HomeMy WebLinkAbout2017-05-01Minutes
City CouncillPubiic Financing Authority
City of Huntington Beach
Monday, May 1, 2017
4:00 PM - Council Chambers
6:00 PM - Council Chambers
Civic Center, 2000 Main Street
Huntington Beach, California 92648
A video recording of the 4:00 PM and 6:00 PM portion of this meeting
is on file in the Office of the City Clerk, and archived at
www.s urfcity-h b.org/governmentlaaendasl
4:00 PM - COUNCIL CHAMBERS
CALL TO ORDER
ROLL CALL
Present: O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
Absent: None
ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution)
Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental
communications that were received by her office following distribution of the Council Agenda packet:
For Study Session Item No. 1, one (1) communication: a PowerPoint communication entitled CalPERS
Contribution: Where They are Going — and What You Can Do About It?
For Study Session Item No. 2, one (1) communication: a PowerPoint communication entitled FY
2016117 Mid Year Budget Update.
PUBLIC COMMENTS PERTAINING TO STUDY SESSION I CLOSED SESSION ITEMS
(3 Minute Time Limit) — None
STUDY SESSION
1. CaIPERS Discount Rate Change — Representatives from CalPERS provided a presentation:
on the CalPERS Discount Rate Change and impacts to Huntington Beach.
Mayor Delgleize introduced Mr. Kerry Worgan, Senior Pension Actuary of CalPERS, who gave a
PowerPoint presentation entitled, CaIPERS Contributions: Where They are Going - And What You Can
Do About It? which included slides entitled: Agenda, Where Are Employer Contributions Heading?,
Annual Valuation, Dollar Billing, Amortization Policy, Where can I see my future contributions.,
Accelerated Funding (3), Recent News, Investment Return (IR) Assumption (2), Back to the future...,
How to Determine your Revised Contributions? How to Determine Projected Contributions? (2),
Projections from 6130115 Valuation, With Discount Rate Changes, Projections from 6130115 Valuation,
With Discount Rate Changes (5), What Is Coming Up?, Balancing the Fund, Asset Liability Management
Framework, Asset Allocation (ALM Study), Experience Study, What is Funding Risk Mitigation?, How Will
Council/PFA Regular Minutes
May 1, 2017
Page 2of15
Funding Risk Mitigation Work?, What Can Agencies Do? Communications with Board, One final
takeaway..., and Questions and Comments
Councilmember Peterson and Mr. Worgan discussed that salary growth, cost of living increases,
termination rates, mortality rates and retirement rates are forecasted assumptions in the charts
presented. Details are in the back of the Evaluation Report.
Mayor Delgleize asked if Mr. Worgan's presentation addressed options other than pre -paying Unfunded
Liabilities for making up shortfalls. Mr. Worgan responded that for 2016, the projected salaries were
higher than reality which in effect lowers the liability.
Mayor Pro Tem Posey and Mr. Worgan discussed how many years at 9 or 10 percent returns that it
takes to recover from a year that produced only .6 percent as addressed in one of the last slides of the
presentation. They also discussed the approximately $3 billion loss in the portfolio (from 2000 - 2014
from tobacco stock divesture, as shown on the CaIPERS website, and whether the Investment Board
considers being "politically correct" when they evaluate investment options.
In response to concerns expressed by Councilmember O'Connell, Mr. Worgan explained that CaIPERS
represents approximately 1,500 different agencies with 1.8 million employees, representing a total fund
balance of approximately $318B. He also clarified that CaIPERS is currently seeking $23M from the City
of Huntington Beach to compensate for lower than expected investment returns.
Councilmember Semeta and Mr. Worgan discussed the investment guidelines, especially related to
social activism and permissible investments. Mr. Worgan stated that the represented agencies can
participate in the discussions that the Board has every month prior to making their investment decisions
to determine how much risk and volatility is appropriate.
Councilmember Peterson and Mr. Worgan discussed that the rate of return will fluctuate depending upon
which particular time -frame is being evaluated, i.e., one year, five years, or 30 years.
Councilmember Semeta and Mr. Worgan discussed options and costs related to leaving CaIPERS.
2. Mid Year Budget Review — Presentation by the Finance Department regarding the Fiscal
Year 2016/16 Audit; current FY 2016117 projected budget performance; and FY 2017/18
preliminary budget outlook.
Mayor Delgleize introduced Chief Financial Officer Lori Ann Farrell -Harrison who introduced Finance
Manager Dahle Bulosan. Finance Manager Bulosan gave a PowerPoint presentation entitled FY
2016117 Mid Year Budget Update with slides entitled: Overview, FY2015116 Financial Results (2), Audit
Results, Areas of Audit Focus in FY 15116, Upcoming Accounting Changes, FY 2015116 Performance
(Audited), GASB 68, FY 2015116 General Fund Actual Expenditures, FY 2015116 General Fund Actual
Revenue, FY 2015116 General Fund Actual Highlights, General Fund Balance, FY 2016117 Mid Year
Update, FY 2016117 General Fund, FY 2016117 General Fund Highlights, Economic Indicators,
Preliminary General Fund Revenue Estimates, FY 2016117 General Fund, Recap, Rising Pension Costs
and What We Are Doing About It, Next Steps, and Questions.
Finance Manager Bulosan introduced CPA .Jonathan Foster with DavisFarr, Certified Public Accountants,
who described the audit procedures.
Council/PFA Regular Minutes
May 1, 2017
Page 3 of 15
Carol Molina -Espinosa, Finance Manager, presented an overview of the General Fund budget and 6-
month economic indicators. Finance Manager Molina -Espinosa also described the timeline to
implementing the 2017/18 budget.
Mayor Delgleize and Chief Financial Officer (CFO) Farrell -Harrison discussed the Governmental
Accounting Standards Board (GASB) changes, and the steps the City has taken to pay down unfunded
liabilities.
Mayor Pro Tern Posey and CFO Farrell -Harrison discussed potential scenarios which could result in a
negative budget for 2018/2019.
Councilmember Semeta and CFO Farrell -Harrison discussed how poor winter and spring weather has
caused a decline in parking revenues at the beach.
Councilmembers expressed their appreciation to the Finance team for their dedication and hard work.
RECESS TO CLOSED SESSION — 5:26 PM
A motion was made by O'Connell, second Semeta to recess to Closed Session. With no objections, the
motion carried.
Mayor Delgleize Announced: Pursuant to Government Code § 54957.6, the City Council takes this
opportunity to publicly introduce and identify designated labor negotiator, City Manager Fred Wilson, who
will be participating in today's Closed Session discussions regarding labor negotiations with: Huntington
Beach Firefighters' Association (HBFA), Huntington Beach Police Officers' Association (POA), and/or
Surf City Lifeguard Employees' Association (SCLEA).
CLOSED SESSION
3. Pursuant to Government Code § 54967.6, the City Council recessed into Closed Session to
meet with its designated labor negotiators and Fred Wilson, City Manager regarding the
following: Huntington Beach Firefighters' Association (HBFA), Huntington Beach Police
Officers' Association (POA), and/or Surf City Lifeguard Employees' Association (SCLEA).
4. Pursuant to Government Code § 54956.9(d)(1), the City Council recessed into Closed
Session to confer with the City Attorney regarding the following lawsuit: George and
Kathleen Pickett v. City of Huntington Beach/Steven Tilton, Orange County Superior Court
Case No. 30-2014-00764342.
5. Pursuant to Government Code §54956.9(d)(2) the City Council recessed into Closed
Session to confer with the City Attorney regarding potential litigation. Number of cases,
one (1).
6. Pursuant to Government Code § 54956.9(d)(1), the City Council recessed into Closed
Session to confer with the City Attorney regarding the following lawsuit: Michael Reilly vs.
City of Huntington Beach, WCAB Case Nos. ADJ3570290; ADJ4308567; ADJ4177231;
ADJ3580618; ADJ612776 and ADJ9226122; Claim Nos. COHB-90-0107;. 94-0030; 96-0070;
97-0081; 98-0012 and 13-0272.
7. Pursuant to Government Code § 54956.9(d)(1), the City Council recessed into Closed
Session to confer with the City Attorney regarding the following lawsuit: Kevin Jackson
Council/PFA Regular Minutes
May 1, 2017
Page 4 of 15
vs. City of Huntington Beach, WCAB Case Nos. ADJ10162339; ADJ10163433 and
ADJ2035586; Claim Nos. COHB-14-0168; 15-0282; and 16-0007.
6:00 PM — COUNCIL CHAMBERS
RECONVENED CITY COUNCILIPUBLIC FINANCING AUTHORITY MEETING — 6:06 PM
ROLL CALL
Present: O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
Absent: None
PLEDGE OF ALLEGIANCE -- Led by Girl Scout Troop #3337
INVOCATION — Cantor Fran Chalin, Jewish Chaplain with Vitas Hospice and member of the Greater
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.
CLOSED SESSION REPORT BY CITY ATTORNEY — None
AWARDS AND PRESENTATIONS
Mayor Delgleize presented commendations to HB Nonstop, a local girls Under-14 Extra soccer team and
HB Wipeout, a local girls Under-12 Extra soccer team representing Huntington Beach AYSO Region 55,
who both recently competed and won the Western States Championship.
Mayor Delgleize proclaimed National Safe Boating Week, May 20-26, and presented a proclamation to
the US Coast Guard Auxiliary, Flotilla 62, from Huntington Harbour.
Mayor Delgleize presented the National Tourism Week Proclamation to Visit HB CEO Kelly Miller.
ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution)
Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental
communications that were received by her office following distribution of the Council Agenda packet:
For City Manager's Report, Item No. 1, one (1) communication: a PowerPoint communication entitled
Huntington Beach Citizens Academy, Launching June 21, 2017.
For Consent Calendar Item No. 5, communication received from Antonia Graham, Assistant to the City
Manager, submitting a correction to Attachment #10, Senate Bill 242.
For Councilmember Items
No. 7, an e-mail communication was received from Nicholas Mestanas, and
No. 9, an e-mail communication was received from Tim Kowal of HB Tomorrow.
PUBLIC COMMENTS (3 Minute Time Limit) --- 28 Speakers
The number£hh:mm:ss] following the speakers' comments indicates their approximate starting time in
the archived video located at http://www.surfcity-hb.org/government/agendas.
Council/PFA Regular Minutes
May 1,2017
Page 5 of 15
Stephen Davis, currently homeless, was called to speak and presented a certificate of appreciation to
Councilmember O'Connell for assistance in helping hire out of a tough situation. (02:05:35)
Gary Steele was called to speak and asked that the City install a "Welcome to HB" sign at Brookhurst
and Garfield like the other welcome signs on major streets at the City's borders to make it easier for
Huntington Beach residents to shop in Huntington Beach. (02:06:15)
Cynthia Herrick Steele was called to speak and shared several slides to demonstrate the difficulty for
both pedestrian and traffic ingress and egress at the intersection of Brookhurst Street and Constitution
Drive and asked for crosswalks and traffic signals. (02:08:11)
Gina Clayton-Tarvin, mother of two and President, Ocean View School District (OVSD) Board of
Trustees, was called to speak and stated her support of Councilmember Items, No. 9, a pilot program
utilizing organic pesticides in Central Park West. Ms. Clayton-Tarvin also encouraged the City to stop
using Roundup on all of the land leased from the OVSD, especially since OVSD has stopped using
Roundup at all of its school sites. (02:11:31)
Gail Smith was called to speak and described an incident caused by irresponsible pit bull owners at Dog
Beach several weeks ago. She explained her actions to communicate with Animal Control as advised by
the Huntington Beach Police Department, but was concerned about their failure to identify the pit bull
owners who quickly left the scene after the attack even though she provided them with pictures and
license plate numbers. Mayor Delgleize asked Ms. Smith to complete a blue card for follow-up.
(02:14:23)
Mary Lewis, Code Enforcement Officer in another jurisdiction and witness to the Dog Beach incident,
was called to speak and described the incident as a dog mauling. She expressed frustration about the
process for reporting dog -related incidents at Dog Beach, and due to the severity of the incident,
indicated she has no plans to return to Dog Beach in the future. Mayor Delgleize asked Ms. Lewis to
complete a blue card for follow-up. (02:18:01)
Mike Van Voorhis, President, Sunset Beach Community Association, was called to speak and invited
everyone to the 50th Annual Sunset Beach Art Festival, May 13 and 14, 2017, on the greenbelt from 7th
Street to Broadway to benefit local schools and charities. (02:21:20)
Karen Jackie, President, HB Tomorrow, was called to speak and expressed appreciation for individuals
who recently assisted with their recent annual meeting. Ms. Jackie also voiced support for
Councilmember Items, No. 9, a pilot program utilizing organic pesticides in Central Park West.
(02:24:25)
Tim Kowal, HB Tomorrow and Non -Toxic HB, was called to speak and voiced support for
Councilmember Items, No. 9, a pilot program utilizing organic pesticides in Central Park West. (02:26:39)
Andi Kowal, Non -Toxic HB, was called to speak and voiced support for Councilmember Items, No. 9, a
pilot program utilizing organic pesticides in Central Park West. (02:29:47)
David Humphreys, President, Huntington Beach Police Officers Association (HBPOA), was called to
speak and voiced support -for Councilmember Items, No. 7, establishing a Huntington Beach Community
Foundation. (02:32:51)
Whitney Wicke was called to speak and stated support for Councilmember Items, No. 9, a pilot program
utilizing organic pesticides in Central Park West. (02:34:12)
Council/PFA Regular Minutes
May 1, 2017
Page 6 of 15
Kelsey Gerlach was called to speak and stated her support for Councilmember Items, No. 9, a pilot
program utilizing organic pesticides in Central Park West, but is concerned that the limited size of the test
area may produce inaccurate cost results. (02:35:42)
Debby Cobb was called to speak and stated her support for Councilmember Items, No. 9, a pilot program
utilizing organic pesticides in Central Park West, and suggested that the program be expanded to include
all parks and schools. (02:37:26)
Amory Hanson, Candidate for City Council in 2018, was called to speak and voiced his concern about
the difficulties HBTV-3 is having in broadcasting meetings. He shared his opinion on recent
Councilmember meeting interactions and the lack of guidelines for appropriate public speaker topics. Mr.
Hanson also stated his support of Councilmember Items, No. 7, establishing a Huntington Beach
Community Foundation. (02:38:10)
Maureen was called to speak and shared her thoughts about the local homeless situation, and
acknowledged the difference that Councilmember O'Connell is making for this issue. (02:41:08)
Mary McCalment was called to speak and stated her support for Councilmember Items, No. 9, a pilot
program utilizing organic pesticides in Central Park West. (02:43:35)
Amber Withelby was called to speak and voiced her support for Councilmember Items, No. 9, a pilot
program utilizing organic pesticides in Central Park West. (02:44:44)
Herb Lakin was called to speak and voiced his opinion about truck routes, which are dictated by the
State, in Huntington Beach. Mr. Lakin is specifically upset by the gas tankers using Talbert Avenue
which he stated is not a designated truck route, and the damage caused to City streets. (02:47:38)
Ashley Collins, Non -Toxic HB, was called to speak and voiced her support for Councilmember Items, No.
9, a pilot program utilizing organic pesticides in Central Park West, and supports the suggestion that the
program be expanded to include all parks and schools. (02:50:19)
Katja Flores, Non -Toxic HB, was called to speak and voiced her support for Councilmember Items, No.
9, a pilot program utilizing organic pesticides in Central Park West (02:51:37)
Charlene Rakhshani was called to speak and voiced her support for Councilmember Items, No. 9, a pilot
program utilizing organic pesticides in Central Park West, and supports the suggestion that the program
be expanded to include all parks and schools. (02:52:59)
Ayn Cracinum, Non -Toxic Irvine Board Member, was called to speak and voiced her support for
Councilmember Items, No. 9, a pilot program utilizing organic pesticides in Central Park West, and
supports the suggestion that the program be expanded to include all parks and schools. Ms. Cracinum
also offered to help facilitate a presentation by two local scientific advisers, professors from University of
California Irvine (UCI), and encouraged discussing organic products with the local agencies that already
have experience using them. (02:56:13)
Robert Sternberg, Vice President, Goldenwest Neighborhood Association and Director, HB Tomorrow,
was called to speak and stated his support for. Councilmember Items, No.. 9, a pilot program utilizing .
organic pesticides in Central Park West. (02:59:24)
Tamara Durbin was called to speak and stated support for Councilmember items, No. 9, a pilot program
utilizing organic pesticides in Central Park, and supports the suggestion that the program be expanded to
include all City parks. (03:01:16)
Council/PFA Regular Minutes
May 1, 2017
Page 7of15
Rachel Harris, Non -Toxic HB, was called to speak and stated support for Councilmember Items, No. 9, a
pilot program utilizing organic pesticides in Central Park, and supports the suggestion that the program
be expanded to include all City parks, schools and public landscaping. (03:01:49)
Shari Engel was called to speak and voiced support for Councilmember Items, No. 7, establishing a
Huntington Beach Community Foundation. (03:03:59)
Mark Dixon, Residents for Responsible Desalination (R4RD), was called to speak and shared facts about
Orange County Water District (OCWD) plans, his opinion that a good water conservation program could
save more water than the Poseidon project will produce, and that rubber stamping this project without
understanding the facts is official malfeasance. Mr. Dixon also voiced his support for Councilmember
Items, No. 9, a pilot program utilizing organic pesticides in Central Park West. (03:07:17)
COUNCIL COMMITTEE - APPOINTMENTS - LIAISON REPORTS, AB 1234 REPORTING, AND
OPENNESS IN NEGOTIATIONS DISCLOSURES
Councilmember Hardy reported meeting with the Police Officers' Association (POA).
Councilmember Peterson reported attending an Orange County Sanitation District (OCSD) Board
meeting, and receiving a report from the Historical Resources Board that is looking for new members to
assist in preserving City history, including Sunset Beach.
Councilmember Brenden reported attending the Chamber of Commerce Economic Conference,
participating in a Council subcommittee on Business Incubator Implementation, attending the Orange
County Business Council (OCBC) Newly Elected OC City Council Members Luncheon, Association of
California Cities - Orange County (ACC-OC) Local Government Finance Committee meeting, City
Council Ad Hoc Committee on Homelessness, Council on Aging Quarterly Dinner Dance, and a special
meeting of the Huntington Beach Downtown Improvement District (BID) to proceed with the study the
City Council had previously recommended.
Councilmember Semeta reported meeting with the Huntington Beach Police Officers' Association, and
attending a Chamber of Commerce Economic Development meeting.
Councilmember O'Connell reported meeting with the Huntington Beach Firefighters' Association (HBFA),
attending the Chamber of Commerce 30th Annual Economic Conference, the Council subcommittee on
Business Incubator Implementation, and City Council Ad Hoc Committee on Homelessness.
Mayor Delgleize reported attending the Chamber of Commerce 30th Annual Economic Conference, the
ACC-OC Board of Directors Installation dinner, Local Government Finance Committee and Legislation
Committee meetings, and the California State Lands Commission Public Meeting on leases for use of
State Sovereign Land for privately owned facilities located in the Main and Midway Channels of
Huntington Harbour.
CITY MANAGER'S REPORT
1. Citizens Academy Presentation
City Manager Wilson gave a PowerPoint presentation entitled: Huntington Beach Citizens Academy,
Launching June 21, 2017, with slides entitled: Why A Citizens Academy? What is the Academy? and
How Do 1 Apply?
Council/PFA Regular Minutes
May 1, 2017
Page 8 of 15
CITY TREASURER'S REPORT
2. Received and filed the City Treasurer's March 2017 Quarterly Investment Summary Report
City Treasurer Alisa Cutchen gave a PowerPoint presentation entitled: City of Huntington Beach City
Treasurer's Report with slides entitled: City Treasurer's Mission: Preservation and Return of Investments
(2), Market Update: 1st Quarter 2017, Interest Rate Volatility. 2-Year Treasury Yield April 2016-April
2017, Portfolio Overview.- Investment Summary, Portfolio Overview: Investments by Type, Portfolio
Overview: Monthly Earnings, Portfolio Performance as of March 31, 2017, Conclusions, and Questions.
A motion was made by O'Connell, second Posey to receive and file the City Treasurer's Quarterly
Investment Report for March 2017, pursuant to Section 17.0 of the Investment Policy of the City of
Huntington Beach.
The motion carried by the following vote:
AYES: O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
NOES: None
CONSENT CALENDAR
Mayor Pro Tern Posey pulled Consent Calendar Item No. 5 for further discussion.
3. Approved and adopted minutes
A motion was made by O'Connell, second Brenden to review and adopt the City Council/Public
Financing Authority regular meeting minutes dated April 3, 2017, as written and on file in the office of the
City Clerk.
The motion carried by the following vote:
AYES: O'Connell, Semeta, Posey, DeIgleize, Hardy, Brenden, and Peterson
NOES: None
4. Awarded and authorized execution of a construction contract with All American Asphalt in
the amount of $416,344 for the Operetta Drive & Opera Lane Rehabilitation Project, CC-
1643
A motion was made by O'Connell, second Brenden to accept lowest responsive and responsible bid
submitted by All American Asphalt in the amount of $416,344; and, authorize the Mayor and City Clerk to
execute a construction contract in a form approved by the City Attorney.
The motion carried by the following vote:
AYES: O'Connell, Semeta, Posey, DeIgleize, Hardy, Brenden, and Peterson
NOES: None
6. City Council Position on Legislation Pending Before the State Legislature as
Recommended by the City Council Intergovernmental Relations Committee (IRC)
Mayor Pro Tern Posey pulled this item to state that at the previous City Council meeting the Council had
unanimously approved his recommendation to have Senator Moorlach's legislative items be reviewed by
Council/PFA Regular Minutes
May 1, 2017
Page 9 of 15
the Intergovernmental Relations Committee (IRC) before a Council vote. The IRC recommends a "yes"
vote.
Councilmembers Peterson and Hardy discussed AB 629, Alcoholic Licenses: Art Galleries, and stated
their need for further information. Staff explained that this is a simple bill that allows for local ordinances
to permit art galleries to serve beer and wine without having to go through the Alcohol Beverage Control
(ABC) permit process.
Councilmember Hardy asked to be recorded as a "No" on Item C, Senate Constitutional Amendment 8:
California Rule; and Item E, SB 32 — Public Employees' Pension Reform Act of 2018 which in her opinion
could possibly increase the City's CalPERS obligation by ten percent.
Mr. O'Donnell, City lobbyist with Townsend Public Affairs, was called to the podium and explained that
one of the provisions of SB 32 would require Ca.IPERS to increase funding levels by ten percent per year
until it is one hundred percent funded.
Councilmember O'Connell asked to be recorded as a "No" on Item C, Senate Constitutional Amendment
8: California Rule; Item D, Senate Constitutional Amendment 10: Pension Transparency; and Item E, SB
32 —Public Employees' Pension Reform Act of 2018. He also expressed concerns about the serious
ramifications created by dissolving legal contracts.
A motion was made by Posey, second Peterson to approve a City position of Support in concept on
House Resolution No. 472 — Safe Recovery and Community Empowerment Act; and, approve a City
position of Support on Senate Constitutional Amendment 1: No Secure Choice Ballot; and, approve a
City position of Support on Senate Constitutional Amendment 8: California Rule; and, approve a City
position of Support on Senate Constitutional Amendment 10: Pension Transparency; and, approve a City
position of Support on SB 32 (Moorlach) — Public Employees' Pension Reform Act of 2018; and,
approve a City position of Support on SB 454 (Moorlach) — Retiree Healthcare Reform; and, approve a
City position of Support on SB 681 (Moorlach) — Local Pension Control; and, approve a position of
Oppose on AB 1129 (Stone) Coastal Structures Beach Access and Protection; and, approve a position of
Support on AB 629 (Harper) Alcoholic Beverage Licenses: Art Galleries; and, approve a position of
Support on SB 242 (Skinner) PACE Consumer Protections; and, approve a position of Oppose on AB
1250 (Jones -Sawyer) Counties and Cities: Contracts for Personal Services.
The motion carried by the following vote for Items A, B, F, G, H, I, J, K:
AYES: O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
NOES: None
A) Approve a City position of Support in concept on House Resolution No. 472 — Safe Recovery and
Community Empowerment Act; and,
B) Approve a City position of Support on Senate Constitutional Amendment 1: No Secure Choice
Ballot; and,
F) Approve a City position of Support on SB 454.(Moorlach) — Retiree Healthcare Reform; and,
G) Approve a City position of Support on SB 681 (Moorlach) — Local Pension Control; and,
Council/PFA Regular Minutes
May 1, 2017
Page 10 of 15
H) Approve a position of Oppose on AB 1129 (Stone) Coastal Structures Beach Access and Protection;
and,
1) Approve a position of Support on AB 629 (Harper) Alcoholic Beverage Licenses: Art Galleries; and,
J) Approve a position of Support on SB 242 (Skinner) PACE Consumer Protections; and,
K) Approve a position of Oppose on AB 1250 (Jones -Sawyer) Counties and Cities: Contracts for
Personal Services.
The motion carried by the following vote for Item C:
AYES: Semeta, Posey, Delgleize, Brenden, and Peterson
NOES: O'Connell, Hardy
C) Approve a City position of Support on Senate Constitutional Amendment 8: California Rule.
The motion carried by the following vote for Item D:
AYES: Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
NOES: O'Connell
D) Approve a City position of Support on Senate Constitutional Amendment 10: Pension Transparency.
The motion carried by the following vote for Item E:
AYES: Semeta, Posey, Delgleize, Brenden, and Peterson
NOES: O'Connell, Hardy
E) Approve a City position of Support on SB 32 (Moorlach) — Public Employees' Pension Reform Act of
2018.
ADMINISTRATIVE PUBLIC HEARING
6. Conducted Public Hearing for Annual Weed Abatement Program and authorized the
Director of Public Works to proceed with abatement of public nuisance
Public Works Administrative Analyst Senior, Debra Jubinsky, gave a PowerPoint presentation entitled:
Annual Weed, Rubbish, and Refuse Abatement Program with 4 slides entitled: Program Timeline.
Mayor Delgleize opened the public hearing.
City Clerk Robin Estanislau announced there were no speakers, and that no protests were received by
her office.
There being no public speakers, Mayor Delgleize closed the public hearing.
A motion was made by Peterson, second Brenden to open a public hearing for any objections and
protests to the proposed removal of weeds, refuse and rubbish; and, authorize the Superintendent of
Streets (Director of Public Works) to proceed with the abatement of said nuisance.
Council/PFA Regular Minutes
May 1, 2017
Page 11 of 15
The motion carried by the following vote:
AYES: O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
NOES: None
COUNCILMEMBER ITEMS
7. NO ACTION TAKEN on Item Submitted by Mayor Delgleize and Councilmember Hardy
Establishment of a Huntington Beach Community Foundation (FOUNDATION)
Mayor Delgleize and Councilmember Hardy expressed their thoughts and reasons for establishing a non.
profit Foundation for the City. They explained that raising funds and managing volunteers for projects
such as park renovations, or building an aquatic center could be handled by a Community Foundation as
the City does not have the resources to do these things. Residents are interested in giving back to their
community, and community foundations ensure that donations are spent on the intended project.
Several surrounding cities have a thriving Community Foundation,
Mayor Delgleize explained that the Recommended Action has changed to direct the City Manager and
City Attorney offices to conduct research and return to Council with recommendations, not prepare
Articles of Incorporation and draft Bylaws as originally stated.
Councilmember Peterson voiced his opinion that these types of efforts do not belong to any government
entity, but should be handled by individuals, and he suggested that possibly the City's website could
have a listing of local existing 501(c)3 organizations.
Councilmember Hardy and Police Chief Robert Handy discussed the level of administrative support from
the City for the Huntington Beach Police Officers' Foundation.
Councilmember Semeta shared her concerns about keeping a foundation independent from the Council
and the real danger of it becoming political. She also questioned whether a community foundation could
take funding away from smaller existing non -profits.
Councilmember Brenden shared that from his perspective there are a lot of existing 501(c)3 non profits
which can partner with new projects. He questioned the need and appropriateness for a city to sponsor
a foundation and prepare Articles of Incorporation and Bylaws. He also expressed interest in considering
an alternate action.
Mayor Delgleize clarified that the intent is not to create another governmental organization, but to set up
a mechanism that will support local existing charities and provide a method of funding for worthy projects
that may enhance City services.
Councilmember O'Connell voiced his opinion that the effort is commendable, but politicians should not
be setting up a foundation.
Mayor Pro Tern Posey stated his support of the intentions, and he would have no objections to any
member of the Council personally setting up a foundation for any cause that people are passionate
about, but would not support an effort that appears to be political.
Council/PFA Regular Minutes
May 1,2017
Page 12 of 15
Discussion ensued, and City Manager Wilson explained that the City is a 501(c)3 and occasionally does
receive donations, such as for the 4th of July Board,
Mayor Delgleize and Councilmember Hardy thanked everyone for the honest discussion for this item.
8. Item Submitted by Councilmember O'Connell Approved as Amended — Request for
Performance Review of the overall Entitlement and Permitting Process
Councilmember O'Connell reviewed some of the experiences community businesses and residents have
had with the City's permitting process and stated that his goal is to utilize the services of a third party
auditor to identify deficiencies and recommend solutions to provide organization -wide exemplary service.
Mayor Pro Tern Posey and the City Manager Wilson discussed the comprehensive evaluation done in
2006 that resulted in changes, as well as three smaller evaluations. City Manager Wilson explained that
the recommended actions not implemented from previous studies were cost prohibitive, and that the
effort of this item is to establish an Ad -Hoc Committee to look at the previous studies and develop a
scope of work.
In response to Councilmember Brenden, City Manager Wilson confirmed that the 2006 evaluation cost
approximately $70,000, and a similar evaluation today would be about $100,000. Councilmember
Brenden stated that he would like to ensure that customer experiences be included in a new evaluation,
as well as a review of any previous recommendations not implemented, and a review of the City's fee
structure.
Councilmember Peterson suggested that the Ad -Hoc Committee meet just among themselves a couple
of times to review the previous evaluations and fine-tune the objectives for a new evaluation before
getting staff involved and bringing back to Council. He also stated his interest in serving on this Ad -Hoc
Committee.
Councilmember Semeta asked whether there needs to be not only procedural changes, but to also look
at a marketing need to entice businesses to Huntington Beach. She expressed interest in serving on this
Ad -Hoc Committee.
Councilmember Hardy shared her recommendation that the Ad -Hoc Committee start by looking at all
previous reports and practices from all departments, and also talk to other departments to become aware
of other obstacles they might have knowledge of. She also feels these findings must be presented to
Council before any money is spent.
Councilmember Peterson and Mayor Pro Tern Posey stated their support for reviewing past reports and
returning to Council with a more detailed recommendation before utilizing major staff time or expending
money for an outside consultant.
A motion was made by O'Connell, second Peterson to establish an Ad -Hoc City Council Committee
composed of Councilmembers O'Connell, Semeta and Peterson who will work with staff to review
existing reports conducted on department performance related to development practices and policies,
and return'to the City Council with a recommendation on where additional review is needed, and if the
additional audit should be conducted by an outside consultant.
The motion carried by the following vote:
Council/PFA Regular Minutes
May 1, 2017
Page 13 of 15
AYES: O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
NOES: None
9. Item Submitted by Councilmember O'Connell Approved as Amended — Consider a Pilot
Program utilizing organic pesticides in Central Park West
Councilmember O'Connell introduced this item by explaining its importance to the families of Huntington
Beach. He explained that he is open to expanding the pilot project if a majority of the Council agrees.
Councilmember O'Connell further stated that if the Ocean View School District (OVSD) is using organic
pesticides, in his opinion the City should respect that policy especially for the land the City is leasing from
OVSD.
Mayor Delgleize voiced support for the item.
Councilmember Hardy and City Manager Wilson discussed a pilot program procedure that would report
test results every three months to Council for a one year period, and if acceptable at program conclusion,
expand it citywide.
Councilmember Hardy and Public Works Director Travis Hopkins discussed the need to re-evaluate the
product to be used. Councilmember Hardy suggested that a consultation with the City of Irvine, prior to
choosing a product to use, be included in this item.
Councilmember Semeta and City Attorney Gates discussed soliciting community feedback if the program
is to be expanded citywide.
Councilmember Brenden suggested that the item not be acted upon at this time so it can include product
and treatment area identification, as well as costs.
Councilmember O'Connell stated that he would like to see some action tonight, and would rather not
postpone the item.
Mayor Pro Tern Posey stated that he would like to see included in the motion a definition of organic vs.
non -organic, and the risks and hazards of each. He also asked for scientific information to consider
when evaluating the options,
Councilmember Hardy stated that one statistic that she is aware of is that 30 percent less water is
needed over time when using organic products and that alone, in her opinion, makes it worth proceeding.
Councilmember Hardy also suggested that the two University of California Irvine professors who have
professional knowledge of non -toxic vs. toxic products be invited to make a presentation either before, or
in conjunction with the first staff follow-up report.
Councilmember Peterson stated support for taking action on the item tonight, explaining that there will be
reports and opportunities to look at other details in the future.
A motion was made by O'Connell, second Hardy to Direct Public Works to perform an organic pesticide
pilot project in Central Park West for a one year duration; provide updates to the City Council every three
months; provide recommendations for updating the Integrated Pest Management Program utilizing the
results of the pilot project; consult with the City of Irvine before selecting a pesticide product; invite
pesticide experts to present information during a regular City Council meeting, and, consider
opportunities to expand the project.
Council/PFA Regular Minutes
May 1, 2017
Page 14 of 15
The motion carried by the following vote:
AYES: O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson
NOES: None
COUNCILMEMBER COMMENTS (Not Agendized)
Councilmember Semeta reported attending the Association of California Cities - Orange County (ACC-
OC) Pension Committee meeting to address pension reform. Councilmember Semeta commented on
positive changes and experiences in the business community that have been recently reported to her
and thanked staff for their continuing efforts in providing exemplary service.
Councilmember O'Connell stated agreement.with Councilmember Semeta's statement regarding positive
changes and experiences in the business-c'hiinunity in dealing with City staff. Councilmember
O'Connell reported attending a pre -showing of Promise in Los Angeles, the Huntington Beach Council on
Aging Spring Ahead event, the 10th Annual Factory Five Huntington Beach Cruise -in on Main Street, the
Taste of Huntington Beach, and the 30th Annual Economic Conference.
Councilmember Peterson sadly announced the death of Barry Williams, and expressed condolences to
his family. He described Mr. Williams as a huge voice for the City of Huntington Beach for many years
with not only the 4th of July Committee, but many other committees and events.
Mayor Pro Tern Posey reported attending Vector Control Advisory Board and Board of Trustees
meetings, and the discussion that Huntington Beach is one of nine high -risk cities for both West Nile and
Zika viruses with upcoming meetings to present Vector Control's actions, and the Association of
California Cities - Orange County (ACC-OC) Legislative Affairs Committee meeting where 16 or 17
legislative items were reviewed.
Councilmember Hardy thanked the third graders at Peterson Elementary School for inviting her to speak,
and she congratulated the Academic World Quest Team from Marina High School who won First Place in
Orange County which allowed them to compete nationally in Washington, DC where they came in
seventh.
Councilmember Brenden stated his appreciation to the Community Development staff for their hard work
and excellent service in serving the business community. He reported attending the Celebration of Life
for Gil Coerper, former Mayor and Council Member, the Annual Boy Scout Eagle Recognition Dinner
where Russ Paxson, who achieved his Eagle rank in 1939 in Troop 1 in Huntington Beach and is still
actively attending Troop 1 meetings, received National recognition, several Chamber of Commerce
ribbon cuttings for Implantasmile, Two Men and a Truck, and Pizza Press, an Orange County Business
Council (OCBC) Latino Educational Attainment Initiative Reception, and Taste of Huntington Beach.
Mayor Delgleize reported taking a tour of Alzheimer Family Center in Huntington Beach, and was a
Guest Reader at Oak View Preschool for Week of the Young Child.
ADJOURNMENT — At 9:30 PM to the next regularly scheduled meeting of the Huntington Beach City
Council/Public Financing Authority on Monday, May 15, 2017, at 4:00 PM in the Civic Center Council
Chambers, 2000 Main Street, Huntington Beach, California.
Council/PFA Regular Minutes
May 1, 2017
Page 15 of 15
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City Ueh and ex-officio Clerk of the City
Council of the City of Huntington Beach
and Secretary of the Public Financing Authority
of the City of Huntington Beach, California
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City Clerk -Secretary