RPVCCA_CC_DM_2013_05_21_B_20130430_CC_MINS_DRAFT_Budget_Wkshp
City Council Minutes
April 30, 2013
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DRAFT
MINUTES
RANCHO PALOS VERDES CITY COUNCIL
ADJOURNED REGULAR MEETING
APRIL 30, 2013
The meeting was called to order at 6:00 P.M. by Mayor Brooks at Fred Hesse
Community Park, 29301 Hawthorne Boulevard, notice having been given with affidavit
thereto on file. The meeting was immediately recessed into Closed Session.
Councilman Misetich participated via teleconference, as listed on the agenda, from
Hotel Arista, 2139 City Gate Lane, Naperville/Chicago, Illinois 60563. The meeting
reconvened at 7:07 P.M.
City Council roll call was answered as follows:
PRESENT: Campbell, Duhovic, Knight, Misetich,* and Mayor Brooks
ABSENT: None
*Councilman Misetich participated via teleconference.
Also present were: Carolyn Lehr, City Manager; Carolynn Petru, Deputy City
Manager/Interim Director of Recreation and Parks; Carol Lynch, City Attorney; Dennis
McLean, Director of Finance/Information Technology (IT); Joel Rojas, Community
Development Director; Les Jones, Interim Director of Public Works; Kathryn Downs,
Deputy Director of Finance/IT; Ryan Mills, Senior Administrative Analyst; and, Carla
Morreale, City Clerk.
FLAG SALUTE:
The Flag Salute was led by Councilman Campbell.
APPROVAL OF AGENDA:
Mayor Pro Tem Duhovic moved, seconded by Councilman Knight, to approve the
Agenda.
The motion passed on the following roll call vote:
AYES: Campbell, Duhovic, Knight, Misetich and Mayor Brooks
NOES: None
ABSENT: None
ABSTAIN: None
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PUBLIC COMMENTS: (Audience Comments regarding Items Not on the Agenda)
None.
NEW BUSINESS:
APPROVAL OF CONSENT CALENDAR:
City Clerk Morreale reported that late correspondence was distributed prior to the
meeting regarding Item B (Acquisition of Property on Cherry Hill Lane [Niemeyer Land
and Farming Partnership, Assessor Parcel Nos. 7572-007-011 & 7572-007-012]).
Councilman Campbell requested that Item C (FY12-13 Budget Adjustments) be
removed from the Consent Calendar for separate consideration.
Councilman Knight moved, seconded by Mayor Pro Tem Duhovic, to approve the
Consent Calendar, as amended with Item C (FY12-13 Budget Adjustments) removed
for separate consideration.
The motion passed on the following roll call vote:
AYES: Campbell, Duhovic, Knight, Misetich, and Mayor Brooks
NOES: None
ABSENT: None
ABSTAIN: None
OTHER CONSENT CALENDAR ITEMS:
Motion to Waive Full Reading
Adopted a motion to waive reading in full of all ordinances presented at this meeting
with consent of the waiver of reading deemed to be given by all Council Members after
the reading of the title.
Acquisition of Property on Cherry Hill Lane (Niemeyer Land and Farming
Partnership, Assessor Parcel Nos. 7572-007-011 & 7572-007-012)
ADOPTED RESOLUTION NO. 2013-18, A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF RANCHO PALOS VERDES, THEREBY AUTHORIZING THE CITY
MANAGER AND THE CITY CLERK TO SIGN THE PURCHASE AGREEMENT AND
EXECUTE THE CERTIFICATE OF ACCEPTANCE FOR THE ACQUISITION OF A
0.92-ACRE VACANT PARCEL ON CHERRY HILL LANE (ASSESSOR’S PARCEL
NOS. 7572-007-011 & 7572-007-012) FROM THE NIEMEYER LAND & FARMING
PARTNERSHIP.
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FY12-13 Budget Adjustments
This item was removed from the Consent Calendar for separate consideration.
City Council Reserve Policy
Approved the amended City Council Policy No. 41 – Reserve Policies.
# # # # # #
REGULAR NEW BUSINESS:
Introduction of Ordinance – Annual Budget Document
Deputy Director of Finance/IT Downs provided a brief staff report regarding the
introduction of an ordinance to prepare an annual budget document instead of a two-
year budget.
Councilman Knight moved, seconded by Mayor Pro Tem Duhovic, to : INTRODUCE
ORDINANCE NO. 545, AN ORDINANCE OF THE CITY OF RANCHO PALOS
VERDES, AMENDING CHAPTER 3.32 (BUDGET ADMINISTRATION) OF THE
RANCHO PALOS VERDES MUNICIPAL CODE TO RESCIND THE PROVISIONS
REGARDING THE TWO-YEAR BUDGET CYCLE.
The motion passed on the following roll call vote:
AYES: Campbell, Duhovic, Knight, Misetich, and Mayor Brooks
NOES: None
ABSENT: None
ABSTAIN: None
Draft FY13-14 Budget
City Clerk Morreale reported that late correspondence was distributed prior to the
meeting and there were four requests to speak regarding this item.
John Williams, Kiwanis Marathon and Peninsula Symphony, Rancho Palos Verdes,
spoke in favor of the continuation of the City’s support to non-profit organizations. He
added that both organizations he works with are able to give back to the community with
the support of the City’s grant program.
John Merryman, South Bay Family Health Care, stated that his organization has
received support from the City for a number of years, noting that continued support from
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the City was important to their organization so that they could continue providing health
care to those who cannot afford to pay for that care.
Tina Harris, Director, South Bay Children’s Health Center, stated that her organization
provides mental health care to the youth in the Palos Verdes high schools and
requested continuing support so that they can assist the residents of Rancho Palos
Verdes.
Discussion ensued among Council Members and staff.
Ann Shaw, President, Peninsula Seniors, Rancho Palos Verdes, stated that the
Peninsula Seniors organization is a local non for profit organization that provides unique
services for senior citizens in Rancho Palos Verdes and the other Peninsula cities. She
added that the Peninsula Seniors is a vitally important and worthy organization that
assists the seniors and directs them to necessary services.
Deputy Director of Finance/IT Downs provided a brief overview of the Hybrid Zero-
Based Budget process which includes a menu for the Council’s use. She stated that
staff was seeking Council’s direction on specific programs or expenditures to be
included in the draft FY13-14 Budget.
Dora de la Rosa, Chair, Finance Advisory Committee (FAC), provided brief comments
regarding the Draft Five-Year Model and the general sentiment on the FAC that
although the recipients of the grant funds were worthy organizations, the provision of
grants to non-profit organizations was an inappropriate distribution of tax payer funds.
Discussion ensued among Council Members, staff, City Attorney and the speaker.
Bill James, FAC Member, reiterated that in light of the possible consideration of debt
financing in the City’s future, the FAC generally recommended that providing grant
funding to non-profit organizations was not appropriate.
Discussion ensued among Council Members, staff and the City Attorney.
RECESS AND RECONVENE:
Mayor Brooks called a brief recess from 8:16 P.M. to 8:33 P.M.
Discussion ensued among Council Members and staff. Council Members discussed the
different budget line items as provided on the “menu,” including those of a discretionary
nature.
RECESS AND RECONVENE:
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Mayor Brooks called a brief recess from 9:20 P.M. to 9:24 P.M.
Discussion continued among Council Members and staff regarding the budget line
items.
Council directed the following budget line items be included in the Draft FY13-14
Budget: 1) Salaries and Benefits for City Council Members for $103,600; 2) Aircraft
Noise Consultant for $15,000; 3) Departmental Meetings & Conferences for $32,800;
and, 4) Legal Services for $880,000.
Discussion among Council Members, staff and the City Attorney focused on the City
Grants to Nonprofit Organizations.
Mayor Pro Tem Duhovic moved, seconded by Councilman Misetich, to allocate $50,000
for the City Grants to Non Profit Organizations with consideration of specific grants to
Peninsula Seniors and Los Serenos Docents, with the incorporation of those two
programs into the City’s Recreation and Parks Budget in the future, with the
understanding that there will be a phasing out of the Grant Program within 2 years.
The motion passed on the following roll call vote:
AYES: Duhovic, Knight, Misetich, and Mayor Brooks
NOES: Campbell
ABSENT: None
ABSTAIN: None
Council directed the following additional budget line items be included in the Draft FY13-
14 Budget: 1) Community Outreach Events for $6,300; 2) Memberships to Peninsula &
San Pedro Chambers of Commerce & PVP Coordinating Council for $1,500;
3) Community Outreach Miscellaneous Office Expenses for $4,500; 4) General Liability
& Other Insurance for $475,000; 5) Sheriff Services for $4,254,200; 6) City Financial
Advisor for Infrastructure Financing at $36,500; 7) Help Desk Services/IT System
Development/Website Maintenance for $361,000; 8) Highway Performance
Management System and Congestion Management Program for $11,000; 9) Traffic
Sign Compliance Survey for $100,000; 10) MS4 Permit Implementation for $200,000;
11) NPDES Consulting for $45,000; 12) Replace PVIC Appliances for $10,000;
13) Replace Community Room Chairs for $3,000; 14) Security Service at Parks for
$10,000; 15) Open Space Fuel Modification for $281,000; 16) Portable Toilet Service for
$7,000; 17) Fencing at City Facilities for $40,000; 18) Security Cameras for $40,000;
19) Park Rules Signs for $15,000; 20) Open Space Maintenance for $25,000; 21) Trail
Maintenance for California Coastal Trail for $23,300; 22) Remove Non-Native
Vegetation on City Property for $16,000; 23) Planning Commissioner Stipends for
$11,340; 24) Building & Safety Records Scanning for $25,000; 25) Recreation Special
Event Equipment Rentals for $5,800; 26) Fourth of July Celebration for $25,000;
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27) Palos Verdes Symphonic Band Performance for $800; 28) Salaries & Benefits for
Part-Time Staff Support of Recreation Special Events for $44,100; 29) Shakespeare by
the Sea Performance for $1,200; 30) Recreation Special Event Supplies for $8,800;
31) Whale of a Day Parking & Music for $2,650; 32) Annual Docent Appreciation
Luncheon for $3,200; 33)Equipment Replacement Fund Allocation Increase for
$162,700; 34) Residential Street Rehabilitation for $1,873,414; 35) NCCP Preserve
Habitat Restoration & Maintenance for $150,000; 36) Hesse Park Multi-Purpose Room
Audio/Visual upgrade (to be funded through the Capital Improvement Projects Reserve)
in the amount of $250,000; and, 37) Abalone Cove Sewer Maintenance Subsidy
Increase for $40,000. Councilman Knight recused himself from the Abalone Cove
Sewer Subsidy budget line item. The City Council decided to eliminate funding of
$20,000 for Leadership & Succession Consulting from the budget.
Councilman Misetich left the meeting, from his teleconference location, at 10:58 P.M.
Draft 2013 Five-Year Capital Improvement Plan
City Clerk Morreale reported that late correspondence was distributed regarding this
item prior to the meeting.
Mayor Brooks moved, seconded by Councilman Knight, to continue this item to a
separate meeting to be held before May 21, 2013, with staff to select possible dates and
coordinate the meeting with Council Members.
Without objection, Mayor Brooks so ordered.
Infrastructure Management Plan
City Clerk Morreale reported that late correspondence was distributed regarding this
item prior to the meeting.
Director of Finance/Information Technology McLean provided an overview report
regarding the Infrastructure Management Plan, which includes best practices and
consideration of financing options for Council’s consideration.
Interim Public Works Director Jones provided a brief report regarding the preparation of
an Infrastructure Management Plan based on the concept of life cycle costing to
address the replacement and maintenance of the City’s infrastructure. He noted that
staff proposed the preparation of this Plan so that the Council has the opportunity to
consider the long term planning and financing of the City’s infrastructure needs.
Mayor Pro Tem Duhovic moved, seconded by Mayor Brooks, to continue this item to a
separate meeting to be held before May 21, 2013, with staff to select possible dates and
coordinate the meeting with Council Members.
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Without objection, Mayor Brooks so ordered.
ITEM REMOVED FROM CONSENT CALENDAR:
FY12-13 Budget Adjustments
City Clerk Morreale reported that Councilman Campbell requested that this item be
removed from the Consent Calendar.
In response to questions from Councilman Campbell, Deputy Finance Director Downs
confirmed that an assumption was made regarding the CIP Fund that $9 million would
be utilized to pay for the San Ramon Canyon Storm Drain Project; and that the
Beautification Fund reflected $512,000 as a result of median improvements that would
not be performed.
Councilman Knight moved, seconded by Mayor Brooks, to: ADOPT RESOLUTION NO.
2013-19, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
PALOS VERDES, AMENDING RESOLUTION 2012-43, THE BUDGET
APPROPRIATION FOR FY12-13, TO ADJUST THE BUDGET IN VARIOUS FUNDS
OF THE CITY.
The motion passed on the following roll call vote:
AYES: Campbell, Duhovic, Knight, and Mayor Brooks
NOES: None
ABSENT: Misetich
ABSTAIN: None
FUTURE AGENDA ITEMS:
The following items were raised by Council Members as future agenda items:
Mayor Brooks requested an item be placed on a future agenda regarding Council
Allocations & Expense Reimbursement.
Councilman Knight requested an item be placed on a future agenda regarding a
Feasibility Study pertaining to the possible acquisition of City Street Lights from
Southern California Edison.
CLOSED SESSION REPORT:
City Attorney Lynch reported on the following Closed Session items: 1) With respect to
the existing litigation in the case of City of Agoura Hills et. al. v. County of Los Angeles
et. al., the Council unanimously authorized a counter offer in response to the offer by
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Los Angeles County; 2) With respect to the Potential Initiation of Litigation, a report was
provided and no action was taken; 3) With respect to the potential purchase of a portion
of a lot on Tarapaca Road, the Council gave unanimous direction with respect to an
offer to be made for that property; and, 4) With respect to the potential acquisition of a
5.76-acre area of the Deane Dana Friendship Park, which is to be donated to the City
by Los Angeles County, the Council gave unanimous direction to proceed towards the
acquisition. She reported that all Council Members were present for the Closed
Session.
ADJOURNMENT:
At 11:27 P.M., Mayor Brooks adjourned the meeting.
________________________
Mayor
Attest:
_______________________
City Clerk
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