HomeMy WebLinkAboutCC AG PKT 2008-02-11 #D
AGENDA STAFF REPORT
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DATE:
February 11, 2008
TO:
Honorable Mayor and City Council
David Carmany. City Manager
Linda Devine, City Clerk
THRU:
FROM:
SUBJECT: APPROVAL OF CITY COUNCIL MINUTES
SUMMARY OF REQUEST:
Approve minutes for City Council: adjourned and regular meeting of January 14,
2008.
BACKGROUND:
None
e FINANCIAL IMPACT:
None
RECOMMENDATION:
Approve minutes for City Council: adjourned and regular meeting of January 14,
2008.
~MI':'ED .YQ .
:n4 IA 'l/11kJ1 ~
Li a Devine, City Clerk
NOTED AND APPROVED:
~~
David carman!. City Manager
Attachments: Minutes
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Agenda Item tJ
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Seal Beach California
January 14, 2008
Mayor Antos called the closed session of the Seal Beach City Council to order at
6:30 p.m. in the City Hall Conference Room.
ROLL CALL
Present
Absent:
Mayor Antos
Councllmembers levitt, Shanks, Ybaben
Councilmembef Larson
Mayor Antos stated that this would be the time for members of the public to
commen\ on 1heltem identllied on the agenda, there were no speakers.
The City Attorney announced that pursuant to the Brown Act the Council would
meet In closed session In accordance to Government Code Section 54957 to
discuss public employee performance evaluations for Director of Administrative
Services, Administrative Services Manager, Accountant, Budget Analyst,
Accou~nt Technicians, and Account Clerk.
CLOSED SESSION
The Council recessed at 8:31 p.m. to Closed Session to discuss the Items on the
agenda. At 6:43 p.m. the City Attorney announced that the City Council gave the
City Manager directions regarding the agenda Item and no other action was
taken.
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ADJOURNMENT
It was the order of the Chair, with consent of the Council to adjourn the Closed
Session at 6:44 p.m.
City Clerk
City of Seal Beach
Approved:
Mayor
Attest:
City Clerk
.r-
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Page 2 - City Council 01-14-08
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Seal Beach California
January 14, 2008
.
The City Council of the City of Seal Beach met at 7:00 p.m. with Mayor Antos
calling the meeting to order with the Salute to the Flag.
ROLL CALL
Present: MayorlRDA Board Member Antos
CouncllmemberslRDA Board Members Levitt, Shanks, Ybaben
Absent: CouncilmemberlRDA Board Member Larson
Also present: Mr. Carmany, City ManagerlExecutive Director
Mr. Barrow, City Attomey/Legal Counsel
Ms. Yotsuya, Assistant City Manager
Mr. Whittenberg, Director of Development Services
Mr. Mastrosimone, Director of Public Works
Ms. Bird, Director of Administrative Services
Chief Kirkpatrick, Police Department
Captain Baliey, Ufeguard Department
Mr. Ho, City Engineer
OCFA Battalion Chief Camargo ..
Mrs. Devine, City Clerk/Agency Secretary
APPROVAL OF AGENDA
Councliman Shanks removed Items "B" and "0" and Councilman Levitt removed
item "0" from the consent calendar for separate consideration. Ybaben moved,
second by levitt, to approve the agenda as amended. The City Attorney read
the title of Ordinance Number 1566 (item ''OJ.
AYES:
NOES:
ABSENT:
Antos,Levitt,Shanks,Ybaben
None
Larson
Motion canted
PRESENTATIONSIPROCLAMATION
Recognition was given to Mr. Mark Pisano for his service as the executive
director of So. California Association of Government. was not present
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ORAL COMMUNICATION
Mayor Antos declared Oral Communications to be open. Tami Bul, representative
from SCE, pointed out to the councli that a presentation report (item W) was in their
packet and she would be available to answer any questions; Gall Taylor,
representative from Cypress College Foundation, Introduced the 2008 Citizen of the
Year from Seal Beach, Bob Eagle and encouraged the council and staff to attend their
33rd annual Americana Award Dinner on March 1 st where Mr. Eagle will be honored
along with the other honoree from the surrounding cities; Eldon Alexander, Old Town,
spoke about item "0" (Council District Two vacancy) his recommendation would be to
hold a special election to fill the vacant council seat if there is more than one
candidate that applies for the appointment; Robert Goldberg, Seal Beach, commented
on item "J" (OCFA contract renewal} encouraged the council to consider other options
for fire services - OCFA costs are increasing; Joyce Parque, Seal Beach, Indicated
that she will be filing a Brown Act violation against Mayor Antos and Councilman
Shanks - she believes that they and Councilman Larson communicated as to who
would be the next Mayor before the meeting; and Seth Eaker, representative from the
Seal Beach Chamber of Commerce, acknowledged there support of Bob Eagle being
named Citizen of the Year, announced the upcoming chamber events and stated that
the chamber would encourage the council to consIder using the TOT (transient
occupancy tax) to off set the costs to hold their events, and thanked the police and fire
department for all their hard work and service to the business community. There were
no other speakers; Mayor Antos declared Oral Communications closed.
Page. 3 City Council 01.14-Q8
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CITY ATTORNEY REPORT
No report was given.
CITY MANAGER REPORT
No report given.
COUNCIL COMMENTS
No commenlS at this time.
COUNCIL ITEM
No items at this time.
CONSENT CALENDAR. ITEMS "A" thru "r
Levitt moved, second by Shanks, to approve the recommended actions for the
items on the Consent Calendar as presented, except for Items "B", "0", and "0"
pulled for separate consideration.
AYES:
NOES:
ABSENT:
Antos,L9~tt,Shanks,Ybaben
None
Larson
Motion canted
A. Approved the waiver of reading In full of all resolutions and
ordinances.
B. Item pulled by Councilman Shanks for separate consideration.
Council recognition. Proclamation presented to Mr. Mark Pisano,
executive director of SCAG.
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C. Approved the minutes of the CIty Council Regular Meeting held on
December 10, 2007.
D. Item pulled by Councilman Shanks for separate consideration.
City Council District Two Vacancy. Resolution Number 5643.
E. Declared a vacancy on the Local Coastal Plan Ad Hoc Committee.
District Two.
F. Approved regular demands numbered 67806 through 68325 in the
amount 01 $3,086,505.66: payroll demands numbered 6n62
through 67805; 68101 through 68148; and 68251 through 66291 In
the amount of $691,421.56; and authorized warrants to be drawn
on the Treasury for same.
G. Received and flied the monthly Investment report for November
2007.
H. Adopted Resolution Number 5644 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH,
CALIFORNIA, PROVIDING AUTHORIZATION TO SIGN
DEMANDS AND CHECKS FOR THE WITHDRAWAL OF FUNDS
ON DEPOSIT WITH THE BANK OF AMERICA, AUTHORIZING
ALTERNATE SIGNATURES, AUTHORIZING DIRECTOR OF
ADMINISTRATIVE SERVICES TO ACT AS AGENT FOR THE
CITY TO CLAIM UNCLAIMED PROPERTY, AND RESCINDING
RESOLUTION NUMBER 5560."
I.
Authorized staff to initiate the request for proposal process for
annual auditing services.
Adopted Resolution Number 5645 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH,
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J.
Page 4 - City Council 01-14-08
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CALIFORNIA APPROVING THE FIRST AMENDMENT TO
AMENDED JOINT POWERS AUTHORITY AGREEMENT." (OCFA)
K. Received and filed the Information regarding the CIty's insurance
coverage through the California Joint Powers Insurance Authority
(CJPIA) All Risk Property Insurance Program.
L. Adopted Resolution Number 5646 emltled 'A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING THE AGREEMENT FOR SPECIAL SERVICES
BETWEEN THE CITY OF SEAL BEACH AND LIEBERT CASSIDY
WHITMORE."
M. Adopted Resolution Number 5647 entItled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING THE RENEWAL OF THE DELTA DENTAL
PREFERRED PROVIDER ORGANIZATION (PPO) AND DENTAL
HEALTH MAINTENANCE ORGANIZATION (DHMO) POLICIES
REFLECTING JANUARY 1, 2008 CONTRACT TERMS AND
PREMIUM RATES."
N. Adopted Resolution Number 5848 entitled 'A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH ADOPTING
MITIGATED NEGATIVE DECLARATION 07-2, LAMPSON
AVENUE WELL PROJECT, AND INSTRUCTING STAFF TO FILE
APPROPRIATE DOCUMENTATION WITH THE COUNTY OF
ORANGE."
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O. Introduced Ordinance Number 1566 entitled 'AN ORDINANCE OF
THE CITY OF SEAL BEACH, CALIFORNIA AMENDING
MUNICIPAL CODE SECTION 8.05,015 APPLICABILITY TO
PRIVATE ROADS AND SECTION 8.15.010 NO PARKING AREAS,
REGARDING SURFSIDE COLONY."
P. Adopted Resolution Number 5849 emitied 'A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING AN INTERAGENCY SERVICES AGREEMENT WITH
RANCHO SANTIAGO COMMUNITY COLLEGE DISTRICT FOR
REIMBURSEMENT OF OCEAN LIFEGUARD TRAINING COSTS."
a. Item pulled by Councilman Levitt for separate consideration.
Adopted Resolution Number 5650 entitled 'A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE CITY MANAGER TO SIGN SEAL BEACH
PROFESSIONAL SERVICE AGREEMENT WITH CONSULTANT
DAVID R. BLOOM, M.D."
R. Adopted Resolution Number 5651 entitied 'A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE CITY MANAGER TO SIGN SEAL BEACH
TELEPHONE MASTER SERVICE AGREEMENT WITH SECURUS
TECHNOLOGIES (PROVIDER)."
S. Adopted Resolution Number 5652 entitled 'A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE CITY MANAGER TO APPLY FOR AND
RECEIVE STATE CORRECTIONS TRAINING FUND MONIES."
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T. Adopted Resolution Number 5653 em/tied 'A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING PARCEL MAP NO. 2005-311 ALSO KNOWN AS
901-1101 PACIFIC COAST HIGHWAY." (Columbia Regency
Retail Partners, LLC.)
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U. Adopted Resolution Number 5654 entitled "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
APPROVING PARCEL MAP NO. 2007-145 ALSO KNOWN AS 450
OCEAN AVENUE." (Smissenl
V. Adopted Resolution Number 5655 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 #50244 ANNUAL PAVING
REHABILITATION 07/08 ENTERED INTO BETWEEN CITY OF
SEAL BEACH AND SILVIA CONSTRUCTION."
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W. Received and filed the report presented by Southern California
Edison on the generel plans and future system enhancements.
(Tami Bul, seE representative was present}
X. Received and filed the plans and specilicetlons for the Seal Beach
Boulevard and Lampson Avenue Median Project #50234.
Y. Adopted Resolution Number 5656 emlded "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
CERTIFYING THAT SEAL BEACH HAS THE RESOURCES TO
FUND THE PROJECTS SUBMITTED FOR INCLUSION IN THE FY
2008109 - 2013/14 TRANSPORTATION IMPROVEMENT
PROGRAM AND AFFIRMING ITS COMMITMENT TO
IMPLEMENT ALL OF THE PROJECTS SUBMITTED IN THE
PROGRAM."
Z. Adopted Resolution Number 5657 emided "A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDED
CALTRANS COOPERATIVE AGREEMENT No. 12-50SA FOR
THE SEAL BEACH BOULEVARD BRIDGE APPROACH
WIDENING AT THE 405 FREEWAY (FROM DECEMBER 31, 2007
TO DECEMBER 31,2010),"
AYES:
NOES:
ABSENT:
Antos, Levitt, Shanks, Ybaben
None
Larson
Motion carried
ITEMS REMOVED FROM THE CONSENT CALENDAR
ITEM "B" / COUNCIL RECOGNITIONS / MARK PISANO / SCAG
Councilman Shanks removed this item to request staff place recognitiOnS only in
the "PRESENTATION/PROCLAMATION" seclion of the agenda. With no
objections Mayor Antos so ordered to receive and file item "B" as presented.
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ITEM "0" / RESOLUTION NUMBER 5643 / LARSON RESIGNATION /
DECLARE VACANCY
Councilman Shanks removed this Item to express his sincere gratitude to
Councilman Larson for his commitment to the City of Seal Beach and the other
Councilmembers agreed that his presence will be missed on the council and
wished him a speedy recovery. It was requested that staff set up a date to have
Councilman Larson return to receive acknowledgements for his tenure. Shanks
moved, second by Levitt to adopt Resolution Number 5643 entitled "A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH
DECLARING A VACANT SEAT ON THE SEAL BEACH CITY COUNCIL,
DIRECTING THE CITY CLERK TO POST A NOTICE OF INTENTION TO FILL AeVACANCY ON THE SEAL BEACH CITY COUNCIL, AND ADVERTISE FOR
APPLICATIONS TO FILL THE VACANCY." By unanimous consent, lull reading
of Resoludon Number 5643 was waived.
Page 6 . City Council 01.14-08
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AYES:
NOES:
ABSENT:
Antos, Levitt, Shanks, Ybaben
None
Larson
Motion carried
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The City Attorney was asked to go over the appointment process.
. Council adopts the resolution declaring a vacancy in District Two
. City Clerk will post and publish a 'Notice of Intention to RII the
Vacancy" of the unexpired term ending November 2008
. Letters of Interest and resumeJbiogrephy will be accepted until Friday,
February 1st, 2008.5:00 p.m.
. Monday, February 4th the City Clerk will verify qualifications of those
who submitted their letters (County Voter Registra~s oflice)
. Appointment times will be determlned by a drawing of candidate's
name
. Interviews will be conducted on Monday, February 11th, 2008 before
the regular City Council meeting
. Candldate selected will be swom-ln before the meeting
. All candidates will receive a full agenda packet so that the one
candidate that is selected will be able to participate In the meeting
ITEM '0" I RESOLUTION NUMBER 5650 I RESOLUTION NUMBER 5650 I DR.
DAVID R. BLOOM I JAIL OPERATIONS AGREEMENT
Councilman Levitt requested this Item be pulled to clarify his concern over the
chain of command as to when and who would notify when there Is a need for the
doctor. It was determined In section 3.2 of the agreement that was printed In the
agenda packet the words 'CIty Manager" was missing. The section should read:
3.2 City's Representative
The City hereby designates the Cltv Manaaer. or his designee, to
act as Its representative for the pefformance of this Agreement
("CIty's Representative". City's Repmsentalive shall have the
power to act on behalf of the City for all purposes under this
Contract. Doctor shall not accept direction from any person other
thantheCity'sR~msentatlve.
The nurse will be on site to help In determining the need for medical attention.
Shanks moved, second by Levitt, to adopt Resolution Number 5650 entitied 'A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH
AUTHORIZING THE CITY MANAGER TO SIGN SEAL BEACH
PROFESSIONAL SERVICE AGREEMENT WITH CONSULTANT DAVID R.
BLOOM, M.D."
AYES:
NOES:
ABSENT:
Antos, Levitt, Shanks, Ybaben
None
Larson
Motion carried
PUBLIC HEARING
No public hearings were scheduled.
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NEW BUSINESS
ITEM 'BB" I RETIREE HEALTH BENEFITS I GOVERNMENTAL ACCOUNTING
STANDARDS BOARD IGASB\ STATEMENT NO. 451 RECEIVE AND FILE
The City Manager gave a power point presentation to Introduce the topic of
retiree health benefits (GASB 45) to the council; no action was required at this
time. Mr. John Bartel, consultant from Bartel Associates, was present to provide
an overview of the actuarial report and answer any questions from council.
(Copies of the presentations are on file In the City Clerk's office)
Page - 7 City Council 01-14-08
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City Manage(s report:
. A new accoumlng rule from GASB statement 45 requires all state and local
government agencies in the United States to change the prectlce of how they
report unfunded liability on the accounting books.
. GASB 45 focuses on the Important national issue - funding retiree healthcare.
(Liability of Other Post Employment Benefits - OPEB) Resulting In actuarial
valuation and reporting for greater transparency for the public.
. Need to examine, prepare and plan for the cash flow requirements promiSed
to previous employees and how to reduce future costs.
. The new ruling will become effective to different agencies based on the size
of their budget - the City of Seal Beach will need to address this in the 2009
fiscal year.
. Assumptions need to be discussed: present value of all benefits, amount of
money needed to set aside and the rate of return, what will happen II there Is
no money set aside, Is there a discount rate, etc.
. This ruling has forced agencies to examine their current viability and long-
term deliverablllty of their current benefits. the City of Seal Beach has made
changes with some of the bargaining groups to change future hires' benefits.
. GASB 45 does not require the agencies to fund OPEB - they are required to
account for the unfunded liabilities.
. The way that the City of Seal Beach actually finances benefits Is a policy
decision made only by the City Council.
. Statement 45 requires disclosure of Information about the funded status of the
cIty's plan - Including the unfunded actuarial accrued liability in the city's
financial statements.
. The keys to understanding are the components of these liabilities, handling of
costs, and funding method. If the city fully funds the city's Annual RequIred
Contribution (ARC) It would cost about $600,000 a year - but if the ARC if fully
funded (placed In a trust) only 3 of 4 dollars needed long term will be
generated by the Investmem returns (trust).
. Public agencies are using trust accounts to make contributions and
accumulate assets to offset the liabilities that must be accrued under
GASB45.
. CalPERS Is one of the entities that offers a retlremem trust and Is
acknowledged as one of the strongest in the coumry.
. The City Council will be asked to consider Implementation of Statement 45 on
a future agenda.
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Mr. John Bartel, consultant from Bartel Associates, LLC, presented a brief
summary of OPEB (medical benefit payments to retirees): participant statistics .
the closer employees are to retirement the larger the liability - currentiy Seal
Beach has 84 active employees - 49 receiving benefits; actuarial methods and
assumptions - key assumpUon is predicting the future health care premiums and
discounting them back to today's costs; valuation results; and examples of 'pay-
as-you-go' (4,5% discount rate) and full pre-funding (7.75% discoum rate)
projections.
Council Comments:
. Would the City's money be combined or separate from CalPERS funds?
Response: They are separate funds - pension Investments and retiree health
care. The City will have the power of CalPERS large investment pool.
. Requested clarification betWeen the 4.5% and 7.5% discoum rates and is it
correct to say that the projection of costs for health care Is then determined by
what the present value costs would be, using one of the discount rates, and
any monies in the funds not being consumed by needs are earning returns at
the same rate as the discounted rate, and there are no other fees. Response:
Yes the statemem is correcl and the City Is restricted by statute In terms of
what items they can invest In - can only invest In short term high QUality
investments. CalPERS has the ability to diversify the Investments with fewer
limitations.
Page 8 - City Council 01-14-08
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. The City is currently making payments to the retirement health benefits on the
.pay-as-you-go" basis - this has created the unfunded liability debt and there
is no build up of funds. Response: This new ruling Is more of a transparency
Issue; there Is no requirement that the City set money aside for future
payments. With "Pay-as-you-go. there Is no money set aside for future
payments - under the CalPERS trust, the funds for retiree benefits would be
751l of every dollar would be coming from the investment fund.
. Would the unfunded liability appear on the City's balance sheet? Response:
No, the accounting standard says "if the actuary says you should be
contnbutlng a dollar and you contribute a dollar then no addition amount
appears on the citywide financial statement (footnote liability). . If the City
decides to continue on the ''pay-as-you-go. basis, then whatever is not pald
would become an obligation and that would appear on the financial statement
(refer to second column on presentation slides 7 and 8). The City should
move with caution and would recommend not pay the unfunded liability In full
in the irrevocable trust account - once the funds are In this account the funds
can only be used to pay benefdS - the advantage to paying off the unfunded
liability would be that the City would get a higher rate of return. It would
become a legal Issue if the City had no obligation and wanted to get their
money back out of the trust.
Ybaben moved, second by Levitt to receive and file the Informational report on
the Issues relating to r9!lree medlcal benefits.
AYES:
NOES:
ABSENT:
Antos,Le~tt,Shanks,Ybaben
None
Larson
Motion carried
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Mayor Antos recessed the Council meeting at 8:15 p.m. to the Redevelopment
Agency Meeting and reconvened the Council meeting at 8:17 p.m.
ADJOURNMENT
It was the order of the Chair, with consent of the Council, to adjourn the City
Council meeting at 8:19 p.m. to Monday, February 11, 2008 at 2:00 p.m. to meet
to conduct Interviews for the appointment of District Two Council member.
Mayor Antos adjourned the meeting In memory of Ms. Ruth Darilng, Seal Beach
Police Volunteer and long time resident of Seal Beach - she passed one week
short of her looth birthday.
City Clerk
City of Seal Beach
Approved:
Mayor
Attest:
City Clerk
Seal Beach, Callfomla
January 28, 2008
The regularly scheduled meeting of the City Council for this date was cancelled
by action of City Councll on September 24, 2007.
City Clerk and ex-offlclo clerk
Of the City of Seal Beach
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THESE ARE TCNTAl1VE MINUTES ONLY, SUBJEGr TO THE APPROVAL OF THE
CITY COUNCIL OF THE CITY OF SEAL BEACH.
Council Minutes Approved: