19500130 Regular City Council Meeting - Minutes
MINUTES OF AN ADJ OURNED REGULAR
MEETING OF THE CITY COUNCIL OF
THE CITY OF VERNON. HELD ON JANUARY
30, 1950, at 2 O'CLOCK P.M. IN THE
COUl'iCIL CHAMBERS OF THE CITY HALL,
LOCATED AT 4305 SANTA FE AVENUE,
VERNON , C ALIFcmIA
COUNCILMEN PRESENT; Anderson, Furlong, Mailliard
and Trowbridge.
COUNCILMEN ABSENT: Leonis
The meeting was called to order by Mayor R. J. Furlong.
It was moved by Mailliard, seconded by Trowbridge, that
the reading of the minutes of the previous meeting be laid over. Motion
carried.
The follOWing letter was received from the Board of
Public Works, City of Los Angeles; and was read
January 27, 1950.
To the Honorable City Council
of the City of Vernon
Vernon, california
Gentlemen:
Mr. Edward R. Young
Special Counsel of the City of Vernon
650 South Spring Street
Los Angeles 14, atlifornia
There has been presented to this Board, Resolution
No. 1460 of the City of Vernon, proposing a conditional parti-
cipation 1bn the cost of the new sewage treatment plant at
Hyperion. Today, this Board has been informed that Mr. E. R. Young,
special counsel :for Vernon, has indicated to the City Attorney's
office that Vernon desires to draft a new contract with Los Angeles,
aSSuming its fair share of such contruction cost, and for operation
and maintenance, and proposes that the trial o:f the pending suit
between these cities be postponed.
This Board does not believe it could proceed as outlined
in Resolution No. 1460, for it is advised that the arrangement
there contemplated would not be in accordance with the judgment in
Superior Court-Case 489,890. The Board is willing to consider a
new contract, which would definitely determine the relationships
between these cities in reference to sewage disposal; and which
would do away with the necessity of trying the existing litigation.
This Board therefore desires to indicate the basis of
such further proceedings as :follows:
1. The City of Vernon, by council action, should
undertake immediately to obligate itself to take and pay for
4.22082 per cent of the present designed capacity of the new
sewage treatment plant and works.
2. Vernon should immidiately appropriate and transmit
to this city its available funds :for this project (approximately
$700,000), and assign its Chapter 20, Laws 19~7, allocation
(approximately $7,000). These will be received, without prejudice
to any other rights Vernon may have, and without waiting for any
. :further negotiations.
3. Vernon will take immediate steps to produce the
balance of its proportionate share to date, and to produce the
remainder of the entire amount as required. This Board will
consider the problem of the liquidation of these balances in
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installments (Vernon meeting interest at 3 per cent on the same).
but advises that the Los Angeles reserve is not sufficient to
defer installments beyond the time actually necessary to produce
, said bonds by bond issue or taxation.
4. Vernon shall act to reimburse Los Angeles for its
proportionate share of bond interest, chlorination, operation and
over head charges incurred to date, and to meet such future payments
as required.
5. Vernon shall act to fix the ultimate requirements
of Vernon (1) in the outfall, and (2) in the new treatment plant
and ocean outfall, if such requirement exceeds the capacity now
allotted, and to provide for payment for any such excess. Vernon
shall bind itself to pay its proportionate share of the costs of
operation, maintenance, repair, rep~acement and reconstruction of
(1) the sewerage system and works, such proportion to be determined
by the ratio the Vernon <apacity in the outfall system 'tears to
the total; and (2) as to the plant and ocean outfall, by the ratio
the sewage delivered by Vernon bears to the total treated.
6. Any arrangement between Los Angeles and Vernon
shall not supplant, be substituted for, or impair, the obligations
imposed upon the parties by the judgment in said action No. 489,890.
7. That trial of Superior court Action No. 558132
between the cities be postponed from time to time, and dismissed if
agreement is reached, such agreement to supersede all others.
8. That any new agreement shall be drafted upon the
premise that the waste disposal concerned is a joint exercise of
powers by these cities; that each shall pay its pro rata share of
the joint operation; that provision shall be made for all foreseeable
developments; that provision shall be made that Los Angeles will
reacquire any capacity in the works in question not actually used
or required by Vernon, under a formula to be determined, that good
faith and cooperation shall attend the conduct of both parties.
The above recital is not a complete catalog of items
which must be covered in any contemplated contract, but it is hoped
it will serve as a broad outline for immediate action.
H.
Respectfully submitted,
BOARD OF PUBLIC WORKS
of the City of Los Angeles, ~l.ifornia
By (Signed) Mil ton Offner, S3cretay
It was moved by Anderson, seconded by Trowbridge, that
the communication from the Board of Public Works be filed. Motion carried.
Resolution No. 1468 - A resolution of the City Council
of the City of Vernon authorizing and directing the City Treasurer to trans-
fer certain sums from Special Funds to the General Fund; appropriate the sum
of $700,000 from the General for the purpose of paying in part the City of
Vernon's proportionate share of the cost of the new treatment plant and works
at Hyperion; authorizing and instructing the City Treasurer to pay said sum
of $700,000 to the City of Los Angeles upon direction by the City Attorney
of the City of Vernon.
Whereas on the first day of February, 1946 a judgment
was entered in the case entitled, "The People of the State of California vs.
City of Los Ange~es, a municipal corporation, et al.u, number 489890 in the
Superior Court of the State of California, in and for the County of Los Angeles;
and
Whereas, said judgment is binding upon the city of Vernon
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and its municipal officers; and
Whereas, siad judgment as it applies to the City of
Vernon requires, among other things, that the City of Vernon complete all
arrangements necessary for ~he financing of the City of Vernon's propor-
tionate share of the cost of the new treatment plant and works being con-
structed at Hyperion according to the gallonage alloted to said City of
Vernon "so that said share will be available as required"; and
Whereas, it has at all times since the first day of
February, 1946, and is now the desire and intention of the City Council of
the City of Vernon to comply with the terms and provisions of the judgment
of said court in said action numbered 489890 in so far as it is within the
power of the City Council so to do) and
Whereas, in furtherance of said desire and intention
the City Council did on the 17th day of January, 1950, pass and adopt
Resolution #1460 which authorized the City Attorney, and E. R. Young as
Special Counsel, to negotiate a contract with the City of Los Angeles
whereby the City of Vernon would be enabled to pay its proportionate share
of the cost of the new treatment plant and works being constructed at
Hyperion;and
Whereas, in said R -solution #1460 the City Council
recited, among other things, that it ha~ carefully reviewed the nature and
status of the General Fund and various special funds of the City of Vernon
and had determined that from said sources there could be made available the
total sum of $700,000 to be used for the purpose of paying in part the City
of Vernon's proportionate share of the new treatment plant and works at
Hyperion without jeopardizing the welfare of the City of Vemon; and
Whereas, certain negotiations have been conducted by
said E. R. Young as Special Souneel with the Board of Public Works and the
City Attorney's office of the City of Los Angeles, all of which negotiations
have been reported to this City Council; and
Whereas, a communication in the form of a letter dated
January 27,1950, has been received 'by this Counceil from the Board of Public
Works of the City of Los Angeles; and
Whereas, said letter of January 27, 1950, proposes,
among other things, that the City of Vernon pay immediately to the City of
Los Angeles the sum of $700,000 on account of the City of Vernon'spropor-
tionate share of the cost of the nevi treatment plant and works at Hyperion,
and- that said sum of $700,000 will be ~eceived by the City of Los Angees
without prejudice to any rights or claims wiich the City of Vernon may have;
it is further proposed in said letter of January 27, 1950, that the trial
of that action entitled, "City of Vernon vs. City of Los Angelestt numbered
558,132 in the Superior Court in and for the County of Los Angeles, which
trial is presently scheduled for February 6, 1950, be postponed pending
negotiations in good faith between the City of Vernon ardthe City of Los
Angeles of a contract respecting the mutual sewage problem of both cities,
which said contract shall be mutually satisfactory to both the City of Vernon
and the City of Los Angeles; and
Whereas,the City Council of the City of Vernon concurs
in the expressed desire and intention of the Board of Public Works of the
City of Los Angeles to negotiate a contract respecting the sewage problem
which said contract shall be mutually satisfactory to both parties, and the
City Council of the City of Vernon further concurs in the recommendation of
the Board of Public Works of Los Angeles that the trial of Action 558132
be postponed pending negotiations of such contract; and
Where~s, the City Council of the City of Vernon desires
to demonstrate its good faith and willingness to negotiate a settlement of
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the sewage problem confronting the City or Los Angeles and the City or
Vernon and to comply with the judgment of the Superior Court or Los Angeles
County in Action Number 489890;
Now, Therefore, le it Resolved:
That the City Treasurer be and he is hereby authorized
and directed as rollows:
(a) to transrer rrom the Light and Power Fund to the
General Fund the sum or Three Hundred Thousand ($300,000) Doiblars; and
(b) To transrer rrom the Emergency Fund to the General
Fund the sum or Two Hundred Thoiisand ($200,000) Dollars; and
(c) To transrer rrom the Water Fund to the General Fund
the sum or One Hundred Thousand ($100,000) Dollars.
(d) To transrer rrom the Special Construction and Better-
ment Fund to the General Fund the sum or One Hundred Thousand ($100,000)
Dollar s .
Be it Further Resolved that the sum or $700,000 is
hereby appropriated rrom the General Fund or the City or Vernon ror the
purpose or paying in part the City or Vernon's proportionate share or the
cost of the new treatment plant and works at Hyperion as required by the
judgment or the court in Action Number 489890 in the Surperior Court in and
ror the County or Los Angeles;
Be it Further Resolved that the City Treasurer of the
City or Vernon is hereby authorized and instructed, upon being advised and
directed by the City Attorney of the City or Vernon so to dO, to pay to the
City or Los Angeles in the manner and rorm to be prescribed by said City
Attorney the sum or $700,000, said payment to be accepted by the City of
Los Angeles on account of the City or Vernon's proportionate share of the
cost of the new treatment plant and works at Hyperion, and to be accepted
without prejudice to any or the rights which the City of Vernon claims by
reason or those certain contracts heretorore executed between the City or
Vernon and the City or Los Angeles, and without prejudice to the legal
position or rights or the City of Vernon in that action entitled, "City or
Vernon vs. City or Los Angelestl, numbered 558132 in the Superior Court or
Los Angeles County, was read.
It was moved by Trowbridge, seconded by Mailliard, that
Resolution No. 1468 be adopted., Motion carried.
Ayes:
Noes:
Absent:
Anderson, Furlong, Mailliard, Trowbridge
None
Leonis.
Resolution No. 1469 - Resolution or the City Councilor
the City or Vernon, california, employing O'Melveny & Myers as Bond Counsel,
was read.
It was moved by Anderson, seconded by Trowbridge, that
Resolution No. 1469 be adopted. Motion carried.
Ayes:
Noes:
Absent:
Anderson, Furlong, Mailliard, f-owbridge
None
Leonis.
Resolution No. 1470 - A Resolution or the City Council
or the City or Vernon authorizing R. J. Furlong, Mayor, and G. A. Anderson,
Deputy City Treasurer, to withdraw funds on deposit with any despository
ror the account of the City of Vernon, a Municipal Corporation, and author-
izing them to have access to any sai'e deposit box or boxes held by the City
of Vernon, was read.
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It was moved by Trowbridge, seconded by Anderson, that
Resolution No. 1470 be adopted. Motion carried.
Ayes:
Noes:
Absent:
Anderson, furlong, Maillhrd, Trowbridge
None
~eonis.
It was moved by Anderson, seconded by Mailliard, that
the meeting adjourn to February 2, 1950 at 2:00 P.M. Motion carried.
At~
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. I't-vJ
. EPUTY City Clerk
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