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HomeMy WebLinkAboutcc min 1971/06/21 MINIri~S OF AN ADJOURNED REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA Held Monday June 21, 1971 An adjourned regular meeting of the City Council was held on the above date begin- ning at 3:00 P.M., in the Council Chamber, Civic Center, 276 Fourth Avenue, with the following Councilmen present: Councilmen Scott, Hamilton, Hyde, Egdahl Absent: Councilman Hobel Also present: Assistant City Manager Bourcier, City Attorney Lindberg, Director of Finance Grant AZTEC BUS LINES Mr. Patrick Doogan, General Manager, Aztec Bus Lines, reviewed the request for a renewal of their contract: (1) a two-year contract renewal with the existing service; or (2) a five-year contract with certain changes. Under the five-year contract, they are asking for a 5% increase in living clause. Under this five-year term, they will be able to buy new buses. Councilman Scott's comments Councilman Scott indicated he wasn't really sure, at this point, whether or not the citi- zens of Chula Vista really want the bus service. He requested the $62,000 be put into t.he budget in order to continue the service for one more year in order to give the Council a better opportunity to see what could be done with the bus line. He would be reluctant to support a two-year contract, and wouldn't even consider a five-year contract at this time. Audit report ~ answer to Councilman Hyde's inquiry, Mr. Doogan stated that their fiscal year ended April 30, and it would be two or three weeks before an audit report would be available for the Council. Mrs. Eleanor Anderson, Chairman, Mrs. Anderson stated the position of the Com- TASK Committee, Chamber of Cormnerce mittee was to continue the service, increas- ing it as necessary. She quoted from the statement by Assemblyman Deddeh that "public transportation is an essential public service". Mrs. Anderson then discussed federal funding for transportation. Mr. Ed Carson, 211 Cypress Street, Mr. Carson submitted a proposed advertising Member, TASK Cormmittee schedule to the Council along with proposed ads promoting the bus service. He stated the ads would run every week. If the City is able to reach an agreement on transfers, the ads would promote this plan. Monthly and weekly rates In answer to Councilman Egdahl's inquiry, Mr. Doogan commented that his company has given no consideration to reducing the fees for a weekly or monthly rate. He added any change in the structure would have to be done by Council action. Councilman Hyde's cOrmnents Councilman Hyde remarked that the Council is now back where they were 15 to 16 months ago. The bus service will have to be subsidized to some extent, and this must be weighed by: the service to the conununity; reduction of traffic; reduction of parking problems; and reduction of pollution, as provided by the bus service. Motion to renew coutract It was moved by Councilman Hyde, seconded by Councilman Scott and unanimously carried that a resolution be prepared calling for a renewal of the contract for a period of one year, as existing, Subject to the modifications worked out between Aztec Bus Lines and the City Man- ager's office. The effective date of the con- tract to be July 1, 1971. This motion does not include a provision for advertising in this contract. Motion to look into federal funds It was moved by Councilman Scott, seconded by Councilman Hyde and unanimously carried that the City Manager look into any possibility of obtaining any federal grants that may be available, whether frozen or not; what programs are available, and the possibilities. Motion for advertising fund It was moved by Councilman Hyde, seconded by Councilman Egdahl and unanimously carried that the staff get together with the bus com- mittee of the Chamber of C~mL~rce~ and Aztec Bus Company, if appropriate, to prepare new recc, mnendations in regard to (1) the advertis- ing program, and (2) the amount of money to be appropriated by the City for that purpose. This is to be brought back to the City Council as soon as possible. Motion amended In order not to limit this to just the Com- mittee from the Ohamber of Co~nerce, the motion was amended to "include any other interested parties .... " Public utilities Commission - It was moved by Councilman Scott, seconded by Motion for report Councilman Hyde and unanimously carried that the City Manager, or member of the staff, submit a brief report listing the advantages and disadvantages of the City being under the control of the Public Utilities Commission. Suggestion to release portion Councilman Hyde suggested an amount, such as of advertising funds $1,000~ be made available immediately for ad- vertising. This would be done with the under- standing that it would become part of the annual budget approved for next year. The Council felt the previous motion for a staff report on advertising was an appropriate one, and they should wait for this before action is taken to release any advertising funds. NEW LIBRARY FACILITY Mr. Gordon. Grant, Director of Finance, stated that he contacted the Executive Director of the Retirement System about the possibility of acquiring a loan to finance the new Library facility. He was told that they had a build- ing program for a number of years by which they financed City Halls; however, this lasted only about four year3and it has since been stopped. They gave no indication as to when this program will be continued in the future, if at all. Percentage of bonds passed Councilman Scott asked what the percentage was of the bonds that passed and failed in this area within the last few years. Assistant City Manager Bourcier stated he would contact Stone and Youngberg for these statistics° -2- Other means of financing Mr. Grant discussed other means of financing: (1) general obligation bonds; (2) lease- purchase; (3) lease-back; (4) pay-as-you-go. Only the general obligation bonds needs an election and approval by the electors. Sinking fund Councilman Scott questioned whether an amount could be taken out of the reserves and a sinking fund created that would pay off this fund in ten years. Iir. Grant felt it couldn't be paid off in ten years, but the proposal is possible. He dis- cussed making an annual cash contribution, as was done in the purchase of the golf course, in order to keep the bonds down under the one million dollar mark. Certain monies could be restricted from certain taxes, such as thc utility tax, and earmarked for this purpose. This fund could then make the down payment on such a facility as the Library. Councilman Hyde's comments Councilman Hyde indicated that the City has a sinking fund in the amount of $500,000 to $600,000 -- Special Capital Outlay Fund -- to be used for c~mmunity-wide projects. He added that he could support such a program if this Capital Outlay Fund was to be designated as a sinking fund, and a portion of the utility users' tax was diverted to restore this fund. Mayor's cormnents Mayor Hamilton declared that the Council should find out from the people of Chula Vista whether or not they want a Library, and the Council should determine how far they want to go with the bond issue. He is con- vinced that the City needs the second phase of the Civic Center plan, and feels the Council should hold a conference to determine this matter. Motion to hold conference It was moved by Councilman Scott, seconded by Councilman Hyde and unanimously carried that the Council hold a conference to deter- mine the scope of the Library-Civic Center complex. At that time, discussion to be held on the alternative methods of financing, and the staff to bring back a recormnendation on this matter; this conference to be held on Wednesday, July 21 (the time was not set). H. E. Henderson, Chairman~ Mr. Henderson asked for a Fall election, and Library Board the people given an opportunity to vote on the issue. Herb Lathan, Chairman, Mr. Lathan felt a November election would Friends of the Library hurt since the State was going to go out for a $135,000,000 bond issue for colleges. He asked the Council to seriously consider con- struction of the Library facility. SACRAMENTO TRIP Mayor Hamilton stated that a trip to Sacra- mento is being planned for Wednesday, June 23, to talk to the Legislators about pending bills. The members present indicated they would not be able to make this trip. -3- MEETING WITH SAN DIEGO GAS AND For the meeting to be held on June 25, 1971, ELECTRIC COMPANY with the San Diego Gas and Electric Company, Mr. Robert Bourcier, Councilman Scott and Councilman Egdahl indicated they would attend. ADJOURNMENT Mayor Hamilton adjourned the meeting at 4.~15 P.M. to the field trip, and to the meeting scheduled for Tuesday, June 22, 1971, at 7 P.M. Field Trip Mr. Bruce Warren, Director of Planning, and Mr. William Jasinek, Director of Parks and Recreation, then took the members of the Council on a field trip to see the proposed land exchange (East Palomar Street and Olean- der Avenue). City~lerk -4-