06-22-2017 - Special Meeting - MinutesCITY OF WEST COVINA
CITY COUNCIL/SUCCESSSOR AGENCY/
PUBLIC FINANCE AUTHORITY
THURSDAY JUNE 22, 2017, 6:30 PM
SPECIAL MEETING
CITY HALL COUNCIL CHAMBERS
1444 W. GARVEY AVENUE SOUTH
WEST COVINA, CALIFORNIA 91790
MINUTES
CALL TO ORDER — Mayor Corey Warshaw called the meeting to order at 6:36 p.m.
PLEDGE OF ALLEGIANCE — Led by Mayor Pro Tern Mike Spence
ROLL CALL
Present: Mayor Corey Warshaw, Mayor Pro Tern Mike Spence
Councilmen Lloyd Johnson, James Toma, Tony Wu
Staff present: City Manager Chris Freeland, Deputy City Attorney Ivy Tsai, Community
Services Director Nikole Breseiani, Deputy City Manager Laura Minnich,
Planning Director Jeff Anderson, Public Works Director Delfino "Chino"
Consunji, Police Captain Doug Murray, Assistant Fire Chief Mike Fountain,
Financial Consultant Debbie Harper, and Assistant City Clerk Rosalia A. Butler.
PUBLIC COMMENTS ON ITEMSON THE AGENDA
John Shewmaker, West Covina resident, addressed the City Council.
Thursday June 22, 2017
FISCAL YEAR 2017-18 BUDGET
1) Annual Appropriations Limit for Fiscal Year 2017-18
It is recommended that the City Council adopt the following resolution:
RESOLUTION NO. 2017-67 - A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF WEST COVINA, CALIFORNIA, SETTING THE ANNUAL
APPROPRIATIONS LIMIT FOR THE FISCAL YEAR ENDING JUNE 30, 2018
Financial Consultant Debbie Harper presented the staff report.
Council question included growth factor calculation.
Motion by Johnson and seconded by Toma to approve as recommended. Motion carried 5-0 by
the following vote:
AYES: Johnson, Spence, Toma, Wu, Warshaw
NOES: None
ABSENT: None
2) Adoption of the City of West Covina Fiscal Year 2017-18 Annual Operating and
Capital Improvement Program Budget
It is recommended that the City Council take the following actions:
I. Review and approve the Fiscal Year 2017-18 proposed Operating and Capital
Improvement Program Budget, and take action as appropriate; and
2. Adopt the following resolution:
RESOLUTION NO. 2017-66 - A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF WEST COVINA, CALIFORNIA, ADOPTING THE OPERATING
BUDGET FOR THE CITY OF WEST COVTNA AND THE SUCCESSOR
AGENCY TO THE FORMER WEST COVINA REDEVELOPMENT AGENCY
AND THE CAPITAL IMPROVEMENT PROGRAM FOR FISCAL YEAR 2017-18;
and
3. Direct staff to take advantage of the prepayment option for the PERS unfunded
liability payment, totaling $8,478,467, restrict the resulting savings of approximately
$312,195 for pension funding, and direct staff to research the Section 115 Pension
Trust options.
City Manager Freeland made introductory comments on tonight's presentation.
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Thursday June 22, 2017
Finance Consultant Debbie Harper presented the staff report and a PowerPoint presentation of the
City's proposed operating budget, including breakdown of each City department, and Capital
Improvement Program budget.
Council questions included continuing with various City memberships, utilizing Human
Resources staff for labor negotiations rather than City Attorney as cost saving measure, SAFER
grant costs, moving street sweeping funding to gas tax, tree trimming cycle, graffiti abatement
costs, carry over of uncompleted Capital Improvement Program projects, and personnel
reductions.
Council engaged in further discussion on the following items:
San Gabriel Valley Economic Partnership membership —
Motion by Spence to eliminate the San Gabriel Valley Partnership membership from the City
Managers budgeted items. Motion dies for a lack of second.
Council discussion included how the agency can help promote the city with the membership costs
being minimal, lack of economic partnership between members, and interaction with agency at
International Conference of Shopping Centers (ICSC).
League of California Cities membership —
Council discussion included the League geared toward bigger cities with California Contract
Cities Association and Independent Cities Association as more beneficial to the City of West
Covina.
Motion by Spence to eliminate the League of California Cities membership from the City
Manager budgeted items. Motion dies due to a lack of a second.
Use of gas tax for Street Sweeping contract —
Motion by Spence to remove the use of gas tax for the street sweeping contract and discussion the
use of gas tax as a whole at a subsequent meeting. Motion dies for lack of second.
Moving tree trimming cycle from5 years to 7 years —
Council discussion included overgrowth of tree and safety issues with a 7 year cycle, use of
Maintenance District funds for tree trimming, previous Council action to start 5 year cycle on
July 1, 2017 and proposed change to that action, and actual savings to general funds with change
of cycle.
RECESS — Mayor Warshaw recessed the City Council meeting at 8:18 p.m. and reconvened the
meeting at 8:27 p.m. with all members present.
Motion by Wu and seconded by Johnson to retain the 5 year tree trimming cycle and not change
to7 year trimming cycle. Motion fails 2-3 by the following vote:
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Thursday June 22, 2017
AYES: Johnson, Wu
NOES: Spence, Toma, Warshaw
ABSENT: None
Capital Improvement Program (CIP), Glendora Avenue Redesign —
Motion by Spence to remove the Glendora Ave. Redesign project from the CIP budget for
separate discussion. Motion dies for lack of second.
2% reduction in department budgets —
Motion by Spence for 2% reduction in department budgets and allocate savings to public safety.
Motion dies for lack of second.
Motion by Johnson and seconded by Toma to approve the Fiscal Year 1017-18 proposed
Operating and Capital Improvement Program Budget [Items #1 and #2 of the recommendation]
and adopt Resolution No. 2017-66 entitled, A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF WEST COVINA, CALIFORNIA, ADOPTING THE OPERATING BUDGET
FOR THE CITY OF WEST COVINA AND THE SUCCESSOR AGENCY TO THE FORMER
WEST COVINA REDEVELOPMENT AGENCY AND THE CAPITAL IMPROVEMENT
PROGRAM FOR FISCAL YEAR 1017-18.". Motion carried 3-2 by the following vote:
AYES: Johnson, Toma, Wu
NOES: Spence, Warshaw
ABSENT: None
Financial Consultant Harper presented a PowerPoint presentation on Item #3 of the recommended
actions regarding the PERS unfunded liability payment option.
Council discussion included utilizing a consultant and cost to utilize Pension Trust plans and if
City has available cash to make prepayment.
Motion by Toma and seconded by Spence to 1) take advantage of prepayment option for the
unfunded liability payment totaling 8,478,467, 2) restrict savings of approx. $312,195 for pension
funding, and 3) research Section 115 Pension Trust option. Motion carried 5-0 by the following
vote:
AYES: Johnson, Spence, Toma, Wu, Warshaw
NOES: None
ABSENT: None
ADJOURNMENT
Mayor Warshaw adjourned the meeting at 8:54 p.m.
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Thursday June 22, 2017
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