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HomeMy WebLinkAbout2020.06.09 - Minutes - Special Meeting CITY OF DIAMOND BAR MINUTES OF THE CITY COUNCIL SPECIAL MEETING JUNE 9, 2020 CALL TO ORDER: Mayor Tye called the Special City Council meeting to order at 6:45 p.m. Mayor Tye stated that consistent with COVID-19 regulations, all Council Members and staff are participating via teleconference and there is no physical location for public attendance. The Public has been invited to join the meeting online or by phone at the numbers printed on the agenda. PLEDGE OF ALLEGIANCE: Mayor Tye led the Pledge of Allegiance. ROLL CALL: Council Members Andrew Chou, Ruth Low, Jennifer "Fred" Mahlke, Mayor Pro Tem Nancy Lyons, and Mayor Steve Tye Staff participating telephonically: Dan Fox, City Manager; Ryan McLean, Assistant City Manager; Anthony Santos, Assistant to the City Manager; Dave DeBerry, City � Attorney; Greg Gubman, Community Development Director; Dianna Honeywell, Finance Director; Dannette Allen, Management Analyst; David Liu, Director of Public Works; Alfredo Estevez, Information Systems Analyst; Ken Desforges, IS Director; Marsha Roa, Public Information Manager; Cecilia Arellano, Public Information Coordinator; JR Ybarra, Media Specialist; and, Kristina Santana, City Clerk APPROVAL OF AGENDA: As presented. 1. CITY MANAGER REPORTS AND RECOMMENDATIONS: None 2. PUBLIC COMMENTS: Brian Chen requested that the City address the issue of police militarization by changing priorities within the City's budget. 3. PUBLIC HEARING: 3.1 AMENDMENTS TO THE FISCAL YEAR (FY) 2019/2020 AND 2020/2021 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAMS PURSUANT TO THE CORONAVIRUS AID, RELIEF AND ECONOMIC SECURITY (CARES) ACT TO FACILITATE THE ESTABLISHMENT OF THE BUSINESS RECOVERY PROGRAM AND FUNDING SOURGE THERETO. CDD/Gubman stated that based on Councils' advice to staff at the June 2na meeting, staff prepared a policy for the COVID-19 Business Recovery Program. As directed, the program will provide $5,000 grants to small businesses that qualify by meeting the eligibility requirements in the policy. JUNE 9, 2020 PAGE 2 CITY COUNCIL To fund the program, staff is proposing to repurpose $177,855 from FY 2020/2021 CDBG program that was intended to be used for the Area 2 Curb Ramps, an unallocated balance of $6,715 from a Home Improvement Loan program repayment and through the CARES Act . $137,962 to fund COVID-19 relief efforts, for a total of $322,532 which would fund up to 64 grants at $5,000 each. M/Tye asked if business owners could use these funds for rent and CDD/Gubman responded that they can and stated he would detail the different kinds of allowed expenses later in the presentation. CDD/Gubman said there was a question at the June 2nd City Council meeting about franchises and the response is that an independent franchise owner with one location in Diamond Bar and no other franchises within or outside of Diamond Bar would be eligible for this grant. CDD/Gubman provided examples of what the grant funding can be used for with the business owner providing documentation including, rent and utilities, payroll, personal protective equipment (PPE) and equipment to accommodate physical distancing in order to allow customers and employees to conduct business. Staff anticipates a very good response to the grant program and to manage the large number of applications and to make the selection process as fair as possible, a lottery system will be instituted as directed by the City Council. An application window would run from 9:00 a.m. on Monday, June ZZnd and go for 48 hours concluding at 8:59:59 a.m. on Wednesday, June 24t". All applications received during that intake window would be randomly drawn and listed in their order of selection. Given the funding limitations for this first round of grants, the first 64 of the randomly drawn applications would be selected and once verified, would pass the initial screening process and move on to the grant approval phase by providing the additional required documentation in order for the City to issue the grants. M/Tye wanted to know if the businesses that got blown out of the first 64 would be numbered consecutively with number 65, 66, etc. and be moved into line. CDD/Gubman responded yes, and as businesses are moved off of the list, those businesses will be moved onto the list. Once 64 recipients have been identified, the remaining applicants will be maintained on an eligibility list in the order drawn and be able to receive grants if they qualify, in future lottery rounds. CDD/Gubman proposed advertising through the City's website, social media, email subscription lists and at the June 16th City Council meeting the week of June 15t" through the 22�d. The 48-hour application window would begin at 9:00 a.m. on Monday, June ZZ�d and run through Wednesday, June 24t" after which the initial screening process would JUNE 9, 2020 PAGE 3 CITY COUNCIL begin with notification of lottery winners on Thursday, June 25t" and staff � would proceed to work with the business owners through the verification process to qualify for the grant payment. C/Chou asked if the City was asking business owners to submit supporting documents at the time they register for the lottery and CDD/Gubman responded no, that staff will ask them to submit a very simple screening intake form and staff will determine whether they meet the very minimum requirements. For those selected, they will then go through the vetting process to ensure the initial screening information is accurate at which time they will be asked to submit documentation. C/Mahlke asked if the business owner would be required to submit additional information once they are through the vetting process and if so, could we let them know what that is in advance of the vetting process. CDD/Gubman said yes, definitely. Staff will have the intake application and the full application posted on the website so that all of that information is available up front. All details of what will need to be submitted are included in the Program Policy that would be the basis for the application forms. MPT/Lyons said she loves the program and wanted to be sure staff was prepared to answer questions in a timely fashion that applicants might have at the time of application so they could get their applications in the time window. CDD/Gubman said that staff intends to promote the program the week prior to the application window opening and dedicated phone and email contact information will be provided so that questions can be answered prior to opening the application window. MPT/Lyons said that since the cutoff is scheduled for 9:00 a.m. she is concerned that the business owner might be putting together their questions the night before and staff won't see those questions prior to the cutoff time. She suggested it might be better to have the program start and end at noon. CDD/Gubman said that could be done if that is the pleasure of the City Council. Because it is going to be a lottery system, instead of first come, first serve, business owners will have the full 48- hours to ask questions and complete their applications. M/Tye said it made sense to him to change the hours and that the City needs to be as business-friendly as possible and agrees the City should be sensitive to the business owner's work hours as well. C/Low said she agreed that it would be friendlier to the business community if the program ran from 12:00 noon to 12:00 noon. She asked if the business community would be able to monitor the progress of the program by visiting the website as to how many have applied and how many are on the list beyond the 64, etc. as well as, when funds are getting disbursed. JUNE 9, 2020 PAGE 4 CITY COUNCIL CDD/Gubman said that staff would notify all of the applicants of their lottery number so that if someone has the number 65 they will know that they are first up for the next round of consideration. M/Tye said he would recommend that the begin time be left at 9:00 a.m. on Monday and the end time be at noon on Wednesday. C/Chou said that sounded good to him. C/Chou felt that two of the eligibility items might cause a conflict — one being that the business must have been open for at least one year and that must also have a valid business license. He believes that the program needs to be more specific by saying "one year from the date they received their permit from the City". M/Tye said he did not read it that way. He thought that if they were open for business for a year that prevents anybody running out and trying to open a business tomorrow to take advantage of this program, but they need a Business License from the City of Diamond Bar. He thinks there might be a business that has been open for five years that does not have a Business License and that they would obtain a license in order to qualify and does not see the lack of a license precluding them. C/Chou said that is the way he read it and believes that if the City is giving the business owner money there will be businesses that do not have a business license and why are we giving them City money. M/Tye said they could get a business license anytime. It can be updated just like a car license. There is no drop dead date for business licenses. MPT/Lyons wanted to know how long it takes to get a business license. CDD/Gubman responded that what he intended to point out was that regardless of whether they have a business license, the City can easily verify how long they have been in business and can obtain a business license as long as it is a business that would have been given a business license, it can be granted over the counter. It is a very straightforward process. C/Low stated that if somebody does not have a business license, even though they are operating unlawfully, as long as they make it lawful they are then available for the grant. M/Tye said a business permit might be a better term. He never saw the lack of a business license as meaning they were operating unlawfully or illegally. CDD/Gubman confirmed that a business license is merely a registration and record keeping documentation of the business to provide the City a means of verifying that they are allowed under the zoning to operate where they are proposing to do so. There is no business tax that is paid as part of that license. JUNE 9, 2020 PAGE 5 CITY COUNCIL M/Tye said that, if there is someone who has never applied for a business � license and refuses to do so, they will not qualify for the grant. CDD/Gubman affirmed M/Tye's statement. M/Tye opened the Public Hearing. There being no one who wished to speak on this item, M/Tye closed the Public Hearing. MPT/Lyons moved, C/Low seconded, to adopt Resolution No. 2020-16: to amend the Fiscal Year 2019/2020 and 2020/2021 Community Development Block Grant (CDBG) Program pursuant to the Coronavirus Aid, Relief and Economic Security (CARES) Act allocating Community Development Block Grant-Coronavirus (CDBG-CV) Programs Funds. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chou, Low, Mahlke, MPT/Lyons, M/Tye NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None C/Low moved, C/Chou seconded, to approve the Business Recovery Program Policy as presented in attachment 2 of the staff report. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chou, Low, Mahlke, MPT/Lyons, M/Tye NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 4. COUNCIL SUB-COMMITTEE REPORTS AND MEETING ATTENDANCE REPORTS/COUNCIL MEMBER COMMENTS: C/Chou thanked staff for their work in putting together this program in a short week and believes the business community will definitely benefit from it. This is much needed and will be much appreciated and he cannot wait for the rollout. Given the recent protest and funeral service for George Floyd, he felt it appropriate for the Council to consider a couple of actions to act and to lead. He previously provided information to his colleagues and tonight is formally requesting their support in joining Supervisor Janice Hahn and Supervisor Mark Ridley-Thomas in passing a resolution to urge the LA Sheriff's Department to adopt eight policies outlined in a motion he previously submitted and has a second motion to ask his colleagues to consider formally support and request staff to draft a resolution to support the eight policies. CA/DeBerry asked if C/Chou was seeking action tonight or asking that this be considered on a future agenda. C/Chou said he was asking for Council's support to have staff draft the resolution for approval at the next Council meeting. JUNE 9, 2020 PAGE 6 CITY COUNCIL CA/DeBerry responded that since there is a strict requirement on items that can be discussed as special agenda items, he would suggest that this matter be brought up at the June 16t" meeting. C/Chou said he would do that. C/Low thanked staff for their work on tonight's agenda to reallocate the CDBG grant funds and last week's agenda to provide COVID-19 relief to local businesses. She is excited that the City is putting financial resources into this project to help local businesses that have been hit hard by the virus. The stay-at- home orders came forth in March and have gone on for about 10 weeks while the businesses have done all they can to hang on struggling to pay their employees, rent and expenses, and most importantly, keeping their spirits up. She is personally humbled by their perseverance and wants to encourage all residents to continue supporting these local businesses. Today she had lunch at Saigon Noodle House which is open for sit down dining and it was really a treat. Since last Tuesday's meeting on June 2�d, so many community members in Diamond Bar and surrounding areas came and demonstrated to show their outrage over police brutality and racism. As a leader of this community, she supports these peaceful protesters and is also grieved by the mistreatment that so many have unjustly suffered. However, she also believes that the law enforcement community, as sworn officers, are integral members of this community and society, and as a City leader, she supports them as well. She deeply understands the difficulty of their jobs, personal risks and sacrifices they take every day just by simply doing their jobs. She encouraged everyone to respond as one community and not one group versus another. As a member of the community, no matter which side one is on, we all came into the world the same way and all breathe the same air and all believe the same way. She supports listening and communication among all parties to learn from each other and recognize one community and one humanity. She wishes everyone peace. C/Mahlke says she feels that sometimes these are repeats and if we could see each other we would smile and look at each other and think yeah, same thing. She thanked staff for their work on tonight's public hearing item and she is super excited that these grants will benefit well beyond these 64 businesses and impact families that are affiliated with those business as well as the public. She is really proud and excited about the work staff has done to make this happen. As a community member and as a community leader she continues to be in awe of the changes that can happen when communities and people work together. She is a dedicated educator in the field of public speaking and advocacy and she absolutely agrees with C/Low that peaceful and lawful protests can create dialogues that lead to significant policy changes, especially in the systemic underlying issues that have long been a part of this country's history. She is hoping that what is currently being seen and witnessed in response to the recent killings of George Floyd, Breonna Taylor, Ahmaud Arbery and athers is what is going to create significant change in policy. And she is so proud that Diamond Bar has had a voice in the conversation, even if it can be a difficult and challenging conversation to have. We must keep talking. Constructive argumentation at its heart is not about who is perceived to be right or wrong — there is no focus on winning, and it is not about "them" versus "us", but instead, JUNE 9, 2020 PAGE 7 CITY COUNCIL the primary goal is always collaborative problem solving. With collaborative problem solving, we all learn, we all listen, we all grow, and then eventually, we all reach a mutual goal together. And that goal will be better than it ever could have been had we done it alone. She encouraged Diamond Bar to keep having tough conversations and work toward collaborative problem solving. Focus on learning, listening and growing together. We have said it several times with COVID-19 and with the current atmosphere, we need to continue to reiterate that we are stronger together in all of this. MPT/Lyons yielded to her very eloquent Council colleagues, all of whom spoke really well. She added her thanks to CDD/Gubman and his staff as well as, CM/Fox for putting the Business Recovery Program together in just a week. It is a great and well thought out program, and soon Diamond Bar will have 64 businesses that have $5,000 more dollars of hope and encouragement. M/Tye said it was a mere 168 hours ago last Tuesday when the Council was talking about this and gave staff direction to have this ready for tonight's special meeting and he appreciates everybody's efforts including Council's efforts to make the time to be here and mostly staff efforts toward an outstanding job and terrific effort in putting this together, thinking through all issues, and tweaking it as things are added and deleted. He is just so grateful for all of the hard work by staff. He was very, very proud of the community of Diamond Bar as well as, the Sheriff's Department. It cannot be easy balancing public safety, which is what they are paid for, with the right to protest peacefully. It was an unbelievable gathering last Thursday and he felt the Sheriff's did an exemplary job and he cannot say enough about how much he appreciates the Sheriff's Department and what they do day in and day out and night in and night out for this community. Again, terrific work by staff for getting this done. Thank you to everyone for understanding that he was a little late and he appreciates everyone's attention to detail and answers to questions and making sure that we have all concerns ironed out. He asked everyone to remember to choose joy! ADJOURNMENT: With no further business to conduct, M/Tye adjourned the Special City Council Meeting at 7:28 p.m. Respectfully submitted: l�� Kristina Santana, City Clerk The 6Fegoing ' es are hereby approved this 7th day of July, 2020. � ` Steve Tye, M or