HomeMy WebLinkAboutApril 1,200850:0041
' CITY COUNCIUREDEVELOPMENTRGENCY
REGULAR MEETING MINUTES
TUESDAY, APRIL 1, 2008
CALL TO ORDER
Mayor Segal called the Study Session Meeting to order at 5:00 p.m.
ROLL CALL OF CITY COUNCIL/REDEVELOPMENT AGENCY MEMBERS:
PRESENT: CouncillAgency Member Amundson, Chandler, Wuo and Segal
ABSENT: Mayor Pro Tem Harbicht
A motion was made by Council/Agency Member Amundson seconded by Council/Agency
Member Wuo to excuse Mayor Pro Tem Harbicht.
CLOSED SESSION/STUDY SESSION PUBLIC COMMENTS (5 minutes per person)
None
STUDY SESSION
a. Report, discussion and direction regarding options for refunding the 2001
redevelopment tax allocation bonds with a new 2008 bond issue.
City Manager Don Penman provided a brief summary regarding the options for the refunding of
the 2001 Redevelopment Tax Allocation Bonds and the issuance of new 2008 Tax Allocation
Bonds.
Mr. Fabian, the City's financial consultant from Fieldman Rolapp & Associates discussed the
2001 Tax Allocation Bonds issued by the Agency and whether they can be refunded in order to
save the Agency money. He further discussed existing revenue of the Agency to see if there is a
potential for new money based upon revenue the agency is collecting from tax increment; and
also the need to fund the Agency's Housing Fund cumulative obligation. Mr. Fabian provided
an overview of the 2001 Tax Allocation Bonds and refunding the 2001 Tax Allocation Bonds; he
provided a refunding analysis as of March 31, 2008, the issuance of New Money Taxable
Bonds, and discussed the Agency's Housing Fund cumulative obligation. Mr. Fabian noted that
due to current bond market conditions, it may not be prudent to move forward with the refunding
of the 2001 Tax Allocation Bonds. Mr. Fabian concluded by providing recommendations for
consideration.
The City Council unanimously (4-0, Council Member Harbicht having an excused absence)
unanimously directed staff to monitor bond market conditions in order to determine iftax-exempt
and taxable interest rates improve enough to warrant moving forward with a refunding of the
2001 Tax Allocation Bonds in late summer of this year and move forward with the issuance of
additional bonds to generate taxable new money proceeds for the Redevelopment Agency in
' conjunction with the refunding of the 2001 Tax Allocation Bonds after receipt of the Agency
2008-09 assessed values from the County; and prepare a plan to address the Redevelopment
Agency's Affordable Housing Fund cumulative obligation.
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50:0042
CLOSED SESSION
a. Pursuant to Government Code Section 54957.6 to confer with labor negotiators.
City Negotiators: Don Penman and Mike Casalou.
Employee Organization: Safety Management Employees (Fire and Police).
b. Pursuant to Government Code Section 54956.9(a) to confer with legal counsel
regarding the case of Westfield. LLC, et al. (Petitioners) v. Citv of Arcadia, et al.
(Respondents) - (Los Angeles County Superior Court Case No. BS111834)
c. Pursuant to Government Code Section 54956.9(a) to confer with legal counsel
regarding the case of Westfield. LLC, et al. (Petitioners) v. Citv of Arcadia, et al.
~~~~„ - ..a~~
(Los Angeles
Court Case No. BS108923)
d. Pursuant to Government Code Section 54956.9(a) to confer with legal counsel
regarding the case of Arcadia First! (Petitioner) v. City of Arcadia (Respondent) -
Maana Entertainment Corporation, et al. (Real Parties in Interest). - (Los Angeles
County Superior Court Cast No. BS108937)
RECONVENE CITY COUNCIL/REDEVELOPMENT AGENCY MEETING TO OPEN SESSION
Mayor Segal convened the Regular Meeting at 7:05 p.m. in the Council Chamber.
INVOCATION
Reverend Thomas Shriver, from Emmanuel Assembly of God delivered the invocation.
PLEDGE OF ALLEGIANCE
Mayor Mickey Segal led the flag salute.
ROLL CALL OF CITY COUNCIL/REDEVELOPMENT AGENCY MEMBERS:
PRESENT: Council/Agency Member Amundson, Chandler, Wuo and Segal
ABSENT: Mayor Pro Tem Harbicht
A motion was made by Council/Agency Member Chandler seconded by Council/Agency
Member Amundson to excuse Mayor Pro Tem Harbicht for his absence.
REPORT FROM CITY ATTORNEY/AGENCY COUNSEL ON CLOSED SESSION/STUDY
SE551ON ITEMS
City Attorney Steve Deitsch reported that the City Council conducted a study session to
consider options for refunding the 2001 Redevelopment Agency's Tax Allocation Bonds and the
possible issuance of a new 2008 Tax Allocation Bond; he further reported that the City Council
unanimously directed staff to monitor bond market conditions in order to determine iftax-exempt
and taxable interest rates improve enough to warrant moving forward with a refunding of the
2001 Tax Allocation Bonds in late summer of this year, authorized staff to move forward with the
issuance-of_additional-bonds-to-generate taxable new money proceeds for the Redevelopment
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' Agency in conjunction with the refunding of the 2001 Tax Allocation Bonds and to prepare a
plan to address the Redevelopment Agency's Affordable Housing Fund cumulative obligation.
City Attomey Steve Deitsch also reported that the City Council also met in a closed session to
consider the four items listed on the posted notice of special meeting agenda. Mr. Deitsch
announced no reportable action was taken.
SUPPLEMENTAL INFORMATION FROM CITY MANAGER/EXECUTIVE DIRECTOR
REGARDING AGENDA ITEMS
None
MOTION TO READ ALL ORDINANCES AND RESOLUTIONS BY TITLE ONLY AND WAIVE
THE READING IN FULL
A motion was made by Council/Agency Member Amundson, seconded by Council/Agency
Member Chandler and carried on roll call vote to read all ordinances and resolutions by kitle only
and waive the reading in full.
PRESENTATIONS
a. Presentation of Certificate to Kevin Fox and Arcadia High School Constitution
Team.
' 1. PUBLIC HEARING
a. APPROVING THE ISSUANCE OF BONDS BY THE CALIFORNIA STATEWIDE
METHODIST HOSPITAL OF SOUTHERN CALIFORNIA.
Don Penman, City Manager provided the staff report regarding approval of tax-exempt bond
financing to be issued by the California Statewide Communities Development Authority to
benefit Methodist Hospital of Southern California; he explained that the Hospital would like to
use the proceeds of the bond to upgrade existing facilities and develop a new tower that will
include a new emergency department, critical care units and expand medical and surgical
capacity. Mr. Penman further explained the City must conduct a public hearing and approve the
bond; and noted that the City of Arcadia will not incur any financial liability as a result of the
bond issuance.
Steve Deitsch, City Attorney explained the purpose of the TEFRA hearing and process; he
further explained that federal regulations mandate that the City of Arcadia must conduct a public
' hearing to provide consent for the issuance of bonds.
Mayor_-Segal opened the public hearing and invited Dennis Lee from Methodist Hospital_to:
speak.
04-01-2008
Recommended Action: Adopt
50:0044
Dennis Lee, President, Methodist Hospital of Southern California provided a brief overview of
the proposed project; he explained the new parking structure, main entrance, new five-story
patient tower, new ambulance bay and ambulatory entrance.
Kevin Hale, Bond Counsel, Orrick, Herrington & Sutcliff provided information regarding the
issuance of the Bonds and the law that authorizes the issuance of the Bonds.
A motion to close the public hearing was made by Council Member Chandler, seconded by
Council Member Wuo, and seeing no further objection, the Mayor closed the public hearing.
A motion was made by Council Member Chandler, seconded by Council Member Wuo and
carried on roll call vote to adopt Resolution No. 6617 approving atax-exempt bond financing to
be issued by the Califomia Statewide Communities Development Authority to benefit Methodist
Hospital of Southern California.
AYES: Council Member Chandler, Wuo, Amundson and Segal
NOES: None
ABSENT: Council Member Harbicht
PUBLIC COMMENTS
Jose Estrada, State Farm Insurance in Arcadia, appeared and spoke regarding the costs
associated with being relocated by the Redevelopment Agency,
City Manager Penman indicated he would call Mr. Estrada to discuss his issues.
Vince Vargas appeared and spoke requesting the matter of the proposed cell tower in the Santa
Anita Oaks area be placed on a future City Council agenda.
Mr. Penman suggested that staff meet with Mr. Vargas to discuss the process and provide a
report to the City Council regarding cell towers in the public right of way.
Mr. Malloy from Public Works reported that the design has been sent back to the
communication company for revisions.
Council Member Wuo made a motion, seconded by Council Member Chandler to conduct a
study session on May 4, 2008.
REPORTS FROM THE MAYOR, CITY COUNCIL AND CITY CLERK
Council Member Wuo announced the upcoming Election and encouraged everyone to come out
and vote.
Council Member Amundson announced that he attended the Chamber of Commerce dinner
installing Judy Ponds as President and recognized Gail Jensen as Citizen of the Year,• he
congratulated both individuals for their honors; he also discussed the water shortages facing the
State and encouraged conservation; and requested an update on police recruits.
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' Chief Sanderson reported that seven new officers were recently sworn in; three of which speak
Chinese; he further announced an additional four new officers are in the Academy and
anticipates the City should be fully staffed by January.
Council Member Chandler noted that a victim came to the Police Department reporting an
individual stealing U.S. Mail and the police conducted a sting operation and apprehended a
suspect and obtained a search warrant and discovered truck Toads of mail from Arcadia and
Sierra Madre; Mr. Chandler congratulated Officer Stan Flores and the Police Department on a
job well done; he also praised another Arcadia officer who disrupted a residential burglary ring
that spanned from San Bernardino to Pasadena and referenced a criminal identified by Chief
Sanderson two years ago that was apprehended in Monrovia; he praised Police Department
efforts on all of these cases. He also congratulated Gail Jensen on becoming Citizen of the
Year and the Constitution Team of Arcadia High School. He thanked the Republican Women
group for his new tie.
City Clerk Barrows announced that this week the Civitan Club and City of Arcadia Recreation
Services are hosting the 2nd Annual Civitan Track Meet for Middle School Students.
Mayor Segal encouraged everyone to participate in Derby Day at the Race Track; he
announced Friday, April 11 is Breakfast with the Champions and encouraged community
attendance; he also discussed a proposal from a charitable organization to purchase a portion
of the Arcadia Par 3 Golf Course and requested the City Manager study the concept with the
proposed buyer at the expense of the buyer.
' Council Members Chandler, Wuo, and Amundson supported studying the proposal at the
expense of the buyer.
Mr. Penman indicated he would meet with the organization and stipulate that professional
outside services be consulted at the expense of the developer and bring back a report back to
the City Council.
2. CONSENT CALENDAR
REDEVELOPMENT AGENCY ITEMS:
a. REGULAR MEETING MINUTES OF MARCH 18 2008
Recommended Action: Approve
CITY COUNCIL ITEMS:
b. REGULAR MEETING MINUTES OF MARCH 18. 2008.
Recommended Action: Approve
c. ADOPT RESOLUTION NO. 6608 AUTHORIZING THE CITY MANAGER TO
Recommended Action: Adopt
d. ADOPT RESOLUTION NO. 6619 APPROVING AN AMENDMENT ONE TO THE
THIRD AMENDED AND RESTATED JOINT EXERCISE OF POWERS
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50:0046
e.
h.
k.
AGREEMENT OF THE SAN GABRIEL VALLEY COUNCIL OF
GOVERNMENTS.
Recommended Action: Adopt
AUTHORIZE THE CITY MANAGER TO ENTER INTO A CONTRACT WITH
Recommended Action: Approve
AUTHORIZE THE CITY MANAGER TO ENTER INTO A PURCHASE
Recommended Action: Approve
AUTHORIZE THE CITY MANAGER TO ENTER INTO A CONTRACT WITH
REPUBLIC INTELLIGENT TRANSPORTATON SERVICES. INC. FOR THE
SANTA ANITA ARCAr11A ITS INTFhRATIr~N - CCTV INRTAI I ATInN
Recommended Action: Approve
WAIVE THE FORMAL BID PROCESS AND APPROVE THE PURCHASE OF A
AUTHORIZE THE CITY MANAGER TO RENEW THE ANNUAL
PROFESSIONAL SERVICES AGREEMENT WITH INTER-CON SECURITY
SYSTEMS. INC. FOR PARKING ENFORCEMENT SERVICES FROM APRIL 15,
2008, TO APRIL 14.2009. FOR AN AMOUNT NOT TO EXCEED $219.838.08.
Recommended Action: Approve
THE COMING YEAR.
Recommended Action: Approve
FIRE STATION 106 FOR FIRE STATION 105.
Recommended Action: Approve
After a brief discussion regarding items "i" and "j", a motion was made by Council/Agency
Member Chandler, seconded by Council/Agency Member Amundson and carried on roll call
vote to approve items 2.a through 2.k on the City Council/Agency Consent Calendar.
AYES: Council/Agency Member Chandler, Amundson, Wuo and Segal
NOES: None
ABSENT: Council/Agency Member Harbicht
n
04-01-2008
Recommended Action: Approve
50:0047
3. CITY MANAGER
a. DIRECT THE PUBLIC WORKS SERVICES DEPARTMENT TO FOLLOW
Pat Malloy, Assistant City Manager/Public Works Services Director provided a summary on the
Proposition 218 balloting procedures for water, sewer and refuse rates; he noted that a public
hearing must be conducted June 17, 2008.
Tom Tait, Deputy Public Works Services Director reported on water and sewer rate adjustments
proposed to meet reserve requirements; he discussed the 2008-10 capital improvement
programs, the water master plan and noted that Arcadia has the lowest water rates (even with
the rate adjustments) in the San Gabriel Valley.
Marie Rodriguez, Management Aid reported on the Residential Refuse and Recycling
Agreement and noted that the current agreement has calculated an increase in rates based on
a formula that is a balance between the CPI and disposal fees. She further noted that Arcadia
has the second lowest rates in the San Gabriel Valley.
Mr. Malloy commended department efforts, City Council support and federal grants which have
allowed the City to keep costs down; he pointed out a more equitable way to bill commercial
sewer rates was incorporated into the plan and will be based on a fixed rate charge plus water
consumed.
A motion was made by Council Member Chandler, seconded by Council Member Wuo and
carried on roll call vote to authorize the Public Works Services Department to follow Proposition
218 balloting procedures for the increase of water, sewer and refuse rates and conduct a public
hearing at the June 17, 2008 City Council meeting and prepare the appropriate resolutions to
adopt the proposed rate increases for fiscal year 2008-09.
AYES: Council Member Chandler, Wuo, Amundson and Segal
NOES: None
ABSENT: Council Member Harbicht
b.
City Attorney Steve Deitsch provided a summary of a Sixth Amendment to Agreement and
Lease with Methodist Hospital in order to assist them in obtaining FHA finanFing for purposes of
updating and expanding the Hospital.
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MEETING WITH PREPARED RESOLUTIONS AUTHORIZING THE
Recommended Action: Adopt
50:0048
Mr. Deitsch explained that the amendment proposes the following changes: '
1) An extension of the original 99-year lease term by seven years;
2) Future use of the premises upon any foreclosure by FHA may include either profit or
non-profit hospitals or other public uses permitted by then current City zoning
restrictions;
3) Pursuant to the lease amendment, the City will be able to use the hospital's auditorium
during evening hours for City sponsored events;
4) The lease amendment includes new and updated insurance obligations to be met by the
hospital;
5) The proposed lease amendment is conditioned upon and will be effective at the time of
the closing of the currently proposed loan; and
6) In the event that the premises are ever used as other than anon-for-profit hospital, the
rent payable would be adjusted to market rent rather than the $1 per year current rate.
A motion was made by Council Member Chandler, seconded by Council Member Wuo and
carried on roll call vote to adopt Resolution No. 6621 approving a Sixth Amendment to
Agreement and Lease by and between the City of Arcadia and Methodist Hospital of Southern
California.
AYES: Council Member Chandler, Wuo, Amundson and Segal ,
NOES: None
ABSENT: Council Member Harbicht
City Manager Penman thanked Sally Duff for her services as the Interim Recreation &
Community Services Director and announced that Jim Kasama was promoted and appointed as
the Community Development Administrator.
ADJOURNMENT
The City Council/Redevelopment Agency adjourned this meeting at 8:30 p.m. to April 15, 2008
at 7:00 p.m. in the City Council Chamber located at 240 W. Huntington Drive, Arcadia.
M ck S gal, ayor
ATTEST:
~.
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James H. Barrows, City Clerk
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