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HomeMy WebLinkAboutMin 06-28-00(1)MINUTES OF THE UKIAH CiTY COUNCIL Regular Adjourned Meeting Wednesday, June 28, 2000 The Ukiah City Council met at a Regular Adjourned Meeting on June 28, 2000, 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: Smith, Libby, Baldwin, Ashiku, and Mayor Mastin. Staff present: Customer Service Supervisor Archibald, Public Utilities Director Barnes, Interim Director of Public Works/City Engineer Bertolero, Water/Sewer Operations Superintendent Borecky, Airport Manager Bua, Community Services Director DeKnoblough, Police Sergeant Dewey, Finance Director Elton, Wastewater Treatment Plant Supervisor Gall, Activities/Sports Coordinator Greco, Interim Fire Chief Grebil, Risk Manager/Budget Officer Harris, City Manager Horsley, Acting Fire Chief Hutton, Ukiah Valley Conference Center Manager Jenny, Acting City Attorney Johnson, Purchasing Supervisor Kennedy, MIS Coordinator Klingbeil, Public Works Superintendent Looney, Community Services Supervisor Sangiacomo, Museum Director Smith-Ferri, Interim Planning Director Stump, Police Captain Walker, Police Chief Williams, Executive Assistant Yoast, and City Clerk Ulvila. 2. PLEDGE OF ALLEGIANCE Councilmember Libby led the Pledge of Allegiance. 3. RIGHT TO APPEAL DECISION Mayor Mastin reviewed the appeal process. 4. AUDIENCE COMMENTS ON NON-AGENDA ITEMS No one came forward. 5. PUBLIC HEARING: CONSIDERATION AND ADOPTION OF FISCAL YEAR 2000-2001 BUDGET A. OVERVIEW OF PROPOSED BUDGET BY CITY MANAGER City Manager Horsley advised that the 2000/2001 Fiscal Year Budget contains revenues that slightly exceed expenditures after approximately $500,000 was cut from Department requests in the City Manager's final Budget recommendations. As requested by Council, a list of projects considered non-essential to continued service and yet having a high level of importance to the community, has been provided for Council's review and final decision as to whether the projects should be included in the Final Budget approval. She reported that the City received reimbursement from the State for booking fees paid to the County and also a small, one-time distribution of lost Educational Reimbursement Adjustment Fund (ERAF) monies. Partnerships between the City and Ukiah Main Street Program, the Greater Ukiah Chamber of Commerce, and private businesses, as well as through numerous grant applications, have continued to fund special projects and enhancements that improve the quality of life within the community. She discussed grant funding that has been essential to initiate several projects in the community. She thanked June 28, 2000 Budget Hearings Page 1 of 17 the Budget team and staff for preparation of the Budget and felt it is very well organized. 5B. REVIEW OF GENERAL BUDGET FIGURES i. Summary of Activity or Function and Fund Summary ii. Schedule of Transfers iii. Debt Summary iv. Authorized Personnel v. General Fund Summary, Revenues, and Expenditures Finance Director Elton presented an overview of the budget summaries, revenues, and expenses for all departments. He reviewed bonds and City loans as noted in the Debt Summary. The City's total debt is $33 million and he noted how this balance will be reduced during the year. He explained the listing of Authorized Full-Time Personnel as well as Authorized Temporary, Part-Time and Seasonal Personnel. He continued with an over- all review of the General Fund Summary and reviewed the revenues and expenditures for each fund. He continued with discussion of sales tax and intergovernmental revenue increases and noted the largest increase is in sales taxes. Property taxes, Franchise Fees, and other taxes were also discussed. City Manager Horsley explained that due to the efforts of staff to control expenditures in the Budget, there is a conservative increase in expenditures of 1.1%. Discussion followed concerning the Property Transfer Tax and it was noted by staff that the City Council sets the tax rate. This tax is collected when property is sold. Discussion was also had concerning the amount of money that is projected to be received during the Fiscal Year from grants for all departments. It was noted that in 1999/2000 approximately $350,000 in funds went directly to the Ukiah Community Center, while $900,000 in STIP funds is expected through Mendocino Council of Governments (MCOG). Council will be provided a list of grant funds received for each department throughout the current Fiscal Year. Mayor Mastin referred to the City's 8% Room Occupancy Tax, noting that the County's Occupancy Tax is 10%. He requested that consideration of placing a measure on the ballot to increase the City's tax from 8% to 10% be agendized at a subsequent City Council meeting. This would bring Ukiah to the same percentage rate as surrounding areas of Mendocino County. 5C. REVIEW OF GENERAL FUND/ENTERPRISE FUND ACCOUNTS I. COMMUNITY SERVICES a. General Government Buildin.qs Community Development Director DeKnoblough discussed items included in the General Government Buildings accounts. Included in this Department are such items as capital improvements, carpets, and work space improvements. There was a general reduction in salaries due to one position going to the Public Works Department. He noted that account #699 Reimbursable Credit consists of allocated costs of each department's use of office space with the Civic Center. June 28,2000 Budget Headngs Page 2 of 17 b. Parks Community Development Director DeKnoblough explained staffs primary objective is to increase the quality of maintenance to the City's parks. He noted a past problem with retaining summer help and recruitment during the summer months. A change in Parks personnel was discussed as well as the increase in the number of City owned parks, which in turn increases supplies and maintenance. He also discussed capital expenditures to replace equipment and planning for future replacement of vehicles. He provided an update on the status of a Skateboard Park. There are no funds in the proposed budget for the Skateboard Park because the Skateboard Park Committee intends to raise funds for construction while the City investigates potential sites. The Committee is proposing that the Skateboard Park be a community project and individuals would provide maintenance and policing of the facility. The City would have oversight of the project. He discussed Observatory Park and noted that money is available to include pathways and perimeter landscaping, and stated staff will be obtaining cost estimates for perimeter fencing. The Park should be completed this year. He further discussed security issues concerning the house near the park, and the use of house caretakers who would be responsible for the house, and surrounding grounds. There was also discussion concerning vehicle replacement costs, and fencing and maintenance costs for Riverside Park. c. Park Development Fund Community Development Director DeKnoblough stated it is staffs objective to complete Gardner Park this year and noted the Ukiah Rotary Club's interest in assisting with the design of the Park, donating materials, and volunteering to work on the project. He explained that with the increase in staff this year, the City would be able to complete Orchard Park as well. Councilmember Baldwin expressed interest in increasing funding for park development. Discussion followed concerning funding sources for the Park Development Fund. d. Recreation, Administration e. Recreation, Pro,qrams Community Services Supervisor Sangiacomo discussed the increase in staffing for the next Fiscal Year. There are no proposed increases to supply accounts. Councilmember Baldwin expressed concern with corporate Iogos on City banners and was of the opinion the City should consider reducing the number of days per year for banners to be displayed in the downtown area. Considerable discussion followed among Councilmembers concerning their opinions on banners being displayed in the downtown area. It was noted by some that the current practices are a considerable improvement over previous years, and that banners have improved the image of the community. June 28, 2000 Budget Hearings Page 3 of 17 Community Services Supervisor Sangiacomo advised that banners are reserved for non- profit events. Upon an inquiry by Councilmember Smith concerning a reduction in account #110 Salaries, Mr. Sangiacomo explained that a percentage of his salary would be allocated toward golf activities. He continued with discussion of expansion of Recreational Programs in the City and noted the need to acquire space to conduct recreational activities. Due to the Memorandum of Understanding (MOU) between the City and Ukiah Unified School District, the Montgomery Ward's site on South State Street could provide additional space for activities, with the City having second priority to the School District activities. Currently, the Recreation Programs are 90% self-sufficient. He discussed the Youth Basketball Account, expansion of the Girls Youth Softball Program, Co-Ed Softball may be expanded, and the new T-Ball facility recently built at Oak Manor Park. He continued to detail the Summer Day Camp activities and how staff works with GAIN and the Mendocino County Department of Social Services to assist with scholarships for children. Staff is also investigating an after-school day care program. There was increased interest in Co-Ed Volleyball this year with 17 teams participating. He discussed payment to instructors of recreational activities, classes, and contracted programs. f. Aquatics Community Services Supervisor Sangiacomo explained that the largest expense is account #160, Conference and Training Expense, which includes training for lifeguards. He discussed developing a program to reimburse lifeguards for certification and the shortage of certified lifeguards in the area. There is an increase in Capital Expenditures for the pool liner in the small pool, and he discussed a number of problems with deterioration in the small pool, and associated costs. Staff hopes to acquire further information this year so a decision can be made regarding long-term operation of the facility. He explained that the majority of revenue from the pool is generated from lessons. The City expanded the solar heating system to provide heat to both pools this year. Community Development Director DeKnoblough expressed his gratitude to Gina Greco and Sage Sangiacomo for their work to make the programs successful. He also discussed Ms. Greco's contributions to the Community Services Department and felt that Kathy Kinch is the unsung hero to the Community Development Department because she is responsible for booking reservations at all City facilities and meeting rooms and assisting with registration for recreational activities. g. Grace Hudson/Sun House Museum h. Museum Grant Funds Museum Director Smith-Ferri advised that the proposed Budget is much the same as last year's. Staff will continue to work with the Sun House Guild and the Endowment Board to raise funds for the new addition so that its construction and on-going operating costs will be completely covered. The groundbreaking ceremony is scheduled for August 18, 2000. She discussed progress being made toward the extension of the building. i. Municipal Golf Course June 28, 2000 Budget Hearings Page 4 of 17 Community Development Director DeKnoblough explained that the largest expenditure in the Golf Fund is $40,000 for a mower. There is also an allocation of $5,000 towards a chipper, which will be shared with the Parks Department. He noted that Community Services Supervisor Sangiacomo is taking an increased roll in supervision of the Golf Course. Discussion followed concerning equipment replacement, operation and maintenance expenses, as well as paying off the debt for the back nine holes of the Golf Course. Finance Director Elton discussed the Enterprise Fund being available for purchasing equipment and the concept of percentages of fund balances being reserved for specific projects/equipment. He explained that the Golf Course should be able to generate revenue to cover expenses. j. Ukiah Valley Conference Center Ukiah Valley Conference Center Manager Jenny discussed the $4,000 allocation for advertising and marketing to promote the Conference Center to groups and to off set the 20-hour per week staff position. This will allow staff to pursue the marketing plan for the Conference Center. City Manager Horsley explained that in the past there has been a $30,000 loss in revenue and it is anticipated that this year the projected actual loss will be $5,000. Staff is striving to have a balanced budget in the future. This is the start of the Conference Center's seventh year in operation. Ukiah Valley Conference Center Manager Jenny discussed marketing guidelines for the Conference Center, which will include exposure on the Internet, a Web Page, advertising, and speaking with various associations to coordinate an educational program that would benefit groups both inside and outside the City. Discussion of an option to provide a wedding consultant for receptions was addressed. Staff also plans to make some of the smaller rooms available to non-profit organizations and other associations to use on short notice, and the rates will be negotiable based on availability. Recessed: 9:50 a.m. Reconvened: 10:06 a.m. II. MUNICIPAL AIRPORT AND SPECIAL AVIATION Airport Manager Bua discussed account #305, Building and Grounds Maintenance, and proposes an allocation of $27,100 for weed/landscape control, slurry seal hanger area, repaving driveways and entrances, directory signage (rebudgeted from 1999/2000 budget), sprinklers and timers on landscape bank and lawn, and repair of access roads along the perimeter of the Airport, corporation yard and around the fuel tank. Staff is also requesting $49,000 in account #800 Machinery and Equipment, for replacement (refurbished vehicle) of a 20-year-old jet fuel truck, and a maintenance vehicle in the amount of $4,000. He discussed fuel truck capabilities, projected fuel costs and sales, and CDF air tankers being replaced with quieter engines. There was also discussion of the Airport purchasing a used June 28, 2000 Budget Hearings Page 5 of 17 mower. City Manager Horsley noted the City has contracted for aerial photos of the Ukiah Valley. She also reported that the Fire Department has stated they will not burn at the Airport in the future due to the smoke factor. III. PUBLIC WORKS a. En.qineerin.q and Administration Interim Director of Public Works/City Engineer Bertolero explained that the General Fund portion of the Public Works budget has been reduced by $10,000. With the exception of Salaries, the Public Works budget is the same as last year. He discussed his position as interim Public Works Director/City Engineer being contractual. Discussion followed concerning the Engineering Department's goal to perform construction inspection and contract administration, once agreements with the County of Mendocino are approved for the extension of Orchard Avenue and construction of Orr Creek Bridge. Cost estimates for design and construction were outlined. He advised that staff would continue to develop and implement a Geographic Information System (GIS) containing infrastructure inventory and rights-of-way information. Aerial photographs of the Ukiah Valley have been taken. He further discussed costs for each department with regard to implementation of the City-wide GIS project. He discussed the goal of coordinating the design and contract document preparation for the traffic signal replacement and intersection improvements at State and Gobbi Streets, as well as the Oak Manor/Gobbi/Babcock intersection reconstruction. He further discussed some of the items that were removed from the proposed budget, such as repairs to Mendocino Place and traffic loops on State Street. b. Street Maintenance Public Works Superintendent Looney explained street repair projects and preventive maintenance programs to replace failing asphalt. He discussed storm drainage failure on Mendocino Place and the need to replace it before the underground structure collapses. Discussion followed concerning the composition of the pipe and replacement costs. Interim Director of Public Works/City Engineer Bertolero discussed Contractual Services for street striping, storm drain repair at Yokayo School, continued storm drain survey to develop a citywide storm drainage master plan, and reflective raised pavement markers on State Street. He explained that account #711 Contribution to Capital Fund, establishes a replacement set aside fund for department equipment and vehicles. There is a need to replace the controller for the signalization at the intersection of North State Street and Empire Drive. He further discussed staffing changes to allow for two crews. c. Corporation Yard Interim Director of Public Works/City Engineer Bertolero discussed the reduction of $20,000 for installation of an aboveground tank for diesel fuel that is no longer needed. d. Brid.qe Fund Interim Director of Public Works/City Engineer Bertolero explained that the Bridge Fund June 28, 2000 Budget Hearings Page 6 of 17 is to cover design and construction costs of the Orr Creek Bridget at Orchard Avenue. It was noted by staff that construction of the project would depend on negotiations between the City and Mendocino County. The project is budgeted in anticipation that construction may begin this fiscal year. e. Gas Tax and Construction Proiects Interim Director of Public Works/City Engineer Bertolero explained that the City would receive approximately $300,000 this year for street related projects. He discussed the projects slated for next year and possible funding from MCOG. Discussion followed concerning account #303-9635-250 Contractual Services, related to Standley Street for surveying a portion of the street to determine right-of-way definition. f. Municipal Garage Interim Director of Public Works/City Engineer Bertolero explained that a goal for the coming year is to review procedures for integrating the Public Safety repair facility with the Public Works Garage. Discussion followed concerning the disposition of the North State Street Fire Station. g. Solid Waste Disposal Site Interim Director of Public Works/City Engineer Bertolero announced that it is projected there are enough funds to close the Ukiah Landfill and conduct the required long term monitoring. Finance Director Elton discussed the Summary of Combined Disposal Site Funds and the Disposal Site Operations Fund. He also discussed amortization, as noted in the Closure Reserve Funds. h. Refuse/Debris Control Interim Director of Public Works/City Engineer Bertolero discussed street cleaning and leaf and tree removal. Staff is requesting $17,000 for replacement of the street sweeper. IV. FINANCE Finance Director Elton discussed the various components of the Finance Department and noted that technology is still a focus of the Department. He further discussed personnel matters. He advised that the budget is approximately the same as last year except the projected actual expenses are lower than budgeted. Discussion followed concerning the decrease in percentage for Public Employee Retirement System (PERS) contributions this year, although the City's portion remains the same. a. Finance and Accountinq Finance Director Elton discussed Operations and Maintenance accounts with regard to equipment replacement. He explained that new billing software scheduled to be purchased in the upcoming fiscal year would allow staff to provide more current information on accounts. Further research is needed before the purchase comes before Council for approval. Cost estimates for the software were discussed. June 28, 2000 Budget Hearings Page 7 of 17 b. Information Technolo,qy Finance Director Elton advised that a part time employee has been added to assist MIS Coordinator Klingbeil in servicing the PCs, installing hardware and software, and working with the new wide area network for the City. c. Downtown Business Improvement District Finance Director Elton advised that this fund accounts for the monies received from the addition to the Business License Fee imposed upon themselves by the businesses within the Downtown Business and Parking Improvement District. d. Purchasin.q Finance Director Elton discussed purchasing charges levied against other funds. It was noted that total revenue from Enterprise Funds is lower than the total expenditures. Purchasing is considered an Internal Service Fund because it provides a service to other departments. Purchasing Supervisor Kennedy explained that normally the City auctions surplus property once every year or two. She discussed this procedure, noting that the City has found it less expensive to hire an auctioneer. Revenue from the auction goes into General Fund Revenue. Council approves the list of surplus property prior to the auction. e. Billin.q and Collection Finance Director Elton discussed billing and collection as a responsibility of the Finance Department with regard to water, sewer, electric, parking permits, Airport hangars, Landfill, Business Licenses, and parking citations. Customer Service Supervisor Archibald distributed a memo to Council reporting on the C.A.R.E.S. program of the Public Benefits Fund. She described the functions of the program. Staff will continue to expand the marketing program, which includes posting flyers, providing informational packets and applications at various community agencies. The monthly utility statements have also been revised to provide information about the programs in both English and Spanish. The City of Ukiah's program has assisted 363 qualified households with total expenditures of $75,582.28 through the month of May. Recessed: 11:36 a.m. Reconvened: 11:50 a.m. V. PUBLIC SAFETY a. Police Police Chief Williams advised the major increase in the budget relates to salaries for officers and clerical positions and he discussed personnel matters. There is also an increase in Operations and Maintenance Expense that includes training for personnel and copier expenses. There is a decrease in the cost for contractual services. Last year the Police Department began planning the process for implementing a patrol vehicle audio/video recording system. This year the system will be finalized, which is the result of June 28,2000 Budget Hearings Page 8 of 17 saving grants over a three-year period. Upon an inquiry by Councilmember Baldwin, Chief Williams explained the situation with the Community Oriented Policing (COPS) position that was eliminated. He further discussed the duties of the officer stationed at Ukiah High School and felt it is a good use of the officer's time. This officer also works at Pomolita School and has proven a great resource to the students and community. Considerable discussion followed concerning working with various schools and it was noted there are funds available for the School District to assist the Police Department with the school-policing program. b. Abandoned Vehicle Abatement Police Chief Williams discussed the program whereby the state reimburses cities for abandoned vehicles. A part time person had been hired during the past several years to deal with this problem and the City will continue to receive reimbursement for those activities. Upon an inquiry by Councilmember Libby concerning the storage of confiscated vehicles at the Airport, Chief Williams advised they are in the process of having vehicles removed from the Airport but at times they are tied up in the legal process. Some vehicles are auctioned, while others are held in storage facilities. c. Major Crimes Task Force Police Chief Williams explained that the City participates with Mendocino County and the California Highway Patrol in the Major Crimes Task Force. Police Officers participating in this program receive a 5% pay adjustment. By participating in the Task Force, the City obtains services such as being able to call in state resources when taking over a narcotics lab and associated cleanup costs. The City receives assistance with search warrants, traffic control, and other types of assistance that can drain local resources. The City also receives a share of the asset forfeiture monies. Police Captain Walker further noted that drugs have an indirect affect on crime within the City limits. He estimated it would cost a minimal of $100,000 to clean up a drug lab. d. Police Reserves and Cadets Police Chief Williams advised that the department maintains reserves of students and there is an increase in Conference and Training Expense for the upcoming year. The state mandates all Reserve Officers receive 24 hours of training. Some of the services the Reserves provide are traffic control for parades and security at the fairgrounds during the Fourth of July celebration. He noted the purchase of two replacement vests for the Reserve Officers and explained the Department attempts to replace vests every five years. This current year, the Department purchased 17 vests and was reimbursed by the federal government for half the cost. He further discussed state training requirements for Reserve Officers and also noted the Department currently has four Cadets, with three more being processed. e. Supplemental Law Enforcement, Community Oriented Policinq, and Local Law Enforcement Police Chief Williams discussed grant revenue and noted that staff will present to Council June 28, 2000 Budget Hearings Page 9 of 17 in a few months, the expenditures incurred through the block grant program to provide the in-car video system. Grant funding for the COPS is drawing to a close. The Department hired two officers with this grant and both positions will expire this coming year. Staff proposes to fund 1.5 positions and that the second position will continue to be funded through the General Fund. They had three authorized positions but only filled two. He noted that if the second position were retained, it would provide the Department with more flexibility to meet the needs of the community. Considerable discussion followed concerning the COPS positions and the variety of community issues they are involved with. There was also discussion concerning providing security for the City's parks, but it was noted by staff there are more economical methods that could be used. City Manager Horsley explained that on an annual basis, the grant pays for both COPS officers through November 2000. The $30,000 requested by staff is only for salary and uniform allowance and excludes other costs involved. Staff is recommending one additional police officer position for the COPS program. For two additional officers, it is estimated that the cost would be $100,000 per year out of the General fund. Finance Director Elton discussed the COPS-School Based Partnership with Council and noted the project is 100% grant funded. Police Chief Williams explained that Dispatch is currently staffed by six individuals and utilizes both Police and Fire operations and maintenance. He discussed the software maintenance contract, radio service contract, and tape recording services. The Parking District is an Enterprise Fund operated in coordination with Community Services and the Finance Department. Upon an inquiry by Councilmember Baldwin concerning the K-9 unit, Chief Williams stated they are very valuable and effective. At the present time there are two K-9 units that are tremendous assets to the Department. City Manager Horsley noted that through the Public Benefits Charge, renewal and development of other sources of energy, the Utilities Department has agreed to purchase an electric powered vehicle for Parking District use in the downtown area as part of a pilot program for the City. f. Fire g. Fire Emer.qency Services Reimbursement h. Fire Volunteers/Explorers i. Parkinq District j. Dispatch City Manager Horsley distributed information to Council concerning medical dispatching. Interim Fire Chief Grebil discussed personnel changes in the Fire Department with an increase in wages and benefits. He requested full funding of $20,000 for the Firefighters Apprentice Program and noted it was one of the items removed from the budget by the City June 28, 2000 Budget Headngs Page 10 of 17 Manager. Acting Fire Chief Hutton explained how the Firefighters Apprentice Program is beneficial to the Department, noting that the apprentices helped the Department to meet OSHA standards of having four fighfighters in place. The Department is requesting full funding for three positions, one for each of the three shifts. There are currently two Apprentice Firefighters employed with the City. City Manager Horsley explained that last year three part-time positions were approved. She advised that she removed 100% funding from the budget after consideration of other service options and the possible merger with the Ukiah Valley Fire Protection District. She noted that she will meet with the Fire and Finance Departments after the Budget Hearings to further discuss the Fire Department's recommendations. Discussion followed as to how the Apprentice positions differ from the standard firefighter positions. Wages and years of training were also explained. There was also discussion of the objective to replace the 10-year-old heart monitor defibrillators at a cost of $12,000. Acting Fire Chief Hutton recommended adoption of the Emergency Medical Dispatching (EMD) system and Fire Policy and Procedures training for Dispatch staff. He further detailed how the EMD is utilized. He discussed insurance and ambulance service reimbursable billing. The cost associated with training of three of the dispatch stations is $7,000. The program can be easily integrated with the current system and will be ready for operation once the software is purchased. Discussion followed concerning impacts of consolidating fire services for the Ukiah valley. Certification of dispatchers was recommended by staff, with a one day refresher course on medial dispatching, changes to medical triage, and fire related issues. Recessed: 1:17 p.m. Reconvened: '1:50 p.m. VI. PUBLIC UTILITIES a. Electric b. Street LiQhtina c. Electric Public Benefit d. Traffic Si,qnals Public Utilities Director Barnes advised there is a reduction in the Electric Fund expenditures due to the cost to purchase power. He discussed specific items related to the Lake Mendocino Hydro Plant that shows a $75,000 balance due to the replacement of a plate, and presented an update concerning the timeframe for its replacement. He noted interest by the Army Corps of Engineers to be present during the replacement process. He discussed the Northern California Power Authority (NCPA) as well as National Marine Fisheries Service involvement in the project. He advised no major street lighting projects are planned for the coming year. He noted that NCPA advised him of some needed work at the Geysers for steam fieldwork this year and there would be a reduction of our power costs June 28, 2000 Budget Headngs Page 11 of 17 and revenue requirements. He further discussed the Public Benefits Fund. Mr. Barnes advised there is an increase in the Traffic Signals Fund to replace some of the electronic controllers. Mr. Barnes presented an update on the Rate Stabilization Fund and noted he iswaiting for word after the Public Utilities Commission (PUC) hearings concerning P.G.&E.'s revenue requirements. He further discussed market rates and the pay down may be faster by the year 2003. He advised that staff is approaching the matter very conservatively and that much depends on legislation. Discussion followed concerning Franchise Fees, account ~31, in the Inter-Departmental Expenses. Customer Service Supervisor Archibald advised that staff was able to obtain some information from the 1990 census and hopes to obtain more from this year's census. She estimated there are approximately 1,500 potentially eligible individuals within the City needing assistance with the utility bills. Currently, the City is serving 365 households with the C.A.R.E.S. program. It was noted by staff that it took considerably more time than expected to obtain data related to poverty levels. Councilmember Baldwin recommended increasing the income level for the C.A.R.E.S. program for a six-month period and then re-evaluate the information at that time. Considerable discussion followed concerning the C.A.R.E.S. program with regard to increasing the income level requirement and monitoring the program. An alternative program, such as replacement of hot water heaters, was addressed. Public Utilities Director Barnes discussed new alternative generation, energy conservation, Iow-income assistance, and research. e. Water Public Utilities Director Barnes discussed the Water Fund and noted a decrease in expenditures and net income. He discussed expanding the water treatment plant at an estimated cost of $3-4 million, and further discussed the water distribution system. Projects proposed include water main replacements (including fire hydrants and services), various system improvements, and well improvements. Finance Director Elton discussed water capital improvement projects and funding sources. He noted there is over $900,000 in the fund, which has been accumulating with the intention it be used for major treatment plant improvements. He advised there are also some funds set aside for sewer plant improvements; that fund has an approximate $1 million balance. Discussion followed among Council and staff concerning transferring funds to pay for needed improvements. VII. PLANNING June 28, 2000 Budget Hearings Page 12 of 17 Interim Planning Director Stump advised that both the Planning and Building Department budgets are the same as the previous year with the exception of salary for the new Planning Director. With the recent retirement of Planning Director Sawyer, Mr. Stump has been promoted to that position. Plans are to hire another Associate Planner rather than a Senior Planner for the Department. Staff is requesting $28,000 be allocated for consultants to prepare the enhancement plan for Doolin Creek and graphics for the Design Guidelines, a LAFCO application for a Sphere of Influence amendment, and a Master Service Element. There is a possibility that some of this work can be accomplished in-house. Completion of the Design Review Guidelines will be combined with the existing Downtown Guidelines. He discussed major projects including the Orchard Avenue/Orr Creek Bridge and working with the County concerning a Request for Proposals to hire an analyst for the project, which the City will pay half. This item was not included in the budget since the amount is unknown at this time. Councilmember Baldwin recommended setting aside $5,000 for an Open Space, Creek, and Pathway Commission. He felt the Parks, Recreation, and Golf Commission cannot adequately address the need for open space and pathways in the Ukiah area. He inquired of staff regarding the formation of such a committee and impacts on staff with regard to attendance at meetings, etc. He also recommended setting aside $100 per month as a stipend for Planning Commissioners. Interim Planning Director Stump advised that such a committee would affect both the Planning and Community Services Departments. VIII. ELECTED AND APPOINTED OFFICIALS a. City Council City Manager Horsley briefly discussed the funds allocated for the City Council to attend the League of California Cities' meetings, employees picnic, the Mayor's reception, as well as Conference and Training. b. City Clerk City Clerk Ulvila discussed the goals and objectives for the next Fiscal Year. discussed records retention and the transfer of records to the storage facilities. She c. City Treasurer. City Manager Horsley advised that the budget is much the same as last years'. d. City Attomey City Manager Horsley noted a Memo from the City Attorney requesting his rate be increased to $125 per hour. She explained that the City is billed every month and she reviews the bills. There is a separate fee for litigation matters. Discussion followed concerning the City Attorney's fees. IX. OTHER FUNDS a. Civic Center Bond Interest and Redemption Finance Director Elton advised that this fund accounts for the monies to make the annual June 28, 2000 Budget Hearings Page 13 of 17 payments for the bond secured in the mid 1980's to purchase the property and construct the Civic Center. All departments in the building pay into this account. The bond will be paid off in the year 2025. b. Special Revenue Finance Director Elton explained that the intent of this fund is to record special activities received from external sources. Some expenditures include Bike/Pedestrian Plan Implementation, Riverside Park Study/Implementation, Train Depot Traffic Study, Perkins Street Reconstruction, TEA Grant projects, and the Gobbi/State Street Signal Replacement. He noted that the TEA Grant projects require some matching funds. He stated the correct number for TEA project transfers should be $109,000. c. FESG Risk Manager/Budget Officer Harris explained that the current program is funded through September 2000 and at this time did not know if the City would receive another two-year grant that has been applied for. The City receives a 2% administration fee. He noted these are statewide competitive grants and the City contracts with the Ukiah Community Center (UCC) and Ford Street Project to provide the funded service. d. CDBG Risk Manager/Budget Officer Harris explained the current Planning and Technical Assistance Grant for the Airport Business Park that was approved this year. Department 4707 includes the remaining funds allocated towards the purchase of the property by UCC for their new facility. e. Economic Development Block Grant Risk Manager/Budget Officer Harris explained this expenses, as well as loans. account details revenue and f. Community Development Commission Risk Manager/Budget Officer Harris explained that this fund accounts for monies paid to the City for Iow and moderate-income housing rehabilitation loans established through a Community Development Block Grant (CDBG) program and the use of the money must be for Iow and moderate-income housing or economic development. He discussed the First Time Home Buyers Program being administered by the Community Development Commission. g. Equipment Replacement Risk Manager/Budget Officer Harris explained that revenue goes into this fund for the purchase of equipment by General Fund Departments. He discussed construction of a new storage facility and reroofing expenses associated with the Civic Center. There was discussion of why some equipment is listed in this fund and other line items of particular department budgets. It was noted that some departments have specifically budgeted for equipment replacement and have set aside funds for future purchases. h. Worker's Compensation Insurance June 28, 2000 Budget Hearings Page 14 of 17 Finance Director Elton explained that the 910 and 920 Funds account for the insurance activities of the City including premiums, deductibles, administration costs, and other related items. This year, premiums paid to REMIF through Payroll and the fund balance will be used to make up the difference. There is a net loss for the year, which he reviewed. He noted the amount expensed through payroll is not enough to cover the premiums. i. Liability Insurance Finance Director Elton explained that the only revenue received is reimbursement from liability insurance refund and since it is uncertain what the precise amount will be, revenue is not budgeted. X. CITY MANAGEMENT AND ADMINISTRATION a. City Mana.qer b. Personnel/Risk Mana.qement c. Administrative Support City Manager Horsley advised that there are nominal changes to the City Manager's budget this year. She noted a $5,000 expense in Administrative Support to replace the small copier in the front office. Upon an inquiry by Mayor Mastin concerning why recycling education and Community Pride Week are classified under Risk Management, Ms. Horsley explained that the previous Personnel Director over saw those functions and they have been rotated among various department. Staff is leaving these costs in this department until the function stays with one department. d. Community Outreach/Public Information City Manager Horsley discussed items listed in account #651 Advertising and Promotion, noting that requests such as Councilmember Libby's for a Memorial Day Banner of $100, and Council's request for a Community Survey in the amount of $600, could be included in this account. Discussion followed as to the content of questions asked in the Community Survey. Laura Golino De Lovota, Executive Director of the Ukiah Community Center (UCC), recommended continued funding for the Ukiah Community Center. She discussed the needs of her clients, applying for a Federal Emergency Shelter Grant (FESG), and purchasing their building. The funds allocated towards UCC are important so they are able to provide continued services to their clients. e. Miscellaneous General Government City Manager Horsley discussed various charges for dues and memberships. Recessed: 3:35 p.m. Reconvened: 3:45 p.m. DISCUSSION SESSION. There was discussion by Council and staff concerning the list of items taken out of the budget by staff. By a Consensus vote of Council, the following items were included in the June 28, 2000 Budget Hearings Page 15 of 17 Budget: Street Department: Account 100.3110.250.000 in the amount of $100,000, and Account 100.3110.711.000 in the amount of $61,800 Additional discussion followed concerning Councilmembers recommendations for funding allocations to be included in the budget. Motion Baldwin that $3,000 be included in the Budget to allow for $25 per meeting for a Planning Commission stipend, failed for lack of a second. Discussion followed concerning Councilmember Baldwin's motion concerning a Planning Commission stipend, the number of hours devoted by the Planning Commissioners to projects in the community, and allocation in the Planning Department budget for training in the amount of $7,000. Some Councilmembers were of the opinion that consideration should also be given to other City commissions/committees and their volunteer work. Council stressed the importance of all commissions/committees devoting their time to the community. Councilmember Ashiku stated that he is supportive of Councilmember Baldwin's request if Council would consent to a corresponding reduction in the City Council's monthly pay. Recessed: 4:22 p.m. (To the Joint Meeting of the City of Ukiah City Council and Ukiah Valley Sanitation District.) Reconvened: 4:38 p.m. Councilmember Baldwin recommended an increase in the eligibility standards for the Ukiah C.A.R.E.S. program. Discussion followed concerning this matter, with the Consensus of Council in agreement that the standards should be increased, however, they preferred to revisit the matter after the marketing program has been in effect for at least six months so as to obtain more data and analysis. Council directed staff to research other eligible program elements, such as the hot water heater program. Motion Baldwin to increase the Planning Department budget by $2,500 for the establishment of an Open Space and Creek Commission and for the funds to be allocated to the establishment of the Commission and for staff time for minutes and other related matters, failed for lack of second. Discussion followed concerning ways in which minutes can be taken, such as in the form of notes. Considerable discussion followed concerning the elements the proposed Commission would address, such as green space, open space, creeks, and pathways for trails and bikeways. Interim Planning Director Stump discussed open space and conservation that was reviewed when the General Plan was adopted. He also discussed the merger of the Golf Commission with the Parks and Recreation Commission. He explained that Ukiah is a June 28, 2000 Budget Hearings Page 16 of 17 community rapidly reaching build-out and there are not many open space opportunities within the City. Consensus of Council directed Interim Planning Director Stump to look at the Open Space element of the General Plan and provide Council with an updated report as well as the feasibility of establishing a commission, as proposed by Councilmember Baldwin. Mayor Mastin recommended $700 be included in the budget: $600 for a Community Survey and $100 for a Memorial Day banner. Consensus of Council approved the recommendation. Considerable discussion followed with regard to increasing the funding to Community Based Organizations from $25,000 to $30,000. Consensus of Council approved a $30,000 allocation to Community Based Organizations, and that there be two funding cycles, one to begin in July 2000 and the other in January 2001. Councilmember Baldwin discussed wage scales for non-profit organizations and the possible need to obtain information concerning wages for these organizations. There was discussion of instituting a scholarship program for recreational activities. Sponsorship of recreational programs was also discussed, with Consensus of Council approving $5,000 towards a scholarship fund for recreational programs. MIS AshikulSmith adopting Resolution No.2000-48, Adopting the 2000-2001 Fiscal Year Budget, as submitted with amendments, carried by the following roll call vote: AYES: Councilmembers Smith, Libby, Baldwin, Ashiku, and Chairman Mastin. NOES: None. ABSTAIN: None. ABSENT: None. Council thanked staff for their work on the budget. 6. ADJOURNMENT T~.~ being no further business the meeting was adjourned at 5:20 p.m. Marie Ulvila, City Clerk June 28, 2000 Budget Hearings Page 17 of 17