HomeMy WebLinkAbout05/17/2011 53:0093
ARCADIA CITY COUNCIL/REDEVELOPMENT AGENCY
REGULAR MEETING MINUTES
TUESDAY, MAY 17, 2011
CALL TO ORDER Mayor Kovacic called the meeting to order at 5:00 p.m.
ROLL CALL OF CITY COUNCIL /REDEVELOPMENT AGENCY MEMBERS:
PRESENT: Council /Agency Member Amundson, Chandler, Harbicht, Segal and Kovacic
ABSENT: Council /Agency Member Chandler
It was moved by Council /Agency Member Segal seconded by Council /Agency Member Harbicht to
excuse Council /Agency Member Chandler.
Council /Agency Member Chandler arrived at 5:10 p.m.
CLOSED SESSION /STUDY SESSION PUBLIC COMMENTS (5 minutes per person) — No one
appeared.
STUDY SESSION (OPEN TO THE PUBLIC)
a. Report, discussion and direction regarding the Proposed 2011 -12 Fiscal Year
Budget.
City Manager Don Penman provided an overview of the May 2, 2011 Budget Study Session
including the General Fund 2011 -12 budget shortfall of $1,574,816; he briefly addressed the 2.5%
reverse priority list of possible cuts each department submitted; he reported the City Council's
direction to not cut current services and programs and to review each department list and
determined what cuts can be made without impacting existing programs to the community; and
presented proposed adjustments to the preliminary budget that would reduce the shortfall and
require fewer reserves to balance the budget. He explained that additional projected revenue
increases of $144,000 and $377,350 in expenditure reductions, the shortfall would be reduced from
$1,574,816 to $1,053,466; that some of the expenditure savings should be considered one -time,
such as the use of the "960" program in the Fire Department and not filing one vacant Captain
position in the Police Department for six months; he advised that since the Equipment Fund has no
source of funds, it will be reduced by $925,399 in fiscal year 2011 -12 from $4,623,576 to
$3,867,777; and no changes to employee salary and benefits other than merit increases for those
employees eligible based on performance reviews.
Hue Quach, Administrative Services Director provided revenue increase information proposed to be
incorporated in the fiscal year 2011 -12 budget; that the adjustments are based on additional up -to-
date economic information received since the May 2, 2011 budget meeting: Public Safety
Augmentation Fund $30,000, Property Transfer Tax $15,000 and Motor Vehicle License Fees
$99,000.
Mr. Penman indicated that if the City Council proceeded with the adoption of the preliminary budget
with the recommended changes, reserves totaling $1,053,466 will be needed to balance the
budget; and noted that historically General Fund expenditures are at about 99 %, with 1% unspent
and for 2010 -11 it is anticipated that expenditures will be about 97.7% of the budget; and that based
d on overall revenues and expenditures the General Fund is projected to have a surplus of
$1,140,625.
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Jason Kruckeberg, Assistant City Manager /Development Services Director indicated that the City
was recently informed that Community Development Block Grant (CDBG) money will be reduced
16 -18% due to Federal budget cuts which would be a reduction of $42,181 for Arcadia; he
recommended reducing the Senior Meals Program $5,027 and $7,570 in Program Administration; a
reduction of $400 in supplies and $7,197 in salaries; and stated that together the reductions would
cost the General Fund approximately $12,224 ($7,197 in salaries and $5,027 in unrealized
revenue) which are a one -time fix.
At the request of City Manager Penman, Sara Somogyi, Recreation and Community Services
Director explained that the Bonita Park Synthetic Field Renovation Project was withdrawn from the
CIP because the original thought was to apply for Proposition 84 grant money for this project but
was later determined that it was not a viable project to pursue at this time.
It was moved by Council /Agency Member Harbicht, seconded by Council /Agency Member Chandler
and carried on roll call vote to incorporate staff's recommended changes into the Fiscal Year 2011-
12 budget; schedule a public hearing and prepare the necessary resolutions for adoption at the
June 7, 2011 regular meeting.
AYES: Council /Agency Member Harbicht, Chandler, Amundson, Segal and Kovacic
NOES: None
ABSENT: None
CLOSED SESSION
a. Pursuant to Government Code Section 54957.6 to confer with labor negotiators.
City Negotiators: Administrative Services Director Hue Quach, Human Resources
wog
Administrator Michael Casalou and Attorney William Floyd of Best Best & Krieger,
LLP.
Employee Organizations: Arcadia Public Works Employees Association, Arcadia City
Employees Association, Arcadia Police Civilian Employees Association, Arcadia
Police Officers' Association, Arcadia Firefighters' Association and unrepresented
employees: Department Heads, Division Managers, Supervisors, and Part-time
employees.
b. Pursuant to Government Code Section 54956.8 conference with real property
negotiators:
Property: 35 West Huntington Drive, 21 Morlan Place, 101 -111 North Santa Anita
Avenue, 121 -159 North Santa Anita Avenue and Assessor Parcel No. 5775 - 025 -025
(South side of Santa Clara Street, West of Santa Anita Avenue)
Agency Negotiators: City Manager /Agency Executive Director Don Penman,
Assistant City Manager /Deputy Executive Director Jason Kruckeberg and Economic
Development Manager Jerry Schwartz
Negotiating Parties: Arcadia Redevelopment Agency, Rusnak /Arcadia (Paul Rusnak)
Under Negotiation: Price and Terms of Payment
THE CITY COUNCIL /REDEVELOPMENT AGENCY ADJOURNED TO OPEN SESSION
Mayor /Agency Chair Kovacic called the regular meeting to order at 7:05 p.m.
INVOCATION — Reverend John Payton, Point Loma Nazarene University
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PLEDGE OF ALLEGIANCE — Arcadia High School ASB President Jonathan Ma
ROLL CALL OF CITY COUNCIL /REDEVELOPMENT AGENCY MEMBERS:
time PRESENT: Council /Agency Member Amundson, Chandler, Harbicht, Segal and Kovacic
ABSENT: None
REPORT FROM CITY ATTORNEY /AGENCY COUNSEL ON CLOSED SESSION ITEM
City Attorney Stephen Deitsch reported that the City Council and Redevelopment Agency Board
met in a Study Session prior to the regular meeting to hear a report from staff regarding the
Proposed 2011 -12 Fiscal Year Budget.
He also reported that the City Council and Redevelopment Agency Board met in a Closed Session
to consider Item a on the posted agenda under closed session, no reportable action was taken; and
that no discussion occurred regarding Item b and was therefore removed from the agenda.
SUPPLEMENTAL INFORMATION FROM CITY MANAGER/EXECUTIVE DIRECTOR
REGARDING AGENDA ITEMS - Mr. Penman announced that there were no supplemental agenda
items.
MOTION TO READ ALL ORDINANCES AND RESOLUTIONS BY TITLE ONLY AND WAIVE THE
READING IN FULL
A motion was made by Council /Agency Member Chandler, seconded by Council /Agency Member
Segal and carried on roll call vote to read all ordinances and resolutions by title only and waive the
reading in full.
PRESENTATIONS
a. Presentation of Certificate of Commendation to the Arcadia High School World
Percussion Ensemble.
b. Presentation of the Believe in Arcadia....Volunteer! Award to the Student Leaders of
Arcadia High School.
1. PUBLIC HEARING
a. Consideration of Text Amendment No. TA 10 -04 and introduction of Ordinance No.
2284 amending Article IX, Chapter 2, Part 7 of the Arcadia Municipal Code pertaining
to the Conditional Use Permit process to allow automobile fueling stations and
automated self - service car washes in the C -O zone, and consideration to affirm the
Planning Commission's approval of Conditional Use Permit No. CUP 10 -17 and
Architectural Design Review No. ADR 10 -19.
Recommended Action: Introduce Ordinance No. 2284 and approve CUP 10 -17 and
ADR 10 -19.
Tom Li, Associate Planner reported that Text Amendment No. TA 10 -04, Conditional Use Permit
Application No. CUP 10 -17 and Architectural Design Review No. ADR 10 -19 were submitted by
designer /engineer Mr. Karaki on behalf of the property owner Mr. Kianipur to allow the conversion
of an existing automobile service station into an automobile fueling station with a convenience mart
and automated self - service car wash at 701 West Huntington Drive; he stated that the applications
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were all approved by the Planning Commission subject to certain conditions pending City Council
approval of the Text Amendment; he advised that the Unocal 76 service station was constructed in
1967 and pre -dates Conditional Use Permit (CUP) requirements for gas stations; that staff supports
the inclusion of the C -O zone under the Conditional Use Permit sections of the Code for automobile
fueling stations and automated self - service car washes because the uses are consistent with the
General Plan land use designation of "Commercial" which would accommodate a wide range of
commercial uses that would serve the neighborhood and city wide markets when located at major
intersections. Mr. Li also commented on the purpose of the Text Amendment, the Conditional Use
Permit, lighting and noise, parking and traffic circulation, and Architectural Design Review; and
recommended approval of the proposed Text Amendment and introduction of Ordinance No. 2284.
Mayor Kovacic opened the public hearing. No one appeared to provide testimony.
A motion to close the public hearing was made by Council Member Harbicht, seconded by Council
Member Chandler and seeing no further objection, Mayor Kovacic declared the public hearing
closed.
It was moved by Council Member Harbicht, seconded by Council Member Amundson and carried
on roll call vote to accept the CEQA exemption determination and directed staff to prepare the
appropriate resolution for adoption at the next City Council meeting for approval of Conditional Use
Permit No. CUP 10 -17 and Architectural Design Review No. ADR 10 -19 with the added condition
regarding noise; approve Text Amendment No. TA 10 -04; and introduce Ordinance No. 2284
amending Article IX, Chapter 2, Part 7 of the Arcadia Municipal Code pertaining to the conditional
use process to allow automobile fueling stations and automated self - service car washes in the C -0
Zone.
AYES: Council /Agency Member Harbicht, Amundson, Chandler, Segal, and Kovacic
NOES: None
ABSENT: None
b. An appeal of the Planning Commission's denial of Modification Application No. MP
10 -06 and Architectural Design Review No. ADR 10 -16 for an addition to a legal -
nonconforming four -unit multiple - family development that would replace the existing
one- story, 776 square -foot, detached front residential unit with a two- story, 1,932
square -foot, detached residence with an attached 432 square -foot, two -car garage at
137 California Street.
Recommended Action: Uphold Appeal and Conditionally Approve MP 10 -06 & ADR
10 -16
Tim Schwehr, Assistant Planner reported that applications were filed by Michael Chen for an
addition to a legal- nonconforming, four -unit, multiple - family residential development that would
replace an existing one -story, 776 square -foot, detached front residential unit with a two -story,
1,932 square -foot, detached residence and attached 432 square -foot, two -car garage at 137
California Street; he indicated that applicant appealed the Planning Commission's decision to deny
the applications based on the parking shortage at the property, the fire hydrant in front of the
property prevents guests from parking directly in front of the property, that the existing four one -car
garages are not used for parking and the existing triplex does not conform to current setback and
open space requirements. He discussed the project site, parking issues, code requirements and the
Planning Commission's decision; he added that staff does not encourage additions to non-
conforming multiple family developments, but stated that the project would reduce the existing
parking deficiency, add new front yard landscaping, provide a trash enclosure where there currently
is none and would substantially improve the appearance of the property. He addressed the findings
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for approval and denial of the project and recommended the Planning Commission's denial be
overturned.
A motion to close the public hearing was made by Council Member Chandler, seconded by Council
Member Segal and seeing no further objection, Mayor Kovacic declared the public hearing closed.
It was moved by Council Member Harbicht, seconded by Council Member Chandler and carried on
roll call vote to overturn the Planning Commission's denial; approve Modification Application No.
MP 10 -06 and Architectural Design Review No. ADR 10 -16 subject to the conditions recommended
in the staff report and based on a finding that the proposed project will secure an appropriate
improvement of a lot.
AYES: Council /Agency Member Harbicht, Chandler, Amundson, Segal and Kovacic
NOES: None
ABSENT: None
PUBLIC COMMENTS
John Jurman representing the Arcadia Police Officers Association and Tom Devlin representing the
Arcadia Firefighters Association appeared to thank the City Council and Arcadia residents for their
attendance and support at the Battle of the Badges Basketball Game on April 22, 2011; and
reported that approximately $2,400 was raised for Special Olympics.
Eloise Crawford representing the Special Olympics of Southern California appeared and thanked
the Arcadia Police and Fire Associations, the City Council and the residents for their support.
REPORTS FROM THE CITY COUNCIL AND CITY CLERK
Council Member Amundson stated that the Planning Commission completed their review of the
Homeowners Association Design Review process and requested City Council support that it be
placed on a future agenda as a Study Session item, the City Council agreed; he announced
Supervisor Antonovich's 14th annual "Remembering Our Veterans and Their Families: Past,
Present and Future" event on Saturday, May 28th at the Arcadia County Park and the Memorial
Day celebration at Live Oak Memorial Park and encouraged everyone to attend.
Mayor Pro Tem Harbicht reported that he attended the Police and Fire basketball game and
expressed appreciation to both associations for their support of the Special Olympics; he
announced the Patriotic Parade and Festival on July 2, 2011 and noted that the organizers are
attempting to contact as many former Rose Queen's and Princesses as part of the parade; and that
antique cars are needed for the parade and car show, and encouraged anyone who is interested to
contact him through the City's website.
Council Member Chandler congratulated the Arcadia High School student leaders recognized by
Mayor Kovacic and also thanked the Fire and Police Associations for the charitable basketball
game to benefit Special Olympics.
Council Member Segal congratulated the Arcadia Chinese Association and Mayor Kovacic on a well
attended and successful Law Day held on Saturday, May 14, 2011.
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Mayor Kovacic also thanked the Police and Firefighter Associations for a great basketball game and
thanked the Police Department for the ride -along he took two weeks ago; he reported that 225
individuals were in attendance on Law Day; he thanked the Arcadia Chinese Association, and
thanked the President of the Chinese Association Ed Wong, Angeline Chan, David Lee and Alice
Wang for their support and participation; he also thanked Kristen Olafson and Connie Schacatano
of the City Manager's Office for their assistance in organizing the event; and thanked Supervisor
Antonovich for hosting the "Remembering Our Veterans and Their Families: Past, Present and
Future" event to be held on Saturday, May 28th at the Arcadia County Park.
2. CONSENT CALENDAR
REDEVELOPMENT AGENCY ITEMS:
a. Approve the Continued Regular Meeting Minutes of April 20, 2011 and the Regular
Meeting Minutes of May 3, 2011.
Recommended Action: Approve
CITY COUNCIL ITEMS:
b. Approve the Continued Regular Meeting Minutes of April 20, 2011 and the Regular
Meeting Minutes of May 3, 2011.
Recommended Action: Approve
c. Accept all work performed by Park West Landscape, Inc. for the installation of
synthetic turf at the Civic Center Athletic Field as complete and authorize the final
payment to be made in accordance with the contract documents.
Recommended Action: Approve
d. Authorize the City Manager to execute a contract with Martinez Concrete Inc. for �
Sidewalk Accessibility /Handicap Ramp Improvements on Alice and Lucile Streets in
the amount of $69,636 and approve a 10% contingency.
Recommended Action: Approve
e. Authorize the City Manager to execute a contract with Downing Construction Inc. for
the Transmission Main Extension Proiect on Colorado Street in the amount of
$245,615.
Recommended Action: Approve
f. Authorize the City Manager to execute a contract with Downing Construction Inc. for
the Water Main Replacement Project in the amount of $368,929.
Recommended Action: Approve
g. Authorize the City Manager to execute a one (1) year purchase order contract
extension with Daniels Tire Service for the purchase of tires and tire related services
for City vehicles in an amount not to exceed $70,000.
Recommended Action: Approve
h. Authorize the City Manager to execute an Indemnification Agreement between the
City of Arcadia and the Arcadia Unified School District for construction over a Sewer
Line.
Recommended Action: Approve
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Authorize the City Manager to approve the continuation of the City's participation in
the Los Angeles Urban County Community Development Block Grant (CDBG)
Program and defer the City's metropolitan status during the July 1, 2012 through
k. June 30, 2015 qualification period.
Recommended Action: Approve
j. Appointment of Priscilla Shively to the Citizen's Bond Oversight Committee
(Continued from the April 20, 2011 continued regular meeting).
Recommended Action: Approve
k. Revised classification specifications for Lifeguard /Swim Instructor (Part - Time),
Lifeguard (part- time), Swim Instructor (Part- Time), and Locker Room Attendant/Pool
Cashier (Part- Time).
Recommended Action: Approve
1. Approve a sole source purchase of audiovisual equipment for the City Council
Chamber in the amount of $15,920.57.
Recommended Action: Approve
It was moved by Council /Agency Member Amundson, seconded by Council /Agency Member
Segal and carried on roll call vote to approve Consent Calendar items 2.a through 2.1.
AYES: Council /Agency Member Amundson, Segal, Chandler, Harbicht, and Kovacic
NOES: None
ABSENT: None
3. CITY MANAGER/AGENCY DIRECTOR ITEMS:
a. Report, discussion and direction regarding a request from the Church in Arcadia to
extend financial assistance from the Arcadia Redevelopment Agency for the leasing
of meeting hall facilities and a waiver of building permit fees for the construction of
their new facility.
Recommendation: Provide direction
Jason Kruckeberg, Assistant City Manager /Development Services Director reported that the
Redevelopment Agency previously approved a Purchase and Sale Agreement with the Church in
Arcadia to purchase its property at 21 Morlan Place and a site on Live Oak Avenue for a new
church building; that the agreement included a provision for paying the Church up to $2,000 per
month for up to 18 months to cover costs if they were to relocate temporarily to facilitate the Rusnak
expansion; that the amount was doubled to $4,000 per month by the Redevelopment Agency on
January 20, 2009 to lease space for meetings at Dana Middle School and office space at 43 East
Huntington Drive; that the 18 month period expired in July 2010 and at that time, the Church in
Arcadia requested an extension of the Agency's assistance for an additional 12 months but the
Agency only approved a 6 month extension; he explained that the 6 month period expired and the
Church in Arcadia is now requesting an additional 12 month extension for financial assistance for
the leasing of Dana Middle School including a request to waive building permit fees for the
construction of the new Church facility. Mr. Kruckeberg advised that since 2010, the Agency has
spent approximately $88,314 for leasing both facilities and that noted that the project has now
reached the construction phase and building permits were issued on April 14, 2011. Mr. Kruckeberg
stated that the request for an additional 12 month extension would require a $66,920 appropriation
of Agency unprogrammed reserves which include $36,000 for the continued leasing of Dana Middle
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School, $25,920 for the waiver of building permit fees and additional fees estimated at $5,000 for
fire sprinklers, fire alarms and a water meter connection.
In response to a question raised by Council /Agency Member Segal, staff responded that to date,
the Redevelopment Agency has spent approximately $7 million on the Purchase and Sale
Agreement which included the purchase of the property, demolition, repaving and acquiring a site
on Live Oak Avenue for the new Church facility.
John Peruzzi, Architect for the Church in Arcadia appeared and spoke in support of the Church; he
thanked the City and staff for its willingness to work with the Church; he explained that there have
been several contributing factors which lead to delays during the planning phase; and that due to
the lack of knowledge, the Church had no idea what they were getting into and did not know that
they needed more time than an experienced development team.
David Dong, President of the Church in Arcadia also appeared and thanked the City Council for
their continued support; he explained the need for the additional 12 month extension for financial
assistance for leasing meeting space at Dana Middle School and the waiver of building permit fees.
Mayor Pro TemNice Chair Harbicht expressed sympathy, but felt that if the City grants the Church's
request for an additional 12 month extension he would have no justification to the tax payers when
recent delays were not in the City's control.
It was the consensus of the Council /Agency Members that the Church in Arcadia benefited
substantially from the deal and in the end will have a fine facility and are sympathetic, but are not
willing to re- negotiate a contract that was negotiated years ago regarding building permit fees.
It was moved by Mayor Pro TemNice Chair Harbicht to let the existing extension expire and not e i
grant the request from the Church in Arcadia for an additional 12 month extension for financial
assistance. The motion died due to lack of a second.
It was moved by Council /Agency Member Chandler to grant the request for an additional 12 month
extension of financial assistance from the Church in Arcadia for three (3) additional months and
deny the waiver of building permit fees. The motion died due to lack of a second.
It was moved by Council /Agency Member Segal, seconded by Council /Agency Member Chandler
and carried on roll call vote to authorize an additional six (6) months of the Rent Subsidy Agreement
with the Church in Arcadia and deny the waiver of building permit fees already paid; and
appropriate from the Agency's Unprogrammed Reserves the amount equal to the six (6) months.
AYES: Council /Agency Member Segal, Chandler, Amundson, and Kovacic
NOES: Council /Agency Member Harbicht
ABSENT: None
b. Consideration of the adoption of Resolutions related to Water and Sewer Rate
Schedules for Fiscal Year 2011/12:
Adopt Resolution No. 6768 setting City Sewer Rates and finding the rates will not
exceed the estimated amount necessary to fund operation of the City Sewer System.
Recommended Action: Adopt
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Adopt Resolution No. 6769 setting City Water Rates and finding the rates will not
exceed the estimated amount necessary to fund operation of the City Water System.
Recommended Action: Adopt
Tom Tait, Public Works Services Director reported that utility rates fund the operations and
maintenance of the water system and the sanitary sewer system; that every year current utility
rates are evaluated to ensure proper funding to provide quality services to the residents; and that as
part of the budget process, staff reviewed the Capital Improvement Plan, Water Master Plan and
Sewer Master Plan and determined that a 1.07% cost of living adjustment is necessary in order to
maintain water services to the residents; he noted that the current water rate is $1.33 and the new
rate would be $1.34 which is a one (1) cent increase; that the current sewer rate is $3.99 and the
new rate would be $4.03 per month per dwelling unit and reflects a $0.04 increase monthly or
$0.48 annually; that the proposed commercial rate would change from $11.93 per month to $12.06
per month for each sewer connection and an additional $0.12 per 100 cubic feet of water used per
month. He advised that at the June 12, 2009 meeting, the City Council approved automatic water
and sewer rate adjustments for five (5) fiscal years in accordance with the Los Angeles- Riverside-
Orange County Urban Wage Earners and Clerical Workers Consumer Price Index.
Mr. Tait further reported that the proposed water rate adjustment would provide for the cost of
operating the water system, capital improvement projects and maintaining a $20 million reserve to
offset costs in the event of a catastrophic event or emergency that would affect the water system's
infrastructure; he explained the cost of operating the City's water system has increased as a result
of the uncertainty of replacement water and the significant increased cost of treated surface water
from Metropolitan Water District (MWD); and noted that MWD is raising the cost of replacement
water July 1, 2011.
Mr. Tait provided a PowerPoint presentation and explained the City's Water Conservation
Programs, Water and Sewer Capital Improvement projects for 2012 including the Annual Meter
Replacement Program, East Raymond Basin Water Resources Program, Booster Station
Discharge Meters Program, Hydraulic Water System Model Calibration, Hugo Reid Well
Rehabilitation Project, Cross Gutter Rehabilitation Project at Live Oak Avenue, the Annual Sewer
Inspection Program and the Old Ranch Road Sewer Pipe Replacement Project. He stated that staff
conducted a survey of water rates for neighboring agencies with uniformed rate structures and
found that Arcadia's water rates remain the lowest in the San Gabriel Valley; that staff took the
necessary Proposition 218 balloting procedures for increasing water and sewer rates and
recommended the City Council approve the water and sewer rate schedule for fiscal year 2011 -12
by adopting Resolution Nos. 6768 and 6769.
It was moved by Council /Agency Member Chandler seconded by Council /Agency Member Harbicht
and carried on roll call vote to adopt Resolution No. 6768 setting City Sewer Rates and finding the
rates will not exceed the estimated amount necessary to fund operation of the City Sewer System.
AYES: Council /Agency Member Chandler, Harbicht, Amundson, Segal, and Kovacic
NOES: None
ABSENT: None
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It was moved by Council /Agency Member Segal seconded by Council /Agency Member Amundson
and carried on roll call vote to adopt Resolution No. 6769 setting City Water Rates and finding the
rates will not exceed the estimated amount necessary to fund operation of the City Water System.
AYES: Council /Agency Member Segal, Amundson, Chandler, Harbicht, and Kovacic
NOES: None
ABSENT: None
ADJOURNMENT
The City Council /Redevelopment Agency adjourned this meeting at 9:10 p.m. to Tuesday, June 7,
2011 at 6:00 p.m. in the City Council Chamber located at 240 W. Huntington Drive, Arcadia.
/
A/ L.
G Kovacic, Mayo
ATTEST:
41e
James H. Barrows, City Clerk
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