20190507 Regular City Council Meeting - Minutes MINUTES OF THE REGULAR CITY COUNCIL MEETING OF THE
CITY OF VERNON HELD TUESDAY, MAY 7, 2019, IN COUNCIL
CHAMBER OF CITY HALL LOCATED AT 4305 SANTA FE AVENUE,
VERNON, CALIFORNIA
CALL TO ORDER & FLAG SALUTE
Members Present: Melissa Ybarra, Leticia Lopez, Yvette Woordruff-Perez, William Davis,
Carol Menke
Members Absent: None
The meeting was called to order at 7:30 a.m. by Mayor Melissa Ybarra; Police Chief Anthony
Miranda led the flag salute.
CHANGES TO THE AGENDA
City Clerk Maria Ayala announced that there were no changes to the agenda.
PUBLIC COMMENT
No Public Comment provided.
CITY COUNCIL TRAINING SESSION
1. Governance Training Workshop
Presented by: Jeff Ballinger, Best Best& Krieger
City Clerk Ayala announced the presentation.
Special Counsel, Jeff Ballinger, Best Best&Krieger, conducted the City Council training session.
Council Member Yvette Woodruff-Perez joined the meeting at 7:45 a.m.
City Attorney Hema Patel asked Special Counsel Ballinger to provide information regarding City
Council's role during the labor negotiations process.
Mr. Ballinger provided information regarding Council's authority.
Mayor Ybarra recessed the meeting at 8:13 a.m.
Mayor Ybarra reconvened the meeting at 8:58 a.m.
PRESENTATION
2. A Proclamation Declaring the Month of April 2019 as "DMV/Donate Life
California Month" in the City of Vernon
Recommendation: A. Present a proclamation declaring the month of April
2019 as "DMV/Donate Life California Month" in the City of Vernon.
City Clerk Ayala read the proclamation.
Mayor Ybarra presented the proclamation to Mr. Johnny Lemucchi, representative for the
"DMV/Donate Life California Month".
3. Award Presentation for California Highway Patrol (CHP) "10851" Grand
Theft Auto Recovery
Presented by: Vernon Police Department in conjunction with a CHP
Representative
Recommendation: No action required by the City Council. This is a
presentation only.
Regular City Council Meeting Minutes
May 7 2019
Police Chief Miranda conducted the presentation and provided a brief summary of the award
selection criteria.
California Highway Patrol (CHP) representatives, Officer Luis Mendoza and Captain Sal Suarez
and Auto Club of Southern California (AAA) representative, Ben Baltazar presented the "10851"
Grand Theft Auto Recovery Award Certificates to Vernon PD Officers: Oscar Zozaya and Carlos
Ourique.
4. Swear-In Ceremony
Recommendation: No action required by City Council. This is a presentation
only.
Police Chief Miranda provided a brief summary of the two newly hired Police Officers: Marcus
Fino and Bryan Redona.
City Clerk Ayala individually administered the Oath of Office to Officer Marcus Fino and Officer
Bryan Redona.
Police Officer Fino's badge was pinned by his mother Yvonne Benner.
Policer Officer Redona's badge was pinned by his mother Audrey Edwards.
CONSENT CALENDAR
Council Member Woodruff-Perez requested item No. 5 be pulled from the consent calendar.
5. Approval of an Attorney Services Agreement(Litigation & Advisory)
between the City of Vernon and Rutan & Tucker LLP, to provide specialized
• -
Agreement (Litigation) with Rutan& Tucker is exempt from California
Environmental Quality Act("CEQA") review, because it is a continuing
"project" as defined by CEQA Guidelines section 15378; and
B. Approve an Attorney Services Agreement(Litigation & Advisory)
form as submitted herewith, for an amount not to exceed $200,000.00; and
C. Authorize the City Administrator to execute the Attorney Services
Agreement(Litigation & Advisory) between the City of Vernon and Rutan&
Tucker for a three year term with an effective date of April 10, 2019.
6. Minutes of the Regular City Council Meeting Held on April 16, 2019
Recommendation: A. Receive and File
7. Ratification of Warrant Registers to Record Voided Checks
Recommendation: A. Ratify the following warrant registers to record voided
checks:
1) Operating Account Warrant Register No. 6 to record voided Check No.
600723 in the amount of$500.00 issued 08/23/18 to HSA Bank.
2) Operating Account Warrant Register No. 18 to record voided Wire No.
8044 in the amount of$23,779.50 issued 02/28/19 to Epic Land Solutions,
Inc.
3) Operating Account Warrant Register No. 20 to record voided Check No.
602572 in the amount of$3,664.00 issued 03/28/19 to Reporting Systems,
Inc.
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Regular City Council Meeting Minutes
May 7 2019
8. Approval of Federal Funds for Street Improvements Account Warrant
Register No. 27 Covering the Period of March 26 through April 29, 2019
Recommendation: A. Approve Federal Funds for Street Improvements
Account Warrant Register No. 27 which totals $1,835.10 and consists of the
following:
1) Ratification of electronic payments totaling $1,835.10.
9. Approval of Operating Account Warrant Register No. 21 Covering the Period
of April 09 through April 29, 2019
Recommendation: A. Approve Operating Account Warrant Register No. 21
which totals $8,439,597.49 and consists of the following:
1) Ratification of electronic payments totaling $7,894,498.85.
2) Ratification of the issuance of early checks totaling $482,673.74.
3) Authorization to issue pending checks totaling $62,424.90.
10. Approval of RDA Obligation Retirement Account Warrant Register No. 51
Covering the Period of March 26 through April 29, 2019
Recommendation: A. Approve RDA Obligation Retirement Account
Warrant Register No. 51 which totals $1005.00 and consists of the following:
1) Ratification of electronic payments totaling $1005.00.
11. Fire Department Activity Report for the Period of April 1 through April 15,
2019
Recommendation: A. Receive and file.
12. Approval of Service Agreement with Anion Global, Inc., for Management of
the City's 2019 Electronic Waste (E-Waste) Recycling Event
Recommendation: A. Find that because the proposed one day waste
collection event at the fire station is an action taken to protect the environment
and constitutes normal operations of the fire station, the activity and proposed
agreement is categorically exempt from the California Environmental Quality
Act(CEQA), pursuant to CEQA Guidelines sections 15308 (actions taken to
protect the environment), 15323 (normal operations of public facilities) and
15061(b)(3), the general rule that CEQA only applies to projects that may
have an effect on the environment; and
B. Approve a Service Agreement with Anion Global, Inc., in substantially the
same form as submitted herewith, for E-waste pick-up and disposal services in
connection with the City's 2019 Electronic Waste (E-Waste) Recycling Event;
and
C. Authorize the City Administrator to execute the Services Agreement with
Anion Global, Inc., for management of the recycling event scheduled for
Wednesday, May 15, 2019.
13. Vernon Police Department Activity Log and Statistical Summary for the
period of April 1 through April 15, 2019
Recommendation: A. Receive and file.
14. Public Works Department March 2019 Monthly Building Report
Recommendation: A. Receive and File.
Public Comment:
Steven Sealy, Senior Industrial Waste Inspector, Sanitation Districts of Los Angeles County,
commented that Sanitation District workers and management have reached an agreement after two
years of negotiations. The agreement will be ratified on or around May 22"d
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May 7, 2019
It was moved by William Davis and seconded by Leticia Lopez to approve Consent Calendar
Agenda Items 6 through 14. Motion carried, 5 - 0.
Yes: Melissa Ybarra,Leticia Lopez,Yvette Woodruff-Perez,William Davis, Carol Menke
No: None
5. Approval of an Attorney Services Agreement (Litigation & Advisory)
between the City of Vernon and Rutan& Tucker LLP, to provide specialized
outside legal services.
Recommendation: A. Find that approval of the proposed Attorney Services
Agreement (Litigation) with Rutan & Tucker is exempt from California
Environmental Quality Act("CEQA") review, because it is a continuing
administrative and fiscal activity that will not result in direct or indirect
physical changes in the environment, and therefore does not constitute a
"project" as defined by CEQA Guidelines section 15378; and
B. Approve an Attorney Services Agreement (Litigation & Advisory)
between the City of Vernon and Rutan & Tucker, in substantially the same
form as submitted herewith, for an amount not to exceed $200,000.00; and
C. Authorize the City Administrator to execute the Attorney Services
Agreement (Litigation & Advisory) between the City of Vernon and Rutan&
Tucker for a three year term with an effective date of April 10, 2019.
Council Member Woodruff-Perez inquired as to the proposed agreement and its effective date.
City Attorney Patel responded accordingly.
No public comment provided.
It was moved by Yvette Woodruff-Perez and seconded by Carol Menke to approve: A. Find that
approval of the proposed Attorney Services Agreement (Litigation) with Rutan & Tucker is
exempt from California Environmental Quality Act("CEQA") review, because it is a continuing
administrative and fiscal activity that will not result in direct or indirect physical changes in the
environment, and therefore does not constitute a"project"as defined by CEQA Guidelines section
15378; and B. Approve an Attorney Services Agreement (Litigation & Advisory) between the
City of Vernon and Rutan & Tucker, in substantially the same form as submitted herewith, for an
amount not to exceed $200,000.00; and C. Authorize the City Administrator to execute the
Attorney Services Agreement (Litigation & Advisory) between the City of Vernon and Rutan &
Tucker for a three year term with an effective date of April 10, 2019. Motion carried, 5 - 0.
Yes: Melissa Ybarra,Leticia Lopez, Yvette Woodruff-Perez, William Davis,Carol Menke
No: None
NEW BUSINESS
15. A Resolution Appointing Tilahun (Abraham) Y. Alemu To Serve As The
Interim General Manager of Public Utilities
Recommendation: A. Find that approval of the attached resolution in this
staff report is exempt from California Environmental Quality Act (CEAQ)
review, because it is a general administrative activity that will not result in
direct or indirect physical changes in the environment and therefore does not
constitute a "project" as defined by CEQA Guidelines Section 15378; and
B. Adopt the attached resolution appointing Tilahun(Abraham) Y. Alemu to
serve as the Interim General Manager of Public Utilities effective May 7,
2019.
Human Resources Director Michael Earl reported on the proposed.
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May 7, 2019
No public Comment provided.
It was moved by Carol Menke and seconded by Yvette Woodruff-Perez to: Find that approval of
the attached resolution in this staff report is exempt from California Environmental Quality Act
(CEAQ) review, because it is a general administrative activity that will not result in direct or
indirect physical changes in the environment and therefore does not constitute a "project" as
defined by CEQA Guidelines Section 15378; and B. Adopt the attached resolution appointing
Tilahun(Abraham) Y. Alemu to serve as the Interim General Manager of Public Utilities effective
May 7, 2019. Motion Carried, 5-0.
Yes: Melissa Ybarra, Leticia Lopez, Yvette Woodruff-Perez,William Davis,Carol Menke
No: None
16. Change Order No. 1 to the Construction Contract CS-0636 between the City
of Vernon and General Pump Company, Inc.
Recommendation: A. Find that approval of this action does not constitute a
"project" pursuant to section 15378(b)(2) of the Guidelines to the California
Environmental Quality Act ("CEQA"), because such action constitutes an
administrative activity; and even if the adoption of the proposed item did
constitute a project, it would be exempt in accordance with CEQA Guidelines
section 15061(b)(3), the general rule that CEQA only applies to projects that
may have an effect on the environment; and
B. Approve Change Order No. 1 to the Construction Contract with General
Pump Company, in substantially the same form as submitted herewith, to
extend the term of the Agreement from January 19, 2019 to July 19, 2019; and
C. Authorize the City Administrator to execute Change Order No. 1 for
additional work related to the On-Call Services for the Removal, Repair and
Reinstallation of Well and Booster Pump Equipment and Rehabilitation of
Production Wells for Vernon Public Utilities.
Interim General Manager of Public Utilities, Abraham Alemu reported on the proposed.
No public comment provided.
It was moved by William Davis and seconded by Leticia Lopez A. Find that approval of this
action does not constitute a "project" pursuant to section 15378(b)(2) of the Guidelines to the
California Environmental Quality Act ("CEQA"), because such action constitutes an
administrative activity; and even if the adoption of the proposed item did constitute a project, it
would be exempt in accordance with CEQA Guidelines section 15061(b)(3), the general rule that
CEQA only applies to projects that may have an effect on the environment; and B. Approve
Change Order No. 1 to the Construction Contract with General Pump Company, in substantially
the same form as submitted herewith, to extend the term of the Agreement from January 19, 2019
to July 19, 2019; and C. Authorize the City Administrator to execute Change Order No. 1 for
additional work related to the On-Call Services for the Removal,Repair and Reinstallation of Well
and Booster Pump Equipment and Rehabilitation of Production Wells for Vernon Public Utilities.
Motion carried, 5 - 0.
Yes: Melissa Ybarra,Leticia Lopez, Yvette Woodruff-Perez, William Davis, Carol Menke
No: None
17. A Resolution Approving and Accepting the Grant Deed for the Property
Located at 4224 District Boulevard
Recommendation: A. Find that accepting the Grant Deed is exempt from the
California Environmental Quality Act("CEQA") in accordance with CEQA
Guidelines Section 15301(c) because if any construction occurs as a result of
accepting and executing the Grant Deed, the work would merely involve
negligible expansion of an existing street; and
B. Adopt the proposed resolution approving and accepting the Grant Deed for
approximately 2,191 square feet of land located at 4224 District Boulevard
and authorizing the Mayor to execute the Certificate of Acceptance.
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Regular City Council Meeting Minutes
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Director of Public Works Daniel Wall reported on the proposed.
Council Member William Davis inquired as to the need for any power poles to be relocated.
Director Wall responded accordingly.
No public comment provided
It was moved by William Davis and seconded by Leticia Lopez A. Find that accepting the Grant
Deed is exempt from the California Environmental Quality Act ("CEQA") in accordance with
CEQA Guidelines Section 15301(c)because if any construction occurs as a result of accepting and
executing the Grant Deed, the work would merely involve negligible expansion of an existing
street; and B. Adopt the proposed resolution approving and accepting the Grant Deed for
approximately 2,191 square feet of land located at 4224 District Boulevard and authorizing the
Mayor to execute the Certificate of Acceptance. Motion carried, 5 - 0.
Yes: Melissa Ybarra,Leticia Lopez, Yvette Woodruff-Perez, William Davis, Carol Menke
No: None
18. A Resolution Authorizing the Use of the Design-Build Capital Project
Delivery Method for the Los Angeles River Closure Devices Project
Recommendation: A. Find that approval of the Resolution is exempt from
California Environmental Quality Act ("CEQA") review, because approving
the method by which a contractor will be selected is an administrative activity
that will not result in direct or indirect physical changes in the environment
and therefore does not constitute a"project" as defined by CEQA Guidelines
Section 15378; and
B. Adopt a Resolution Authorizing the Use of the Design-Build Project
Delivery Method for the Los Angeles River Closure Devices Project.
Director of Public Works Daniel Wall reported on the proposed.
Council Member Carol Menke inquired as to whether or not a RFP would be appropriate.
Director Wall responded accordingly
No public comment provided.
It was moved by Carol Menke and seconded by William Davis to: A. Find that approval of the
Resolution is exempt from California Environmental Quality Act ("CEQA") review, because
approving the method by which a contractor will be selected is an administrative activity that will
not result in direct or indirect physical changes in the environment and therefore does not constitute
a "project" as defined by CEQA Guidelines Section 15378; and B. Adopt a Resolution
Authorizing the Use of the Design-Build Project Delivery Method for the Los Angeles River
Closure Devices Project. Motion carried, 5 - 0.
Yes: Melissa Ybarra,Leticia Lopez, Yvette Woodruff-Perez, William Davis,Carol Menke
No: None
ORAL REPORTS
Anthony Miranda, Police Chief reported on the following: several incidents throughout the City;
on April 29th Vernon PD held a community meeting at the Vernon Village apartments; and on May
5th and 6th, Vernon PD Officers attended the California Peace Officer's Memorial Ceremony in
Sacramento.
Bruce English, Fire Chief reported on the following: on May 2nd, Vernon Fire Units responded to
a train derailment (photos displayed); on May 5th, Vernon FD responded to a structure fire; and
on April 24th, Vernon Firefighters hosted their annual St. Baldrick's Cancer Fundraiser and Los
Angeles Children's Hospital Blood Drive (photos displayed).
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Abram Alemu, Interim General Manager of Public Utilities reported on the following: several
outage incidents throughout the City.
Fredrick Agyin, Director of Health and Environmental Control reported on the following:
upcoming E-waste Recycling Event, encouraging everyone to bring their E-waste to ensure that
recyclables do not end up in landfills.
Carlos Fandino, City Administrator, reported on the following: a recent ABC 7 news report
regarding lead being found in baby teeth and possible link to Exide; City Administration will
follow-up and post information on the City's website; update on the current budget planning and
development process; and announced the upcoming Business and Industry Commission Meeting,
May 9, 2019 and the Vernon Community Fund Grant Committee Meeting, May 15, 2019.
Administrator Fandino requested that Director Agyin provide an update regarding the Exide plant.
Director Agyin provided an update based on information received by Exide representative. The
Health Department will coordinate with Exide representatives on possibly providing an update
directly to Council at a future meeting.
Council Member Woodruff-Perez announced her resignation as City Council Member effective
May 7, 2019.
Mayor Ybarra and City Administrator, Fandino thanked Council Member Woodruff-Perez for her
service to the City.
CLOSED SESSION
City Clerk Ayala announced that Council Member Woodruff-Perez would be recused from Closed
Session Agenda Item No. 19.
Council Member Woodruff-Perez exited the meeting at this time.
City Council entered closed session at 9:46 a.m.
19. CONFERENCE WITH LABOR NEGOTIATORS
Government Code Section 54957.6
Agency Designated Representative: Carlos Fandino, City Administrator
Employee Organizations:
Teamsters Local 911,
IBEW Local 47,
Vernon Professional Firefighters Association,
Vernon Fire Management Association,
Vernon Police Management Association, and
Vernon Police Officers' Benefit Association
20. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
Government Code Section 54956.9(d)(1)
Bicent (California) Malburg LLC et al. vs. City of Vernon et al.,
U.S. Dist. Ct. C.D. Cal., Case No. 2:19-cv-02178, removed from Cal. Sup.
Ct., Case No. 19STCV08859
21. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION
Government Code Section 54956.9(d)(2) and (4)
Number of potential cases: 1
The City is currently in a dispute with Bicent (California) Malburg, LLC
("Bicent"), the owner and operator of the Malburg Generating Station
("MGS"), which has resulted in Bicent initiating suit against the City (see
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Regular City Council Meeting Minutes
May 7, 2019
"Existing Litigation" closed session item). Prior to the initiation of the suit,
the City issued multiple Notices of Default under that certain Power Purchase
Tolling Agreement, dated as of April 10, 2008 (as amended, the "PPTA").
The City's claims relate to, among other things, Bicent's failure to timely
repair equipment, failure to timely produce documents requested under the
PPTA, misrepresentation of available capacity, and improper overbilling (by
over $ 6 million). The City's claims also include various statutory claims
arising out of the improper billing by Bicent of Vernon. Based on these
claims, the City provided notice to Bicent that it disputed certain invoices and
would exercise its payment withholding rights under certain dispute resolution
provisions in the PPTA. Subsequently, on April 22, 2019, Bicent issued a
Notice of Event of Default for failure to pay.
At 11:30 a.m. City Council exited closed session. City Attorney Patel reported that three cases
were discussed with City Council. For Agenda Item No. 21, City Council approved Amendment
No. 1 to the Engagement Letter Agreement with Morgan, Lewis & Bockius, LLP for Legal
Counsel Services.
ADJOURNMENT
With no further business, at 11:32 a.m. Mayor Ybarra adjourned the
meeting
Mel ssa Ybarra
Mayor
ATTEST:
Maria E. Ayala
City I Jerk
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