HomeMy WebLinkAboutCC AG PKT 2008-01-14 #C
AGENDA REPORT
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DATE: January 14, 2008
TO: Honorable Mayor and City CouncIl
THRU: DavId Carmany. City Manager
FROM: Lmda Devine, City Clerk
SUBffiCT: APPROVAL OF CITY COUNCIL MINUTES
SUMMARY OF REQUEST:
Approve mmutes for City CouncIl: regular meetIng of December 10, 2007.
BACKGROUND:
None
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FINANCIAL IMPACT:
None
RECOMMENDATION:
Approve mInutes for City CouncIl: regular meetIng of December 10, 2007.
~~,
LI da DeVIne, CIty Clerk
NOTED AND APPROVED:
~~
DaVId Carmany, Clt Manager
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Attachments: Minutes
Agenda Item C
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Seal Beach Callfomia
December 10, 2007
The City Council of the City of Seal Beach met at 7:00 p.m. With Mayor Larson
calling the meeting to order with the Salute to the Flag.
ROLL CALL
Present' Mayor/RDA Board Member Larson
CouncilmemberslRDA Board Members Antos, LeVitt, Shanks, Ybaben
Also present.
Mr. Carmany, City Manager/Executive Director
Mr. Barrow, City AllOmeylLegal Counsel
Ms Yotsuya, Assistant City Manager
Mr. Whittenberg, Director of Development Services
Mr. Mastrosllnone, Intenm Director of Public Works
Chief Kirkpatrick, Police Department
Captain Bailey, Lrfeguard Department
Mr. Ho, Assistant City Engineer
Mr. Doggett, Building Official
Ms Chapanond, Administrative Assistant
Ms Salicos, Admlnlstrallve Intem
Mrs. DeVine, City Clerk/Agency Secretary
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APPROVAL OF AGENDA
Staff requested to pull and conllnue Item aM" to the January 14, 2008 Council
Meeting. Councilman Antos Indicated that the presentalion by General Combs
be pulled and placed on a future agenda. Councilman Shanks pulled item "N" for
separate consideration and Mayor Larson stated that he would like the record to
show that he voted no on Items aM" and ''0''. Wrth no objection Mayor Larson so
ordered the approval of the agenda as amended.
PRESENTATIONS/PROCLAMATION
Recognll1on was given to Mrs. Frances Hood who celebrated her 100lh Bllthday.
Mayor Larson also recognized OCF A Battalion Chief Don Forsyth for his 35
years of service to the communrty . Battalion Chief Forsyth was transferred to the
City of Tustin.
ORAL COMMUNICATION
Mayor Larson declared Oral Communications to be open Robert Goldberg, Seal
Beach, spoke about the unfunded Ilabllllies and pension fund - requested Council to
not approve Item "H" - Council Compensalion raise to $600 per month; Seth Eaker,
Seal Beach Chamber representative, thanked everyone for their support In the holiday
parade and requested that he be appOinted as the bUSiness representalive to the
DWP AdviSOry Committee, Joyce Parque, Seal Beach, Indicated that through a public
records request back In Aug of 2006 she had received what the amount of the
unfunded liability was, said that Council needs to control govemment spending, and
stated that If the City can refund the taxes to bUSinesses they should also refund taxes
to the reSidents. There were no other speakers, Mayor Larson declared Oral
CommunlCallons closed.
CITY An-ORNEY REPORT
No report given. The City Attorney read the title of Ordinance Number 1561, item
aH" on the consent calendar.
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CITY MANAGER REPORT
No report given.
COUNCIL COMMENTS
Council Members wished everyone a Meny Christmas and a Happy New Year
and expressed "Happy Hanukah" as well
Page 2 - City Council 12-1 0-07
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Mayor Larson requested the City Manager to provide Council a report on the
closing of the Seal Beach Market and the Albertson's Market and would like to
have staff contact the COUnty regardmg the increase of bus service to Leisure
Wortd residents to shop at the Ralph's Markel. He also requested to have an
update report on the sand project
COUNCIL ITEM
No items at thiS time.
CONSENT CALENDAR - ITEMS "A" thru "T"
Ybaben moved, second by Antos, to approve the recommended actions for the
lIems on the Consent Calendar as presented, except for Item "N" pulled for
separate conslderanon. Mayor Larson cast no votes on ~ems "M" and -0".
AYES'
NOES:
Antos,Larson,Le~tt,Shanks, Ybaben
None
Motion carrted
A Approved the waiver of reading In full of all resolunons and
ordinances
B Received and filed CounCil recogmtlon - Certificate of Recognition
to Mrs. Frances Hood - 100th Birthday.
C Approved the minutes of the City Council Regular Meeting held on
November 5, 2007.
D
Approved regular demands numbered 67252 through 67761 In the
amount of $2,712,530.23; payroll demands numbered 67334
through 67363; 67365 through 67412; and 67562 through 67602 In
the amount of $497,80340, and authorized warrants to be drawn
on the Treasury for same
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E Received and filed the monthly investment report for October 2007.
F. Received and filed the annual report for the City of Seal Beach
Commumty Facllilles Dlstnct No. 2002-1 (Heron POlnte)
G Received and filed the annual report for the City of Seal Beach
Community FaCIlities District No. 2005-1 (PacifiC Gateway Business
Center)
H. Adopted Ordinance Number 1561 enntled "AN ORDINANCE OF
THE CITY OF SEAL BEACH AMENDING MUNICIPAL CODE
SECTION 3.05 010 REGARDING COUNCIL COMPENSATION"
I. Adopted Resolullon Number 5628 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING AMENDMENTS TO THE CLASSIFICATION PLAN
AND AMENDING THE CLASSIFICATION SPECIFICATION OF
THE POSITIONS OF DIRECTOR OF PUBLIC WORKS/CITY
ENGINEER AND ASSISTANT CITY ENGINEER TO
SEPARATELY ESTABLISH THE CLASSIFICATIONS OF
DIRECTOR OF PUBLIC WORKS AND CITY ENGINEER, AND TO
ELIMINATE THE CLASSIFICATION OF ASSISTANT CITY
ENGINEER."
J.
Adopted Resolution Number 5629 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
DESIGNATING ABD INSURANCE SERVICES AS THE BROKER
OF AUTHORIZATION"
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K.
Adopted Resolution Number 5630 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH AMENDING
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RESOLUTION NUMBER 5545 ADDING THE SALARY RANGE
FOR THE POSITION OF BEACH LIFEGUARD TRAINEE."
L. Adopted Resolution Number 5631 enti1led "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING INVESTMENT OF MONIES IN THE LOCAL
AGENCY INVESTMENT FUND (LAIF) AND SUPERSEDING
RESOLUTION NUMBER 5559."
M. Adopted Resolution Number 5632 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH RATIFYING
THE PROFESSIONAL SERVICES AGREEMENT FOR
ENVIRONMENTAL REVIEW DOCUMENTATION FOR THE EAST
BEACH SAND NOURISHMENT PROJECT BETWEEN THE CITY
OF SEAL BEACH AND BONTERRA CONSULTING "
Vote' 4-1 (Mayor Larson voted no).
N. Item pulled by Councilman Shanks for separate consideration.
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Renewal of NPDES authorized Inspectors' agreement (OC
Implementation Agreement No D07-100 - Resolution Number
5633)
O. Adopted Resolution Number 5634 entltied "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE DIRECTOR OF PUBLIC WORKS FOR THE
SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA
COASTAL COMMISSION FOR THE REHABILITATION OF THE
DECKING ON THE SEAL BEACH MUNICIPAL PIER."
Vote. 4-1 (Mayor Larson voted no)
Adopted Resolution Number 5635 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
DECLARING WORK TO BE COMPLETED AS TO PLANS AND
SPECIFICATIONS FOR PROJECT #50206 BLUEBELL PARK
IMPROVEMENTS ENTERED INTO BETWEEN CITY OF SEAL
BEACH AND HONDO COMPANY, INC:
P
Q Adopted ResolutJon Number 5636 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO
SIGN HOLD-HARMLESS AGREEMENTS WITH BUSINESSES
PARTNERING WITH THE POLICE DEPARTMENT'S EYE-IN-THE-
SKY CRIME PREVENTION PROGRAM."
R Adopted Resolution Number 5637 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING AGREEMENT FOR TRANSFER OR PURCHASE OF
EQUIPMENT/SERVICES OR FOR REIMBURSEMENT OF
TRAINING COSTS FOR FY07 URBAN AREA SECURITY
INITIATIVE (UASI) BETWEEN THE CITY OF SANTA ANA AND
THE CITY OF SEAL BEACH:
S. Adopted Resolution Number 5638 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING ACCEPTANCE OF FEDERAL URBAN AREA
SECURITY INITIATIVE FUNDING FOR COMPUTERS FOR USE
IN THE CITY EMERGENCY OPERATIONS CENTER:
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T. Adopted Resolution Number 5639 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO
SIGN SEAL BEACH PROFESSIONAL SERVICE AGREEMENT
WITH CONSULTANT CHERYL PITT, R.N."
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AYES:
NOES.
Antos, Larson, LeVItt, Shanks, Ybaben
None
Motion carried
ITEMS REMOVED FROM THE CONSENT CALENDAR
ITEM 'N"I RESOLUTION NUMBER 56331 RENEWAL NPDES AGREEMENT
Councilman Shanks removed thiS Item to have clarnlcation on the Inspection of
the water quality along the beach. The City Manager stated that the county
health department IS responsible for the testing and the Crty does not have to pay
for this service - the Crty does help In the pOsllng of the warmng or closure signs.
Lifeguard CaptaJn Bailey responded that the ocean waler IS checked lWIce a
week at five locabons along the City's beach and staled that the county health
department recommends that no one sWIm In the ocean at least 72 hours after tt
rains whether there are wamlng signs or not Shanks moved, second by Larson,
to adopted Resolubon Number 5633 entltied "A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF SEAL BEACH APPROVING WATER QUALITY
ORDINANCE IMPLEMENTATION AGREEMENT NO. D07-100 BElWEEN THE
CITY OF SEAL BEACH AND THE COUNTY OF ORANGE FOR AUTHORIZED
NPDES INSPECTORS." By unanimous consent, full reading of Resolution
Number 5633 was waived
AYES.
NOES.
Antos, Larson, LeVItt, Shanks, Ybaben
None
Motion carned
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PUBLIC HEARING
ITEM V I ORDINANCE NUMBER 1562 I ORDINANCE NUMBER 1564U 12007
BUILDING CODES
Mayor Larson declared the public heanng open for consideration of Ordinance
Number 1562 and Urgency Ordinance Number 1564U, adopting 2007 Callforma
BUilding Codes - WIth any amendments The City Clerk stated that the publiC
heanng notice was published In the Sun newspaper twice on November 15th and
29th, 2007 as reqUired by law and stated that no correspondence for or against
the ttem was received. The Director of Development Services Indicated that the
State of Callfomia adopts, on a three year cycle, the Callfomla State
Construction Codes Cities have six months from the adoption to adopt local
amendments to the state adopted codes to reflect local circumstances Pnmary
changes are related to the fire codes - OC Fire Authonty representatives and the
city bUilding official were present to answer any questions. There are two
ordinances for council action' Ordinance Number 1562 (effective date January 9,
2008) and Urgency Ordinance Number 1564 (effeclJve date January 1, 2008).
The urgency ordinance Is needed to enforce the new codes before the regular
ordinance becomes effective Mayor Larson asked anyone wishing to speak
either for or against thiS Item to come to the microphone and state their name for
the record. There being no other speakers the Mayor closed the public heanng.
Antos moved, second by Ybaben, to adopt Ordinance Number 1562 entitled "AN
ORDINANCE OF THE CITY OF SEAL BEACH AMENDING THE SEAL BEACH
MUNICIPAL CODE BY DELETING CHAPTER 9 60 OF TITLE 9, BUILDING
CODE, IN ITS ENTIRETY AND ADOPTING A NEW CHAPTER 9.60 OF TITLE
9, BUILDING CODE, ADOPTING BY REFERENCE THE CALIFORNIA
BUILDING CODE, 2007 EDITION, INCORPORATING THE 2006
"INTERNATIONAL BUILDING CODE," INCLUDING APPENDIX CHAPTER 1, B,
D, F, I AND J; THE CALIFORNIA PLUMBING CODE, 2007 EDITION,
INCORPORATING THE 2006 "UNIFORM PLUMBING CODE," INCLUDING
APPENDIX 1, A AND L, THE CALIFORNIA MECHANICAL CODE, 2007
EDITION, INCORPORATING THE 2006 "UNIFORM MECHANICAL CODE,"
INCLUDING APPENDIX 1, THE CALIFORNIA ELECTRICAL CODE, 2007
EDITION, INCORPORATING THE 2005 "NATIONAL ELECTRICAL CODE"; THE
CALIFORNIA FIRE CODE, 2007 EDITION, INCORPORATING THE 2006
"INTERNATIONAL FIRE CODE," INCLUDING APPENDIX CHAPTER 1, B, AND
C; THE "INTERNATIONAL PROPERTY MAINTENANCE CODE," 2006
EDITION, THE "UNIFORM SWIMMING POOL, SPA AND HOT TUB CODE,"
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2006 EDITION; THE "UNIFORM SOLAR ENERGY CODE,. 2006 EDITION; THE
'CALlFORNIA ENERGY CODE," 2007 EDITION, THE 'CALlFORNIA
ELEVATOR SAFElY CONSTRUCTION CODE," 2007 EDITION; THE
'CALlFORNIA HISTORICAL BUILDING CODE," 2007 EDITION; THE
"CALIFORNIA EXISTING BUILDING CODE," 2007 EDITION, THE
"CALIFORNIA REFERENCED STANDARDS," 2007 EDITION, AND THE
"CALIFORNIA ADMINISTRATIVE CODE," 2007 EDITION". The City Attomey
read the btie for the record. By unanimous consent, full reading of Ordinance
Number 1562 was waived
AYES.
NOES'
Arrros,La~n,Le~tt,Shanks,Ybaben
None
Mobon carned
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Shanks moved, second by Antos, to adopt Urgency Ordinance Number 1565U
enbtied 'AN URGENCY ORDINANCE OF THE CITY OF SEAL BEACH
AMENDING THE SEAL BEACH MUNICIPAL CODE BY DELETING CHAPTER
9 60 OF TITLE 9, BUILDING CODE, IN ITS ENTIRElY AND ADOPTING A NEW
CHAPTER 9.60 OF TITLE 9, BUILDING CODE, ADOPTING BY REFERENCE
THE CALIFORNIA BUILDING CODE, 2007 EDITION, INCORPORATING THE
2006 'INTERNATIONAL BUILDING CODE," INCLUDING APPENDIX CHAPTER
1, B, D, F, I AND J; THE CALIFORNIA PLUMBING CODE, 2007 EDITION,
INCORPORATING THE 2006 'UNIFORM PLUMBING CODE," INCLUDING
APPENDIX 1, A AND L; THE CALIFORNIA MECHANICAL CODE, 2007
EDITION, INCORPORATING THE 2006 'UNIFORM MECHANICAL CODE,"
INCLUDING APPENDIX 1, THE CALIFORNIA ELECTRICAL CODE, 2007
EDITION, INCORPORATING THE 2005 'NATIONAL ELECTRICAL CODE"; THE
CALIFORNIA FIRE CODE, 2007 EDITION, INCORPORATING THE 2006
"INTERNATIONAL FIRE CODE," INCLUDING APPENDIX CHAPTER 1, B, AND
C, THE "INTERNATIONAL PROPERTY MAINTENANCE CODE," 2006
EDITION, THE "UNIFORM SWIMMING POOL, SPA AND HOT TUB CODE,"
2006 EDITION; THE "UNIFORM SOLAR ENERGY CODE,' 2006 EDITION; THE
''CALIFORNIA ENERGY CODE," 2007 EDITION, THE "CALIFORNIA
ELEVATOR SAFETY CONSTRUCTION CODE," 2007 EDITION; THE
'CALlFORNIA HISTORICAL BUILDING CODE," 2007 EDITION, THE
"CALIFORNIA EXISTING BUILDING CODE," 2007 EDITION; THE
"CALIFORNIA REFERENCED STANDARDS," 2007 EDITION; AND THE
'CALlFORNIA ADMINISTRATIVE CODE:' 2007 EDITION AND DECLARING
THE URGENCY THEREOF. The City Attomey read the litIe for the record By
unanimous consent, full reading of Ordinance Number 1564U was waived
AYES
NOES.
Antos, La~n, Levitt, Shanks, Ybaben
None
Mobon carned
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ITEM 'W" / ORDINANCE 1565/ EXTEND PROHIBITION OF ESTABLISHMENT
OF MARIJUANA DISPENSARIES
Mayor Larson declared the public hearing open for consideration of Ordinance
Number 1565U prohibiting establishment of ManJuana Dlspensanes In any
zOning dlstnct WIthin the City The City Clerk stated that the public heanng nobce
was published in the Sun newspaper on November 29th, 2007 as required by law
and stated that no correspondence for or against the item was recerved. The
Director of Development Services explained that In accordance WIth state law
thiS ordinance would extend the ordinance (Ord. #1556 adopted on January 22,
2007 and extended by Ord. #1557U on February 12, 2007), prohlblllng the
establishment of marijuana dispensaries In any zOning district wllhln the City. A
report regarding the ongoing study of the Impact of the medical marijuana
dispensaries and related legal Issues was included In the staff report (there is
apparent conflict between federal and state law). Mayor Larson asked anyone
Wishing to speak either for or against this item to come to the microphone and
state their name for the record. There being no other speakers the Mayor closed
the public heanng.
Antos moved, second by Ybaben, to adopt Ordinance Number 1565U entltied
"AN INTERIM ORDINANCE OF THE CITY OF SEAL BEACH EXTENDING
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INTERIM ORDINANCE NO. 1556, PROHIBITING THE ESTABLISHMENT OF
MARIJUANA DISPENSARIES IN ANY ZONING DISTRICT WITHIN THE CITY
AND DECLARING THE URGENCY THEREOP. The City Attorney read the title
for the record By unanimous consent, full reading of Ordinance Number 1565U
was waived.
AYES:
NOES
Antos, Larson, Levitt, Shanks, Ybaben
None
Motion carried
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ITEM 'X" I RESOLUTION NUMBER 5616 I EXTEND CABLE FRANCHISE
AGREEMENT
Mayor Larson declared the publiC hearing open for consideration of Resolution
Number 5616 extending the term of the nonexclusive cable teleVision franchise
agreement With Time Wamer Cable. The City Clerk stated that the public
hearing nonce was published in the Sun newspaper on November 29th, 2007 as
reqUired by law and stated that no correspondence for or against the Item was
received The Assistant City Manager stated that council requested a publiC
hearing be scheduled prior to the consideration of extending the terms of the
existing franchise agreement With Time Wamer Cable (expires December 10,
2007) and Indicated that under new state law the City Will no longer be the
franchising authority for cable teleViSion (effective January 2008), this will be
granted exclUSively by the Public Unlltles Commission Mayor Larson asked
anyone Wishing to speak either for or against this item to come to the microphone
and state their name for the record. There being no other speakers the Mayor
closed the publiC heanng. The City Attorney explained that council adopted at
their last meeting an ordinance that would apply all the exisnng regulations to any
statewide franchise, legal aspect there would be no changes (would get same
PEG service, local origlnanon channels, and receive franchise fees), and the
practical aspect thiS would create more competition WIth other compames like
Verlzon. The City had very little control over the type of seMce from the cable
companIes and now there IS no control - where can the City go to register a
complaint? Mayor Larson stated that the only way he can protest Is to vote no.
Shanks moved, second by Antos, to adopt Resolution Number 5616 enlltled "A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH
EXTENDING THE TERM OF THE NONEXCLUSIVE CABLE TELEVISION
FRANCHISE AGREEMENT BETWEEN THE CITY AND TIME WARNER NY
CABLE, LLC, dba TIME WARNER CABLE, TO JANUARY 2, 2008". By
unammous consent, full reading of Resolution Number 5616 was waived.
AYES:
NOES'
Antos, Shanks
Larson, leVitt, Ybaben
Manon failed
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ITEM "Y" I RESOLUTION NUMBER 5640 I ADJUST PUBLIC WORKS
CONTRACT BIDDING THRESHOLD I $24.000
Mayor Larson declared the public heanng open for consIderation of Resolution
Number 5640 confirming the adjustment to the bidding threshold on PubliC Works
Contracts The City Clerk stated that the public hearing nonce was published in
the Sun newspaper on November 29th, 2007 as reqUired by law and stated that
no correspondence for or against the Item was received. The Interim Director of
PubliC Works stated that In March of 2002 the City Charter was amended to
Include a formal procedure to calculate the bidding threshold ($20,000) for public
works contracts - thiS reqUires that this amount be reViewed annually and
adjusted to ensure thiS amount reflects the inflation cost Increases. At thiS time
staff requests the bidding threshold be Increased to $24,000. Mayor Larson
asked anyone WIshing to speak either for or against thiS Item to come to the
microphone and state their name for the record. There being no other speakers
the Mayor closed the public heanng
Shanks moved, second by Antos, to adopt Resolution Number 5640 entltied, "A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH
FONFIRMING AN ADJUSTMENT TO THE BIDDING THRESHOLD ON PUBLIC
WORKS CONTRACTS IN ACCORDANCE WITH SECTION 1010 OF THE CITY
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Page -7 City Council 12-1D-07
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CHARTER' By unanimous consent, full reading of Resolution Number 5640
was waived
AYES:
NOES:
Antos, Larson, Levrtt, Shanks, Ybaben
None
MolIon earned
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NEW BUSINESS
ITEM'Z' / RESOLUTION NUMBER 5641/ PENSION OBLIGATION BONDS
The City Manager said that Council gave staff general dlrecllon to explore the
option of using the League of California Crtles, California Statewide Community
Debt Authonty as a vehICle to address the Issue of the penSIon obligation
(Complete staff report and presentation on file In the City Clerk's office)
o Pension obligation bonds are used as an a~emative to pay for unfunded
accrued actuanalliabillty - thiS Is currentiy being paid to CaIPERS.
o CalPERS was used as the most cost effective tool at the lime.
o Pension bonds would replace the current payment of the unfunded debt
being paid to CalPERS at a lower interest rate ThiS payment Is in
addition to the regular payment being sent to the State every year towards
the normal rellrement costs
o How did the City get into thiS posture The unfunded accrued actuanal
liability IS the amount that will be reqUired to be paid to satisfy all of the
bargained agreements that the City has currently under contract. This Is
calculated every two to three years and the City'S obligallon as of June 30,
2008 Will be $10 8 million
o City of Seal Beach currently holds one of the worst rates in Orange
County - thiS IS pnmarlly due to the age structure and mortality of the
retired work force and that there has been some bad history With respect
to the actuanal of the people who rellred, especially with those who retired
with disability rellrement
o CaIPERS interest rate IS 7.75% for the unfunded liability - the anticipated
Interest rate for the bonds will be approximately 5 1 % - leaVIng all the
vanables constant (not extending the terms, the amount, ete) only taking
advantage of the lower Interest rates. Over the next ten years thiS would
be a saving to the City of about $1 million
Staff IS asking council for direction to proceed With the Issuance of pension
obligation bonds only as a fixed rate transaction, with a minimum Net Present
Value saVIngs of at least $500,000 (savings over the cost of ISSUing the bond)
and approval of Resolution Number 5641 (keep the savings constant and level).
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Council Comments.
o Should the crty payoff the fire obligation out of reserves and IS there a
pre-payment penalty? Response Reserves are difficult to achieve and
easy to spend - would be Inclined to hold the reserves The saVIng Is
worth while to Include the fire debt. Yes, there Is a pre-payment penalty
and can be structured to be refinanced - they are taxable bonds and the
Inslltullonal Investors that purchase the bonds would add thiS feature at
high cost and thiS would not make It cost effective for the City to proceed
o Why are these bonds taxable?
o When did thiS debt start, Is It stable, and can the budget be set up to keep
thiS from connnUlng? Response The debt has been stable for a couple
of years; to aVOId gelling into further unfunded debt the City would need to
send In what is call the ARC (annual required contnbution) to CaIPERS -
thiS amount would be about three times the amount the City is currentiy
sending in under the pay as you go system.
o Wrth making the ARC payment would the City bUild up an excess fund?
Response: Yes, If the Crty budgets to pay the amount at the level reqUired
by the governmental accounting standard board, statement 45, the fund
would be bUilding up and ultimately three out of every four dollars coming
out would be coming from this fund Long tenn this money IS Invested and
Page B - City Council 12-1 0-07
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eamlng Interest - the pnncipal and interest are then paying for the benefrt
costs - thiS would cut the amount the City IS reqUired to pay each year.
o The State assured the City that the safety retirement would have little
change in cost - thiS was wrong One altematlve IS for the City to change
the rebrement benefrts for new employees - thiS Is not good public
relations with the employees but may be necessary Response: The City
has already bargained With the police assoclabon to no longer offer the
same reurement health benefits to the new hires - thiS cut the unfunded
accrued liability In half ThiS employee group recognized the need to do
thiS to help the City maintain long term fiscal solvency Staff Will be
working with the other employee groups to try and reduce the costs
o In trying to keep the City fiscally responsible the City had drasl1caJly
reduced the number of employees - this surplus helped to fund the storm
drains and other projects. Response: The counCil has done a good Job as
fiscal steward and proVIding the core services to the residents
o The City Attorney answered the question - why are these bonds taxable.
They are taxable because the proceeds will be Invested rather than spent
WIthin the next three years, non-taxable bonds you have the obligation to
spend the proceeds Within three years
o The City Manager stated that in terms of how the money flows the
recommendation IS to use the pooled approach - this would be the most
effiCient way to Issue the debt. The City looked at the stand alone bonds
and cost of Issuance was the same but In the pooled approach the costs
would be spread among the five or six agencies in the pool.
o The unfunded debt Is the same - we would be paYing off the debt at a
lower Interest rate at the end of ten years
o Would like to conSider paYing off the fire debt uSing the City's reserves _
thiS reserve level could be over $1 million by the end of 2ooB. Response:
Staff has been looking at the unfunded projects - faCIlities need repair,
capnal needs, BOO MHz radio system, and there are other needs in the
near future - would recommend to not use the reserves. There are other
anematlves with CalPERS that staff could look Into like extending the ume
terms - thiS would not be recommended. Staff Is WIlling to look Into other
approaches If thiS is what CounCil would recommend
o AccOrding to the staff report the City has been under paYIng the required
amount due to the state and avoiding this issue for a number of years _
consequently the amount has Increased and increased over the years. It
IS not a good Idea to reduce the City's reserves - there have been too
many InCidents where there have been unexpected public works projects _
the reserves need to stay for unforeseen emergencies
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Antos moved, second by Ybaben, to adopt Resolution Number 5641 entitled "A
RESOLUTION OF THE CITY OF SEAL BEACH AUTHORIZING THE
ISSUANCE OF ONE OR MORE SERIES OF PENSION OBLIGATION BONDS,
APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND
DELIVERY OF A TRUST AGREEMENT AND A PURCHASE AGREEMENT,
AND AUTHORIZING A VALIDATION ACTION AND OTHER MATTERS
RELATING THERETO." By unanimous consent, full reading of Resolution
Number 5641 was waived.
AYES.
NOES
Antos, Larson, LeVItt, Shanks, Ybaben
None
Motion carried
ITEM "M"I RETIREE HEALTH BENEFITS I UNFUNDED LIABILITY
Staff requested this Item be pulled and continued to the January 14, 200B
CounCil meeting
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ITEM "8B" I COUNCIL REORGANIZATION I SELECTION OF MAYOR I
SELECTION OF MAYOR PROTEM
Mayor Larson declared nominations open for the posItion of Mayor for 2ooB.
Councilman Shanks nominated CounCilman Antos as Mayor By unanimous
consent, nomlnallons were closed CounCilman Ybaben stated that the unwritten
Page - 9 City Council 12.10-07
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tradlDon has been that the person that Is Mayor Pro Tem should make It known
to the other council members if he IS Interested In becoming the next mayor.
Councilman Ybaben expressed his concems about the fact that some of the
council members were skipped over
AYES
NOES
ABSTAIN
Antos, Larson, Shanks
None
Levitt, Ybaben
MolIon carried
Councilman Antos was declared Mayor for 2008.
Mayor Larson declared nominations open for the posnion of Mayor ProTem for
2008 Councilman Ybaben nominated Councilman Levrtt as Mayor ProTem By
unanimous consent, nominations were closed.
AYES'
NOES:
Antos, Larson, Levrtt, Shanks, Ybaben
None
Motion carried
CounCilman Levitt was declared Mayor ProTem for 2008
Outgoing Mayor Pro Tem Ybaben presented outgoing Mayor Larson With a
commemoral1ve gift for his excellent service as Mayor, 2006-2007.
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ITEM .CC" / RESOLUTION NUMBER 5642/2008 MAYORAL APPOINTMENTS
2008 Mayor Antos announced the Mayoral Appointments for 2008 Wnh no
objections Resolution Number 5642 enl1Ued "A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF SEAL BEACH, CALIFORNIA, CONFIRMING
APPOINTMENTS MADE BY THE MAYOR OF COUNCIL REPRESENTATIVES
TO VARIOUS BOARDS, AGENCIES, AND ORGANIZATIONS, and ASSIGNING
CERTAIN DUTIES TO COUNCILMEMBERS AND REPEALING RESOLUTION
NUMBER 5468" was adopted By unammous consent, full reading of
Resolul1on Number 5642 was waived
CalIfornia JOint Powers Insurance Authonty John LanlOn CarmanylYotsuya
League of California Clbes - Voting Delegate Charles Antos Mlka Lavlll
League of Callfomla CIties, Orange County Charlas Antos Mike LevIII
DIVISion
Los Alamltos Undled School DlStnct - Slandlng Cherles Antos Gordon Shanks
Committee 2 re resentabves
Los Cerntos Wetlands Authonty John LanlOn Mike Lavlll
Orange County Fire Authonty John Larson MlkeLevIll
Orange County Library Board Gordon Shanks Charles Antos
Orange County Sanitation Dlstnct, Board of Cherles Antos Gordon Shanks
Directors
Orange County Transportation Aulhonty, Growth Ray Ybaben Mike Lavlll
Mana ement Area #2 & Area #6
OCT A - Inlarstala 405 MBJOllnvestment Study Gordon Shanks M.keLevIll
MIS Pail Wor1cm Grou
Orange County Vector Control Board _ Mike Levlll Nona
ex Ires 12/31/2008
Seal Beach Affordable HOUSing Corporation Gordon Shanks None
Santa Ana Rrvel Flood Protecbon Agency Gordon Shanks Charles Antos
e So Cahforrna AsSOCIation of Governments Mike leVitt Gordon Shanks
West Comm - JOint Powers Authonty Ray Ybaben Carmany
West Orange County Water Board Charles Antos Gordon Shanks
Page 10 - City Council 12-1()"07
.
ITEM "DO" I BOARDS . COMMITTEES - COMMISSIONS I ANNUAL
APPOINTMENTS
Shanks moved, second by Antos, to approve the appointments to the vanous
Boards and Commissions made by the appropriate Council members as revised.
ArchaeoJoalcal AdvISOry CommlttH - One Year Term
Drstnct One Ketlh Dixon
Dlstnct Two Joe WOl'Jeck
Dlstnct Three Rrchard Coles
Dlstnct Four Bruce Fdzpatnck
D,stnct Five Paul Burger
Architectural ReVIew Committee - Trect 9814 - Expires January 2008
Board of Aaoeals - No changes
CItizens PartlclDatlon Committee IHICD ProIBCts\ - No Changes
DeDt of Water and Power AdVISOry Committee
(4 year term of appointment win coinCIde With the Councllmembere term of ofI1ce)
Dlstnct One Nancey Kredell expires 2010
Dlstnct Two Allene Harding eXplres 2008
Drslnct Three RrIa Stnckroth expires 2010
Dlslnct Four Delmar L Smrth expires 2008
Drstnct Five Beth Retterrath expires 2010
Ban Gabnel Parl< Society MItzi Morton expires 2008
BB Chamber of Commerce Seth Eaker expires 2008
EnVironmental QualItY Control Board - Four Year Term
Dlstnct One Barbara Barton (exlend 1 year 10 ellgn WIth counCIl term. 2010)
Dlslnct Two Diane Nell (extend 1 year 10 align wrth council term - 2008)
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Parks and Recreation Commission a Three Year Term - No Changes
P1annlno Commission - Four Year Term - No Changes
Prolect Area Committee - Two Year Term
Dlstnct One ReSident Member - LOIS Lohrl<e (expires 2009)
Dlstnet One ReSident Member - Virginia Burroughs (expires 2008)
Drstnct Three Resident Member. John O'Neil (expires 2009)
Seal Beach Cable Communications Foundation - Two Year Term - No Changes
AdHoc General PlanlLocal Coastal Plan Crbzens AdVlsorv Committee
Dlstnct One John Regnier
District One Dave Evans (alternate)
Dlstnct One Joseph Rlbal
Dlstnct One Barbara Barton (alternate)
Drstnct Two louiS BllberllRg
DistrICt Two Tom Pontac
Dlstnct Three Robert Goldberg
Dlstnct Three Bruce Monroe
Dlslnct Four Amold Wilkins
Dlstncl Four Robert Tumelly
Dlstncl Five Gayle Colden
Dlstnct Five Rallle RalliS
Council Charles Antos
EQCB Mana Voce
EOCB (Vacant)
Antos, Larson, LeVitt, Shanks, Ybaben
None
AYES'
NOES'
Motion camed
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Mayor Larson recessed the Council meeting at 8.25 p.m. to the Redevelopment
Agency Meellng and reconvened the Council meeting at 8'28 p.m
Page-11 CltyCounc1112-1D-07
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ADJOURNMENT
It was the order of the Chair, With consent of the Council, to adjoum the City
Council meeting at 8.29 pm. to Monday, January 14, 2008 at 6'30 p.m to meet
In closed session, If deemed necessary.
City Clerk
City of Seal Beach
Approved:
Mayor
Attest:
City Clerk
Seal Beach, Calrtornia
December 24, 2007
The regularly scheduled meebng of the City Council for this date was canceled
by action of City Council on December 11, 2006.
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City Clerk and ex-offiCIO clerk
Of the City of Seal Beach
THESE ARE TENTATIVE MINUTES ONL Y, SUBJECT TO mE APPROVAL OF
THE CITY COUNCIL OF mE CITY OF SEAL BEACH.
CounCil Minutes Approved.
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