06-11-2018 - Special Meeting - MinutesCITY OF WEST COVINA
CITY COUNCIL/SUCCESSOR AGENCY/
PUBLIC FINANCE AUTHORITY
MONDAY JUNE 11, 2018, 7:00 PM
SPECIAL MEETING — FISCAL YEAR 2018-2019 2n d PRELIMINARY
BUDGET WORKSHOP
CITY HALL COUNCIL CHAMBERS
1444 W. GARVEY AVENUE SOUTH
WEST COVINA, CALIFORNIA 91790
MINUTES
CALL TO ORDER — Mayor Lloyd Johnson called the meeting to order at 7:10 p.m.
ROLL CALL
Present: Councilmember Toma, Councilman Spence Councilmember Warshaw, Mayor Pro Tern
Wu, Mayor Johnson,
Staff Present: City Manager Chris Freeland, Assistant City Manager/Community Services
Director Nikole Bresciani, Deputy City Manager Laura Biery, City Attorney Kimberly Hall
Barlow, Assistant City Clerk Rosalia Butler, Finance Consultant Judy Lancaster, Finance
Management Analyst Serena Bubenheim, Maintenance Street Supervisor Jose Gutierrez,
Maintenance Fleet Services Coordinator Daniel Martinez, IT Manager Shawn Granger, Assistant
Fire Chief Mike Fountain, Police Captain Richard Bell, Planning Director Jeff Anderson, Public
Works Director Chino Consunji, Human Resources Director Edward Macias, Public Works
Assistant City Engineer Monica Heredia, Public Works Superintendent Micah Martin, Fire Chief
Larry Whithorn
Monday June 11,2018
PUBLIC COMMENTS/QUESTIONS
Herb Redholtz spoke in opposition of Item No. 2 and asked Council to exempt the Planning
Commission from having their City Commissioners stipends eliminated.
John Shewmaker expressed his concern regarding the City's budget.
Jim Grivich expressed his concerns regarding the City's budget and his opposition of Item No. 1
pertaining to the Budget Policy.
Jerri Potras shared concerns regarding the City's live streaming of the Council meetings and also
stated her concern regarding the City's budget.
CONSENT CALENDAR
1) Budget Policy
It is recommended that the City Council approve the Budget Policy effective July I, 2018.
Councilman Spence pulled Item No. 1 for further discussion and clarification. Finance
Consultant Judy Lancaster gave a brief overview on the proposed Budget Policy.
After discussion between the City Council and staff, a motion was made by Mayor Pro
Tern Wu and seconded by Councilmember Warshaw to have staff review the proposed
Budget Policy with regards to the usage of verbiage such as "should," "shall" and "must"
where indicated in the Policy. Motion was carried by a vote of 5-0.
AYES: Spence, Toma, Warshaw, Wu, Johnson
NOES: None
ABSENT: None
2) City Commissioners' Stipends
It is recommended that the City Council adopt the following resolution, eliminating City
Commissioners' stipends:
RESOLUTION NO. 2018-85 - A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF WEST COVINA, CALIFORNIA, REPEALING AND REPLACING
RESOLUTION NO. 2016-72, RELATING TO STIPENDS OF NON-ELECTED CITY
COMMISSIONERS
Mayor Pro Tern Wu pulled Item No. 2 for further discussion.
A motion was made by Councilman Spence and seconded by Councilmember Warshaw to
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Monday June 11,2018
adopt Resolution No. 2018-82. Motion was carried by a vote of 2-3 with Councilmember
Toma, Mayor Pro Tern Wu and Mayor Johnson in opposition. Item failed.
AYES: Spence, Warshaw
NOES: Toma, Wu, Johnson
ABSENT: None
A second motion was made by Councilmember Toma and seconded by Councilmember
Warshaw to reduce all commissioners stipends from $75 per meeting, with a maximum
compensation of $150 per month to $75 per meeting, with a maximum compensation of
$75 per month for Planning Commission, and $50 per meeting, with a maximum
compensation of $50 per month for Community and Senior Services Commissioners and
Human Resources Commissioners. Motion was carried by a vote of 3-2 with Mayor Pro
Tern Wu and Mayor Johnson in opposition.
AYES: Spence, Toma., Warshaw
NOES: Wu, Johnson
ABSENT: None
DEPARTMENTAL MATTERS
3) Ordinance Eliminating Compensation for Elected City Clerk and City Treasurer
It is recommended that the City Council introduce the following ordinance:
ORDINANCE NO. 2442 - AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF WEST COVINA, CALIFORNIA, AMENDING CHAPTER 2 (ADMINISTRATION),
ARTICLE IV (OFFICERS), DIVISION 3 (CITY CLERK) AND DIVISION 4 (CITY
TREASRER) OF THE WEST COVINA MUNICIPAL CODE
City Attorney Hall Barlow gave the report on Item No. 3.
A motion was made by Councilman Spence and seconded by Councilmember Warshaw to
introduce Ordinance No. 2442. Motion was carried by a vote of 5-0.
AYES: Spence, Toma, Warshaw, Wu, Johnson
NOES: None
ABSENT: None
4) Fiscal Year 2018-19 Preliminary Budget Workshop
It is recommended that the City Council take the following actions:
1) Provide staff direction on the various City priorities related to the Fiscal Year 2018-19
Operating and Capital Improvement Program Budget; and
2) Direct staff to take advantage of the prepayment option for the PERS unfunded liability
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Monday June 11,2018
payment, totaling $10,060,883, and direct staff to utilize the balance of the Section 115
Pension Trust toward this pre-payment.
City Manager Freeland gave a brief introduction to Item No. 4 and indicated that staff was
looking for direction on potential cuts, revenue enhancements and also authorization to
take advantage of the prepayment option for the PERS unfunded liability payment.
After a brief discussion by Council to staff on the prepayment option, a motion was made
by Mayor Johnson and seconded by Councilmember Warshaw to direct staff to take
advantage of the prepayment option for the PERS unfunded liability payment, totaling
$10,060,883, and direct staff to utilize the balance of the Section 115 Pension Trust
toward this pre-payment. Motion carried on a vote of 5-0.
AYES: Spence, Toma, Warshaw, Wu, Johnson
NOES: None
ABSENT: None
Finance Consultant Judy Lancaster gave a PowerPoint presentation on Item No. 4.
City Manager Freeland indicated that each department head would be presenting their
department's 10% expenditure cuts for City Council consideration.
City Manager Freeland described the proposed cuts for the City Manager's Office totaling
$160,350. The cuts were as follows:
• Cut Goals & Objectives update - $2,500
• Reduce litigation budget - $150,000
• Cuts to memberships and conferences/meetings - $7,850
Councilmember Tama requested that the Councilmember vehicle allowance be eliminated
as part of the City Council budget.
City Attorney Hall Barlow indicated that the Council's salary and benefits could not be
reduced during their term in office, however Council could still waive or reduce the
allowance amount however it would not take effect until after the November 2018
election.
A motion was made by Councilmember Toma and seconded by Councilmember Warshaw
to eliminate the City Council vehicle allowance. Motion carried on a vote of 5-0.
AYES: Spence, Toma, Warshaw, Wu, Johnson
NOES: None
ABSENT: None
Mayor Johnson indicated that he would like to cut the City Council's allowance from
$1,500 to $1,000.
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Monday June 11,2018
The City Council motioned to reduce the City Council's current allowance from $1,500 to
$1,000. Motion carried on a vote of 5-0.
AYES: Spence, Toma, Warshaw, Wu, Johnson
NOES: None
ABSENT: None
Assistant City Clerk Rosalia Butler described the proposed cuts for the City Clerk's Office
totaling $36,168. The cuts were as follows:
• Reduction of Part-Time Staff - $20,028
• Reduction in Service Contracts - $16,140
The City Council agreed to incorporate the proposed cuts for the City Clerk's Office into
the FY 2018-19 budget.
Finance Consultant Judy Lancaster described the proposed cuts for the Finance
Department totaling $117,569. The cuts were as follows:
• Cut professional services/other services - $26,150
• Underfill vacant Computer Services Technician with part-time staff - $45,555
• Cuts to supplies and memberships budgets - $24,709
• Cuts to services contracts - $21,155
After discussion regarding cuts in the Finance Department between Council and staff,
Mayor Johnson moved on to the proposed cuts in the Human Resources Department.
Human Resources Edward Macias described the proposed cuts for the Human Resources
Department totaling $84,000. The cuts were as follows:
• Restructure department - $40,000
• Suspend tuition reimbursements - $20,000
• Reduce professional and legal services by - $24,000
After discussion regarding cuts in the Human Resources Department between Council and
staff, Mayor Johnson moved on to the proposed cuts in the Planning Department.
Planning Director Jeff Anderson described the proposed cut for the Planning Department
totaling $17,894. The cut would include the elimination of the paid part-time intern.
After discussion regarding the proposed cut in the Planning Department, City Manager
Freeland indicated that the cut would be incorporated into the FY 2018-19 budget.
Police Chief Taylor described the proposed cuts for the Police Department totaling
$1,626,308. The cuts were as follows:
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Monday June 11,2018
• Fund remainder of Victim Advocate from Housing - $45,117
• Reduce Part-Time positions/hours - $200,000
• Eliminate all 3 School Resource Officers, or School Districts pay 100% -
$208,180
• Eliminate AB 109 Task Force - $20,800
• Eliminate 6 vacant sworn Officer positions - $770,000
• Eliminate vacant Forensic Specialist position - $41,711
• Reduce training to POST minimum - $100,000
• Reduce materials and services - $60,500
• Fund PD Explorers from WC Community Service Foundation $5,000
• Reduce Investigations follow up on criminal cases - $175,000
After discussion regarding cuts in the Police Department's budget between Council and
staff, Mayor Johnson along with Council agreed to temporarily hold off on approving any
proposed cuts to the Police Department's budget until more information could be provided
to the Council in order to make the necessary cuts.
Mayor Johnson requested a 10-minute break at 9:30 p.m.
Mayor Johnson reconvened the City Council Meeting at 9:40 p.m.
Fire Chief Whithorn described the proposed cuts for the Fire Department totaling
$1,761,728. The cuts were as follows:
• Eliminate 1 engine (including 9 personnel & associated OT) - $1,761,728
After discussion regarding cuts in the Fire Department's budget between Council and
staff, Mayor Johnson along with Council agreed to temporarily hold off on approving any
proposed cuts to the Fire Department's budget until more information could be provided
to the Council in order to make the necessary cuts.
Public Works Director Chino Consunji described the proposed cuts for the Public Works
Department totaling $295,152. The cuts were as follows:
• Move NPDES expenditures to the Sewer Fund - $275,152
• Cut Graffiti supplies - $20,000
• Restructure department — unknown
After discussion regarding cuts in the Public Works Department's budget between
Council and staff, Mayor Johnson along with Council agreed to incorporate the movement
of NPDES expenditures to the Sewer Fund and cut graffiti supplies from the FY 2018-19
budget.
Community Services Director Nikole Bresciani described the proposed cuts for the
Community Services Department totaling $195,516. The cuts were as follows:
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Monday June 11, 2018
• Special Events *Part time and overtime salaries - $11,898
• Wescove Daycare *Utilizing full-time staff to supplant part-time - $25,962
• Cameron Center *Utilizing full-time staff to supplant part-time - $17,430
• Shadow Oak Center *Affects operating hours; rental revenue - $30,850
• Senior Center *Affects excursion revenue - $28,896
• Discover Brochure Elimination *Online Marking only - $63,000
• Memberships *California Park and Recreation - $540
• Conferences & Meetings *Local trainings and meeting expenses - $2,000
• Cellular Phone *Budgeted for Superintendent - $940
• Office Supplies - $2,000
• Youth Council/Facility Supplies - $11,500
• Pool Car *Checked out by staff for meetings, etc. - $500
After discussion regarding cuts in the Community Services Department's budget between
Council and staff, Council agreed to keep the printed publication of the Discover
Brochure twice a year and seek additional revenues if possible. Council also agreed to
incorporate the other proposed cuts into the FY 2018-19 budget.
City Manager Freeland indicated that there were three revenue enhancement options and
expenditure cuts that were also being presented to Council for their discussion and
direction to staff These revenue enhancement options and expenditure cuts were as
follows:
• Charge sports groups for field usage/lighting - $250.000
Assistant City Manager/Community Services Director Bresciani gave a brief overview of
this option.
After discussion between Council and staff, a motion was made by Councilmember
Warshaw to add a $5.00 registration fee that would be put back into the City's parks.
Item failed due to a lack of a second motion.
• Crossing guard shared costs - $100,000
City Manager Freeland indicated that this option would be tabled to a future meeting for
Council consideration.
• Cut special events - $150,000
After discussion between Council and staff, Councilman Spence made a motion to cute
special events.
Councilmember Warshaw requested to amend Councilman Spence's previous motion of
cutting special events entirely and instead cut back special events from $150,000 to
$50,000.
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Monday June 11, 2018
Council gave direction to staff to put a list together of special events which add up to
$50,000 and then present list to Council at a future meeting.
City Manager Freeland discussed the City's Capital Improvement Budget with the City
Council.
Councilman Wu spoke on his concerns regarding the budget with staff and requested
further detailed information on the proposed budget.
City Manager Freeland shared that he and Finance Consultant Lancaster would meet with
Councilman Wu to go over budget concerns and questions he may have.
Councilman Spence requested that the gas tax issue (SB 1) be agendized to a future
Council Meeting and also asked staff what the budget process would be for its final
adoption.
City Manager Freeland indicated that at the next Council Meeting, a continuation
resolution of the budget would be presented to Council for their approval and adoption
which would allow the budget to continue until August.
Mayor Johnson requested to adjourn the Council Meeting in memory of Dahlene
Lovelace.
ADJOURNMENT
Mayor Johnson adjourned the meeting at 11:37 p.m.
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