Minutes 2011-08-22 222
MINUTES OF A REGULAR MEETING OF THE
CYPRESS CITY COUNCIL
HELD
August 22, 2011
A regular meeting of the Cypress City Council was called to order at 5:30 p.m. by Mayor
Mills in the Executive Board Room, 5275 Orange Avenue, Cypress, California.
Members present:
Mayor/Agency Chair Leroy Mills
Mayor Pro Tem/Agency Vice Chair Todd Seymore
Council/Agency Board Member Phil Luebben
Council/Agency Board Member Prakash Narain
Members absent:
Council/Agency Board Member Doug Bailey
Staff present:
City Manager John Bahorski
City Attorney William Wynder
Assistant City Manager/Director of Finance and Administrative Services Richard Storey
Director of Community Development Ted Commerdinger
Police Chief Jackie Gomez-Whiteley
Public Works Director Doug Dancs
Assistant City Engineer Kamran Dadbeh
Assistant Finance Director Matt Burton
Public Works Superintendent Bobby Blackburn
Administrative Services Manager Andrew Tse
City Clerk Denise Basham
ORAL COMMUNICATIONS:
None.
WORKSHOP SESSION:
Mayor Mills stated the workshop is a follow up to his previous report on solar and the
City of Brea's solar system dedication, and provided financial information on the City of
Brea's program with Chevron.
Suzanne Gentilini, Chevron Energy Solutions, discussed the challenges California cities
are currently facing and stated Chevron only works with the public sector, primarily the
K-14 market and municipalities.
Ms. Gentilini stated Chevron's goal is to help the City have a total community program
to enhance economic growth. She stated that Chevron has been an energy company
for over 130 years and have developed energy programs and applications throughout
the United States.
She stated that the first item addressed in the Total Community Enhancement Program
is energy efficiency and how the City can be more effective in maintaining its level of
services to the community. The second item is how the general fund can be affected in
reducing and managing costs, and the third area is promoting long term stable
leadership.
Ms. Gentilini discussed the implementation of the City of Brea's program and cost
savings Brea is experiencing.
Ms. Gentilini discussed the process of developing a program for clients. She stated the
first step is a feasibility energy assessment, which includes looking at utility bills and
charges, and looking at facilities. An analysis is provided showing any savings including
CITY COUNCIL MINUTES AUGUST 22,2
rebates and incentives with financing costs built it. There is no financial commitment on
the part of the City for this assessment.
She stated the second step, if the City decides to proceed, is a program development
assessment, with anywhere from three to six months spent developing a program.
There is no financial commitment but there is a "break up" fee for development costs if
the City decides not to go forward.
Ms. Gentilini stated the final phase is construction with many clients requesting a
performance guarantee in case of a shortfall in Chevron projections.
Mayor Mills asked about the length of time the first phase takes.
Ms. Gentilini stated it takes approximately six to eight weeks.
Council Member Luebben inquired as to competitors in the industry.
Ms. Gentilini stated that some of the competitors are Siemens, Honeywell, and Johnson
Controls. There are also a number of solar only contractors.
Council Member Luebben asked if Southern California Edison participates in this
program.
Ms. Gentilini stated that Chevron usually partners with the utility companies.
Ms. Gentilini stated that Chevron is a design/build construction company and they get
paid by building a project.
Council Member Narain asked about other forms of alternative energy besides solar.
Ms. Gentilini stated that in some locations geothermal heating and cooling, wind, and
biomass waste to energy have been used depending on the application that makes
sense for each customer.
The Public Works Director stated that the City has done energy efficiency studies in the
past and it was determined the City would not be saving any money in the long term.
Research for the City Yard determined that the use of solar would cost $470,000 for
installation with only $14,400 per year spent on utility bills. He stated the City would
have to go through the RFQ/RFP process for design/build projects and would seek
direction from Council that this would be a goal.
Council Member Luebben stated it is not seen how the investment will drive the pay
back and asked about communities where Chevron has not seen a savings.
Ms. Gentilini stated that she does not know if there is an opportunity for savings for the
City and that the feasibility study would be done for both parties' purposes.
Mayor Mills clarified that the feasibility study is no cost to the City and commented on
the potential for a long term revenue stream into the general fund.
Mayor Pro Tem Seymore stated his concern is the return on investment for the City. He
stated he is not against solar or saving energy; it is being money wise with constituents
money.
Ms. Gentilini discussed Brea's financing through the use of bonds.
The City Manager reminded the Council that there are other companies, including
Cypress based companies, to provide this service.
Ms. Gentilini stated that Chevron has helped customers, who want to have an
RFP/RFQ process, put together that document.
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CITY COUNCIL MINUTES AUGUST 22, 2011 224
The Public Works Director asked if Chevron would be open to providing a feasibility
study along with other vendors for comparison.
Mayor Mills stated that Brea went sole source under Government Code Section 4217.
The City Manager stated that a more prudent step may be to have staff come back with
alternatives and other companies to look at through a process memo to the City
Council.
It was the consensus of the City Council to have staff prepare a process memo for
Council within the next six months.
CLOSED SESSION:
The City Attorney reported that the City Council would be meeting in a Joint Closed
Session with the Cypress Redevelopment Agency regarding Conference with Legal
Counsel — Anticipated Litigation, pursuant to Government Code Section 54956.9(b)(1)
& (3)(A); Number of cases: Two.
The City Attorney stated that in addition, an urgency item needed to be added to the
agenda regarding Conference with Legal Counsel — Existing Litigation, pursuant to
Government Code Section 54956.9(1), Pulsifer v. City of Cypress, Orange County
Superior Court Case Number 00467319. He stated he is requesting to add this item to
discuss the tendering of defense from the manufacturer of the playground equipment
giving rise to the claim against the City and lack of response from that manufacturer.
The City Attorney stated that the Case Management Conference being held tomorrow is
the last opportunity to file a cross complaint for indemnity against the equipment
manufacturer and therefore it necessary to get authority from the City Council in Closed
Session.
It was moved by Council Member Luebben and seconded by Mayor Pro Tern Seymore,
to add the urgency item to the Closed Session agenda.
The motion was unanimously carried by the following roll call vote:
AYES: 4 COUNCIL MEMBERS: Luebben, Narain, Seymore and Mills
NOES: 0 COUNCIL MEMBERS: None
ABSENT: 1 COUNCIL MEMBERS: Bailey
At 6:20 p.m., the Mayor recessed the meeting.
7:00 P.M. SESSION:
The 7:00 p.m. session of the City Council meeting was called to order at 7:00 p.m. by
Mayor Mills.
Members present:
Mayor/Agency Chair Leroy Mills
Mayor Pro Tem/Agency Vice Chair Todd Seymore
Council/Agency Board Member Doug Bailey (arrived at 7:07 p.m.)
Council/Agency Board Member Phil Luebben
Council/Agency Board Member Prakash Narain
Staff present:
City Manager John Bahorski
City Attorney William Wynder
Agency Counsel Dan Slater
Assistant City Manager/Director of Finance and Administrative Services Richard Storey
Director of Community Development Ted Commerdinger
Police Chief Jackie Gomez-Whiteley
Public Works Director Doug Dancs
Assistant Finance Director Matt Burton
Assistant City Engineer Kamran Dadbeh
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CITY COUNCIL MINUTES AUGUST 22, 2011 225
Redevelopment/Economic Development Manager Bill Manis
Administrative Services Manager Andrew Tse
City Clerk Denise Basham
PLEDGE OF ALLEGIANCE: The Pledge of Allegiance was led by Mayor Pro Tem
Seymore.
INVOCATION: The invocation was given by City Attorney Wynder.
PRESENTATIONS:
The Mayor presented a Certificate of Special Recognition to Senior Pastor Mike McKay
and members of Cypress Church for their community volunteer efforts.
REPORT OF WORKSHOP AGENDA/CLOSED SESSION:
The Mayor asked for the report of the Workshop Session Agenda items discussed
earlier in the evening.
The City Manager reported that the City Council received a presentation by Chevron
Energy Solutions regarding solar projects that they participate in with various municipal
agencies. Staff received direction on how to proceed regarding this project.
The Mayor asked for the report of the Closed Session Agenda items discussed earlier
in the evening.
The City Attorney reported that the City Council met in a Joint Closed Session with the
Cypress Redevelopment Agency regarding Conference with Legal Counsel —
Anticipated Litigation, pursuant to Government Code Section 54956.9(b)(1) & (3)(A);
Number of cases: Two. The City Attorney stated that a privileged and confidential
briefing was provided by Agency Counsel on the potential joinder by the City of Cypress
in a further and separate litigation to challenge the constitutionality of certain legislation
recently adopted impacting redevelopment agencies in the State of California as well as
participating as an amicus in a briefing currently pending before the California Supreme
Court. Questions were asked and answered, and an estimate was provided as to the
cost of such participation. The City Council and Redevelopment Agency Board
unanimously authorized the same with Council/Agency Member Bailey not participating
in the Closed Session.
The City Attorney stated that it was requested with permission given to add as an
urgency item a Closed Session briefing on the matter of Pulsifer vs. City of Cypress,
Orange County Superior Court Case Number 00467319. The City Council was briefed
on the facts and circumstances which should give rise to the filing of a cross complaint
in that matter of pending litigation. The Council unanimously authorized to give notice of
the City's intent to file such cross complaint and to file such cross complaint at the Case
Management Conference which will be held in Orange County Superior Court
tomorrow. The City Attorney stated that Council/Agency Member Bailey did not
participate in the Closed Session.
No other action was taken in Closed Session, nor was any solicited.
ORAL COMMUNICATIONS: LIMITED TO ONE-HALF HOUR. (THREE MINUTES
PER SPEAKER, SPEAKING ONCE.)
Mayor Mills asked anyone who wished to speak on any topic not included on the
meeting Agenda to come forward.
Pat O'Toole, Cypress, on behalf of the Cypress Woman's Club, thanked the City
Council and staff for making Veteran's Park more handicap accessible.
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Mariellen Yarc, Cypress Chamber of Commerce, spoke regarding upcoming activities
and events. She also invited everyone to attend the Cypress Woman's Club Veterans
Appreciation Picnic.
PUBLIC HEARINGS: 7:00 P.M. (PUBLIC COMMENTS RESTRICTED TO TEN
MINUTES PER SPEAKER, UNLESS EXTENDED BY THE CITY COUNCIL).
Item No. 1: PUBLIC HEARING RELATING TO THE CITIZENS' OPTION FOR
PUBLIC SAFETY/SUPPLEMENTAL LAW ENFORCEMENT SERVICES FUND.
The Chief of Police provided background information on this item.
Council Member Luebben asked if there are any restrictions on the use of these grant
funds.
The Chief of Police stated that the limitation is to front line police services.
The City Manager stated the funds cannot supplant; the funds must be used for
something new.
The public hearing was opened.
Mayor Mills asked if there was anyone who wished to speak in favor of the item.
Mayor Mills asked if there was anyone who wished to speak against the item.
The public hearing was closed.
It was moved by Mayor Pro Tem Seymore and seconded by Council Member Narain,
that the City Council: 1) Conduct a public hearing consistent with the legal mandates
associated with the Citizens' Option for Public Safety/Supplemental Law Enforcement
Services Fund; and 2) Approve the continued use of grant funds for one (1) Police
Services Officer position, which was approved in Fiscal Year 1999-2000. These funds,
$80,362, will pay for the Police Services Officer's salary for Fiscal Year 2011-2012; and 3)
Approve the continued use of the remaining funds for one (1) Police Officer position,
which was approved during Fiscal Year 2001-2002. These remaining funds, estimated to
be $19,733, will pay for a portion of that officer's salary for Fiscal Year 2011-2012.
The motion was unanimously carried by the following roll call vote:
AYES: 5 COUNCIL MEMBERS: Bailey, Luebben, Narain, Seymore and Mills
NOES: 0 COUNCIL MEMBERS: None
ABSENT: 0 COUNCIL MEMBERS: None
RESOLUTION NO. 6268
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,
APPROVING AN INCREASE OF ESTIMATED REVENUES FOR
FISCAL YEAR 2011/2012 IN THE SUPPLEMENTAL LAW
ENFORCEMENT SERVICES FUND TO BE USED TO PAY FOR
THE SALARY OF A POLICE SERVICES OFFICER AND A PORTION
OF THE SALARY FOR A POLICE OFFICER.
CONSENT CALENDAR:
All matters listed on the Agenda under "Consent Calendar"are to be considered by the
City Council to be routine and will be enacted by one motion approving the
recommendations listed on the Agenda.
It was moved by Mayor Pro Tem Seymore and seconded by Council Member Bailey, to
approve Consent Calendar Items No. 2 through 10.
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CITY COUNCIL MINUTES AUGUST 22, 2011 227
The motion was unanimously carried by the following roll call vote:
AYES: 5 COUNCIL MEMBERS: Bailey, Luebben, Narain, Seymore and Mills
NOES: 0 COUNCIL MEMBERS: None
ABSENT: 0 COUNCIL MEMBERS: None
Item No. 2: APPROVAL OF CITY COUNCIL MINUTES OF THE MEETINGS OF
AUGUST 8 AND AUGUST 15, 2011.
Recommendation: That the City Council approve the Minutes of the Meetings of
August 8 and August 15, 2011, as submitted.
Item No. 3: MOTION TO INTRODUCE AND/OR ADOPT ALL ORDINANCES AND
RESOLUTIONS PRESENTED FOR CONSIDERATION BY TITLE ONLY AND TO
WAIVE FURTHER READING.
Item No. 4: DESIGNATION OF VOTING DELEGATE FOR THE LEAGUE OF
CALIFORNIA CITIES 2011 ANNUAL CONFERENCE.
Recommendation: That the City Council designate Council Member Phil Luebben as
the voting delegate for the League of California Cities 2011 Annual Conference.
Item No. 5: AWARD OF PROFESSIONAL CONTRACT SERVICES AGREEMENTS
FOR ON-CALL ENGINEERING STREET DESIGN SERVICES.
Recommendation: That the City Council: 1) Award a Professional Contract Services
Agreement for On-Call Engineering Street Design Services to Rick Engineering
Company, Lake Forest, California, and direct the Director of Public Works/City Engineer
to act as Contract Officer; and 2) Award a Professional Contract Services Agreement for
On-Call Engineering Street Design Services to Harris and Associates, Inc., Irvine,
California, and direct the Director of Public Works/City Engineer to act as Contract Officer;
and 3) Award a Professional Contract Services Agreement for On-Call Engineering Street
Design Services to CivilSource, Inc., Irvine, California, and direct the Director of Public
Works/City Engineer to act as Contract Officer.
Item No. 6: AWARD OF PROFESSIONAL ON-CALL ENGINEERING PLAN CHECK
AND WATER QUALITY MANAGEMENT PLAN (WQMP) REVIEW SERVICES.
Recommendation: That the City Council: 1) Award a Professional Contract Services
Agreement for On-Call Engineering Plan Check and Water Quality Management Plan
(WQMP) Review Services to Charles Abbott Associates, Mission Viejo, California, and
direct the Director of Public Works/City Engineer to act as Contract Officer; and 2) Award
a Professional Contract Services Agreement for On-Call Engineering Plan Check and
Water Quality Management Plan (WQMP) Review Services to Rick Engineering
Company, Lake Forest, California, and direct the Director of Public Works/City Engineer
to act as Contract Officer.
Item No. 7: APPROVAL OF PLANS AND SPECIFICATIONS FOR THE FIBER OPTIC
INSTALLATION AND UPGRADE OF THE CCTV SYSTEM ON
KATELLA/CERRITOS/WALKER/BALL PROJECT (PHASE 2), PUBLIC WORKS
PROJECT NO. 2010-09.
Recommendation: That the City Council approve the plans and specifications for the
Fiber Optic Installation and Upgrade of the CCTV System on Katella/Cerritos/Walker/Ball
Project (Phase 2), Public Works Project No. 2010-09.
Item No. 8: APPROPRIATION OF FUNDS FROM THE EQUIPMENT
REPLACEMENT FUND AND NARCOTICS ASSET SEIZURE FUND FOR THE
PURCHASE OF REPLACEMENT POLICE COMPUTER HARDWARE/SOFTWARE.
Recommendation: That the City Council: 1) Approve the appropriation of $201,944 to
account number 721-95300.4305_300 (Computer Hardware/Software — Police) from the
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CITY COUNCIL MINUTES AUGUST 22, 2011 228
Equipment Replacement Fund (721) fund balance for the purchase of upgrades to the
existing In-Car Mobile Audio Video (MAV) system, and equipping the jail van and Police
Services Officer's vehicle with a new and complete MAV system; and 2) Approve a
transfer in the amount of $13,244 from the unreserved fund balance of the Narcotics
Asset Seizure Fund (281-99999.4501_721) to the Equipment Replacement Fund (721-
99999.3901_281) to fund a portion of the MAV equipment upgrade; and 3) Award a
contract to L-3 Communications, Mobile Vision Division, 90 Fanny Road, Boonton, NJ
07005, in the amount of $201,944 for the purchase of an upgraded In-Car Mobile Audio
Video system to include sixteen (16) in-car systems, two (2) new and complete in-car
systems, a new back-end storage server and data solution, installation of all equipment,
training, and a four (4) year extended warranty; and 4) Make a finding, pursuant to
Cypress Municipal Code § 21A-10(f), that it is in the best interest of the City to dispense
with bidding of this purchase because, pursuant to Cypress Municipal Code § 21A-18,
there exists a situation where procurement of this MAV equipment is obtainable only from
a single or sole source.
Item No. 9: REVIEW OF INVESTMENT REPORT FOR THE MONTH OF JULY, 2011.
Recommendation: That the City Council receive and file the Investment Report for the
month of July, 2011.
Item No. 10: APPROVAL OF COMMERCIAL WARRANT LIST AND WIRE
TRANSFERS FOR FISCAL YEARS 2010-11 AND 2011-12 FOR WARRANTS NO.
18917 THROUGH 19095.
Recommendation: That the City Council approve the attached warrant register and
wire transfers for Fiscal Years 2010-11 and 2011-12.
END OF CONSENT CALENDAR
NEW BUSINESS:
Joint Item With the Cypress Redevelopment Agency:
Item No. 11: CYPRESS REDEVELOPMENT AGENCY DISSOLUTION UNDER AB X1
26.
The Redevelopment/Economic Development Manager provided background
information on this item.
Council/Agency Member Bailey asked what the City's plans were for amortizing the
debt under the current scenario and how will it be amortized under the new policy.
The Assistant City Manager/Director of Finance and Administrative Services stated that
if the Redevelopment Agency continued or stays as is, there are notes due June 30,
2012 and, if there are no additional projects, the Agency will start paying off that debt.
After operation expenses are subtracted out, interest payments and other
miscellaneous expenses, the Agency could start paying down the following year initially
starting at approximately $720,000, $1.2 to $1.5 million after 5 years, and $2 million
after another five years. The debt could be paid off with no major projects in 2028. In
the opting out scenario, the City would be looking at collecting property tax that is
currently tax increment to the redevelopment areas that would have gone to the City's
and Park District's general fund and a couple of minor funds. The City would be looking
at using the additional property tax to accumulate money that would match up to paying
down the debt in the infrastructure fund where ultimately the City would get the $23
million loaned to redevelopment back.
Council/Agency Member Bailey asked the last time the City had a project.
The Assistant City Manager/Director of Finance and Administrative Services stated that
money was put into the Lincoln Avenue Sewer Project this year. The last major project
was providing some assistance for Costco in 2005.
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CITY COUNCIL MINUTES AUGUST 22, 2011 229
Council/Agency Member Bailey questioned when the current Agency terminates.
The Assistant City Manager/Director of Finance and Administrative Services stated the
Redevelopment Agency itself is in three different project areas. The last time to receive
tax increment to pay down debt is 2041 and the last time to incur debt is 2030.
It was moved by Mayor Pro Tem/Agency Vice Chair Seymore and seconded by
Agency/Council Member Narain, that the City Council and Redevelopment Agency
Board: 1) City Council: "Opt-out" of our Redevelopment Agency obligations as outlined in
Assembly Bill X1 26; and 2) City Council: Adopt the Debt Obligation Repayment Policy;
and 3) Redevelopment Agency: Adopt the Resolution by title only, and the Enforceable
Obligations Payment Schedule (EOPS).
The motion was unanimously carried by the following roll call vote:
AYES: 5 COUNCIL/AGENCY MEMBERS: Bailey, Luebben, Narain, Seymore and Mills
NOES: 0 COUNCIL/AGENCY MEMBERS: None
ABSENT: 0 COUNCIL/AGENCY MEMBERS: None
RESOLUTION NO. CRA - 138
A RESOLUTION OF THE CYPRESS REDEVELOPMENT AGENCY
APPROVING AND ADOPTING AN ENFORCEABLE OBLIGATION
PAYMENT SCHEDULE, PURSUANT TO THE PROVISIONS SET
FORTH IN HEALTH AND SAFETY CODE SECTION 34169
(AB X1 26).
RESOLUTION NO. 6269
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS
ESTABLISHING AND DECLARING A DEBT OBLIGATION
REPAYMENT POLICY FOR THE CITY OF CYPRESS.
RECREATION & PARK DISTRICT MATTERS: The Cypress City Council, Acting as
the Ex Officio Governing Board of Directors.
No items.
CYPRESS REDEVELOPMENT AGENCY MATTERS: The Cypress City Council,
Acting as the Cypress Redevelopment Agency.
No items.
ORAL COMMUNICATIONS: For Matters Not on the Agenda.
None.
ITEMS FROM CITY COUNCIL MEMBERS:
Mayor Mills requested reports from the Council Members on their respective committee
assignments.
Council Member Luebben:
Commented on federal illegal immigration. Complimented the City's Recreation
Department for promoting City recreation opportunities during the high school and junior
high school registration process.
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CITY COUNCIL MINUTES AUGUST 22, 2011 230
Mayor Pro Tem Seymore:
Attended the AGENT Program. Attended the Concert on the Green. Attended a West-
Comm Board meeting. Attended the City employee luncheon.
Council Member Bailey:
Attended the Boys and Girls Club of Cypress Sprouts for Kids event. Attended the City
employee luncheon. Attended an O.C. Vector Control meeting. Attended the quarterly
BRACE meeting.
Council Member Narain:
Attended the Boys and Girls Club of Cypress Sprouts for Kids event. Attended the
Concert on the Green. Attended the City employee luncheon. Spoke regarding Senate
Resolution 237 calling on Americans to participate in a National Moment of
Remembrance commemorating the 10th anniversary of 9/11.
Mayor Mills:
Mayor Mills asked the Administrative Services Manager to provide an update on
redistricting actions.
The Administrative Services Manager stated the Redistricting Commission adopted the
final map as is on August 15, 2011. He stated that challenges to the maps are in
progress and provided information on where to get information.
Mayor Mills encouraged the public to contact the Commission to oppose the
redistricting.
Represented Cypress at a 79th Sustainment Support Command retirement ceremony.
Attended the Concerts on the Green. Attended the City employee luncheon. Attended
the quarterly BRACE meeting.
ITEMS FROM CITY MANAGER:
The City Manager stated that the Cypress Police Department and California Highway
Patrol are partnering in a bone marrow drive to be held at the Cypress Police
Department on August 25, 2011 from 5:30 a.m. to 6:00 p.m.
ADJOURNMENT: Mayor Mills adjourned the meeting at 7:46 p.m. to Monday,
September 12, 2011, beginning at 5:30 p.m. in the Ex-cutive Bo:rd Room.
41.41,
MAYOR a F THE CITY OF CYPRESS
ATTEST:
/(4t-t-Oe., 0-4-49ftaY)
CITY CLERK OF THE CITY OF CYPRESS
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