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HomeMy WebLinkAbout8/1/2006 Minutes - Regular Meeting1 1 1 CITY OF DIAMOND BAR CITY COUNCIL STUDY SESSION AUGUST 1, 2006 STUDY SESSION: Mayor Herrera called the Study Session to order at 5:37 p.m. in Room CC -8 of the South Coast Air Quality Management District/Government Center, 21865 Copley Dr., Diamond Bar, CA. Present: Council Members Chang, Tanaka, Tye, Mayor Pro Tem Zirbes and Mayor Herrera. Also Present: James DeStefano, City Manager; David Doyle, Assistant City Manager; Michael Jenkins, City Attorney; David Liu, Public Works Director; Bob Rose, Community Services Director; Nancy Fong, Community Development Director; IKen Desforges, IS Director; Marsha Roa, Public Information Manager; Ryan McLean, Senior Management Analyst, Rick Yee, Senior Engineer, and Tornmye Cribbins, City Clerk. ► Discussion of CFD (Library) Ballot Measure ► Discussion of Proposed Low -Income Rebate Program 1) DISCUSSION OF CFD (LIBRARY) BALLOT MEASURE Brian Forbath, with Stradling Yocca Carlson & Rauth explained the two proposed resolutions. The purpose of tonight's public hearing is to allow residents and registered voters to discuss or comment on the proposed levy of special taxes and the necessity to incur bonded indebtedness within the proposed Community Facilities District (CFD) to pay for debt service to pay for the proposed library facilities. At the conclusion of the public hearing Council will be presented with two resolutions. The first resolution establishes CFD 2006-1 and approves the rate and method of apportionment of special taxes as set forth in the Resolution of Intention adopted by Council about a month ago. This resolution also acknowledges the filing of the facilities report that outlines the cost of the facilities and services. Additionally, the resolution calls for an election to be held on November 7 to be consolidated with the Countywide and Statewide elections on that day. The second resolution determines the necessity to incur bonded indebtedness on behalf of the CFD in order to finance the library facilities in the amount of $13.1 million. Both resolutions are legally required by the Mello -Roos Act to move forward with an election on the bond financing and eventually, if approved by the voters, a successful bond issuance. If the first two resolutions are adopted a third resolution formally requests the county to conduct a consolidated election. Mr. Forbath responded to MPT/Zirbes that the underwriting fee would most likely not exceed 1.5 or 2 percent of the bond issue. A reserve fund of about 10 percent would be set aside and the balance would be used for associated costs — JULY 18, 2006 PAGE 2 CC STUDY SESSION bond issuance and City administrative costs. The underwriter fee will be less than $2 million. In addition, the City may be able to obtain a Surety Bond to fund the reserves rather than the City's cash. At this point it is premature to determine whether or not the City would qualify for the Surety Bond. Chris Fischer with Muni -Financial responded to MPT/Zirbes that he assumed a very conservative 6.75% interest rate for purposes of analysis. In speaking with an underwriter today he determined that pricing has been in the range of mid 5 to 5.75 and 5.875 range so it is clearly well below the estimated interest rate assumed for analysis purposes. If the interest rate were to exceed the assumed 6.75% the proceeds of the bond would be decreased accordingly. If the rate was lower than 6.75% the City would have to make policy issues about the excess funds — either issue more bonds or issue the same amount and levy a smaller amount of tax. Mr. Forbath and Mr. Fischer responded to MPT/Zirbes that they could not predict what rates would do in the next four months. However, as Brian Forbath pointed out there has been a steady increase in rates over recent months. The 6.75 percentage rate is based on a blended rate. M/Herrera asked what percentage of votes would be needed to pass the measure on November 7. Mr. Forbath responded that any special tax approved by California voters requires a two-thirds majority of votes cast. Mr. Fischer explained that when Council adopted the Resolution of Intension it included adoption of a resolution that included "rate and method of apportionment," a technical document that spells out how the tax is calculated and apportioned to the properties within the boundaries of the proposed CFD. It is a very technical document. The CFD report provides the background. The introduction gives a background on what the Council has done to date. Section A) is a description of the facilities and services; Section B) is a description of the boundaries of the CFD; Section C) is the cost estimates; Section D) describes the rate and method of apportionment. Exhibit a) description of the boundaries including a map; Exhibit b) breaks down cost estimates based on communications with staff indicating a full estimated gross amount of the budget for operating the library and indicates that the special tax is proposed to partially fund the $500,000 of that budget; The facilities estimate is the best estimate of the cost to construct the library including furniture, fixtures and of the $15 million, $11 million is proposed to come from bond proceeds and $4 million from the City. To finance the $11 million in bond proceeds the actual bond issue amount is estimated to be $13.1 million. Exhibit c) is the rate and method of apportionment, the document that was included with the resolutions passed during the last JULY 18, 2006 PAGE 3 CC STUDY SESSION Council meeting. This document gives instructions on how to calculate the tax and apportion that tax to the various types of properties within the proposed boundaries of the CFD. The first section provides a definition of terms that are used in the document. Section b and c talks about how to classify the process and assign the taxes to the various classifications of parcels and spells out the rates that are also shown in the CFD report. MPT/Zirbes said there was a strong likelihood that the City would annex another 1700-1800 acres and up to an additional 3500 homes. How would that affect this proposal? Mr. Fischer responded that once the property was annexed to the City the City could undergo proceedings to annex the property to the CFD. The property being annexed would be subject to the same rate and method of apportionment. The property owners would have to vote on whether to annex to the CFD. If the property were raw land owned by developers the vote would be based upon acreage assuming less than 12 registered voters. If the property owners were registered owners and registered voters, a vote would be required. Two resolutions similar to what is being passed now would) be passed upon a successful vote and the properties would be subject to the same rate and method of apportionment. Mr. Forbath explained that if it were a property owner election and the City received unanimous consent certain election procedures could be waived. MPT/Zirbes said that assuming the addition of 3500 homes, would the additional revenue lower the levy rate for everyone or pay the bond down faster. Mr. Fortbath said the City could levy for debt service on the bond and therefore could not pay the bond down sooner but spread the levy amongst all of the new property owners thereby reducing the rate for all other property owners. Mr. Fischer responded to C/Tye that there would be no tax levied on land unless and until it was developed. C/Tanaka wanted -to know if the ballot measure passed, at what point the City would go out to bid for construction. ACM/Doyle responded that the first step would be to look at the design process and solicit RFP's for architectural services, a process that takes about a year. At the end of the process the construction documents are developed and the documents then go out for bid, a two to three month process. At that point a construction contractor is hired and construction commences. Assuming passage on November 7 it would likely be two and one-half years to commencement of construction (mid 2009). JULY 18, 2006 PAGE 4 CC STUDY SESSION ACM/Doyle indicated to MPT/Zirbes that staffs recommendation would be that the tax levy would commence immediately upon approval of the ballot measure. CA/Jenkins explained that he will prepare an approximate 500 word statement that is an impartial analysis intended to explain the procedure to the voters — how much of a tax the voters would be paying, for how long and what precisely the tax could be used for as well as, what kind of a vote is required for the measure to pass. Assuming passage of the resolutions this evening the analysis will be completed by mid-August and go into the ballot pamphlet along with the other materials determined by the City Clerk. CA/Jenkins further explained that a typical ballot measure includes arguments in favor of and against the measure and rebuttal arguments to rebut the arguments in favor and against the measure. The Election's Code allows the City Council the option of giving itself the priority for preparing and putting in the ballot pamphlet arguments either in favor of or against or both. Council's options are 1) it can appoint itself as a body to prepare a ballot argument either in favor of or against the measure. In this instance the Council would be speaking as one body or, 2) the City Council may appoint any number of Council Members from 1 to less than 5 to prepare the ballot argument either for or against; or 3) the City Council may appoint some of its members to write the ballot argument for and others to write the ballot argument against. The advantage is that the prepared argument would be the one that would be included in the ballot. The other option is for Council to take no option in which case ballot arguments can be prepared from within the community and the Elections Code provides a priority list of who has a first priority, second priority, etc. after the City Council for selection of an argument that is done by the City Clerk. For example, the first priority would be a bona fide association of citizens who are either proponents of or opponents to the measure. If there are more than one the City Clerk gets to choose. The second priority is individual voters. Staff is asking Council to decide when it adopts the resolution which of the options it wants to make and the resolution language will be adjusted accordingly. Following discussion C/Tye, MPT/Zirbes and M/Herrera favored the Council not being involved in the arguments for or against and C/Tanaka and C/Chang wanted the Council to be involved in the arguments for or against the measure. Council unanimously concurred to not have a citizens' oversight committee to oversee use of funds, construction and operation of the facility. JULY 18, 2006 PAGE 5 CC STUDY SESSION ACM/Doyle said staff felt an obligation to provide some information to the citizens and asked for Council's input with respect to a possible educational campaign or materials and how pro -active staff should be in putting the information out to the public. MPT/Zirbes suggested a two-sided fact sheet that would give the facts of the old library versus the new library. He would also like to see it on the City's Website but was concerned about whether it should be placed in the City's Newsletter. C/Tanaka said he favored the Website and Newsletter. C/Tye suggested the Website and DBTV. M/Herrera concurred. C/Chang felt impartial information should be included in all publications including the City News, the City's Website and DBTV. C/Tye reiterated that it would be a re -active campaign as opposed to a pro -active campaign. ACM/Doyle restated that Council desired to have information published in the City News, on DBTV and on the City's Website. In addition, staff will have a fact sheet to give out at City Hall upon request. He asked if Council wanted a community meeting. Council concurred to not hold a community meeting. CM/DeStefano stated that staff would come back to the Council with a proposed education campaign and costs associated with it in accordance with Council's direction for its final approval. 2) DISCUSSION OF PROPOSED LOW-INCOME REBATE PROGRAM ACM/Doyle handed out material explaining the proposed low-income rebate program. There are 1889 households that qualify for the Edison Rebate Program and it is unknown how many are single-family homes as opposed to multi -family homes. Staff took the number and assumed the total cost of the bond measure for single- family homes was $89, the highest assessment (worst case scenario). If the City were to do a 25% rebate based on the 1889 participates it would result in a General Fund impact of $42,000, The next table deals with a rebate for construction costs only and the 'last table deals with rebates on ongoing costs. MPT/Zirbes felt the decision about whether to have a rebate could be postponed until after the November 7 vote. JULY 18, 2006 PAGE 6 CC STUDY SESSION ACM/Doyle responded that if the Council wanted to do a rebate program such a decision could help sway the argument for the measure to pass. Presumably, low-income voters would be more likely to vote "no" unless they knew they had a rebate coming. Public Comments: None Offered. ADJOURNMENT: With no further business to come before the City Council, M/Herrera adjourned the Study Session at 6:40 p.m. n J �I T:44Y M CRIBBINS, City Clerk The foregoing minutes are hereby approved this 15th day of august , 2006. CAROL HERRERA, Mayor MINUTES OF THE CITY COUNCIL REGULAR MEETING OF THE CITY OF DIAMOND BAR AUGUST 1, 2006 CLOSED SESSION: None STUDY SESSION: 5:37 p.m. — Room CC -8 No. DFC (Library Ballot Measure) Discussion Public Comments on Study Session Items CALL TO ORDER: Mayor Herrera called the Regular City Council meeting to order at 6:41 p.m. in The Government Center/SCAQMD Auditorium, 21865 Copley Dr., Diamond Bar, CA. M/Herrera reported that Council began the evening in a Study Session at 5:30 p.m. with a discussion regarding the Library Ballot Measure. PLEDGE OF ALLEGIANCE: M/Herrera led the Pledge of Allegiance. INVOCATION: Mindy Chamberlain, Early Childhood Director, Diamond Canyon Christian Church gave the Invocation. ROLL CALL: Council Members Chang, Tanaka, Tye, Mayor Pro Tem Zirbes and Mayor Herrera. Staff Present: James DeStefano, City Manager; David Doyle, Assistant City Manager; Michael Jenkins, City Attorney; Bob Rose, Community Services Director; David Liu, Public Works Director; Linda Magnuson, Finance Director; Nancy Fong, Community Development Director; Marsha Roa, Public Information Manager; Rick Yee, Senior Engineer; Ryan McLean, Senior Management Analyst and Tommye Cribbins, City Clerk. APPROVAL OF AGENDA: As Presented. SPECIAL PRESENTATIONS, CERTIFICATES, PROCLAMATIONS: 1.1 M/Herrera introduced City Manager James DeStefano. M/Herrera thanked ACM/Doyle for his tenure as Interim City Manager. RECESS: M/Herrera recessed the City Council meeting at 6:47 p.m. RECONVENED: M/Herrera reconvened the City Council meeting at 7:05 p.m. AUGUST 1, 2006 PAGE 2 CITY COUNCIL 2. CITY MANAGER REPORTS AND RECOMMENDATIONS: 2.1 Update by Rick Meza with SCE regarding the electrical problems suffered during the recent heat wave. Mr. Meza stated that on Tuesday of last week Edison customers exceeded the record for usage and as a result, 1400 Edison transformers failed affecting more than 1.1 million customers. D.B suffered some outages throughout the City generally as a result of overheated transformers that blew out. Mr. Meza said that residents could help these situations by setting their thermostats at 78 degrees, using fans (particularly during afternoon hours from 12:00 noon to 6:00 p.m.), block direct sunlight, close doors and vents in unused rooms and take a personalized home energy-saving audit online at www.sce.com; businesses should also set their thermostats at 78 degrees, use fans and when possible shift power -intensive work processes to morning or evening hours. SCE allows residents to purchase a new energy-efficient refrigerator and obtain a rebate. They can also turn in old non -efficient refrigerators for a $50 rebate. SCE offers air-conditioning cycling programs for businesses and residential from June through September. A device is attached to the unit that will tum off the unit when ISO asks Edison to shed load. When residents and business suffer outages or general service problems they should call 800-611-1911. M/Herrera felt it was a critical matter for some D.B. residents who were without power for as much as 48 -hours. Mr. Meza responded to M/Herrera that the blown out transformers were replaced with new transformers. M/Herrera reiterated that there were many people who felt desperate about the situation. She thanked staff for helping residents and thanked Mr. Meza for his explanations. C/Tye asked if the transformers were replaced only upon failure. Mr. Meza responded that SCE looks at all of their equipment over time and replaces it when deemed necessary. In this case the failure was due to overloading the system due to the unrelenting heat. Mr. Meza thanked staff for their assistance and residents and businesses for their patience and understanding. 2.2 Presentation regarding the Brea Canyon Road Separation Project update. AUGUST 1, 2006 PAGE 3 CITY COUNCIL PWD/Liu reported that construction had commenced and beginning on August 26 or 27 the contractor will close all lanes of the Southbound Brea Canyon Rd. between Spanish Ln. and Washington St. and will provide only one travel lane on Northbound Brea Canyon Rd. between Washington St. at the south and Spanish Ln. at the north. Access to the Metrolink station will be maintained from both directions on Brea Canyon Rd. The interim close is anticipated to continue to October/November at which time Brea Canyon Rd. will be closed in its entirety. 3, PUBLIC COMMENTS: Ron Everett said his opposition to the recent appointment of Osman Wei as a Planning Commissioner was not personal. He said he honestly and objectively appealed this selection at the June 20 and July 18 Council meetings on grounds of serious ethical issues, conflicts of position interest and the perception if not reality of unfair negotiating and competitive advantage with the same person holding both Planning Commission and "The Country Estates" Homeowners Association Board Member positions at the same time. In his opinion, it was not right for one individual to hold two positions in separate but related complex intertwined government quasi -government positions at the same time with the competing formal conditions and the responsibilities that exist. He respectfully disagreed with CA/Jenkins on this matter and his counsel that recusal was a realistic mitigation for the many parties with interest behind the gates of "The Country Estates." Mr. Everett stated that his interest and commitment was for openness, better ethics, integrity and fairness for the benefit of all of D.B. Therefore, he determined that his only option was to make the aforementioned statement and resign his position on the Planning Commission. He! offered his sincere thanks to staff and especially CDD/Fong, the Planning Department staff and to the City Manager. He welcomed CM/DeStefano back to D.B. and said he looked forward to his leadership. He thanked ACM/Doyle, all other departments of the City and the residents. Marie Buckland said she was sad that Mr. Everett felt compelled to resign his position. Robert Deerfield spoke about trash problems at 23612 Jubilee Ln. He contacted the City regarding a truck filled with trash to overflowing that was parked in a driveway. He said the City sent Code Enforcement out and all they did was put a tag on the door. He felt it presented a health situation and presented blight on the neighborhood. 4, RESPONSE TO PUBLIC COMMENTS: M/Herrera responded to Mr. Deerfield that staff would look into the trash problem. AUGUST 1, 2006 PAGE 4 CITY COUNCIL SCHEDULE OF FUTURE EVENTS: 5.1 Concerts in the Park (Cold Duck) 70's Top 40) — August 2, 2006 — 6:30 — 8:00 p.m., Sycamore Canyon Park, 22930 Golden Spgs. Dr. National Night Out. 5.2 Planning Commission Meeting — August 8, 2006 — 7:00 p.m., Auditorium, AQMD/Government Center, 21865 Copley Dr. 5.3 Concerts in the Park— (Mark Wood & the Parrot Head Band Jimmy Buffet Tribute Band) - August 9, 2006 — 6:30 — 8:00 p.m., Sycamore Canyon Park, 22930 Golden Spgs. Dr. Last Concert of the Series. 5.4 Traffic and Transportation Commission Meeting — August 10, 2006 — Adjourned due an anticipated lack of quorum. 5.5 City Council Meeting — August 15, 2006 — 6:30 p.m., Auditorium, AQMD/Government Center, 21865 Copley Dr. 6. CONSENT CALENDAR: C/Chang moved, C/Tanaka seconded to approve the Consent Calendar. Motion carried by the following Roll Call vote: --- AYES: COUNCIL MEMBERS: Chang, Tanaka, Tye, MPT/Zirbes, M/Herrera NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 6.1 APPROVED CITY COUNCIL MINUTES: 6.1.1 Study Session of July 18, 2006— as submitted. 6.1.2 Regular Meeting of July 18, 2006 — as submitted. 6.2 RATIFIED CHECK REGISTER — containing checks dated June 26, 2006 and July 14, 2006 through July 27, 2006 totaling $852,376.41. 6.3 REVIEWED AND APPROVED TREASURER'S STATEMENT — Month of June 2006. 6.4 APPROVED CONTRACT AMENDMENT NO.9 WITH DAVID EVANS AND ASSOCIATES, INC. FOR $50,000; PLUS A CONTINGENCY OF $5,000 FOR A TOTAL AUTHORIZATION OF $55,000 TO PROVIDE DESIGN SERVICES FOR LORBEER FOOTBALL FIELD AND SLOPE IMPROVEMENTS AT LORBEER MIDDLE SCHOOL. AUGUST 1, 2006 PAGE 5 CITY COUNCIL 6.5 APPROVED AMENDMENT TO GRAFFITI REMOVAL CONTRACT WITH GRAFFITI CONTROL SYSTEMS IN THE AMOUNT OF $3,000 FOR A TOTAL CONTRACT AMOUNT OF $48,000 FOR FY 2005-06 BUDGET. 6.6 (a) APPROVED PLANS AND SPECIFICATIONS AND AWARDED CONSTRUCTION CONTRACT FOR THE GRAND AVENUE STREET IMPROVEMENTS PROJECT, PHASE II IN THE AMOUNT OF $1,453,000 TO SULLY -MILLER CONTRACTING COMPANY; AND AUTHORIZED A CONTINGENCY AMOUNT OF $102,000 FOR CONTRACT" CHANGE ORDERS TO BE APPROVED BY THE CITY MANAGER FOR A TOTAL AUTHORIZATION AMOUNT OF $1,555,000. (b) APPROVED CONTRACT AMENDMENT WITH DMS CONSULTANTS, INC. (DMS) FOR CONSTRUCTION MANAGEMENT SERVICES IN THE AMOUNT OF $114,462 PLUS A CONTINGENCY AMOUNT OF $10,000 FOR CHANGE ORDERS TO BE APPROVED BY THE CITY MANAGER, FOR A TOTAL AUTHORIZATION AMOUNT OF $124,462 FOR THE GRAND AVENUE STREET IMPROVEMENTS PROJECT, PHASE II. 6.7 APPROVED SECOND READING AND ADOPTED ORDINANCE NO. 05(2006) REVISING THE CITY'S PURCHASING SYSTEM AND AMENDING THE DIAMOND BAR MUNICIPAL CODE. 6.8 APPROPRIATED $2,000 DONATION FROM THE DIAMOND BAR COMMUNITY FOUNDATION TO THE FY 2006-07 BUDGET FOR THE "SUNDAY AT THE CENTER" FINE ARTS SHOW SCHEDULED FOR SUNDAY, NOVEMBER 19, 2006 AT THE DIAMOND BAR CENTER. 6.9 ADOPTED RESOLUTION NO. 2006-66: ESTABLISHING AN APPROVED VENDOR LIST AS DEFINED BY ORDINANCE NO. 05(2006). 7. PUBLIC HEARINGS: 7.1 COMMUNITY FACILITIES DISTRICT 2006-1 (DIAMOND BAR LIBRARY). M/Herrera opened the Public Hearing at 7:35. She reported that Council received staffs report and a report from Muni -Financial and Stradling Yocca Carlson & Rauth and had discussed the matter during the tonight's study session and that the discussion and items introduced would be entered into and become a part of the record. AUGUST 1, 2006 PAGE 6 CITY COUNCIL ACM/Doyle reported that tonight was the culmination of a process that began in May 2006 to create a bonding mechanism ballot measure to provide funds for construction of a new library as well as, increased operating expenses. The items before Council this evening are the final two actions necessary to place the measure on the November ballot. The subsequent resolution asks the County to consolidate the election with the November 2006 election. This is a $13.1 million bond issuance that creates a revenue stream of approximately $500,000 (today's dollars) for increased operating costs with a built in CPI index escalator. Council directed two changes to the resolutions that are contained within tonight's packet: 1) eliminate language for a Citizens' Oversight Committee and 2) Council determined to have community members represent arguments in favor and against the ballot measure. Brian Forbath, the City's Bond Counselor, explained the purpose of the resolutions. The first resolution establishes the Community Facilities District 2006-1 and approves the final tax rates for the district that were introduced about a month ago upon adoption of the Resolution of Intention. Additionally, the Resolution calls for an election to be held on November 7, 2006. The second Resolution determines the necessity to incur bonded indebtedness in the amount of $13.1 million with about $11 million going toward construction and the remainder toward the cost of the bond. If adopted, this Resolution would also call for the ballot measure to be presented on the November 7, 2006 ballot. Both of the Resolutions are statutory requirements under the Mello - Roos Act that are required to be put before the City Council in order to proceed with the formation of a Community Facilities District and the ultimate issuance of bonds by the district if approved by the registered voters within the District. Chris Fischer, MuniFinancial reviewed the facilities report provided in Council's packet. The Community Facilities District Facilities Report was initially presented to Council about a month ago as The Rate and Method of Apportionment, the technical document that spelled out how to levy and apportion the tax among various types of property within the district. The Community Facilities District Facilities Report enhances the initial report by including what the District is proposed to finance, the boundaries of the District and detail on the facility and services that would be included in the proposed District. The rates have not changed since the Council adopted the original documents: The rate for a single-family property is $89 made up of $61.20 for the facilities and $21.80 to finance the services for the library; the rates for multi -family and commercial follow. Exhibits to the report include Exhibit A) the description of the boundaries and a boundary map; Exhibit B) cost estimates, facilities breakdown (cost of construction, AUGUST 1, 2006 PAGE 7 CITY COUNCIL furniture, fix1tures and equipment, architectural engineering, project management, development contingencies). The total project cost is currently estimated to be $15 million with the CFD proposing to finance $11 million of that amount upon approval of the CFD; Exhibit C) rate and imethod of the apportionment previously adopted. Betty Johnson said that she and her husband had resided in D.B. for 40 years and felt that a new library was very important to the community; that it would make essential reading materials available locally and that parking would improve. She said she strongly supported the City Council's commitment to fund a new library for D.B. Jerry Boykin encouraged the City Council to pass the resolutions. Costs and rates have been increasing consistently and it would be a good time to lock in a rate. He believed that if the City built a new library the people would come. John Forbing, a 30 -year resident appreciated that the Council had placed this matter on the agenda and would appreciate it even more when the resolutions were passed so that the residents would have an opportunity to cast their vote in favor of or against a new library. He would like to have a new library because there is currently no parking and no room for community meetings and, it is very difficult to use the present facility because it has outgrown the area needs. As Chairman of the Historical Society he has received items that the library no longer had room to store because the facility has outgrown its ability to store documents that were entrusted to them. The Historical Society does not have the means and facilities to properly catalogue and document the history of the City and the City needs a place within a new facility to document the history of D.B. by way of historical photos and documents. Priscilla Ankrah said that since they were was little she and her sister Claudia have been avid readers and have enjoyed visiting the D.B. Library and reading books together. With the dawn of a new library there are endless possibilities and as a student of Diamond Ranch High School she sincerely hopes that construction of a new D.B. Library would be supported. Gwen Robinson also supported a new D.B. Library that would greatly benefit the community. Studies have shown that libraries return $5 for every $1 invested. Libraries are community based — they bring the community together and instill pride in the community. In addition, good libraries help increase property values, bring in new businesses and create activities that benefit cities. Accessibility is important and the current facility has a terrible traffic program and terrible parking lot problems and these problems primarily keep many of the City's AUGUST 1, 2006 PAGE 8 CITY COUNCIL seniors and families away from the library. She felt that a new library was extremely important for the community — not just for safety, for advancement of education and well being of the community as a whole. Joseph Hsu said that when he and his family moved to D.B. about seven years ago they were surprised that the librarywas so small and cramped. Everyone should agree that education is very important especially for the next generation. A library is the best place to show that the entire community supports education. He is a working father with a very busy schedule but he volunteers a lot of his time and volunteered his experience in assisting the City with computers, graphic design, data analysis and the internet because he wanted to help make the library a dream come true. He believed that with everyone working together toward a common goal the community would have a better tomorrow. Mike Shay, a 34 -year resident said that good services like good schools increase property values in any community. For that reason alone he believed D.B. residents would support the November 7 proposition. A new library for this community is overdue. D.B. is a well-educated community and as has been discussed many times a library can become the heart of this City. The residents look forward to a beautiful facility providing services that will meet the needs of the community. This has been an ongoing and long process and the decision tonight is about the flag that stands for freedom — freedom of speech and freedom of choice. The residents hope that the leaders of this community will allow the citizens to enjoy that freedom on November 7. Roger Meyer, a 30 plus year resident thanked the Council for their foresight to allow the people of D.B. to vote on an issue that would affect their taxes. He thanked staff for putting the proposition together in such a timely fashion and said he believed a new library would be a monument to the resident of D.B. showing their wisdom and knowledge in giving the youth a place to go and learn. Ms. Ling, resident and part time real estate agent thanked the Council Members who have worked so hard to maintain a good quality of life for its residents. She said she appreciated the school districts for their high standard of education. Ninety-nine percent of her clients choose to live in D.B. because the City has the best school districts. A modern library is one of the most important elements of literacy and education and it would vastly improve the image of D.B. Beverly D'Errico, a 20 -year resident thanked the Mayor and City Council for allowing residents to speak on this issue. She concurred with other speakers that the current library is too small and the City is AUGUST 1, 2006 PAGE 9 CITY COUNCIL overdue for a new facility that will service the community. She asked that Council pass the Resolutions. Al Rumpilla, a 34 -year resident said he was not opposed to education but was opposed to a new library because it would be used by only a small group of people most of the time. He felt the City would be better served by putting a computer in each residence providing access to the Internet because every book ever written was available through the Internet. A library is not going to give that to the kids or to the adults. He felt this Council would be surprised about this matter like the first City Council was surprised when it found D.B. could not really get away from the County. His biggest concern was the tax implication to residents because not all D.B. residents have the kind of income it takes to support additional taxes. Many residents are on a fixed income. He believes that when the majority of residents find out what is going on they will step forward and vote "no" in November. He invited concerned citizens to call him at 861-8898 to help form opposition committees. Wanda Tanaka said she agreed with John Forbing that the City needs a place to house historical artifacts in the new library so that everyone can learn the history of this beautiful City. C/Tanaka said he was a little concerned about the high cost of construction but had faith in the consultants and the City's Counsel. He felt it was important that the project move forward for the good of all residents and that it was good for the residents to have an opportunity to vote on the matter. Further, he believed that a newer, larger facility with ample parking that would provide needed services to the residents would be a good offset of the construction costs. C/Tye clarified for Mr. Rumpilla that the new library would not be a City library but a County library, which was one of the major drawbacks he discerned during discussions with constituents that residents were making a decision to build a facility that the County would operate. However, Council Members may believe that they know what is best for the community and in this instance it is perfectly appropriate for the citizens of D.B. to vote on this issue. C/Chang explained that the library building and the land would belong to the 60,000 residents of D.B. and whether or not it would be run by the County or by the City was at the discretion of D.B. MPT/Zirbes said it had been about two years that D.B. had talked about a new library. The City attempted to get bond grant funds and a task force was appointed to look at ways to improve the existing library while looking at ways to finance a new library if the bond measure faiiled. The bond measure failed and the Council has been AUGUST 1, 2006 PAGE 10 CITY COUNCIL working for several months to come up with a plan to build a new facility. He felt it was a good proposal and that folks in D.B. elect the five City Council Members to make decisions for them. He did not believe the residents elected the City Council Members to make a decision to spend $13 or $15 million to build a library but that a decision by the Council to give the residents an opportunity to vote on the matter was something the residents wanted. M/Herrera stated that residents were afforded the opportunity to file a written protest about the forming of the CFD. M/Herrera asked CC/Cribbins if she had received any letters of protest. CC/Cribbins responded that she had not received any protests. M/Herrera closed the Public Hearing at 8:15 p.m. MPT/Zirbes moved, C/Chang seconded to Adopt Resolution No. 2006-67 and Resolution No. 2006-68. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Tanaka, Tye, MPT/Zirbes, M/Herrera NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ACM/Doyle announced that the deadline for filing complaints regarding this measure was August 18, 2006. COUNCIL CONSIDERATION: 8.1 ADOPT RESOLUTION NO. 2006-69: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND BAR, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2005-1 OF THE CITY OF DIAMOND BAR (DIAMOND BAR LIBRARY), REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF LOS ANGELES TO CONSOLIDATE A SPECIAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 7, 2006 WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON THE DATE PURSUANT TO § 10403 OF THE ELECTIONS CODE. CM/DeStefano reported that this Resolution requests the Board of Supervisors of the County of Los Angeles to consolidate the special municipal election to be held on November 7 with the statewide general election. Staff recommends that the City Council approve staffs recommendation. AUGUST 1, 2006 PAGE 11 CITY COUNCIL MPT/Zirbes moved, C/Tanaka seconded to adopt Resolution No. 2006-69. C/Tye said it was his intention to vote affirmatively to place this matter on the November 7 ballot. However, he wanted no one to be confused about his personal feelings about a new library. Although the current facility is not the most up to date library he believed that when he served on the task force that the goal was for a better library and not a brand new library or an expensive library. He said he would not vote to tax himself but that it was appropriate to have the public make the decision. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Tanaka, Tye, MPT/Zirbes, M/Herrera NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 8.2 APPROVE FIRST READING OF ORDINANCE NO. 06(2006): AMENDING SECTION 18.108.050 OF THE DIAMOND BAR MUNICIPAL. CODE RELATING TO FLOODPLAIN MANAGEMENT REGULATIONS. PWD/Liu reported that flood damage was not covered under most homeowners' insurance policies. However, through a program administered by the Federal Emergency Management Agency (FEMA) reslidents can protect themselves from financial loss due to flooding. Under FEMA's National Flood Insurance Program (NFIP) Federally funded backed flood insurance is available in communities that adopt and enforce regulations in order to prevent and mitigate flood losses. Nationwide almost 20,000 communities have joined the program and the City of D.B. has been participating in the NFIP and adopted a floodplain management ordinance that is codified in Title 18 of the City's Municipal Code. To adequately inform property owners of flood risks and to determine appropriate rates for flood insurance coverage FEMA responded by modernizing and maintaining digital flood insurance rate maps for almost 20,000 communities across the United States. He showed an aerial map of D.B. that depicted flood maps/geographical areas defined by FEMA in accordance with varying levels of flood risk such as low, moderate or high-risk. Based on FEMA's update three zones were designated within the City of D.B. The City is designated Zone X which is considered to be a low to moderate risk flood zone with less than one percent chance of annual flooding with an average flood depth of less than one foot. Zone A and Zone AO have been designated for a small area around Brea Canyon Rd. and Lycoming St., an area considered to be high-risk for flooding. For Zone A there is a one AUGUST 1, 2006 PAGE 12 CITY COUNCIL percent annual chance of flooding and a 26 percent change of flooding over the life of a 30 -year mortgage. For Zone AO there is a one percent or greater chance of shallow flooding each year usually in the form of sheet flow with an average depth ranging from one to three feet. This area also has a 26% chance of flooding over the life of a 30 -year mortgage. As a condition of the NFIP the City of D.B. must adopt the new Flood Insurance Study as well as the Digital Flood Insurance Rate Maps prior to September 20 of this year. Additionally, the City must ensure that its regulations are in compliance with Federal regulations. Section 18.108.050 entitled "Basis for Establishing the Areas of Special Flood Hazards" was amended to meet the minimum requirements set forth in the NFIP so that D.B. residents may continue to have flood insurance available to them. Residents may visit FEMA's Website at www.fema.gov or www.floodsmart.gov, Staff recommends approval of First Reading of Ordinance 2006-06 by Title Only and waive full reading. C/Chang moved, C/Tye seconded to approve First Reading by Title Only of Ordinance No. 06(2006) and waive full reading. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Tanaka, Tye, MPT/Zirbes, M/Herrera NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 9. COUNCIL SUBCOMMITTEE REPORTSICOUNCIL MEMBER COMMENTS: C/Tanaka reported that this year he had the opportunity to attend all but one of the Concerts in the Park. That same evening he attended Casino Night. On Monday, July 24 he hosted a Chinese delegation from Fujian Province. A majority of the delegates worked for the planning division of their city and were interested to learn about the efficiency of the D.B. Planning Department. Wednesday through Friday of last week he and C/Tye attended the League of California Cities 2006 Mayors and Council Members Academy Executive Forum, attended informative general sessions and took advantage of networking opportunities. On Friday, July 28 he and M/Herrera attended the Inaugural Regional Chamber of Commerce Installation and dinner. He congratulated Nef Cortez on being installed as President and said that Supervisor Don Knabe performed excellently as the installing officer. Tomorrow is "National Night Out" in conjunction with the Concerts in the Park event. C/Tye congratulated CSD/Rose and his staff on obtaining approval of the Lorbeer Middle School agreement for joint use of fields. Finally, the PUSD has signed off and the project moves forward. He was pleased to join C/Tanaka at the League of Cities. There are 478 cities and 58 counties in AUGUST 1, 2006 PAGE 13 CITY COUNCIL the state and it is true that "we are better together." He said he was truly saddened and disappointed by Ron Everett's decision to resign from the Planning Commission. Although he did not agree with Mr. Everett's decision and had not been successful in discouraging him from resigning It was because of Ron's integrity and character that C/Tye chose him to be on the Planning Commission and it was because of his integrity and character that he had resigned. C/Tye thanked C/Everett for his service on the Planning Commission. Tomorrow is the next to the last Concert in the Park and he is looking forward to hearing Cold Duck and celebrating "National Night Out." C/Chang said that he was glad that tonight Council approved a revision to the City's purchasing system and code, which he felt would greatly benefit the City and its operations. The purchasing system is concerned with items in excess of $25,000 and each year the Council will approve a list of approved vendors that can be considered under the City's purchasing system. He thanked staff for improving the purchasing system. MPT/Zirbes welcomed CM/DeStefano back to D.B. He too was happy to see the Lorbeer Middle: School move forward and believed that by next summer the fields should be looking like other parks in the City. It is admirable that CSD/Rose and his; staff never lost sight of the goal and continued to move forward to benefit the residents. He said he was also pleased that the library matter would finally go to a vote of the people on November 7 and anyone who has an argument pro or con should submit them to the City Clerk by August 18. MPT/Zirbes suggested that staff add other utility companies — Edison, the gas company, the water company, Adelphia, etc. to the City's website. MPT/Zirbes thanked the D.B. Sheriffs team for their excellent work in making D.B. a safe City. M/Herrera welcomed new City Manager Jim DeStefano and said it was great to have him at the helm. She hoped it was a good first meeting for him. M/Herrera told ACM/Doyle she said lovely things about him while he was off tending to City business and ACM/Doyle assured M/Herrera that he would watch the replay. M/Herrera thanked ACM/Doyle on behalf of the City Council for serving as the City's Interim City Manager. As always he did a fabulous job. ACM/Doyle has a lot of energy, is very forceful and is very committed and dedicated. ACM/Doyle accomplishes everything he sets out to do. D.B. is very proud to have ACM/Doyle on staff. She thanked him for all that he had done for D.B. ACM/Doyle and CM/DeStefano handled most of the details of the Four Corners Transportation Summit in Diamond Bar and it was a fantastic event attended by more than 200 individuals from cities throughout the four counties. D.B. is absolutely determined to fix its transportation problems and many of the problems are regional problems so with the coalition of many cities and private organizations the goals will be accomplished. One of the major goals is to finally fix the SR57/60 interchange. She thanked staff for their hard work which makes the Council look good. AUGUST 1, 2006 PAGE 14 CITY COUNCIL 2006. ADJOURNMENT: With no further business to conduct, M/Herrera adjourned the regular City Council meeting at 8:47 p.m. TOMMY CRIBB INS, CITYCLERK The foregoing minutes are hereby approved this 15 thday of A„gpi s+ , 6114�1k-� CAROL HERRERA, MAYOR