HomeMy WebLinkAbout02-12-1998 City Council Study SessionMINUTES
CITY COUNCIL STUDY SESSION
CITY OF LAKE ELSINORE
183 NORTH MAIN STREET
LAKE ELSINORE, CALIFORNIA
THURSDAY, FEBRUARY 12, 1998
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CALL TO ORDER
The Study Session was called to order by Mayor Pape at 2:40 p.m.
PLEDGE OF ALLE IAN
The Pledge of Allegiance was led by City Gierk Kasad.
ROLL CALL
PRESENT: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
KELLEY, METZE,
PAPE
ALONGI, BRINLEY
Also present were: City Manager Watenpaugh, Administrative Services Director
Boone, Community Services Director Sapp, Assistant to the City Manager Best and
City Clerk Kasad.
DI ION IT M
1. ~conomic Develo~ment (F:70.1)
City Manager Watenpaugh noted the recent Goals and Objectives Meeting and
the request that staff come forward with an Economic Development Plan. He
noted that Assistant to the City Manager Best has put together a group of
professionals in Economic Development to explain what Economic Development
is in the 90's and how it has changed. He stressed that the consultant services
for this meeting were being provided free of charge.
Assistant to the City Manager Best noted that the panel is gathered from the
Southern California region and noted their expertise. She introduced Mr.
Michael Beck, Director of the . Office of New Initiatives and Economic
Development for the University of California, Riverside.
Michael Beck provided a background and history of economic development
including changing regional economy, contrasted Economic Development with
Redevelopment and provided a future vision for Lake Elsinore. He noted that
tt-e historical industrial base for the Inland Empire was Aerospace, and the
region also benefited from Agriculture and Transportation. He further noted
that the approach in the past has been a rather generic "come one, come all"
attitude. He explained that the main selling point for the Inland Empire was
PAGE TWO - CITY COUNCIL STUDY SESSION MINUTE5
low cost labor and land. He projected that the future characteristics of the
economy would be in specified technological clusters including
envirotechnology, transportation/logistics, infotechnology, biotechnic and
tourism. He stressed the importance of stimulating the economy by leveraging
private sector capital. He indicated that an appropriate Economic Development
program should include a mazketing program, zoning/specific plans, business
friendly community and investment stimulation.
Mr. Beck clarified that "Redevelopment" includes leaderslup development,
image relations, land assembly, investment stimulation, and infrastructure
development. He explained that the key difference between Economic
Development and Redevelopment is the reactive component focuses on retail
activity where development should elimu~ate activity. He indicated that the top
ten location considerations for corporations aze: labor supply/quality,
transportation system, permitting process, competitive operating costs, quality
of life, education, good government/business interaction, image, sites available,
and inducement packages. He stressed that the inducement package is not the
number one consideration. He indicated that the best development strategy is
to develop civic entrepreneurs, industrial inventory and strategic community
advantages including the good location and quality of life. He encouraged
continued efforts on the industrial inventory and stressed that the I-15 corridor
is critical for the region. He stressed that a good program manages the future
and improves social and economic conditions of the Community.
Assistant to the City Manager Best requested that Mr. Beck clarify the term
"Civic Entrepreneur". Mr. Beck indicated that is someone in the community
who creates opportunities within the community, or helps to shape the
community. Ms. Best introduced Cluis Del Ross Risher, Associate Director of
Business Attraction and Retention for the Inland Empire Economic Partnership.
Ms. Del Ross Risher discussed I.E.E.P. and the regional efforts underway. She
advised that there is a regional vision for Economic Development and identified
the Inland Empire participants in I.E.E.P. She indicated that I.E.E.P. is a
unifying force for regional business, government and community leaders, which
is advancing a pro-active marketing plan. She noted a handout distributed at tlus
meeting, detailing the regional strengths; and stressed that it is used on a daily
basis for business retention. She further noted that land availability and cost
is still a very important issue and there is still a lazge supply of land, at
competitive prices. She indicated that the biggest issue is the work force in the
region, and employers aze finding the necessary work force locally; and that is
the area's greatest asset. She fiuther indicated that wage rates are competitive
and people are educated. She noted the college and school systems in the area
and indicated that the housing market is the most active in the region, being rated
fifth in the nation in terms of market intensity. She stressed the affordable
nature of housing in contrast to Orange and San Diego Counties. She indicated
that the azea offers incentives wlrich are competitive with other areas of Southern
California. She stressed that the quality of life is a major selling point for the
area. She detailed the I.E.E.P. divisions including the small business
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PAGE THREE- CITY COUNCIL STUDY SESSION MINUTES
development division, the Inland Empire Film Commissioq and the international
trade division She indicated that the I.E.E.P. has a pro-active public policy
approach with the four main objectives of her job being to attract, retain, e~and
and incubate new and existing businesses. She noted the dollars being spent in
other states to attract small businesses from California.
Ms. Best introduced Lee Hanson, Associate Professor of Management at
California State University, San Bernardino.
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Mr. Hanson noted that lus last job before academia was as a Senior
Administrative Assistant in a City Manager's office. He detailed the federal
IE21 program which is a lugh tech strategy for the 21st Century; seeking to
convert the region to a technologically sophisticated business base. He noted
the ability to command high wage labor in tlris area. He e~lained that the
thrust of IE21 is nurturing lrigh tech entrepreneurslup with technology transfer
from the Universities, and the promotion of industry clustering. He explained
that this regional sirategy is linked to "Economic Gardening" and explained the
ability of tlris program to complement local economy efforts. He further
explained that Economic Gardening is shifting toward hying to assist local
companies to grow or expand. He suggested that the City do an industry
inventory, interview local companies to determine their growth needs, conduct
a community assets/liability audit and design andlaunch a gardening program.
He stressed that the overall thnist is to try and encowage the growkh of
companies for higher income jobs, do economic intelligence of companies for
competitor intelligence reports, market identification, identification of foreign
trade possibilities, training progams using local community colleges to address
specific needs, provide professional support, and address quality of life
initiatives.
Assistant to the City Manager Best commented that there has been a number of
questions about "Economic Gardening", and noted that it was well explained by
Mr. Hanson. She fwther noted a study of several communities and their efforts
in tlus azea. She introduced Michael Stull, Executive Director of the Inland
Empire Small Business Development Center.
Michael Stull spoke on the value of small business, the needs of the small
business community, explained the Small Business Development Center and
detailed its resources. He noted that Economic Development for small
businesses is mauy times overlooked, but they too are valuable to the economy
as a whole. He advised that there are twenty two million small businesses in the
Country today; and 50% of the private work force is employed by small
businesses. He noted the high statistics on lugh business failures and stressed
the number of small businesses in Lake Elsinore. He fiurther noted that he is a
strong advocate of small business, but the failure rates point to a need for
resources and nuduring. He compared the components of a growing garden and
the needs of the business community. He commented that the SBDC is an
organization that meets the needs of the small business community and maintains
a unique parmership between the Small Business Administration, the State of
PAGE FOUR - GITY COUNCIL STUDY SESSION MINUTES
California, I.E.E.P. and a variety of cities, counties and private firms.
COUNCILMAN ALONGI ARRIVED AT 3Z0 P.M.
Mr. Stull detailed the locations of their offices and noted that the nearest location
to Lake Elsinore is in Murrieta. He advised that the SBDC provides free
business consulting, low cost training seminazs, special programs, and a resource
network. He detailed the business assistance provided in 1997 and stressed the
need to provide adequate support to small businesses. Councilman Metze noted
a past opportunity to interact with the SBDC and indicated that free services
provided were invaluable.
Assistant to the City Manager Best introduced Mr. Jerry Henderson,
representing the Los Angeles Region of the Califomia Trade and Commerce
Agency.
Jerry Henderson commended the Council for having the best possible staff, and
detailed the Califomia Trade and Commerce Agency and its programs. He
detailed the efforts to keep businesses in California and explained the various
divisions of the Agency, including Rural Development, Welfaze to Work,
California Film Commission, Office of Permit Assistance, Office of Strategic
Technology, and Office of Intemational Trade.
Ms. Best introduced Kevin Palmer representing the Economic Development
Agency for the County of Riverside.
Kevin Palmer commented on their efforts and economic activity in
unincorporated areas of the County. He noted that even development in the
County areas benefits the City in two ways, by allowing people to find
employment in the vicinity and causing much of the remaining vacant land to be
on the verge of development. He noted that several companies aze looking into
the Southwest County area; and detailed efforts to develop a strategic plan. He
fucther noted that they have been able to identify target industries to mazket for
relocation to this azea. He explained the resources the County has available to
assist cities with their ongoing projects, such as job training recruitment
programs, grant funds to help prevent lay-offs, industrial development bond
programs, etc. He also addressed federal EDA grants and noted the annual
funds for infrastructure.
Aurelio Aguierre, representing Riverside County Economic Development
Agency addressed C.D.B.G. funds and explained that it is lus job to see that the
money is handled correcfly. He noted that tlus money can address infrastructure
improvements in eligible areas. He stressed the importance of quality of life and
related issues. He advised that with regzrd to economic development, there is
a loan progam in the County of Riverside, wiuch is competitive for the County
on a whole. He stressed that cities only need to contact them and address the
strategy and they will let us know what can be provided. He stressed their
efforts to create jobs and a better quality of life for the area.
PAGE FIVE - CITY COUNCIL STUDY SESSION MINUTES
Ms. Best noted that the speakers have gone from a general descriprion of
Economic Development, to how it has been used successfully in other areas. She
then introduced Fred Francia, Local Region Manager in Public Affairs for the
Edison Company. .
Fred Francia shared personat information on economic development in the Lake
ELsinore Valley; and indicated that he is very encowaged by the partnerslup and
cooperation between the cities of Lake Elsinore and Canyon Lake. He thanked
City Manager Watenpaugh and Assistant to the City Manager Best for their
willingness to work with him on economic development issues. He stressed that
the Edison Company is a stakeholder in the community. He presented a video
~ on the Goodyear Rubber Company and a successfui business retention program.
~ He stressed the importance of outreach and "gardening" to retain successful
~ businesses.
~
Assistant to the City Manager Best reviewed the documents presented including
and Interim report published by UCR in 1996, regazding economic development
policies. She noted the key issues and the ranking of those issues in economic
development promotion. She requested that Council consider directing staff to
come back with a program for actioq noting that City staff would like to include
an emphasis on developing small business in the community. She noted past
efforts with Temecula and Murrieta and the Southwest County Manufacturer's
Council, and indicated that staff would like to develop a formal written policy
for business retention programs, and possibly some streamlining of processes
and improvement of the City's business friendly image. She indicated that staff
would also like to include an economic plan in the general plan, and expressed
hopes to find funding to assist with ttus effort. She also indicated that staff
would like to continue to work with the EDC groups and stressed the importance
of small businesses. She noted that she has recently learned that there aze 413
businesses with 5 employees or more between Lake Elsinore and Canyon Lake.
Mayor Pape thanked staff for the group assembled to shed light on economic
development. He noted numbers heard with regard to the recession being over,
and questioned whether there had been a survey of elcisting businesses in the
region about plans for expansion and the need for larger facilities in the future.
Chris Del Ross Risher indicated that I.E.E.P. does conduct surveys of that type
and are presently resurveying that particular information. She noted that they do
quarterly reports regazding business expansion and retention. Michael Beck
noted that a list is being compiled for the technology and business list, noting
that some aze outdated. He noted that they believe they will find 400 to 500
high-tech companies in the region. He indicated that for that group the biggest
problem seems to be in attracting qualified labor. Kevin Palmer noted that
another tool which could assist in tlus azea would be a seed grant pilot program
between the City and the EDC.
Mayor Pape noted that tt-ere was an intention to bring some specific
recommendations for action before the Council. Ms. Best confirmed and noted
PAGE SIX - CITY COUNCIL STUDY SESSION MINUTES -
that those recommendations will include visionary programwing and goal setting
for the community to look at where we should be going. She reiterated hopes
that it would be possible to use grant funds to assist these efforts. Mayor Pape
suggested bringing the program forwazd as soon as it is ready.
Councilman Metze indicated that he would like to see another study session with
the Chamber of Commerce, and the City of Canyon Lake and their Chamber of
Commerce. He further indicated that he would like to see a more specific
proposal at that time; including information on what we have and what else we
need. He noted positive efforts to gain information on the importance of the
quality of life in business growth and retention. Mr. Metze stressed that he
would want very specific information on exacUy what is needed from the City
and from the Chamber to make the program work.
Mayor Pro Tem Kelley concurred with having the policy come back for further
discussion. She noted that a joint study session with the school district and
Canyon Lake was planned and suggested that this issue be on that agenda. She
thanlced the consultant panel and stressed the existence of many resources to tap
into, and noted its alignment with the City's policies, goals and objectives.
Mayor Pape expressed appreciation to the Consultant team for their time and the
good information.
THE CITY COUNCIL STUDY SESSION WAS RECESSED AT 4:40 P.M.
THE CITY COUNCIL STUDY SESSION RECONVENED AT 4:50 P.M.
2. West End Fire Stafion.(F:127.3)
City Manager Watenpaugh noted that consideration of this item was requested
by Councilman Alongi, and was intended to allow for conshuction of the station
to proceed.
Councilman Alongi stressed the importance of fire service and indicated that 18
minute response times do not constitute protection. He noted a specific fire
wluch occurred at the west end, took 10 minutes for the fire department to amve
and resulted in over a$100,000 loss. He discussed the use of volunteer staffing
and detailed the changes wluch have occurred. He detailed the response times
form each of the area fire stations.
COUNCILWOMAN BRINL~I' ?.'_'.RI~~D AT 4:55 P.M.
He suggested that by the t~me t~.e sta~on is built in approximately 18 months,
the Chief will have had time to train personnel on how to operate the velricle,
etc. He indicated that the majority of fire departments aze all volunteer. He
noted that the City has negotiated a contract with the ball team and are opening
the parks, and there is $2 million in reserves. He suggested that it would build
the confidence in the commwrity if the Council decides to go back and fiilly man
PAGE SEVEN - CITY COUNCIL STUDY SESSION MINUTES
the West End Station. He fiuther suggested that Goodhew would be interested
in renting space at a new station. He also suggested that another way to save
on operating costs would be for the City to handle the utilities on the station.
He suggested opening the station and then going back to the people for more tax
dollars. He indicated that his main concem as an elected official is to provide
the most important public service, being public safety. He noted that there is no
fire station planned in Easdake and nothing in Tuscany Hills. He suggested that
the City was exposing the community to danger. He noted that volunteer fire
Fighters are the same as volunteer Sheriff's in that they place their life on the
line, but don't get paid for it.
~ Mayor Pape reiterated that the concern is not with having the money to build a
~ station, but with having the money to staff the station. He questioned the cost
~ of staffing a fire station with full time paid fire fighters yeaz round. City
Manager Watenpaugh indicated that it is just under $500,000 a year for full time
staffing; but stressed that there was no revenue to pay that fee in the foreseeable
future. Mayor Pape noted that the next choice would be all volunteer, wlrich
on the surface is a viable option, however it would still cost about $250,000 a
year to staff with volunteers and provide training, gasoline, electricity, etc. He
stressed that the Fire Cluef has repeatedly told us that it is not in the City's best
interest to use all volunteers, as the calls are too numerous and there is a whole
list of reasons it would not be in the City's best interest. He suggested that
politicians going against the recommendations of professional staff would be a
bit pompous. He noted a recent newspaper article about the five fire stations
sittin em because there are no funds to staff them. He indicated that with
g PtY
regard to AMR ambulance service, they have a long term lease on the facility at
four comers; and are probably not interested in breaking the lease. He further
indicated that there has been some discussions with the County and Supervisor
Buster, and they are looking at moving the station in Lalceland Village , and it
could be relocated to benefit both City and County. He stressed the importance
of working toward common goals, which are logical and feasible.
Mayor Pro Tem Kelley concurred that the Council has repeatediy been told by
the Fire Department that a paid fire staff is needed. She stressed the need to
become solvent and suggested that the station needs to be more feasible with
adequate funding. She further stressed tbat the City doesn't have the funds right
now. She indicated that there are still 21 days before the Stadium Lease is a
done deal. She noted that there is nothing she would like to do more than build
a fire station and staff it, but it is not feasible and does not fit into the financial
~ ~ ~ ~ plan. ~
Councilwoman Brinley concurred with the other Councilmembers because it is
important to do the right due diligence before the station is built, to assure that
we aze able to staff and operate it. She indicated that there are no grants
available to fund it, and proceeding at this time would be doing the residents a
disservice. She reminded the Coimcil and Community that the Stadium issue
was only resolved recenfly. She slressed the importance of making sure the City
has the money to fund sta~ng before the starion is built. She indicated that she
PAGE EIGHT -:CITY COUNCIL 5TUDY SESSION MINUTES
appreciates the volunteers and knows they aze trained to deal with difficult
situation; but siressed that she has heazd from the Cluef that it is not a good idea
to use only volunteers. She further indicated that it malces sense to have the
money first and do it right.
Councilman Metze concurred with Mrs. Brinley and questioned City Manager
Watenpaugh with regard to whether this station was a priority at this time. Mr.
Watenpaugh indicated that if the fimding was available it would be great to have
the statioq but it is not an emergency or priority at tlris time. Mr. Metze noted
that half of the savings from the ball field have been allocated, but there are other
payments due in eighteen months. He stressed that the reserves would be gone,
if the fire station was funded for four yeazs.
Mayor Pape indicated that there appeared to be a clear consensus to not proceed
on this item. Councilman Alongi reiterated lus concem and indicated that the
Council does not have a handle on the Community and missed the point about
velucles.
Mayor Pape suggested proceeding to Item No. 3. There was debate regazding
the readiness to proceed.
3. Mayoral Election. (F:44.1)
City Manager Watenpaugh indicated that tlus item was also requested by
Councilman Alongi; and contemplated placement of the selection of Mayor on
a ballot as opposed the to selection by the Council. He noted that the fiscal
impact would be approximately $30,000.
Councilman Alongi indicated that it is time the people choose theu Mayor and
take that power away from the Council. He commented that if the City is
trying to encourage other areas to join the City, ttris woutd be the first move
indicating that the City is willing to go to the people for a decision and gives the
Council a chance to exchange dollars in different districts. He stressed that the
residents want to elect their Mayor, and the Council should put it on the ballot
and let them make the decision.
After substantial debate, Councilman Alongi was escorted from the meeting.
Councilwoman Brinley indicated the reason Elsinore is not ready for an elected
~ Mayor is that the five represent the City as a whole, and when you start breaking
~- a city into districts, there is a tendency for each to pull for their own district. She
indicated that the City is not ready for that, as it is still growing. She stressed
the importance of having a Mayor and Council all working together and not
setting one person apart from the others. Councilman Alongi reiterated that the
Council should let the people decide. Councilwoman Brinley indicated, at tlus
point, she would still like to see all members working together because they
were elected by the same people. Councilman Alongi indicated that would not
stop if the Mayor was elected separately. He stressed that the Council should
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PAGE NINE - CITY COUNCIL STUDY SESSION MINUTES
give the residents the opportunity to vote on it.
Councilman Metze questioned the comment regarding Annexation and
questioned who would want to annex the other azeas. He noted the newspaper
article regarding the Fire Station and this issue and indicated that he has seen no
large group of residents seriously concemed with either issue. He stressed that
all of the Councilmembers were elected and indicated that he is comfortable that
whoever is Mayor has at least been chosen by three Councilmembers.
~ Councilwoman Brinley indicated that with the cuirent situation the Council is all
~ working together and all in the same status, with the Mayor chosen by a
~y consensus of three. She suggested if the residents want to change the system
~ they can petition the change.
Mayor Pro Tem Kelley commented that when a citizen votes for a Council
candidate they are fully awaze that candidate could become Mayor and should
not vote for someone they do not want to see as Mayor. She indicated that
when you start running one posi6on above another, you inherently give the
position more power. She noted what is happening in the City of Perris, as they
are now having a power struggle. She further noted that costs tend to triple for
the separate election and make it even more powerful. She suggested that tlus
, , proposal is nonsense.
Councilwoman Brinley concurred that it could create a power struggle.
Mayor Pape noted that the bottom line is trying to divide the City into districts.
He indicated that the reason districts aze formed is to create manageable areas
to be represented and there is time to respond to constituent needs. He also
indicated that Districts become somewhat competitive for available dollazs, and
representation deteriorates at that point, as the focus becomes on small segments
rather than the entire community.
ADJOURNMENT
The Study Session was adjourned at 5:30 p.m .
I/~/f vt)
VIN W. P E, MAYOR
i
CTTY OF LAKE ELSINORE
ATTEST:
VIC SAD, CITY CLERK
CITY OF LAKE ELSINORE
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