HomeMy WebLinkAbout2019-02-19Minutes
City Council/Public Financing Authority
City of Huntington Beach
Tuesday, February 19, 2019
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 portions of this meeting
is on file in the Office of the City Clerk, and archived at
www.surfcity-hb.oralnovernment/agendas/
4:00 PM - COUNCIL CHAMBERS
CALL TO ORDER — 4:02 PM
ROLL CALL
Present: Brendan, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
Absent: None
ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution)
Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental
communications received by her office following distribution of the Council Agenda packet:
Study Session
Item No. 1. (19-124)
A PowerPoint communication received from Chief Financial Officer, Gilbert A. Garcia, entitled FY2018-
19 Mid -Year Budget Update
PUBLIC COMMENTS PERTAINING TO STUDY SESSION / CLOSED SESSION ITEMS
(3 Minute Time Limit) — None
STUDY SESSION
1. 19-124 Comprehensive Annual Financial Report (CAFR) / Mid -Year Budget Update
City Manager Wilson introduced Chief Financial Officer (CFO) Gilbert Garcia, who also introduced
Jennifer Farr of Davis Farr Certified Public Accountants, and Finance Manager Dahle Bulosan to jointly
present a PowerPoint communication entitled: FY 2018119 Mid -Year Budget Update with slides titled:
Overview, FY 2017118 Financial Results Audit and Year -End Overview, FY 2017118 Audit Results, Audit
Results, Internal Controls, Areas of Audit Focus in FY 17118, Upcoming Auditing Standards, FY 2017118
Performance (Audited), FY 2017118 General Fund (Audited), General Fund Balance FY 2017118 Audited
(In Thousands), FY 2017118 Budget Recap, FY 2018119 General Fund Budget Overview, FY 2018119
Budget Update, FY 2019120 Budget Development, FY 2019120 Challenges, Economic Indicators, FY
Council/PFA Regular Minutes
February 19, 2019
Page 2 of 10
2019120 Budget Development, Pensions and Unfunded Liabilities, Projected Increases to City CaIPERS
Costs, Net Pension Liabilities Overview, Long Term Financial Planning, Five -Year Financial Plan -
General Fund (in thousands), FY 2019120 Budget, FY 2019120 Proposed Budget Calendar, and
Questions.
Councilmember Posey and Ms. Farr discussed the accounting changes for Capital and Operating
Leases.
Councilmember Delgleize and Ms. Farr discussed proactive actions the City may consider prior to
standardization of future reporting models.
Councilmember Brenden and CFO Garcia discussed the July 1 fiscal start transition, as well as the
impacts and importance of keeping the budget balanced. Their discussion included what comprised the
$2.7M one-time funds, the $182.1M recurring revenue, one percent (1%) expense reduction, and trends
for eliminating liabilities which depend on CalPERS making its goals or not.
Councilmember Posey and CFO Garcia discussed examples of the one percent (1%) cut in the operating
budget, and that the City considers its ideal funding obligation for CalPERS as one hundred percent
(100%).
Councilmember Hardy stated her support for putting at least $1 M of the one-time $1.9M surplus into the
Section 115 Trust.
RECESSED TO CLOSED SESSION — 4:40 PM
A motion was made by Posey, second Hardy to recess to Closed Session for Items 2 — 9. With no
objections, the motion carried.
CLOSED SESSION
2. 19-202 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:
Escontrias (Pilar) and Wilde (Rex) v. County of Orange, et al.; USDC Case No.: 8:18-
cv-1567 DOC (AFMx).
3. 19-203 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:
Decock (Eugene and Sandra) v. City of Huntington Beach; OCSC Case No. 30-2017-
00956312.
4. 19-204 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:
AKM Consulting Engineers, Inc. v. City of Huntington Beach; OCSC Case No.: 30-
2017-00902740.
5. 19-209 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).
Council/PFA Regular Minutes
February 19, 2019
Page 3 of 10
6. 19-210 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:
Calif. Dept. of Housing and Community Development v. City of Huntington Beach,
et al.; OCSC Case No.: 30-2019-01045493.
19-211 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:
City of Huntington Beach v. State of California, et al. (SB35); OCSC Case No. 30•
2019-01044946.
8. 19-212 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:
City of Huntington Beach v. State of California, et al. (SB 166); OCSC Case No. 30-
2019-01048692-CU-W M-CJC.
9. 19-213 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:
Kennedy Commission, et al. v. City of Huntington Beach, et al.; OCSC Case No. 30-
2015-00801675.
6:00 PM - COUNCIL CHAMBERS
RECONVENED CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING — 6:01 PM
ROLL CALL
Present: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
Absent: None
PLEDGE OF ALLEGIANCE — Led by Councilmember Delgleize
INVOCATION
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.
10. 18-638 Marcy Tieger of the Greater Huntington Beach Interfaith Council
CLOSED SESSION REPORT BY CITY ATTORNEY — None
AWARDS AND PRESENTATIONS
11. 19-176 Mayor Petersen called on N in4nrin. Alberty tepresent the Adoptable Pet of the
Month.
12. 19-177 Mayor Peterson called on Public Works Director Travis Hopkins to present the
Mayor's Award to Electrician Corey Landrey
Council/PFA Regular Minutes
February 19, 2019
Page 4 of 10
Public Works Director Travis Hopkins introduced Mr. Landrey, who joined the City as a Building Division
Electrician in 2007. Director Hopkins described Mr. Landrey as courteous, professional, dedicated, and
performs to the highest standards. He further described Mr. Landrey as instrumental in keeping the
City's electrical equipment and systems operating in all departments and facilities, and in many special
projects such as the recent STEM effort to implement a battery system which saves the City about
$80,000 each year; replacing the aging and failing transformers serving Central Park and Central Library;
and installing the solar panel projects at City Hall, Central Library and at the Corporate Yard.
ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution)
Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental
communications received by her office following distribution of the Council Agenda packet:
Administrative Item
Item No. 23 (19-208)
A PowerPoint communication received from Director of Human Resources, Michele Warren, entitled
Huntington Beach Police Officers' Association Tentative Agreement and Proposed MOU.
PUBLIC COMMENTS (3 Minute Time Limit)
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.
Tom McKerr, a resident of Huntington Beach, was called to speak and voiced concerns about automated
watering in parks during the rainy season, and recommended that the City use rubberized asphalt on
arterial streets. (00:50:23)
Garry Troxell was called to speak and shared his frustration with trying to obtain information from the
Police Department on a recent Police incident, and expressed concerns regarding transparency,
honesty, morality and ethics within the organization. (00:51:28)
Sgt. Nelida Mendoza, resident of Santa Ana, Public Relations Officer, United Mexican American
Veterans Association (UMAVA), was called to speak and explained the purpose and services offered by
UMAVA, and asked for City Council's assistance in receiving approval for participation in this year's
Huntington Beach 4th of July Parade. Mayor Peterson asked Sgt. Mendoza to complete a blue card for
staff follow-up. (00:53:25)
Sgt. Ralph Lopez Colin, Commanding Officer, United Mexican American Veterans Association (UMAVA)
was called to speak and shared UMAVA's interest in expressing their patriotism through participating in
the Huntington Beach 411 of July Parade. (00:56:36)
Sgt. Salvador Lujan, Member, United Mexican American Veterans Association (UMAVA), was called to
speak and shared UMAVA's interest in expressing their patriotism through participating in the Huntington
Beach 411 of July Parade. (00:59:56)
Yvonne Lujan Cooper, a resident of Huntington Beach since 1963, was called to speak and shared her
experiences and concerns regarding the speeding traffic on Harding Lane near Joseph R. Perry
Elementary School, and asked for some proactive efforts by the Police Department to address the issue.
Mayor Peterson asked Ms. Cooper to complete a blue card for follow-up. (01:03:49)
Council/PFA Regular Minutes
February 19, 2019
Page 5 of 10
Tony Backlot, United Mexican American Veterans Association (UMAVA) Member, was called to speak
and expressed his appreciation to all veterans of all wars. (01:05:51)
Kathryn Levassiur, a resident of Huntington Beach since 1999, was called to speak and shared her
opinions about the potential sustainable revenue from Short -Term Rentals, and encouraged the City to
implement processes to regulate and tax this service which many residents are already providing.
(01:06:50)
Eva Weisz was called to speak and stated her opposition to Administrative Item No. 22 (19-198)
regarding Review of the City Charter. (01:08:41)
Ray Raines, a 53-year resident of Huntington Beach, was called to speak and expressed his opposition
to Administrative Item No. 22 (19-198) regarding Review of the City Charter. (01:10:51)
COUNCIL COMMITTEE - APPOINTMENTS - LIAISON REPORTS, AB 1234 REPORTING, AND
OPENNESS IN NEGOTIATIONS DISCLOSURES
Councilmember Hardy announced her appointment of Kimberly Thienes to the Citizen's Infrastructure
Advisory Board (CIAB).
Councilmember Brenden shared some statistics from the last Council on Aging meeting as evidence of
the tremendous difference the Senior Center and volunteers make. He also announced he met with
representatives of the Huntington Beach Police Officers' Association (HBPOA) and of the Huntington
Beach Firefighters' Association (HBFA).
Councilmember Carr announced her appointment of Mike Elliott to the Citizen's Infrastructure Advisory
Board (CIAB). She also announced meeting with representatives of the Huntington Beach Police
Officers' Association (POA). As Liaison for the Youth Board, Councilmember Carr reported attending a
meeting to plan the Youth in Government Day, which is scheduled for March 12, 2019.
Councilmember Posey announced his appointment of Corvi Urling to the Investment Advisory Board
(AB). Councilmember Posey reported attending a meeting of the Orange County Parks Commission and
provided an update on the Mile Square Park plans. He also provided an update from recent meetings of
the Orange County Taxpayers' Association and the Orange County Vector Control Board.
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CITY CLERK'S REPORT
13. 19-188 Presentation on the Safe and Sane Fireworks Stand Application and Lottery
Process for 2019
City Clerk Robin Estanislau presented a PowerPoint communication entitled: Safe and Sane Fireworks
Stand Application and Lottery Process 2019 with slides titled: 2019 Fireworks Stand Application/Lottery
Process (7) and Questions.
CONSENT CALENDAR
Council/PFA Regular Minutes
February 19, 2019
Page 6 of 10
Councilmember Brenden pulled Consent Calendar Item #17 (19-169) regarding the Lease Agreement
between the City and Primo Nosh Chefs LLC.
14. 19-172 Approved and Adopted Minutes
A motion was made by Hardy, second Posey to approve and adopt the City Council/Public Financing
Authority regular meeting minutes dated February 4, 2019, as written and on file in the Office of the City
Clerk.
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
15. 19-096 Approved and authorized the execution of Amendment No. 2 to the Attachment
Agreement by and between the City and Southern California Gas Company for
Advanced Meter Facilities on City Owned Streetlights
A motion was made by Hardy, second Posey to approve and authorize the City Manager to execute
"Amendment No. 2 to Attachment Agreement By and Between the City of Huntington Beach, California
and Southern California Gas Company."
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
16. 19-130 Approved and authorized execution of Amendment No. 4 to Agreement with Biggs
Cardosa Associates, Inc. (BCA) for bridge design services in the amount of
$446,372, for a total contract amount not to exceed $2,813,797 and extending the
contract term three (3) years
A motion was made by Hardy, second Posey to approve and authorize the Mayor and City Clerk to
execute "Amendment No. 4 to Agreement between the City of Huntington Beach and Biggs Cardosa
Associates, Inc. for Bridge Design Services" in the amount of $446,372 and extending the contract term
three (3) years.
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
17. 19-169 Approved and authorized execution of a Lease Agreement between the City of
Huntington Beach and Primo Nosh Chefs LLC, for operation of food concessions at
the Huntington Beach Sports Complex
Councilmember Brenden pulled this item to confirm with staff that Page 2, Paragraph C of the Lease,
regarding the Percentage Rent, is an alternative, not in addition to, the base rent.
Council/PFA Regular Minutes
February 19, 2019
Page 7 of 10
A motion was made by Brenden, second Posey to approve the "Lease Agreement between the City of
Huntington Beach and Primo Nosh Chefs LLC, For Operation of a Food Concession at the Huntington
Beach Sport Complex;" and, authorize City Manager to execute the Agreement and other related
documents.
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
18. 19-200 Adopted Ordinance No. 4163 amending Huntington Beach Municipal Code Chapter
5.56 related to Alarm Systems both residential and commercial, burglary alarms
Approved for introduction February 4, 2019 — Vote: 7-0
A motion was made by Hardy, second Posey to adopt Ordinance No. 4163, "An Ordinance of the City of
Huntington Beach Repealing Chapter 5.56 of the Huntington Beach Municipal Code Relating to Burglar
Alarms and Adding Back a Revised Chapter 5.56 Relating to the Regulation of Burglar Alarms."
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
19. 19-118 Adopted Ordinance No. 4166 expediting the Permit Process for Electric Vehicle (EV)
Charging Stations on Private Property
Approved for introduction January 22, 2019 — Vote: 6-0-1 (Delgleize out of room)
and Continued from February 4, 2019
A motion was made by Hardy, second Posey to adopt Ordinance No. 4166, "An Ordinance of the City of
Huntington Beach Adding Chapter 17.62 to the Huntington Beach Municipal Code Regarding Expedited
Electric Vehicle Charging Station Permitting."
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
ADMINISTRATIVE ITEMS
20. 19-167 Fiscal Year 2018/19 Mid -Year Budget Adjustments
City Manager Wilson introduced this item by stating that the Fiscal Year 2018/19 Budget presentation
was made previously during the Study Session, and this item is to approve the mid -year budget
adjustments requested by certain departments to ensure sufficient appropriations for essential programs.
A motion was made by Posey, second Delgleize to approve mid -year budget adjustments to the FY
2018/19 Revised Budget in the Funds and by the amounts contained in Attachment 1.
The motion carried by the following vote:
Council/PFA Regular Minutes
February 19, 2019
Page 8 of 10
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
21. 19-173 Adopted Resolution No. 2019-07 increasing fees for burglar alarm businesses and
alarm system subscribers collected by the Police Department as established
pursuant to Resolution No. 6656, and incorporating the increased fees into the
Consolidated Comprehensive Citywide Master Fee and Charges Schedule as
established by Resolution No. 2016-59, and amended by Resolution Nos. 2017-46,
2018-01, 2018-29, 2018-48, and 2018-55 (Supplemental Fee Resolution No. 8) —
Continued from February 4, 2019.
City Manager Wilson introduced Police Chief Handy who verbally confirmed the changes to Resolution
No. 2019-07 which Councilmembers had previously requested related to clarifying the fee discount for
senior and low-income citizens.
A motion was made by Posey, second Semeta to adopt Resolution No. 2019-07, "A Resolution of the
City Council of the City of Huntington Beach Increasing Fees for Burglar Alarm Businesses and Alarm
System Subscribers Collected by the Police Department as Established Pursuant to Resolution No.
6656, and Incorporating the Increased Fees Into the Consolidated Comprehensive Citywide Master Fee
and Charges Schedule as Established by Resolution No. 2016-59, and Amended by Resolution Nos.
2017-46, 2018-01, 2018-29, 2018-48, and 2018-55 (Supplemental Fee Resolution No. 8)."
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
22. 19-198 Approved City Charter Review Option #2
City Manager Wilson introduced this item by providing a brief background and explaining two options for
Council consideration. City Manager Wilson further described a timeline for the process expected to take
three or four months, at which time any recommended changes would be brought back to Council for
consideration and possible action for placement on a ballot at a future date.
Mayor Peterson thanked staff for including the option of an Ad Hoc Committee, as suggested by
Councilmember Carr at the last meeting, and stated his support for Option 2.
Councilmember Posey stated his support of Option 2, in light of the potential cost of Option 1, as long as
he is one of the Councilmembers on the Ad Hoc Committee.
Mayor Pro Tern Semeta stated her support of Option 2, and voiced her willingness to be a member of the
Ad Hoc Committee if appointed.
Councilmember Carr stated her support for Option 2, nominated Councilmember Hardy as a member of
the Ad Hoc Committee since she had served during the previous Charter Review in 2009, and voiced her
willingness to be a member of the Ad Hoc Committee if appointed.
Councilmember Hardy stated her support for Option 2, and voiced her willingness to be a member of this
Ad Hoc Committee if appointed.
Council/PFA Regular Minutes
February 19, 2019
Page 9 of 10
Councilmember Brenden stated his support for Option 2, and stated his willingness to be a member of
this Ad Hoc Committee if appointed as he too was involved in the 2009 Charter Review process.
Councilmember Delgleize stated her support for Option 2 as the best way to proceed, knowing that the
Ad Hoc Committee will recommend additional options if necessary.
A motion was made by Peterson, second Posey to recommend that the City Council direct the City
Manager to:
2. Convene an Ad Hoc Committee comprised of three Council Members (Mayor Peterson,
Councilmembers Posey and Hardy), the City Manager, and the City Attorney to analyze and
determine if any changes are needed to the City Charter.
The motion carried by the following vote:
AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy
NOES: None
23. 19-208 Approval of Tentative Agreement and Introduction of Proposed Memorandum of
Understanding between the Huntington Beach Police Officers' Association
(HBPOA) and the City of Huntington Beach for October 1, 2017, through December
31, 2019
City Manager Wilson introduced Human Resource Director Michele Warren who presented a PowerPoint
communication entitled: Huntington Beach Police Officers' Association Tentative Agreement and
Proposed MOU with slides titled: HBPOA - Tentative Agreement (2).
Mayor Peterson stated he will not support this item because every bargaining unit had agreed to minimal
increases during these tight financial times. In his opinion this doesn't mean the increases are not
deserved, but it is unfair to every other bargaining unit to approve increases that are at least double what
the other units asked for and received.
A motion was made by Posey, second Carr to approve the "Tentative Agreement Between The City of
Huntington Beach and The Huntington Beach Police Officers' Association January 24. 2019" and the
introduction of the proposed "Memorandum of Understanding between the Huntington Beach Police
Officers' Association and the City of Huntington Beach" for the period October 1, 2017, through
December 31. 2019.
The motion carried by the following vote:
AYES: Semeta, Brenden, Carr, Delgleize, Hardy, and Posey
NOES: Peterson
COUNCILMEMBER COMMENTS (Not Agendized)
Councilmember Posey reported attending the recent Strategic Planning Retreat. At the end of the
meeting during, Councilmember Comments, Councilmember Posey announced that he also met with
members of the Huntington Beach Police Officers' Association (HBPOA).
Council/PFA Regular Minutes
February 19, 2019
Page 10 of 10
Councilmember Brenden reported attending the "Revolution" at Central Park, OCTax 2019 Financial
State of the County: An In -Depth Look at the District Attorney's Office, Cities in the Desert event at
Chapman University, the 38th Annual Tat Festival Opening Ceremonies in Costa Mesa and presented a
Proclamation on behalf of the Mayor to the Union of Vietnamese Students, the Orange County Business
Council (OCBC) 2019 Annual Dinner and Installation of Board of Directors, speaking to a group of
residents at Kathy May's Restaurant about homelessness and jet noise issues, and attending a Gilbert
Island Neighborhood Watch meeting.
Councilmember Carr stated her appreciation for the Strategic Planning Retreat, and reported attending
the Orange County Business Council (OCBC) 2019 Annual Dinner and Installation of Board of Directors,
Orange County United Way Homeless 101 presentation, OCTax 2019 Financial State of the County: An
In -Depth Look at the District Attorney's Office, and participating in Concordia University's Women in
Media panel discussion.
Mayor Pro Tem Semeta reported she has been recuperating from detached retina surgery and
encouraged everyone to pay attention to any unusual visual effects and to immediately see their eye
doctor.
Mayor Peterson reported meeting with 5th Grade Cub Scouts to help them meet their Badge
requirements, a group of Chinese student visitors, and attending Pack 290's Arrow of Light Ceremony
which is a transition from a pack to troop in the Scout program.
ADJOURNMENT — At 7:08 PM to the next regularly scheduled meeting of the Huntington Beach City
Council/Public Financing Authority on Tuesday, March 4, 2019, at 4:00 PM in the Civic Center Council
Chambers, 2000 Main Street, Huntington Beach, California.
INTERNET ACCESS TO CITY COUNCIL/PUBLIC FINANCING AUTHORITY AGENDA AND
STAFF REPORT MATERIAL IS AVAILABLE PRIOR TO CITY COUNCIL MEETINGS AT
http://www,huntingtonbeachca.gov
ATTEST:
City Clerk 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
City Clerk -Secretary Mayor -Chair