Loading...
HomeMy WebLinkAbout05/21/2013 Minutes - Regular MeetingCITY OF DIAMOND BAR CITY COUNCIL STUDY SESSION MAY 21, 2013 STUDY SESSION: M[Tanaka called the Study Session to order at 5:30 p.m. in Room CC -8 of the South Coast Air Quality Management District, 21865 Copley Drive, Diamond Bar, California. Present: Council Members Ling -Ling Chang, Carol Herrera, Steve Tye, Mayor Pro Tern Ron Everett, and Mayor Jack Tanaka. Staff Present: James DeStefano, City Manager; David Doyle, Assistant City Manager; David DeBerry, City Attorney, David Liu, Public Works Director; Bob Rose, Community Services Director; Greg Gubman, Community Development Director; Dianna Honeywell, Finance Director; Ryan McLean, Assistant to the City Manager; Ken Desforges, IT Director; Anthony Santos, Senior Management Analyst, and Tommye Cribbins, City Clerk. OP. DISCUSSION OF THE FY 2013-14 BUDGET — Discussion and Action CMIDeStefano reported that prior to the last City Council meeting a study session was conducted to discuss the City's General Fund, Tonight's emphasis will be on Special Funds and the CIP. However, if the Council has questions on items previously discussed staff is available to respond. CM/DeStefano went on to report that staff has made a couple of changes since the last study session. For example, about $75,000 was moved to the Parks Maintenance Fund to help create a foundation for future maintenance use. This money was moved just prior to the last study session but was not captured in the final version of the study session documents. Funds that are used for Capital Equipment, Traffic Mitigation, and Parks Maintenance have been depleted and that he wants to begin backfilling those funds with resources. Secondly, Community Services staff would like to include a new fast -pitch softball league for adult women. This is a revenue -neutral project which will cost about $5,400 and pay for itself. CM/DeStefano then introduced FD/Honeywell who went on to report on the Special Revenue Funds, Equipment Replacement Funds and CIP Funds. The City has several Special Revenue Funds which account for the report of proceeds for specific revenue sources that are restricted to pay expenditures for specified purposes. Examples of Specific Revenue Funds specific to DB include funds like the Measure R funds, Prop A and Prop C Funds and Lighting and Landscape District funds. Each of these funds has a specific revenue source and strict guidelines as to how these resources will be spent. The City uses MAY 21, 2013 PAGE 2 CC STUDY SESSION these funds for such things as slurry sea] projects, transit related programs and solid waste reduction programs. For FY 2013�14 staff is proposing to add two additional Special Revenue Funds (1) the Law Enforcement Reserve Fund $245,000 savings due to the vacancy of the Community Relations position the Law Enforcement Reserve Fund and (2) Waste Hauler Fund which will collect the revenue collected from the waste hauler which is collected in order to mitigate damage to city streets. FD/Honeywell stated that with respect to the Debt Service Fund, in order to take advantage of historically low interest rates last year the 2002 variable rate bond was refinanced in Fiscal Year 2012 and the Debt Service Fund was established to account for the principal and interest payment as well as, any related banking fees associated with the bond issue. These costs are reimbursed by a transfer from the General Fund and in 2013-14 it is estimated to be about $843,000. The Equipment and Computer Replacement Fund each year sets aside an amount to replace various pieces of equipment. For the proposed 2013- 14 FY Budget includes funds for unforeseen fleet costs, network upgrades and new servers. During 2013-14 it is proposed that a total of $230,000 be transferred from the General Fund to the Computer Replacement Fund due to the depletion of the fund over the past couple of years, FD/Honeywell continued with the FY 2013-14 CIP list which includes projects that total $6.3 million of which $3.6 million is project carryovers from FY 2012-13. Included as new projects for FY 2013-14 are three street improvement projects, a median modification project, two park improvement projects, ADA access to the Dog Park and the design of the Heritage Park Community Center. For the first time in the City's history, a multi-year capital improvement project plan was developed and presented to the Council last year. Staff continues to strategize the use of City resources to ensure the continuing public infrastructure mitigation so that it remains in good condition for years to come. Staff updated the five-year strategy to include FY 2013-14 through FY 2017-18 and while the multi- year CIP document is a useful planning tool, it is subject to change based on the City's direction, economic conditions and other unforeseen things that may occur. Each year during budget discussions, the multi-year plan will be updated for the Council's consideration. FD/Honeywell then introduced PWD/Liu and CSD/Rose who spoke on the CIP Projects for the upcoming years. PWD/Liu spoke about the multi-year CIP list and how consideration of all projects in one single document will provide a more comprehensive view of the community's capital needs. Furthermore, the multi-year CIP provides a means by which the City Council can determine its capital priorities and continuity in carrying them out.. The five-year plan lists 62 MAY 21, 2013 PAGE 3 CC STUDY SESSION projects representing an investment of well over $32 million over the five years with only $1.7 million or 4.57% expected to be paid out of the General Fund. The CIP's are divided into the following categories: Street Maintenance, Traffic Management/Safety, Transportation Infrastructure Projects, Miscellaneous PW Improvements and Parks and Recreation Improvements. C/Tye asked why more than a third of the Street Maintenance is in FY 2013-14. PWD/Liu responded by stating that most of it was carried over. MPTIEverett said that it appears that the Transportation Infrastructure Projects is really Lemon Avenue and that this is picking up the investments right away. He is impressed with the report and that it was his number one highlight to see Lemon Avenue in a perspective that makes some sense and now it is near term. PWDILiu agreed that the project takes off in FY 14-15 and should be completed within the first two years. CSD/Rose highlighted a few of the upcoming projects such as the Arterial Slurry Sea[ Area 2 and sidewalk work for $1,560,000; the Morning Canyon Reconstruction Project which is a project that is required due to tree roots growing into Morning Canyon. In the past, staff has been able to grind and remove the roots to repair the street. Currently, the street is very rough and the last time the roots were ground it loosened the soil causing the roots to grow even faster creating even larger bumps. This project will remove the trees and repair the roadway in a much more comprehensive manner to mitigate the problem. Earlier the City Council heard that the City has Federal funds to recreate the streetscape along Grand Avenue from Montefino easterly to the City limits. Parks and Recreation will be completing the design and construction of the Grandview Trail and the trail link for which California Conservation Grant Funds as well as Wind and Water Conservation Funds will pay about one-half of the cost. These trails will create a loop that ultimately goes from the east Diamond Bar Center parking lot around the open space area to the west Diamond Bar Center parking lot. There are severe elevation challenges involved in creating this part of the trail but staff has a conceptual plan and the specs and plans are in process now with construction contemplated for this fiscal year. The ADA access to the Dog Park is funded using CDBG monies which will provide access from the existing ADA accessible walkway through the gates with ramps to the large dog park and stairs to the secondary gate of the large dog park. The Heritage Park Community Center improvement project is in the design phase. The center is now 20 years old and it is time to redesign and modernize the interior of the facility. MAY 21, 2013 PAGE 4 CC STUDY SESSION CSDIRose then went on to explain the proposals for future fiscal year CIP projects. CM/DeStefano asked PWD/Liu to explain how the million dollar Edison underground Rule 28 money will be utilized. PWD/Liu said that staff is focusing on a stretch Diamond Bar Boulevard, porfions along Pathfinder and on Golden Springs Drive to coordinate the undergrounding. There are right-of-way and private property issues to be considered in this project. The million dollars is in the bank and if staff believes the City needs to do a bigger project it has five years or more to do it. MPT/Everett asked if it was not in Edison's bank and was on DB books. PWD/Liu responded that the money is on DB's books but is managed and controlled by Edison. CM/DeStefano said that DB has the money; Edison has access to that money. IVIPT/Everett asked about the cables hanging in the areas. PWD/Liu said those would go underground as well. IVIPT/Everett said that he was impressed about how the undergrounding of the cables had been coordinated and that residents need to know that. CIVI/DeStefano asked if the City Council had any questions about anything within tonight's budget proposal and reported that during the Regular Session, staff will be.recommending that the Council adopt these items as well as, the Gann limit, investment policy, etc. M/Tanaka asked if the Grand Avenue improvements were proposed for IFY 12-13. PWD/Liu responded that the Grand Avenue Improvements are proposed in'the FY 13-14 budget. If approved, construction would begin in the summer of 2014 as part of the Grand Avenue Beautification project. M/Tanaka asked if the median improvements along Pathfinder from DBHS to Diamond Bar Boulevard, was also part of the next fiscal year. PWD/Liu said there were no plans for that project. MAY 21, 2013 PAGE 6 CC STUDY SESSION CMIDeStefano stated that if Council would like for staff to look at that project it would do so and come back to the Council about what might be required and the resources available. M/Tanaka said he liked the report. MPTIEverett said he was very pleased with the report and that it helps him understand agenda item 8.2 staff report and that it would help him if the pages were numbered. Lemon Avenue is still under the 16-17 descriptions and as he reads the charts, it's finished in 15-16. He asked if that was a correct statement. PWD/Liu responded that it would be an 18 month process and should be under the 15-16 FY. PUBLIC COMMENTS: None Offered. ADJOURNMENT: With no further business to come before the City Council, MfTanaka adjourned the Study Session at 6:10 p.m. to the Regular City Council Meeting. The foregoing minutes are hereby approved this 4th day of June 2013. ac Tanaka., Mayor Tommye lbribbins, City Clerk The foregoing minutes are hereby approved this 4th day of June 2013. ac Tanaka., Mayor _ ..MINUTES OF THE CITY COUNCIL REGULAR MEETING OF THE CITY OF DIAMOND BAR MAY 21, 2013 STUDY SESSION: 5:30 p.m., Room CC -8 Discussion of the FY 2013-14 Budget — Special Funds, Five -Year Capital Improvements Projects (CIP), etc. — Discussion and Action Public Comments: None Offered. Study Session was recessed to Regular City Council Meeting at 6:10 p.m. CALL TO ORDER: . Mayor Jack Tanaka called the Regular City Council meeting to order at 6:33 p.m. in the South Coast Air Quality Management District Auditorium, 21865 Copley Drive, Diamond Bar, CA. PLEDGE OF ALLEGIANCE: MPT/Everett led the Pledge of Allegiance. INVOCATION: Ahmad H. Sakr, PhD, Islamic Education Center introduced Ashraf Jakvani who gave the invocation. CMIDeStefano reported that tonight's meeting began with a Study Session at 5:30 p.m. during which the Council again discussed the upcoming FY 2013-14 General Fund budget specifically focused on the Special Funds and Five -Year Capital Improvement Plan for the City. No action was taken during the study session and the matter was referred to tonight's regular meeting for the Council's decision. The Study Session concluded at about 6.10 p.m. ROLL CALL: Council Member Chang, Herrera, Tye, Mayor Pro Tem Everett and Mayor Tanaka. Staff Present: James DeStefano, City Manager; David Doyle, Assistant City Manager; David DeBerry, City Attorney; Ken Desforges, IT Director; David Liu, Public Works Director; Bob Rose, Community Services Director; Dianna .Honeywell, Finance Director; Greg Gubman, Community Development Director; Ryan McLean, Assistant to the City Manager; Anthony Santos, Senior Management Analyst; Cecilia Arellano, Public Information Coordinator, and Tommye Cribbins, City Clerk. APPROVAL OF AGENDA: As Presented. SPECIAL PRESENTATIONS, CERTIFICATES, PROCLAMATIONS: BUSINESS OF THE MONTH: 1.1 M/Tanaka presented a Certificate Plaque to owner James Hahn on behalf of Diamond Bar Crossfit, 303 S. Diamond Bar Boulevard, as Business of the Month for May 2013. MAY 21, 2013 PAGE 2 CITY COUNCIL 2. CITY MANAGER REPORTS AND RECOMMENDATIONS: CM/DeStefano announced that beginning in July and continuing through the second week of September the South Coast Air Quality Management District Auditorium and adjacent meeting rooms will undergo major renovation which will make City Council meetings impossible to be held here. Therefore, during the months of July, August and September Council Meetings will be held in the Windmill Community Room at City Hall. Meetings will be taped and re -broadcast on DBTV Channel 3. CM/DeStefano reported that the City has a new Area Lieutenant specifically for the City of DB. Lt. Steve Katz has moved on to serve as the Operations Lieutenant at the Pico Rivera station. CM/DeStefano then introduced Diamond Bar/Walnut Sheriff Station Captain Jeff Scroggins who then introduced Area Lieutenant Tony Tachias who said he was excited to be working with DB and would also be working as the Detective Bureau Lieutenant. 3. PUBLIC COMMENTS: Master Chef Julie, Cordon Bleu de Diamond Bar Library, announced the summer reading program theme "Reading is so Delicious" which begins June 17, 2013. Miss Diamond Bar Annemarie Branks and her Court, Princess Serena Avila -Mott, Danielle Ritchie, Chika Udengwu and Melina Di Palma presented a Certificate of Appreciation to the City Council and the City for supporting their organization and for investing its time, money and faith. MlTanaka thanked Miss Diamond Bar and her Court for their involvement with the City's activities. Jim Gross, Director, Risk Manager, California Joint Powers Insurance Authority (CJPIA) stated that through its membership the City receives coverage for liability claims, workers' compensation claims as well as participating in several other commercially insured insurance programs. The purpose of his visit is to let the City Council know that he is once again working with the DB staff. Lew Herndon, representing the Fields for Kids Committee, expressed the committee's concerns for the lack of sufficient sports fields for the DB youth and announced that the committee has created and circulated a petition with nearly 700 signatures to date asking the City Council to help fund the availability of more fields in the City. Anyone wishing to participate can call him at 909-437-6366 or lewherndon(cDhotmail.com. He requested that the receipt of these petitions be recorded in the official record of this meeting. MAY 21, 2013 PAGE 3 CITY COUNCIL Allen Wilson commended the City Council for choosing the new City Attorney, David DeBerry and welcomed him.. Mr. Wilson then spoke in opposition to the SCAQMD proposal to ban the use of fire pits along the LA and Orange County beaches. He implored the DB City Council to take a position in opposition to the proposed ban. Eric Stone addressed 24101 Darrin Drive which he feels is a unique property that borders Darrin Drive, the SR60, Golden Springs, Carpio Drive and Armitos. He has been trying to get .some issues resolved regarding the property but is having communication problems. He would appreciate a call at 909-636-4007. 4. RESPONSE TO PUBLIC COMMENTS: None 5. SCHEDULE OF FUTURE EVENTS: 5.1 Parks and Recreation Commission Meeting — May 23, 2013 — 7.00 p.m., Windmill Community Room, 21810 Copley Drive. 5.2 Memorial Holiday — May 27, 2013 — City Offices closed in observance of the Memorial Day Holiday. City Offices reopen Tuesday, May 28, 2013 at 7:30 a.m. 5.3 Planning Commission Meeting — May 28, 2013 — 7:00 p.m., Windmill Community Room, 21810 Copley Drive. 5.4 City Council Meeting --- June 4, 2013 — 6:30 p.m., AQMDIGovernment Center Auditorium, 21865 Copley Drive. 6. CONSENT CALENDAR: C/Herrera moved, CITye seconded, to approve the Consent Calendar as presented. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Herrera, Tye, MPT/Everett, M/Tanaka NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 6.1 CITY COUNCIL MINUTES: 6.1.1 Study Session of May 7, 2013 -Approved as submitted. 6.1.2 Regular Meeting of May 7, 2013 - Approved as submitted. 6.2 RATIFIED CHECK REGISTER — Dated May 2, 2013 through May 15, 2013 totaling $946,177.52. MAY 21, 2013 PAGE 4 CITY COUNCIL 6.3 AWARDED CONTRACT TO DIANA CHO AND ASSOCIATES FOR CDBG CONTRACT ADMINISTRATION SERVICES FOR A NOT - TO -EXCEED AMOUNT OF $20,000 FOR FISCAL YEAR 2013-14. 6.4 APPROVED AN UNLIMITED USE SERVICE PROPOSAL WITH BLACKBOARD CONNECT FOR GOVERNMENT TO PROVIDE CONNECT-CTY EMERGENCY NOTIFICATION SYSTEM SERVICE (REVERSE 911 SYSTEM) THROUGH AUGUST 15, 2016 AT AN ANNUAL COST OF $31,583. 6.5 AWARDED CONTRACT TO HOFFMAN MANAGEMENT & CONSTRUCTION CORPORATION IN THE AMOUNT OF $159;732.60 FOR IMPROVEMENTS TO THE DIAMOND BAR CENTER AND AUTHORIZED A 15% CONTINGENCY; AUTHORIZED THE PURCHASE OF FURNITURE, FIXTURES AND EQUIPMENT FROM INTERIOR OFFICE SOLUTIONS (IOS) IN AN AMOUNT NOT -TO -EXCEED $65,000; AUTHORIZED LPA TO PROVIDE CONSTRUCTION ADMINISTRATION SERVICES AND OTHER ARCHITECTURAL SERVICES FOR AN AMOUNT NOT -TO -EXCEED $16,000. 7. PUBLIC HEARING: 7.1 ADOPT ORDINANCE NO. 02(2013); EXTENDING ORDINANCE NO. 10(2012) PROHIBITING THE ISSUANCE OF PERMITS FOR GUESTHOUSES AND SECOND UNITS IN THE LOW DENSITY RESIDENTIAL (RL) ZONING DISTRICT IN ACCORDANCE WITH THE PROVISIONS OF GOVERNMENT CODES SECTION 65858. CDD/Gubman presented staff's report stating that on June 19, 2012, the City Council adopted an Interim Urgency Ordinance that placed a 45 -day moratorium on issuing permits for guesthouses and second units sometimes referred to as granny flats in the low density residential (RL) zoning district. The Urgency Ordinance was adopted to address an immediate threat to the public health, safety and welfare after the City learned that a real estate investor was systematically acquiring properties in one single family neighborhood and was obtaining building permits to build guesthouses and second units on those properties. This proliferation of ancillary dwellings within a single family neighborhood had the potential effect of changing the fundamental character of the neighborhood from single family to multi -family and this pattern could be repeated in other identically zoned neighborhoods. On July 17, 2012 the City Council extended the moratorium for an additional 10 months and 15 days to provide additional time to conduct research and propose changes to the City's Development Code. The current moratorium extension is set MAY 21, 2013 PAGE 5 CITY COUNCIL to expire on June 19, 2013. To allow additional time to research this matter, prepare new permanent regulations and to update the Zoning ordinance for adoption by the City Council, staff recommends that the City Council extend the Urgency Ordinance for an additional year as permitted by Government Code Section 65858. M/Tanaka opened the Public Hearing. With no one present who wished to speak on this item, M/Tanaka closed the Public Hearing. 7.2 C/Herrera moved, C/Chang seconded, to adopt Ordinance No. 02(2013): extending . Ordinance No. 10(2012) prohibiting the issuance of permits for guesthouses and second units in'the Low Density Residential (RL) Zoning District in accordance with the provisions of Government Code Section 65858 for one additional year from June 19, 2013 to June 19, 2014. Motion carried by the following Rall Call vote: AYES: COUNCIL MEMBERS: Chang, Herrera, Tye, MPT/Everett, M/Tanaka NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 8. COUNCIL CONSIDERATION: CMIDeStefano stated that with respect to Item 8.1 (a) through (d), this year's budget continues the City Council's skill at utilizing resources very carefully over the last several years during a deep recession that southern California continues to face with unemployment levels that remain above the national average but slowly improving in the immediate area of DB. This City Council continues to be good stewards and fiduciaries for its community. This budget continues all of the programs, all of the policies, all of the efforts underway and there have been no diminishment of service levels, no changes that lower service levels or resources in any of the categories within the budget. Each year staff looks very carefully at the budget and moves money to where it is more appropriate. General Fund dollars, the most precious dollars the City receives, are carefully utilized to the best advantage possible as well as, all of the resources that come to the City from the Federal government, the State, County and other agency opportunities. Public Safety/Law Enforcement Services are not changing and the City is maintaining the same level of services it has in the past. In fact, one of the Special Fund items is the STAR Program which has been depleted overtime. The City has reinvested resources into that program and is moving to utilize more General Fund dollars for the STAR deputy. In addition, while indicating that the City has not MAY 21, 2013 PAGE 6 CITY COUNCIL changed, diminished or eliminated any of the service levels or programs, this year there is actually a modest increase in program levels that is proposed. Within the Community Services Department and Parks and Recreation, the City Council is being asked by staff to approve a Women's Fast Pitch Softball Program with a modest amount of resources offset by an equal amount of revenues. Overall, this recommended budget reflects General Fund resources of $21,428,000 with appropriations of $21,370,000 which results in a modest addition to the General Fund Reserves at the end of the FY 2013-14 of about $58,000. The budget looks to utilize reserves in 2013-14 in the amount of $980,000, one-third of which is for continued economic development programs as the FY 2013- 14 is seen as being a much better year to advance the City's initiatives. In addition, while not directly related to economic development, the City should see long -stalled housing products move forward within the FY 2013-14. The City will begin the FY 2013-14 ith reserves in the amount of $16,718,000 and as anticipated with this budget in the conservative use of resources and ending year revenues, staff anticipates that the General Fund Balance Reserve will be approximately $15,796,000 at the end of ,dune 2014. Later in this presentation the City Council will hear that within this budget is also a proposed $6.3 million Capital Improvement. Council has spent time during two study sessions working through the budget and staff will makes its presentation for the benefit of the public. FD/Honeywell has done a phenomenal job this year in putting together the budget and assisting him in providing several departments with additional resources this year, most notably in the Community Services Department where much needed additional maintenance dollars were necessary to be utilized at the City Parks, the Diamond Bar Center and other areas. CMIDeStefano introduced FD/Honeywell who then gave staff's presentation. FD/Honeywell reported that the FY 2013-14 proposed budget is balanced and increases General Fund Reserves for operations by $58,000. The budget, as proposed, incorporates modest, yet realistic growth in both revenue and expenditures over the current years expected numbers while maintaining service levels in the community. General Fund budgeted revenues are estimated to be $21,428,000 and are projected to increase over the current fiscal year by $396,000 or 1.9 percent. General Fund budgeted expenditures are estimated to be $21,370,000 and every effort has been made to keep appropriations at or near the same level as the current fiscal year estimates. It is anticipated that General Fund expenditures will grow by 4.9 percent over the current fiscal year. The Public Safety budget is estimated to increase a total of 5.2 percent over the actual anticipated 2012-13 expenditures. The proposed budget also includes a payment of 4 percent or $211,000 to the Sheriff's Liability Trust Fund. The total increase to the Public Safety budget over the fiscal year 2012-13 expected totals is $303,000 and staffing levels remain MAY 21, 2013 PAGE 7 CITY COUNCIL unchanged. In order to better meet the needs of the community, included in the proposed budget is the addition of two new positions and the re- positioning of three existing positions. These personnel changes total $186,000 which is funded from the savings realized from frozen positions. Also incorporated in the FY 2013-14 proposed budget is a 1.5 percent Cost of Living increase for employees as well as, a $50 increase in the benefit allotment which amounts to a total cost of $125,000. The FY 2013-14 proposed budget provides for the use of General Fund Reserves in the amount of approximately $980,000. Most notable of the expenditures funded by the reserves are Capital Improvement Projects (CIP) for a slurry seal project, a trail project the City received grant funds for which the City is required to provide matching funds and, the design of the Heritage Park Community Center improvements. Since 2001 the City Council has regularly set aside reserves to fund Economic Development activities. Included in the 2013-14 FY budget to fund these activities is $317,000. Also included in the use of reserves is a transfer -out to the Lighting and Landscape Districts (LLD) in the amount of $121,000 in order to maintain current service levels for utilities and maintenance of grounds. Some smaller items funded with General Funds Reserves is the construction of permanent housing for the emergency generator at City Hall, a document scanning system and funding for the 2013 through 2021 Housing Element of the General Plan. Also included in the proposed budget are various Special Revenue .Funds — Debt Service Fund, Equipment Replacement Fund and the Capital Improvement Fund. These types of funds have specific guidelines as to how the resources may be used. The City uses these funds to pay for things such as slurry seal projects, transit related programs, Solid Waste Reduction programs, unforeseen fleet costs and network upgrades. There are two new Special Revenue Funds proposed this year which would fund future increases to Law Enforcement budget and street projects from fees received from the City's waste hauler. The FY 2013-14 Capital Improvement Budget includes projects totaling $6.3 million of which $3.6 million are project carryovers from FY 2012-13. A detailed presentation of the Capital Improvement Plan will be presented later. Tonight, staff is also seeking Council's approval of the Gann Appropriation Limits which is required by Government Code. Each year staff calculates an annual appropriation limit based on the percentage change in the County population over the previous year, For FY 2013-14 this limit is near $38 million. The City's anticipated expenditures fall well below this limit. Staff is also seeking approval for FY 2013-14 Investment Policy which is unchanged from FY 2012-13 investment policy. This policy provides for a conservative approach to investing the City's reserves which first emphasizes safety, then liquidity, and lastly,i_y eld. MAY 21, 2013 PAGE 8 CITY COUNCIL Staff is also asking the City Council to adopt the 2013-14 FY salary resolution. As previously mentioned, this schedule incorporates a 1.5 percent Cost of Living increase and a $50 increase to the Benefit Allotment for a total cost of proposed increases of $125,000. M/Tanaka asked for public comments. Allen Wilson said he was very concerned about 8.1 (d), the proposal to increase the benefit allotment. The LA County CPI is 1.3 percent. City staff is recommending 1.5 percent. This City has been very generous with compensation packages for staff. He appreciates staffs dedication but as good times are coming, do not break the bank. He is also very concerned about increasing the allotment for the City Council. Each Council Member gets $746 a month salary plus $1100 benefit allotment which costs the taxpayers $60,000 and now the City Council wants additional. This is a part time position. Even part time Walmart employees get no benefits. How does this City Council in good conscience assess this defined benefit and hoped the City Council would reconsider this allotment benefit for their voluntary positions. With no one else present who wished to speak, M/Tanaka closed public comments. C/Herrera said she is very proud to live in DB. This City has very conservative staff members that are very, very careful with the City's dollars which is apparent by staff consistently presenting a balanced budget every year. Each year staff carefully assesses expenditures and stays within its budget. The City is very well run. Citizens enjoy the different programs and amenities. Many citizens compliment staff and Council on the wonderful appearance of the City and residents are very fortunate to live in DB unlike some of the immediate neighboring cities which are struggling and are deficit millions of dollars. Thankfully, DB is not in that position. DB does not have utility taxes like many other cities have. M/Tanaka thanked FID/Honeywell and staff for presenting a very well- balanced budget, addition to the reserves for the work it does all year. C/Chang praised staff for its work. She has been involved regionally and is constantly asked how DB is doing and when she tells others about all of the projects DB has completed last year and this year folks are shocked to learn that DB still has 76 percent of its budget in reserves which is unheard of in this economy. DB has been very conservative and folks all across the state have said that DB should be used as a model. She is very proud to be able to serve the City of DB. Kudos to staff for continuing its fiscal conservatism and thank you to staff for taking such good care of the City and its residents! MAY 21, 2013 PAGE 9 CITY COUNCIL C/Herrera moved, M/Tanaka seconded, to adopt 8.1 a, b, c, and d. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Herrera, Tye, MPT/Everett, M/Tanaka NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 8.1(a) ADOPT RESOLUTION NO. 2013-07: APPROVING AND ADOPTING A BUDGET FOR THE FISCAL YEAR COMMENCING JULY 1, 2013 AND ENDING JUNE 30, 2014 INCLUDING MAINTENANCE AND OPERATIONS, SPECIAL FUNDS AND CAPITAL IMPROVEMENTS; AND APPROPRIATE FUNDS FOR ACCOUNTS, DEPARTMENTS, DIVISIONS, OBJECTS AND PURPOSES THEREIN SET FORTH. (b) ADOPT RESOLUTION NO. 2013-08: SETTING PROPOSITION 4 (GANN) APPROPRIATIONS LIMIT FOR FISCAL YEAR 2013-14 IN ACCORDANCE WITH THE PROVISIONS OF DIVISION 9 OF TITLE 1 OF THE GOVERNMENT CODE. (c) ADOPT RESOLUTION NO. 2013-09: ADOPTING THE STATEMENT OF INVESTMENT FOR FISCAL YEAR 2013-14. (d) ADOPT RESOLUTION NO. 2013-10: AMENDING RESOLUTION NO. 2012-32 ESTABLISHING SALARY GRADES AND FRINGE BENEFITS FOR ALL CLASSES OF EMPLOYMENT, EFFECTIVE JULY 1, 2013. -8.2 APPROVAL OF THE MULTI-YEAR CAPITAL IMPROVEMENT PROGRAM. CMIDeStefano stated that with the approval of the budget package, the Council has approved FY2013-14 Capital Improvement Program; however, this year, like last year, staff is bringing forward the blueprint for the next few years along with the resources and types of projects those resources would be invested in within the community. FD/Honeywell stated that for the first time in the City's history, a multi-year Capital Improvement Project Plan was developed and presented to the City Council when the FY 2012-13 Budget was presented. Staff continues to strategize the use of City resources while ensuring that DB's public infrastructure remains in good condition for years to come. Staff has updated the five-year plan to include FY 201314 through FY 2017-18. While the multi-year CIP document is a useful planning tool, it is subject to change based on MAY 21, 2013 PAGE 10 CITY COUNCIL Council's direction and economic conditions. To that end, Council will appropriate funds for only one year at a time. Each year during budget discussions the multi-year plan will be updated and presented for Council's consideration. PWD/Liu presented a power point presentation on the five-year GIP plan. This is a five-year planning .tool and the updated multi-year CIP identifies and coordinates the financing and timing of public improvements in DB. By considering all projects at a single time per this document, a more comprehensive view can be taken about the community's capital needs, and projects can be better coordinated and financed. Furthermore, this document provides the means for the City Council to determine capital priorities and continuity in carrying them out. Project selection is based on citizen input, data from the Pavement Management Program and the Comprehensive Infrastructure Management Plan, Parks Master Plan, City Council Priorities, General Plan Goals and information from City staff. PWD/Liu further stated that there are a total of 62 projects located in the document representing an investment of almost $32 million over the five-year plan with only $1,766,377 or 5.7 percent expected to be paid out of the General Fund. Projects slated for subsequent years, as indicated by FD/Honeywell, from year two through year five as identified in this document, do not receive expenditure authority until they are allocated funding in a Capital Project for the specific fiscal year. PWD/Liu showed the summary of the 5 Year Capital Improvement Project Plan with estimates for the various funding sources. These projects are divided into the following categories: 1) Street Maintenance; 2) Traffic Management/Safety; 3) Transportation Infrastructure; 4) Miscellaneous Public Works Improvements, and 5) Park and Recreation Improvements. Note that with a combined 77 percent of the 5 -year CIP expenditure requirements, the two categories of Street Maintenance and Transportation Infrastructure can be considered to be the main drivers of the CIP. And, as has been the practice in the past, the CIP recommended budget is balanced for all funds. Staff has included project descriptions for the different projects contained in the CIP document. CSD/Rose highlighted a few of the projects from each fiscal year. The Residential Slurry Seal Area 2 is the large green area in the center of the map that will be completed during the 2013-14 FY. The Morning Canyon Reconstruction project will remove tree roots that have raised areas on the street surface that need to be MAY 21, 2013 PAGE 11 CITY COUNCIL repaired. This project will include pavement rehabilitation, pruning and possible tree removal. The Grand Avenue Beautification is another project that will be designed during FY 2013-14 and incorporates an area from about Montefino to the easterly City limits. This project will enhance the streetscape and different street features in the area along Grand Avenue and a portion of Diamond Bar Boulevard adjacent to Grand Avenue. Some of the park projects that will be done during the next fiscal year include the design and construction of the Grandview Trail and Trail Link. DB received two Land and Water Conservation Grant funds that are matched by General Fund monies. This project will complete a very large loop trail that will lead from the west Diamond Bar Center parking lot around the open space to the east Diamond Bar Center parking lot. There will also be construction of ADA Access to the dog park which will include ramping and stairs accessing the large dog park. Also included in FY 2013-14 is the design of Heritage Park Community Center improvements. Heritage Park was constructed 20 years ago and the community center is in need of modernization which this design work will address in preparation for construction in a future fiscal year. CSD/Rose spoke about FY 2014-15 which includes the commencement of the Lemon Avenue Interchange construction and includes on and off ramps from Lemon Avenue to and from the SR 60. There will be improvements made at Longview Park which includes ADA Accessible walkways, Tot Lot surfacing, new play equipment, benches, picnic tables and barbecue. PWDILiu stated that during FY 2014-15 staff will have completed the Ground Water Drainage Improvement studies that will then be identified and prioritized for improvements. With the anticipated completion of the study, beginning in 2014-15 and continuing into 2015-16 there will be various drainage and/or ground water types of improvements throughout the City. Pending discussions with Southern California Edison, staff will look at the opportunities to underground all of the existing utility and power poles throughout the City. Staff anticipates the City will receive a little over $1 million to identify a sizeable project and if necessary, the City can also mortgage five years worth of annual allocations to come up with more projects. As part of this project, the residents will see less overhead utilities throughout the City and staff will also have an opportunity to identify street light needs along some dark parts of the City. In terms of identifying the projects staff does this in an organized fashion because this not only includes undergrounding utility lines, there will be service lines that crisscross different properties which staff will need to work very closely with residents to make certain that there is minimal impact and inconvenience. MAY 21, 2013 PAGE 12 CITY COUNCIL CSD/Rose spoke about FY 2015-16 which includes the Pathfinder Road Rehabilitation Project. This project includes the design and construction' of the roadway rehabilitation on Pathfinder Road between Peaceful Hills and the westerly City limit. This is a collaborative project with LA County Public Works because a portion of Pathfinder Road has shared jurisdiction between DB and unincorporated LA County. The construction of the Heritage Park Community Center will take place during this fiscal year and will modernize the interior of that facility. Another park project is the improvements at Starshine Park which include accessible walkways, Tot Lot surfacing, play equipment, benches, tables and barbecues as well as, improved drainage for the site. PWD/Liu stated that during FY 2015-16 staff will also look to see if there is a need to initiate or partner with the County to consider some of the needs and deficiencies at some of the sewer pump stations in the City. As the property owner for these pump stations, DB has certain responsibilities and believes that the City needs more information to consider and budget proper resources for these possible improvements. In short, during this fiscal year staff proposes to conduct a comprehensive assessment study to look at all. of the pump stations in DB and depending on the discussions and negotiations with the County, propose projects as deemed necessary and feasible. CSD/Rose spoke about FY 2016-17. One of the projects is the Slurry Seal of Area 5 which is the large green area on the map toward the top of the map. A couple of park projects slated for this FY are new playground equipment and surfacing at Paul C. Grow Park and Maple Hill Park. CSD/Rose then went on to report on FY 2017-18. One of the projects is the Area 6 Slurry Seal and sidewalk improvements, which is shown at the end of the large green area on the map at the top of the City. One of the park projects that will be completed is the design of Sycamore Canyon Creek Repair and Tot Lot wall. PWD/Liu concluded that this updated CIP was prepared to be within a reasonable estimate of Special Fund Revenues while continuing to provide the community with plan improvements to infrastructure and facilities. To achieve this end, this document is a dynamic and evolving plan which will presumably be meeting future capital needs of the community as there are a myriad of factors that will influence and affect the planning process as the CIP continues to evolve. Critical factors and input include forecast demand, level of service standards, capital project requests and evaluation, funding plans, as well as, commitment. The City's CIP reflects staff's commitment to provide the most efficient use of available City resources to the community it services. To better safeguard the City's resources, staff recommends that the City Council approve the multi -use CIP document as submitted this evening. . MAY 21, 2013 PAGE 13 CITY COUNCIL MPT/Everett thanked staff for the detailed presentation which was thoughtfully organized and presented by both PWD/Liu and CSD/Rose with the collaboration of the entire staff. This gives him and his colleagues a great framework that is realistic and practical to work with for five years hence. It is easy to read and he challenged and encouraged every resident to review this report. What he found interesting was that the third item under Project Description, Transportation Infrastructure Projects, is the Lemon Avenue project which is now a reality in FY 14-15 and 15-16, which has been on the City's Goals & Objectives for several years and for which the City has invested millions of dollars to date. He found Ground Water and Storm Water as mandated with no funding on the list as a challenge as well. The other Item is Rule 20A, Southern California Edison undergrounding operation which will take all of the utilities that are on poles today and put them underground. The last item he found very interesting was Sewer Pump Stations study, analysis and planning. The sewer pump houses are owned by the City of DB and maintained by the County of LA and DB is taking a look at this issue to anticipate the needs. The report is easy and important to read because this involves the citizen's money. He again thanked staff for making this a reality for the first time in the history of DB and many cities and counties are still talking about it. M/Tanaka asked for public comments. Lew Herndon reiterated his earlier comments regarding the lack of sports fields for kids. He congratulated the City Council on a successful budget and asked the Council to consider funding for a project that will help solve a problem that is decades old in this City which is not having enough funds for sports fields for kids. There being no one else who wished to speak on this item, M/Tanaka closed the public comments portion. CITye moved, C/Herrera seconded, to approve the Multi -Year Capital Improvement Program as presented. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Herrera, Tye, MPT/Everett, M/Tanaka NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 9. COUNCIL SUBCOMMITTEE REPORTS AND MEETING ATTENDANCE REPORTSICOUNCIL MEMBER COMMENTS: CITye thanked Mr. Herndon on behalf of Fields for Kids. Mr. Herndon is the type of individual who sees a problem and gets busy doing something MAY 21, 2013 PAGE 14 CITY COUNCIL about it. This is not an easy problem to solve and he has sought the support of many of the sports organizations including Pony Baseball, Pop Warner, and AYSO. C/Tye encouraged Mr. Herndon to keep at it and find other partners to help. This is a great effort that will not be solved overnight but he does appreciate his efforts. C/Tye thanked Captain Scroggin for bringing Lieutenant Tachias to DB and welcomed him to the City. Over the weekend Contract Cities held its 54th annual seminar. C/Tye thanked the City Council for appointing him as the delegate to Contract Cities and thanked the Executive Board and the voting group of Contract Cities in naming him President for the coming year. He looks forward to representing DB as always on that body. DB has one voice when it goes to Sacramento which is the voice of protecting cities and telling Sacramento to keep their hands off of the City's money. Memorial Day is Monday and he thinks of the words of former President Ronald Reagan when he was giving a speech on Memorial Day "we owe this freedom of choice of action to those men and women in uniform who have served this nation and its interests in time of need. In particular, we are forever indebted to those who have given their lives, those that have truly paid the ultimate price for our freedoms, that we might be free — for you, for me, for all Americans." C/Tye said he hoped everyone would keep those words in mind on Memorial Day. It is a lot more than just picnics - it is about the men and women that have made that ultimate sacrifice. C/Chang reminded residents they could follow her on Facebook and Twitter. She attended Contract Cities and congratulated President Tye who will do a great job leading Contract Cities. She attended the installation dinner where Senator Huff installed the Board and Supervisor Don Knabe served as emcee. She attended ICSC to try to attract retailers into DB. It has been difficult but your Council and staff members continue to fight the good fight and hopefully retailers are listening and will consider moving their business to DB. She participated in the League Legislative Committee meeting which she currently chairs. The first of June she will become the president of the LA Division. She attended the Regional Chamber Lunch Mob, a new monthly event during which a new restaurant will be visited. It is the "Loyal to Local Movement" which is great because local businesses deserve our support. She welcomed Station Lt. Tony Tachias. She be the success of this City is due to a great partnership between staff, Council, residents, business owners and the Public Safety Department. C/Herrera said she believes everyone supports Fields for Kids. DB is famous for its support of the different youth activities. Certainly throughout the years her kids have played Junior All American Football, Little League and DB Girl's Softball. All of these different activities play a big part in developing kids into the wonderful citizens that they are today and go a MAY 21, 2013 PAGE 15 CITY COUNCIL long way toward making them good athletes when they arrive at high school age which is one of the reasons that the local high schools do so well in the athletic departments. DB continues to look for funding to fund the Parks Master Plan but the items listed in the multi-year Capital Improvement Plan are monies that need to go to fix things that already exist in the City. DB needs to have a plan to repair what exists and not let those items go to ruin. DB needs to continue looking for new money to have more fields to engage the kids and keep them active. The entire Council has the goal of finding money to fund the items contained in the Parks Master Plan. She welcomed Lt. Tachias. She also congratulated President Steve Tye. Along with that responsibility, it is the responsibility of the President's City to host and plan everything for Contract Cities including .workshops and who the speakers will be. CMIDeStefano and staff did an outstanding job with dynamic speakers like Terry McDonald who talked about AB109 realignment where inmates are early released from incarceration and about earthquake preparedness and is California ready for the "big one" with a video presentation of major earthquakes in various places. Bottom line is that residents need to be prepared. not for three days but for at least two weeks in the event of the big earthquake. Everyone listened intently during these great sessions. Other great sessions focused on Economic Development with another great speaker, Larry Kosmont; Public Integrity in the Office of the District Attorney with the Honorable Jackie Lacey, newly elected District Attorney; Regional Mobility and Airport Access' about Ontario Airport and the danger of its closing with main speaker Alan Wapner; and Regional Mobility by Rich Macias from SCAG. Everyone complimented DB on what a great job DB did in putting the workshops together. Everyone participated and listened intently. Congratulations to DB and congratulations to President Steve Tye. MPT/Everett welcomed James and Bryan from Crossfit as the new business and the City's new Service Area Lieutenant Tony Tachias He congratulated CITye on being elected as this year's Contract Cities Association President. He also attended the luncheon at which Metro Chief Art Leahy spoke about communications in his organization. The next day he attended the Lennar workshop for the park at Site D. The workshop included the preliminary design of the park based on feedback from the community. Also in attendance were M/Tanaka, CSD/Rose and his staff along with Parks and Rec and Planning Commissioners, and the neighbors of Site D. It was a healthy exchange, excellent communication and he felt a good first step towards developing this park in the best interest of DB community and all parties affiliated with Site D. The following Monday he and M/Tanaka were privileged to join a three-day multi -agency fire drills in Tonner Canyon. Thanks to LA County Fire Department and more specifically Chief Stone and PIO Leticia Pacillas. We spent the morning of the first of the three days with agencies from three or four counties and it was fascinating to see what they do in the MAY 21, 2013 PAGE 16 CITY COUNCIL event of a wildfire. Saturday and Sunday, May 18 and 19 Northminster Presbyterian Church celebrated its 50th Anniversary in DB. It was his privilege to present on behalf of the Mayor and Council a proclamation of their many, many investments and continued participation in our City — over the past 50 years. He also presented a City tile, attended church services and ate lunch. Congratulations to Pastor Stebe, the Church leaders and all of the people who have been involved at Northminister Presbyterian Church. Yesterday he had the privilege, along with CM/DeStefano, to attend the farewell reception for Walnut Valley Unified School District's Dr. Dean Conklin. He served WVUSD for 14 years through two different tours with his final tour ending with his retirement as WVUSD Superintendent. . Neighbors from the City of Walnut, Congressman Royce, State Legislators from the Senate and Assembly were represented and it was just a real honest thank -you and best wishes as he moves on and has made a contribution. CM/DeStefano and he presented a City Tile to Dr. Conklin. Last night he had the privilege of attending the "Circle of Friends" program that celebrated their 10th Anniversary of operating; special friends, and volunteerism for Autistic children and other disabilities. The emcee was a DBHS graduate who most recently completed UC Berkeley. It was a privilege to present nine certificates along with the City of Walnut and Congressman Royce's office. The "Circle of Friends" is growing and going and if you have any specific interests in needs of special children or interest in volunteering there were at least two high school students from DRHS, a number from DBHS and the entire valley is now supporting this activity. He went on to thank all of the volunteers in so many ways from the churches to the people who speak here and take on projects like Mr. Herndon. We appreciate all of you and it makes a great place. M/Tanaka attended many events during the past couple of weeks. He attended the Site D Park workshop where he again had the opportunity to talk with the architect and the builder. He was at the Tonner Canyon Fire Drill which was a multi -agency exercise and he was happy that there was no -burn in the exercise. The following Monday he had a chance to help judge the DB Library's Photo Contest "Animal's Reading Books". The Thursday following that we had a chance to meet all of the photographers and congratulate all of the winners in the adult, teen and youth classifications. Also present from all of the photographers they had a People's Choice category and they also were awarded with a prize as well. On May 14 the LA County Junior Fair Board held its presentations for their projects and a scholarship dinner. As a member of the Advisory Committee he had a chance to see high school seniors and juniors from 34 local high schools working together to try to make the LA County Fair a better place. There was representation from both DBHS and DRHS that participated this year. They have a chance to get involved in some leadership training, improving their public speaking skills, working with MAY 21, 2013 PAGE 17 CITY COUNCIL small groups and learning teamwork. It is a two-year program that you enter in your junior year and after you finish completing your project in your senior year you are awarded with a $2000 scholarship. He also had an opportunity to attend the Foothill Transit's annual meeting where they discussed regular business and also proposed service enhancements for bus riders and discussed the 2014 business plan budget. This afternoon he attended the Walnut Valley Water District's Water Awareness Month barbecue lunch where various proclamations were made to the Water District and we also had to see the art contest winners from the different schools. He wanted to say thank -you to Linda Headley and to Miss Diamond Bar Annemarie and her Princesses Serena, Danielle, Chika and Melina for coming this evening. He also wanted to thank the CalPaly students who are sequestered in the back area in the newsroom and who we'll have a chance to talk to a little bit later. ADJOURNMENT: With no further business to conduct, M/Tanaka adjourned the Regular City Council Meeting at 8:07 p.m. in memory of Volunteers on Patrol member Jerry Altman and the Victims of the Oklahoma Disaster. r TOMMYE°CRIBBINS, CITY CLERK The foregoing minutes are hereby approved this 4th day of June , JACK TANAKA, MAYOR