HomeMy WebLinkAbout12-30-1997 Special City Council MinutesMINUTES
SPECIAL CITY COUNCIL MEETING
CITY OF LAKE ELSINORE
183 NORTH MAIN STREET
LAKE ELSINORE, CALIFORNIA
TUESDAY, DECEMBER 30, 1997
KLIX41
The Special City Council Meeting was called to order by Mayor Pape at 10:05 a.m.
PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was led by City Manager Watenpaugh.
ROLL CALL
PRESENT: COUNCILMEMBERS: ALONGI, BRINLEY,
KELLEY,PAPE
ABSENT: COUNCILMEMBERS: METZE
Also present were: City Manager Watenpaugh, City Attorney Leibold,
Administrative Services Director Boone, Community Services Director Sapp,
Assistant to the City Manager Best, City Engineer O'Donnell and City Clerk
Kasad.
CONSENT CALENDAR
The following item was pulled from the Consent Calendar for further discussion and
consideration:
Item No. 3.
MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY
UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE
BALANCE OF THE CONSENT CALENDAR AS PRESENTED.
1. Received and ordered filed the following Minutes:
a. Planning Commission Minutes - November 19, 1997.
b. Planning Commission Minutes - December 3, 1997. (F:60.3)
C. Design Review Committee Minutes - November 19, 1997.
d. Design Review Committee Minutes - December 3, 1997. (F:60.4)
2. Ratified Warrant List for December 15, 1997. (F:12.3)
4. Rejected and referred to Claims Administrator for handling the Claims
Against the City submitted by Eric Godfrey (CL #97 -27), John Ulrich (CL
PAGE TWO - CITY COUNCIL MINUTES - DECEMBER 30, 1997
#97 -29) and Slavic, Bonebrake & Capriotte (CL #97- 30).(F:52.2)
5. Approved Public Hearing date of January 13, 1998, for the following:
a. Tentative Parcel Map 28712 - Countrywide Homes. (F:110.2)
ITEMS PULLED FROM THE CONSENT AL NDAR
3. Presentation of the F/Y 1996-97 Annual Audit & Financial RQQA. (F:24. 1)
City Manager Watenpaugh highlighted the annual audit and financial report;
and explained that it was completed and presented by Thomas, Bigbie &
Smith. He advised that the City received an "unqualified" opinion for the
year, or a clean bill of health. He noted the summary of the accounts and
indicated that a complete copy of the report is available at City Hall. He
detailed the general fund reserves, as of June 30, 1997 and advised that after
deductions, the $2 million reserve was maintained. He noted that there will
be a mid -year review of the budget on January 20th with the Goals &
Objectives. Mayor Pape congratulated staff and Mr. Boone for the
accounting award received this year.
Chris Hyland, 15191 Wavecrest, .addressed a newspaper article which
indicated that the RDA will come up $500,000 short this year, but noted that
last year it was 800,000. She questioned if the amount would not be the same
this year. She noted the statement that the City will need to pinch pennies to
address future costs, and suggested that there are some high end jobs which
could be laid off to allow for brining back less expensive employees. She
further noted that she heard there was a possibility of there being CFD
assistance to TMC in the amount of $5 million; and questioned what happens
if they run away with the money, "like they did in Riverside ".
City Manager Watenpaugh noted page 3 of 3 of the audit report; and clarified
the balance as of June 30, 1997. He expressed uncertainty with regard to the
question about the $500,000 shortfall, but indicated that the money
transferred from this year's budget for a subsidy, was just under $900,000.
Administrative Services Director Boone noted that he did not read article yet,
however he did discuss the assessed value reductions with the press
representatives, which were about $500,000 in losses over the last two years.
He indicated that the City did assist the RDA with $820,000 this year and it is
anticipated that amount will be about $968,000 in the coming year.
Councilman Alongi questioned the report, noting that he was not sure why
this was being done at a special meeting, when it could have been considered
on January 13th. He questioned page 1 of 3 of the report regarding the
General Fund Reserves on June 30, 1997. He questioned the General Fund
Reserve of $3 million and questioned whether this was saying that there were
no other deductions from June 30th to present; or if the amount of money to
come out of the $3 million to December 30, 1997 is known. He inquired
PAGE THREE - CITY COUNCIL MINUTES - DECEMBER 30, 1997
how much is in the reserves right now. Administrative Services Director
Boone indicated that there is presently about $2.1 million if funds are not
preserved for cash flow advances, such as the Lighting and Landscape
Maintenance District. Councilman Alongi questioned why LLMD funds were
coming out of the reserves, and not out of the LLMD account. Mr. Boone
explained that the City will not receive the first LLMD check from the
County until next month. Mr. Alongi inquired if this reimbursement would
put the reserves back up to $2.1 million. Mr. Boone confirmed and clarified
further. Mr. Alongi questioned the loans listed as payable to Library fund
and Park fund. Mr. Boone clarified the loan amounts. Councilman Alongi
reiterated that this matter should have been discussed at the meeting on
January 13th. He further questioned where the funds for repayment of the
loans would come from. Mr. Boone indicated that the funds would come
from either the reserves or waiting for general fund revenue to increase and
pay them back. Councilman Alongi questioned if the same could be done
with the parks. Mr. Boone indicated that there was no revenue source to do
so. City Manager Watenpaugh clarified the sources of revenue in the parks
fund and the library fund. Alongi stressed the outstanding loans, and where
the repayment will come from. Mr. Boone stressed that there would need to
be a new revenue source or use the reserves. He stressed the funds which
were borrowed and the limited ability to use them. Mr. Alongi stressed that
they were borrowed to balance the budget; and suggested that the money
could have been borrowed to keep the parks open. Mr Alongi noted page 3
of 3 and a reference to the RDA debt service funds for the three project areas
and requested and explanation of those figures. Mr. Boone clarified the debt
service, set aside and capital projects funds. Councilman Alongi qucs�ioned
the 20% set -aside from the tax increment for housing, etc. Mr. ,Boone
clarified that of the funds listed the only fund controlled by i k" ;;
PAGE FOUR - CITY COUNCIL MINUTES - DECEMBER 30, 1997
UNANIMOUS VOTE TO RECEIVE AND ORDER FILED THE 1996 -97
ANNUAL AUDIT AND FINANCIAL REPORT.
No Comments.
CITY MANAGER COMMENT
No Comments.
CITY ATTORNEY COMMENTS
No Comments.
ADJOURNMENT
THE SPECIAL CITY COUNCIL MEETING WAS ADJOURNED AT 10:24
A.M.
ATTEST:
-S Cl CLERK
CITY OF LAKE ELSINORE
tOR
TORE