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HomeMy WebLinkAboutJANUARY 2,1996 I I I OlIO - '7() -'1"1 ,; I', , , (.c. CITY COUNCil. PROCEEDINGS ARE TAPE RECORDED AND ON FILE IN THE OFFICE OF THE CITY CLERK ROLL CALL 1. 2, Ol$'c) - .. ('1 5Ct.:AJ a /?, MINUTES CITY COUNCil. OF THE CITY OF ARCADIA and the ARCADIA REDEVELOPMENT AGENCY ADJOURNED REGULAR MEETING JANUARY 2, 1996 The Arcadia City Council and the Arcadia Redevelopment Agency met in an Adjourned Regular Meeting on Tuesday. Janwuy 2. 1996, at S:30 p.m. in the Council Chambers Conference Room. PRESENT: Councilmembers Chang, Kuhn, Ulrich. Young, and Lojeski ABSENT: None TIME RESERVED FOR lliOSE IN THE AUDIENCE WHO WISH TO ADDRESS THE CITY COUNCil. None. INFORMATIONAL BRIEFING FROM LARRY GLENN, SAN GABRIEL BASIN WATER QUALITY AUTI{ORITY (WQA) BOARD MEMBER, ON WQA ACTIVITIES AND RELATED MATTERS Since the election of Larry Glenn to the San Gabriel Basin Water Quality Authority (wQA) Board. representing cities with water pumping rights. Mr, Glenn has met with representatives of the various cities to discuss their interests. goals, and objectives with regard to the WQA. Mr, Glenn. who is the cumnt Mayor of the City of Glendora. has also met with representatives of the City of Arcadia. one of the cities with pumping rights. Statf distributed a chart prepared by Arcadia Water Manager. Eldon Davidson. indicating the various entities which the City must deal with in regard to water issues. Mr. Glenn, who recently replaced Bob Margett on the WQA Board. represents the pumping rights cities which pay the tariff' for all the operations of the WQA. The City of Arcadia pays SIOO.OOO a year for operational purposes. The WQA was established for the specific purpose of starting the cleanup of the water system. Being a mayor. Mr, Glenn noted from experience that counciJmembers have not been as weU informed as city managers and staff about the purpose of the WQA. He has since learned that there is a "sunset clause," and the WQA will phase out of existence in Janwuy of 1997. The WQA was created for a five-year period with the main goal of cleaning up contaminants in groundwater in the San Gabriel Valley. which is some of the most contaminated water in the counUy. Mr. Glenn inuoduced Ken Manning, who has been with the WQA since its inception and represents the Upper Water District. The City Manager commented that, although the WQA's intentions were clear when it was established, about, a year ago city managers and city attorneys met with water 1 1/2/96 . --" ~, - - ~ , ,;..: : ~ i. \. _ representatives to ask. "What is going on with our money...to us. for us. against US..,,",e don't know," CIty and water representatives were concerned that the goal and objective of the WQA may not be attuned to what staff thought the direction was. and there were several attempts to informally work With the WQA staff to open communication and ease some of the problem, There are still questions, such as how is money being spent. and will the organization have completed its goals and objectives when it sunsets? City managers and staffs are advocating more formal panicipation in the process of the WQA in order that information regarding budgets. decisions. and directions can be brought back 10 the cities, and to the WQA. so cities know that money is not being spent inappropriately. The City Manager noted that there are some internal politics causing problems on the pan of both city and WQA staffs which must be overcome. He suggested that the Council ask the WQA. through Mr. Glenn, 10 creale formal advisory groups of city managers, city attorneys, and water representatives to give the WQA Board and staff more specific and direct input. Stafl' would like to take a more active role so that it may report to Council regarding policy directions, what is going to happen, and "how does the City of Arcadil\ want to play the game." I Council discussion ensued, with the Water Manager. Mr, Glenn. and Mr, Manning answering questions from Councilmembers. In response to Councllmember Chang, Mr. Manning explained thaI there are two "sunset clauses" built into the WQA legislation, One is open~nded, and says that when the organization finishes all of its responsibilities and duties, it will end. Another sunset clause was attached to legislation with a "drop dead" date of December 31, 1997, because no one knew how the organization was going to interact and how effective it was going to be, Mr. Manning noted that there is an effort going on, basically spurred by the Upper District and himself, to change the sunset clause of the WQA to use a series of criteria for ramping down of the WQA. extending the tennination date and thus allowing more time for the organization to finisb all of its duties, Mr, Manning clarified that the intent of the five- member WQA Board has always been 10 be a very open and consensus-building organization of a non-regulatory nature. It is the Board's feeling that the WQA was establisbed for the purpose of discussing ways to accomplisb water cleanup in the fastest and most cost-dfective manner with the least effect on all interested panies. including cities, potential responsible panies, and citizens. I There are ongoing projects to extract volatile organic compounds (VOC's) from groundwater. Two projects are at Arrow Well and Big Dalton Well in Baldwin Park. and Project No. 3 will be online soon at three wells in Monrovia, VOC's being extracted from the groundwater are measurable in tonnage. It is the WQA' s policy not to extract nitrates unless they happen to be in the same location with VOC's. It was pointed out that of the $100 million long-tenn cost of the Baldwin Park Operable Unit. a little over 50 pen:enl is being paid for by the responsible panies. The other 50 percent is going to be offset with the sale of the water coming out of the ground and from possible assessments that could be incurred. Large corporations whicb contributed to the pollution have joined together to fund the cost of the remedial activities; grants have been secured from the Bureau of Reclamation; and the WQA is funding a small portion of the financing of the Baldwin Park Operable Unit. Part of the responsibility of the WQA is to make sure that the impact of cleanup is DOl going to cause financial hardship on anyone in the Valley, Mr. Manning stated that by reaching a consensus approach to cleanup, "we can avoid the typical EP A superfund project wbere three or four people are appointed as the responsible panies, and then they sue ten people who then sue one hundred people." resulting in hundreds of millions of dollars being spent on attorneys instead of cleanup, The City Manager raised the issue of third-party lawsuits, Mr, Manning explained that the responsible panies have signed agreements with the WQA not to start third-party lawsuits as long as the consensus plan moves in the direction it is going, and they will absorb the liability for what the WQA has assessed to them, I 2 1/2/96 :6: .)00: I In response to a question from Councilmember Young regarding the Bald,,;n Park Operable Unit. Mr, Manning stated that the WQA's contribution of funding comes from assessments 10 the cities which hold pumping rights. That assessment generates about $1.8 million at the current assessment rate, The WQA has the ability to assess up to $40 per acre.foot of water pumping rights every year, He explained the WQA's budget process. which includes public hearings and meetings with staff. groundwater producers and pumping rights holders in the Valley, The assessments collected are invested; however. no more is collected within a year than is expended within a year, Assessments collected also go toward some of the stanup costs on other operable units such as South EI Monte, EI Monte, and Monrovia. which are "pockets of pollution, n In addition. the money funds "hot-spot" removaJ, investigations. multi-port wells to help discover where pollution is in the aquifer. and other activities in order to characterize the pollution within the basin so that the final strategy for each operable unit is effective for that operable unit. For instance. the cleanup strategy for a city with large corporations which are able to help fund the cleanup may be different from a city WIth no large corporations; however, the formula is the same whereby responsible parties WIll pay for baIf of the cost. The WQA retains anorneys who are specialists in the area of superfund law. and has lobbyists in Washington. D.C.. who recently helped get language put into the new Superfund Bill which may save the Basin $2~ million to $~O million dollaJS. The WQA pulls together all of the parties and spearheads activities, thereby getting the cleanup done faster and cheaper. Mr. Manning assuRd the City that its $100.000 annual assessment is being spent effectively. As Treasurer of the WQA. he reviews every bill and every check wrinen by the organization. In response to a question from the City Anorney, Mr, Manning answered that the WQA is a State agency which is under the Public Records Act. and it would respond to a records request from the City. I Councilmember Ulrich inquired about the percentage of the WQA's budget being spent for administrative costs (35 percent). Also. salaries and fringe benefits have gone up 19 percent between Fiscal Year 1994-9~ and Fiscal Year Projected 199~-96, Mr, Manning exp1ained that there has been an increase in employees, from five to seven and one.baIf. resulting in an increase in salaries and benefits. With regard to Councilmember Ulrich' 5 comment that Fiscal Year 1996-97 tolal Administration Operating COSlS of $1,024,781 seem to be out ofbaJance when compaRd to tota1 Project Cost Summary of $2.630,6~1. Mr. Manning explained that all of those costs are not administrative; some of the money is reserves and canyovcr. Comparing fiscal year 1994-9~ to 1996-97 is a little misleading because during the WQA's initial year of operation the organization was in a state of flux. Since that time staff has increased, but will be reduced when project work allows, Referring to the Fiscal Year 1996-97 budget and the fact that 34 percent of salaries and benefits is cleared to projects and 66 percent is for administrative expenses, Mr. Manning stated that by the end of the WQA's fourth year, when the Baldwin Park Operable Unit is online. the budget will probably show 80 percent toward projects. I Discussion continued with regard to the WQA's budget. In reply to Councilmember Ulrich, Mr. Manning stated that it is projected that next year's assessment to the City will be between $13.00 and $13.50 per acre-foot, down from $14.00, It is anticipated that in three to three and one-baIf years, there will be no need for an executive director of the WQA. as all of the strategies of the WQA will have been met. Part of the plan the Upper District has is to merge the WQA with one of the other water agencies-the Watermaster or one of the municipal water districts-and that agency's executive director would become head of the agency called the Water Q\Jality Authority. There is no anempt to have the WQA become a continuing organization collecting assessments from cities, unless they are minor assessments. 3 1/2/96 COUl1C1Jmember Chang asked about an article wnnen by Congressman Esteban Torres expressing his opposition to HR 2500. Mr. Manning explained that that leglsLauon I would have prevented the WQA from being able to put Its consensus approach together and would have kepi the agency from bringing all IRvolved panies to the table. [t....as designed for other superfund siles thai were having problems, but II affected the WQA also. The WQA asked for a modification of Language 10 allow those agencies already IQ the process of ao:omplishing their purpose 10 continue. Had thai legislation gone through without modification. the responsible parties in Baldwin Park and South EI Monte could have gotten away without paytng anything loward cleanup of contanuRaled groundwaler. Enacting modification of language to the legislation will save the WQA multiple rrullions of dollan over a long period of time. The business community IS very pleased with what the WQA has been able 10 ao:omplish: they know il Iirruts theIr liabilities. Discussion continued with regard 10 the matter of WQA sta1f sa1anes. Although the salary of the Executive Director is on the upper end. his job is lemporary and will be ICnninated in about three 10 three and one-half ycan when his job will be complete. There is no advantage in d;cm;";ng him now and hiring someone else al a lower wage. Mr. Manning stated that the City Manager's suggestion of creating city commirtces to meet with water represcntauves wouJd be an excellent opponunity for cities to provide inpuL He encourages Mr. Glenn 10 bring the matter 10 the WQA Board in the fonn of an action ilem. Mr. Glenn commenled that he would like 10 see member ciues involved in the form of a committee that could submit decisions and rec:ommendauons which would then be broughl up at Board meetings. Mr. Manning noted thai by dialing 1010 the WQA web sile, anyone may look al agendas and minulCS, and obtain IRforrnauon about Board and sta1f members and the status of projcc:ts. He stated that the goals and objectives listed in the WQA' s cunem brochure are about 9' percent 3lXUl3le: and a I new goals and missioIII brochure will be out in . couple of month&. The City Manager clarified that his iIllcnt for a commiaee would be 10 have city managers be appoinled by city counciJs wbo in tum appoiDl . pusoa from 5IaJf 10 work with the WQA sta1f IQ lechnical, not policy, participalioll. The Water Manager poimed OUI the faa thai the original estimate made by the EnvirolltDCRtal Protection Agency (EPA) for cleanup of the San Gabriel Basin was S800 million. The WQA has broughl thai figure down to a long-term cost of S 100 mi11ion or less. The WQA worlccd hard 10 convina: the EP A that there was a COI\SCIISUI among people in the basin that cleanup could be more effectively accomplished locally than by allowing the EPA 10 oversee IL Mr. Manning believes that the formula which the WQA is using 10 ao:omplish cleanup will be replicated tlInlugbout the United States at similar kinds of supafund sites because il makes _ eco"'l"'w..lly. ADJOURN- A16:43 p.m. the AdjowDcd Rqular meeting ADJOURNED sine die. ~ ~ of the City of Arcadl~ ATTEST: I .~'"u~~~' ne D. Alford ity CleJk 4 1/2/96 ..... -'