20121016 Regular City Council Meeting - MinutesMINUTES OF THE REGULAR CITY COUNCIL MEETING OF
THE CITY OF VERNON HELD TUESDAY, OCTOBER 16, 2012,
IN THE COUNCIL CHAMBER OF THE CITY HALL LOCATED
AT 4305 SANTA FE AVENUE, VERNON, CALIFORNIA
MEMBERS PRESENT: Davis, McCormick, Maisano, Ybarra
MEMBERS ABSENT: None
The meeting was called to order at 9:00 a.m. by Mayor Pro-Tem
Davis. Councilmember Ybarra led the flag salute.
Chief City Attorney, Willard Yamaguchi announced that there were
no changes to the agenda.
PUBLIC COMMENT
Chief City Attorney, Willard Yamaguchi announced that this was
the time allotted for public comment. Mayor Pro-Tem Davis
inquired whether anyone in the audience wished to address the
City Council. No one responded.
PRESENTATIONS
1. Presentation by Erin Kelly of the Muscular Dystrophy
Association (MDA) thanking the Vernon firefighters for
their fundraising efforts in support of the MDA.' Vernon
firefighters raised over $27,000 in 2012.
Erin Kelly, Executed director of the Muscular Dystrophy
Association ("MDA"), reported that this has been the most
successful year in the four years MDA has worked with Vernon
firefighters. The funds will be used towards clinic costs,
support groups, medical equipment and research. She thanked the
staff for all their efforts.
Firefighter Corey Hernandez reported on staffs' involvement and
participation including counseling at a kid's summer camp and
the Fill the Boot campaign.
Kelly announced that over the four years over $85,000 have been
raised in addition to the volunteer work.
CONSENT CALENDAR
It was moved by McCormick and seconded by Ybarra, that the
matters on the Consent Calendar be approved as recommended.
Motion carried, 4-0.
1. Warrant Registers
a. Approval of Payroll Warrant Register No. 676 August
12, through September 8, 2012, and consists of the
following:
1. Ratification of direct deposits, checks and
taxes totaling $1,948,257.68; and
2. Checks and electronic fund transfers (EFTS)
through the General bank account totaling
$727,640.33.?
Regular City Council Meeting Minutes
October 16, 2012
b. Approval of City Warrant Register No. 1366, totaling
$585,839.44, which covers the period of September 25,
through October 8, 2012, and consists of the
following:
1. Ratification of wire transfers totaling
$113,651.28; and
2. Ratification of the issuance of early checks
totaling $206,806.20; and
3. Authorization to issue pending checks totaling
$265,381.96.
c. Approval of Light & Power Warrant Register No. 331,
totaling $2,924,135.34, which covers the period of
September 25, through October 8, 2012, and consists of
the following:
1.Ratification of wire transfers totaling
$2,644,106.43; and
2. Ratification of the issuance of early checks
totaling $152,947.54; and
3.Authorization to issue pending checks totaling
$127,081.37.
d. Approval of Gas Warrant Register No. 119, totaling
$1,925,546.44, which covers the period of September
25, through October 8, 2012, and consists of the
following:
1. Ratification of wire transfers totaling
$1,897,285.58; and
2. Ratification of the issuance of early checks
totaling $330.27; and
3. Authorization to issue pending checks totaling
$27,930.59.
2. Community Services
a. Building Department Report for the month of September
2012, to be received and filed.
3. Fire Department
a. Activity Report for the period of September 16,
through September 30, 2012, to be received and filed.
4. Health Department
a. September 2012 Monthly Report, to be received and
filed.
5. Light & Power Department
a. June 2012 Resource Procurement Report, to be received
and filed.
6. Police Department
a. Activity Log and Statistical Summary of Arrest and
Activities for the period of September 16, through
September 30, 2012, to be received and filed.
Page 2 of 10
Regular City Council Meeting Minutes
October 16, 2012
RESOLUTIONS
1. City Administration
a. Resolution No. 2012-191 - A Resolution of the City
Council of the City of Vernon Authorizing the Issuance
of a Notice Inviting Sealed Proposals or Bids for the
Sale of 500 Acre -Feet of Water Rights in the Central
Basin
City Administrator, Mark Whitworth reported the proposal is an
answer due to the lack of the Utility User Tax that failed to
pass voter approval in the September 18, 2012, election.
Director of Community Services and Water, Kevin Wilson was asked
to review the City's water supply, and it was determined that
500 acre-feet of the City's adjudicated water rights could be
sold, and still have sufficient water supply to meet the city's
demand.
In response to Mayor Pro-Tem Davis, Wilson reported that
approximately 60 of the City's water supply will be out for bid.
Wilson further reported that the contract with the Central Basin
Municipal Water District ("MWD") will be expiring; the City
anticipates that it will enter into an additional 5-year
contract with them.
In response to Councilmember Ybarra's inquiry on future effects
of the sale, Wilson advised that the City can lease water rights
should it have a need to.
In response to Mayor Pro-Tem Davis, Wilson reported that the
anticipated bid price per acre-feet is $7,800. Water rights are
not for sale very often, Wilson anticipates several bids.
In response to both Mayor Pro-Tem Davis' and Councilmember
Ybarra's concerns, Wilson explained that the City purchases
1,000 acre-feet of surface water from the MWD; 500 acre-feet of
this water will be bid.
It was moved by McCormick and seconded by Maisano to approve
Resolution No. 2012-191. Motion carried, 4-0.
b. Resolution No. 2012-192 - Resolution Authorizing a
Correction to the Amendment to Contract between the
Board of Administration California Public Employees'
Retirement System and the City Council City of Vernon
City Administrator, Mark Whitworth advised that the resolution
will make necessary corrections to the Ca1PERS agreement.
Joung Yim of Libert Cassidy Whitmore clarified that the
amendment will retroactively revoke the 2002 resolution which
included City attorneys, and correct the 2008 amendment.
Yim confirmed for Mayor Pro-Tem Davis that the amendment will
have no affect to miscellaneous employees.
In response to Steve L'Ecluse of Bandini Truck Terminal, Inc.,
Yim reported that since the City Attorney position will not be
awarded the safety classification there will be a monetary
affect. Whitworth further clarified that CalPERS will have to
Page 3 of 10
Regular City Council Meeting Minutes
October 16, 2012
recalculate the fees, which might mean money back to the City,
and further reduce future costs.
In response to Independent Reform Monitor, John Van De Kamp,
Whitworth reported that miscellaneous employee pay 8% while
safety personnel pay 90. The additional 1% paid for the City
Attorney under the safety classification would be returned.
It was moved by McCormick and seconded by Ybarra to approve
Resolution No. 2012-192. Motion carried, 4-0.
2. City Attorney Department
Resolutions Nos. 2012-193 and 2012-194 were heard at the same
time.
a. Resolution No. 2012-193 - A Resolution of the City
Council of the City of Vernon Approving and
Authorizing the Execution of an Attorney Services
Agreement By and Between the City of Vernon and Mark
E. Mandell d/b/a Mandell Municipal Counseling for
Legal Services Regarding Municipal Revenue
City Attorney, Nicholas Rodriguez explained that the bidding
process for specialized services is not the best practice, as
the bid is normally awarded to the lowest qualified bidder.
Rodriguez explained that Mark Mandell specializes in municipal
revenue; services that are needed now. Mandell is a sole
proprietor that can provide expertise on a short term basis,
with a contract not to exceed $35,000.
b. Resolution No. 2012-194 - A Resolution of the City
Council of the City of Vernon Authorizing the Issuance
of a Request for Proposals for Legal Services
Regarding Personnel and Labor Law Attorney Services
City Attorney, Nicholas Rodriguez advised that Libert Cassidy
Whitmore has been retained on a short term basis to assist with
an immediate need for personnel procedures. However, due to the
long term goals of the reform efforts, a request for proposals
is being recommended for legal services.
City Administrator, Mark Whitworth reported that Libert Cassidy
Whitmore has been conducting a good job and anticipates that
they will be participating in the bidding process.
In response to Mayor Pro-Tem Davis, Rodriguez reported that both
requests fall within budget.
It was moved by McCormick and seconded by Maisano to approve
Resolution No. 2012-193 and Resolution No. 2012-194. Motion
carried, 4-0.
3. Community Services and Water Department
a. Resolution No. 2012-195 - A Resolution of the City
Council of the City of Vernon Accepting the Bid of
Meta Housing Corporation and Approving and Authorizing
the Execution of an Agreement to Negotiate Exclusively
By and Between the City of Vernon and Meta Housing
Page 4 of 10
Regular City Council Meeting Minutes
October 16, 2012
Corporation for the 52nd Drive Housing Development
Project
Director of Community Services and Water, Kevin Wilson gave a
presentation on the 52nd Drive Housing Development Project,
reporting on the request for proposal and selection process.
Wilson announced that Meta Housing Corporation had been selected
as the most qualified. Wilson sought guidance on the concept
design, modern versus classic.
Wilson reported that part of the negotiation agreement will be
to determine the City's monetary contribution. An increase to
the number of units has been requested to increase the value of
the land, and thus decreasing the City's potential contribution.
In response to Councilmember McCormick, Wilson confirmed that
the project will be low to moderate income housing, which will
satisfy the criterion for funding.
In response to Mayor Pro-Tem Davis, Wilson confirmed that there
is the same number of units regardless of the concept.
In response to Councilmember Ybarra's inquiry on whether the
property will be leased or sold, Wilson advised that it will be
part of the negotiation agreement. The units will be
independently owned and operated by the developer, the details
of which will also be part of the development agreement. Wilson
advised that an amended zoning ordinance will first need to be
approved by Council.
Councilmember McCormick recommended the traditional concept
design. Councilmember Maisano concurred and added that it would
fit the surrounding environment. All were in agreement.
It was moved by Ybarra and seconded by McCormick to approve
Resolution No. 2012-195. Motion carried, 4-0.
4. Light & Power Department
a. Resolution No. 2012-196 - A Resolution of the City
Council of the City of Vernon Authorizing the Issuance
of a Request for Proposals for the Function of
Collection of PastDueReceivables
Director of Light &Power, Carlos Fandino reported that the
request for proposals will assist in the collection of late
payments and non -payments in the Customer Service area.
In response to Mayor Pro-Tem Davis, Fandino reported that
delinquent accounts account for less than $100,000 but that the
process for collecting fees takes up staff time and effort.
In response to Councilmember Maisano, Fandino explained that
there is no added cost; rather, the collections agency will take
a portion of the funds collected.
Councilmember Ybarra inquired this was something the City
Attorney's Office could manage. City Attorney, Nicholas
Rodriguez reported that the department is understaffed. Where
it a single case or two, then the it could be managed by staff.
However, Fandino clarified that the agency's service will be
City wide. City Administrator, Mark Whitworth further added
Page 5 of 10
Regular City Council Meeting Minutes
October 16, 2012
that the agency will address the need left from the downsizing
of departments.
It was moved by Ybarra and seconded by McCormick to approve
Resolution No. 2012-196. Motion carried, 4-0.
b. Resolution No. 2012-197 - A Resolution of the City
Council of the City of Vernon Approving and
Authorizing the Execution of an Attorney Services
Agreement By and Between the City of Vernon and Kahn,
Scares & Conway, LLP regarding Advisory Services for
the Department of Light & Power
Director of Light & Power, Carlos Fandino reported that in order
to address the concerns over AB1900 and AB2196, a selection
process was conducted for a lobbyist firm. Kahn, Scares &
Conway, LLP due to their previous success in getting the bio-
methane approved. Their services will be needed to address
other bills concerning renewable portfolio standards ("RPS") and
greenhouse gas. Their services are requested until the end of
the fiscal year, with expenses not to exceed $90,000
Audience member Steve L'Ecluse of Bandini Truck Terminal, Inc.
inquired whether the expense was necessary. In response City
Administrator, Mark Whitworth advised that their services
potentially saved customers 8% in RPS costs.
It was moved by McCormick and seconded by Maisano to approve
Resolution No. 2012-197. Motion carried, 4-0.
c. Resolution No. 2012-198 - A Resolution of the City
Council of the City of Vernon Terminating the
Professional Services Agreement Approved by Resolution
No. 2010-101 By and Between the City of Vernon and
Port Canaveral Consultants, Inc., and Approving and
Authorizing the Execution of a New Professional
Services Agreement By and Between the City of Vernon
and Port Canaveral Consultants, Inc. for Energy
Project Management and Engineering Services
Director of Light and Power, Carlos Fandino reported that during
the JLAC audit it was noted that the agreement with Peter
Hervish, DBA Port Canaveral Consultants, Inc., did not specify
reimbursement for travel and other expenses.
Fandino reported that Hervish provides unique consulting
services for the Malburg Generating Station, Tehachapi Wind
Project, and other specialized projects. Fandino requested that
approval of the new agreement, advising that the cost remains
the same, but that the expenses are further clarified.
It was moved by Ybarra and seconded by McCormick to approve
Resolution No. 2012-198. Motion carried, 4-0.
NEW BUSINESS
I.Approval of the City's contribution to the connection costs
for new natural gas customers in the amount of $31,014.
Director of Light & Power, Carlos Fandino advised that there are
several customers that want to connect to the City's gas system
but that the payback under the tariff is an issue. The
Page 6 of 10
Regular City Council Meeting Minutes
October 16, 2012
Department would like to expand the natural gas system and has
proposed a supplemental installation charge and an increased
payback period. Fandino explained that tariff schedule is not
being amended but rather requests the contribution of $31,014
for the connection costs.
In response to Councilmember McCormick, Fandino reported that
the request involves 5 potential new customers.
In a comparison between the City of Vernon and Southern
California Gas, Fandino reported that the City's connection fees
are higher due to our infrastructure.
Fandino advised that after the payback period is over, revenue
in the natural gas system will increase.
It was moved by McCormick and seconded by Maisano to approve the
City's contribution for the connection costs for the new natural
gas system customers. Motion carried, 4-0.
DISCUSSION ITEMS
1. Recommendation to maintain the salaries of various
Department Head positions as previously adopted in Salary
Resolution No. 2012-115.
Human Resources Director, Teresa McAllister reported on the
various positions comparing data from a large sample group and a
small sample group. She recommended maintaining the salaries as
previously adopted, as lowering the salaries would make
positions in Vernon less competitive. Alternatively, salary
ranges can be implemented with a minimum and maximum.
McAllister advised that a study on fringe benefits is
forthcoming.
In response to Councilmember Ybarra, McAllister clarified that
the data reflected the maximum and minimum salary schedule as
actual salaries may include fringe benefits.
In response to Independent Reform Monitor John Van De Kamp,
McAllister advised that fringe benefits can account for
approximately 20% of compensation. McAllister clarified that
the survey was to compare the same information that was
previously presented in May.
ORAL REPORTS
Interim Police Chief Daniel Calleros reported that on October 2,
2012, the Farm Animal Rights Movement group conducted two
demonstrations at Framer Johns. Calleros advised that the
demonstration was peaceful with the exception of two females who
refused to move away from the driveway. They were subsequently
arrested.
On October 12, 2012, officers arrested two subjects for
possession of stolen property. Officers observed the two
subjects loading a box of merchandise from a roll -off dump truck
into a van that was parked adjacent to the truck. During the
course of the investigation it was determined the boxes of
merchandise were stolen.
Page 7 of 10
Regular City Council Meeting Minutes
October 16, 2012
On October 14, 2012, a brandishing of a firearm was reported in
the 4400 block of Ayers Avenue. The victim was walking home
from work, when he was approached by an acquaintance; the
suspect brandished a handgun demanding to speak with the victim.
The victim fearing for his safety ran to Fire Station No. 4 to
report the incident. The information provided by the victim
will be followed up by detectives.
Calleros reported that the canine and motorcycle units attended
the Annual Boy Scout Pancake Breakfast at Fire Station No. 1 on
October 13, 2012. The event was well attended. He encouraged
these types of community events more frequently.
Captain James Rodino reported that there were no acts of
vandalism.
Mayor Pro-Tem Davis reported vandalism at 5111 Hampton Avenue.
Councilmember McCormick reported vandalism at Farmer John by
Bandini Boulevard.
Assistant Fire Chief, Andrew Guth reported that most responses
have been routine in nature. The training focus for the month
of October continues to be live fire training. Guth reported
that there were over 300 in attendance at the Annual Boy Scout
Pancake Breakfast. Guth announced that the department will
continue to sell pink bracelets in honor of Breast Cancer
awareness Month until the end of the month.
Fire Chief, Mark Whitworth reported on a potential future
agreement to enhance mutual aid with the City of Long Beach.
Director of Light & Power, Carlos Fandino reported the
completion of the arc flash upgrade relays.
Fandino reported on the need to send a turbine to Scotland for
necessary repairs. Fandino explained that parts for the turbine
are almost non existent. He further expressed the need for
urgency, as the down turbine will affect revenue. Proposals are
being requested and will be presented for Council approval.
Fandino reported on various power outages. He advised that the
California Energy Commission guide book is anticipated to be
ready in December. This will provide further guidance on
renewable portfolio standards and the applicability of the bio-
methane gas.
Fandino announced the Electric Rates Advisory Committee meeting
on October 17, 2012, to review the Light & Power Budget and
provide an update on the status of the proposed rebate program.
Director of Health and Environmental Control, Leonard Grossberg
reported the completion of the solid waste audit. He announced
Sustainability Open House on October 18, 2012, and the next
Sustainable Development and Energy Efficiency Commission meeting
on October 17, 2012, at 3:30 p.m.
Director of Community Services and Water, Kevin Wilson reported
that the Advisory Committee on Business Development Meeting had
been adjourned due to a lack of quorum. Comments on the I-710
project have been submitted. The Water Department is working
with the City Attorney on potential new rates. Wilson announced
Page 8 of 10
Regular City Council Meeting Minutes
October 16, 2012
the vacancy on the Business Development Committee, a
recommendation to fill the vacancy will be presented to Council.
Assistant to City Administrator, Alex Kung reported on the
Oversight Board to the Successor Agency to the Redevelopment
Agency meeting is on October 4, 2012. Main discussion topic was
the sale for the Angelus Can site, it was determined that an
appraisal for the site would be obtained in order to determine
the appropriate value of the land before offers are entertained.
The next Oversight board meeting is scheduled for November 1,
2012.
City Administrator, Mark Whitworth announced the next Vernon
Housing Commission meeting on December 12, 2012, at which point
the lottery will be conducted for the housing waiting list.
Whitworth reported on the election contest advising that the
Hearing Officer issued her written findings on October 15, 2012.
The next step is for City Council to make a decision at a public
meeting based on the recommendations.
Whitworth advised that the approval of the water rights will
provide revenue for the general fund for this fiscal year.
Alternative revenue sources are being reviewed for the April
2013 election. Whitworth advised that he has met with the
Chamber of Commerce and a small business group to discuss
potential revenue streams and reductions in expenditures.
Whitworth reported on the employee meeting held on October 3rd
and 4th and on the JLAC audit. He advised that the request for
an updated matrix is ongoing.
Whitworth reported on the progress of the search firms for the
Police Chief and Finance Director positions. Search firms will
be retained for the City Clerk, Fire Chief, and Assistant City
Administrator positions.
Councilmember Maisano reported on a letter submitted by Peter
Corselli of Cold Storage Growers. He advised that Corselli made
a valid point in that multiple hats were not necessarily a
negative if employees are not compensated for the multiple
positions. Maisano opined that good points were raised, and
would like the City to move towards a positive direction.
CLOSED SESSION
At 10:50 a.m. it was moved by McCormick and seconded by Maisano
that the City Council go into closed session to discuss the
items listed under closed session. Motion carried, 4-0.
1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Government Code Section 54956.8
Property: 2265 38th Street, Vernon, California
Agency negotiator: Mark Whitworth, City Administrator/ Alex
Kung, Assistant to the City Administrator
Negotiating parties: Schwimmer Drapery Inc.
Under negotiation: Price and Terms of Payment
Page 9 of 10
Regular City Council Meeting Minutes
October 16, 2012
2. CITY COUNCIL CONFERENCE WITH LABOR NEGOTIATORS
Government Code Section 54957.6
Agency Designated Representatives: Mark Whitworth, Teresa
McAllister
Employee Organizations: Vernon Police Management
Association, Vernon Fireman's Association, Vernon Police
Officers' Benefit Association (Employee Group 2), Vernon
Fire Management Association, Unrepresented Management, Top,,
Middle and Professional Employees, Unrepresented Technical
&IAdministrative Employees, and Non -Represented Employees
3. PUBLIC EMPLOYEE DISCIPLINE/DISMISSAL/RELEASE
Government Code Section 54957
4. SIGNIFICANT EXPOSURE TO LITIGATION
Government Code Section 54956.9(b)
One potential case
At 11:57 a.m. it was moved by McCormick and seconded by Maisano,
that the City Council exit closed session. Motion carried, 4-0.
Chief City Attorney, Willard Yamaguchi advised that there was no
reportable action, and advised that there were no further items
on the agenda.
At 11:58 a.m., it was moved by McCormick and seconded by
Maisano, that the meeting be adjourned. Motion carried.
C- F
William J. DavJs
Mayor
Page 10 of 10