06-23-2003 - Special Meeting - Minutes•
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MINUTES
SPECIAL MEETING
WEST COVINA CITY COUNCIL
and
WEST COVINA REDEVELOPMENT AGENCY
June 23, 2003
Mayor Herfert called to order the special meeting of the West Covina City Council at 6:00 p.m. in the
City Manager's Conference Room at City Hall, 1444, W. Garvey Avenue, West Covina.
ROLL CALL Mayor Herfert, Mayor Pro Tern Miller, Councilmembers
Hernandez, Sanderson, and Wong
Others Present: Pasmant, Alvarez-Glasman, Fields, Bachman, Adams
CLOSED SESSION Mayor Herfert called to order the special closed session City
Council meeting at 6:00 p.m. to discuss the following matter. No
public comments were received.
CONFERENCE WITH LABOR NEGOTIATOR: Fields
Pursuant to Government Code &54957 6
Employee Organizations:
• SBPEA — General Employees' Group
• Mid -Management Employees' Association
• Confidential/Exempt Employees' Association
• SBPEA — Maintenance Employees'
• Public Safety Dispatchers Association
• West Covina Firefighters' Association, Local 1226
• West Covina Police Officers' Association
• West Covina Police Management Association
Mayor Herfert adjourned the special meeting at 7:10 p.m.
OPEN SESSION At 7:15 p.m. Mayor Herfert called to order the special open session
meeting of the City Council and Redevelopment Agency in the
Management Resource Center, Room 314 on the Third Floor.
ROLL CALL Mayor/Chairman Herfert, Mayor Pro Tem/Vice Chairman Miller,
Councilmembers/Agency Members Hernandez, Sanderson, Wong
Others Present: Pasmant, Alvarez-GIasi an, Freeland, Fields, Adams, Dewus,-
Schimanski, Tedesco, Morgan, Briley, Hernandez, Urban, Wills,
Greene, Chaparyan, Durbin, Loveday, Deip, King, Petty, Morgan,
Lee, Sindelar, O'Keefe, Paul, Chung, Houston, Gardner, Martinez,
Devera, Nguyen, Bommarito, Hoppe, McDonald, Bachman,
Samaniego, Yuasa-Wang, Yauchzee, Smilowilz, Rush
REPORTING OUT OF CLOSED SESSION
City Attorney Alvarez-Glasman stated that there were no
reportable actions taken by the City Council or the Redevelopment
Agency.
Council Minutes of 06/23/03
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ORAL COMMUNICATIONS Mayor Herfert asked for public comments on items on the agenda.
The following addressed Council:
John Scheuplein John Scheuplein, 1800 Aroma Drive, shared his concern of
purchasing a software program on another city's contract and
possible hidden costs not clearly identified in the staff report. He
also stated that Council will have a tough time tonight with the
budget and they should use reserves rather than cut necessary
services and is against imposing local income tax. Scheuplien also
requested that anyone within the sound of his voice contact his or
her state representative to not pass a measure regarding a local tax.
Councilmember Miller commented that the Leagues of California
Cities is taking steps and lobbying to prevent this measure.
COMMUNITY SERVICES Management Recreation Software and Services
Interim Community Services Director Samaniego presented the
staff report regarding the purchase of a recreation software
program which would automate the registration process of
recreation programs. If the purchase of the software program is
approved, staff also proposed an amendment to the fee schedule of
two dollars per registrant as a surcharge to recover the cost of the
program.
Motion
Samaneigo requested Community Services Manager Lyndel
Morgan, who is thoroughly familiar with the program, to respond
to questions posed by Councilmember Wong regarding the
surcharge and other financial matters of the program.
Mayor Herfert felt the program is a customer service item and
inquired whether we could use AQMD or Prop A money since
registrations can also take place at home, eliminating driving.
Samaneigo responded that staff is looking into that option.
Council discussion continued regarding current registration process
verses proposed on-line/phone registration.
Councilmember Hernandez requested that the item be held over
until tomorrow night to allow staff to conduct further research
regarding funding from AQMD.
Motion by Hernandez and seconded by Sanderson to hold over
until tomorrow night.
Councilmember Wong asked whether the City accepts credit cards
payment for other things at City Hall. Wong Further discussed
credit card usage and authorizations of credit card.
Councilmember Miller shared his concerns with the cost of the
program and would like to look into other options which still
provide a customer service, including the cost of a credit card
reader for the Annex.
Councilmember Wong asked that staff respond to allegations made
earlier during oral communications regarding staffs research of the
program. Morgan responded by describing the research that staff
had done during the past year.
Mayor Herfert asked for a vote regarding the motion to hold over
until tomorrow night. Motion carried 5-0.
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Council Minutes of 06/23/03
RISK MANAGEMENT FY 2003-2004 Placement of Property Insurance
Risk Manager Erin Hoppe presented the staff report summarizing
property insurance costs. The report outlined standard property
coverage costs with and without earthquake and flood coverage
and the additional costs of terrorism coverage.
Hoppe responded to Councilmember Sanderson's questions
regarding earthquake limits and flood coverage.
Motion Motion by Miller and seconded by Sanderson to approve Option
No. 1 for placement of the City's FY 2003/04 Property Insurance
with Travelers Property Casualty Group for a premium of
$81,765.24. Motion carried 5-0/
FY 2003-2004 Placement of Excess Workers' Compensation
and Emplovers' Liability Insurance
Risk Manager Erin Hoppe presented the staff report which
reflected how the workers' compensation crisis in California has
affected the City's inability to solicit quotes from the traditional
insurance market.
Councilmember Wong asked if this is the same insurance that we
had previously carried with ICRMA. Hoppe responded that we
had always purchased insurance for workers' comp until the
current year, which is a pooled insurance group.
Motion Motion by Hernandez and seconded by Sanderson to approve
Option No. 1 which is for placement of Excess Workers'
Compensation and Employer's Liability Coverage with the
California State Association of Counties Excess Insurance
Authority at a cost of $69,493 with an increased SIR to $1 million.
STUDY SESSION 2003-04 Preliminary Budget Study Session
Mayor Herfert opened the Budget Study Session by stating that lie
had gone to a Mayor's Conference in Denver and reported that
every city has the same budget challenge and was hopeful that
Council can come to some agreement where the City can progress.
City Manager Pasmant presented a slide presentation that depicted
both what is happening in the State and the City regarding current
budget situations. The presentation included slides showing
revenues, taxes, expenditures, budget solutions, budget directives -
to staff and staff recommendations.
City Manager Pasmant and Finance Director Bachman responded
the Council questions and comments regarding the budget
directives to staff and the preliminary budget changes proposed to
close the budget gap. Council continued their discussion and
commented on revenues and expenditures, CIP, PERS rates, and
the General Fund 5-year projections.
After viewing slides of budget solutions and recommendations
Mayor Herfert asked for justification for the recommendation of
the tax increase ballot measure when we have a $30 million
reserve. City Manager Pasmant responded that by looking at the
long-term picture, if nothing were done, reserves would be
depleted within 5 years; therefore all options need to be looked at.
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Council Minutes of 06/23/03
City Manager Pasmant stated that the State's undecided budget and
further cuts at the state level may have further impact on our city.
He also posed many policy question to Council in regards to the
preparation of the City's budget and presented three possible
budget scenarios which include both using reserves and not using
reserves.
Council discussion Councilmember Miller inquired about the proposed
implementation of the ambulance services and how it plays into the
three budget scenarios.
Councilmember Wong generated discussion regarding general
funds reserves, available fund balances, 5-year projected fund
balances and sales tax revenues. City Manager Pasmant and
Finance Director Bachman responded to continents and questions.
Mayor Herfert made reference to the fact that balancing the budget
will most likely be a work in progress and foresees the Council
adopting the budget utilizing reserves and will work toward
addressing issues such as property tax, economic development,
sales tax revenues, and the ambulance fee service during the
coming year but does not support a tax ballot measure.
Councilmember Miller supported Scenario 2 and a work in
progress budget. He supported implementing an ambulance
service and would like to move forward with a 6-month
termination notice of the current service providers and to continue
to review. He also does not support cuts in programs but feels we
need to be prudent in expenditures and general fund reserves.
Councilmember Hernandez concurred that balancing the budget
needs to be a work in progress but it will require more than just
economic development.
Councilmember Wong made reference to the State's take away of
vehicle license fees and the effect it will have on the budget.
Wong also stressed the need to make tough choices this year and
the need to look harder at some cuts.
Councilmember Sanderson thanked staff for the presentation and
feels positive about the City's economic development.
Mayor Herfert was in favor of budget Scenario 3 and to bring back
for further discussion the ambulance services, Rose Parade float
and some tier 2 cuts.
Councilmember Sanderson suggested meeting again tomorrow
night to discuss economic development, work on reducing the
budget gap and review the proposed budget cuts. Mayor Herfert
clarified to staff that this would be bringing back the ambulance
services, Rose Parade float and other items of the options list.
Councilmember Wong commented on the ambulance proposal and
whether there was enough notification to the current providers for
input before adopting a change. Council agreed that this item
would be brought back for discussion only the following night and
would be agendize for action at a later meeting. Mayor Herfert
asked staff for any additional information regarding property taxes
and other items that will help reduce the gap.
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Council Minutes of 06/23/03
Council reconsidered the notion of meeting the following evening
and decided instead to meet the following week on Tuesday
evening, June 30, 2003.
ADJOURNMENT Motion by Sanderson and seconded by Hernandez to adjourn the
0 meeting at 9:30 pm. Motion carried 5-0.
Nla�or ve Herfert
ATTEST:
City Clerk Janet Berry
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