HomeMy WebLinkAbout2011-04-04Minutes
City Council/Redevelopment Agency/Public Financing Authority
City of Huntington Reach
Monday, April 4, 2011
5:00 PM - Room B-8
6:00 PM - Council Chambers
Civic Center, 2000 Main Street
Huntington Beach, California 92648
An video recording of the 6:00 PM portion of this meeting
is on file in the Office of the City Clerk and is archived at
www.surfcily-hb.org/governmenVagendas/
5:00 PM - ROOM B-8
CALL TO ORDER - 5:03 PM
ROLL CALL
Present: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman (Boardman arrived
at 5:06 PM)
Absent: None
ANNOUNCEMENT OF COMMUNICATIONS RECEIVED AFTER AGENDA DISTRIBUTION
Pursuant to the Brown "Open Meetings" Act, City Clerk Joan Flynn announced communications
that were received following distribution of the City Council agenda packet:
PowerPoint communication submitted by Lori Ann Farrell, Director of Finance for Study Session
Item No. 1 entitled City of Huntington Beach Miscellaneous and Safety Plans - CalPERS
Actuarial Issues - 6130109 Valuation Preliminary Results.
Communication for Study Session Item No. 1 submitted by Daniel Gooch dated April 3, 2011
and entitled Remarks to the Huntington Beach City Council regarding pension reform.
PUBLIC COMMENTS PERTAINING TO STUDY SESSION / CLOSED SESSION ITEMS (3
Minute Time Limit)
(The number (hh:mm:ss) following the speaker's comments indicates their approximate starting time in
the archived video located at http://www.surfcity-hb.org/government/agendas/).
Daniel Gooch distributed information and spoke to Council on Study Session Item No. 1
(CaIPERS Actuarial Valuation prepared by John Bartel, Bartel & Association). He specifically
addressed unfunded liability for pensions and health expenses, negotiations with employee
unions, and studies regarding contracting out for services. (00:00:50)
Council/RDA/PFA Minutes
April 4, 2011
.Page 2 of 10
Mayor Pro Tern Hansen questioned the number of services currently contracted out by the City.
City Manager Fred Wilson stated that staff will return to Council with that information.
STUDY SESSION
1. A presentation was provided by the Finance Department on the CalPERS Actuarial Valuation
prepared by John Bartel, Bartel & Associates.
Finance Director Lori Ann Farrell introduced John Bartel with Bartel & Associates, who made a
PowerPoint presentation entitled City of Huntington Beach Miscellaneous and Safety Plans -
CaIPERS Actuarial Issues - 6130109 Valuation Preliminary Results, dated April 4, 2011 that
included the following titled slides: Agenda, Definitions, Summary of Demographic Information -
Safety.
Councilmember Dwyer and Mr. Bartel discussed the dollar figures identified under PERSable
wage information, and Mr. Bartel explained the average increase over a fifteen (15) year period.
The slide presentation continued with Members Included in Valuation - Safety and Plan Funded
Status - Safety.
Councilmember Dwyer and Mr. Bartel discussed good and bad investments. Mr. Bartel
explained that a funding pattern status would be addressed later in the presentation.
The slide presentation continued with Actuarial Investment Return - Safety, Asset Values
(Millions) - Safety, Funded Status - Safety, Funded Status (Millions) - Safety, Employer Rate
Projections - Safety (Investment Return Varies - 7.75%), Summary of Demographic Information
- Miscellaneous, Funded Status (Millions) - Miscellaneous, Contribution Rates Miscellaneous,
Employer Rate Projections Miscellaneous - Investment Return Varies (7.75%), Contribution
Policy, and CalPERS Smoothing Methods.
Councilmember Dwyer and Mr. Bartel discussed reasons behind the City operating in a deficit.
Discussion ensued regarding CalPERS contribution increases due to asset losses, how the fund
was wealthy in the late 1990s, making conservative investments, bargaining groups asking for
generous benefits, and incorrect reporting of CalPERS actuary information. Mr. Bartel stated
his opinion that in reality, agencies must contribute more money to CalPERS and employees
must retire later.
Staff concluded the discussion by informing the Council that Mr. Bartel would return at a date
uncertain to present more information on the subject.
Council/RDA/PFA Minutes
April 4, 2011
Page 3 of 10
RECESS TO CLOSED SESSION
At 5:57 PM, a motion was made by a consensus of the Council to recess to Closed Session.
CLOSED SESSION
2. Pursuant to Government Code Section 54957.6, the City Council recessed to Closed Session
to meet with its designated labor negotiators: Fred Wilson, City Manager; Paul Emery, Deputy
City Manager; Bob Hall, Deputy City Manager; Michele Carr, Director of Human Resources; and
Lori Ann Farrell, Director of Finance, regarding labor negotiations with all labor groups.
3. Pursuant to Government Code § 54956.9, the City Council recessed into Closed Session to
confer with the City Attorney regarding the following potential lawsuit: City of Huntington Beach
v. Pacific Mobilehome Park, LLC regarding encroachment of coaches and related improvements
on the Huntington Street right-of-way.
4. Pursuant to Government Code Section 54956.9, the City Council recessed into Closed
Session to confer with the City Attorney regarding the following lawsuit: Citizen's Association of
Sunset Beach v. The City of Huntington Beach; Orange County Superior Court Case No. 30-
2010-00431832. This action involves delaying the annexation pending a vote of the Sunset
Beach residents.
5. Pursuant to Government Code § 54956.9, the City Council recessed into Closed Session to
confer with the City Attorney regarding MCP v. Vadnais, et al., Orange County Superior Court
Case No. 30-2008 00113320. This lawsuit includes a City cross -complaint against Vadnais
concerning its failure to successfully construct the Warner Avenue Gravity Sewer Line.
6:00 PM - COUNCIL CHAMBERS
RECONVENE CITY COUNCIL/REDEVELOPMENT AGENCY/PUBLIC FINANCE AUTHORITY
MEETING - 6:23 PM
CLOSED SESSION REPORT BY CITY ATTORNEY
City Attorney Jennifer McGrath reported that pursuant to Government Code § 54956.9, the City
Council recessed into Closed Session to confer with the City Attorney regarding the following
potential lawsuit: City of Huntington Beach v. Pacific Mobile Home Park, LLC, regarding
encroachment of coaches and related improvements on the Huntington Street right-of-way.
By a vote of 7-0, the City Council has authorized the City Attorney to file an action for a
judgment, quiet title, and related claims against Pacific Mobile Home Park, LLC, to remove
the encroachments on the Huntington Street right-of-way.
Council/RDA/PFA Minutes
April 4, 2011
Page 4 of 10
ROLL CALL
Present: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
Absent: None
PLEDGE OF ALLEGIANCE - Led by Mayor Pro Tern Hansen
INVOCATION - Provided by Reverend Mark Currie, Huntington Beach Interfaith Council
In permitting a nonsectarian invocation, the City does not intend to proselytize or advance any
faith or belief. Neither the City nor the City Council endorses any particular religious belief or
form of invocation.
Joe Carchio dedicated tonight's Council meeting to Brent Graham, Huntington Beach Fire
Department Ambulance Operator, who passed away at the age of 23 on March 18, 2011.
Mayor Carchio asked for a moment of silence in Ambulance Operator Graham's memory.
AWARDS AND PRESENTATIONS
Presentation - Mayor Carchio introduced Orange County Water District (OCWD) Directors
Cathy Green and Philip Anthony, who updated the Council about recent storm flow capture
behind Prado Dam and the challenges OCWD is having capturing this cost-efficient water
source.
Former Mayor Cathy Green introduced Philip Anthony, a 30-year board member of the OCWD,
who presented a PowerPoint entitled Stormwater Captures and Losses that included the
following titled slides: Orange County Water District (OCWD), Orange County's Water, OCWD
Recharge Facilities - over 1,100 acres in Anaheim & Orange, Water Supply Sources to
Recharge the Basin (billion gallons per year), Stormwater Capture, Stormwater Capture During
Heavy Rainfall, Current Status, Future Actions, and Questions.
Councilmember Boardman, Director Green and Director Anthony discussed percolation beneath
Prado Dam.
Councilmember Dwyer, Director Green and Director Anthony discussed recycling water and
how the portion recycled includes some drinking water.
Councilmember Harper thanked the OCWD for managing the groundwater basin, and
commented on the complexity of the system and the intense drive and focus needed to prevent
seawater intrusion.
Presentation - Mayor Carchio called on Cindy Cross to provide an overview of the "Mr.
Huntington Beach" contest held on Saturday, March 26. Ms. Cross was joined by Calvin Free
Council/RDA/PFA Minutes
Aprii 4, 2011
Page 5 of 10
who was crowned Mr. Huntington Beach, and who also earned over $10,000 for the Huntington
Beach 3-1 Marine Foundation. Mayor Carchio presented Mr.. Free with a key to the City.
ANNOUNCEMENT OF COMMUNICATIONS RECEIVED AFTER AGENDA DISTRIBUTION
Pursuant to the Brown "Open Meetings" Act, City Clerk Joan Flynn announced the following
communications received by her office following distribution of the City Council agenda packet:
Communication received from Paul Emery, Deputy City Manager/Interim Community Services
Director via Fred Wilson, City Manager, dated April 4, 2011, and entitled Late Communication
Regarding Item #8 - Approve and Authorize execution of an Agreement with Pacific Shoreline
Marathon, LLC to produce the annual Distance Derby.
PUBLIC COMMENTS (3 Minute Time Limit)
(The number (hh:mm:ss) following the speaker's comments indicates their approximate starting time in
the archived video located at http://www.surfcity-hb.org/government/agendas/).
Jack Apodaca spoke in opposition to utilizing Municipal Bonds to construct apartment buildings
to replace the existing businesses in Charter Centre (e.g. Bally's Spa, Restaurant and Theater).
(00:41:25)
Ashley Jemison, a Huntington Beach resident, spoke regarding the 25T" Annual Orange County
AIDS Walk that will be held this year at Disneyland beginning at 7:00 a.m. on Sunday, May 1.
Approximately 10,000 walkers are expected to raise over $1 million dollars for nine Orange
County AIDS organizations. Visit www.aidswalkorangecounty.org or call 949-809-5700 for more
information. (00:44:01)
David Baronfeld, President of the Huntington Beach Community Garden, stated that the Grand
Opening of the Huntington Beach Community Garden was held on Saturday, March 26, with
approximately 70-80 persons in attendance. He invited the Council to visit the site and thanked
them for their support. Visit www.huntingtonbeachcommunitygarden..com for more information.
(00:47:20)
COUNCIL COMMITTEE - APPOINTMENTS - LIAISON REPORTS AND ALL AB 1234
DISCLOSURE REPORTING
Councilmember Dwyer announced a public reception to be held at the Huntington Beach Arts
Center beginning at 7:00 p.m. on Friday, April 8, 2011, where the public can interact with the
artists -in -residence in the Art Center's "Open Dialogues" program.
Councilmember Bohr submitted a written report that will be made available in the City Clerk's
Office.
Council/RDA/PFA Minutes
April 4, 2011
Page 6 of 10
CITY MANAGER'S REPORT
City Manager Wilson congratulated the Huntington Beach Redevelopment Agency for receiving
the "Best Mixed -Use Development" award from the California Redevelopment Association
(CRA) for the Strand Project in downtown Huntington Beach.
City Manager Wilson congratulated Deputy City Administrator Bob Hall, Economic Development
Director Stanley Smalewitz, Deputy Economic Development Director Kellee Fritzal, Principal
Civic Engineer Terri Elliott from Public Works, and Senior Planner Jane James for their efforts.
CONSENT CALENDAR
1. Approved and adopted minutes.
A motion was made by Hansen, second Bohr to approve and adopt the minutes of the City
Council/Redevelopment Agency/Public Financing Authority Special Meeting of March 15, 2011,
and the Regular Meeting of March 21, 2011, as written and on file in the. Office of the City Clerk.
The motion carried by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
2. Received and filed City Clerk's Quarterly Report listings of Professional Service Contracts
filed in the City Clerk's office between July 1, 2010, and December 31, 2010.
A motion was made by Hansen, second Bohr to receive and file the "List of Professional Service
Contracts Approved by Department Heads Pursuant to Huntington Beach Municipal Code
Chapter 3.03 and Submitted to the Office of the City Clerk During the Period of July 1, 2010,
through September 30, 2010;" and, receive and file the "List of Professional Service Contracts
Approved by Department Heads Pursuant to Huntington Beach Municipal Code Chapter 3.03
and Submitted to the Office of the City Clerk During the Period of October 1, 2010, through
December 31, 2010." The motion carried by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
3. Appropriated $160,000 from the Sewer Fund to be used for legal and consulting fees in
connection with Warner Avenue Gravity Sewer Line Project (WAGS); and Mission Clay v.
Vadnais, City of HB, Orange County Case No. 30-2008 00113320.
A motion was made by Hansen, second Bohr to appropriate $160,000 from the Sewer Fund, to
be used for the employment of an in-house contract attorney and the continued employment of
the law firm of Gibbs, Giden, Locher Turner & Senet and the engineering firm of Lyman Henn,
Council/RDA/PFA Minutes
April 4, 2011
Page 7 of 10
Inc., and other related expenses in connection with the recovery of Sewer Funds previously
expended for WAGS. The motion carried by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
4. Approved and authorized execution of an Agreement with Pacific Shoreline Marathon, LLC to
produce the annual Distance Derby.
A motion was made by Hansen, second Bohr to approve and authorize the Mayor and City
Clerk to execute "Agreement between the City of Huntington Beach and Pacific Shoreline
Marathon, LLC to Provide the Distance Derby in Huntington Beach" as amended by Late
Communication to issue the Specific Event Permit contingent upon Pacific Shoreline
Marathon, LLC Filing a certificate of insurance. The motion carried by the following roll call
vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
5. Adopted Resolution No. 2011-22 ordering the Summary Vacation of the excess right-of-way
easement located at Loma Avenue, west of 14th Street at Main Street.
A motion was made by Hansen, second Bohr to adopt Resolution No. 2011-22, "A Resolution of
the City Council of the City of Huntington Beach Ordering the Summary Vacation of the Excess
Right -of -Way Easement at Loma Avenue". as described on the attached Legal Description and
shown on the attached Plat Maps, Exhibits "A", "B" and "C" respectively; and, direct the City
Clerk to record the Resolution and attached exhibits with the Orange County Recorder. The
motion carried by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
6. Adopted Ordinance No. 3886 amending Chapter 2.111 of the Huntington Beach Municipal
Code relating to the setting of appeal hearings on Public Works Commission's decisions to
remove crosswalks Approved for introduction March 21, 2011.
A motion was.made by Hansen, second Bohr to adopt Ordinance No. 3886, "An Ordinance of
the City of Huntington Beach Amending Chapter 2.111 of the Huntington Beach Municipal Code
Relating to Duties and Powers of the Public Works Commission." The motion carried by the
following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
Council/RDA/PFA Minutes
April 4, 2011
Page 8 of 10
7. Adopted Resolution No. 2011-23 designating Lori Ann Farrell, Alisa Cutchen, Joyce M. Zacks
and Jennifer Lampman as persons authorized to execute financial transactions in the name of
the City of Huntington Beach.
A motion was made by Hansen, second Bohr to adopt Resolution No. 2011-23, "A Resolution of
the City Council of the City of Huntington Beach Authorizing the Manual and/or Facsimile
Signatures of Lori Ann Farrell, Alisa Cutchen, Joyce M. Zacks, and Jennifer Lampman" as
persons authorized to execute financial transactions in the name of the City of Huntington
Beach. The motion carried by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
8. Approved and authorized execution of the Assignment of Promissory Note and Deed of Trust
for the Agency -owned property located at Cypress Avenue and Elm Street purchased by NF
Huntington Retail, LP.
A motion was made by Hansen, second Bohr to approve the "Assignment of Promissory Note
and Deed of Trust;" and, authorize the Executive Director and Agency Clerk to execute the
Promissory Note and Deed of Trust. The motion carried by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
9. Approved the appointment of Dan Kalmick, as a Resident -at -Large Representative to the
Mobile Home Advisory Board (MHAB), serving a gap term until August 5, 2011, as
recommended by Council Liaisons, Councilmembers Keith Bohr and Joe Shaw.
A motion was made by Hansen, second Bohr to approve the appointment of Dan Kalmick, as a
Resident -at -Large Representative to the Mobile Home Advisory. Board, serving a gap term until
August 5, 2011. The motion carried by the following roll call vote:
AYES: Shaw, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: Harper
10. Approved title change from Deputy City Administrator to Deputy City Manager.
A motion was made by Hansen, second Bohr to approve the updated job description for Deputy
City Manager. The motion carried by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
Council/RDA/PFA Minutes
April 4, 2011
Page 9 of 10
11. Approved the implementation of an Alternative Dispute Resolution (ADR) process for
Workers' Compensation Claims and authorized the City Manager to execute required
agreements.
City Manager Wilson called upon Director of Human Resources Michele Carr who provided a
PowerPoint presentation entitled Alternative Dispute Resolution.
Councilmember Harper and Director Carr discussed the selection process for the independent
medical examiners.
A motion was made by Hansen, second Bohr to approve the implementation of the pilot ADR
program and authorize the City Manager to enter into agreements with the Huntington Beach
Police Officers Association (HBPOA) and the Huntington Beach Firefighter Association (HBFA)
(and any other interested safety units) to utilize the pilot ADR process for a period of up to
eighteen (18) months, and authorize the City Manager to execute the documents in a form
acceptable to the City Attorney. Authorize the City Manager (or his designee) to execute any
other related documents in furtherance thereof, including, but not limited to, agreements with
Independent Medical Examiners, in a form acceptable to the City Attorney. The motion carried
by the following roll call vote:
AYES: Shaw, Harper, Hansen, Carchio, Bohr, Dwyer, and Boardman
NOES: None
COUNCILMEMBER COMMENTS (Not Agendized)
Comments provided by Councilmember Dwyer, Councilmember Harper, and Mayor Carchio.
RECESS TO CLOSED SESSION
At 7:31 PM, the City Council recessed to Closed Session by unanimous consent.
Council/RDA/PFA Minutes
April 4, 2011
Page 10 of 10
ADJOURNMENT
At 7:59 PM, Mayor Carchio adjourned the meeting to Monday, April 18, 2011, at 5:00 PM in
Room B-8, Civic Center, 2000 Main Street, Huntington Beach, California 92648.
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City C rk and ex-officio Cler f the City
Council of the City of Huntington Beach
and Clerk of the Redevelopment Agency
of the City of Huntington Beach, California
ATTEST:
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City Clerk- erk LI/ ayor-Chair