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HomeMy WebLinkAboutMin 06-30-04 MINUTES OF THE UKIAH CITY COUNCIL Regular Adjourned Meeting of Tuesday, June 29, 2004 Through Wednesday, June 30, 2004 The Ukiah City Council met at a Regular Adjourned Meeting on June 29, 2004, the notice for which had been legally noticed and posted, at 8:05 a.m. in the Civic Center Council Chambers, 300 Seminary Avenue, Ukiah, California. Roll was taken and the following Councilmembers were present: Rodin, Andersen, Smith, Baldwin, and Mayor Larson. Staff present: Customer Service Supervisor Archibald, Community Services Director DeKnoblough, Police Captain Dewey, Finance Director/City Clerk Elton, Wastewater Treatment Plant Supervisor Gall, Activities/Sports Coordinator Greco, Personnel Officer Harris, Risk Manager/Budget Officer Harris, Purchasing Supervisor Horger, City Manager Horsley, Ukiah Conference Center Manager Jenney, Water Treatment Plant Operator Johnson, MIS Coordinator Klingbeil, Fire Chief Latipow, Accounting Manager McCann, Assistant Airport Manager Richey; Executive Assistant Riley, Community Services Supervisor Sangiacomo, Museum Director Smith- Ferri, Deputy Public Works Director Seanor, Public Works Director/City Engineer Steele, Planning Director Stump, Police Captain Walker, Public Works Supervisor Whitaker, Police Chief Williams, Fire Battalion Chief Yates, Public Utilities Director Ziemianek, and Deputy City Clerk Ulvila. Others present: Consultant Kennedy. 2. PLEDGE OF ALLEGIANCE Budget Officer/Risk Manager Harris led the Pledge of Allegiance. 3. RIGHT TO APPEAL DECISION Mayor Larson read the appeal process. 4. AUDIENCE COMMENTS ON NON-AGENDA ITEMS No one came forward to address Council. Public Hearing Opened: 8:10 a.m. 5. PUBLIC HEARING- CONSIDERATION AND ADOPTION OF FISCAL YEAR 2004-2005 BUDGET A. OVERVIEW OF PROPOSED BUDGET BY CITY MANAGER City Manager Horsley presented the City of Ukiah's Fiscal Year 2004-2005 draft budget and advised that, although the initial General Fund deficit was $1.2 million, some increased revenue and major reductions in non-public safety expenditures were made to decrease the deficit to $635,000. In an attempt to stabilize the State budget and local government revenues, Governor Schwarzenegger has reached an agreement with cities and counties for a two-year reduction in City funding to support State budget deficit recovery. The City Council has approved the inclusion of a public safety sales tax measure on the November 2004 ballot for a half-cent sales tax increase to exclusively fund police and fire services. She discussed the General Fund Summary and a review of all of the funds for each department. In summary, she stated that this year's budget contains the basic service elements the City is still able to provide with reduced staffing and expenditures exceeding revenues. The pending sales tax measure in November, if passed, will protect the public safety functions and ensure Regular Adjourned Meeting June 29-30, 2004 Page 1 of 16 continued essential services for the community through a stable funding source. She concluded by discussing important events that will take place in the next four months that will determine the fiscal stability of the City, B. REVIEW OF GENERAL BUDGET FIGURES i. Summary by Activity or Function and Fund Summary ii. Schedule of Transfers iii. Debt Summary iv. Authorized Personnel v. General Fund Summary~ Revenues~ and Expenditure~ Finance Director Elton advised that this budget is different from others the Council has considered due to the State experiencing financial distress and resorting to take money away from local government. The available revenue is less certain that usual. The budget proposal recommends a reduction of reserves of more than half a million dollars. He explained that reserves are available to see the City through one to three years of deficits. He went on to discuss the above noted sections of the Budget and the General Fund and Reserves in more detail. A general discussion followed with regard to using the City's reserves, bonds and required revenue, Vehicle License Fees (VLF), and the use of money from fund 115 that would require a four-fifth's vote of the City Council. It was noted that the total amount of VLF had increased significantly and the revenue source has increased, while departmental expenditures have decreased. C. Review of General Fund/Enterprise Fund Accounte i. FINANCE a. Finance and Accounting No specific comments. b. Information Technology Finance Director Elton explained that only one employee staffs this department. c. Downtown Business Improvement District Finance Director Elton explained that the fund accounts for the monies received from the increased business license fee imposed upon themselves by the businesses within the Downtown Business and Parking Improvement District. The funds received through the business license program, less a charge for the City's collection of the fees, are conveyed to the Ukiah Main Street Program for expenditure administration to accomplish the goals of this kind. d. Purchasing Purchasing Agent Horger discussed the accomplishments and objectives for the Purchasing Department. e. Billin~ and Collection Finance Director Elton discussed the Billing and Collection Division's staff and their duties, and noted that some staff members are cross trained to improve efficiency in the division. Regular Adjourned Meeting June 29-30, 2004 Page 2 of 16 ii. PLANNING a. Community Plannin.q b. Buildin_q Inspection Planning Director Stump discussed personnel and services in the Community Planning and Building Inspection divisions. He noted that the Code Compliance Coordinator position is frozen for next year. Tape lb He continued to discuss alternations to the budget and recommended the elimination of the stipend paid to the Planning Commissioners (as recommended by the Planning Commission), a minimal amount for consultant assistance, and no allocation for travel and conferences. He noted the Director's salary is 25% funded from Redevelopment Housing. There was discussion concerning the importance of hiring a Code Compliance Coordinator and whether that position should be funded full time or part time for the next fiscal year. Since the structure for appointment of Planning Commissioners will change in January 2005, concern was expressed that new commissioners receive training. Discussion ensued related to how staff's time is appropriated for the work they do for the Redevelopment Agency. There was also discussion concerning initiating a more aggressive penalty schedule for code violations. iii. PUBLIC WORKS a. En~ineerin.q and Administration Public Works Director/City Engineer Steele discussed the accomplishments and objectives for the Engineering Division of the Public Works Department. She explained that the final phases of the City-wide Traffic and Circulation Study should be completed in January 2005. She noted a decrease in the amount allocated to Conference and Training and Contractual Services. She went on to discuss Capital Expenditures and suggested the City continue to invest in the GIS system, noting its affects on the productivity of the Public Works, Public Utility, and Planning Departments. She also noted that the City does share parcel map and other information with the County. In response to an inquiry by Councilmember Andersen with regard to partnering with the County and cost sharing of the GIS system, she explained that one of the major expenditures is conducting an updated aerial photo, and she felt this is a good time to attempt a collaborative effort. b. Street Maintenance Public Works Director/City Engineer Steele discussed personnel in this department and the City Manager's recommendation that two vacant positions be frozen. There is also a decrease in expenses for training. She noted that the major item this year is the purchase of a new street sweeper. Discussion followed with regard to educating the public regarding the street sweeping schedule so that cars could be moved off the street to accommodate the sweeper. Concern was expressed with regard to the amount of dust generated by a street sweeper and the degree of debris that enters the storm drains. It was the consensus Regular Adjourned Meeting June 29-30, 2004 Page 3 of 16 of Council that the street sweeping schedule should be prepared to educate the public. There was discussion concerning the issuance of fines to those leaving their vehicles on the street on scheduled sweeping days. It was also suggested that flyers identifying the street sweeping schedule could be sent with the utility bills and that the schedule be posted on the City's web page. c. Corporation Yard Public Works Director/City Engineer Steele advised that two significant items in this budget concern Taxes & Fees and Contractual Services that includes $90,000 for a portion of continued hydrogeology investigation and site remediation; the remainder of funding for the project is budgeted in Fund 699. Discussion followed with regard to the remediation project at the Corp Yard and concerns of the plume advancing toward other properties. There was discussion of drilling and pumping of ground water to determine how far the plume is going so that it can be further quantified. It was noted that the City can apply through the State for some refunding of the remediation costs. Staff continued to discuss testing of the wells and ground water for contamination. There was a brief discussion concerning the cost of the project and that an additional $90,000 was set aside in Fund 699. It's not a matter of how much money will be needed, but rather a timing issue. d. SiQnalization Fund Deputy Director of Public Works Seanor discussed Contractual Services for the design of the Orchard/Gobbi intersection improvements. The project funding will be covered by a combination of funds from State Transportation Improvement Plan (STIP) funds and others. The project had been delayed on two occasions due to the lack of funding. e. Brid_~e Fund Deputy Director of Public Works Seanor discussed Contractual Services for the design and construction of the Orchard Avenue Bridge. Staff estimates they will advertise for bids in the spring of 2005. Tape 2a There was discussion regarding a timeframe for reaching an agreement with Mendocino County and the approval of the final EIR by the City Council, as well as the issue of overriding considerations for mitigations. f. Gas Tax and Construction Proiects Deputy Director of Public Works Seanor advised that Contractual Services in Account No. 300-9632 regarding the design and construction of curb, gutter, and sidewalk improvements, was re-budgeted from 2003/2004. He also discussed Contractual Services in Account No. 301-9805 regarding the design and construction of railroad crossings rehabilitation, and discussed STIP funding. He went on to discuss the SB 325 Fund and speed zone studies. He discussed the Gas Tax Funds with regard to the Surface Transportation Project and the traffic signal detector loop replacement and pavement projects. Regular Adjourned Meeting June 29-30, 2004 Page 4 of 16 Deputy Director of Public Works Seanor advised that the City was awarded a grant in the amount of $22,000 from the Office of Traffic Safety and the money is tied to federal funding. The grant will cover the cost of four electronic speed display signs, of which, two are solar powered. Staff will work with the Traffic Engineering Committee to finalize locations where they will be placed. He also discussed the Committee's review of crosswalk issues and options available to rectify problem areas. Staff discussed the STIP project which has been funded to construct the realignment of Babcock Lane with Oak Manor Drive and Gobbi Street. Once this project is constructed, the temporary footbridge across Gibson Creek, at this location, will no longer be required. Staff has had initial discussions with School District personnel regarding the purchase of this bridge to serve as a replacement for the existing wooden bridge which connects the Oak Manor School grounds with the pedestrian path along Gibson Cree. STIP funding was discussed as well as impact fees and mitigations as a result of development. Improvements made to the Airport and the widening the intersection of Talmage Road and Airport Park Boulevard to allow for two left turn lanes into the Park, as well as funding for the project were also discussed. The project concerning the Orr Creek retaining wall, improvements to locations on Smith Street and the Waugh Lane bridge improvement (20 foot expansion) projects were discussed. g. Municipal Garaqe Deputy Director of Public Works Seanor discussed the Internal Service Fund for the Garage with regard to salaries and noted that the garage is operating as lean as possible. h. Solid Waste Disposal Site Public Works Director Steele explained that the City is waiting for the Regional Board to review the City's plans for closure of the Landfill. In the meantime, there will be a period of ongoing maintenance for the City. She discussed the remoteness of the Landfill site and the problem with people trespassing onto the property. Staff is working toward securing the site better. Discussion followed relative to the funding formula and if the state doesn't process the City's work plan, the City is unsure if it will have funding to complete the work program on its own. Recessed: 10:23 a.m. Reconvened: 10:34 p.m. iv. PUBLIC UTILITIES a. Electric Public Utilities Director Ziemianek advised that Contractual Services is for the service contract for the annual circuit breaker and re-closer maintenance, transformer disposal, 4 KV substation change (Phase 1) engineering service, and re-conductoring Perkins Street/Orchard Avenue to underground. There was a brief discussion with regard to how the underground and overhead accounts are set up. Tape 2b He further discussed "Distribution-Meters" in the Electric Enterprise Fund and discussed electronic metering. There are significant changes to the "Purchased Power" accounts Regular Adjourned Meeting June 29-30, 2004 Page 5 of 16 under Operations & Maintenance and he noted options available to the City. He advised that there is an increase in Contractual Services and explained the increase of $75,000 for the replacement of a diesel truck. He discussed "Departmental Expense" and noted an increase to Conference and Training so as to take a more vital role in Northern California Power Authority (NCPA) and Western Area Power Authority (WAPA). He discussed Contractual Services that is allocated for a rate and power study. He also discussed "Interdepartmental Expense" with regard to accounts Rental of Land & Buildings, and Fuels & Lubricants. With regard to "Lake Mendocino Hydro", he discussed increases to Contractual Services due to the Army Corps of Engineers' requests, various repairs, and also lubricants needed for the existing pumps. He went on to discuss the City's relationship with the Army Corps of Engineers of restarting the plant and stressed the importance of working with the Corps to understand where the City is at in the process. There was a brief discussion concerning reducing the City's debt and also refinancing hydro bonds. b. Street Liqhtin~ Public Utilities Director Ziemianek discussed the Street Lighting Fund and noted that the expenditures remain fairly flat. Councilmember Rodin discussed conducting research regarding street lighting and noted that many City residents are unhappy about the brightness of street lights. Consultant Kennedy explained the City responds to complaints from the public by making adjustments are made to the wattage and directing the light away from a building. Staff is reviewing various lenses. c. Electric Public Benefit Finance Director Elton discussed the Public Benefits Fund and the City's existing programs to assist electrical customers with their utility bills. He explained that the budgeted amount is equal to the amount of revenue received. Customer Service Supervisor Archibald discussed the Energy Conservation Program and noted that customers who install double pane windows receive significant rebates. There has been some increase in the senior discount program and the monthly discount program through Ukiah C.A.R.E.S. She noted that there has not been much interest in the photovoltaic program, other than by the City for the Civic Center buildings. Finance Director Elton noted that some of the new programs, such as the window replacement program, have expanded. Staff will continue to monitor the programs and will advise Council when the programs are nearing their ceiling. d. Traffic Signals No specific comments. e. Water Public Utilities Director Ziemianek discussed salary and employee benefits and operation and maintenance expenses in the Water Fund. He discussed Conference Regular Adjourned Meeting June 29-30, 2004 Page 6 of 16 and Training expenses related to securing a water permit extension/revision, the City's share of the Inland Water and Power Commission's (IWPC) environmental services, the City's share of the Russian River Watershed Association, and environmental services (CEQA) for water right permit extension and revisions. Consultant Kennedy discussed evaluating the proposals for the CEQA document and also the contribution to the Russian River Watershed Association. City Manager Horsley advised that the City expects participation by at least one other water agency and is waiting for the bids to open before the final amount is included in the budget. Consultant Kennedy discussed the change in "Place Of Use" and changes if diversion occurs. He also discussed the City's new wells being considered underflows. Several water mains were not implemented and since that time material costs have increased. Due to the lack of engineering personnel, these projects were not completed in the last fiscal year. Public Utilities Director Ziemianek discussed accounts in the Water Production and Storage Fund and noted that items listed in account #302 are in need of being replaced. He advised that funds for the replacement of a 1990 truck are included in account 800. He went on to discuss Capital Projects in the Water Fund. Water Treatment Plant Operator Jamison explained that there has been an increased cost in chemicals and that a buffer is needed when estimating their cost. Consultant Kennedy discussed replacement parts needed for the water treatment plant for pumping equipment, water treatment equipment, electrical and instrumentation, service for auxiliary engines, and replacement of six chemical feed pumps. Finance Director Elton discussed Meter Reading Expenses as related to Salaries. Tape 3a Consultant Kennedy discussed Contractual Services in the Water Utility Capital Projects Fund and noted funds in account #800 are carried over from the previous fiscal year. He went on to discuss Phase I of the reservoirs project. v. COMMUNITY SERVICES a. General Government Buildings City Manager Horsley explained that City Hall is now opening at 7:30 a.m. and that both citizens and staff appreciate the new hours. b. Parks Community Development Supervisor Sangiacomo advised that the Park Lead Worker position is frozen in the Parks Division and he discussed the animal control position. He explained that the Community Development Department has completed development of Orchard and Observatory Parks and he discussed the restoration of some of the historical buildings on site. Regular Adjourned Meeting June 29-30, 2004 Page 7 of 16 City Manager Horsley explained that Staff is looking at an alternative fuel vehicle for the animal control position since the City has had great success with the meter reading vehicles and would like to have more electric vehicles in its fleet. Community Services Director DeKnoblough advised that Nisson would like to continue supplying the City with electric vehicles. In fact, the City will be receiving two more electric vehicles soon. c. Park Development Fund Community Development Supervisor Sangiacomo discussed the Park Development Fund and the replacement of playground equipment in various parks. The City expects reimbursement by the 2000 State Park Bond Funds. The improvements are slated to be conducted this year. He advised that two park workers received training from REMIF with regard to the selection of playground equipment and are looking at equipment made from recycled materials. City Manager Horsley explained that the City was able to cut its training budget by utilizing Redwood Empire Municipal Insurance Fund (REMIF). d. Recreation~ Administration Community Development Supervisor Sangiacomo discussed the accomplishments and objectives for the Recreation Division. The division's budget was hardest hit with the increased cost of PERS and Workman's Compensation. Staff has been able to offset it by continuing to evaluate the cost and sponsorship of fees. He noted that a significant upgrade in the brochure has occurred with the recreation classes and Staff has been successful in seeking advertising for the brochures to offset those costs. It was the consensus of the City Council that the brochure looks great. Community Development Supervisor Sangiacomo advised that Staff has been working with Innovative and they have begun computer modules for facility development. Staff will be encouraging on-line registration for email users and will be able to provide information directly to those inquiring about recreation programs. He explained that day camp is not based on socio-economic profiles. However, the camp does have a good cross section of the community participating in its program. He discussed expanding services for those five years of age and under. e. Recreation~ Sports and Programs f. Aquatics Community Development Supervisor Sangiacomo advised that Staff has been proactive in maintaining lifeguards for pool participants and is also proactive with training lifeguards. There is a new water safety program and all of the employees will be updated this week. The little pool was filled and with temperatures increasing, it should be open soon after being shut down for painting. He explained that there are problems with the plumbing under the decking of the pool and noted that Staff will be looking for grant funding to make necessary repairs. He briefly discussed Anton Stadium. Regular Adjourned Meeting June 29-30, 2004 Page 8 of 16 Community Development Director DeKnoblough discussed the situation at the pool needing a new liner or paint every two years. There is the chance that some of the Park Bond Funds may be used for the new liner. He went on to discuss a fund raising campaign to construct an aquatic center within the next three to five years. He explained that full restoration of the pools may not be able to occur without matching funds. He discussed Riverside Park and explained that the State has been selecting projects that can be put into use right away. He also discussed park development fees. g. Sun House Museum Museum Director Smith-Ferri advised that, with the exception of PERS and Workman's Compensation, there are no increases in expenditures for the Grace Hudson Museum and Sun House for the next fiscal year. She discussed the possibility of cutting the Museum Curator position, which was discussed during pre-budget discussions. So as not to jeopardize the museum, the Sun House Guild has increased the amount of funding for next year. City Manager Horsley explained that it is a real expression on the part of the Sun House Guild to keep the museum operating and the trust going. The City appreciates their efforts. Museum Director Smith-Ferri went on to discuss the number of visitors at the Museum yearly, both locals and visitors from out of town. She explained that the California Gold television program did segments on places to visit in Ukiah and the Museum was included. Last year Staff participated in joint programs with Mendocino College and an agreement with the Hampton Inn for those coming to Ukiah for that program. The Sun House Guild has contributed a significant amount of money towards the brochures and calendars and they have had a significant impact on visitors. They are currently suggesting a donation from visitors rather than an admission fee. City Manager Horsley discussed the significance between charging a fee and asking for a donation. She directed Director Smith-Ferri to find out what the law is concerning this matter. Councilmember Baldwin discussed utility costs at the Museum and suggested that the Public Benefits Fund could pay for the Museum to install a photovoltaic system. Community Development Director DeKnoblough explained that the City will be installing photovoltaic on all of the City's buildings. Recessed: 12:13 Reconvened: 12:45 Tape 3b h. Municipal Golf Course Community Development Director DeKnoblough discussed the Golf Fund balance and explained that it is difficult to predict the Golf Course revenue and participation. Currently, there is disparity in how the rates are paid. Staff will report back to Council regarding restructuring the fee schedule and possibly increasing the greens fees. He Regular Adjourned Meeting June 29-30, 2004 Page 9 of 16 went on to discuss the impact of the fees on revenue for the Golf Course. He briefly discussed concessions at the Golf Pro Shop, noting that the contract with the Golf Pro will be expiring soon and staff will be looking at options. i. Parking District Customer Service Supervisor Archibald explained that one significant objective for the Parking District is to work with W-Trans for completion of the downtown parking study. City Manager Horsley explained that Staff did not know the precise extent of the study, thus no allocation was listed in the budget. However, $30,000 is available. Councilmember Andersen was of the opinion that, regardless of the study, he hopes the City will discontinue the use of parking meters in the City. He thought there is more revenue in violations or penalties than with parking meters. j. Ukiah Valley Conference Center Community Services Director DeKnoblough discussed promoting community events held at the Conference Center. Staff is also promoting weddings and private parties and there is a lot of revenue potential. The Conference Center still operates with less revenue than expenditures. He explained that $75,000 has been allocated for roof replacement and he discussed the need for Heating Ventilation, and Air Conditioning (HVAC) and carpet replacement. He explained the duties of personnel at the Conference Center and noted that staff is looking at the possibility of restructuring the positions. He went on to discuss the status of coordinating events at the Alex Thomas Plaza. Community Services Supervisor Sangiacomo advised that the cameras in the Plaza are not operational and will be removed. Finance Director Elton explained the money from the sale of the North State Street Fire Station is in a trust fund pending resolution of how the money should be used. A portion of the money is set aside for lease payments for the skate park. He noted that in order to complete proper accounting of the trust fund, there is a need to move the money out of the trust fund. He will provide Council with a list at tomorrow's budget session. Councilmember Andersen stated that he does not want to see money absorbed and that it should be used for specific purposes by putting it into the 699 account. Mayor Larson was of the opinion that nothing should be done with the money until after the November election due to a possible change in the composition of the City Council. vi. PUBLIC SAFETY a. Police Police Chief Williams provided a summary of the Police Department's $3.4 million budget. He noted the budget is very thin and in order to maintain this budget, the City may have to dip into reserve funds, which will carry the Police Department so far without Regular Adjourned Meeting June 29-30, 2004 Page 10 of 16 the passage of the public safety tax measure scheduled for the November election. He noted that the majority of increases to the budget are salaries. Staff recently received authorization to fill one frozen police officer position and the Department will be one person short in the front office due to the Administrative Secretary position being frozen. There is a change to account #250 for psychological services due to the increase cost of exams. He explained that Staff would like to keep a minimal amount of money in the account for a new burglar alarm. He went on to explain how the Department has been involved in an outreach program to promote and recruit potential police officer applicants. Currently, there are four Hispanic bilingual persons very interested in applying with the Department, two of whom are in the extended academy. The Department is in the process of developing a program for all segments of the community to become interested and to provide them with some skills. City Manager Horsley noted that job announcements indicate Spanish speaking preferred. b. Major Crimes Task Force No specific comments. Tape 4a Councilmember Baldwin inquired about medical marijuana growing in the City limits and its affect on the Police Department. Police Chief Williams explained that last year the Department received many calls about people growing marijuana in their back yards and they expressed concern with the smell, public safety, and potential criminal acts by individuals stealing from gardens. Councilmember Baldwin was of the opinion that it is a zoning issue and that it should only be allowed in commercial zones. Police Chief Williams explained the Major Crimes Task Force could provide assistance to the City's Police Department on this matter. c. Police Reserves and Cadets Police Chief Williams advised that the Department has five cadets but only one or two are active. The Department is attempting to focus attention on the cadet and volunteer program which may be used as a supplement to Police Department staffing. d. Supplemental and Local Law Enforcement Police Chief Williams explained that it appears that about $100,000 in grants will be funded again this year. There are three part-time positions paid out of this grant. The grant that was used to pay the Police transcriptionist will not be renewed this year. e. Dispatch Police Chief Williams advised that Dispatch provides services to the Police and Fire Departments as well as other departments of the City, such as Public Works. There is Regular Adjourned Meeting June 29-30, 2004 Page 11 of 16 1098Xtw not much of a change from last year's budget. Upon questioning by Councilmember Baldwin, Chief Williams briefly discussed the process for calling for helicopter assistance and coordinating it with the Highway Patrol. He commended REACH CALSTAR and noted that when they heard about Police Officer Young's incident at Wal-Mart, they turned around and came back to assist. f. Fire g. Fire Volunteers/Explorers Fire Chief Latipow advised that during the past fiscal year the Fire Department developed a complete inventory and replacement schedule for all capital equipment. They also established an OSHA compliant Respiratory Protection Program inclusive of a medical exam component. He noted that regardless of whether or not the sales tax in November passes or fails, the Fire Department's budget will need to be revisited. Staff is in the process of reviewing all of the services and fees and the department would like to explore a o-tiered fee structure for residents and non-residents. Some changes have occurred because of the increase in PERS as well as some adjustments within the line items due to tracking methods. Staff has temporarily filled two vacancies and is anticipating filling another vacancy before the end of the year. He discussed fire season and weed abatement and noted that the City has experienced the driest Spring in many years. Should there be a fire due to lack of abatement, the Department will be charging for its response. He also discussed initiating a cost recovery program for false alarms and repeat code violations. He explained that the Department has not purchased a defilibrator with a Federal Emergency Mangement Act (FEMA) grant and noted that in order to qualify for the grant; the Department would need to demonstrate that it would aid the entire valley. The defilibrator may need to be budgeted. vii. MUNICIPAL AIRPORT AND SPECIAL AVIATION Assistant Airport Manager Richey advised that this budget is similar to past budgets and noted that revenue varies depending on income from fuel sales. He discussed items included in account Building and Grounds Maintenance and noted that the Airport Commission has recommended approval this budget. He explained that some of the older hangars are in need of rehabilitation, as well as the administrative building and the flight service building, and the heating system needs to be updated soon. He discussed Contractual Services in the amount of $719,901 for consultant services for implementation of the Airport Improvement grant, such as engineering, bid documents, mailing, and construction. The Airport has received a grant from the FAA and the consultant will assist with engineering of the grant. It was noted that there is a large amount of infrastructure repairs needed. Upon an inquiry by Council, he discussed security at the Airport and explained that there is not 24-hour security available at the Airport but there is security fencing and a locked gate for the fuel trucks. viii. ELECTED AND APPOINTED OFFICIALS a. City Council City Manager Horsley discussed the City Council's budget and noted that the cost of utilities, as shown in account #210, have decreased with the closure of City Hall every other Friday. Supplies have also been reduced. Regular Adjourned Meeting June 29-30, 2004 Page 12 of 16 Risk Manager/Budget Officer Harris advised that the rental of the building has also decreased and this will be the last year of that debt for paying off the Civic Center building. City Manager Horsley explained that the City is looking at a new system for maintenance and Staff will be going out to bid for a new phone system at no additional cost. Councilmember Baldwin was of the opinion that there should be a different stipend for the Mayor than Councilmembers because the Mayor has more responsibility. Mayor Larson was of the opinion that rather than having a direct salary, Council may want to allot an expense account to each Councilmember. b. City Clerk/Elections Deputy City Clerk Ulvila explained that the City Clerk's Department has made great strides in scanning documents into the LaserFiche optical imaging system and this makes research much easier and quicker for Staff. Conference and Training has been reduced this fiscal year. She noted that $15,170 has been allocated towards the November 2004 election. c. City Treasurer No specific comments. d. City Attorney City Manager Horsley advised that the City Attorney's budget has been decreased by $8,000. She discussed the City Attorney's hourly rate. IX. CITY MANAGEMENT AND ADMINISTRATION a. Citv Manager City Manager Horsley advised that there is a reduction in account Conference & Training for her and the Risk Manager positions. There was some discussion concerning the City Manager's salary and how it is shared with her work for the Redevelopment Agency and housing. She noted that a portion of the Executive Assistant position is also included in this account. Councilmember Andersen expressed concern that the Redevelopment Agency budget is devoted to administrative purposes when it could go to housing. b. Personnel/Risk Management No specific comments. c. Administrative Support No specific comments. d. Community Outreach/Public Information Regular Adjourned Meeting June 29-30, 2004 Page 13 of 16 City Manager Horsley discussed youth scholarships, having the City Council meetings televised, equipment for televising the Council meetings, and the City's newsletter. Councilmember Andersen advised that he would like to see a CD burner on the computer used for televising meetings. City Manager Horsley explained that another piece of equipment is required to make televising meetings operational. Staff has been working with the County offices and will purchase equipment with a major equipment purchase by the County to save some money. e. Misc. General Government Risk Manager/Budget Officer Harris explained that this account covers miscellaneous general government expenses, such as the annual League of California Cities membership dues. X. OTHER FUNDS a. Ecluil~ment Reserve b. Civic Center Bond Interest and Redemption c. Special Revenue d. Federal Emergency Shelter Grant e. Community Development Block Grant f. Economic Development Block Grant g. Community Development Commission Risk Manager/Budget Officer Harris explained $21,591 is budgeted for replacement of computers as they fail during the year. Fund 250 is for future maintenance costs for the Civic Center as well as special projects, such as the Riverside Park Implementation project. He noted that Staff is hopeful that the City will receive funding assistance from the Nature Conservancy for Riverside Park. He continued with a review of the Grants Fund for the Federal Emergency Shelter Grant (FESG), and reviewed the Community Development Block Grant accounts with regard to Contractual Services. h. Ec~ui=ment Replacement Risk Manager/Budget Officer Harris explained the replacement of equipment and Fixed Assets. i. Special Projects Reserve Risk Manager/Budget Officer Harris explained the Special Projects Reserve Fund and described the projects. He discussed grant matching funds. There was discussion regarding the use of funds from the sale of the North State Street property (former Fire Station). Discussion also focused on the Smith Street repairs, the Skate Park property lease, Grant Matching Funds: Jobs Housing Balance Grant- Economic Development Coordinator, and Public Works Projects. j. Worker's Compensation Insurance Regular Adjourned Meeting June 29-30, 2004 Page 14 of 16 Risk Manager/Budget Officer Harris noted that the fund balance has been decreasing as Worker's Compensation costs have increased. He continued with a brief discussion of Worker's Compensation claims submitted by employees. Finance Director Elton explained that the City is still reducing the fund balance significantly and noted there will be a $200,000 decrease in this next fiscal year. k. Liability Insurance Risk Manager/Budget Officer Harris explained that the Liability Insurance activities of the City includes premiums, deductibles, and administration costs. 3:05 p.m.' It was the consensus of the City Council to resume discussion of the budget on June 30, 2004 at 3:00 p.m. June 307 2004 RECONVENED: 3:24 p.m. .present: Councilmembers Rodin, Andersen, Smith, Baldwin, and Mayor Larson. City Manager Horsley noted that the City Council adopted a Resolution with regard to the selection of commission members. It was the consensus of the Council to remove the word "Planning Commission" from the Resolution. D. ADOPTION OF RESOLUTION APPROVING CITY OF UKIAH FISCAl YEAR 2003-2004 BUDGET City Manager Horsley noted recommended changes to the budget as discussed by the City Council in the previous session. Future agenda items included a request to investigate the lawsuit for PEG channels and any taxable franchise fees, a discussion of the 699 account and different capital accounts, bike racks, and discussion in July concerning the undergrounding of utilities. Other topics of discussion included fines for violations, appropriate fees for City services, changes to expenditures and revenues and whether to fund a code enforcement position in the Planning Department. It was the consensus of Council to fund a Code Enforcement Officer position in the Community Planning Department and provide the Planning Commission with a stipend amounting to $6,000 per year. City Manager Horsley advised that in talks between Planning Director Stump and the Planning Commission, it was noted that some Commissioners are willing to forgo their stipend. It was also the consensus of Council to approve Training and Conference for the Planning Department in the amount of $4,000 per year, Contractual Services for the hydroelectric plant in the amount of $25,000, and Contractual Services for capital projects in the amount of $25,000, with miscellaneous projects in the Special Projects Department totaling $617,113. Regular Adjourned Meeting June 29-30, 2004 Page 15 of 16 M/S Smith/Andersen adopting Resolution 2004-31, approving the 2004-2005 fiscal year budget for the City of Ukiah as modified to include changes recommended by the City Council, carried by the following roll call vote: AYES: Councilmember Rodin, Andersen, Smith, and Mayor Larson. NOES: Baldwin. ABSTAIN: None. ABSENT: None. There being no further business, the Ukiah City Council meeting was adjourned at 5:05 Marie Ulvila, Deputy City Clerk Regular Adjourned Meeting June 29-30, 2004 Page 16 of 16