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20130507 Regular City Council Meeting - MinutesMINUTES OF THE SPECIAL AND REGULAR CITY COUNCIL MEETING OF THE CITY OF VERNON HELD TUESDAY, MAY 7, 2013, IN THE COUNCIL CHAMBER OF THE CITY HALL LOCATED AT 4305 SANTA FE AVENUE, VERNON, CALIFORNIA MEMBERS PRESENT: McCormick, Davis, Maisano, Ybarra, Martinez MEMBERS ABSENT: None The Special meeting of the City Council was called to order at 7:30 a.m. by Mayor McCormick. PUBLIC COMMENT Interim City Clerk Dana Reed announced that this was the time allotted for public comment on the Special meeting portion of the Agenda, the Budget Study Session only. Mayor McCormick inquired whether anyone in the audience wished to address the City Council. No one responded. PRESENTATIONS 1. Financial update on City operations, presented by the Finance Director. Finance Director William Fox conducted a presentation on the City's budget. He noted that the City will conduct three budget study sessions to review the various departments. A public hearing will be held before the City Council considers the approval of the City's budget for fiscal year 2013-2014. BUDGET STUDY SESSION 1. Budget review for Fire Department, Police Department, and Health and Environmental Control Department. City staff conducted a public workshop on the review of the proposed budget for said Departments. At 8:30 a.m., it was moved by Maisano and seconded by Davis to recess the meeting until the commencement of the Regular City Council meeting at 9:00 a.m. ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ A The Regular meeting of the City Council was called to order at 9:00 a.m. by Mayor McCormick. Janeth Diaz, a student at the Vernon Elementary School, led the flag salute. CHANGES TO THE AGENDA Interim City Clerk Dana Reed announced that there were no changes to the agenda. PUBLIC COMMENT Interim City Clerk, Dana Reed announced that this was the time allotted for public comment. Mayor McCormick inquired whether anyone in the audience wished to address the City Council. Independent Reform Monitor John Van de Kamp commented on the improvement to the sound system. Members of the audience Special and Regular City Council Meeting Minutes May 7, 2013 sitting in the back can now hear the Council and deliberations clearly. PRESENTATIONS 1. A Proclamation of the City Council of the City of Vernon Commending William `Bill' J. Davis in Recognition of His .Outstanding Service to the City of Vernon as Mayor. Mayor McCormick honored Mayor Pro-Tem Davis for his role as the previous Mayor. "Vernon is better off today due to Davis' - contributions," he stated. City Administrator Mark Whitworth reflected back on Davis' efforts to keep Vernon on the path to reform. As Mayor Pro-Tem he will continue to lead the community. Interim City Clerk Dana Reed announced that a representative from Senator Lara's office also had a presentation, but is running late. He requested that the item be continued and revisited when the representative arrives. 2. The Police Department will conduct the annual Drug Abuse Resistance Education (D.A.R.E.) award presentation for the Vernon Elementary School students that participated in the D.A.R.E. essay contest. Police Chief Daniel Calleros reported on the D.A.R.E. program and the new curriculum which empowers youth to make their own decisions and encourages them to be drug free. He advised that Officer Alexy Escobedo along with Fabiola Hernandez, Principal at Vernon Elementary School, evaluated the essays. Officer Escobedo provided an overview of the program and commended the three finalists. He is proud to be part of a program that he underwent as a child and is now teaching. Escobedo announced the awards; Winner Nathalie Medinilla and Runner-ups Janeth Diaz and Desirae Granados. Principal Hernandez thanked Escobedo for his involvement. She noted the impact he has made on the students. She extended an invitation to all to visit the school and thanked the Vernon Police Department and City Council. Presentation Item No. 1 is revisited. Field Representative for State Senator Ricardo Lara, Ivdn Carrillo presented Mayor Pro-Tem Davis with a plaque in recognition for his time as Mayor. Mayor McCormick presented Davis with the Proclamation. Human Resources Director Teresa McAllister presented Davis with the gable and sound board. 3. Recognition of City of Vernon employees for their contributions to the City Council Chamber Improvement Project. City Administrator Mark Whitworth reported that the Council Chambers have not been addressed since 1976. In accordance with the good government efforts and to increase public participation with the decision making body, the audio system and Chamber have Page 2 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 been improved. In order to minimize costs, said improvements were conducted with in-house talent. Certificates of appreciation were presented recognizing the employees that worked on the City Council Chamber improvements. PERSONNEL MATTERS 1. Resolution No. 2013-48 - A Resolution of the City Council of the City of Vernon Appointing Michael A. Wilson to Serve as the Fire Chief of the City of Vernon. Recommendation: (1) Find that adoption of the resolution proposed is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Approve and adopt the resolution appointing Michael A. Wilson to the position of Fire Chief of the City of Vernon, effective May, 7, 2013; and (3) Authorize the City Administrator to enter into an At Will Employment Agreement with Mr. Wilson according to the standard terms and conditions adopted by the City Council for executive level employees. City Administrator Mark Whitworth reported on the City's reorganization and the removal of multiple titles. He further reported on the search firm process in order to identify qualified candidates. Michael Wilson is recommended for the appointment of Fire Chief. It was moved by Maisano and seconded by Davis to approve Resolution No. 2013-48. Motion carried, 5-0. New Fire Chief Michael Wilson reported on his employment with Vernon. He is proud and honored to be appointed the new Fire Chief. He thanked the City Council for their confidence and trust in his ability to run the department. He strives to continue with a Class 1 rating and excellent response model. He thanked City Staff and his family for their support. 2. Oath (Affirmation) of Office was administered by the Interim City Clerk to newly appointed Fire Chief Michael A. Wilson. PUBLIC HEARINGS 1. Public testimony and evidence regarding the moratorium. Interim City Clerk Dana Reed noted that this will be the first and only reading of the urgency ordinance. At 9:32 a.m., it was moved by Maisano and seconded by Martinez to open up the public hearing for public comment. Motion carried, 5-0. Director of Community Services and Water Kevin Wilson reported that a handful of customers have expressed interest in a cogeneration facility at their location. The City does allow such structures subject to a conditional use permit ("CUP"). Staff is requesting a moratorium on the establishment of such Page 3 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 facilities in order to allow time for study and analysis. Wilson explained that some of the structures could present a high risk due their use of high pressure natural gas. Furthermore, the Light and Power Department has concerns on how it will effect its operation. A decrease in energy use may result in the need to increase utility rates. Wilson announced that if approved the moratorium will take effect immediately and expire June 21, 2013. If additional time is needed, the moratorium could be extended up to a total of two years. Wilson advised that staff is working with consultants to determine whether additional zoning requirements are necessary. The Light and Power Department will also be conducting a study on the impact to utility rates. Zoning amendments will be brought to City Council for approval. In response to Mayor Pro-Tem Davis, Wilson advised that the size of the structures and type requested have varied. He noted that the moratorium excludes solar panels. Representative from Baker Commodities inquired whether the moratorium can be reinstated or extended beyond the reported two years. In response, Deputy City Attorney Scott Porter advised that assuming the moratorium is continued for the two-year period, the City will not have an opportunity to reinstate or extend the moratorium. The representative further inquired whether the cogeneration as a tool to reduce company costs and as revenue source for a company would be reviewed. It was confirmed by Wilson that both would be part of the study. In response to Councilmember Ybarra, Wilson advised that he anticipates the study will result in the establishment of additional guidelines. The CUP is an expensive process, with the establishment of new guidelines, requesting parties will have better knowledge of what will be required. Director of Light and Power Carlos Fandino advised that he will be working with consultants as there is concern on how this will affect the utility rates. At 9:42 a.m., the public hearing was closed by Mayor McCormick. Ordinance No. 1207 - An Uncodified Urgency Ordinance of the City Council of the City of Vernon to Establish a 45 Day Moratorium on the Establishment of New Private Electricity Generating Facilities, Power Plants and Cogeneration Facilities, Excepting Solar Power Facilities Recommendation: (1) Find the moratorium is categorically exempt under the California Environmental Quality Act ("CEQA") Guidelines Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Adopt an urgency ordinance, according to the provisions set forth in the California Government Code, to establish a 45 day moratorium on the authorization of any subdivision, use permit, Page 4 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 variance, building permit, grading permit, or any other applicable entitlement for use by any generating facility, power plant, or cogeneration facility (excluding solar power facilities). A vote of 4 City Council members (a 4/5 vote) is required to adopt this as an urgency ordinance because of the requirements of California Government Code, Section 65858. Under the provisions of the California Government Code, as they apply to a Charter City, the urgency ordinance shall be immediately effective, and no second reading is required. The urgency ordinance shall expire automatically 45 days from the date of adoption, unless extended in the manner specified by law. It was moved by Davis and seconded by Maisano to approve and adopt the first and only reading of Ordinance No. 1207. A roll call vote was taken: - Councilmember Martinez, yes - Councilmember Ybarra, yes - Councilmember Maisano, yes - Mayor Pro-Tem Davis, yes - Mayor McCormick, yes Motion carried, 5-0. Pursuant to code, the moratorium will take effect immediately. CONSENT CALENDAR It was moved by Ybarra and seconded by Maisano to approve the matters listed on the Consent Calendar as recommended. Motion carried, 5-0. Claims Against the City (to be received and filed) 1. None received Minutes Approval 2. Minutes of the Regular City Council Meeting held April 16, 2013, to be received and filed. Warrant Registers 3. Approval of City Warrant Register No. 1378, totaling $1,020,163.10, which covers the period of April 9, through April 29, 2013, and consists of the following: a. Ratification of wire transfers totaling $721,073.67; and b. Ratification of the issuance of early checks totaling $134,446.20; and c. Authorization to issue pending checks totaling $164,643.23. 4. Approval of Light & Power Warrant Register No. 343, totaling $5,352,319.28, which covers the period of April 9, through April 29, 2013, and consists of the following: a. Ratification of wire transfers totaling $5,225,638.05; and Page 5 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 b. Ratification of the issuance of early checks totaling $73,411.65; and c. Authorization to issue pending checks totaling $53,269.58. 5. Approval of Gas Warrant Register No. 131, totaling $1,796.28, which covers the period of April 9, through April 29, 2013, and consists of the following: a. Ratification of the issuance of early checks totaling $297.50; and b. Authorization to issue pending checks totaling $1,498.78. City Council 6. A Proclamation of the Mayor and the City Council of the City of Vernon Commending and Honoring Corey James Zuber for His Service and Support of His Community. 7. A Proclamation of the Mayor and the City Council of the City of Vernon Commending and Honoring Andrew Michael Koch for His Service and Support of His Community. Community Services and Water Department 8. Amendment to the Kronick Moskovitz Tiedemann & Girard ("KMTG") Agreement for legal services related to the housing development project. Recommendation: (1) Find that approval of the proposed amendment to the KMTG Agreement is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Authorize the Mayor to execute an amendment to the KMTG Agreement dated November 20, 2012 increasing the fees by $50,000 for a total not to exceed cost of $95,000. The original contract was the result of an advertised, competitive selection process and anticipated additional services on this housing project such as those to be secured through this amendment. 9. Bid Award for Citywide Pedestrian Countdown Head Replacement, HSIP Cycle-4 Project - Contract No. CS-0192. Recommendation: (1) Find that the proposed Citywide Pedestrian Countdown Head Replacement, HSIP Cycle-4 project, Contract No. CS-0192, is exempt under the California Environmental Quality Act ("CEQA") in accordance with Title 14, Chapter 3, Class 1, Section 15301, minor alterations of existing public facilities involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination; and (2) Accept the bid from PTM General Engineering Services, Inc. as the lowest responsive and responsible bidder and authorize the City Administrator to enter into a contract, not to exceed $49,935, for the Citywide Page 6 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 Pedestrian Countdown Head Replacement, HSIP Cycle-4 project, Contract No. CS-0192, and to reject all other bids. 10. Traffic Collision Review for the year 2012, to be received and filed. Fire Department 11. Activity Report for the period of April 1, through April 15, 2013, to be received and filed. Police Department 12. Activity Log and Statistical Summary of Arrest and Activities for the period of April 1, through April 15, 2013, to be received and filed. 13. Activity Log and Statistical Summary of Arrest and Activities for the period of April 16, through April 30, 2013, to be received and filed. Light & Power Department 14. January 2013 Resource Procurement Report, to be received and filed. NEW BUSINESS City Administration Department 1. Resolution No. 2013-49 - A Resolution of the City Council of the City of Vernon Appointing Members to Represent the City of Vernon on the Board of Directors of County Sanitation District, No. 23, and Restating and Confirming the Appointment of Members and Alternate Members to Represent the City of Vernon on the Board of Directors of County Sanitation District, Nos. 1 and 2. Recommendation: (1) Find that adoption of the Resolution is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Adopt a Resolution to reaffirm Michael A. Ybarra as the selected alternate for the Board of Directors of County Sanitation District No. 1 and appoint an alternate to District No. 2. City Administrator Mark Whitworth reported that on April 16, 2013, McCormick was appointed as the new Mayor. Under California Health and Safety Code, Section 4730, the presiding officer is a member of the Board for the Los Angeles County Sanitation Districts Nos. 1 and 2. He noted that District No. 23 is wholly in the City of Vernon; therefore, the entire Council is the Board of Directors. Alternatives for Districts Nos. 1 and 2 must be identified. Mayor McCormick recommended that Councilmember Ybarra remain the Alternate for District No. 1. He recommends the appointment of Mayor Pro-Tem Davis as the Alternate for District No. 2. Page 7 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 It was moved by Davis and seconded by Maisano to approve Resolution No. 2013-49 with recommended alternates. Motion carried, 5-0. 2. Authorization to enter into a lease agreement for the city parking lot located at 2265 38th Street, Vernon, with Cottonfriends, Inc. Recommendation: (1) Find that approval of the proposed parking lot lease agreement between the City and Cottonfriends, Inc, DBA Coin1804, is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Authorize the City Administrator to enter into an annual parking lot lease agreement located at 2265 38th Street, Vernon, to Cottonfriends, Inc, at the determined market rent rate. The term of the lease is annually. The lease shall automatically, without further action by either party, become a month to month lease that may be terminated by either party upon thirty (30) days' prior written notice to the other, with or without cause, and without penalty or termination fee. Assistant to City Administrator Alex Kung reported on interest in the use of the property; specifically the parking lot as there is a need for additional parking. Cottonfriends, Inc. has agreed to lease the parking area only for $700 per month. They will not have access to the building on site. A CPI clause is attached to the agreement as well as a deposit. It was moved by Ybarra and seconded by Martinez to authorize the lease agreement with Cottonfriends, Inc. for the parking lot located at 2265 38th Street. Motion carried, 5-0. 3. Adoption of form At -Will Employment Agreements for City of Vernon Executive Staff. Recommendation: (1) Find that approval of the proposed form at -will employment agreements for City of Vernon executive Staff are exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Approve and adopt the form at -will employment agreements (safety and non -safety) to be used for City of Vernon executive staff members (except the City Administrator and City Attorney) hired by City Council. (3) Authorize the City Administrator to complete, execute, and when applicable, renew the appropriate form at - will employment agreement for each current and newly hired executive at terms not to exceed three years. City Administrator Mark Whitworth reported on the removal of the at -will status for City employees from the City's Charter. The Page 8 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 City established the personnel merit system ordinance in order to facilitate a fair and impartial process. However, consistent with best practices, executive employees will remain at -will. The proposed agreements will formally establish the process. Whitworth noted that there are two form agreements, one for miscellaneous and the other for safety personnel. Proposed agreements will be templates for future use. It was moved by Ybarra and seconded by Davis to adopt form At - Will Employment Agreements for Executive staff. Motion carried, 5-0. Community Services and Water Department 4. Resolution No. 2013-50 - A Resolution of the City Council of the City of Vernon Approving a Lot Line Adjustment for the Properties Located at 3250 and 3270 Washington Boulevard in the City of Vernon. Recommendation: (1) Find that the proposed Lot Line Adjustment is categorically exempt based on a Class 5 Categorical Exemption under the California Environmental Quality Act ("CEQA") in accordance with Section 15305 which consists of minor alterations in land use limitations in areas with an average slope of less than 200-. which do not result in any changes in land use or density including lot line adjustments, side yard, and set back variances not resulting in the creation of any new parcel; and (2) Adopt a resolution approving the Lot Line Adjustment. Director of Community Services and Water Kevin Wilson reported that there are currently four parcels on the reported locations. The adjustments will straighten the lot lines and create three parcels. The recommendation will facilitate easier development on said properties. It was moved by Davis and seconded by Maisano to approve Resolution No. 2013-50. Motion carried, 5-0. Fire Department 5. Approval to award fire apparatus mechanic services to Kalmikov Enterprises, Inc. DBA: Fire Apparatus Solutions. Recommendation: (1) Find that approval of the proposed service agreement for fire apparatus mechanic services is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Accept the bid proposal of Kalmikov Enterprises, Inc. DBA: Fire Apparatus Solutions to provide fire apparatus mechanic services, as this firm has offered the lowest bid and meets all the qualifications required in the Notice inviting Bids issued by the City; and (3) Authorize the City Administrator to enter into an annual contract, under the standard terms and conditions approved by the City Council, for an amount Page 9 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 not to exceed $125,000 per year, effective July 1, 2013, for a period of three years and to reject all other bids. Fire Chief Michael Wilson advised that staff's recommendation is to contract with the same company currently in use as they have had good success with the recommended company. He reported on the request for proposals and receipt of two bids. It was moved by Davis and seconded by Martinez to approve the award of the fire apparatus mechanic service contract to Kalmikov Enterprises, Inc. DBA Fire Apparatus Solutions. Motion carried, 5-0. Health and Environmental Control Department 6. Resolution No. 2013-51 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of an Application for an Enforcement Assistance Grant from the California Department of Resources Recycling and Recovery (CalRecycle). Recommendation: (1) Find that the proposed action is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061 (b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Adopt the Resolution approving and authorizing the execution of an application for an Enforcement Assistance Grant from the California Department of Recycling and Recovery (CalRecycle) for fiscal year 2013-2014, and for the Authority to apply for, receive and expend said grant funds. Director of Health and Environmental Control Leonard Grossberg reported on the annual request and the receipt of grant funds in the past. He noted that the department is eligible to receive up to $15,000. It was moved by Maisano and seconded by Ybarra to approve Resolution No. 2013-51. Motion carried, 5-0. OLD BUSINESS 1. Request from Mayor Pro-Tem Davis to discuss the compensation of the City Council members. Interim City Clerk Dana Reed advised that direction from the Fair Political Practice Commission on which Council members can participate in the discussion is pending. He anticipates that staff will have a final determination by the next City Council meeting. He recommended that the matter be postponed until the May 21, 2013, meeting. No motion is necessary. ORDINANCES 1. Ordinance No. 1205 - An Uncodified Ordinance of the City Council of the City of Vernon Approving and Authorizing an Amendment to the Contract between the City Council of the City of Vernon and the Board of Administration of the Public Employees' Retirement System. (second reading) Page 10 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 Recommendation: (1) Find that approval of the proposed ordinance amending the contract between the Board of Administration of the Ca1PERS and the City Council City of Vernon is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Approve and adopt the second reading of the proposed Ordinance to amend the contract between the Board of Administration of the CalPERS and the City Council City of Vernon to add benefit 20965, Credit for Unused Sick leave to the safety plans. It was moved by Davis and seconded by Maisano to adopt Ordinance No. 1205. A roll call vote was taken. - Councilmember Martinez, yes - Councilmember Ybarra, yes - Councilmember Maisano, yes - Mayor Pro-Tem Davis, yes - Mayor McCormick, yes. Motion carried, 5-0. 2. Ordinance No. 1206 - An Ordinance of the City Council of the City Vernon, California, adding Section 5.47 to Article IV of Chapter 5 of the Code of the City of Vernon, relating to Apportionment of the Special Parcel Tax on Warehouses, Truck Terminals, Freight Terminals and Other Distribution Facilities. (second reading) Recommendation: (1) Find that approval of the proposed ordinance on the apportionment of the warehouse parcel tax is exempt under the California Environmental Quality Act ("CEQA") in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and (2) Approve and adopt the second reading of the proposed ordinance adding Section 5.47 to the Code of the City of Vernon, relating to apportionment of the special parcel tax on warehouses, truck terminals, freight terminals and other distribution facilities in order to codify existing administrative practices. Attorney Damon Guizot representing U.S. Growers Cold Storage ("U.S. Growers") argued that the proposed amendment does not conform to the original spirit of the ordinance. The apportionment allows staff to tax the dry storage space even though a business is a cold storage. Since the cold storage generates revenue for the City through its electricity use, it should be exempt from the tax. Director of Community Services and Water Kevin Wilson referenced the Vernon City Code and advised that the interpretation is that the dry storage is subject to the tax. Based on the language, the apportionment is appropriate. Counsel Mark Mandell further explained that the ordinance is intended to codify an existing practice. It will not increase a Page 11 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 business' taxes. Furthermore, the ordinance was originally intended to address warehouse use as it was not considered to be contributing its share of the costs. It is not a tax for the absence of electricity use. Councilmember Ybarra reported on his conversation with U.S. Grower Cold Storage employee Peter Corselli. He questioned whether the City should be taxing businesses who pay their fair share of the costs. In response, Mandell advised that the concern can be addressed by amending the tax. He recommended the adoption of the proposed clarification ordinance and for the issue of how the tax is imposed to be revisited on a separate action item. In response to Mandell, Wilson advised that the location in question, that is the U.S. Growers facility, is approximately 20-30o cold storage and 60-750-. dry storage. Councilmember Ybarra questioned whether warehouse can be further defined in the ordinance, as he is concerned about double taxing and the discouragement of future expansion. Wilson reported that he had written the staff report for the original ordinance. The proposed amendment is the way he had originally intended to apply the tax, through apportionment and based on the actual use of the property. If the City were not allowed to apportion, warehouse use would get the luxury of benefiting from other unrelated uses. In response to Councilmember Maisano's inquiry on whether the rebate program will be applicable to U.S. Growers, Director of Light & Power Carlos Fandino reported that the department has elected to subsidize the renewable portfolio standards pass - trough cost. This is not directly associated with the rebate program. In response to Mayor Pro-Tem Davis, Wilson advised there are approximately 30 parcels that have a similar apportionment. In response to Mandell and Councilmember Ybarra, Wilson clarified that any dry storage area that is pertinent and directly associated to the cold storage function, is exempt. In response to Councilmember Ybarra's inquiry on how the definition in the ordinance can be amended, Mandell explained that the amendment can be done through an ordinance as long as it's not increasing the tax to any taxpayer. Doing so would require voter approval. It was moved by McCormick and seconded by Maisano to adopt Ordinance No. 1206. A roll call vote was taken. - Councilmember Martinez, yes - Councilmember Ybarra, no - Councilmember Maisano, yes - Mayor Pro-Tem Davis, no - Mayor McCormick, yes It was confirmed by Mandell that three votes was sufficient to adopt the Ordinance. Motion carried, 3-2. Page 12 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 DISCUSSION AND POSSIBLE DIRECTIVE TO STAFF 1. Discussion on the feasibility of enacting a "Condom Law" similar to the one enacted recently in Los Angeles County. Director of Health and Environmental Control Leonard Grossberg reported on the issue. In discussions with other jurisdictions, a "wait and see" approach is being taken. Grossberg reported that the Department has not received any requests for an adult film. Given the lack of interest, no - further action is requested. Los Angeles County is facing litigation and Vernon has restrictions for sexually oriented businesses. A state wide measure is being considered, at which point there will be no need for the City to address the issue. 2. Report by the City Administrator on compliance with Vernon's Conflict of Interest Code requirements that consultants be required to file annual Statements of Economic Interests (Form 700). Recommendation: (1) Consistent with the requirements of the City Council Resolution 2012-225, known as the Vernon Conflict of Interest Code, it is recommended that the City Council receive the report detailing the City Administrator's determinations as to which consultants must file annual disclosure statements for 2012, pursuant to the requirements of the California Political Reform Act. No action by the Council is required. City Administrator Mark Whitworth reported on the review and request for filings from consultants. He reported that all consultants that were identified and requested to file have filed. He acknowledged Nicholas Rodriguez and Scott Ported of the City Attorney Department for their work on the project. ORAL REPORTS Police Chief Daniel Calleros reported that on April 19, 2013, patrol officers responded to a man down in the 2900 block of Ross Street. After exhausting all life saving measures, the individual was pronounced dead at the scene. There is no evidence of foul play; natural causes are assumed to be the cause. On April 25, 2013, a strong arm robbery was reported on Vernon Avenue. The victim had a bag of U.S. currency and was confronted by a suspect. During the struggle the bag ripped open causing the money to fall on the ground. A second suspect approached and both suspects grabbed a handful of money and fled the scene. Detectives will be reviewing footage from nearby surveillance cameras for leads on the case. On April 29, 2013, a second diesel fuel theft was reported. The loss is estimated at $18,000. The case was forwarded to the Detective assigned to the cargo theft investigation unit as they had been working on leads from a previous diesel fuel theft. Four suspects were located and arrested in the City of Riverside. The suspects were cooperative and admitted to the Page 13 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 thefts in Vernon. The suspects have also been linked to 25 additional fuel thefts in the region. Investigators are working on the case in an attempt to locate and arrest additional suspects. On May 6, 2013, a copper wire theft was reported in Hampton Avenue. Suspects removed a 4 foot section of power cable leading from the business to the power pole. There are few leads in this case. On May 4, 2012, members of the Farm Animal Rights Movement ("FARM"), conducted a demonstration at Farmer John's. Approximately 200 demonstrators attended the event. The demonstration was peaceful, with a minor disturbance at McDonald's. The department's Mobile Field Force was activated for this event and received assistance from both the Bell and Huntington Park Police departments. Lieutenant Jerry Winegar reported vandalism on May 5, 2013, at 5107 District Boulevard. Mayor McCormick reported vandalism on Downey Road. Fire Chief Michael Wilson reported on a commercial fire that occurred on April 29, 2013. He reported on the department's response to brush fires on May 2, 2013 in Camarillo Springs. He noted that the department also responded to a fire in Monrovia approximately three weeks ago. Wilson confirmed that the Department is not only reimbursed in full for their response but also receives an additional 12o for administrative work. Wilson announced the Pancake and French Toast Breakfast on May 18, 2013. He reported on the Smart Classroom installation and on the engineer's written exam scheduled for May 9, 2013. Director of Community Services and Water Department Kevin Wilson reported on meetings with Caltrans to discuss the traffic concerns on Atlantic Boulevard. In approximately, two weeks two lanes will be available for traffic flow. Wilson reported on the closure proposals for the next project phase. There are concerns with the proposed closures. He will be working with Caltrans and will bring back the issue to City Council should there involvement be deemed necessary. A request for proposals for on -call services for building plan checks and inspections is being issued. This will be handled administratively. Director of Finance William Fox reported that the results of the request for proposals ("RFP") for insurance brokers will be handled administratively. A RFP will be issued in the upcoming week for financial advisor. Additionally, as part of the good governance efforts, a RFP for an independent accounting firm will also be issued. Fox advised that the cost allocation study is underway. This project is expected to take a few months to complete. Page 14 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 Director of Light & Power Department Carlos Fandino reported on power outages on April 16, 2013 and April 21, 2013. Both outages were caused by Mylar balloons. Fandino reported on the affect on power prices due to the high costs in natural gas. Prices are anticipated to drop in the summer. Staff will continue to monitor the situation. Fandino announced that as of April 30, 2013, the California Energy Commission has approved the use of bio-methane gas as part of the Bucket 1 requirements for the renewable portfolio standards. The department will be moving forward with the certification of the power plan and sources. The fiber optics department recently connected two new customers. They are expected to generate approximately $36,000 in revenue. The City's new website is also now online. Fandino announced the Pipeline Inspection Gauges ("PIG") testing that will be conducted later this day. In response to Mayor Pro-Tem Davis, Fandino advised that the Malburg Generation Station will be back in service on or about May 22, 2013, as there was an issue with a gear box. Director of Health and Environmental Control Department Leonard Grossberg reported that the Department of Toxic Substances Department (DTSC) suspended Exide Technologies' ("Exide") permit due to a possible leak in the pipeline. The Health Department will be meeting with Exide to offer support. In conjunction with the Police Department, the Health Department enacted a search warrant on a local company for possible improper storage and discharge of hazardous waste. The investigation is ongoing; possible civil charges may apply. The Sustainable Development and Energy Efficiency Commission meeting will be held on June 19, 2013. Human Resources Director Teresa McAllister reported that the classification and compensation study consultant has been selected. The process is anticipated to begin within a month. The selection was handled administratively. McAllister reported that interviews for an employee benefits consultant are scheduled for May 9, 2013. The current consultant did not apply. The recommended consultant will be brought to City Council for approval. Negotiations with Teamsters Local 911 will begin within the week. McAllister clarified that the Teamsters represents the general miscellaneous employees. General information meetings were held on April 29, 2013, for all employees. City Attorney Nicholas Rodriguez reported that the department is making efforts on keeping legal costs down by conducting work in-house. He noted that sometimes specialized help is necessary. A Request for Proposals for services related to employee labor was issued. Seventeen proposals were received. Additionally, there is a deficiency in the Light and Power Department, a short proposal will be issued to bring in assistance; however, long term help may be necessary. Page 15 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 Interim City Clerk Dana Reed announced that this is Municipal Clerk Week. Assistant to the City Administrator Alex Kung announced that the Oversight Board of the Successor Agency to the Redevelopment Agency ("OB") meeting on May 2, 2013, was adjourned due to lack of quorum. A letter from the Department of Finance was received approving the Recognized Obligation Payment Scheduled ("ROPS") which included funds for the shortfall on the previous ROPS. Funds for bond payments will be available. The next OB meeting is scheduled for June 6, 2013. Kung reported on his attendance to a manufactures' conference along with the Chamber of Commerce. The conference focused on the lack of manufacturing within the state and the need to develop the workforce. Good contacts were made. City Administrator Mark Whitworth announced the new City website. He reported that Eric Gustafson was appointed Chairman of the Board at the Vernon Chamber of Commerce Installation Luncheon. He reported on his attendance to the League of Cities Conference to address some of the CalPERS issues. He commended the Human Resources Director and the City Attorney on their work with this issue. During a conference in Sacramento, Whitworth reported meeting with Senator Kevin De Leon and Ricardo Lara. Both are interested in the Community Benefit Fund. With Alex Kung as the liaison, Vernon will be assisting Huntington Park and Boyle Heights on their community projects. Although Senator De Leon was very much involved in the reform efforts, Senator Lara is picking up the torch and becoming more involved. Whitworth reported that Vernon did not receive the tax credits during the first application process for the new housing development. Director of Community Services and Water Kevin Wilson further added that the project is third on the list for the next round if there are no additional applicants. Staff may recommend an amendment to the Council. Whitworth reported that two additional city owed units are at market rent as of May 1, 2013. He commented on the employee informational meetings, and the hope that they increased moral. The first budget review session was conducted during a Special City Council meeting at 7:30 a.m. Two additional sessions are scheduled. He thanked the Department Heads for their work on the budget. Mayor Pro-Tem Davis thanks all for their kind works and recognition. Page 16 of 17 Special and Regular City Council Meeting Minutes May 7, 2013 At 11:19 a.m., it was moved by Maisano and seconded by Davis, that the meeting be adjourned. Motion carried, 5-0. Interim City Clerk W. Michael McCormick Mayor Page 17 of 17