these agreements have lucrative deals in them, and in light of the California Public Employees Retirement System (Cal -PERS) situation, she cannot support them. She disagreed with the argument that these clauses are standard in the industry. Mayor Pro Tempore Nakanishi stated that Council Member Mounce has a strong argument against the severance clause; however, he also understands there should be some level of guarantee for a new employee in a high-level position that is leaving another employer to come work for the City that he will not be let go shortly after arriving. Mr. Schwabauer stated, in his experience, cities that hire people at the executive management level will typically include a severance package in the agreement; although, there are varying types of packages with some as long as 18 months. He stated that the City's package is only paid if the person does not get another job, it is paid monthly, and it stops when they find other employment. He further explained the history behind the severance package concept, stating that it started with the city manager form of government, because previously, high-level positions would change when political appointments and direction changed. This clause provides some form of protection against that. City Attorney Magdich pointed out that the agreement states the severance would terminate upon the employee securing new employment and it only takes effect if terminated without cause. Council Member Mounce stated she works in a professional office and that employees with a Certified Public Accounting license are not offered severance packages. She stated that she believes government as a whole has gotten fat with lucrative retirements and severance packages, which are unheard of in the private sector. She stated she could support such a clause if it were three months instead of six because she believed individuals in high-level positions should be properly set up with money and a fallback plan should they lose their job. She assured Mr. Keys that her opposition to this matter was not against him; rather, it was against the severance clause. Andrew Keys expressed his excitement for the opportunity to come to Lodi and thanked Mr. Schwabauer, Human Resources Manager Adele Post, and the recruitment team he worked with during the interview process. He stated that he read Council Member Mounce's article regarding the League of California Cities meeting in Lodi and he is eager to join a city that has the exposure and leadership with the League to take on Cal -PERS. Mr. Keys stated that he is aware of the challenges ahead and is ready to tackle them and move Lodi forward, adding that he has worked on many of the issues brought up during the meeting. Mayor Pro Tempore Nakanishi informed Mr. Keys that this is a key position in the City because of the Cal -PERS issue and that his predecessor started this journey with sound recommendations 8 and he will need to continue down that path. He stated he was impressed with Mr. Keys' experience. Council Member Chandler made a motion, second by Mayor Pro Tempore Nakanishi, to ratify the employment agreement entered into between City Manager Stephen Schwabauer and Deputy City Manager/Internal Services Director Andrew C. Keys. VOTE: The above motion carried by the following vote: Ayes: Council Member Chandler, Mayor Pro Tempore Nakanishi, and Mayor Kuehne Noes: Council Member Mounce Absent: Council Member Johnson J. Ordinances - None K. Adjournment There being no further business to come before the City Council, the meeting was adjourned at 8:02 p.m. ATTEST: Jennifer M. Ferraiolo City Clerk 9