2016-05-17 City Council MinutesMINUTES OF THE REGULAR CITY COUNCIL MEETING OF THE
CITY OF VERNON HELD TUESDAY, MAY 17, 2016, IN THE
COUNCIL CHAMBER OF THE CITY HALL LOCATED AT 4305
SANTA FE AVENUE, VERNON, CALIFORNIA
MEMBERS PRESENT: Davis, Martinez, Ybarra, and Lopez
MEMBERS ABSENT: Woodruff-Perez
The meeting was called to order at 7:30 a.m. by Mayor Davis; Ybarra led the flag salute.
CHANGES TO THE AGENDA
City Clerk Maria Ayala announced that there were no changes to the agenda.
PUBLIC COMMENT
Mayor Davis announced that this was the time allotted for public comment, and inquired whether
anyone in the audience wished to address the City Council. The public will also be given an
opportunity to comment on matters on the posted agenda during Council deliberation.
No public comment.
PRESENTATIONS
1. A Proclamation Declaring the Week of May 15 through May 21, 2016 as “National
Public Works Week”
City Clerk Maria Ayala read the proclamation.
Director of Public Works, Water, and Development Services Derek Wieske said a few words and
acknowledged staff in attendance.
2. Service Pin Awards for April 2016
NAME DEPARTMENT TITLE YEARS
Linda R. Smith Health Administrative Secretary 25
Lyndon S. Ong Yiu Health Senior Environmental
Specialist
15
Oscar E. Zozaya Police Police Officer 15
Jesse L. Blue Vernon Gas & Electric Electric Operator 5
Yesenia Ramirez Public Work s Sr. Administrative
Assistant
5
Jared B. Dacey Vernon Gas & Electric Senior Utilities Dispatcher 5
Director of Human Resources Isaac Garibay recognized the two service pin recipients in
attendance: Yesenia Ramirez and Jared Dacey
BUDGET STUDY SESSION
3. Fire Department – Update on Budget for Fiscal Year 2015-2016
City Administrator Carlos Fandino introduced the Fire Department’s current year budget update.
Fire Chief Michael Wilson provided a PowerPoint presentation which covered a historical review
of the department’s overtime costs.
Mayor Davis asked why the presentation was not made on the original budget study session and
what is being done about the overtime situation. Fire Chief Wilson explained the reasons it was
not included and controls would be implemented to manage various factors affecting overtime.
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Ybarra requested information on budgetary actuals and also inquired as to other unbudgeted
overtime costs. Finance Director William Fox explained the staffing needs for the Fire Department
and how that affects overtime.
Public Comment
John Van de Kamp, Independent Reform Monitor, inquired as to the amount the Fire Department
is going to exceed its budget this year. Fire Chief Wilson projected an overage of $100,000 to
$200,000. Finance Director Fox explained the projections comparison to actuals.
Fire Chief Michael Wilson went on to explain the use of grants to offset the budget expenses.
Mr. Van de Kamp asked if the Fire Chief was informing the City Administration on contracting
negotiations. Fire Chief Wilson confirmed he was informing, however was not a part of the
negotiations.
Mr. Van de Kamp addressed the discrepancy of the actual and projected budget; the Councils
control over the budget; the Class-1 rating of the Fire Department; and the activity reports. Fire
Chief Wilson addressed Mr. Van de Kamp’s concerns.
Marisa Olguin, Vernon Chamber of Commerce, inquired as to the level of calls received, services
provided with staffing levels, and other data relative to budgeting to overtime. Advocated for a
third party study to determine the need of a Class-1 Fire Department.
Dave Gardetta, Baker Commodities, also expressed, he too would like for a third party study to be
performed to address staffing concerns.
Ybarra requested to see more detailed plans on overtime and succession.
4. Review of Proposed Budgets for Fiscal Year 2016-2017 for the Following
Departments:
A. Overview
Finance Director Fox provided a PowerPoint Presentation on the Fiscal Year 2016-2017 Citywide
Proposed Budget.
B. Public Works, Water & Development Services Department
Director of Public Works, Water & Development Services Derek Wieske provided a PowerPoint
Presentation on the Department’s proposed budget.
C. Human Resources Department
Human Resources Director Isaac Garibay provided the review of the Department’s provided a
PowerPoint Presentation on the Department’s proposed budget.
Mr. Van de Kamp wanted to know if the OPEB requirement figures were Citywide or just the
Department of Human Resource. Director Garibay clarified that it reflected the entire City.
D. City Attorney Department
City Attorney Hema Patel provided a PowerPoint Presentation on the Department’s proposed
budget.
Mayor Davis recessed the meeting at 9:46 a.m.
The meeting reconvened at 10:00 a.m.
E. Health and Environmental Control Department
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Health and Environmental Control Director Lewis Pozzebon provided a PowerPoint Presentation
on the Department’s proposed budget.
Mr. Van de Kamp had questions that were answered by Director Pozzebon.
Dave Gardetta, Baker Commodities, had questions that were answered by Director Pozzebon.
F. Gas and Electric Department
Interim Director of Gas and Electric Peter Hervish provided a PowerPoint Presentation on the
Department’s proposed budget.
Mr. Van de Kamp had questions that were answered by Interim Director Hervish and City
Administrator Carlos Fandino.
G. City Administration Department
City Administrator Carlos Fandino provided a PowerPoint Presentation on the Department’s
proposed budget.
CONSENT CALENDAR
It was moved by Ybarra and seconded by Martinez to approve all matters listed under the Consent
Calendar under one motion as presented. Motion carried, 4-0.
Claims Against the City – Received and Filed
5. None
Warrant Registers
6. Ratification of the following City Warrant Register to record the following voided
checks:
A. City Warrant Register No. 1445 to record voided Check No. 350500 in the amount
of $256.04; and
B. City Warrant Register No. 1447 to record voided Check No. 350783 in the amount
of $119.38.
7. Approval of City Payroll Warrant Register No. 719, totaling $ 2,973,790.02, which
covers the period of April 1 through April 30, 2016 and consists of the following:
A. Ratification of direct deposits, checks and taxes totaling $2,053,233.57; and
B. Checks and electronic fund transfers (EFT) totaling $920,556.45.
8. Approval of City Warrant Register No. 1448, totaling $1,033,895.52, which covers
the period of April 26 through May 9, 2016, and consists of the following:
A. Ratification of wire transfers totaling $595,018.26; and
B. Ratification of the issuance of early checks totaling $296,373.03; and
C. Authorization to issue pending checks totaling $142,504.23.
9. Approval of Light & Power Warrant Register No. 413, totaling $1,439,323.01, which
covers the period of April 26 through May 9, 2016, and consists of the following:
A. Ratification of wire transfers totaling $1,376,810.97; and
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B. Ratification of the issuance of early checks totaling $61,574.18; and
C. Authorization to issue pending checks totaling $937.86.
10. Approval of Gas Warrant Register No. 201, totaling $210,950.78, which covers the
period of April 26 through May 9, 2016, and consists of the following:
A. Ratification of wire transfers totaling $180,496.08; and
B. Ratification of the issuance of early checks totaling $30,454.70.
Fire Department
11. Activity Report for the period of April 16 through April 30, 2016, to be received and
filed.
Health and Environmental Control Department
12. April 2016 Health & Environmental Control Department Monthly Report, to be
received and filed.
Police Department
13. Activity Log and Statistical Summary of Arrests and Activities for the period of
April 16, through April 30, 2016, to be received and filed.
14. Settlement Proceeds and Agreement
Recommendation:
A. Find that the acceptance of the settlement proceeds from a False Claims Act from,
United States et al. ex rel. Perez v. Stericycle, Inc., et al., is exempt from California
Environmental Quality Act (“CEQA”) review, because it is a continuing
administrative activity that will not result in direct or indirect physical changes in the
environment, and therefore does not constitute a “project” as defined by CEQA
Guidelines section 15378; and
B. Accept the settlement proceeds and agreement, and authorize the Police Chief to
accept and deposit the settlement proceeds on behalf of the City.
NEW BUSINESS
City Administration Department
15. Resolution of the City Council of the City of Vernon approving the General Form
of Attorney Services Contracts
Recommendation:
A. Find that approval of the forms of contract and of related documents in this staff report
is exempt from California Environmental Quality Act (“CEQA”) review, because it
is a continuing administrative activity that will not result in direct or indirect physical
changes in the environment, and therefore does not constitute a “project” as defined
by CEQA Guidelines section 15378; and
B. Adopt the Resolution approving the general form of attorney services contracts.
City Administrator Carlos Fandino reported on the proposed.
It was moved by Ybarra and seconded by Martinez to approve the Resolution No. 2016-22. Motion
carried, 4-0.
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City Clerk Department
16. Resolution of the City Council of the City of Vernon updating City Council
Members’ Appointments to Various Agencies and/or Committees
Recommendation:
A. Find that approval of the proposed Resolution updating the City Council
appointments does not constitute a “project” pursuant to section 15378(b)(2) of
the Guidelines to the California Environmental Quality Act (“CEQA”), because
it constitutes an administrative activity; and even if the adoption of the proposed
resolution did constitute a project, 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; and
B. Appoint Council Members as delegate(s) and alternate(s), as well as some key
staff as either delegate(s) and/or alternate(s) to the following boards of various
agencies and/or committees as follows:
1. California Contract Cities Association.
Appoint Melissa Ybarra as the delegate; and William J. Davis as the
alternate.
Previous appointment, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; and Yvette Woodruff-Perez as the alternate.
2. Central Basin Water Association.
Appoint William J. Davis as the delegate; Yvette Woodruff-Perez as the
alternate; and reaffirm the City of Vernon’s Director of Public Works,
Water and Development Services, or his/her designee, to also serve as the
City’s alternate.
Previous appointment, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; William J. Davis as the alternate; and reaffirm
the Director of Public Works, Water & Development Services or his/her
designee, to also serve as the City’s alternate.
3. County Sanitation District No. 1.
Appoint William J. Davis as the presiding officer of the City of Vernon to
serve as the City’s member on the Board of Directors of County Sanitation
District No. 1; and Yvette Woodruff-Perez as the alternate.
Previous appointments, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the presiding officer as delegate; and Melissa Ybarra as the
alternate.
4. County Sanitation District No. 2.
Appoint William J. Davis to serve as the City’s delegate to the Board of
Directors of County Sanitation District No. 2; and Leticia Lopez as the
alternate.
Previous appointments, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; and William J. Davis as the alternate.
5. County Sanitation District No. 23.
Appoint current City Council (William J. Davis, Yvette Woodruff-Perez,
Luz A. Martinez, Melissa Ybarra, and Leticia Lopez) to serve as the Board
of Directors to County Sanitation District No. 23.
Previous appointments, pursuant to Resolution No. 2015-22, appointed
then City Council: W. Michael McCormick, William J. Davis, Luz A.
Martinez, Melissa Ybarra, and Yvette Woodruff-Perez.
6. Gateway Cities Council of Governments.
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Appoint William J. Davis as the delegate; and Melissa Ybarra as the
alternate.
Previous appointments, pursuant to Resolution No. 2015-22: William J.
Davis as the delegate and Melissa Ybarra as the alternate.
7. I-710 EIR/EIS Project Committee.
Appoint Leticia Lopez as the delegate and Melissa Ybarra as the alternate.
Previous appointments, pursuant to Resolution No. 2015-22: William J.
Davis as the delegate; and W. Michael McCormick as the alternate.
8. Independent Cities Association of Los Angeles County.
Appoint Melissa Ybarra as the delegate; and Yvette Woodruff-Perez as
the alternate.
Previous appointments, made pursuant to Resolution No. 2015-22: W.
Michael McCormick as the delegate; and Yvette Woodruff-Perez as the
alternate.
9. Independent Cities Finance Authority.
Appoint Leticia Lopez as the delegate; and Yvette Woodruff-Perez as the
alternate.
Previous appointments, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; and Yvette Woodruff-Perez as the alternate.
10. League of California Cities.
Appoint Melissa Ybarra as the delegate; and Yvette Woodruff-Perez and
Luz Martinez as the alternates.
Previous appointments, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; and William J. Davis and Melissa Ybarra as
the alternates.
11. Eco-Rapid Transit (formerly known as the Orangeline Development
Authority).
Appoint William J. Davis as the delegate and Luz Martinez as the
alternate.
Previous appointments, pursuant to Resolution No. 2015-22 made to the
Orangeline Development Authority were: W. Michael McCormick as the
delegate; and Melissa Ybarra as the alternate.
12. Pacific Electric Right-of-Way/ West Santa Ana Branch Corridor
Alternative Analysis.
Appoint Melissa Ybarra as the representative on the Steering Committee;
and reaffirm the City’s appointment of the City’s Director of Public
Works, Water and Development Services, or his/her designee, to serve on
the Technical Advisory Committee.
Previous appointment, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the representative; and Director of Public Works, Water
and Development Services, or his/her designee, to serve on the Technical
Advisory Committee.
13. Southeast Community Development Corporation.
Appoint Leticia Lopez as the delegate; and William J. Davis as the
alternate.
Previous appointments, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; and Melissa Ybarra as the alternate.
14. Southeast Water Coalition.
Appoint William J. Davis as the delegate; and Yvette Woodruff-Perez as
the alternate; and, reaffirm that said appointed representatives shall also
be the City’s representatives to attend board and committee meetings held
by the Replenishment District of Southern California, Central Basin
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Municipal Water District and the Authority and any other water-related
meeting which affect the City of Vernon.
Previous appointments, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; and William J. Davis as the alternate; and,
reaffirmed that said appointed representatives shall also be the City’s
representatives to attend board and committee meetings held by the
Replenishment District of Southern California, Central Basin Municipal
Water District and the Authority and any other water-related meeting
which affect the City of Vernon.
15. Southern California Association of Governments.
Appoint Yvette Woodruff-Perez as the delegate; and William J. Davis as
the alternate.
Previous appointments, pursuant to Resolution No. 2015-22: W. Michael
McCormick as the delegate; and William J. Davis as the alternate.
16. Vernon Solid Waste Hearing Panel.
Appoint William J. Davis, Yvette Woodruff-Perez, and Luz Martinez to
serve on the Hearing Panel for the Local Enforcement Agency for Solid
Waste Facilities.
Previous appointments, pursuant to Resolution No. 2015-22: Melissa
Ybarra, Yvette Woodruff-Perez, and Luz Martinez.
C. Adopt a Resolution of the City Council of the City of Vernon designating and
appointing its representatives and alternates to the boards of various agencies
and/or committees.
D. Authorize the City Clerk to complete California Form 806, Agency Report of:
Public Official Appointments, and post in accordance with state laws and/or
regulations.
City Clerk Maria Ayala reported on the proposed.
It was moved by Ybarra and seconded by Martinez to approve the Resolution No. 2016-23. Motion
carried, 4-0.
Finance Department
17. Resolution of the City Council of the City of Vernon Adopting an Annual Statement
of Investment Policy for Fiscal Year 2016-2017 and Delegating Investment
Authority to the Finance Director/City Treasurer.
Recommendation:
A. Find that approval of the investment policy for Fiscal Year 2016-2017 is exempt
from California Environmental Quality Act (“CEQA”) review, because it is a
government fiscal activity that will not result in direct or indirect physical changes
in the environment, and therefore does not constitute a “project” as defined by
CEQA Guidelines section 15378, and
B. Approve a Resolution of the City Council of the City of Vernon adopting an
Annual Statement of Investment Policy for Fiscal Year 2016-2017 and delegating
investment authority to the Finance Director/City Treasurer.
C. Approve the addition of Section 8.3 to the investment policy. This section will
prohibit speculative investments which includes investments in derivatives such as
contracts-options, swaps, and futures/forward contracts without a clear,
identifiable, justifiable, and effective hedgeable item.
Finance Director William Fox reported on the proposed.
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It was moved by Martinez and seconded by Ybarra to approve Resolution No. 2016-24. Motion
carried, 4-0.
Gas and Electric Department
18. Vernon’s Support of the Natural Gas Settlement Agreement for Enhanced
SoCalGas Balancing Rules during the Outage of Aliso Canyon Storage Facility
Recommendation:
A. Find that approval of the authorization of Vernon’s proposed support of the natural
gas balancing settlement agreement is exempt from California Environmental Quality
Act (“CEQA”) review, because it is a continuing administrative activity that will not
result in direct or indirect physical changes in the environment, and therefore does not
constitute a “project” as defined by CEQA Guidelines section 15378; and
B. Authorize the City Administrator to sign the proposed Natural Gas Balancing
Settlement Agreement, on behalf of the City of Vernon, the result of which will be
more favorable gas balancing rules on SoCalGas during the period that Aliso Canyon
gas storage field is off line. The Natural Gas Settlement Agreement has been
reviewed and approved by the City Attorney’s office.
Interim Director of Gas and Electric Peter Hervish reported on the proposed.
It was moved by Ybarra and seconded by Lopez to authorize the City Administrator to sign the
proposed Natural Gas Balancing Settlement Agreement. Motion carried, 4-0.
19. Base Contract with Occidental Energy Marketing, Inc. for Sale and Purchase of
Natural Gas (the “NAESB Contract”)
Recommendation:
Items A-B:
A. Find that (a) the agreement between the City of Vernon and Occidental Energy
Marketing, Inc. is not in reference to a “project” subject to the California
Environmental Quality Act (“CEQA”) under Guidelines section 15378 because it
involves the administrative activity of purchasing gas; and (b) even if this approval
were a “project” subject to CEQA, the approval requested is exempt in accordance
with CEQA Guidelines Section 15301(b), the general rule that CEQA only applies
to projects that may have an effect on the environment because purchasing gas is
purely a financial transaction, and any construction that may occur by a private
party in the future in reliance on this approval would be subject to CEQA review
by another governmental agency at that time when actual details of any physical
proposal would be more than speculative; and
B. Authorize the Interim Director of Gas & Electric (as per Resolution No. 9280) to
execute the North American Energy Standards Board (“NAESB”) contract by and
between the City of Vernon (“City”) and Occidental Energy Marketing, Inc.
(“OEM”) in substantially the same form as attached to the staff report, for the
purpose of buying and selling natural gas to or from OEM, in compliance with the
general terms established in the agreement. Pursuant to Vernon Municipal Code
§ 2.17.12(A)(6), competitive bidding is not required because this is a contract for
gas and/or electrical power for the city’s power utility, and it would be
commercially unreasonable to procure the gas or electricity through standard
bidding or request for proposal procedures.
Interim Director of Gas and Electric Peter Hervish reported on the proposed.
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It was moved by Martinez and seconded by Lopez to authorize the Interim Director of Gas &
Electric to execute the North American Energy Standards Board (“NAESB”) contract. Motion
carried, 4-0.
Public Works, Water, and Development Services Department
20. Contract Award for City Contract No. CS-0602: City Housing Improvements
Recommendation:
A. Find that the proposed Capital Improvement Project is categorically exempt
under the California Environmental Quality Act (CEQA) in accordance with
CEQA Guidelines Section 15301, Existing Facilities, part (a), because the project
is merely to make interior or exterior alterations involving partitions, plumbing,
and electrical conveyances; and
B. Accept the bid of St. George Groupe Inc. as the lowest responsive and responsible
bidder and enter into a contract at an amount not to exceed $119,875 for the
renovation of a single family home located at 4323 Furlong Place and to reject all
other bids. Further authorize a contingency of $20,000 in the event of an
unexpected changed condition in the project and grant authority to the City
Administrator to issue a change order for an amount up to the contingency
amount.
Director of Public Works, Water, and Development Services Derek Wieske reported on the
proposed.
Ybarra and Lopez had questions regarding the order of the housing improvements and the
improvement plan. Director Wieske responded to their questions and explained the ADA
compliance steps that were going to be taken.
It was moved by Ybarra and seconded by Martinez to approve the Contract Award for City
Contract No. CS-0602. Motion carried, 4-0.
21. Resolution of the City Council of the City of Vernon urging the Los Angeles County
Metropolitan Transportation Authority to modify the proposed Measure R2 Local
Return Funding Allocation for Local Transportation Infrastructure.
Recommendation:
A. Find that the approval of the proposed resolution in this staff report 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
B. Approve a Resolution of the City Council of the City of Vernon urging the Los
Angeles County Metropolitan Transportation Authority to modify the proposed
Measure R2 Local Return Funding Allocation for Local Transportation
Infrastructure.
Director of Public Works, Water, and Development Services Derek Wieske reported on the
proposed.
Senior Advisor to the City Administrator Fred Macfarlane gave an update about the changing
landscape of transportation in Los Angeles County.
It was moved by Martinez and seconded by Lopez to approve Resolution No. 2016-25. Motion
carried, 4-0.
ORAL REPORTS
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22. City Administrator Reports – brief reports on activities and other brief announcements by
the City Administrator and Department Heads.
Police Chief Daniel Calleros reported on the following: seeking suspect in the April 30th hit-and-
run fatal accident.
Police Captain Michael Gillman reported that there were no vandalism incidents.
Fire Chief Mike Wilson reported on the following: Pancake Breakfast for Boy Scouts; an update
on the ‘Fill the Boot’ campaign; and the Department having provided assistance to a woman giving
birth.
Director of Public Works, Water and Development Services Derek Wieske provided a brief update
on: a Public Works BBQ taking place on Thursday and the City bicycle plan.
Director of Finance William Fox reported on the ongoing routine rating of City bonds by Moody’s
and S&P.
Director of Human Resources Isaac Garibay gave an update on new positions that were opening
and ongoing recruitments.
City Clerk Maria Ayala reminded the Council about upcoming Board and Commission vacancies
and appointments.
23. City Council Reports – brief report on activities, announcements, or directives to staff.
No reports provided.
Mayor Davis recessed the meeting at 11:28 a.m. and reconvened at 11:35 a.m.
CLOSED SESSION
At 11:35 a.m., the City Council entered into closed session to discuss the following agendized
items:
24. CITY COUNCIL CONFERENCE WITH LABOR NEGOTIATORS
Government Code Section 54957.6
Agency Designated Representative: Carlos Fandino, City Administrator
Employee Organizations: Teamsters Local 911,
IBEW Local 47,
Vernon Firemen's Association,
Vernon Fire Management Association,
Vernon Police Management Association
25. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Government Code Section 54956.9(a)
Name of Case: City of Vernon vs. Citigroup Energy Inc., et al.
United States District Court
Southern District of New York Case No. CV16-2405
26. PUBLIC EMPLOYEE DISCIPLINE/DISMISSAL/RELEASE
Government Code Section 54957(b)(1)
At 12:40 p.m. the City Council exited closed session. City Attorney Hema Patel announced that
there was no reportable action from closed session.
With no further business, at 12:40 p.m., Mayor Davis adjourned the meeting.
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________________________
William J. Davis
Mayor
ATTEST:
_________________________
Maria E. Ayala
City Clerk