2013-10-15 City Council MinutesMINUTES OF THE REGULAR CITY COUNCIL MEETING OF THE
CITY OF VERNON HELD TUESDAY, OCTOBER 15, 2013, IN THE
COUNCIL CHAMBER OF THE CITY HALL LOCATED AT 4305 SANTA
FE AVENUE, VERNON, CALIFORNIA
MEMBERS PRESENT: McCormick, Davis, Maisano, Ybarra, Martinez
MEMBERS ABSENT: None
The meeting was called to order at 9:00 a.m. by Mayor McCormick.
Fire Chief Michael Wilson led the flag salute.
CHANGES TO THE AGENDA
Interim City Clerk Dana Reed announced that there are no changes
to the agenda.
PUBLIC COMMENT
Interim City Clerk Dana Reed announced that this was the time
allotted for public comment. Mayor McCormick inquired whether
anyone in the audience wished to address the City Council.
Independent Reform Monitor John Van de Kamp commended the City
for their acknowledgement and support of Breast Cancer Awareness
Month.
He urged the City Council and Staff to use the microphones as it
is beneficial for the audience to be able to hear the exchange
and discussions amongst the staff and Councilmembers.
PRESENTATIONS
1. Personnel Matters - Service Pin Awards
Mayor McCormick presented the service pin to Assistant to City
Administrator Alex Kung for his five years of service.
2. Presentation from the City of Huntington Park on the
status of the Soccer Field Project at Salt Lake Park.
Huntington Park City Manager Rene Bobadilla thanked the City
Council for their contributions to the soccer field project at
Salt Lake Park, and thanked City Administrator Mark Whitworth
for his collaboration.
Director of Public Works/City Engineer James Enriquez also
thanked the City as the project is important to Huntington Park
and the surrounding communities. The project focuses on the
soccer circle, which is currently in poor condition. Enriquez
presented on the site plans. He noted that its heavy use
throughout the year prevents natural turf; artificial turf will
be installed as part of the update.
Enriquez advised that modifications to the original plans were
made to accommodate users based on suggestions from the public.
Project costs were presented, itemizing the City’s two
contributions.
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October 15, 2013
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Enriquez outlined on the project schedule and the challenges
that arose with the draining system. The projected completion
date is anticipated to be May 1, 2014.
Councilmember Ybarra is pleased that public input was part of
the process, and with the project plans as he and his family
have used the facility for many years.
Bobadilla advised that outreach and stakeholder input was an
important part of the process which occupied two-three months of
the process, but was a contributor to the delay.
3. Presentations from the Community Services & Water
Department and Fire Department on their respective pages
of the new City website.
Director of Community Services and Water Kevin Wilson presented
his Department’s pages which included the Building, Planning,
and Public Works divisions. He thanked Anthony Zarate and
Claudia Arellano of his staff for their work on the respective
pages.
Fire Chief Michael Wilson presented the Fire Department’s pages.
He noted that much of the site had been developed by former Fire
Marshall Jed Hulsey.
In response to Councilmember Ybarra’s inquiry on the fire
investigations link, Wilson clarified that the link provides
general information; information on a specific incident will
have to be obtained through a Public Records Act request.
PUBLIC HEARINGS
1. Public hearing to consider evidence to establish Vernon’s
new Transmission Revenue Balancing Account Adjustment
(“TRBAA”) for its high voltage (over 200kV) transmission
entitlements (all located outside the City) pursuant to
Vernon’s Transmission Owner Tariff:
Director of Light and Power Carlos Fandino provided the
background information advising that the City is a Participating
Transmission Owner (“PTO”) in the California Independent System
Operator Corporation. This relationship is governed by the
Transmission Control Agreement which requires PTOs to file a
Transmission Owner Tariff with the Federal Energy Regulatory
Commission. Pursuant to this Tariff, the Transmission Revenue
Balancing Account Adjustment (“TRBAA”) is updated annually.
Fandino recommends the approval of the new TRBAA.
At 9:47 a.m., Mayor McCormick opened the public hearing. With
no public comment the public hearing on the establishment of the
new Transmission Revenue Balancing Account Adjustment (“TRBAA”)
for its high voltage (over 200kV) transmission entitlements (all
located outside the City) pursuant to Vernon’s Transmission
Owner Tariff was closed at 9:47 a.m.
Resolution No. 2013-86 - A Resolution of the City Council
of the City of Vernon Establishing a Transmission Revenue
Balancing Account Adjustment for 2014 in accordance with
Vernon’s Transmission Owner Tariff and providing for
tariff sheet changes to implement the adjustment
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October 15, 2013
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Recommendation:
(1) Find that the approval of the TRBAA is exempt under
the California Environmental Quality Act (“CEQA”) in
accordance with Section 15061(b)(3), the general rule
that CEQA only applies to projects that may have an
effect on the environment; and
(2) Approve the Resolution establishing a New Transmission
Revenue Balancing Account Adjustment (TRBAA) for 2014
that:
a. Adopts the newly calculated TRBAA of a positive
$13,331; and
b. Adopts the replacement of the existing TRBAA of
negative $34,766 with the new TRBAA for 2014 of a
positive $13,331; and
c. Adopts the attached revised Appendix I of
Vernon’s Transmission Owner Tariff reflecting the
TRBAA of positive $13,331; and
d. Authorizes outside counsel to submit Vernon’s
TRBAA and supporting documentation to FERC on
behalf of the City of Vernon.
It was moved by Davis and seconded by Maisano to approve
Resolution No. 2013-86. Motion carried, 5-0.
2. Public hearing to consider evidence to establish Vernon’s
new Existing Transmission Contract Adjustment for its high
voltage (over 200kV) transmission entitlements (all
located outside the City) pursuant to Vernon’s
Transmission Owner Tariff:
Director of Light and Power Carlos Fandino advised that he had
nothing further to add to his Staff Report which was part of the
agenda packet.
At 9:48 a.m., Mayor McCormick opened the public hearing. With
no public comment the public hearing on the establishment of
Vernon’s new Existing Transmission Contract Adjustment for its
high voltage (over 200kV) transmission entitlements (all located
outside the City) pursuant to Vernon’s Transmission Owner Tariff
was closed at 9:48 a.m.
Resolution No. 2013-87 - A Resolution of the City Council
of the City of Vernon Adopting a new Transmission Revenue
Requirement for 2014 in accordance with Vernon’s
Transmission Owner Tariff and Providing for tariff sheet
changes to implement the adjustment
Recommendation:
(1) Find that the approvals referenced in the resolution
are exempt under the California Environmental Quality
Act (CEQA) in accordance with Section 15061(b)(3), the
general rule that CEQA only applies to projects that
may have an effect on the environment; and
(2) Approve the attached Resolution to thereby:
a. Approve pursuant to the Transmission Owner
Tariff, and to be effective on January 1, 2014,
the establishment of the City’s new Transmission
Revenue Requirement (TRR) and Appendix I to the
TO Tariff implementing the new TRR, as described
in the Light & Power Staff TRR Report dated on or
about October 3, 2013; and
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October 15, 2013
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b. Authorize outside counsel to submit the City’s
TRR, the amended Appendix I to the Vernon TO
Tariff, and supporting documentation such as the
TRR Report, to the Federal Energy Regulatory
Commission (FERC) on behalf of the City of
Vernon.
It was moved by Maisano and seconded by Davis to approve
Resolution No. 2013-87. Motion carried, 5-0.
3. Public hearing on whether to establish a policy to limit
the costs the city may incur in procuring renewable energy
pursuant to the “City of Vernon Renewable Resources
Procurement Plan and Enforcement Program (SBX1 2
Compliance Plan)”:
Director of Light and Power Carlos Fandino reported on a change
to Section B of the Plan. The date on the Vernon Specified
Background should be corrected from October 1, 2013, to October
15, 2013.
At 9:49 a.m., the City Council opened the public hearing. With
no public comments, at 9:49 a.m. the public hearing to establish
a policy to limit the costs the city may incur in procuring
renewable energy pursuant to the “City of Vernon Renewable
Resources Procurement Plan and Enforcement Program (SBX1 2
Compliance Plan)” was closed.
Request for Approval of “City of Vernon Renewable
Resources Procurement Plan and Enforcement Program (SBx1 2
Compliance Plan) Cost Limitation Policy.”
Recommendation:
(1) Find that the approval of the proposed “City of Vernon
Renewable Resources Procurement Plan and Enforcement
Program (SBx1 2 Compliance Plan) Cost Limitation
Policy Renewable Portfolio Standard Cost Limitation
Policy” (the “Cost Limitation Policy”) is exempt from
the California Environmental Quality Act (“CEQA”)
because merely changing a procurement policy is an
“administrative action that will not result in direct
or indirect physical changes in the environment” and
is therefore not a “project.” It is further
recommended that the Council find that even if
adoption of the policy were to constitute a “project”
under CEQA, it would be exempt from CEQA in accordance
with Section 15061(b)(3), the general rule that CEQA
only applies to projects that may have an effect on
the environment, because (a) this policy does not
prevent the City Council from revising the policy in
the future, and therefore does not irrevocably commit
the City Council to specified actions; and (b)
declaring the City’s intent to not purchase certain
commodities in the future if certain hypothetical
events occur at some future date, and replacing them
with unknown other commodities is far too speculative
of an event to have any quantifiable effect or other
effect on the environment that is subject to CEQA; and
(2) Approve the Renewable Portfolio Standard (“RPS”) Cost
Limitation Policy to mitigate the impact of the RPS
requirements of SBx1 2. Consistent with Public
Utilities Code Section 399.15(c), the proposed policy
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October 15, 2013
Page 5 of 18
would cap the city’s procurement of RPS expenses at
19% of its Total net Power Supply Costs, and serve the
purpose of preventing disproportionate rate impacts.
It was moved by Martinez and seconded by Davis to approve the
“City of Vernon Renewable Resources Procurement Plan and
Enforcement Program (SBx1 2 Compliance Plan) Cost Limitation
Policy.” Motion carried, 5-0.
4. Public hearing on approval of a conditional use permit and
variance for Joie Jeans.
Director of Community Services and Water Kevin Wilson explained
the proposed request to convert an existing parking structure
into office space, and use an adjacent lot as a parking area.
The change in the primary use from industrial to commercial
requires a conditional use permit (“CUP”). The variance is to
address the parking requirements. Recommendations are
consistent with the zoning ordinance and general plan. Wilson
explained the variance on the parking requirements and the use
of the ITE Parking Generation Manual as guidance to determine
the requirements consistent with general practice.
Wilson specifically reported on condition “f” of the variance.
At 10:00 a.m., the City Council opened the public hearing on the
conditional use permit and variance for Joie Jeans. It was
subsequently closed as there was no public comment.
Mayor Pro-Tem Davis inquired whether the alley located behind
the property provided adequate fire access. In response, Wilson
advised that the alley does not provide sufficient access, but
that fire access was available from Santa Fe Avenue.
Fire Chief Michael Wilson further confirmed that crews will be
able to fight fires from the street access.
Resolution No. 2013-88 - A Resolution of the City Council
of the City of Vernon Approving a Conditional Use Permit
and Variance for Dutch, LLC (d.b.a. Joie Jeans) to operate
a commercial facility located at 5300 Santa Fe Avenue
Recommendations:
(1) Find that approval of the proposed Conditional Use
Permit and variance are categorically exempt under the
California Environmental Quality Act (CEQA) in
accordance with Guidelines section 15061, the general
rule exempting projects that will not have a
significant effect on the environment and CEQA
Guidelines section 15303, because: (i) no significant
physical changes will occur as a result of this
approval; (ii) the proposed construction converts an
existing 4,765 square foot parking structure into an
office building in an urban area, (iii) the project is
an area where all public services and facilities are
available to allow for maximum development permissible
in the General Plan, (iv) the project does not involve
significant amounts of hazardous substances, and (v)
the area is not in an environmentally sensitive area;
and
(2) Adopt a resolution approving a conditional use permit
and variance to allow Joie Jeans to operate a
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October 15, 2013
Page 6 of 18
commercial facility, subject to the conditions of
approval for the property located at 5300 Santa Fe
Avenue.; and
(3) In accordance with Vernon Municipal Code Section
26.5.1-6, as fully described in the resolution, concur
with the recommendation of the Director of Community
Services in setting the minimum parking and loading
and maneuvering requirement for office uses for this,
and future projects, involving office uses in Vernon:
(1) Automobile Parking: 3 stalls per 1,000 square
feet; (2) Tandem Parking Stalls –up to 1/3 of the
required automobile parking spaces may be provided as
tandem parking spaces if a valet is on site whenever
any vehicle is parked in a tandem parking space and
blocks access to or from another parking space; (3)
Truck Loading – 1 stall per 25,000 square feet, (4)
Truck Parking stalls are not required.
It was moved by Ybarra and seconded by Davis to approve
Resolution No. 2013-88. Motion carried, 5-0.
5. Public hearing on the modification to condition of
approval “f” of the Tentative Parcel Map that was issued
on May 15, 2012 pursuant to Resolution No. 2012-66, which
required Bandini XC to: “have fire hydrants placed every
300-feet along the eastside of Pennignton Way and the
north side of Bandini Boulevard frontage”:
Director of Community Services and Water Kevin Wilson explained
that the property is located in both the City of Bell and the
City of Vernon, but that the majority is within Bell.
The resolution would relieve Bandini XC, LLC of the requirement
placed by Vernon’s Conditional Use Permit related to fire
hydrants as Bell has established similar requirements. The Fire
Department has reviewed the property and approve as adequate
fire prevention is in place.
Fire Chief Michael Wilson further confirmed that there are
sufficient hydrants.
At 10:06 a.m., the City Council opened the public hearing on the
modification to condition of approval “f” of the Tentative
Parcel Map that was issued on May 15, 2012 pursuant to
Resolution No. 2012-66 to Bandini XC, LLC. With no public
comment, at 10:06 a.m., the public hearing was closed.
Resolution No. 2013-89 - A Resolution of the City Council
of the City of Vernon Amending Resolution 2012-66 by
Deleting Subsection F from Section 4 to remove a Condition
of Approval for Tentative Parcel Map No. 71920 for Bandini
XC, LLC, located at 5553 Bandini Boulevard.
Recommendations:
(1) Find that approval of the proposed Tentative Parcel
Map Modification is categorically exempt from the
California Environmental Quality Act (“CEQA”) under
Section 15315, Class 15 “Minor land division of
industrial property into four or fewer parcels”, of
the CEQA Guidelines and Section 15061(b)(3), the
general rule that CEQA applies only to projects that
have the potential for causing a significant effect on
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October 15, 2013
Page 7 of 18
the environment because removing a requirement to
install a limited number of fire hydrants cannot cause
a significant impact on the environment where there is
already more than sufficient fire suppression support
available; and
(2) Adopt the resolution deleting the condition of
approval set forth in Subsection F of Section 4 of
Resolution No. 2012-66. This will allow Bandini XC,
LLC to still subdivide property located at 5553
Bandini Boulevard in conformance with the City’s
subdivision ordinance and Subdivision Map Act, but
remove an otherwise duplicative condition of approval
which requires fire hydrants to be placed in specified
locations.
It was moved by Ybarra and seconded by Maisano to approve
Resolution No. 2013-89. Motion carried, 5-0.
CONSENT CALENDAR
It was moved by Davis and seconded by Martinez to approve the
matters listed on the Consent Calendar as presented. Motion
carried, 5-0.
Claims Against the City (to be received and filed)
1. Claim for Damages received on October 3, 2013, for
claimant Tadin Inc. for an amount of $20,424.32.
Minutes
2. Minutes of the Regular City Council Meeting held September
17, 2013, to be received and filed.
3. Minutes of the Special and Regular City Council Meeting
held October 1, 2013, to be received and filed.
Warrant Registers
4. Ratification of the following City Warrant Registers to
record the following voided checks:
a. Register No. 1376 to record voided Check No. 340317 in
the amount of $87.50; and
b. Register No. 1376 to record voided Check No. 340321 in
the amount of $977.50; and
c. Register No. 1386 to record voided Check No. 342143 in
the amount of $353.78; and
d. Register No. 1386 to record voided Check No. 342141 in
the amount of $84.44; and
e. Register No. 1385 to record voided Check No. 342051 in
the amount of $15,000; and
f. Register no. 1385 to record voided Check No. 341936 in
the amount of $143.00.
5. Approval of City Payroll Warrant Register No. 688,
totaling $2,466,438.34, which covers the period of August
11, 2013, through September 7, 2013, and consists of the
following:
a. Ratification of direct deposits, checks and taxes
totaling $1,833,116.90; and
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October 15, 2013
Page 8 of 18
b. Checks and electronic fund transfers totaling
$633,321.44.
6. Approval of City Warrant Register No. 1387, totaling
$899,711.76, which covers the period of September 24,
2013, through October 7, 2013, and consists of the
following:
a. Ratification of wire transfers totaling $629,241.32;
and
b. Ratification of the issuance of early checks totaling
$173,858.54; and
c. Authorization to issue pending checks totaling
$96,611.90.
7. Approval of Federal Funds Street Improvements Warrant
Register No. 18, totaling $3,120.23, which covers the
period of May 28, 2013 through October 7, 2013, and
consists of ratification of wire transfers for said
amount.
8. Approval of Light & Power Warrant Register No. 352,
totaling $1,875,293.61, which covers the period of
September 24, 2013, through October 7, 2013, and consists
of the following:
a. Ratification of wire transfers totaling $1,809,546.26;
and
b. Ratification of the issuance of early checks totaling
$10,306.46; and
c. Authorization to issue pending checks totaling
$55,440.89.
9. Approval of Gas Warrant Register No. 140, totaling
$2,137,869.47, which covers the period of September 24,
2013, through October 7, 2013, and consists of the
following:
a. Ratification of wire transfers totaling $2,137,074.85;
and
b. Ratification of the issuance of early checks totaling
$794.62.
City Administration
10. Councilmembers’ attendance report to the League of
California Cities Conference from September 18-20, 2013.
11. Councilmembers’ attendance report to the California
Contract Cities Association 33rd Annual Fall Seminar from
October 4-5, 2013.
Fire Department
12. Activity Report for the period of September 16, through
September 30, 2013, to be received and filed.
Health and Environmental Control Department
13. September 2013 Monthly Report, to be received and filed.
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October 15, 2013
Page 9 of 18
Police Department
14. Activity Log and Statistical Summary of Arrest and
Activities for the period of September 16, through
September 30, 2013, to be received and filed.
NEW BUSINESS
Community Services and Water Department
1. Approval of Electrical Easement at 2910 Ross Street
(Dedeaux Properties, LLC).
Recommendation:
(1) Find that approval of the Electrical Easement is
categorically exempt under the California
Environmental Quality Act (“CEQA”) in accordance with
CEQA Guidelines Section 15061(b)(3), the general rule
that CEQA only applies to projects that may have an
effect on the environment; and
(2) Accept the Electrical Easement and authorize the Mayor
and Interim City Clerk to execute said documents; and
(3) Direct the Interim City Clerk, or his designee, to
record the Electrical Easement with the County
Recorder.
Director of Community Services and Water Kevin Wilson advised
that Light and Power Department was in agreement with the
proposed.
It was moved by Maisano and seconded by Davis to approve the
Electrical Easement at 2910 Ross Street. Motion carried, 5-0.
2. Approval of Amendment No. 2 for Engineering Design and
Construction Support Services for Well 21 between the City
of Vernon and Cannon Corporation.
Recommendation:
(1) Find Amendment No. 2, amending the plans and
specifications to reflect the removal of two 20,000
gallon baker tanks, modification of piping details,
the reduction in the size of the pump motor from 300
horsepower to 250 horsepower and related modification
of electrical components and material, and final plan
check; to the existing Service Agreement for
Engineering Design and Construction Support Services
for Well 21 between the City of Vernon and Cannon
Corporation, is exempt under the California
Environmental Quality Act (“CEQA”) in accordance with
Section 15061(b)(3), the general rule that CEQA only
applies to projects that may have an effect on the
environment; and
(2) Authorize the City Administrator to enter into
Amendment No. 2, amending the existing Services
Agreement for Engineering Design and Construction
Support Services for Well 21 between the City of
Vernon and Cannon Corporation. The amendment will be
in a not to exceed amount of $8,050 bringing the grand
total not to exceed amount of the Agreement to
$135,218.
Regular City Council Meeting Minutes
October 15, 2013
Page 10 of 18
Director of Community Services and Water Kevin Wilson explained
that Cannon is working on converting Well 21 from an industrial
use to a drinking water well. Wilson advised that it would be
more appropriate to build a storm drain than two 20,000 gallon
baker tanks to accommodate the flushing of the well. This will
be a cost savings to the City; however, changes to the design
will need to be made.
It was moved by Davis and seconded by Maisano to approve
Amendment No. 2 for Engineering Design and Construction Support
Services for Well 21 with Cannon Corporation. Motion carried,
5-0.
Human Resources Department
3. Resolution No. 2013-90 - A Resolution of the City Council
of the City of Vernon Amending Resolution No. 2013-57
regarding the Compensation, Costs and Benefits of its
Employees (“Citywide Personnel and Salary Resolution”) by
Amending Schedule No. VII (Finance Department) and
Eliminating Schedule No. XVII (Risk Management Department)
of the Citywide Personnel and Salary Resolution (Amendment
No. 2).
Recommendation:
(1) Find that approval of the proposed amendment to the
Citywide Personnel and Salary Resolution No. 2013-57
amending schedule no. VII (Finance Department) and
eliminating schedule no. XVII (Risk Management
Department) is exempt under the California
Environmental Quality Act (“CEQA”) in accordance with
Section 15061(b)(3), the general rule that CEQA only
applies to projects that may have an effect on the
environment; and
(2) Adopt the attached resolution to amend Citywide
Personnel and Salary Resolution No. 2013-57 to amend
Schedule No. VII (Finance Department) and Eliminate
Schedule No. XVII (Risk Management Department) to
revise the updated job classification and salary range
for the Risk Manager and approve the position
allocation change in the Finance Department’s budget.
Director of Human Resources Teresa McAllister advised that the
proposed is a salary change to the Risk Manager. The Finance
Director has identified an organizational need for a full-time
Risk Manager. McAllister reported on the position’s background.
The proposed changes will change the Risk Manager position from
a part-time to full-time position. She clarified that no
additional funds are requested, as the change also includes a
salary reduction.
Director of Finance William Fox is in agreement with the
recommendations. The functions of the Risk Manager are
critical. Fox reported on the various responsibilities and
resent efforts to minimize risk and recoup losses.
It was moved by Maisano and seconded by Ybarra to approve
Resolution No. 2013-90. Motion carried, 5-0.
Regular City Council Meeting Minutes
October 15, 2013
Page 11 of 18
4. Resolution No. 2013-91 - A Resolution of the City Council
of the City of Vernon Approving the Payment of Medical and
Dental Insurance Premiums for Full Time Employees and
Retirees under the Age of 65 and Life Insurance Premiums
for Full Time Employees for the 2014 Calendar Year.
Recommendation:
(1) Find that approval of the proposed resolution
authorizing the payment of the 2014 medical, dental
and life insurance premiums and change from Aetna
medical and dental insurance benefit packages to
Anthem Blue Cross and MetLife dental insurance plans
is exempt under the California Environmental Quality
Act (“CEQA”) in accordance with Section 15061(b)(3),
the general rule that CEQA only applies to projects
that may have an effect on the environment; and
(2) Approve and adopt the resolution authorizing the
payment of medical, dental and life insurance premiums
for calendar year 2014 and the change from Aetna
medical and dental insurance benefit packages to
Anthem Blue Cross and MetLife dental insurance plans
for full time employees and retirees under the age of
65 at an approximate annual premium cost of $3,537,284
for medical and dental premiums, and $186,000 for HSA
contributions for employees enrolled under the HSA PPO
Medical plan. The resolution also proposes to change
the Life Insurance carrier from Lincoln Financial to
Mutual of Omaha; the approximate annual cost for Life
Insurance premiums for full time employees is $5,578.
Account Executive Kim Hauk at Alliant Employee Benefits
(“Alliant”) reported on Alliant’s history and the City Council’s
approval for their services. Hauk reported on the health
benefits process.
Quotes from Aetna and Anthem Blue Cross and Marketplace for the
medical coverage as well as recommendations on providers for the
dental and life insurance policies were presented.
City Administrator Mark Whitworth inquired whether Aetna’s last
minute changes to their quotes were incorporated into the
presentation and inquired whether the revised quotes changed
staff’s recommendations.
In response, Director of Human Resources Teresa McAllister
confirmed that the new revised quotes from Aetna were
incorporated and the recommendations remain the same. She
confirmed for Whitworth that the City would see a cost savings
by going with Anthem Blue Cross for medical benefits.
Additionally, the Employee Benefits Committee is in agreement
with the proposed.
In response to Councilmember Ybarra, McAllister confirmed and
explained the enhancements to the medical coverage for the
proposed.
In response to Independent Reform Monitor John Van de Kamp,
McAllister confirmed that the proposed will have a cost savings
not only to the City, but to the employees as well.
It was moved by Ybarra and seconded by Davis to approve
Resolution No. 2013-91. Motion carried, 5-0.
Regular City Council Meeting Minutes
October 15, 2013
Page 12 of 18
Light and Power Department
5. Request Approval of the Purchase of Seven (7) EDEN
Software Modules.
Recommendation:
(1) Find that the requested approval is exempt under the
California Environmental Quality Act (“CEQA”) in
accordance with Section 15061(b)(3), the general rule
that CEQA only applies to projects that may have an
effect on the environment; and
(2) Approve the purchase of seven (7) EDEN software
modules designed to enhance the City’s existing
technology platform which provides essential financial
and asset management tools for City personnel for an
amount not to exceed $174,812, and as exempt from
competitive bidding (Vernon Municipal Code, Section
2.17.12(A)(2)(sole source) and from competitive
selection (Vernon Municipal Code, Section
2.17.12(B)(1)(sole source).
Director of Light and Power Carlos Fandino reported on Tyler
Technologies, the company that offers the EDEN Software
currently in use throughout the City. He advised that staff is
requesting approval for seven new modules, many of which are web
extensions. IT has budgeted for the expense; the recommendation
will enhance the technology platform and be an asset to staff.
It was moved by Maisano and seconded by Martinez to approve the
purchase of seven (7) EDEN Software Modules. Motion carried,
5-0.
OLD BUSINESS
Light and Power Department
1. Request Approval of a Nonbinding Letter of Intent by and
between the City of Vernon and New Dimension Energy
Company, LLC for Wind Energy Development Exploration of
Land Owned by the City of Vernon in Kern County.
Recommendation:
(1) Find that the approval is exempt under the California
Environmental Quality Act (“CEQA”) in accordance with
Section 15061(b)(3), wherein the proposed Nonbinding
Letter of Intent is not an approval or commitment by
the City of Vernon to engage in any project or to
pursue any defined course of action as it relates to
the environment; therefore abiding by the general rule
that CEQA only applies to projects that may have an
effect on the environment; and
(2) Approve the Nonbinding Letter of Intent (“LOI”), in
substantially the same form, and authorize the
Director of Light & Power to execute the LOI by and
among New Dimension Energy Company, LLC (“NDEC”) and
the City of Vernon to establish a non-binding
relationship to explore the wind energy development of
land owned by Vernon in Kern County with wind turbines
manufactured by FloDesign Wind Turbine Corp. (“FDWT”).
Regular City Council Meeting Minutes
October 15, 2013
Page 13 of 18
Director of Light and Power Carlos Fandino advised that the City
of Vernon is a land owner in Kern County that is well suited for
wind turbines. The LOI is to allow further exploration by the
City, NDEC and FDWT.
Fandino explained that should an agreement be reached, wind
turbine development projects would require that output be sold
to Vernon and other utilities.
Fandino explained that the LOI will allow both parties to
negotiate in good faith, and within the confidentiality
obligations. Fandino further clarified that all discussion are
preliminary and do not constitute an approval from the City for
any project.
Section 1 of the LOI outlines that NDEC will present a power
purchase agreement to Vernon no later than September 30, 2013,
Fandino requests that this be amended and allow for the date to
be negotiated by the Director of Light and Power.
Councilmember Ybarra sought clarification on the LOI. The LOI
gives the impression that Vernon will be moving forward with a
wind turbine development project. He sought clarification on
whether alternatives have been considered and whether the Legal
and Finance departments have had a chance to review. He
inquired whether other companies/vendors have been considered,
as they might provide greater cost savings.
In response to Ybarra’s concerns, City Attorney Nicholas
Rodriguez advised that the LOI protects the City to some degree.
He had no comment on the business aspect.
Fandino further added that the LOI allows the sharing data with
FDWT. The intent is to find the best source for building a
renewable energy project. It does not bind or commit the City
to any project or agreement. Alternative energy sources for the
property are being reviewed.
Kern County has requested that the City look at FDWT more
closely. During its last meeting, FDWT presented their
technology to the Advisory Committee on Electric Rates. To ease
concerns, Fandino noted that staff will not propose something
without looking at all the issues. The LOI does not preclude
the City from looking at other sources.
Finance Director William Fox added that as part of the process
any proposals will be reviewed by the Finance Department and the
City’s financial advisors.
Rodriguez further added that the City has the right to terminate
the LOI, and any specific proposal would have to come back to
City Council for approval.
In response to Mayor Pro-Tem Davis, Fandino advised that FDWT
may add additional equipment to measure wind capacity at their
own expense.
In response to Councilmember Ybarra, Fandino reported that the
City has halted environmental studies until a direction has been
finalized. The City can then either continue with the studies
or place the responsibility on the developer. Minimal efforts
are being made in order to conserve costs.
Regular City Council Meeting Minutes
October 15, 2013
Page 14 of 18
City Administrator Mark Whitworth suggested an update
presentation on Tehachapi to the City Council.
Councilmember Maisano opined that since the recommendation to
further review FDWT came from Kern County, he presumes research
has been conducted; potentially aviation concerns have been
addressed.
In response, Fandino advised that extensive bird studies are
being conducted in conjunction with the review of existing data
in other locations. The biggest advantage to FDWT’s technology
is its height limitation as they are much smaller.
Councilmember Ybarra sought clarification on whether the three
scenarios are all through FDWT. In response, Fandino explained
that it relates to the shroud models on the FDWT models.
It was moved by Maisano and seconded by Ybarra to approve the
Nonbinding Letter of Intent with New Dimension Energy Company,
LLC for wind energy development exploration of land owned by the
City of Vernon in Kern County with amendment to the power
purchase agreement due date, to be negotiated by the Director of
Light and Power. Motion carried, 5-0.
ORDINANCES
1. Ordinance No. 1215 - An Ordinance of the City Council of
the City of Vernon, California, correcting Section
5.22(c)(8) of Article II of Chapter 5 of the Code of the
City of Vernon to reduce the rate of the Business License
Tax for Catering Vehicle Businesses (“Hot Food Trucks”)
(first reading).
Recommendation:
(1) Find that correcting Section 5.22(c)(8) of the Code of
the City of Vernon, which modified the annual Business
License Tax for hot food catering vehicles, is exempt
under the California Environmental Quality Act
(“CEQA”) in accordance with Section 15061(b)(3). The
general rule is that CEQA only applies to activities
that may have an effect on the environment. Modifying
the annual business license tax rates would not be
subject to CEQA; and
(2) Hold the first reading of Ordinance No. 1215,
correcting the Annual Business License Tax rate for
Catering Vehicle – Hot Food to reduce the rate and
mirror the County of Los Angeles at $787.00/yr. This
will correct a clerical error which resulted in the
rate not being changed at all for hot food trucks.
Director of Finance William Fox clarified that the
recommendation is a clean-up action for a clerical error on
Ordinance No. 1214 which was approved and adopted on October 1,
2013. There was an error to the hot food catering truck’s
business license fee.
It was moved by Maisano and seconded by Ybarra to approve the
first reading of Ordinance No. 1215. Motion carried, 5-0.
Regular City Council Meeting Minutes
October 15, 2013
Page 15 of 18
ORAL REPORTS
Police Chief Daniel Calleros reported on a vehicle pursuit that
occurred on October 4, 2013, after the fixed automatic license
plate reader system alerted patrol officers of a stolen vehicle.
The pursuit resulted in a traffic collision in the City of
Huntington Park. The suspect fled on foot but was later
apprehended. That same afternoon a second alert for a stolen
vehicle was received. Officers located the vehicle and arrested
the suspect without incident.
On October 7, 2013, officers assisted the Bell Police Department
with the search of three suspects involved in an armed robbery.
The vehicle pursuit resulted in a traffic collision incident in
the City of Vernon wherein the suspects fled on foot. With the
assistance of Huntington Park Police, the 3 suspects were
located and arrested without incident.
On October 13, 2013, an assault with a deadly weapon was
reported. The suspect used a hockey stick to break several
windows from the victim’s vehicle. The victim was inside the
vehicle at the time of the incident and sustained a few
lacerations to the forehead. There are few leads in the case
and it is believed the incident was a result of a traffic
dispute that began in the City of Los Angeles.
Calleros advised that on October 8, 2013, the Department
received a message from a representative at JP Imports thanking
the City for a "job well done" by Officer Eugene Cerda and
Community Services employee Felix Saldana for their quick
response their safety concern. The company was very pleased with
the quality of service provided by city staff. It is good to
hear that our level of service is appreciated by the community.
Calleros announced that there was no vandalism to report.
Fire Chief Michael Wilson thanked everyone for their support of
Breast Cancer Awareness by wearing their pink shirts. The
HazMat physicals and SCBA fit testing will continue throughout
the month.
On October 6, 2013, Crews responded to a two vehicle traffic
collision on Downey Road. The victim and vehicle were trapped
underneath a tractor trailer; the victim had to be extricated
using the Jaws of Life and transported to USC Medical.
Director of Community Services and Water Kevin Wilson reported
that the City is part of the Gateway Water Management Authority.
Previously, the City was part of the Greater Los Angeles
Integrated Regional Water Management Plan (”IRWMP”). The
Department of Water Resources (“DWR”) requires that these Water
Management Authorities be established. Wilson explained that
under the IRWMP the region received little to no funding for
projects. The region then split to create the Gateway Water
Management Authority. Meetings are held regularly and past
projects have been funded.
However, most recently DWR funded everyone but the Gateway Water
Management Authority. Wilson suspects that there is a political
effort to disband the Authority so that it is incorporated back
with the IRWMP. Wilson explained that the IRWMP is dominated by
Regular City Council Meeting Minutes
October 15, 2013
Page 16 of 18
the City of Los Angeles and the County of Los Angeles and fears
that the Gateway cities will not receive sufficient funding.
The DWR will be asked to reconsider the funding. If no funding
is received there is no purpose for the Gateway Water Management
Authority.
Director of Light and Power Carlos Fandino reported on a power
outage that occurred on October 6, 2013. It was determined that
the outage was caused by a bird coming into contact with an
overhead fuse.
Fandino noted that during the last City Council meeting it was
reported that a power outage lasted approximately 1.5 hours.
However, this incident had four phases and although most
customers were online within the 1.5 hours, it took
approximately 6 hours to get everyone back online with the
exception of one customer.
Fandino reported on requests for electric load increases, which
equates to approximately 5 megawatts.
Finance Director William Fox reported that the fee study draft
has been completed. Upon Department Head review, a presentation
will be made to the City Council, subsequently recommendations
to increase fees for certain services will be made.
Deputy Director of Health and Environmental Control David LeDuff
reported on the Press Release from the Department of Toxic
Substance Control (“DTCS”) dated October 7, 2013, on Exide
Technologies (“Exide”).
The DTSC is working with the Air Quality Management District to
ensure that Exide is monitored on an almost daily basis. On
October 9, 2013, AQMD held a second workshop for their Rule
1420.1 which calls for stricter emission requirements for large
lead acid battery recycling facilities. The Rule is up for
public comment.
Human Resources Director Teresa McAllister announced that
employee information meetings were held October 7, 2013. There
will be a Halloween contest for employees to participate in on
October 31, 2013. She thanked the City Council who will serve
as the judges.
The employee enrollment fair will be held toward the end of the
month. Informational meeting on the health benefits will be
scheduled.
McAllister advised that the classification drafts will be
distributed to the employees for their review. Employee will be
given a chance to appeal and make recommendations. Negotiations
continue with Teamsters Local 911 and International Brotherhood
of Electric Workers Local 47.
Assistant to the City Administrator Alex Kung reported that
California Consulting had submitted a grant for lighting at Salt
Lake Park in Huntington Park and submitted an urban greening
plan for Vernon.
The Department of Finance approved the sale of the Angelus Can
site. The closing date is tentatively November 13, 2013. The
Regular City Council Meeting Minutes
October 15, 2013
Page 17 of 18
next Oversight Board to the Successor Agency of the
Redevelopment Agency meeting is on November 7, 2013.
City Attorney Nicholas Rodriguez reported on request for
proposals (“RFP”) for litigation counsel for needs that are very
specialized in nature and are high in volume of work in a short
period of time. In order to have this type of service on call,
an RFP was issued to endure an open competition and was properly
publicized. The deadline for the proposals is November 4, 2013.
Proposals will be evaluated based on set criterion.
Rodriguez reported that to date Bruce Malkenhorst has filed an
administrative appeal with CalPERS, three lawsuits in Superior
Court, one appeal in the Court of Appeals, two extraordinary
writs in the Court of Appeals, and has propounded discovery in
an attempt to preserve his pension. The City intends to defend
against it. On October 11, 2013, the Governor signed SB39 which
was passed unanimously. Legislature stated that local public
agencies need protection from disgraced and avaricious public
officials who following conviction for crimes arising out of
their performance of their official duties continue to seek
unfair benefits at public’s expense by asserting a claim that
their former employers owe them the value of their pension
benefits including benefits of public retirement systems.
Rodriguez further explained SB39. He advised that on this
issue, the legislature is on the City’s side. Rodriguez
reported that the earliest the Courts can hear the City’s motion
to dismiss or demur is in March 2014; he will keep the City
Council appraised on the issue.
City Administrator Mark Whitworth advised that the special
Vernon Housing Commission meeting anticipated for October 23,
2013, may need to be rescheduled. He reported that the City of
Maywood is part of the contract for extended services from
California Consultants for grant writing.
Whitworth reported on the receipt of the tax credit for the
housing project with Meta Corporation. Over a span of ten
years, $8 million will be received in tax credits. Public
Information Officer Fred MacFarlane will be working on a press
release with Senator De Leon’s office. The Vernon Quarterly
will be out in November.
The City’s quarterly budget review will be conducted during the
November 19, 2013, City Council meeting. A conference on
CalPERS issues will be held next week; he and the Finance
Director will be attending.
Whitworth advised that in addition to the Light and Power
Department’s presenting on their City webpages, Jared Miller of
the IT Department will be presenting on overview of how the new
City website is being received.
Whitworth noted that the City of Santa Fe Springs was recently
in the news for suspicious odors that raised health concerns.
Vernon is not the only City dealing with these types of issues.
Mayor McCormick thanked staff for their support of Breast Cancer
awareness month.
Regular City Council Meeting Minutes
October 15, 2013
Page 18 of 18
CLOSED SESSION
At 11:33 a.m., it was moved by Davis and seconded by Martinez to
go into closed session to discuss the item listed under closed
session. Motion carried, 5-0.
1. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
Government Code Section 54956.9(d)(1)
Name of Case: Larry Walker vs. City of Vernon
Workers Compensation Appeals Board Case No. RIV0084265
At 11:40 a.m. it was moved by Martinez and seconded by Davis,
that the City Council exit closed session. Motion carried, 5-0.
City Attorney Nicholas Rodriguez announced that there was no
reportable action.
At 11:40 a.m., it was moved by Davis and seconded by Maisano, to
adjourn the meeting. Motion carried, 5-0.
________________________
W. Michael McCormick
Mayor
ATTEST:
_________________________
Dana Reed
Interim City Clerk