HomeMy WebLinkAboutCC Min 2004-06-07
5-24-04 / 6-7-04
Larson moved, second by Antos, to fill the vacancy by the
appointment process, using the timeframe outlined by the City
Manager.
AYES:
NOES:
ABSTAIN:
Antos, Larson, Ybaben, Yost
None
Doane
Motion carried
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PRESENTATION
Mayor Yost presented Councilman Doane with a Seal Beach City
Plaque and an engraved glass piece expressing the City's
appreciation for his service from 1998 to 2004. Councilman
Larson pointed out that Councilman Doane would be missed, he
has been a beacon of history of Seal Beach and historically
of what should be done correctly by the Council.
ADJOURNMENT
It was the order of the Chair, with consent of the Council,
to adjourn the meeting in honor of Councilman Bill Doane,
until Monday, June 7th, budget study session at 6: 00 p.m. By
unanimous consent, the meeting was adjourned at 8:20 p.m.
clerk
I
APP<OV'd'~ ~
Mayor
Attest:
~d4 ~ l/)c0u
. City Cerk
Seal Beach, California
June 7, 2004
The City Council of the City of Seal Beach met in regular
adjourned session at 6:00 p.m. with Mayor Yost calling the
meeting to order with the Salute to the Flag.
ROLL CALL
Present:
Mayor Yost
Councilmembers Antos, Larson, Ybaben
None
One
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Absent:
Vacancy:
Also present:
Mr. Bahorski, City Manager
Mr. Barrow, City Attorney
Mr. Whittenberg, Director of Development
Services
Mr. Danes, Director of Public Works/City
Engineer
Ms. Arends-King, Director of Administrative
Services
Ms. Yostuya, Assistant City Manager
6-7-04
Chief Sellers, Police Department
Captain Pounds, Lifeguard Department
Ms. Gonzalez, Accounting Manager
Mr. Cummins, Associate Planner
Mrs. Devine, City Clerk
BUDGET WORKSHOP
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Presentation - Proposed Budget Fiscal Years 2004/2005 and
2005/2006
The City Manager outlined the process for adoption of the
budget as required by the City Charter, by law the budget
needs to be adopted by June 30, 2004. The Manager mentioned
that a Town Hall meeting had been held, staff briefed the
local newspapers, the proposed budget was posted on the
website, copies were available for review in the libraries
and the City Clerk's office, and available for purchase at
the Finance Department. A powerpoint presentation of an
overview of the budget was the same shown at the Town Hall
meeting, all budget documents and presentations on file in
the Clerk's office. The Manager stated the proposed budget
. seeks to address the need for a street improvement, a
significant concern of residents, yet maintains fiscal
stability, the proposed budget absorbs retirement increases
and State revenue cuts without a loss of services. He advised
that reduction of the Utility User Tax to six percent would
cause a loss of $2.1 million and could only be accomplished
through significant reductions in programs, services,
personnel, and require shifting funds dedicated to street
improvements to other areas to cushion the initial loss of
revenues. It was noted that a public hearing would be held
on the proposed budget prior to adoption.
The Manager discussed the General Fund Five-Year Undesignated
Fund Balance and the Analysis with Utility Tax Reduction
Projections up to 2009. The three General Fund revenues are
Utility User tax, Property Tax, and Sales Tax. The three
expenditures are fifty-seven percent to Police and Fire and
twenty-three percent Public Works Projects. Staffing numbers
at the City level after the hiring freeze was dropped down to
the seventies, question was raised as to the projected number
of employees that would be hired by 2009, the Manager
responded that there are no plans for increase in full time
City staff, some part time maybe hired, new hires would be
primarily in the Police Department, also, the City has been
able to contract out some services the last few years.
Another question was what has been the savings for
contracting out and for what services, also, could the
Council adopt a different retirement system for new hires in
the Police Department. The City Manager explained that in
regards to the retirement the City would need to meet with
the employee associations to negotiate an agreement and the
cost savings.
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Utilitv User Tax Status Report
The Director of Administrative Services gave a brief overview
of the Utility User Tax, noted that according to the
Ordinance it needs to be reviewed each time there is a new
budget. The Director indicated that the amount of revenue is
reduced every year because more seniors qualify for exemption
under the income level of $37,676.00 or below and age 65 or
older. The Utility Tax is the largest revenue source, about
twenty-two percent, the projection is through historical
data, and usage varies according to the weather and the
utility use by residents. With a reduction to six percent
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6-7-04
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the loss of revenue would be about $2.1 million, once reduced
the Council could not increase the tax without a vote of the
people under Prop 218, pointed out that the City did go to
the people for street sweeping and tree trimming fee
increases however they failed along with the opposition to
parking meters, and cuts would need to be made to the budget
before the Utility Tax could be reduced. Question was raised
as to what other cities include in their Utility Tax, to
which the Director responded that water and sewer was applied
to their Utility Tax and reduced percentage of Utility Tax
with added water and sewer would not be a savings to the
residents.
Capital Improvement Prooram - CIP Presentation
The Director of Public Works/City Engineer gave the Council a
brief report on the five-year Capital Improvement Program
(CIP) projects completed in 2003 and the Master
Plan/Condition Assessments. The Director explained the next
five-year proposed improvements and stated that the majority
of funding allocated to both water and street/transportation
are grant-funded projects while the water utility now has an
adequate funding stream to provide capital replacement for
its failing infrastructure. Regarding funding sources, sixty
percent will come from outside sources, only one percent will
come from the General Fund and five percent from the
Redevelopment Agency.
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Pavement Manaoement Svstem Report
The Director of Public Works/City Engineer presented the
Pavement Management System Plan, pointed out that the City
maintains approximately forty-three centerline miles of
roadway that equals about two hundred twenty-five football
fields. Sixty percent of the roadways are residential while
the remaining forty percent are multilane arterial roads.
The Director provided a chart that showed the percentage of
pavement area and another chart that included the arterials,
the majority of pavement area within Districts Three and
Four, when arterials are subtracted Districts One and Four
each have a third of the street area while Districts Two and
Three comprise the other third, alleys were not figured into
any resurfacing. Seventy-eight percent of the streets are
surfaced with regular asphalt and seventeen percent use an
asphalt/rubber hot mix. For a number of years the City did
not perform any preventative maintenance such as Blurry seal,
this was re-established in 1997, fifty-two percent of the
money was invested in District Four, thirty-three percent in
District Three, and twelve percent in District One. It would
cost $80 million to replace or reconstruct the City's entire
street network. The City Manager's office has proposed
dedicating $1.86 million towards local streets in the next
two years, this would advance the program by twelve and half
years, streets are selected and grouped by areas for cost
effective projects, using an alternative program for Old Town
streets would save a considerable amount of money. The
backlog cost, using the proper application of slurry seal,
overlays, and reconstruction, it would cost approximately six
to ten million dollars to bring all the streets up to good
condition. The Council made brief clarifying comments.
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Mayor Yost declared a brief recess at 7:09 p.m.
The Council reconvened at 7:20 p.m. with Mayor Yost calling
the meeting to order.
6-7-04
Buildino Facilitv Report
The Director of Public Works/City Engineer explained that the
Facility Condition Assessment is a detailed inspection and
review of building conditions including mechanical,
electrical, structural, architectural systems, and access for
people with disabilities, incorporated into a Master Plan,
the full Assessment Report was prepared by TEC Engineering
Inc. is on file at City Hall. The Director mentioned that
the City owns nineteen facilities, of that maintains eleven,
the other eight are leased, the tennis facility was also
assessed. Each facility was evaluated for building
construction replacement value, deficiencies, Maintenance and
Repair System (MARS), and cost estimates (Work Program). A
good facility would be the Police Station, less than ten
percent cost for repairs, a poor facility would be Zoeter
School built in 1948 and would cost more to repair than its
value. The City must maintain good facilities while
repairing poor facilities. The Work Program is for
infrastructure repair, bringing up to current Code and
liability reduction, the Program is not for serious remodels
or fancy upgrades. Available funding from the General Fund
for the two-year period is $62,600 for recreational and park
sites, funding from Proposition 40 per capita and Roberti
Z-berg totals $286,684. The preliminary figures estimate
replacement value of the facilities at eighteen to twenty-two
million dollars, and estimates backlog repairs at two to
three million dollars, priority repairs relating only to
fire, life/safety, and electrical would cost about three
hundred thousand dollars, that does not include Zoeter School
which would alone equal one million dollars in repair costs.
At the conclusion. of the presentation the Director pointed
out that although a backlog exists a steady course of
maintenance repair needs to continue, a policy discussion
needs to occur regarding the Zoeter School site, additional
information from the Engineering Department will be provided
at a later date, staff will also pursue grant funding to
repair the community centers. One concern of Council was the
amount of asbestos in the old Zoeter buildings and the need
to have that assessed before any decisions are made. Upon
conclusion of comments by the Council, Mayor Yost declared
Public Comments open from the public, this is intended to be
an informal forum, each person limited to three minutes, and
the Council is seeking input from the community.
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PUBLIC COMMENTS
Ms. Ellery Deaton, Seal Beach, stated her main concern is
pavement management, police and fire services are the most
important but infrastructure should be the next priority,
even though the City is a service orientated business it
cannot ignore the streets in Old Town that have gone beyond
ugly streets to dangerous streets, this is a costly liability
to the City. She questioned the cost of contracting for
services and would like the Council to keep in mind the needs
of the residents before they make any cuts, this would
include police, fire, infrastructure, as well as lifeguards
and beaches. Mr. Jim Caviola, Seal Beach, urged the Council
to dissolve the Redevelopment Agency, also stated his
concerns about the condition of curbs and gutters, the lack
of funding from the City for trees, loss of potential funds
by not participating the "pay to play" rezoning program of
the State, and the fact that Ruby's is building another
restaurant on Second Street at Pacific Coast Highway in the
City of Long Beach. Ms. Sue Corbin, Seal Beach, questioned
funds set aside last year for meetings with the public that
did not happen, the pUblic needs to have a chance to give
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6-7-04
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their input on all issues, the City needs to be more
responsive to the public. Ms. Corbin stated she believes
there are too many urgency agenda items, that City Hall works
in codes to hide things from the public, the Council is
responsible to know what is happening with the contracts and
check all warrants being paid, should also conduct a
personnel cost analyst. Mrs. Barbara Barton, Ocean Avenue,
said she would like to make a plea to the Council to
seriously consider the streets and curbs in Old Town and have
the Main Street merchants be responsible for cleaning the
sidewalks. Ms. Joyce parque, Seal Beach, said that most of
the tax money the residents pay goes towards the pensions for
the Police and Fire Departments and other City personnel
expenses, the Council needs to evaluate where the money
should go such as repair of streets, picking up trash and
cleaning the beach, and water the trees on Main Street. Dr.
Robert Goldberg, Seal Beach, provided a letter to the Council
outlining his opinions regarding the budget, he praised the
staff for the comprehensive, well organized, and clear
written documents, expressed his support of the City
Manager's recommendation to not lower the Utility Tax at this
time, and allocation of $2.4 million from the General Fund to
Capital Improvements. He suggested that the Council consider
the following objective information in selecting which
unfunded projects will be done of the forty-five projects
listed; a) a complete description of the project, b) a
discussion as to why the project is necessary or desirable,
c) a listing of the consequences to the City for
failure/delay in completing project including risk of harm to
person, increased future costs, and non-compliance with
regulations, and d) there is potential for funding with
grants, enterprise funds, State bonds, or other non-General
Fund sources. There being no other speakers, Mayor Yost
closed Public Comments.
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COUNCIL COMMENTS
Mayor Yost explained that the Council had a choice of going
over the budget page-by-page, department-by-department or
just asks specific questions of staff. The Council made a
few comments then decided to take additional time to review
the Pavement Management document just received, an
opportunity to think about the presentations and comments
made, and to not review line by line but look at the big
picture. Mayor Yost also mentioned that the City has a
vacancy on the Council at this time and should schedule a
team building session to ascertain what the needs are for all
of Seal Beach before giving direction to the City Manager,
and before adjourning requested that staff bring back a short
report in response to some of the concerns stated by Council
and the public. The. City Manager explained that the Council
has the ability to pass the budget then make amendments
thereto as changes take place, this is a living document,
somewhat flexible, and the one decision that will have to be
made is in regard to lowering of the Utility Tax that could
make a significant difference in the budget. Councilmember
Larson said after review of the budget document he has
changed his decision to reduce the Utility Tax at this time.
Mayor Yost advised that the Council will again discuss the
budget at the next session, the public is welcome to attend
and there will be time for comments.
ADJOURNMENT
It was the order of the Chair, with consent of the Council,
to adjourn the meeting to Tuesday, June 8t~, 2004 at 6:00
6-7-04 / 6-8-04
p.m. to continue the budget workshop. By unanimous consent
the meeting was adjourned at 8:40 p.m.
>t. ~ ilu~/
c~~}~rK an ex-officio clerk
of the City of Seal Beach
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Approved:
wtt::
~tf!, ~(~4C1
Attest:
Seal Beach, California
June 8, 2004
The City Council of the City of Seal Beach met in regular
adjourned session at 6:03 p.m. with Mayor Yost calling the
meeting to order with the Salute to the Flag.
ROLL CALL
Present:
Mayor Yost
Councilmembers Antos, Larson, Ybaben
None
One
I
Absent:
vacancy:
Also present: Mr. Bahorski, City Manager
Mr. Barrow, City Attorney
Mr. Whittenberg, Director of Development
Services
Mr. Danes, Director of Public Works/City
Engineer
Ms. Arends-King, Director of Administrative
Services
Ms. Yostuya, Assistant City Manager
Chief Sellers, Police Department
Captain pounds, Life Guard
Ms. Gonzalez, Accounting Manager
Mr. Cummins, Associate Planner
Mrs. Devine, City Clerk
BUDGET WORKSHOP
I
The City Manager and the Director of Public Works responded
to some of the issues brought up at the Budget Workshop
Session on June 7th:
. Ruby's Restaurant update plans are being looked at by
the Coastal Commission
. Zoeter.Place full staff report regarding the third
amendment transfer will be presented at the June 28th
Council meeting