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19870616 Regular City Council Meeting - Minutes I I 28313G NOTICE OF OF ORDER OF ADJOURNMENT OF THE CITY COUNCIL MEETING OF THE CITY OF VERNON I HEREBY CERTIFY THAT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF VERNON HELD TUESDAY, JUNE 16, 1987, AT 4:45 P.M. IN THE COUNCIL CHAMBERS OF THE CITY HALL LOCATED AT 4305 SANTA FE AVENUE, VERNON, CALIFORNIA, WAS ADJOURNED BY ORDER OF THE COUNCIL (ALL MEMBERS PRESENT) TO TUESDAY, JUNE 30, 1987, AT 5:00 P.M. TO BE HELD IN THE COUNCIL CHAMBERS OF CITY HALL. ! ! I ,/ 1/ ';" /-' , , . / . '/ / ii..! Pi' .j~// \;'"' .1; /"i .,J,/,',! ,-':C, 1f./ / ,/'. ;' ''.;, :/ ../ <. .'/ " .'....1, 1.<, ; ,,", 7(A/ Bruce V. Malkenhorst ~ City Clerk I / II I,. ..', ~ BY: ,', lI( " l C. :( G(/() Gloria Orosco Chief Deputy City Clerk 283129 MINUTES OF A REGULAR CI1Y COUNCIL MEETING OF THE CITY OF VERNON HELD JUNE 16, 1987, AT 4:45 P.M. IN THE CITY COUNCIL CHAMBERS OF THE CITY HALL LOCATED AT 4305 SANTA FE AVENUE, VERNON, CALIFORNIA MEMBERS PRESENT: Malburg, Ybarra, Davis, McCormick, Gonzales MEMBERS ABSENT: None The meeting was called to order by Mayor Malburg. It was moved by Ybarra, seconded by Gonzales, that the minutes of the City Council meeting held June 2, 1987, be approved and adopted. Motion carried. At this time the Mayor asked if anyone wished to address the City Council regarding any items listed on today's agenda. There was no one present in the audience. The consideration of a letter of intent to extend the Power Sale Agreement between the Department of Water Resources of the State of California and the City of Vernon to enable Vernon to purchase capacity and energy from the Department of Water Resources. This letter of intent is intended to form the basis of an amendment to the existing Power Sale Agreement to be developed further by the City of Vernon and the Department of Water Resources. It is hereby recommended that the approval of the letter of intent to extend the Power Sale Agreement be granted and request authority to provide notice to Southern California Edison Company of said purchase, and also recommending the adoption of the following resolution (deferred from the City Council meeting of June 2, 1987): RESOLUTION NO. 5396 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of a Letter of Intent to extend the Power Sale Agreement Between the Department of Water Resources of the State of California and the City of Vernon to Provide for the Purchase of Capacity and Energy and to Provide Notice to Southern California Edison Company of Said Purchase (deferred from the City Council meeting of June 2, 1987), was presented. It was moved by McCormick, seconded by Gonzales, that the matter of a letter of intent to extend the Power Sale Agreement between the Department of Water Resources of the State of California and the City of Vernon to enable Vernon to purchase capacity and energy from the Department of Water Resources and Resolution No. 5396 be deferred to Closed Session. Police Department Activity Log for the period of June 1 thru 15, 1987, was presented. It was moved by McCormick, seconded by Davis, that the Police Department Activity Log for the period of June 1 thru 15, 1987 be received and filed. Motion carried. Fire Department Activity Report for the period of June 1 thru 15, 1987, was presented. It was moved by Ybarra, seconded by Gonzales, that the Fire Department Activity Report for the period of June 1 thru 15, 1987 be received and filed. Motion carried. Health Department Report for the month of May 1987, was presented. It was moved by Davis, seconded by Gonzales, that the Health Department Report for the month of May 1987 be received and filed. Motion carried. 00149~ 283130 City Council Minutes page 2 June 16, 1987 Communication from Michael D. Antonovich, Chairman of the Board of Supervisors for the County of Los Angeles, dated May 20, 1987 requesting that the City of Vernon consider adopting an ordinance to require new service stations within the County's jurisdiction to provide restrooms for their customers, was presented. It was moved by Gonzales, seconded by Davis, that aforementioned communication be received and filed. Motion carried. Communication from Bruce V. Malkenhorst, Director of Personnel, dated June 10, 1987, was presented, transmitting the agenda for the Personnel Committee Meeting to be held June 15, 1987, and recommending approval of recommendations contained thereon. It was moved by McCormick, seconded by Ybarra, that the items listed on the agenda for the Personnel Committee meeting held on June 15, 1987 be approved as recommended by the Personnel Committee. Motion carried. Communication from Bruce V. Malkenhorst, Director of Finance, dated June 10, 1987, was presented, transmitting the agenda for the Adjourned Regular Finance Committee Meeting to be held June 15, 1987, and recommending approval of recommendations contained thereon. It was moved by Gonzales, seconded by Davis, that the items listed on the agenda for the Adjourned Regular Finance Committee meeting be deferred to next City Council meeting. Motion carried. Communication from Frank Claunch, Acting Fire Chief, dated June 10, 1987, was presented, requesting authority and funds for Acting Battalion Chief Lynn Telford to attend the Haztech Systems Inc., in Los Angeles, on June 26, 1987 with an expense allowance of $135.00. It was moved by Ybarra, seconded by McCormick, that authority be granted to issue Acting Battalion Chief Lynn Telford a warrant in the amount of $135.00 to attend the Haztech Systems Inc., on June 26, 1987. Motion carried. Communication from Bruce V. Malkenhorst, City Clerk, dated June 10, 1987, was presented, advising of an agreement from Los Angeles County for the Examination of Tract and Parcel Maps for the 1987-88 fiscal year. The agreement will be automatically renewed at the end of each fiscal year, however, it does allow for the City to terminate the agreement by notifying the County 30 days prior to close of any fiscal year; the County may terminate at any time after giving the City 30 days notice. This agreement has been reviewed by the Director of Community Services and it is hereby recommended that said agreement be approved. It was moved by Gonzales, seconded by Ybarra, that the agreement from Los Angeles County for the Examination of Tract and Parcel Maps for the 1987-88 fiscal year be approved. Motion carried. Communication from Bruce V. Malkenhorst, City Clerk, dated June 10, 1987, was presented, advising of an agreement from L.A. Hanson for frontage improvements along 4550 Maywood Avenue; this agreement includes concrete removal, new curb, gutter, sidewalk and property line joins. Said agreement has been reviewed by the Director of Community Services and it is hereby recommended that it be approved. It was moved by Ybarra, seconded by McCormick, that the agreement from L.A. Hanson for frontage improvements along 4550 Maywood Avenue be approved. Motion carried. 0015 v 283131 City Council Minutes page 3 June 16, 1987 The consideration of a Special Use Permit for an Experimental and Demonstration permit relating to the Bear Butte Hydroelectric Project on the Pineridge Ranger District for the purpose of conducting archaeological inventory and ethnographic research in conjunction with the proposed Bear Butte Hydroelectric Project between the City of Vernon and the Forest Service, U.S. Department of Agriculture. In consideration for this use, the City of Vernon would pay the Forest Service the sum of $30 plus a fee of $2 per field day. Said Special Use Permit was reviewed by Staff and it is hereby recommended to approve said Permit and adopt the following resolution; and also authorize payment of fees in accordance with said Special Use Permit. It was moved by McCormick, seconded by Ybarra that the Special Use Permit for an Experimental and Demonstration permit relating to the Bear Butte Hydroelectric Project and payment of fees be approved. Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it's reasonably foreseeable that the decision will have a material financial effect on his source of income. RESOLUTION NO. 5398 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of a Special Use Permit Between the City of Vernon and the Forest Service, U.S. Department of Agriculture Respecting the Bear Butte Hydroelectric Project, FERC No. 8444, was presented. It was moved by Gonzales, seconded by Ybarra, that Resolution No. 5398 be approved and adopted. Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it's reasonably foreseeable that the decision will have a material financial effect on his source of income. Communication from Bruce V. Malkenhorst, City Clerk, dated June 8, 1987, was presented, recommending that a Resolution be adopted amending the Independent Cities Risk Management Authority Joint Exercise of Powers Agreement which will allow for the addition of new members; Monrovia and Colton. It was moved by McCormick, seconded by Ybarra that the afore- mentioned communication recommending that a Resolution be adopted amending the Independent Cities Risk Management Authority Joint Exercise of Powers Agreement be approved, and received and filed. Motion carried. At 5:25 P.M. the Mayor declared a recess. At 5:47 P.M., the City Council reconvened to Regular Session, all members present before the recess, again being present. RESOLUTION NO. 5399 - A Resolution of the City Council of the City of Vernon Approving an Amendment to the Independent Cities Risk Management Authority Joint Powers Agreement to Provide for the Admittance to Membership of the Cities of Colton and Monrovia; Approving and Authorizing Validation Proceedings and Designating City Representatives, was presented. It was moved by McCormick, seconded by Davis, that Resolution No. 5399 be approved and adopted. Motion carried. Communication from Victor Vaits, Director of Community Services, dated June 9, 1987, was presented, advising that Contract No. 473, Sunol Drive and Ayers Avenue Reconstruction, Bandini Boulevard Median, has been completed; the total contract price is $609,620.72. A final partial payment of $1,183.55 is now due and payable, with the remaining 10~ of $60,962.07 due thirty-five (35) 00150~ I 283132 City Council Minutes page 4 June 16, 1987 ~. days after acceptance. It is hereby recommended that the work be accepted, and that authority be granted to pay Excel Paving Company, 2230 Lemon Avenue, P.O. Box 16405, Long Beach, California, 90806- 5195, in accordance with Contract No. 473. It was moved by Gonzales, seconded by Ybarra, that the aforementioned communication regarding Contract No. 473 be received and filed and that the work be accepted and authority be granted to pay Excel Paving Company. Motion carried. RESOLUTION NO. 5400 - A Resolution of the City Council of the City of Vernon Accepting the Work of Sunol Drive and Ayers Avenue Reconstruction and Bandini Boulevard Median, in Accordance with Contract No. 473 of the City of Vernon, was presented. It was moved by Davis, seconded by Ybarra, that Resolution No. 5400 be approved and adopted. Motion carried. Communication from Lew Adams, Director of Water & Power Department, dated June 11, 1987, was presented, submitting for your review "Amendment No. 1 to the Contract Between City of Vernon and Department of Water and Power of the City of Los Angeles for Palo Verde Nuclear Generating Station Transmission Service Agreement." The original agreement provided for Riverside, under a separate agreement, to act as billing agent for the cities of Azusa, Banning, Colton and Vernon. This separate agreement was not completed and Vernon proceeded alone. This amendment corrects the agreement to conform with. actual practice. It is hereby recommended that said amendment be approved. It was moved by Ybarra, seconded by Davis, that "Amendment No. 1 to the Contract Between City of Vernon and Department of Water and Power of the City of Los Angeles for Palo Verde Nuclear Generating Station Transmission Service Agreement" be approved and that the communication be received and filed. Motion carried. RESOLUTION NO. 5401 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of an Amendment No. 1 to the Contract Between the City of Vernon and The Department of Water and Power of the City of Los Angeles for Palo Verde Nuclear Generating Station Transmission Service Agreement, was presented. It was moved by McCormick, seconded by Gonzales, that Resolution No. 5401 be approved and adopted. Motion carried. Communication from Lewis Adams, Director of Water & Power Department, dated June 11, 1987, was presented, submitting for your review the Associate Member Agreement wherein Vernon would join the regional agency entitled Underground Service Alert of Southern California with annual dues being $70. This agreement is in accordance with AB 3020 which was approved by the Governor on September 9, 1986. It is hereby recommended that the agreement be approved and that the Mayor execute same. It was moved by Gonzales, seconded by Davis, that the Associate Member Agreement be approved and that communication be received and filed. RESOLUTION NO. 5402 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of an Associate Member Agreement Between the City of Vernon and Underground Service Alert of Southern California ("USA-SC") Requesting Associate Membership in Said Regional Notification Center Pursuant to AB 3020 and Ratifying the Articles of Incorporation, By- Laws and Operating Procedures of USA-SC, was presented. It was moved by Ybarra, seconded by McCormick, that Resolution No. 5402 be approved and adopted. Motion carrtrd150k. I I 283133 ity Council Minutes age 5 June 16, 1987 Communication from Bruce V. Malkenhorst, City Clerk, dated June II, 1987, was presented, advising that staff has pursued the matter of obtaining engineering firms to perform an appraisal of California Water Service Company's facilities within the City of Vernon. At this time we have only received a proposal from James M. Montgomery, Consulting Engineers, Inc., which has been transmitted for your review. This proposal has been reviewed by the Director of Water & Power and it is hereby recommended that said proposal be accepted and the Mayor authorized to execute same. It was moved by Ybarra, seconded by Davis, that aforementioned communication in the matter of obtaining engineering firms to perform an appraisal of California Water Service Company's facilities within the City of Vernon be deferred to next City Council Meeting. Motion carried. Warrant Register No. 719 covering claims and demands during the period of June 1 thru 15, 1987 which includes demand Nos. 13147 thru 13368 (both inclusive) and Demand No. 13032 in the amount of $398.50, excluding Void Demand Nos. 13149, 13182 thru 13185 and excluding Light and Power Demands, drawn on the First Interstate Bank totaling $149,048.57 (Accounting Period June 1987), was examined and audited. It was moved by Davis, seconded by Ybarra, that Warrant Register No. 719 be approved and payment authorized for Demand Nos. 13147 thru 13368 (both inclusive) and Demand No. 13032 in the amount of $398.50, excluding Void Demand Nos. 13149, 13182 thru 13185 and excluding Light and Power Demands, in the amount of $149,048.57. Motion carried. Warrant Register No. 719 covering claims and demands presented during the period of June 1 thru 15 1987 which includes Light & Power Demand Nos. as listed below, drawn on the First Interstate Bank totaling $3,625,718.08 (accounting Period June 1987) was examined and audited: 13151 13156 13167 13168 13176 13300 13303 13310 13319 13328 13333 13334 13336 13350 13362 13365 13366 13177 13179 13180 13207 13218 13234 13242 13246 13256 13272 13373 13278 13282 13287 13292 It was moved by McCormick, seconded by Gonzales, that Warrant Register No. 719 be approved and payment authorized for Light and Power Demand Nos. as listed above, in the amount of $3,625,718.08 with no other exceptions. Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it is reasonably foreseeable that the decision will have a material financial effect on his source of income. The consideration of letters of intent to purchase capacity and energy from the Department of Water and Power of the City of Los Angeles, the City of Pasadena, the Salt River project, the Pacific Gas and Electric Company, and the Bonneville Power Administration. It is anticipated that upon approval of the above agreements, notice will be provided to the Southern California Edison Company of said purchases and appropriate resolutions will also be proposed with said agreements. It was moved by McCormick, seconded by Gonzales, that the matter of letters of intent to purchase capacity and energy from the Department of Water and Power of the City of Los Angeles, the City of Pasadena, the Salt River Project, the Pacific Gas and Electric Company, and the Bonneville Power Administration, be deferred to Closed Session. Motion carried. 00150J I I 283134 City Council Minutes page 6 June 16, 1987 At this time 6:35 P.M. the Mayor declared a recess. The Council reconvened in Regular Session, the time being 7:05 P.M., all persons present before the recess again being present. It was moved by Ybarra, seconded by McCormick, that the City Council recess to Closed Session pursuant to Government Code Section 54956.9 (b), the time being 7:05 P.M. Motion carried. All persons with the exception of the City Attorney, the City Clerk and the Director of Water and Power were excluded from Closed Session. The Mayor ordered all communications to and from Closed Session deemed privileged and confidential. The Director of Water and Power was excused from Closed Session, the time being 7:40 P.M. Councilman Davis was excused from Closed Session, the time being 7:40 P.M. Councilman Davis resumed his seat on the Council at 7:55 P.M. It was moved by Ybarra, seconded by McCormick, that City Council go out of Closed Session and resume Regular Session, the time being 7:56 P.M. The City Attorney reported that Edison has filed a compliance filing with the Federal Energy Regulatory Commission in Docket No. ER81-177 and indicated that Edison had not made all of the adjustments as required by the Commission's final decision and requested that the City Council authorize the City Attorney to intervene in said compliance filing for the purpose of correcting the compliance filing in order to obtain additional refunds for the City of Vernon. It was moved by Ybarra, seconded by McCormick, that the City Attorney's recommendation be approved and that he be authorized to intervene in the compliance filing in Docket No. ER81-177. Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it is reasonably foreseeable that the decision will have a material financial effect on his source of income. The City Attorney reported that Edison had filed its new rate case which included settlements with some of the resale cities identified as FERC Docket No. ER87-483. Vernon did not settle with Edison and therefore, objects to the rate level established by Edison in the filing. He recommended that City Council approve the City Attorney's intervention in said rate filing to protect the City's interest and obtain a lower rate for the City's purchases of capacity and energy from Edison. It was moved by Gonzales, seconded by Ybarra, that the City Attorney's recommendation be approved and that he be authorized to intervene in FERC Docket No. 87-483. Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it is reasonably foreseeable that the decision will have a material financial effect on his source of income. The City Attorney indicated to the Council that Edison had refused to provide transmission to Vernon for its entitlement in Boulder Canyon Project and recommended that the City request the Judge in FERC Docket No. ER84-75 (phase II) to reopen the record to consider Edison's recent conduct. 00150~ I I 2&al~5 City Council Minutes page 7 June 16, 1987 It was moved by McCormick, seconded by Gonzales, that the City Attorney's request be approved and that he be authorized to file a motion to reopen the record in FERC Docket No. ER-84-75 (phase II). Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it is reasonably foreseeable that the decision will have a material financial effect on his source of income. The City Attorney also indicated that Edison had filed with FERC an adjustment to the rates effective from 1986 through Ju~e of 1987 as established by the 1986 settlement agreement which provided that changes in the income tax law would be reflected by an interim filing in accordance with said changes. Edison's filing does not make all the adjustments for the changes in the 1986 Federal Income Tax Reform Act and therefore, recommended that he be authorized to intervene in said action to raise issues to protect the City's interest and reduce the City's rates. It was moved by Ybarra, seconded by McCormick, that the City Attorney's recommendations be approved and that he be authorized to intervene in FERC Docket No. 87-365. Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it is reasonably foreseeable that the decision will have a material financial effect on his source of income. The City Attorney reported that he had received offers to sell capacity and energy to Vernon from Bonneville Power Administration and California Department of Water Resources. Be indicated that both these offers were the best offers available at that time and requested that the City Council authorize the City Administrator to execute these offers subject to approval of the City Attorney. It was moved by Gonzales, seconded by Ybarra, that the City Attorney's recommendations be approved. Motion carried. Councilman Davis abstained from voting on the above motion and disqualified himself because it is reasonably foreseeable that the decision will have a material financial effect on his source of income. It was moved by McCormick, seconded by Ybarra that the m~eting adjourn to June 30, 1987 at 5:00 P.M. ATTEST: d:- /~~ Bruce V. Malkenhorst City Clerk 00150