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HomeMy WebLinkAboutMin 01-18-95MINUTES OF THE CITY COUNCIL OF THE CITY OF UKIAH - January 18, 1995 The City Council convened in a regular meeting, of which the agenda was legally noticed and posted, at 6:31 p.m. in the Council Chambers of the Civic Center, 300 Seminary Avenue, Ukiah, California. Roll Call was taken and the following Councilmembers were present: Mastin, Malone, Shoemaker and Mayor Schnieter. Absent: Councilmember Wattenburger. Staff present: City Clerk McKay, City Attorney Rapport, City Manager Rough, Public Utility Director Barnes, City Engineer/Public Utility Director Kennedy, Assistant to the City Manager Harris, Planning Director Sawyer, Airport Assistant Richey, Finance Director Elton, Police Chief Keplinger, Assistant City Manager Horsley, and Assistant Redevelopment Director DeKnoblough. INVOCATION/PLEDGE OF ALLEGIANCE Councilmember Shoemaker delivered the Invocation and Mayor Schneiter led the Pledge of Allegiance. APPROVAL/CORRECTION OF MINUTES 3a/$b. Regular Adjourned Meeting of December 21, 1994 and the Regular Meeting of December 21, 1994. M/S Mastin/Malone to approve both sets of minutes from the regular adjourned Council meeting of December 21, 1994 and the regular meeting of December 21, 1994, as submitted. The motion was carried by the following roll call vote: AYES: Councilmembers Mastin, Malone, Shoemaker and Mayor Schnieter. NOES. None. Absent: Councilmember Wattenburger. RIGHT TO APPEAL DECISION Mayor Schneiter reviewed Section 1094.6 of the California Code of Civil Procedure regarding the appeal process. CONSENT CALENDAR Councilmember Shoemaker questioned staff regarding Item 5d., as to liability for the City. The City Attorney answered that all concerned parties are in agreement as to the conditions stated in the agreements. M/S Malone/Mastin approved the Consent Calendar as follows: 5a. Received and approved the report of December 1994 Disbursements. 5b. Received and denied the claims for damages received from Deborah Tate and Sean Finnegan, and referred them to the city insurance carrier, R.E.M.I.F. 5c. Adopted Ordinance No. 955 amending Section 1200 of Division 1, Chapter 4, Article 5 of the Ukiah City Code, pertaining to the terms of City of Ukiah Commission and Board Members. 5d. Approved the final cost participation for the construction of public improvements related to the Wal-Mart Store Project, as follows; 1. Authorize the payment of $74,019 to Wal-Mart; said funds shall be disbursed in the form of a budget adjustment from the fund balance under Fund number 301, special gas tax 2107 and charged to account No. 301-9823; 2. Authorized the payment of $21,596 to Wal-Mart from funds paid into account number 301.0600.490.010 by Fetzer Winery; 3. Authorize the payment of $3,807 to Wal-Mart from funds paid into Account Number 301.600.490.010 by Ukiah Wholesale Lumber; and 4. Authorized the payment of $4,453.59 to Redwood Business Park from funds paid into and interest accrued in the Signalization Fund No. 270. 5e. Awarded the bid to Edward R. Bacon Company for new 100 gallon capacity diesel powered heated pavement crack sealant melter/applicator in the amount of $22,737, including sales tax, 183 Reg. Mtg. January 18, 1995 Page 1 184 for Street Department. 5f. Accepted the work as complete and directed the City Clerk to file Notice of Completion with the County Recorder for Curb, Gutter, Sidewalk and Embankment Construction Project on Helen Avenue by Harborth Excavation Co., as per Specification No. 94-02. 5g. Authorized the purchase of One Mid-Sized Sedan through State of California, Department of General Services Annual Vehicle Purchase Program in the amount of $13,372.24 for the Public Utility Department. 5h. Award the Bid for annual contract for Chlorine and Sulfur Dioxide Products to Sierra Chemical Company in the amount of $45,511.64, for the Public Utility and Recreation Departments. 5i. Receive Report Regarding Award of Supplies to Southwest Power Inc. for I/O Strand Aluminum 330V, Quadruplex Conductor Cable in the Amount of $9,861.64 5j. Adopted Resolution No. 95-35 approving City of Ukiah Qualified Contractors List for 1995. 5k. Set Date of February 1, 1995 for consideration and review of ambulance fees. 51. Authorized the purchase for two Ford Crown Victoria police vehicles in the amount of $38,122.30 for two New Ford Crown Victoria Police Vehicles using the City of Union City contract with Melrose Ford Oakland, California, in the amount of $38,122.30. The motion was carried by the following roll call vote: AYES: Councilmembers Mastin, Malone, Shoemaker and Mayor Schnieter. NOES. None. Absent: Councilmember Wattenburger. Abstain: None. 6. AUDIENCE COMMENTS ON NON-AGENDA ITEMS Bill Cassell, Wal-Mart Consultant, complimented the City of Ukiah staff, who are qualified and professional, and expressed appreciation for their willingness to work with Wal-Mart staff on this project. NEW BUSINESS 8a. Set Date for Joint Council Meeting with Airport Commission It was the consensus of Council to set the date of February 28, 1995 to start at 7:00 pm in the Council Chambers of the Civic Center, for a joint meeting with the Airport Commission. Bb. Adoption of Resolution Making Appointment to Parks and Recreation Commission Mayor Schneiter explained his preference for applicant Jeffrey Anderson, and requested Council input. By consensus of Council to agree with Mayor Schneiter's preference. Mayor Schneiter nominated Jeffrey Anderson to fill the unexpired term of William Clarke on the Parks and Recreation Commission. The nomination was seconded by Councilmember Shoemaker, and passed with a unanimous voice vote of all aye. M/S Shoemaker/Malone to adopt Resolution No. 95-36, appointing Jeffrey Anderson to fill the unexpired term of William Clarke on the Parks and Recreation Commission to June 1996. The motion was carried by the following roll call vote: AYES: Councilmembers Mastin, Malone, Shoemaker and Mayor Schnieter. NOES. None. Absent: Councilmember Wattenburger. Abstain: None. 8c. Consideration of Joint Sponsorship with Center for Employment Manpower Resources For Urban Streams Grant Application Reg. Mtg. January 18, 1995 Page 2 186 The Assistant to the City Manager noted the applicant, Dick Jordan from CEMR is not yet present and requested this matter of business be delayed until later in the meeting. Council concurred. Sd. Authorize the Mayor to Execute Letter of Agreement with Millview County Water District and Redwood Valley County Water District to Share Cost Relative to a Watershed Sanitary assessment Mandated by the State Department of Health Services The Public Utility Director reported in March of 1994 the City of Ukiah was informed that all water agencies along the Russian River would be required to conduct a watershed sanitary assessment in order to identify possible sources of contamination within the affected watershed of the agencies's water source. He explained the City has been grated a delay for compliance until January 1, 1996, and has contacted other agencies affected in the watershed area, of which they have agreed to share costs. He reported these costs will be divided as 50% for City of Ukiah, 16.67% for Redwood Valley County Water District and 33.33% for Millview County Water District, of which agreements have been approved and executed by the other agencies. Council queried staff as to expected total cost of study, other water agencies which are not officially listed in watershed area of the Russian River, water supply and above flow sources examination, and the request for proposal which will be seen by Council before distribution. M/S Shoemaker/Malone authorized the Mayor to execute letter of agreement with Millview County Water District and Redwood Valley County Water District to share cost relative to a watershed sanitary assessment as mandated by the State Department of Health Services. The motion was carried by the following roll call vote: AYES: Councilmembers Mastin, Malone, Shoemaker and Mayor Schnieter. NOES. None. Absent: Councilmember Wattenburger. Abstain: None. 8e. Introduction of Ordinance Establishing Electric Utility Customer Service Policies The Finance Director reported during the electric utility workshop held on November 29, 1994, discussion concerning customer service policies contained in several different legal documents created the need for consolidation and update. He explained that finance department staff has reviewed past resolutions, ordinances and the current Ukiah City Code and developed the proposed Ordinance which will outline electric customer service policies in a clear format. Discussion ensued regarding the proposed Ordinance. Councilmember Shoemaker expressed his discomfort that section 4017 provides that a business owners residence electric service can be shut off if the business does not pay its electric bill. The City Attorney stated the law provides that payment schedules must be established to pay off past due bills while keeping account current. This wording gives the City additional leverage to get customers to pay. The Finance Director continued with the review of individual sections of the proposed Ordinance. Councilmember Shoemaker expressed concern for the wording in Section 4049 which would assign a call out fee if electric service problem was determined to be customer fault. He indicated that he would like the service phone person to ask questions assisting in prior determination of the problem, before sending a repair person. Discussion ensued regarding life support provisions and procedures, occupants liability provisions, electric meters, renter and homeowner procedures, and ten proposed provision to leverage a business owners residence for non-payment by a business. Reg. Mtg. January 18, 1995 Page 3 It was the consensus of Council to strike the proposed wording in Section 4017 regarding non-payment of a commercial or residence account. Councilmember Shoemaker questioned wording pertaining to valves in Section 4033. It was the general consensus of Council to reword this wording to state service equipment instead of valves. The review of the proposed ordinance continued. Councilmember Shoemaker indicted that if the City electric meters are running slow or are insufficient, he would not like to see customers penalized with charging in arrears. It was the general consensus of Council to not back bill (in arrears), but to just change the meter and then bill accordingly. The Finance Director noted legal wording is needed from the City Attorney. The City Attorney presented renumbering and rewording reflecting Council direction. Councilmember Malone questioned possible wording regarding a power producer such as water, wind or other for power companies to purchase. Mayor Schneiter indicated that cogeneration is not an issue now as customers can run electricity into their meters. M/S Malone/Shoemaker to read the title only for the first reading of the Ordinance. The motion was carried by a unanimous voice vote of all aye. The City Clerk read the title only of the Ordinance. M/S Malone/Mastin to introduce the amended proposed Ordinance adding a new chapter 7 to Division 4 of the Ukiah City Code Entitled: Electric Utility and a new article 1 to Chapter 7 entitled: Electric utility customer service policies. The motion was carried by the following roll call vote: AYES: Councilmembers Mastin, Malone, Shoemaker and Mayor Schnieter. NOES. None. Absent: Councilmember Wattenburger. Abstain: None. Recess - 7:52 p.m. Reconvened -7:58 p.m. PUBLIC HEARING - 7:00 p.m. 7a. Consideration of Adoption of Resolution Adjusting Electric Utility Rates The Public Utility Director reported there have been past discussions, both at the June 1994 budget hearing and the Electric Utility November workshop where there is shortage of revenue to cover expenses. He distributed a worksheet of the 5 year projected anticipated costs reveals a shortfall of $350,000. A handout was distributed to Council. The Public Utility Director presented proposed capital projects with Council review. Discussion ensued regarding conversion of 20% of the distribution system converting from 4KV to 12KV and meter testing and upgrading. The City Manager explained if the electric distribution system was all 12KV and all meters were running correctly, the savings would be substantial enough to need less of a rate increase at this time. He indicated we should contract for this service. Councilmember Shoemaker stated that as this savings would be so substantial he would like this to be a priority. The Public Utility Director noted a tracking system for each meter 187 Reg. Mtg. January 18, 1995 Page 4 188 would be necessary after this project to create inventory tracking, control and monitoring. Mayor Schneiter commented we need to address losses such as street lights, meters, and contract these services so the projects can be accomplished. The Public Utility Director continued with his presentation concerning past 4 years capital projects and costs for each year and presented tne Public Utility department proactive actions. The City Manager noted discussion at the November workshop discussed inadequate manpower to accomplish these projects and the commitment for to contracted services to complete these projects. Review of the proposed rate increase proceeded. Public Hearing Opened - 8:35 p.m. Howard Henley, 1321 Laurel Avenue, complimented the electric department operations during the recent storm and floods as he did not have an outage. He stated he does protest this increase as the newspaper stated we have 6 million in reserves. He noted Mendocino County now has a new economic coordinator and if our electrical rates are high, business will not want to come in. Phil Young, 1085 Standley Street, stated he is a renter and he is here to represent the poor working class who does not want the electrical rates to go up, as he and others are struggling already. Marsha Depriest, 315 Pomo Drive, stated she objects to this rate hike and is is upset about finding out about this in the Ukiah Daily Journal. She stated we have had increases to water, garbage, sewer, and working people can't come to all of these rate increase hearings. She objects to subsidizing businesses who come into town and she does not want them to get a break while residential people have to pay full rates. She commented she wants to lower our rates. She indicated it is not right to subsidize Vichy subdivisions use of our sewer plant, when they may cause us to lose the City landfill. She stated her household has decreased their garbage and water, and they now go without Christmas lights. She urged the City to be more efficient in services and to lower costs to avoid increases to citizens. No others came forward. Public Hearing Closed - 8:38 p.m. Mayor Schneiter explained at City budget hearings the Council reviews each departments operations, costs and services through a long process. He explained reserve funds are for catastrophe. The City Manager noted this public hearing was legally noticed 10 days in advance in the newspaper in addition to posting and was discussed during the June 1994 budget sessions. He explained in addition to articles in the Ukiah Daily Journal, there have been City newsletters advising the public of possible future increases. He reported the City has delayed this increase for one year. If approved it will not go into effect until March. Mayor Schneiter commented the last electric rate increase was in 1991 and a 3% increase is small. Councilmember Malone explained the City's public utility provides low wattage lights and energy audits to help customers decrease usage. He noted we can't use reserves to keep operations going, and we must run this operation like a business, even though rate increases are not well liked. Discussion ensued regarding prior pending underground projects and possible use of these funds. Councilmember Shoemaker stated he does not remember that discussion, and feels the benefits of the aesthetics of underground Reg. Mtg. January 18, 1995 Page 5 electrical distribution systems are worth the extra costs. Mayor Schneiter noted we are not going to spend the allocated undergounding funds. If we can't spend these funds due to the projects needing engineering, which take time. He stated we should attempt to improve the electric system with capital projects, due to threat of retail wheeling. He indicated money spent now for aesthetics is not prudent, as we must become efficient with what we have. Mayor Schneiter indicated he supports this rate increase and to keep funds for projects. Additional revenue from operational efficiencies that we don't spend, will be needed in next few years for these upgrade projects. He noted there may be no need for another rate increase until possibly 1997-98. M/S Shoemaker/Malone to adopt Resolution No. 95-37, approving electric residential and commercial rates effective March 1995 as proposed. Councilmember Mastin questioned he feels we need more discussion as to what projects are coming. Councilmember Shoemaker agreed that we need a follow up workshop. The City Manager asked Council if staff could develop specific contracts for these listed projects, and allow staff to go forward developing specifics and bring each project back individually to Council, which will be better for staff. Council concurred. The Finance Director questioned the proposed wording regarding March 1, 1995 which means we would prorate bills month of March so we would not realize full rate increase until April. He noted it is difficult to implement and suggested structuring this wording to reflect bills issued after March 1, 1995 which would affect rates Feb 1, 1995. The maker of the motion, Councilmember Shoemaker, with agreement from Councilmember Malone, the maker of the second to the motion, to change the effective date wording to "all energy billed on or after April 1, 1995." The motion was carried by the following roll call vote: AYES: Councilmembers Malone, Shoemaker and Mayor Schnieter. NOES. Councilmember Mastin. Absent: Councilmember Wattenburger. Abstain: None. Councilmember Mastin indicated his no vote is based on a few things such as the need for review of programs which would result in the lowering of this increase, as it this has been a problem for awhile, should have been doing this. Councilmember Shoemaker stated he would like a report from staff regarding the financial requirements against our utility reserves. This report should be 1/2 to 1 page which is easily digested by the public. He cited such things as the Hydro plant operations and the upcoming steam field project. 7b. Consideration of Approval of the Final Grantee Performance Report for the City of Ukiah,s Community Development Block Grant (CDBG) No. 92-STBG-570, Planning and Technical Assistance The Assistant to the City Manager reported a public hearing is required to consider the performance report to meet the federal requirement for public evaluation of grant endeavors. He explained in May of 1992, the City was awarded a CDBG grant to complete a needs assessment of the local homeless situation and prepare funding applications for facility or property acquisition/rehabilitation to assist the targeted populations. He explained the grant from the California HCD was for $25,000 with a 20% ($5,000) match from the local jurisdiction, for a total project revenue of $30,000. The $25,000 grant funds were received in July 1994 and the $5,000 was allocated from the Redevelopment Housing Setaside in 1993. He noted the project costs totalled $35,100 with 189 Reg. Mtg. January 18, 1995 Page 6 190 the additional $5,100 covered through inkind services by the consultant (43,850) and city staff ($1,250). Public Hearing Opened - 9:16 p.m. No one came forward. Public Hearing Closed - 9:17 p.m. M/S Mastin/Schneiter to approve the final grantee performance report for Community Development Block Grant No. 92-STBG-570. The motion was carried by the following roll call vote: AYES: Councilmembers Mastin, Malone, Shoemaker and Mayor Schnieter. NOES. None. Absent: Councilmember Wattenburger. Abstain: None. 8c. Consideration of Joint Sponsorship with Center for Employment and Manpower Resources for Urban Stream Grant Application. Mike Harris reported in 1993 the City sponsored a Urban Stream grant application to the California Department of Water Resources with a local citizen group named the Creek Coalition, and noted this grant was not funded. He reported this grant application by CEMR will address sedimentation problems primarily on Gibson Creek. He explained CEMR has had substantial experience in creek restoration throughout the county. Dick Jordon, CEMR representative, noted this information is a draft of what will be needed from the City. He indicated this funding is to upgrade for flooding and fish habitat enhancement and is a joint application for the California Department of Water Resources which will act as a model for other stream restoration. He explained that general plan recommendations parallel these projects. Although he is not asking money at this time, but city tools and equipment may be requested, to address degradation of Gibson. He noted CEMER will act as fiscal agent and he will manage this project. Mayor Schneiter commented that Oak Manor park needs work. Councilmember Shoemaker commented if we receive this funding he would like to see the physical barriers removed on Gibson Creek which prohibit fish travel, and would this funding address this? Mr Jordan answered yes, but the fish that are getting there are transported. He indicated they will address this. but primarily sedimentation is coming from upstream and this needs to be cleaned up due to floods recent flushing. M/S Shoemaker/Malone authorized the Mayor to sign a letter of support and co-sponsorship for the urban streams restoration program grant. The motion was carried by a unanimous voice vote of all AYE. Recess to the Ukiah Redevelopment Agency - 9:31 p.m. Council reconvened at 9:39 p.m. CLOSED SESSIO~ _ Mayor Schneiter announced the need to go into Closed session as per the following: 11a. As per G.C. Section 54956.9 - Conference with Legal Counsel Regarding Existing Litigation Mendocino County vs. City of Ukiah, Mendocino County Superior Court Case No. 65248 Council went into Closed Session at 9:40 p.m. Council came out of Closed Session - 10:33 p.m. Bf. Consideration and Approval of Proposed City/County Draft Ambulance Agreement M/S Shoemaker/Mastin to approve the agreement as proposed. The Reg. Mtg. January 18, 1995 Page 7 motion was carried by a unanimous voice vote of all aye. 9. CITY COUNCIL/REPORTS Mayor Schneiter reported on the Sanitation district board meeting he attended and noted on February 13, 1995, at 7:00 p.m. the steering committee will be meeting regarding the Potter Valley authority. 10. CITY MANAGER/DEPARTMENT HEAD REPORTS None. ADJOURNMENT There being no further business the meeting was adjourned at 10:35 p.m. ' u~M mc~ay' ~MC/~, City Clerk 191 Reg. Mtg. January 18, 1995 Page 8