HomeMy WebLinkAbout11/18/2011 Minutes - Regular MeetingMINUTES OF THE CITY COUNCIL
REGULAR MEETING OF THE CITY OF DIAMOND BAR
OCTOBER 18, 2011
STUDY SESSION:
5:45 p.m., Room CC -8
110 Presentation of Documents related to Conversion of the
Bar Public Financing Authority Variable Rate Lease
Series 2002A to a Fixed Rate.
City of Diamond
Revenue Bonds,
CM/DeStefano stated that during tonight's study session, staff and consultants
provided the City Council with information and documents that upon approval,
will assist in moving the City from a variable rate lease revenue bond to a fixed
rate bond. No action was taken during the Study Session.
CALL TO ORDER: Mayor Steve Tye called the Regular City
Council meeting to order at 6:30 p.m. in The Government Center/SCAQMD
Auditorium, 21865 Copley Dr., Diamond Bar, CA.
PLEDGE OF ALLEGIANCE: Lieutenant Kimberly Whitlow led the Pledge of
Allegiance.
INVOCATION: Associate Pastor Alex Barrett, Church of the
Valley, gave the invocation.
ROLL CALL: Council Members Ron Everett, Carol Herrera,
Jack Tanaka, Mayor Pro Tem Ling -Ling Chang and Mayor Steve Tye.
Staff Present: James DeStefano, City Manager; David Doyle,
Assistant City Manager; Michael Jenkins, City Attorney; Ken Desforges, IS
Director; David Liu, Public Works Director; Greg Gubman, Community
Development Director; Ryan McLean, Assistant to the City Manager; Rick Yee,
Senior Civil Engineer; Kimberly Young, Associate Engineer, Anthony Santos,
Senior Management Analyst; Cecilia Arellano Public Information Coordinator;
and, Marcy Hidalgo, Administrative Assistant.
APPROVAL OF AGENDA: As submitted.
SPECIAL PRESENTATIONS, CERTIFICATES, PROCLAMATIONS:
1.1 Mayor Tye proclaimed the month of November 2011 as Pulmonary
Hypertension Awareness Month and presented the proclamation to
Victor Chen, M.D., Kaiser-Permanente Medical Offices, Diamond
Bar.
NEW BUSINESS OF THE MONTH:
1.2 Mayor Tye and Council Members presented a Certificate Plaque to
Raul Cerda, Manager, See's Candies, 1117 S. Grand Avenue, as
Business of the Month for October 2011.
OCTOBER 18, 2011 PAGE 2
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3.
4.
5
1.1
CITY COUNCIL
CITY MANAGER REPORTS AND RECOMMENDATIONS:
2.1 Sergeant Mark Saunders introduced Lieutenant Kimberly Unland
who introduced Deputy Kimberly Whitlow, new STAR Deputy for
Diamond Bar.
PUBLIC COMMENTS:
Steven Ly, Executive Director of the Regional Chamber of Commerce,
said he looked forward to assisting D.B. and the region with economic
development.
C/Herrera welcomed Mr. Ly to the community.
RESPONSE TO PUBLIC COMMENTS: None Offered
SCHEDULE OF FUTURE EVENTS:
5.1 Washington Park Groundbreaking Ceremony — Saturday, October
22, 2011 — 9:00 a.m., 21208 Washington Street.
5.2 Planning Commission Meeting — October 25, 2011 — 7:00 p.m.,
SCAQMD/Government Center Auditorium, 21865 Copley Drive.
5.3 Parks and Recreation Commission Meeting — October 27, 2011 —
7:00 p.m., SCAQMD/Government Center Hearing Board Room,
21865 Copley Drive.
5.4 Hall of Horrors and Haunted House — October 30-31, 2011 — 6:00
p.m. to 9:00 p.m., Heritage Park, 2900 S. Brea Canyon Road.
5.5 Fall Fun Festival — October 31, 2011 — 4:30 to 8:30 p.m., Heritage
Park, 2900 S. Brea Canyon Road.
5.6 City Council Meeting — November 1, 2011 — 6:30 p.m.,
SCAQMD/Government Center Auditorium, 21865 Copley Drive.
5.7 Election Day — November 8, 2011 — Polls open from 7:00 a.m, to
8:00 P.M.
6. CONSENT CALENDAR: C/Everett requested that Item 6.13 be pulled
for further discussion. C/Herrera moved, C/Everett seconded, to approve
the remainder of the Consent Calendar as presented. Motion carried by
the following Roll Call:
OCTOBER 18, 2011 PAGE 3 CITY COUNCIL
AYES: COUNCIL MEMBERS: Everett, Herrera, Tanaka,
MPT/Chang, MI -Fye
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
6.1. CITY COUNCIL MINUTES —Regular Meeting of October 4, 2011 —
Approved as corrected.
6.2 PLANNING COMMISSION MINUTES — Regular Meeting of August
23, 2011 — Received and Filed.
6.3 RATIFIED CHECK REGISTER — Dated September 29, 2011
through October 12, 2011 totaling $1,558,159.17.
6.4 AWARDED DESIGN AND CONSTRUCTION ADMINISTRATION
SERVICES CONTRACT FOR THE 2011-2012 COMMUNITY
DEVELOPMENT BLOCK GRANT (CDBG) CURB RAMP
INSTALLATION PROJECT TO INFRASTRUCTURE ENGINEERS
IN THE AMOUNT OF $30,830 AND AUTHORIZED A
CONTINENCY AMOUNT OF $3,000 FOR CHANGE ORDERS TO
BE APPROVED BY THE CITY MANAGER, FOR A TOTAL
AUTHORIZATION AMOUNT OF $33,830.
6.5 ADOPTED RESOLUTION NO. 2011-41: APPROVING THE
APPLICATION FOR $89,608 OF LAND AND WATER
CONSERVATION GRANT FUND, WHICH IF AWARDED,
REQUIRES AN $89,670 MATCH FROM THE CITY, FOR THE
GRAND VIEW TRAIL LINK IN THE SUMMITRIDGE PARK TRAIL
SYSTEM.
6.6 APPROVED PLANS AND SPECIFICATIONS AND AWARDED
CONSTRUCTION CONTRACT FOR THE 21810 EAST COPLEY
DRIVE INTERCONNECT PROJECT TO PROTECH
ENGINEERING CORP. IN THE AMOUNT OF $35,350 AND
AUTHORIZED A CONTINGENCY AMOUNT OF $4,500 FOR
CONTRACT CHANGE ORDERS TO BE APPROVED BY THE
CITY MANAGER, FOR A TOTAL AUTHORIZATION AMOUNT OF
$39,850.
6.7 AWARDED PROFESSIONAL ENGINEERING SERVICES
CONTRACT FOR ON-CALL TRAFFIC ENGINEERING WITH (a)
ADVANTEC CONSULTING ENGINEERS; (b) ITERIS; (c) SASAKI
TRANSPORTATION SERVICES; (d) WARREN SIECKE; (e) FEHR
& PEERS; AND (f) KOA CORPORATION, FOR A PERIOD OF
THREE (3) YEARS.
OCTOBER 18, 2011 PAGE 4 CITY COUNCIL
6.8 AWARDED PROFESSIONAL ENGINEERING SERVICES
CONTRACT FOR ON-CALL CIVIL ENGINEERING WITH (a) HALL
AND FOREMAN, INC.; (b) ONWARD ENGINEERING; (c) HARRIS
AND ASSOCIATES; and (d) DMS CONSULTANTS, FOR A
PERIOD OF THREE (3) years.
6.9 AWARDED PROFESSIONAL ENGINEERING SERVICES
CONTRACT FOR ON-CALL SOILS AND GEOTECHNICAL
ENGINEERING SERVICES WITH (a) LEIGHTON AND
ASSOCIATES, INC.; (b) WILDAN GEOTECHNICAL; and (c)
NINYO AND MOORE, FOR A PERIOD OF THREE (3) YEARS.
6.10 APPROVED CONTRACT INCREASE WITH FREEWAY
ELECTRIC FOR THE TRAFFIC SIGNAL INSTALLATION AT
BREA CANYON CUTOFF ROAD AND THE SOUTHBOUND
STATE ROUTE 57 FREEWAY RAMP IN THE AMOUNT OF $6,000
FOR A TOTAL AUTHORIZATION AMOUNT OF $176,515.
6.11 ADOPTED RESOLUTION NO. 2011-42: RATIFYING AND
RECONFIRMING THE DESIGN GUIDELINES APPLICABLE TO
THE GATEWAY CORPORATE CENTER AND AMENDING A
PORTION OF RESOLUTION NO. 89-104 TO ALLOW ON STREET
PARKING OF VEHICLES ALONG PORTIONS OF BRIDGE GATE
DRIVE AND VALLEY VISTA DRIVE.
6.12 AUTHORIZED THE CITY MANAGER TO CONTINUE FINANCE
DEPARTMENT CONSULTING SERVICES WITH GLENN
STEINBRINK FOR A TOTAL COST NOT -TO -EXCEED $75,000.
6.14 APPROVED A CONTRACT WITH TIME WARNER CABLE TO
RELOCATE EXISTING FIBER AND COAX CABLING FROM
21825 COPLEY DRIVE TO 21810 COPLEY DRIVE IN THE
AMOUNT OF $27,247 AND AUTHORIZED CHANGE ORDERS,
AS REQUIRED, UP TO $5,000 FOR A TOTAL AUTHORIZATION
OF $32,247.
MATTERS WITHDRAWN FROM CONSENT CALENDAR:
6.13 AUTHORIZE THE CITY MANAGER TO PURCHASE VARIOUS
TELECOMMUNICATIONS AND SECURITY EQUIPMENT FROM
CDWG IN AN AMOUNT NOT -TO -EXCEED $290,000 WHICH
INCLUDES ALL REQUIRED TRAINING AND PROFESSIONAL
DESIGN SERVICES FOR INSTALLATION; AND, APPROPRIATE
$90,000 FROM COPS FUND.
C/Everett stated that he has the utmost confidence in the City's IS
support team and is convinced that this is the right
OCTOBER 18, 2011 PAGE 5
CITY COUNCIL
recommendation. For him, what is missing is the normal bidding
process. These are all RFP's and believed there were six bidders
and asked for staffs report to help him see what the Council
normally sees in the bid environment and to find out why the City
picked CDWG.
IS/Desforges stated that as the Council is aware the City is
currently purchasing and remodeling a new City Hall building
across the street which will require additional new phones, local
area networks (LAN) digital media and security cameras. Staff has
determined that Cisco is the best manufacturer of the phone
system based on a Cisco UC6000 LAN including a central core
switch, digital media signage for the front entrance on the first and
second floor lobbies as well as additional security cameras for both
the exterior and public spaces of the new City Hall. These items
have a retail price of $408,032. With professional services and tax
the total cost is $518,734.80. IS/Desforges stated that the City has
the option to use State negotiated contracts; however, in this case,
the State negotiated contract would result in a cost of $364,270.66.
The City solicited proposals from five vendors including CDWG, PC
Mall Gov, Nexus, Resilient Communications, and USGS. Two of
the vendors were non-responsive which left three bids remaining.
The three remaining bids ranged from $305,943.40 down to the low
bid of $278,742.15 which was CDWG. CDWG has served as a
professional vendor for the City in the past and is able to provide
both the services and the product, and was considered the lowest
responsible bidder for the City. Therefore, staff recommended
CDWG in an amount not -to -exceed $290,000 to include the
contingency funds necessary for the $278,742.15 low bid.
C/Herrera thanked IS/Desforges for the very detailed explanation
and stated that she is confident that staff has selected the best
company to conduct business with on behalf of the City.
C/Herrera moved, MPT/Chang seconded, to approve Consent
Calendar Item 6.13 as proposed by staff. Motion carried by the
following Roll Call vote:
AYES
NOES:
ABSENT
COUNCIL MEMBERS
COUNCIL MEMBERS
COUNCIL MEMBERS
7. PUBLIC HEARING: None
Everett, Herrera, Tanaka,
MPT/Chang, M/Tye
None
None
OCTOBER 18, 2011 PAGE 6 CITY COUNCIL
8. COUNCIL CONSIDERATION:
8.1 ADOPT RESOLUTION NO. 2011-43: APPROVING DOCUMENTS
RELATED TO THE CONVERSION OF THE CITY OF DIAMOND
BAR PUBLIC FINANCING AUTHORITY VARIABLE RATE LEASE
REVENUE BONDS, SERIES 2002A FROM A VARIABLE
INTEREST RATE TO A FIXED INTEREST RATE AND
AUTHORIZING AND DIRECTING CERTAIN ACTION IN
CONNECTION THEREWITH: APPROVAL OF REMARKETING
AGREEMENT; PRELIMINARY REOFFERING MEMORANDUM;
AMENDMENT NO. 1 TO LEASE AGREEMENT; CONTINUING
DISCLOSURE CERTIFICATE; FINANCIAL ADVISOR CONTRACT
AND BOND COUNSEL AGREEMENT.
CM/DeStefano explained that this item comes to the City Council
as a result of discussions held earlier this year on August 16 to
consider the refinancing of the Diamond Bar Center from its
variable rate structure to a fixed rate structure by taking advantage
of attractive rates in the Market -place. Thus, the City Council
directed staff to commence the process to proceed with this
change. As part of this process City staff, consultants and
IFD/Steinbrink met with Standard & Poor's almost two weeks ago
and ultimately received the highest possible rating of AA+.
Jim Fabian, Fieldman, Rolapp & Associates, stated that Standard &
Poor's visited D.B. and received a 90 minute presentation about
D.B.'s history, current financial situation and budget as well as, an
overview of the refinancing of the variable rate to a fixed rate loan.
He commended staff for putting together an excellent, thorough and
comprehensive overview of the financial health of the City. As a
result of that meeting, Standard and Poor's released a AA+ rating
which is the highest possible rating for a lease revenue bond
transaction and a rating enjoyed by other cities such as Santa
Monica, Beverly Hills, Malibu and Newport Beach. He believed the
AA+ rating was a reflection upon the community as a whole, the
tremendous wealth factors that the community enjoys, its stable
management, the great relationship between the City Manager and
City Council; as well as the great framework of financial policies
and management practices that have been implemented since
incorporation. It is a real testament to the stewardship the City
Councils have shown over the years in governing the City. Tonight
before the Council are two items, one as the City Council and one
as the Financing Authority. There are several documents for
approval tonight. As part of the process of the fixed rate
conversion, an RFP was conducted for underwriting services and
the firm of E.J. De La Rosa & Co., Inc. was selected as the City's
underwriter. John Kim of E.J. De La Rosa & Co., Inc. is in the
OCTOBER 18, 2011 PAGE 7
CITY COUNCIL
audience this evening to respond to questions related to marketing
of the bonds.
Brian Forbath, Stradling Yocca Carlson & Rauth, explained that the
action before the Council this evening is adoption of a Resolution
approving a variety of documents necessary to convert the City's
existing variable rate transaction into a fixed rate transaction. The
fixed-rate conversion will be through the maturity or life of the bond
and cannot be converted once the rate is fixed for the life of the
bond. He explained each of the following documents pursuant to
this action which includes 1) A Reoffering Memorandum; 2)
Remarketing Agreement; 3) Amendment to the Lease Agreement;
and, 4) Amendment to the Indenture. The sale of the bonds is
scheduled in the next week to two weeks for a closing on
December 1, the expiration of the existing Letter of Credit.
CM/DeStefano stated that this process is for a principal bond
amount of $11,858,000 for a twenty-two year period. Staff
recommends that the City Council take action to approve the
package. Following Council's action the Public Financing Authority
will take action later this evening.
C/Herrera thanked staff for its guidance to Council over a period of
several meetings and study sessions to make certain that Council
Members thoroughly understand this transaction and reinforce the
ultimate outcome, to save the City money.
M/Tye asked for any public comments on this item; however no one
came forward to speak.
C/Herrera moved, C/Everett seconded to Adopt Resolution No.
2011-43: Approving Documents Related to the Conversion of the
City of Diamond Bar Public Financing Authority Variable Rate
Lease Revenue Bonds, Series 2002A from a Variable Interest Rate
to a Fixed Interest Rate and Authorizing and Directing Certain
Action in Connection therewith: Approval of Remarketing
Agreement; Preliminary Reoffering Memorandum; Amendment No.
1 to Lease Agreement; Continuing Disclosure Certificate; Financial
Advisor Contract and Bond Counsel Agreement. Motion carried by
the following Roll Call vote:
AYES: COUNCIL MEMBERS: Everett, Herrera, Tanaka,
MPT/Chang, M/Tye
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
OCTOBER 18, 2011 PAGE 8 CITY COUNCIL
RECESS: M/Tye recessed the Regular City Council Meeting to the Public
Financing Authority at 7:20 p.m. --
RECONVENE: M/Tye reconvened the Regular City Council Meeting from
the Public Financing Authority Meeting at 7:21 p.m.
9. COUNCIL SUBCOMMITTEE REPORTS/COUNCIL MEMBER
COMMENTS:
C/Tanaka reported that he attended the Three Valleys Municipal Water
District's Quarterly Leadership Breakfast with guest speaker, the
Honorable Robert M. Hertzberg; football game between DBHS vs. DRHS
with the Mayor's Cup presented to DRHS and thanked IFD/Steinbeck for
his help with the Public Finance Authority this evening.
C/Everett stated that it had been his privilege to attend his second annual
California Citizens Against Lawsuit Abuse during which State Senator Bob
Huff, State Senator Bob Dutton and business man and radio host Jack
Chou spoke. Saturday, October 8 Assemblyman Curt Hagman held a
Town Hall meeting at the AQMD in D.B. C/Everett reminded everyone
about the groundbreaking for Washington Park, and the Hall of Horrors
and the Fall Fun Festival at Heritage Park. He also reminded everyone
about the annual "Shakeout" scheduled for 10:20 a.m. on October 20
during which millions of Californians will trop, Cover and Hold for the
largest earthquake drill.
C/Herrera said it was nice to have See's Candies Management present to
receive the New Business of the Month award. See's has sugar -free
candy and there are several individuals throughout D.B. who need to
restrict or avoid sugar intake. She welcomed STAR Deputy Kimberly
Whitlow who will certainly do a fabulous job for the school kids. She
congratulated D.B. for achieving a AA+ rating from Standard and Poor's
and stated that she is particularly proud of the reasons the City received
this award, especially due to great management, strong reserves, strong
City Council -City Manager relationship and great stewardship over the last
many years due to the outstanding City Councils and staff teams. On
October 20 the Southern California Association of Governments meeting
will take place during which there will be a discussion of the regional
transportation plan. SCAG is pushing for 50-60 foot high truck lanes over
the San Jose Creek which is the waterway between the SR60 and the
Union Pacific Rail lines. D.B. is opposed to that plan and has been
working very hard to get other cities to join in the opposition of the plan
which will likely come to a vote in October. She plans to be at that
meeting to voice D.B.'s opposition and encourage other surrounding cities
to voice their opposition as well.
OCTOBER 18, 2011 -PAGE 9 CITY COUNCIL
MPT/Chang reminded everyone to follow her on Facebook and Twitter
and announced that she will be joining Foursquare. MPT/Chang reported
that on October 10 she had been invited to help celebrate Taiwan's 100th
year of democracy and freedom at the Universal Hilton at Barnes Park in
Monterey Park. She also participated in a parade in Chinatown in
downtown LA. She also joined the Government Affairs Committee with
the Regional Chamber and looks forward to the meetings. She
commended the Mayor for his idea for a Mayor's Cup for the October 7
match between DBHS and DRHS because it promotes a sense of spirit
and community pride while showcasing the City's 2 great high schools and
student athletic abilities. She reminded residents that if they would like to
participate in the D.B. Educational Community Roundtable, the next
meeting is November 1 at 9:00 a.m. at the AQMD for parents of school
children in D.B. from both school districts. The Diamond Bar Community
Foundation Gala will be held on November 12 from 6:00 to 10:00 p.m.
which includes dinner and dancing with semi -formal attire. For more
information click on www.dbcf.org or call 909-860-6088.
M/Tye spoke regarding a letter he had received criticizing the Mayor's Cup
event between Diamond Bar High and Diamond Ranch High. He stated
that he was disappointed that some residents misunderstood his intent;
however, there will always be those who misunderstand the intent.
M/Tye said he hoped that everyone would join the Council on Saturday at
9:00 a.m. at Washington Park at which time the kids in the surrounding
neighborhoods will have the opportunity to decorate tiles that will be
incorporated into the construction of the park. He is exceedingly proud of
this City, this Council and past Councils, and this staff that resulted in a
AA+ rating from Standard and Poor's. This happened over a period of
time since 1989 and it is due to the work of the City Councils and
administrations since the City's inception.
ADJOURNMENT: With no further business to conduct, M/Tye adjourned
the Regular City Council meeting at 7:40 p.m.
TOMMY fi CRIMNS, CITY CLERK
The fore ng minutes are hereby approved this 1st day of _, November ,
2011 �. �- ----
j
STE , MAY/OR