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HomeMy WebLinkAbout2010-06-22 PFA Item No. 1REPORT TO PUBLIC FINANCE AUTHORITY TO: CHAIRMAN HICKMAN AND BOARD MEMBERS OF THE AUTHORITY FROM: ROBERT A. BRADY CITY MANAGER DATE: JUNE 22, 2010 SUBJECT: APPROVAL OF MINUTES Discussion The following Public Financing minutes are submitted for approval: (a) Joint Study Session City Council / Redevelopment Agency and Public Financing Authority Meeting, March 9, 2010 (b) Public Financing Authority Meeting Minutes March 9, 2010 (c) Joint Study Session City Council / Redevelopment Agency and Public Financing Authority Meeting, February 23, 2010 (d) Public Financing Authority Meeting Minutes February 23, 2010 Recommendation Approve the Minutes as submitted. Prepared by: Dana C. Porche Office Specialist Approved by: Carol Cowley Interim City Cler Approved by: Robert A. Brad City Manager ~~-VVV"' AGENDA ITEM NO. 1 Page 1 of 31 Page 2 of 31 MINUTES JOINT CITY COUNCIL/PUBLIC FINANCE AUTHORITY CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, MARCH 9, 2010 CALL TO ORDER - 4:00 P.M. Mayor Melendez called the Joint Study Session meeting to order at 4:02 pm. ROLL CALL PRESENT: MAYOR MELENDEZ MAYOR PRO TEM BHUTTA COUNCIL MEMBER HICKMAN COUNCIL MEMBER MAGEE COUNCIL MEMBER BUCKLEY arrived at 4:22 pm. ABSENT: NONE Also present: City Manager Brady, City Attorney Leibold, Director of Administrative Services Riley, Community Development Director Weiner, Public Works Director/City Engineer Seumalo, Director of Lake and Aquatics Kilroy, Information/Communications Manager Dennis and Interim City Clerk Cowley. CLOSED SESSION 1) CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION (Subdivision (a) of Gov't Code § 54956.9) Michel Knight vs. City of Lake Elsinore (Riverside Superior Court Case No. RIC10001036) PRESENTATIONS/CEREMONIALS Mayor Melendez advised Council that the Girl Scouts would also be attending the 7:00 pm meeting to make a presentation. Proclamation Honoring the Boy Scouts of America's 100th Anniversary. PUBLIC COMMENTS There were no public comments. Page 3 of 31 Joint City Council Study Session March 9, 2010 CONSENT CALENDAR (2) Approval of City Council Minutes Recommendation: Approve the following minute(s): (a) City Council / Redevelopment Agency Joint Study Session Minutes of February 9, 2010 (b) Regular City Council Minutes of February 9, 2010 (3) Warrant List Dated February 25, 2010 Recommendation: Authorize payment of Warrant February 25, 2010. Page 2 of 11 List dated Council Member Hickman asked about Warrant Register Nos. 102193 to Cutting Edge Staffing and 102252 to Select Staffing. He asked why two separate staffing services were used. Director of Administrative Services Riley advised that each company specialized in the types of temporary employees they provided. Select Staffing provided a temporary receptionist and Cutting Edge Staffing provided temporary employees to assist in maintenance. Council Member Magee addressed Warrant No. 102251 to SC Engineering. He expressed his concern that the City was paying SC Engineering another $100,000 after already paying them over $700,000. He stated the City has yet to see any report or environmental documents since entering into an agreement with SC Engineering. Council Member Magee said he would like to have an audit performed to determine where the money is being spent and what services have been performed to date. Public Works Director Seumalo advised Council that he had the same concerns, especially since the original agreement was for $300,000. He did anticipate receiving a report soon, but also felt an audit was warranted. Mayor Pro Tern Bhutta asked about Warrant Nos. 102206 to Elite Elevator, Inc., 102217 to Huntington beach Honda, 102261 to Stater Bros. and 102276 to West Coast Arborists. Director of Administrative Services Riley explained that Warrant No. 102206 was for maintenance of the elevator at City Hall; 102217 was for repairs to two police motorcycles, which is something the City's mechanic cannot do; 102261 was for $10 gift certificates for the senior center and 102276 was for tree trimming various trees in the city. Page 4 of 31 Joint City Council Study Session Page 3 of 11 March 9, 2010 Council Member Hickman asked about Warrant No. 102230 to Menifee Valley Air Conditioning and asked why the City did not use someone local. City Manager Brady advised that Menifee Valley Air Conditioning is located in Lake Elsinore. Mayor Melendez asked about Warrant Register 94984 to CalPERS and was advised that that was an underpayment for retirement benefits. She then asked why there were two payments of $908.80 made to one of the temporary maintenance employees on the same date as shown by Warrant Register No. 102193. Director of Administrative Services Riley and Director of Lake and Aquatic Resources Kilroy advised that it possibly was for two different time periods but they would look into it and let her know. Mayor Melendez asked about Warrant Register No. 102194 to D & S Electric for light removal. City Manager Brady advised that that was for the removal of the lights in the trees prior to the tree-trimming and confirmed that it was something that could not be done in house. Mayor Melendez also expressed her concern regarding Warrant Register No. 102251 to SC Engineering. (4) Consideration of Resolution Reciting the Facts of the Special Recall Election Held on February 23, 2010 and Declaring the Result Thereof Recommendation: It is recommended that the City Council: (1) adopt Resolution No. 2010-011 Reciting the Facts of the Special Recall Election held on February 23, 2010, Declaring the Result and such other matters as may be provided by law; and (2) direct the City Clerk to enter on the records of the City Council, a statement declaring that as a result of the election a majority of the voters voting on the measure relating to the recall of Thomas Buckley did not vote in favor of the recall. (5) Construction of Machado Park Landscape Improvements and Installation of a New Restroom - Notice of Completion Recommendation: It is recommended that the City Council authorize the Mayor to execute the Notice of Completion and have the City Clerk file the Notice of completion with the County of Riverside. Council Member Magee advised that he has received comments from residents in the Machado Park area, who are very pleased with the outcome of the Machado Park landscaping and restrooms. He thanked staff for doing such a good job on this project. Page 5 of 31 Joint City Council Study Session Page 4 of 11 March 9, 2010 (6) Construction of Gravel Road Paving FY 2009/10 - Notice of Completion Recommendation: It is recommended that the City Council authorize the Mayor to execute the Notice of Completion and have the City Clerk file the Notice of Completion with the County of Riverside. (7) Use of Proposition 1 B funds for Pavement Rehabilitation of City Streets Recommendation: It is recommended that the City Council (1) approve the use of Proposition 1B funds for the pavement repair of Sumner Avenue from Main Street to Chaney Street, and Heald Avenue from Main Street to Chaney Street; and (2) approve the use of Proposition 42 funds for the design of the reconstruction of Sumner and Heald. (8) Mount San Jacinto Community College Demonstration Go-Pass Program Recommendation: It is recommended that the City Council authorize the City Manager to enter into an agreement with the Riverside Transit Agency for funding of the GO-Pass Program at MSJC for the 2010-11 academic year. Scott Richardson, Manager of Planning and Programs for RTA provided a PowerPoint Presentation to the Council. Mayor Pro Tern Bhutta asked how they are reaching out to the students and what the cost to students would be. Scott Richardson replied by saying that because they are a publicly funded agency they are not allowed to promote the initiative, however, he stated the cost is $5.00 per student per semester which is a discounted rate. Mayor Pro Tern Bhutta asked how long the ride would be from the City of Lake Elsinore to MSJC. Scott Richardson replied by saying, if the bus route began at the Wal-Mart area, it would take approximately one hour to arrive to the school. Council Member Hickman noted that since this program has begun, the parking passes have lowered in cost because of a reduced demand for parking. (9) A Resolution of the City Council of the City of Lake Elsinore. California to Support the United States Census - Make Yourself Count Month March 2010 Recommendation: It is recommended that the City Council adopt Resolution No. 2010-012 Proclaiming March 2010 as Census Month. Page 6 of 31 Joint City Council Study Session Page 5 of 11 March 9, 2010 Council Member Magee asked if the Census would be counting the illegal aliens and if there would be a distinction between US legal and illegal residents. City Manager Brady did not know the answer. Council Member Buckley indicated it has been an issue; however, the answer is yes indicating one of the issues that has come up is that illegal aliens are more than likely not wanting to be counted. Mayor Melendez indicated from what she understands is that there is a huge push to make sure that the Hispanic population is counted, legal or illegal. Council Member Magee asked if the Census is also counting the homeless. Council Member Buckley confirmed the homeless are counted. (10) Extension of Term for Interim City Clerk's Personal Services Contract Recommendation: That the City Council authorize an amendment to the Personal Services contract with Ms. Cowley extending the term of the contract to May 15, 2010 in such form as may be approved by the City Attorney. (11) Agreement for Legal Services Concerning Trust of Darwin Rogers Recommendation: That the City Council authorize the City Manager to execute the attached legal representation agreement with the law firm of Reynolds Jensen & Swan LLP related to the Darwin Rogers Trust subject to any minor modifications as may be approved by the City Attorney. Council Member Magee took a moment to recognize Mr. Rogers and expressed he felt that because of the good treatment Mr. Rogers received from Finance staff is one of the reasons Mr. Rogers chose to leave all of his property to the City. (12) Exclusive Use Agreement for the Dr. Sharron Lindsay Community Center Recommendation: Approve the Exclusive Use Agreement and authorize the City Manager to execute the agreement. Council Member Magee asked if it was too late for the City not to enter into the agreement. City Manager Brady replied by saying if the Council wishes to move towards that, then staff would make the attempt. He noted there is a modification to Section 2.3 from the agreement and if the Council moves forward, then staff recommends the changes to the agreement. Page 7 of 31 Joint City Council Study Session March 9, 2010 PUBLIC HEARING(S) There are none. APPEAL(S) There are none. BUSINESS ITEM(S) (13) Community Facilities Page 6 of 11 Recommendation: That the City Council adopt Ordinance No. 1273 Authorizing the Levy of a Special Tax within CFD No. 2009-1 as introduced and title read at the meeting of February 23, 2010. (14) An Ordinance of the City Council of the City of Lake Elsinore. California, Amending Chapter 5.48, Sections 5.48.010, 5.48.020, 5.48.030. 5.48.040, 5.48.110 and 5.48.210 of the Lake Elsinore Municipal Code Regarding Bingo Recommendation: Waive further reading and introduce by title only Ordinance No. 1274 Amending Chapter 5.48, Sections 5.48.010, 5.48.020, 5.48.030, 5.48.040, 5.48.110, and 5.48.210 of the Lake Elsinore Municipal Code regarding bingo. (15) Annual Financial Reports for the Fiscal Year Ending June 30. 2009 Recommendation: It is recommended that the City Council receive and file these reports. Council Member Magee noted on page 9 of 14 the miscellaneous is almost as much as the sales tax and in the future, it needs to be reduced. Mayor Melendez asked for clarification on page 3 of 14 regarding 6.3 million of the $8.8 million begins for future contingencies. Director of Administrative Services Riley responded by saying it is for a catastrophe such as a huge earthquake or flood, and the remaining 3.8 is for the supplemental reserve/rainy day fund. He stated the term future contingencies is a universal term. Mayor Pro Tern Bhutta asked about the housekeeping matters. Director of Administrative Services Riley replied it is for the internal auditor's report of the internal control of the financial reports, which is disclosed on page 3 of 14. He Page 8 of 31 Joint City Council Study Session Page 7 of 11 March 9, 2010 noted the audit took longer than normal and it was suggested to come up with a formal audit schedule and follow it as best as possible. (16) Report on the Mid-Year Status of the FY 2009-10 Budget Recommendation: The net deficit of the revenue decrease and expenditure reductions (including the decrease in the transfer out to the capital fund) is $1,142,500. As noted above, staff is recommending using the "savings" from the prior year Supplemental Revenue Fund of $897,340 and an additional $245,160 from the fund to cover the shortfall. This would leave a balance of $1,395,540 in the "Rainy Day" Fund. Council Member Magee addressed the dramatic decreases in revenues that the City has seen. He stated 17.5% decrease in property taxes alone, which is unheard of and no one projected this. He stated for a variety of reasons, the City has been hit harder than most in terms of foreclosures. He indicated the additional decrease in property tax revenue means about $1 million hit to the City's bottom line. He pointed out to Council that it is not the fault of staff or management and everyone is going to have to do the best they can to get through this. Because staff has been so frugal with the funds, they have saved the City a considerable amount of money. Council Member Hickman asked if the property transfer taxes increased. Director of Administrative Services Riley replied, because the homes have gone down to an average of $185,000 per home from a high of about $420,000.00 which was in the year 2006, there is a property transfer tax that the City receives for each home when ownership changes. Because there has been such an increase of ownership changes, the City has seen an increase of property transfer tax. Council Member Hickman asked what the "Ballpark" figure is. Director of Administrative Services replied by saying it is around .55¢ per square foot per home. Mayor Melendez asked about the fire tax credit and why staff did not anticipate this would go down. Director of Administrative Services Riley replied by saying our consultants do not provide staff with any information. He stated that information comes directly from the County Fire Department. He stated when he spoke with the County Fire; they get their information from auditor controller's office which was received in December. He stated staff is aware of it and is prepared for 2010 and 2011. Council Member Buckley noted the difficulties financially, and suggested Council consider having fireworks during the July 4th weekend to help raise money for the City. Page 9 of 31 Joint City Council Study Session March 9, 2010 Page 8 of 11 He noted that the Padres would be away, which would be a perfect opportunity for the city. The City Council recessed and convened to the Redevelopment Agency at 4:49 p.m. REDEVELOPMENT AGENCY CALL TO ORDER Chairman Magee called the meeting to order at 4:49 p.m. ROLL CALL PRESENT: CHAIRMAN MAGEE VICE CHAIRMAN BUCKLEY MEMBER BHUTTA MEMBER HICKMAN MEMBER MELENDEZ ABSENT: NONE. Also present: Executive Director Brady, Agency Counsel Leibold, Director of Administrative Services Riley, Director of Community Development Weiner, Public Works Director/City Engineer Seumalo, Director of Lake and Aquatics Kilroy, Information/Communications Manager Dennis and Agency Secretary Cowley. PUBLIC COMMENTS - NON AGENDIZED ITEMS -1 MINUTE No comments. PUBLIC COMMENTS - NON AGENDIZED ITEMS - 3 MINUTES No comments. CLOSED SESSION 1(a) CONFERENCE WITH LEGAL COUNSEL-ANTICIPATED LITIGATION Significant exposure to litigation pursuant to subdivision (b) of Gov't code Section 54956.9: 1 potential case 1(b) CONFERENCE WITH LEGAL COUNSEL -ANTICIPATED LITIGATION Initiation of litigation pursuant to subdivision (c) of Gov't code Section 54956.9: 1 potential case. Page 10 of 31 Joint City Council Study Session March 9, 2010 Page 9 of 11 Agency Counsel Leibold reported to the Agency that two cases would be discussed during Closed Session. CONSENT CALENDAR (2) Approval of Redevelopment Agency Minutes Recommendation: Approve the following minute(s): a) Joint City Council/Redevelopment Agency Meeting -February 9, 2010 b) Regular Meeting -February 9, 2010 (3) Warrant List Dated February 25, 2010 Recommendation: Authorize payment of Warrant List dated February 25, 2010 Agency Member Melendez inquired about the Lakeshore Home & Development Inc. Executive Director Brady replied that the funds were for the awnings of the City Hall. Agency Member Melendez asked if this could be handled by staff. Executive Director Brady replied by saying, normally staff could have handled this; however, due to the circumstances the City did not want to risk the liability. There being no further business to come before the Board, Chairman Magee adjourned the Redevelopment Agency Joint Study Session at 4:51 p.m. and turned the meeting over to the Public Financing Authority. PUBLIC FINANCING AUTHORITY CALL TO ORDER Chairman Hickman called the meeting to order at 4:51 p.m. ROLL CALL PRESENT: CHAIRMAN HICKMAN VICE CHAIRWOMEN BHUTTA MEMBER BUCKLEY MEMBER MAGEE MEMBER MELENDEZ ABSENT: NONE. Also present: Executive Director Brady, Agency Counsel Leibold, Director of Administrative Services Riley, Director of Community Development Weiner, Public Page 11 of 31 Joint City Council Study Session March 9, 2010 Page 10 of 11 Works Director/City Engineer Seumalo, Director of Lake and Aquatics Kilroy, Information/Communications Manager Dennis and Agency Secretary Cowley. PUBLIC COMMENTS - NON AGENDIZED ITEMS -1 MINUTE No comments. PUBLIC COMMENTS - NON AGENDIZED ITEMS - 3 MINUTES No comments. CONSENT CALENDAR (2) Annual Financial Report for the Fiscal Year Ending June 30, 2009 Recommendation: Receive and File. PUBLIC HEARING(S) There are none. BUSINESS ITEM(S) There are none. There being no further business to come before the authority board, Chairman Hickman adjourned the Public Financing Authority Joint Study Session at 4:52 p.m. and turned the meeting over to the Recreation Authority. RECREATION AUTHORITY CALL TO ORDER Chairman Hickman called the meeting to order at 4:52 p.m. ROLL CALL PRESENT: CHAIRMAN HICKMAN VICE CHAIRWOMEN BHUTTA MEMBER BUCKLEY MEMBER MAGEE MEMBER MELENDEZ Page 12 of 31 Joint City Council Study Session March 9, 2010 ABSENT: NONE. Page 11 of 11 Also present: Executive Director Brady, Agency Counsel Leibold, Director of Administrative Services Riley, Director of Community Development Weiner, Public Works Director/City Engineer Seumalo, Director of Lake and Aquatics Kilroy, Information/Communications Manager Dennis and Agency Secretary Cowley. PUBLIC COMMENTS - NON AGENDIZED ITEMS -1 MINUTE No comments. PUBLIC COMMENTS - NON AGENDIZED ITEMS - 3 MINUTES No comments. CONSENT CALENDAR (2) Annual Financial Report for the Fiscal Year Ending June 30, 2009 Recommendation: Receive and File. There being no further business to come before the authority board, Chairman Hickman adjourned the Recreation Authority at 4:52 p.m. and returned the meeting back to Mayor Melendez. The City Council reconvened at 4:52 p.m. ADJOURNMENT There being no further business to come before the Council and Agency Boards, the meeting was adjourned at 4:53 pm to closed session at 5:00 pm and the regular meeting at 7:00 pm. DARYL HICKMAN, CHAIRMAN LAKE ELSINORE PUBLIC FINANCE AUTHORITY ATTEST: CAROL COWLEY, INTERIM SECRETARY LAKE ELSINORE PUBLIC FINANCE AUTHORITY Page 13 of 31 Page 14 of 31 MINUTES PUBLIC FINANCING AUTHORITY MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CA 92530 TUESDAY, MARCH 09, 2010 CALL TO ORDER Chairman Hickman called the meeting to order at 7:45 p.m. ROLL CALL PRESENT: Chair Hickman, Vice Chair Bhutta, Agency Member Buckley, Agency Member Magee, Agency Member Melendez. ABSENT: None Also present: Agency Counsel Leibold, Executive Director Brady, and Agency Secretary Cowley. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 1 MINUTE None PUBLIC COMMENTS - AGENDIZED ITEMS - 3 MINUTES None CONSENT CALENDAR (1) Annual Financial Report for the Fiscal Year Ending June 30, 2009 Recommendation: Receive and File It was moved by Agency Member Melendez and seconded by Vice Chair Bhutta to approve the Consent Calendar. The motion unanimously carried by the following vote: Ayes: Agency Members: Buckley, Magee, Melendez, Vice Chair Bhutta, and Chair Hickman. Noes: None. Absent: None BUSINESS ITEMS None Page 15 of 31 Public Finance Authority Agenda March 9, 2010 PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 3 MINUTES None. EXECUTIVE DIRECTOR COMMENTS None. LEGAL COUNSEL COMMENTS None. AUTHORITY MEMBER COMMENTS None. ADJOURNMENT Page 2 of 2 There being no further business to come before the Public Financing Authority the meeting adjourned at 8:03 p.m. and for the meeting to be held in the Cultural Center located at 183 N. Main Street, Lake Elsinore, CA 92530. DARYL HICKMAN, CHAIRMAN LAKE ELSINORE PUBLIC FINANCE AUTHORITY ATTEST: CAROL COWLEY, INTERIM SECRETARY LAKE ELSINORE PUBLIC FINANCE AUTHORITY Page 16 of 31 MINUTES JOINT CITY COUNCIL/REDEVELOPMENT AGENCY PUBLIC FINANCING AUTHORITY CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, FEBRUARY 23, 2010 CALL TO ORDER - 4:00 P.M. Mayor Melendez called the Joint Study Session to order at 4:02 p.m. ROLL CALL PRESENT: MAYOR MELENDEZ MAYOR PRO TEM BHUTTA COUNCIL MEMBER HICKMAN COUNCIL MEMBER MAGEE ABSENT: COUNCIL MEMBER BUCKLEY Also present: City Manager Brady, City Attorney Leibold, Director of Administrative Services Riley, Director of Community Development Weiner, Public Works Director/City Engineer Seumalo, Director of Lake and Aquatics Kilroy, Information/Communications Manager Dennis and Interim City Clerk Cowley. CLOSED SESSION 1 a. Public Employment (Gov't Code & 54957): City Clerk 1 b. Conference with Legal Counsel-Existing Litigation (Subdivision (a) of Gov't Code § 54956.9) In Re the Darwin Rogers Booster Trust Dated 7/27/2005 (Riverside Superior Court Case No. RIP 095857) 1 c. Conference with Legal Counsel-Existing Litigation (Subdivision (a) of Gov't Code § 54956.9) Konieczny v. City of Lake Elsinore (Riverside Superior Court Case No. RIC 503156) 1d. Conference with Legal Counsel-Anticipated Litigation Page 17 of 31 Joint City Council Study Session February 23, 2010 Page 2 of 12 Significant exposure to litigation pursuant to subdivision (b) of Gov't Code Section 54956.9: 1 potential case. PRESENTATIONS/CEREMONIALS None. PUBLIC COMMENTS - NON AGENDIZED ITEMS No public comments CONSENT CALENDAR 2. Approval of City Council Minutes Recommendation: Approve the following minutes: 1. City Council/ Redevelopment Agency/ Public Finance Authority Joint Study Session Minutes of January 26, 2010. 2. Regular City Council Minutes of January 26, 2010. 3. Warrant List Dated February 11, 2010 Recommendation: 1. Authorize payment of Warrant List dated February 11, 2010. Mayor Pro-Tem Bhutta requested clarification regarding Warrant List No. 102055 to D&S Electric in the amount of $2,140.00. Public Works Director/City Engineer Seumalo replied the funds were used for street light repair service. Mayor Pro-Tem Bhutta requested clarification regarding Warrant List No. 102111 to Pauley Equipment of Temecula, Inc. in the amount of $1,292.18. Public Works Director/City Engineer Seumalo advised the warrant was for repairing weed abatement equipment. Mayor Pro-Tem Bhutta requested clarification regarding Warrant List No. 102164 for We-Do Equipment in the amount of $6,692.48. Page 18 of 31 Joint City Council Study Session Page 3 of 12 February 23, 2010 Police Chief Cleary responded by saying the warrant was used for the lighting equipment currently used for check-points. Council Member Hickman requested clarification regarding Warrant List No. 102128 for RKW & MLW Elsinore L.P. in the amount of $69,424.11. Director of Administrative Services Riley advised the warrant was to refund an applicant regarding unused funds for a development project. Mayor Melendez asked if the funds to Golden State Concessions & Catering of $3,700 were already paid. Director of Administrative Services Riley replied by saying they had not yet billed the City for the services. Mayor Melendez requested clarification regarding the $100.00 for International Code Council, Inc. Director of Community Development Weiner advised the warrant was for updating the Building and Safety Code books. 4. Investment Report - January 2010 Recommendation: 1. Receive and file. 5. Purchase of Backhoe and Loader Recommendation: That the City Council: 1. Authorize staff to purchase a backhoe tractor and front end loader from Ritchie Brothers Auction Service as described in this report; and 2. Authorize a not to exceed amount of $150,000 from the City's AQMD funds for the purchase of a backhoe tractor and front end loader from Ritchie Brothers Auction Service as described in this report. Mayor Pro-Tem Bhutta asked if there were any anticipated future needs for the AQMD funds. Public Works Director/City Engineer Seumalo replied there may be some annual fees associated, however staff does not anticipate exceeding that amount. Page 19 of 31 Joint City Council Study Session Page 4 of 12 February 23, 2010 Council Member Magee thanked staff for moving forward and expressed his disappointment in the over regulation of the State requirements. He explained the equipment could run eight-days a week without causing any harm relative to air quality standards. Council Member Hickman asked staff how many other diesel units the City has and what would the cost be to correct or modify these vehicles in order to meet the current State air quality standards. Staff member Rick DeSantiago replied by saying the City owns very few diesel operated vehicles. He stated it would take approximately $15,000 per vehicle to modify the vehicles which would only be good up to the year 2016. Mayor Melendez asked how much the City reserve had for the replacement of vehicles and whether the funds were replenished every year. Public Works Director/City Engineer Seumalo replied by saying the City reserved approximately $200,000 of which $55,000 would remain once the vehicles have been purchased. Director of Administrative Services Riley stated the City receives approximately $45,000 every year which accumulates, however, if the funds are not used the State has the option to withhold funds for the following year. 6. Purchase of Compact Tractor Recommendation: That the City Council: 1. Authorize staff to move forward with the purchase of a 2007 A300 Bobcat Skid Steer compact tractor from Inland Bobcat located in Riverside, California; and 2. Authorize an amount of $27,188 from the City's NPDES funds for the purchase of a 2007 A300 Bobcat Skid Steer compact tractor from the vendor Inland Bobcat located in Riverside, California. Mayor Pro Tern Bhutta asked what the City has been spending on the rental of this equipment. Public Works Director/City Engineer Seumalo replied by saying the estimate is high particularly during the rainy season, however he did not have the information available but could supply her with the figure after the meeting. 7. A Request for the City of Lake Elsinore to Adopt a Resolution of Support for the Establishment of a Regional Scholarship Pageant Page 20 of 31 Joint City Council Study Session Page 5 of 12 February 23, 2010 Recommendation: 1. It is recommended that the City Council adopt Resolution No. 2010-005 supporting the establishment of a regional scholarship pageant by Southwest California Pageants. 8. A Resolution of the City of Lake Elsinore Supporting an Adjustment to the Hub Zone Boundary Recommendation: 1. It is recommended that the City Council adopt Resolution No. 2010-006 supporting an adjustment to the HUB Zone boundary. Mayor Pro Tern Bhutta asked if the current Census numbers would have any effect on the zone boundaries. City Manager Brady replied by saying the Census number could have an effect because it is based on the Census information that is provided. He included the HUB Zone boundary was based on the 2000 Census and could change this year. Council Member Magee asked if the adjustment included Casa De Mobile R.V. Park. City Manager Brady indicated it replied by saying, "no" it would be just for the industrial portions of the non-developed area. Council Member Hickman asked if this would include a tax free zone. City Manager Brady provides an opportunity for Federal contracting, should it meet the requirements. He stated a certain number of the employees must reside in the HUB Zone area. 9. Construction on State Highway Route 74 from 0.20 Miles West of Route 15 to 0.6 Miles East of Route 15 Notice of Completion / Change Orders Recommendation: That the City Council: 1. Approve projects final change order in the amount of $927,104.43; 2. Authorize the City Manager to execute the contract change order; Page 21 of 31 Joint City Council Study Session February 23, 2010 Page 6 of 12 3. Authorize staff to use TUMF funds in the amount of $277,104.43; 4. Accept the improvement within the City right-of-way into the City maintained system; 5. File the Notice of Completion with the County Recorder; and 6. Release all retention monies 35-days after the filing of the Notice of Completion. Council Member Magee requested clarification on the figures outlined in the Staff Report, the length of time to complete the project and the lack of landscaping. Public Works Director/City Engineer Seumalo pointed out to Council Member Magee the itemized table in the Staff Report which outlines the change orders. Council Member Magee asked what the consequences would be should Council deny the change orders. Public Works Director/City Engineer Seumalo replied by saying more than likely litigation would follow. He noted that he did not have a chance to review the plan and realizes there were issues, however, he indicated he has since thoroughly reviewed the plans and are catching many of the issues. Mayor Melendez asked for clarification regarding the cost increases for Aggregate Base Class II at $36 per yard. She noted North County Sand and Gravel offer the same at $15 per yard. Public Works Director/City Engineer Seumalo responded by saying the price per cubic yard includes the purchase of the material, placement, and compacting the material. Mayor Melendez advised staff the numbers are confusing and requested them to explain how they came up with the figures. Director of Administrative Services Riley added the figures can appear confusing however staff is confident the amount is correct. Council Member Magee suggested that the item be continued, because he is still not clear of the landscaping issues. Public Works Director/City Engineer Seumalo stated the plans called for a mixed use to mitigate erosion which includes wild grasses that are native to California and do not require irrigation. Page 22 of 31 Joint City Council Study Session February 23, 2010 PUBLIC HEARING(S) Page 7 of 12 10.Resolution Determining the Validity of Prior Proceedings Relating to the Establishment of City of Lake Elsinore Community Facilities District No. 2009-1 (Parks. Open Space and Street Lighting Maintenance): Call a Special Election; Canvass Election Results: Authorizing Levy of Special Taxes for CFD 2009-1 Recommendation: That the City Council: 1. Open the public hearing and take testimony; 2. Adopt Resolution No. 2010-007 determining the validity of prior proceedings relating to the formation of City of Lake Elsinore Community Facilities District No. 2009-1 (Parks, Open Space and Street Lighting Maintenance); 3. Adopt Resolution No. 2010-008 acting on behalf of the City of Lake Elsinore Community Facilities District No. 2009-1 (Parks, Open Space and Street Lighting Maintenance) calling a special election; 4. Adopt Resolution No. 2010-009 acting on behalf of the City of Lake Elsinore Community Facilities District No. 2009-1 (Parks, Open Space and Street Lighting Maintenance) canvassing of the results of the election; and 5. Waive further reading and introduce by title only ordinance No. 2010-1273 acting as the legislative body of the City of Lake Elsinore Community Facilities District No. 2009-1 (Parks, Open Space and Street Lighting Maintenance) authorizing the levy of special tax within said district. APPEAL(S) 11. Appeal of the Planning Commission Action Relative to the Revocation of Conditional Use Permit No. 2008-09, for Live Music, Dancing, and Entertainment within Designated Areas of an Existing Bowling and Entertainment Center (Trevi Lanes) Located at 32250 Mission Trail. Lake Elsinore. CA 92530 Recommendation: The City Council has the following options: Uphold the Planning Commission's decision to revoke Conditional Use Permit No. 2008-09; Page 23 of 31 Joint City Council Study Session February 23, 2010 Page 8 of 12 2. Consider the appeal and overturn the Planning Commission's decision to revoke Conditional Use Permit No. 2008-09; 3. Suspend or modify Conditional Use Permit No. 2008-09; and 4. Continue the item to either a date certain or off calendar. Council Member Hickman asked if Council received a letter requesting a continuance. Mayor Melendez responded by saying the letter requesting continuance was placed in the Council's mailboxes. Council Member Hickman expressed his request to have the item continued due to all of the activity with the Recall Election. BUSINESS ITEM(S) 12.A Resolution of the City Council of the City of Lake Elsinore, California. Approving Loan Agreements to be Entered into by the Redevelopment Agency of the City of in the Aggregate Principal Amount not to Exceed $11,000,000: and Authorizing the Taking of Certain Other Actions Related Thereto. Recommendation: 1. That the City Council adopt Resolution No. CC 2010-010 and approve execution of the necessary documents to issue Bonds in an amount not to exceed $11 million to refinance the Authority's 1995 Bonds; 2. That the Redevelopment Agency adopt the attached Resolution No. RDA 2010- 001 and approve execution of the necessary documents to issue Bonds in an amount not to exceed $11 million to refinance the Authority's 1995 Bonds; 3. That the Public Finance Authority adopt the attached Resolution No. PFA 2010- 001 and approve execution of the necessary documents to issue Bonds in an amount not to exceed $11 million to refinance the Authority's 1995 Bonds. PUBLIC COMMENTS - NON-AGENDIZED ITEMS None The City Council recessed and convened to the Redevelopment Agency. REDEVELOPMENT AGENCY Page 24 of 31 Joint City Council Study Session February 23, 2010 Page 9 of 12 Called to order at 4:29 pm. All members present except Vice-Chair Buckley. CLOSED SESSION 1. Conference with Legal Counsel-Anticipated Litigation Initiation of litigation pursuant to subdivision (c) of Gov't Code Section 54956.9: 1 potential case. Chairman Magee informed the Agency that additional information was received after the posting of the Redevelopment Agency Agenda. He requested City Attorney Leibold to review the correct proceedings with Agency. City Attorney Leibold indicated correspondence was received on February 22, 2010 from the Lake Elsinore School District which requires a unanimous vote of the Agency to have it placed on the Agenda for discussion. Motion by Bhutta second by Melendez to add the closed session item to the agenda. The motion unanimously carried by: AYES: Members: Hickman, Melendez, Bhutta and Chair Magee. ABSENT: Vice Chair Buckley. PUBLIC COMMENTS - AGENDIZED ITEMS None CONSENT CALENDAR ITEM(S) 2. Approval of Redevelopment Agency Minutes Recommendation: Approve the following Redevelopment Agency Minutes: 1. Joint Meeting -January 26, 2010 2. Regular Meeting -January 26, 2010 3. Warrant List Dated February 11, 2010 Recommendation: 1. Authorize payment of Warrant List dated February 11, 2010. Agency Member Melendez requested clarification regarding check number 6774. Page 25 of 31 Joint City Council Study Session February 23, 2010 Page 10 of 12 Director of Administrative Services Riley replied by saying the funds were a reimbursement from the Redevelopment Agency's Fund to the City. 4. Investment Report -January 2010 Recommendation: Receive and File. PUBLIC HEARING(S) No Public Hearings. BUSINESS ITEM(S) 5. A Resolution of the Governing Board of the Redevelopment Agency of the City of Recommendation: 1. That the Agency Board adopt Resolution No. 2010-001 RDA and approve execution of the necessary documents to issue Bonds in an amount not to exceed $11 million to refinance the Authority's 1995 Bonds. Chairman Magee noted that this item is for the Redevelopment Agency and the Public Financing Authority and asked the City Attorney how to handle the procedures. City Attorney Leibold suggested conducting the meeting concurrently and have all bodies in session at the same time, have the staff report read and each body could take its action for the resolution. Chairman Magee asked the Board if they agreed. There was a consensus by the Board. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 3 MINUTES No public comments. There being no further business to come before the Agency Board, the meeting adjourned at 4:34 pm and convened to the Public Financing Authority. Page 26 of 31 Purchase Contract. Loan Agreements, a Continuing Disclosure Agreement and a Preliminary Official Statement; and Authorizing the Taking of Certain Other Actions Related Thereto. Joint City Council Study Session February 23, 2010 PUBLIC FINANCE AUTHORITY Chairman Hickman called the meeting to order at 4:34 pm. ROLL CALL PRESENT: CHAIRMAN HICKMAN VICE-CHAIR BHUTTA MEMBER MAGEE MEMBER MELENDEZ ABSENT: MEMBER BUCKLEY Page 11 of 12 Also present: Executive Director Brady, Agency Counsel Leibold, Director of Administrative Services Riley, Director of Community Development Weiner, Public Works Director/City Engineer Seumalo, Director of Lake and Aquatics Kilroy, Information/Communications Manager Dennis and Agency Secretary Cowley. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 3 MINUTES No public comments. CONSENT CALENDAR 1. Approval of Public Finance Authority Minutes Recommendations: Approve the following Public Finance Authority Minutes: 1. Minutes of Meeting of December 21, 2008. 2. Minutes of Meeting of January 26, 2010. Mayor Pro Tem noted some corrections to the December 21, 2008 Public Finance Authority Minutes, should be corrected to reflect December 21, 2009 and the Chairman was Mr. Hickman. Agency Secretary Cowley advised the Authority that these are the minutes for December 21, 2008 which had not been previously approved. There being no further business, Chairman Hickman adjourned the Public Finance Authority meeting at 4:35 p.m. Page 27 of 31 Joint City Council Study Session Page 12 of 12 February 23, 2010 The City Council reconvened at 4:35 pm. LEGAL COUNSEL COMMENTS City Attorney Leibold announced that the City Council would adjourn to Closed Session at 5:00 p.m. to discuss the items listed as 1a through 1d under Closed Session. ADJOURNMENT There being no further business to come before the Council and Agency Boards, the meeting was adjourned at 4:37 p.m. to closed session at 5:00 pm and the regular meeting at 7:00 pm. DARYL HICKMAN, CHAIRMAN PUBLIC FINANCE AUTHORITY ATTEST: CAROL COWLEY, INTERIM SECRETARY PUBLIC FINANCE AUTHORITY Page 28 of 31 MINUTES PUBLIC FINANCING AUTHORITY MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CA 92530 TUESDAY, FEBRUARY 23, 2010 CALL TO ORDER Chairman Hickman called the meeting to order at 8:02 p.m. ROLL CALL PRESENT: Chair Hickman, Vice Chair Bhutta, Agency Member Magee, Agency Member Melendez. ABSENT: Agency Member Buckley Also present: Agency Counsel Leibold, Executive Director Brady, and Agency Secretary Cowley. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 1 MINUTE None PUBLIC COMMENTS - AGENDIZED ITEMS - 3 MINUTES None CONSENT CALENDAR (1) Approval of Public Finance Authority Minutes Recommendation: Approve the following minutes: a: Minutes of Meeting of December 23, 2008 b. Minutes of Meeting of January 26, 2010 It was moved by Agency Member Melendez and seconded by Vice Chair Bhutta to approve the Consent Calendar. The motion unanimously carried by the following vote: Ayes: Agency Members: Magee, Melendez, Vice Chair Bhutta, and Chair Hickman. Noes: None. Absent: Agency Member Buckley Page 29 of 31 Public Finance Authority Agenda February 23, 2010 BUSINESS ITEMS Page 2 of 3 A Resolution of the Board of Directors of the City of Lake Elsinore, Public Financing Authority Approving the Issuance of Lake Elsinore Public Financing Authority Tax Allocation revenue Bonds (1995 Series A Refunding), 2010 Series B, in the Aggregate Principal Amount not to Exceed $11,000,000; Approving an Indenture of Trust, a Bond Purchase Contract, Loan Agreements and a Preliminary Official Statement; and Authorizing the Taking of Certain Other Actions related Thereto. Recommendation: 1. That the Authority Board adopt Resolution No. 2010-001 PFA and approve execution of the necessary documents to issue Bonds in an amount not to exceed $100 million to refinance the Authority's 1995 Bonds. It was moved by Agency Member Melendez and seconded by Agency Member Magee to adopt Resolution No. 2010-001 PFA approving execution of the necessary documents to issue Bonds in an amount not to exceed $100 million to refinance the Authority's 1995 Bonds. The motion unanimously carried by the following vote: Ayes: Agency Members: Vice Chair Bhutta, Magee and Melendez, and Chairman Hickman. Noes: None. Absent: Agency Member Buckley. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 3 MINUTES None. EXECUTIVE DIRECTOR COMMENTS None. LEGAL COUNSEL COMMENTS None. AUTHORITY MEMBER COMMENTS None. Page 30 of 31 Public Finance Authority Agenda February 23, 2010 ADJOURNMENT There being no further business to come meeting adjourned at 8:03 p.m. and for the located at 183 N. Main Street, Lake Elsinore, ATTEST: CAROL COWLEY, CITY CLERK CITY OF LAKE ELSINORE Page 3 of 3 before the Public Financing Authority the meeting to be held in the Cultural Center CA 92530. DARYL HICKMAN, CHAIRMAN CITY OF LAKE ELSINORE Page 31 of 31