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20080421 Regular City Council Meeting - MinutesMINUTES OF THE REGULAR CITY COUNCIL MEETING OF THE CITY OF VERNON HELD APRIL 21, 2008, AT 10:14 A.M. IN THE COUNCIL CHAMBERS OF THE CITY HALL LOCATED AT 4305 SANTA FE AVENUE, VERNON, CALIFORNIA MEMBERS PRESENT: Malburg, Gonzales, Ybarra, Davis, McCormick MEMBERS ABSENT: None The meeting was called to order by Mayor Malburg. The City Administrator advised that there were no changes to the agenda. It was moved by Ybarra, seconded by Davis, that the Minutes of the Regular City Council Meeting held April 7, 2008, be approved and adopted as submitted. Motion carried. Councilman McCormick abstained and disqualified himself on this matter. RESOLUTION NO. 9594 - A Resolution of the City Council of the City of Vernon Authorizing the City Clerk to Make and Deliver a Certificate of Election to Council Member Hilario Gonzales and to Administer the Oath of Office, was read by title. It was moved by McCormick, seconded by Ybarra, that Resolution No. 9594 be approved and adopted. Motion carried. Councilman Gonzales abstained and disqualified himself on this matter. The City Clerk administered the Oath of Office to Mr. Hilario Gonzales and signed the Certificate of Election. RESOLUTION NO. 9595 - A Resolution of the City Council of the City of Vernon Authorizing the City Clerk to Make and Deliver a Certificate of Election to Council Member William J. Davis and to Administer the Oath of Office, was read by title. It was moved by Ybarra, seconded by McCormick, that Resolution No. 9595 be approved and adopted. Motion carried. Councilman Davis abstained and disqualified himself on this matter. The City Clerk administered the Oath of Office to Mr. William J. Davis and signed the Certificate of Election. The City Administrator announced that this was the time to appoint members to the following offices for the following committees: • Finance Committee: ➢ Chairman: ➢ Vice Chairman: • Personnel Committee: ➢ Chairman: ➢ Vice Chairman: • Public Benefits Resource Committee: ➢ Chairman: ➢ Vice Chairman: Regular City Council Meeting Minutes April 21, 2008 • Police & Fire Commission: ➢ Chairman: ➢ Vice Chairman: ➢ Alternates: It was moved by Gonzales, seconded by McCormick, to reappoint the current members to the same offices as follows. Motion carried. • City Council: Malburg, Gonzales, Ybarra, Davis, McCormick ➢ Mayor: Malburg ➢ Mayor Pro Tempore: Gonzales • Finance Committee: Five Current City Council Members ➢ Chairman: Malburg ➢ Vice Chairman: Gonzales • Personnel Committee: Five Current City Council Members ➢ Chairman: Malburg ➢ Vice Chairman: Gonzales • Public Benefits Resource Committee: Five Current City Council Members ➢ Chairman: Malburg ➢ Vice Chairman: Gonzales • Police & Fire Commission: Malburg, Gonzales, McCormick ➢ Chairman: Malburg ➢ Vice Chairman: Gonzales ➢ Alternates: Ybarra, Davis The City Administrator announced that this was time for anyone in the audience who wished to address the City Council on any agenda or non -agenda items other than with regard to any public hearings that may be listed. The Mayor asked if there was anyone in the audience who wished to address the City Council at this time. There was no one who wished to address the City Council at this time. ORDINANCE NO. 1146 - An Ordinance of the City Council of the City of Vernon Amending Section 2.69-1 of Chapter 2, Administration, of the Code of the City of Vernon, California, 1959, and Repealing All Ordinances or Parts of Ordinances in Conflict Therewith, was read by title for a second and final reading. It was moved by Gonzales, seconded by Davis, that Ordinance No. 1146 be approved and adopted. Motion carried. Ayes: Malburg, Gonzales, Ybarra, Davis, McCormick Noes: None Absent: None Abstained: None The City Administrator announced that this was the time to open the public hearing to consider an amendment to the existing variance for Orient Fisheries, Inc. located at 5970 Alcoa Avenue. Page 2 of 11 Regular City Council Meeting Minutes April 21, 2008 It was moved by Davis, seconded by Ybarra, to open the public hearing to consider an amendment to the existing variance for Orient Fisheries, Inc. located at 5970 Alcoa Avenue, the time being 10:22 a.m. Motion carried. The Mayor asked if there was anyone in the audience who wished to address the City Council on this matter. The Director of Community Services & Water summarized the details of the amendment to the existing variance for Orient Fisheries, Inc., which would include only on -site parking and not the additional parking previously approved by Resolution No. 9514. He advised that the parking request was exempt from the California Environmental Quality Act (CEQA) and recommended that the amendment to the variance be approved and a Notice of Exemption be filed. Mayor Pro-Tem Gonzales asked how many companies had requested variances for the same parking issue. The Director of Community Services & Water advised that only one company, Owens Brockway, had requested a variance for the same parking issue prior to the one from Orient Fisheries, Inc. He advised that the City was implementing the variance process to provide adequate parking to companies without having to burden neighboring businesses. The Mayor asked if there was anyone else in the audience who wished to address the City Council on this matter. There was no one else who wished to address the City Council on this matter. It was moved by McCormick, seconded by Davis, to close the public hearing to consider an amendment to the existing variance for Orient Fisheries, Inc. located at 5970 Alcoa Avenue, the time being 10:28 a.m. Motion carried. RESOLUTION NO. 9599 - A Resolution of the City Council of the City of Vernon Amending Resolution No. 9514 Granting a Variance to Orient Fisheries, Inc., from the Parking Provisions of the Comprehensive zoning Ordinance, for the Property Located at 5970 Alcoa Avenue in the City of Vernon, was read by title. It was moved by Gonzales, seconded by Ybarra, that Resolution No. 9599 be approved and adopted. Motion carried. The Consent Calendar was presented. CONSENT CALENDAR City Treasurer's Department 1. Ratification of Warrant Register No. 1238 to record the following voided checks issued to Metlife SBC: • Check No. 319888 in the amount of $31,267.02 on March 13, 2008. • Check No. 319906 in the amount of $32,079.04 on March 19, 2008 Page 3 of 11 Regular City Council Meeting Minutes April 21, 2008 2. Ratification of the issuance of checks for Payroll Warrant Register No. 622 covering claims and demands presented during the period of February 17 through March 15, 2008, drawn on Bank of America totaling $2,757,727.96, which includes Check Nos. 9559 through 9570 (Accounting period March 2008). 3. Ratification of City of Vernon Requisitions from the Light & Power Custody Escrow Account No. 800452 covering claims and demands presented during the period of March 22 through March 28, 2008, drawn on The Bank of New York Mellon Corporation totaling $1,456,556.63, which includes Requisition No. CE334. 4. Ratification of City of Vernon Requisitions from the Legal Counsel Disbursement Custody Escrow Account No. 800458 covering claims and demands presented during the period of March 22 through March 28, 2008, drawn on The Bank of New York Mellon Corporation totaling $290,366.82, which includes Requisition Nos. LCD309 through LCD315. Fire Department 5. Fire Department Activity Report for the period of April 3 through April 15, 2008, to be received and filed. Health Department 6. Request for authorization and partial funds for personnel to attend the following: • "National Environmental Health Association (NEHA) Conference" 7. Health Department Report for the month of March 2008, to be received and filed. Police Department 8. Request for authorization and funds for personnel to attend the following: • "Introduction to Prison Gangs and Disruptive Groups from State Institutions Course" (2) • "Basic TMS Millennium Training" (2) • "Background Investigators Update Training Seminar" • "Advanced Power Point Class" 9. Police Department Activity Log for the period of April 1 through April 15, 2008, to be received and filed. End of Consent Calendar It was moved by Ybarra, seconded by Davis, that the matters on the Consent Calendar be approved as recommended. Motion carried. Request from the City Attorney for authorization of a $5,000.00 contribution to the Oldtimers Foundation as a Gold Sponsor for the Foundation's Annual Gala Dinner and Silent Auction to be held Tuesday, April 29, 2008, in Huntington Park, California, was presented. Page 4 of 11 Regular City Council Meeting Minutes April 21, 2008 It was moved by McCormick, seconded by Gonzales, to authorize a $5,000.00 contribution to the Oldtimers Foundation as a Gold Sponsor for the Foundation's Annual Gala Dinner and Silent Auction to be held Tuesday, April 29, 2008, in Huntington Park, California. Motion carried. Request from the Director of Community Services & Water for ratification of the issuance of a purchase order to Merrimac Energy Group in the amount of $24,177.40 for fuel for the City's fleet vehicles, was presented. It was moved by Davis, seconded by Ybarra, to ratify the issuance of a purchase order to Merrimac Energy Group in the amount of $24,177.40 for fuel for the City's fleet vehicles. Motion carried. Request from the Director of Light & Power for authorization to provide new gas service connection to the City of Vernon Gas Distribution System for West Coast Rendering at a total cost of $51,005.39, was presented. It was moved by Ybarra, seconded by Gonzales, to authorize the Director of Light & Power to provide new gas service connection to the City of Vernon Gas Distribution System for West Coast Rendering at a total cost of $51,005.39. Motion carried. Request from the Director of Light & Power for approval of and authorization to execute Change Order No. Four to the contract with Wood Group Field Services, Inc. in the not to exceed amount of $52,000.00 for additional operational, mechanical, and technical support for the Malburg Generating Station provided through April 10, 2008, was presented. It was moved by McCormick, seconded by Davis, to approve Change Order No. Four to the contract with Wood Group Field Services, Inc. in the not to exceed amount of $52,000.00 for additional operational, mechanical, and technical support for the Malburg Generating Station provided through April 10, 2008, and to authorize the Director of Light & Power to execute said change order. Motion carried. RESOLUTION NO. 9596 - A Resolution of the City Council of the City of Vernon Accepting the Bid of AES Enterprises, Inc. for the Citywide Sewer System Closed Circuit Television (CCTV) Inspection in Accordance With Contract No. 610 of the City of Vernon and Approving the Execution of Said Contract, was read by title. It was moved by Ybarra, seconded by Gonzales, that Resolution No. 9596 be approved and adopted. Motion carried. RESOLUTION NO. 9597 - A Resolution of the City Council of the City of Vernon Approving and Authorizing Notice Inviting Sealed Proposals or Bids for the Purchase of One 2008 Dodge Charger for the Police Department, was read by title. It was moved by McCormick, seconded by Gonzales, that Resolution No. 9597 be approved and adopted. Motion carried. Page 5 of 11 Regular City Council Meeting Minutes April 21, 2008 RESOLUTION NO. 9598 - A Resolution of the City Council of the City of Vernon Authorizing the Issuance of a Request for Proposal for a 2008 Chevrolet W5500 Diesel Truck with Modified 16 Foot Van Body for the Department of Community Services & Water, was read by title. It was moved by Ybarra, seconded by Davis, that Resolution No. 9598 be approved and adopted. Motion carried. RESOLUTION NO. 9600 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of a Letter in Support of Assembly Bill 2546 Relating to the Air Toxics "Hot Spots" Information and Assessment Act, was read by title. It was moved by Gonzales, seconded by McCormick, that Resolution No. 9600 be approved and adopted. Motion carried. RESOLUTION NO. 9601 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of an Escrow Account Agreement By and Between the City of Vernon and the Bank of New York Trust Company, N.A. for City of Vernon Bicent Capacity Payment Custody Escrow Account, was read by title. It was moved by Ybarra, seconded by Davis, that Resolution No. 9601 be approved and adopted. Motion carried. RESOLUTION NO. 9602 - A Resolution of the City Council of the City of Vernon Amending Resolution No. 9362 by Amending and Ratifying the Amendment of Salary Schedule No. VI Regarding the Compensation Costs and Benefits of Its Employees, was read by title. It was moved by Gonzales, seconded by McCormick, that Resolution No. 9602 be approved and adopted. Motion carried. RESOLUTION NO. 9603 - A Resolution of the City Council of the City of Vernon Accepting the Bid of Keystone Archway Construction for the Renovation, Reconstruction and Remodeling of City -Owned Housing Located at 50th Street Apartments and Garages, 4329 Furlong Place, 3376, 3382, 3384, 3386 and 3390 50th Street, was read by title. It was moved by Ybarra, seconded by Gonzales, that Resolution No. 9603 be approved and adopted. Motion carried. RESOLUTION NO. 9604 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of a Futures Account Agreement By and Between the City of Vernon and Prudential Bache Commodities, LLC via Wachovia Securities, LLC and Authorizing the City to do All Other Actions Deemed Necessary or Advisable Concerning Said Account, was read by title. It was moved by Ybarra, seconded by Davis, that Resolution No. 9604 be approved and adopted. Motion carried. Page 6 of 11 Regular City Council Meeting Minutes April 21, 2008 Ratification of the issuance of early checks for Warrant Register No. 1239, covering claims and demands presented during the period of April 3 through April 16, 2008, drawn on Bank of America totaling $350,730.35, which includes Check Nos. 320168 through 320216, excluding Void Check No. 320189 (Accounting period April 2008), was presented. It was moved by McCormick, seconded by Gonzales, that the issuance of early checks for Warrant Register No. 1239, covering claims and demands totaling $350,730.35, be ratified. Motion carried. Councilman Davis abstained and disqualified himself on this matter. Ratification of wire transfers for Warrant Register No. 1239, covering claims and demands presented during the period of April 3 through April 16, 2008, drawn on Bank of America totaling $43,878.87, which includes Wire Nos. 275 through 277 (Accounting period April 2008), was presented. It was moved by Ybarra, seconded by Davis, that wire transfers for Warrant Register No. 1239, covering claims and demands totaling $43,878.87, be ratified. Motion carried. Warrant Register No. 1239, covering claims and demands presented during the period of April 3 through April 16, 2008, drawn on Bank of America totaling $279,849.59, which includes Check Nos. 320217 through 320364 (Accounting period April 2008), was presented. It was moved by Davis, seconded by Ybarra, that Warrant Register No. 1239 be approved and payment authorized for claims and demands totaling $279,849.59. Motion carried. Ratification of the issuance of early checks for Light & Power Warrant Register No. 204, covering claims and demands presented during the period of April 3 through April 16, 2008, drawn on Bank of America totaling $27,284.77, which includes Check Nos. 505405 through 505416 (Accounting period April 2008), was presented. It was moved by McCormick, seconded by Gonzales, that the issuance of early checks for Light & Power Warrant Register No. 204, covering claims and demands totaling $27,284.77, be ratified. Motion carried. Councilman Davis abstained and disqualified himself on this matter. Ratification of wire transfers for Light & Power Warrant Register No. 204, covering claims and demands presented during the period of April 3 through April 16, 2008, drawn on Bank of America totaling $4,615,257.20, which includes Wire Nos. 3922 through 3932 (Accounting period April 2008), was presented. It was moved by Ybarra, seconded by Davis, that wire transfers for Light & Power Warrant Register No. 204, covering claims and demands totaling $4,615,257.20, be ratified. Motion carried. Page 7 of 11 Regular City Council Meeting Minutes April 21, 2008 Light & Power Warrant Register No. 204, covering claims and demands presented during the period of April 3 through April 16, 2008, drawn on Bank of America totaling $171,364.19, which includes Check Nos. 505417 through 505464, excluding Void Check No. 505461 (Accounting period April 2008), was presented. It was moved by Gonzales, seconded by Ybarra, that Light & Power Warrant Register No. 204 be approved and payment authorized for claims and demands totaling $171,364.19. Motion carried. The City Administrator announced that this was the time for elected officials to report on conferences/seminars attended during the period of April 7 through April 20, 2008. Mayor Pro-Tem Gonzales reported on the Solar Power Finance & Investment Summit he attended in San Diego, California on April 7 through April 9, 2008. Many investors and lawyers also attended the summit in search of business and investment partners and opportunities. Mayor Pro-Tem Gonzales reported on a new type of solar power system that captures and stores solar energy strictly for residential use. The City Administrator announced that this was the time for reports from departments. The Fire Chief reported on the Fire Chiefs Conference held April 16 through April 18, 2008, at which various topics, such as homeland security, grants, training, etc., and different practices related to each topic were discussed. He also provided an update on the Automated External Defibrillator (AED) training and the placement of the AED units throughout City facilities. The Chief of Police advised of a thank -you letter the department received from the Downey Police Department for Canine Rico's assistance on a narcotics case in which the vehicle was identified, but narcotics were not recovered. He also advised that he would be away at a conference the rest of that week. The Director of Personnel reported that a deposit payment was made to the Double Tree Hotel to reserve a banquet room for the 2008 Holiday Luncheon. She also congratulated Councilmen Davis and Gonzales on their installations. The Finance Director advised that $288 million had been received in connection with the asset sale and that approximately $207 million had been used to pay down debt, while the remainder had been absorbed in cash flows. The Risk Manager provided an update on the insurance claims related to the September 2007 Malburg Generating Station (MGS) outage, of which some claims were still outstanding. He also announced that Avigal Horrow, who was sitting in the audience, had been hired to assist him with Risk Management matters. Ms. Avigal Horrow thanked the City Council for giving her the opportunity to work as a City employee and advised that she had been assisting the City as a consultant for some time. Page 8 of 11 Regular City Council Meeting Minutes April 21, 2008 The Director of Environmental Health reminded everyone that Earth Day was Tuesday, April 22, 2008. He advised that promotional materials for Earth Day would be distributed on the northeast corner of Pacific Boulevard and Vernon Avenue. The Director of Community Services & Water reported on the following projects: 1. Demolition of Thermador site on District Boulevard a. Crushing process to continue b.Currently reviewing the proposal received for the clean-up of contaminated soil 2.26th Street Storm Drain Project, which was progressing well 3. 26th Street Bridge Project a. Memorial lettering had been completed and would cover the entire length of the bridge The Director of Community Services & Water also congratulated Councilmen Davis and Gonzales on their installations. The Mayor asked the Director of Community Services & Water for the status of the lighting of the elevated water tank. The Director of Community Services & Water replied that he was in the process of looking into different options regarding the lighting of the water tank and that he would be working with the City Administrator on this matter. The Director of Light & Power congratulated Councilmen Davis and Gonzales on their installations and proceeded to report on the following matters: 1. Offered his support of the Fire Chief's proposal to ally the City with various agencies by allowing those agencies to utilize portions of the third floor of City Hall for administrative purposes. 2.City continues to dispatch the Malburg Generating Station (MGS) regardless of the asset sale. 3. Scheduled MGS outage to occur on April 22nd through April 26th or 27th, to replace nozzles on the damaged turbine. 4. Financial hedging the department is undertaking to minimize the impact of the expected rise in energy costs to City businesses. 5. MGS transmission distribution a. A few outages occurred as a result of a recent train derailment. b. Two outages caused by metallic balloons, one of which lasted approximately 40 minutes and lost an entire section. 6. Upcoming legislation prohibiting the manufacturing of metallic balloons. 7. Department's intent to maintain the MGS energy load at 120 MW and gradually increase that load to accommodate new customers. 8. Community outreach being conducted in connection with the Southeast Region Energy Project and the positive responses received thus far from residents in surrounding cities. Page 9 of 11 Regular City Council Meeting Minutes April 21, 2008 The Mayor asked if both MGS turbines would be down during the scheduled outage. The Director of Light & Power replied that both MGS turbines would be down during the scheduled outage, one to install the nozzles and one for maintenance. The City Attorney and the City Clerk individually congratulated Councilmen Davis and Gonzales on their installations. The Mayor reported on an upcoming water rate increase being imposed by the Central Basin Municipal Water District. The Director of Community Services & Water added that in addition to the water rate increase there was a possibility of water rationing in the future. The Mayor called a short recess at 11:14 a.m. The City Council reconvened in regular session at 11:19 a.m., all members present before the recess again being present. The City Administrator announced that now was the time to go into closed session. It was moved by Gonzales, seconded by Davis, that the City Council go into closed session, the time being 11:19 a.m. Motion carried. Everyone was excluded from closed session with the exception of Police Officer Richard Hill and his attorney, the Chief of Police, Director of Personnel, City Administrator, City Attorney, and members of the City Attorney's office. The Mayor ordered all communications to and from closed session deemed privileged and confidential. Officer Hill and his attorney were excused from closed session at 11:55 a.m. The Chief of Police and Director of Personnel were excused from closed session at 12:21 p.m. It was moved by Gonzales, seconded by Ybarra, that the City Council go out of closed session and resume regular session, the time being 12:26 p.m. Motion carried. It was reported out that the City Council had a conference in closed session regarding one Employee Discipline/Dismissal/Release matters pursuant to Government Code Section 54957 and the recommendation of the Chief of Police was approved. It was reported out that the City Council had a conference in closed session regarding one Public Employment matter pursuant to Government Code Section 54957 and approval was granted to hire Adriana Ramos as an Account Clerk, step 10, in the Purchasing Department, effective April 22, 2008. Page 10 of 11 Regular City Council Meeting Minutes April 21, 2008 It was reported out that the City Council had a conference in closed session regarding one Employee Appointment matter pursuant to Government Code Section 54957 and approval was granted to reclassify Marianne Vazquez from Administrative Assistant, step 5, to Account Clerk, step 5, and to transfer her from the Purchasing Department to the Light & Power Department effective April 22, 2008. It was reported out that the City Council had a conference in closed session with legal counsel regarding existing litigation case LASC No. BC 331516 pursuant to subdivision (a) of Government Code Section 54956.9, and no action was taken with regard to case. No closed session conference was held with regard to the one potential case of litigation pursuant to subdivision (c) of Government Code Section 54956.9 that was listed on the agenda. There being no further business to come before the City Council at this time, it was moved by McCormick, seconded by Davis, that the meeting be adjourned, the time being 12:26 p.m. Motion carried. ATTEST: Manuela Giron City Clerk Na e Leonis C� Malburg Title: Mayor Page 11 of 11