Loading...
20200813 BIC Agenda Packet Agenda City of Vernon Regular Vernon Business and Industry Commission Meeting Thursday, August 13, 2020, 09:00 AM City Hall, Council Chamber 4305 Santa Fe Avenue Vernon, California Jack Cline, Chair Jimmy Andreoli II, Vice Chair John Baca, Commissioner Thomas Condon, Commissioner William Davis, Commissioner Duncan Sachdeva, Commissioner Douglas Williams, Commissioner THIS MEETING WILL BE CONDUCTED PURSUANT TO GOVERNOR NEWSOM'S EXECUTIVE ORDER N-29-20. The public is encouraged to view the meeting at http://www.cityofvernon.org/webinar or by calling (415) 655-0052, Access Code 712-090-583#. You may submit comments to PublicComment@ci.vernon.ca.us with the subject line “August 13, 2020 Business and Industry Commission Meeting Public Comm ent Item #__.” Comments received prior to 8 a.m., Thursday, August 13, 2020, will be read into the record. CALL TO ORDER FLAG SALUTE ROLL CALL APPROVAL OF THE AGENDA PUBLIC COMMENT At this time the public is encouraged to address the Commission on any matter that is within the subject matter jurisdiction of the Commission. The public will also be given a chance to comment on matters which are on the posted agenda during deliberation on those specific matters. Regular Vernon Business and Industry Commission Meeting Agenda Page 2 of 3 August 13, 2020 PRESENTATIONS 1. City Clerk Selection of Chair and Vice Chair Recommendation: Select one member to serve as Chair and one member to serve as Vice Chair for the term ending June 30, 2021. 2. City Administration Presentation on Metro Link Union Station Project Recommendation: There is no action required by the Commission. This is a presentation only. 3. Public Works Mixed-Use Specific Plan and Program Environmental Impact Report (EIR) Preparation Recommendation: There is no action required by the Commission. This is a presentation only. 4. Finance/Treasury Fiscal Year 2019-2020 City Wide Financial Update and Preliminary Results Recommendation: Receive and file the report. CONSENT CALENDAR All matters listed on the Consent Calendar are to be approved with one motion. Items may be removed from the Consent Calendar by any member of the Commission. Those items removed will be considered immediately after the Consent Calendar. 5. City Clerk Approval of Minutes Recommendation: Approve the May 14, 2020 Regular Business and Industry Commission meeting minutes. 1. 20200514 BIC Minutes NEW BUSINESS 6. Public Works Evaluation of Need for a Business Priority in City-owned Housing Lotteries Recommendation: Recommend whether the City should establish a business priority when renting City - owned housing units. Regular Vernon Business and Industry Commission Meeting Agenda Page 3 of 3 August 13, 2020 ORAL REPORTS Brief reports, announcements, or directives to staff. Next regular meeting: Thursday, November 12, 2020 at 9:00 a.m. ADJOURNMENT I hereby certify under penalty of perjury under the laws of the State of California, that the foregoing agenda was posted in accordance with the applicable legal requirements. Regular and Adjourned Regular meeting agendas may be amended up to 72 hours in advance of the meeting. Dated this 6th day of August, 2020. By: __________________________________ Lisa Pope, City Clerk Business and Industry Commission Agenda Item Report Agenda Item No. COV-291-2020 Submitted by: Sandra Dolson Submitting Department: City Clerk Meeting Date: August 13, 2020 SUBJECT Selection of Chair and Vice Chair Recommendation: Select one member to serve as Chair and one member to serve as Vice Chair for the term ending June 30, 2021. Background: At its July 21, 2020 meeting, the City Council reappointed Jack Cline Jr., Real Estate Representative, and William Davis, Council Representative, and appointed Thomas A. Condon, Real Estate Representative and Douglas Williams, Business Representative. Section 2.178(a) of the Vernon Municipal Code states that "the Commission shall have a Chairperson and Vice Chairperson who shall be from different appointing categories pursuant to section 2.174. The Chairperson shall preside over all Commission meetings. The Vice Chairperson shall, in the absence of the Chairperson, perform the duties of the Chairperson." For reference, the appointing category of each Commissioner is listed below: Jimmy Andreoli II - Business Representative Navdeep (Duncan) Sachdeva - Business Representative Douglas Williams - Business Representative William Davis - City Council Representative John Baca - Employee/Labor Representative Jack Cline - Real Estate Representative Thomas Condon - Real Estate Representative Section 2.178(b) of the Vernon Municipal Code states that "the Commission members shall elect the Chairperson and Vice Chairperson at its first meeting and at its first meeting following July 1 each year. No Commission Member may serve as Chairperson for more than two (2) consecutive years." Commissioner Cline was appointed as Chairperson on January 24, 2019. Due to timing of appointments to the Commission, he is eligible to continue to serve as Chairperson for another year if the Commission so desires. It is appropriate for the Commission to select its Chair and Vice Chair for the coming year. Fiscal Impact: There is no fiscal impact associated with this report. Attachments: Business and Industry Commission Agenda Item Report Agenda Item No. COV-270-2020 Submitted by: Diana Figueroa Submitting Department: City Administration Meeting Date: August 13, 2020 SUBJECT Presentation on Metro Link Union Station Project Recommendation: There is no action required by the Commission. This is a presentation only. Background: Representatives of Metro and/or their affiliates will provide a presentation on their Link Union Station (Link US) project and its potential impacts to Vernon. The Link US Project has a goal to increase commuter and intercity rail service capacity by enabling one-seat rides across Southern California by transforming the Los Angeles Union Station from a stub-end tracks station into a run-through tracks station, allowing trains to enter and exit the station from both existing northern tracks and new tracks to the south over the 101 freeway. The proposed project would boost capacity and volume at the Union Station transportation hub. The extra capacity would accommodate the future growth of Metrolink’s Commuter Rail service and also accommodate a future California High-Speed Rail System. The Link US team will offer insight on the latest developments and next steps for the proposed project plan to the Commission. Fiscal Impact: There is no fiscal impact associated to this presentation. Attachments: Business and Industry Commission Agenda Item Report Agenda Item No. COV-301-2020 Submitted by: Daniel Wall Submitting Department: Public Works Meeting Date: August 13, 2020 SUBJECT Mixed-Use Specific Plan and Program Environmental Impact Report (EIR) Preparation Recommendation: There is no action required by the Commission. This is a presentation only. Background: A document called the "general plan" establishes the overall framework for a City's development. It provides a long-term vision for the community's growth. That vision includes goals, policies and maps to guide decision making on zoning and specific projects. General plans cover all land in a city. Specific plans cover smaller areas. They say what land uses can occur in the area. They set limits on the type of land use, the types of buildings; the intensity of development; and what structures will look like. Specific plans guide zoning rules, subdivisions, public facilities, and future development agreements for a given area. With its proximity to the Arts District and the rest of Downtown Los Angeles; its availability for additional housing, hospitality, and retail; and its inventory of older warehouse and manufacturing facilities, the western edge of Vernon presents significant opportunity for new development. The Mixed-Use Specific Plan and Program EIR Preparation will include a professional planning consultant with experience in mixed-use development and adaptive reuse to produce a specific plan for the west side of Vernon. The plan is intended to represent a vision of economic vitality and make the specific plan area attractive for private investment in hospitality and retail operations, housing development, and all other business services that will support realization of the vision. The goals of this effort include strengthening the economic vitality and aesthetic character of the specific plan area through the establishment of a mixed-use district while: • Leveraging its location adjacent to the Arts District and Downtown Los Angeles to bring about revitalization; • Creating a strong community identity and sense of place; • Increasing the level of goods and services available to residents of the community; • Providing new employment and housing opportunities; • Developing a unique destination point which attracts shoppers/diners from outside the community; and • Strengthening the City’s tax base. The planning phase will also include the development of a Program Environmental Impact Report (PEIR). A PEIR is an EIR that is prepared for a series of actions that can be characterized as one large project, and are related either geographically, or as individual activities carried out under the same statutory authority, and having generally similar environmental effects which can be mitigated in similar ways. The use of a PEIR can provide the following advantages. The PEIR can provide a more exhaustive consideration of effects and alternatives than would be practical in an EIR on an individual project, ensure consideration of cumulative impacts that might be slighted in a case-by-case analysis, avoid needless reconsideration of basic policy considerations, and allow the City to consider broad policy alternatives and program wide mitigation measures at an early time when there is greater flexibility to deal with basic problems or cumulative impacts. Based on economic analysis of potential future development under the specific plan, the PEIR will make assumptions about the amount of the different types of development that will take place in the specific plan area as a whole at build out and study the impacts of this development. Eliminating the need for project by project environmental impact studies and proactively establishing required environmental mitigation removes a major source of uncertainty from the front end of the development process and signals to the real estate community that Vernon is ready to embrace development. The creation of the specific plan and the PEIR will be a collaborative effort, and input from stakeholders will be actively solicited during the process through a variety of community meetings, one-on-one interviews with Councilmembers, and Public Hearings. A dedicated specific plan website will be maintained to provide information to the public and receive comment as the plan and supporting documents are developed. Fiscal Impact: There is no fiscal impact associated with this report. Attachments: Business and Industry Commission Agenda Item Report Agenda Item No. COV-302-2020 Submitted by: Scott Williams Submitting Department: Finance/Treasury Meeting Date: August 13, 2020 SUBJECT Fiscal Year 2019-2020 City Wide Financial Update and Preliminary Results Recommendation: Receive and file the report. Background: Given the extraordinary economic circumstances surrounding the current pandemic, the Finance Department will provide a briefing to the Business and Industry Commission to report preliminary budget to actual results for the City and Vernon Public Utilities (VPU) through the end of Fiscal Year 2019-2020. Revenue Trends Revenues are expected to exceed projections in the categories of Property and Parcel Taxes, Sales Tax, and Charges for Services. However, due to decreased economic activity as a result of the COVID-19 pandemic, other categories like Licenses and Permits slightly decreased as a result of reduced developer and business activity. Those revenues tied to VPU, such as In-Lieu Tax and Utility Users Tax (UUT), have produced less revenues than expected. Electric, Water, and Fiber Optic revenues are expected to finish less than budgeted; however, Gas revenues slightly exceeded the expectations. Expenditure Trends General Government, Health, Police, and Fire departments are expected to meet budgeted expenditures. Citywide Benefit costs, which include Other Postemployment Benefits (OPEB), Worker’s Compensation, and Retiree Medical Insurance, were considerably higher than expected. The large increase in these costs were caused by changes in actuarial valuations. Public Works expenditures were less than budgeted due to delaying certain capital projects and repairs and maintenance. All VPU funds are expected to fall below their budgeted expenditures. Cash Position As in prior years, VPU has the largest allocation of the City’s cash and investments. The issue of Water and Electric bonds during the fiscal year provided an influx of about $15 million and $25 million, respectively. About 78% of the City’s funds are unrestricted; however, 22% of the funds have restrictions for debt service, grant fund approved uses, or CARB rebates. The City holds about 28% of funds as cash to cover operations and day to day activity. The remainder of the funds are invested in money market accounts and mutual funds. Economic Outlook The economic impacts of the COVID-19 pandemic are expected to last for at least several quarters depending on the continuation of State-imposed closures and rates of propagation. These impacts have already triggered lower revenues than expected and may continue to do so in the upcoming years. Conversely, the upcoming transition to LA County Fire Department will bring long-term savings to the City and the new Transactions and Use Tax approved by voters in April 2020 will augment General Fund revenues. The City has prepared appropriately to face any revenue reductions on the horizon and anticipates continued financial stability. Fiscal Impact: There is no fiscal impact associated with this report. Attachments: Business and Industry Commission Agenda Item Report Agenda Item No. COV-194-2020 Submitted by: Sandra Dolson Submitting Department: City Clerk Meeting Date: August 13, 2020 SUBJECT Approval of Minutes Recommendation: Approve the May 14, 2020 Regular Business and Industry Commission meeting minutes. Background: Staff has prepared the minutes and hereby submits the minutes for approval. Fiscal Impact: There is no fiscal impact associated with this report. Attachments: 1. 20200514 BIC Minutes MINUTES VERNON BUSINESS AND INDUSTRY COMMISSION REGULAR MEETING THURSDAY, MAY 14, 2020 COUNCIL CHAMBER, 4305 SANTA FE AVENUE CALL TO ORDER Chair Cline called the meeting to order at 9:03 a.m. FLAG SALUTE City Administrator Fandino led the Flag Salute. ROLL CALL PRESENT:Jack Cline, Chair (via remote access) Jimmy Andreoli II, Vice Chair (via remote access) William Davis, Commissioner John Baca, Commissioner (via remote access) Duncan Sachdeva, Commissioner (via remote access) ABSENT:Justin Faust, Commissioner Robert Wendoll, Commissioner STAFF PRESENT: Carlos Fandino, City Administrator Arnold Alvarez-Glasman, Interim City Attorney Lisa Pope, City Clerk Scott Williams, Finance Director (via remote access) APPROVAL OF THE AGENDA MOTION Commissioner Davis moved and Vice Chair Andreoli seconded a motion to approve the agenda. The question was called and the motion carried 5-0, Commissioners Faust and Wendoll absent. PUBLIC COMMENT None. Regular Vernon Business and Industry Commission Meeting Minutes Page 2 of 3 May 14, 2020 CONSENT CALENDAR MOTION Commissioner Davis moved and Commissioner Sachdeva seconded a motion to approve the Consent Calendar. The question was called and the motion carried 5-0, Commissioners Wendoll and Faust absent. The Consent Calendar consisted of the following item: 1.Approval of Minutes Recommendation: Approve the February 13, 2020 Regular Business and Industry Commission meeting minutes. NEW BUSINESS 2.Proposed Fiscal Year 2020-21 General Fee Schedule (Continued from February 13, 2020) Recommendation: Recommend the City Council adopt a resolution approving the Proposed Fiscal Year 2020- 21 General Fee Schedule. City Administrator Fandino presented the staff report. In response to Commission questions, City Administrator Fandino and Finance Director Williams explained the cost comparison of building fees with other cities; status of the General Fund; reduction in deficit and expiration of special taxes; impact of COVID-19; proposed Vernon West Side Specific Plan; and impact of fees to existing businesses. The Commission discussed the proposed fee schedule and the impact of fees during the COVID-19 epidemic. MOTION Chair Cline moved and Commissioner Davis seconded a motion to recommend the City Council adopt a resolution approving new fees and deferring modified fees in the Proposed Fiscal Year General Fee Schedule. The question was called and the motion carried 4-1, Commissioner Baca dissenting and Commissioners Faust and Wendoll absent. ORAL REPORTS None. Regular Vernon Business and Industry Commission Meeting Minutes Page 3 of 3 May 14, 2020 ADJOURNMENT With no further business, Chair Cline adjourned the meeting at 10:14 a.m. ________________________ JACK CLINE, Chair ATTEST: _________________________ LISA POPE, Secretary (seal) Business and Industry Commission Agenda Item Report Agenda Item No. COV-271-2020 Submitted by: Daniel Wall Submitting Department: Public Works Meeting Date: August 13, 2020 SUBJECT Evaluation of Need for a Business Priority in City-owned Housing Lotteries Recommendation: Recommend whether the City should establish a business priority when renting City-owned housing units. Background: The City of Vernon owns 18 single family homes and an 8-unit apartment complex all located within the City’s boundaries. Vernon's housing stock is managed by the Vernon Housing Commission (VHC) which was established to provide open and transparent administration of Vernon's housing units. In order to remain transparent, unbiased, and fair with its rentals, placement in City-owned housing is based on a lottery system. As a vacancy occurs, a lottery is scheduled if more than one applicant confirms an interest in the available housing unit. Lately, there has been discussion about offering a business priority to Vernon workers who may be deemed as essential employees for manufacturing businesses located in the City. A business that requires a knowledgeable staff member to respond promptly in the event of a production emergency, may wish to have this essential employee reside in Vernon housing to ensure that business operations are not burdened with significant downtime if an unexpected issue arises. A business priority would place the Vernon worker in this category ahead of others on the interest list when a housing lottery is held. In order to determine whether a business priority would be useful to the City’s commercial/industrial community, staff is seeking feedback from the Business and Industry Commission. Fiscal Impact: There is no fiscal impact associated to this report. Attachments: